Kinsale Capital (KNSL) 10-Q 3 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	3 Months Ended
	Mar. 31, 2018	Apr. 27, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	Kinsale Capital Group, Inc.
Entity Central Index Key	1,669,162
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		21,072,452

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Assets
Fixed-maturity securities available for sale, at fair value (amortized cost: $465,744 in 2018; $422,255 in 2017)	$ 462,534	$ 425,191
Equity securities at fair value (cost: $48,129)	55,065
Equity securities available or sale, at fair value (cost: $45,916 in 2017)		54,132
Total investments	517,599	479,323
Cash and cash equivalents	56,659	81,747
Investment income due and accrued	3,200	3,077
Premiums receivable, net	22,892	19,787
Reinsurance recoverables	50,742	49,593
Ceded unearned premiums	14,081	13,858
Deferred policy acquisition costs, net of ceding commissions	12,768	11,775
Intangible assets	3,538	3,538
Deferred income tax asset, net	4,201	2,492
Other assets	2,087	2,659
Total assets	687,767	667,849
Liabilities
Reserves for unpaid losses and loss adjustment expenses	328,209	315,717
Unearned premiums	110,364	103,110
Payable to reinsurers	3,244	3,226
Accounts payable and accrued expenses	3,170	6,519
Other liabilities	2,930	1,088
Total liabilities	447,917	429,660
Stockholders' Equity
Common stock, $0.01 par value, 400,000,000 shares authorized, 21,072,152 and 21,036,087 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively	210	210
Additional paid-in capital	155,785	155,082
Retained earnings	84,498	73,502
Accumulated other comprehensive (loss) income	(643)	9,395
Total stockholders’ equity	239,850	238,189
Total liabilities and stockholders’ equity	$ 687,767	$ 667,849

Consolidated Balance Sheet (Una

Consolidated Balance Sheet (Unaudited) (Parenthetical) (Parentheticals) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Assets [Abstract]
Fixed maturity securities available-for-sale, amortized cost	$ 465,744	$ 422,255
Equity securities - cost	$ 48,129
Equity securities available for sale, cost		$ 45,916
Stockholders' Equity
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	400,000,000	400,000,000
Common stock, shares issued (in shares)	21,072,152	21,036,087
Common stock, shares outstanding (in shares)	21,072,152	21,036,087

Consolidated Statements of Inco

Consolidated Statements of Income and Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenues:
Gross written premiums	$ 63,847	$ 52,862
Ceded written premiums	(8,756)	(8,700)
Net written premiums	55,091	44,162
Change in unearned premiums	(7,030)	(3,729)
Net earned premiums	48,061	40,433
Net investment income	3,229	2,286
Net unrealized loss on equity securities	(1,279)	0
Realized gains (losses) on investments	112	(32)
Other income	3	0
Total revenues	50,126	42,687
Expenses:
Losses and loss adjustment expenses	28,899	22,107
Underwriting, acquisition and insurance expenses	12,398	11,294
Other expenses	14	0
Total expenses	41,311	33,401
Income before income taxes	8,815	9,286
Total income tax expense	1,528	3,005
Net income	7,287	6,281
Other comprehensive income:
Change in unrealized (losses) gains on available-for-sale investments, net of taxes of ($1,291) in 2018 and $577 in 2017	(4,856)	1,073
Total comprehensive income	$ 2,431	$ 7,354
Earnings per share:
Basic	$ 0.35	$ 0.30
Diluted	$ 0.34	$ 0.29
Weighted average shares outstanding
Basic	21,045	20,969
Diluted	21,628	21,389
Cash dividends declared per share	$ 0.07	$ 0.06

Consolidated Statements of Inc5

Consolidated Statements of Income and Comprehensive Income (Unaudited) (Parenthetical) (Parentheticals) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract]
Income taxes on change in unrealized gains (losses) on available-for-sale investments	$ (1,291)	$ 577

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income [Member]
Balance, shares at Dec. 31, 2016	20,969,000
Balance, shares at Mar. 31, 2017	20,969,000
Balance at Dec. 31, 2016	$ 210,214	$ 210	$ 153,353	$ 53,640	$ 3,011
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	161		161
Dividends	(1,258)			(1,258)
Other comprehensive income (loss), net of tax	1,073				1,073
Net income	6,281			6,281
Balance at Mar. 31, 2017	$ 216,471	210	153,514	58,663	4,084
Balance, shares (Previously Reported [Member]) at Dec. 31, 2017	21,036,000
Balance, shares at Dec. 31, 2017	21,036,087
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation (shares)	36,000
Balance, shares at Mar. 31, 2018	21,072,152
Balance (Previously Reported [Member]) at Dec. 31, 2017	$ 238,189	210	155,082	73,502	9,395
Balance at Dec. 31, 2017	238,189	210	155,082	79,992	2,905
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Reclassification of tax effects resulting from the TCJA	0			(1,308)	1,308
Issuance of common stock under stock-based compensation plan	545		545
Stock-based compensation	158		158
Dividends	(1,473)			(1,473)
Other comprehensive income (loss), net of tax	(4,856)				(4,856)
Net income	7,287			7,287
Balance at Mar. 31, 2018	239,850	$ 210	$ 155,785	84,498	(643)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative effect adjustment - net unrealized gains on equity securities	$ 0			$ 6,490	$ (6,490)

Condensed Consolidated Statemen

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Operating Activities
Net cash provided by operating activities	$ 21,437	$ 15,447
Investing Activities
Purchase of property and equipment	(94)	(31)
Purchases – fixed maturity securities	(82,587)	(6,147)
Purchases - equity securities	(3,168)
Purchases – available-for-sale equity securities		(3,114)
Sales – fixed maturity securities	3,913	718
Sales - equity securities	982
Sales - available-for-sale equity securities		0
Maturities and calls – fixed maturity securities	35,357	19,198
Net cash (used in) provided by investing activities	(45,597)	10,624
Financing Activities
Proceeds from stock options exercised	545	0
Dividends paid	(1,473)	(1,258)
Payments on capital lease	0	(9)
Net cash used in financing activities	(928)	(1,267)
Net change in cash and cash equivalents	(25,088)	24,804
Cash and cash equivalents at beginning of year	81,747	50,752
Cash and cash equivalents at end of period	$ 56,659	$ 75,556

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of significant accounting policies Basis of presentation The accompanying condensed consolidated financial statements and notes have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") for interim financial information and do not contain all of the information and footnotes required by U.S. GAAP for complete financial statements. For a more complete description of the Company’s business and accounting policies, these condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements of Kinsale Capital Group, Inc. and its wholly owned subsidiaries (the "Company") included in the Annual Report on Form 10-K for the year ended December 31, 2017. In the opinion of management, all adjustments necessary for a fair presentation of the condensed 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. Use of estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Management periodically reviews its estimates and assumptions. Recently adopted accounting pronouncements ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, the FASB issued ASU 2016-01, "Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities," which eliminated the available-for-sale classification for equity investments, required changes in unrealized gains and losses in fair value of equity investments to be recognized in net income, required public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, required separate presentation of financial assets and financial liabilities by measurement category and form of financial asset, and eliminated the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that was required to be disclosed for financial instruments measured at amortized cost. Effective January 1, 2018, the Company adopted this ASU and recorded a cumulative-effect adjustment, which reclassified unrealized gains of $6.5 million , net of taxes, on equity investments from accumulated other comprehensive income ("AOCI") to retained earnings. Prior periods have not been restated to conform to the current presentation. ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, "Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income," which permitted companies to reclassify the disproportionate income tax effects of the Tax Cuts and Jobs Act of 2017 (the "TCJA") on items within AOCI to retained earnings. The FASB refers to these amounts as "stranded tax effects." The guidance is effective for all companies for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. Effective January 1, 2018, the Company elected to early adopt this ASU and to reclassify the stranded income tax effects for available-for-sale securities of $1.3 million from AOCI to retained earnings. Other than those effects related to the TCJA, the Company uses the portfolio approach to release stranded tax effects in AOCI related to its available-for-sale fixed-maturity securities and its available-for-sale equity securities (prior to the adoption of ASU 2016-01). Under this approach, stranded tax effects remaining in AOCI are released only when the entire portfolio of the available-for-sale fixed-maturity securities and available-for-sale equity securities are liquidated, sold or extinguished. Prospective accounting pronouncements ASU 2016-02, Leases (Topic 842) In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)" 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 initially measured at 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 at the inception of the lease. The lessee’s income statement treatment for leases will vary depending on the nature of what is being leased. 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. This ASU is effective for annual and interim reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) On June 16, 2016, the FASB issued ASU 2016-13, "Financial Instruments – Credit Losses (Topic 326)" to provide more useful information about the expected credit losses on financial instruments. Current GAAP delays the recognition of credit losses until it is probable a loss has been incurred. The update will require a financial asset measured at amortized cost to be presented at the net amount expected to be collected by means of an allowance for credit losses that runs through net income. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses. However, the amendments would limit the amount of the allowance to the amount by which fair value is below amortized cost. The measurement of credit losses on available-for-sale securities is similar under current GAAP, but the update requires the use of the allowance account through which amounts can be reversed, rather than through an irreversible write-down. This ASU is effective for annual and interim reporting periods beginning after December 15, 2019. Early adoption is permitted beginning after December 15, 2018. Upon adoption, the update will be applied using the modified-retrospective approach, by which a cumulative-effect adjustment will be made to retained earnings as of the beginning of the first reporting period presented. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities On March 30, 2017, the FASB issued ASU 2017-08, "Premium Amortization on Purchased Callable Debt Securities," which shortens the amortization period of the premium for certain callable debt securities, from the contractual maturity date to the earliest call date. This ASU is effective in fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period. Upon adoption, the update will applied on a modified retrospective basis, with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period presented. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. There are no other prospective accounting standards which, upon their effective date, would have a material impact on the Company's consolidated financial statements.

Investments

Investments	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Investments	Investments Available-for-sale investments The following tables summarize the available-for-sale investments at March 31, 2018 and December 31, 2017 : March 31, 2018 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Estimated Fair Value (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 608 $ 2 $ (4 ) $ 606 Obligations of states, municipalities and political subdivisions 158,889 1,858 (2,032 ) 158,715 Corporate and other securities 93,807 435 (578 ) 93,664 Asset-backed securities 123,397 221 (681 ) 122,937 Residential mortgage-backed securities 89,043 396 (2,827 ) 86,612 Total available-for-sale investments $ 465,744 $ 2,912 $ (6,122 ) $ 462,534 December 31, 2017 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Estimated Fair Value (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 9,108 $ 4 $ (14 ) $ 9,098 Obligations of states, municipalities and political subdivisions 161,012 3,726 (412 ) 164,326 Corporate and other securities 71,224 579 (172 ) 71,631 Asset-backed securities 95,223 405 (268 ) 95,360 Residential mortgage-backed securities 85,688 466 (1,378 ) 84,776 Total fixed-maturity securities 422,255 5,180 (2,244 ) 425,191 Equity securities: Exchange traded funds 26,041 8,339 — 34,380 Nonredeemable preferred stock 19,875 108 (231 ) 19,752 Total equity securities 45,916 8,447 (231 ) 54,132 Total available-for-sale investments $ 468,171 $ 13,627 $ (2,475 ) $ 479,323 Available-for-sale securities in a loss position The Company regularly reviews all available-for-sale securities with unrealized losses to assess whether the decline in the securities’ fair value is deemed to be an other-than-temporary impairment ("OTTI"). The Company considers a number of factors in completing its OTTI review, including the length of time and the extent to which fair value has been below cost and the financial condition of an issuer. In addition to specific issuer information, the Company also evaluates the current market and interest rate environment. Generally, a change in a security’s value caused by a change in the market or interest rate environment does not constitute an OTTI, but rather a temporary decline in fair value. For fixed maturities, the Company considers whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery, the credit quality of the issuer and the ability to recover all amounts outstanding when contractually due. When assessing whether it intends to sell a fixed maturity or if it is likely to be required to sell a fixed maturity before recovery of its amortized cost, the Company evaluates facts and circumstances including, but not limited to, decisions to reposition the investment portfolio, potential sales of investments to meet cash flow needs and potential sales of investments to capitalize on favorable pricing. For equity securities prior to the adoption of ASU 2016-01, "Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities" ("ASU 2016-01"), the Company considered the near-term prospects of an issuer and its ability and intent to hold the security for a period of time sufficient to allow for anticipated recovery. For fixed maturities where a decline in fair value is considered to be other-than-temporary and the Company intends to sell the security, or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost, an impairment is recognized in net income based on the fair value of the security at the time of assessment, resulting in a new cost basis for the security. If the decline in fair value of a fixed maturity security below its amortized cost is considered to be other-than-temporary based upon other considerations, the Company compares the estimated present value of the cash flows expected to be collected to the amortized cost of the security. The extent to which the estimated present value of the cash flows expected to be collected is less than the amortized cost of the security represents the credit-related portion of the OTTI, which is recognized in net income, resulting in a new cost basis for the security. Any remaining decline in fair value represents the noncredit portion of the OTTI, which is recognized in other comprehensive income. For equity securities prior to the adoption of ASU 2016-01, a decline in fair value that was considered to be other-than-temporary was recognized in net income based on the fair value of the security at the time of assessment, resulting in a new cost basis for the security. The following tables summarize gross unrealized losses and fair value for available-for-sale securities by length of time that the securities have continuously been in an unrealized loss position: March 31, 2018 Less than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ — $ — $ 494 $ (4 ) $ 494 $ (4 ) Obligations of states, municipalities and political subdivisions 56,436 (849 ) 37,173 (1,183 ) 93,609 (2,032 ) Corporate and other securities 50,879 (461 ) 10,643 (117 ) 61,522 (578 ) Asset-backed securities 41,534 (419 ) 10,006 (262 ) 51,540 (681 ) Residential mortgage-backed securities 20,500 (304 ) 54,166 (2,523 ) 74,666 (2,827 ) Total fixed-maturity securities $ 169,349 $ (2,033 ) $ 112,482 $ (4,089 ) $ 281,831 $ (6,122 ) At March 31, 2018 , the Company held 306 fixed maturity securities in an unrealized loss position with a total estimated fair value of $281.8 million and gross unrealized losses of $6.1 million . Of these securities, 124 were in a continuous unrealized loss position for greater than one year. As discussed above, the Company regularly reviews all fixed-maturity securities within its investment portfolio to determine whether any impairment has occurred. Unrealized losses were caused by interest rate changes or other market factors and were not credit specific issues. At March 31, 2018 , 89.5% of the Company’s fixed-maturity securities were rated "A-" or better and all of the Company’s fixed-maturity securities made expected coupon payments under the contractual terms of the securities. Management concluded that there were no other-than-temporary impairments from fixed-maturity securities with unrealized losses for the three months ended March 31, 2018 . December 31, 2017 Less than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 3,497 $ (2 ) $ 5,488 $ (12 ) $ 8,985 $ (14 ) Obligations of states, municipalities and political subdivisions 7,258 (36 ) 38,143 (376 ) 45,401 (412 ) Corporate and other securities 30,944 (98 ) 13,444 (74 ) 44,388 (172 ) Asset-backed securities 27,609 (108 ) 10,706 (160 ) 38,315 (268 ) Residential mortgage-backed securities 9,081 (83 ) 57,262 (1,295 ) 66,343 (1,378 ) Total fixed-maturity securities 78,389 (327 ) 125,043 (1,917 ) 203,432 (2,244 ) Equity securities: Exchange traded funds 130 — — — 130 — Nonredeemable preferred stocks 10,649 (231 ) — — 10,649 (231 ) Total equity securities 10,779 (231 ) — — 10,779 (231 ) Total investments available for sale $ 89,168 $ (558 ) $ 125,043 $ (1,917 ) $ 214,211 $ (2,475 ) At December 31, 2017 , the Company held 195 fixed-maturity securities in an unrealized loss position with a total estimated fair value of $203.4 million and gross unrealized losses of $2.2 million . Of those securities, 126 were in a continuous unrealized loss position for greater than one year. Unrealized losses were caused by interest rate changes or other market factors and were not credit specific issues. At December 31, 2017 , 91.1% of the Company’s fixed maturity securities were rated "A-" or better and all of the Company’s fixed maturity securities made expected coupon payments under the contractual terms of the securities. At December 31, 2017 , the Company held 13 securities in its equity portfolio with a total estimated fair value of $10.8 million and gross unrealized losses of $0.2 million . None of these securities were in a continuous unrealized loss position for greater than one year. Based on its review, the Company concluded that were no other-than-temporary impairments from fixed-maturity or equity securities with unrealized losses for the year ended December 31, 2017 . Contractual maturities of available-for-sale fixed-maturity securities The amortized cost and estimated fair value of available-for-sale fixed-maturity securities at March 31, 2018 are summarized, by contractual maturity, as follows: March 31, 2018 Amortized Estimated Cost Fair Value (in thousands) Due in one year or less $ 33,012 $ 32,899 Due after one year through five years 47,430 47,494 Due after five years through ten years 38,633 39,111 Due after ten years 134,229 133,481 Asset-backed securities 123,397 122,937 Residential mortgage-backed securities 89,043 86,612 Total fixed maturities $ 465,744 $ 462,534 Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties, and the lenders may have the right to put the securities back to the borrower. Net investment income The following table presents the components of net investment income for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Interest: Taxable bonds $ 1,761 $ 1,537 Tax exempt municipal bonds 1,085 794 Cash equivalents and short-term investments 260 87 Dividends on equity securities 412 110 Gross investment income 3,518 2,528 Investment expenses (289 ) (242 ) Net investment income $ 3,229 $ 2,286 Realized investment gains and losses The following table presents realized investment gains and losses for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Realized gains: Sales of fixed maturities $ 55 $ — Sales of equity securities 57 — Total realized gains 112 — Realized losses: Sales of fixed maturities — (32 ) Total realized losses — (32 ) Net realized investment gains (losses) $ 112 $ (32 ) Change in net unrealized gains (losses) on investments For the three months ended March 31, 2018 , the change in net unrealized losses for fixed-maturity securities was $6.1 million . For the three months ended March 31, 2017 , the change in net unrealized gains for fixed-maturity securities was $0.7 million and the change in net unrealized gains for equity securities was $0.9 million . Insurance – statutory deposits The Company had invested assets with a carrying value of $6.9 million and $7.1 million on deposit with state regulatory authorities at March 31, 2018 and December 31, 2017 , respectively. Payable for investments purchased The Company recorded a payable for investments purchased, not yet settled, of $1.8 million at March 31, 2018 and $1.0 million at December 31, 2017 . The payable balances were included in the "other liabilities" line item of the balance sheet and treated as non-cash transactions for purposes of cash flow presentation.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair value measurements Fair value was estimated for each class of financial instrument for which it was practical to estimate fair value. Fair value is defined as the price in the principal market that would be received for an asset to facilitate an orderly transaction between market participants on the measurement date. Market participants are assumed to be independent, knowledgeable, able and willing to transact an exchange and not acting under duress. Fair value hierarchy disclosures are based on the quality of inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Adjustments to transaction prices or quoted market prices may be required in illiquid or disorderly markets in order to estimate fair value. The three levels of the fair value hierarchy are defined as follows: Level 1 - Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities traded in active markets. Level 2 - Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and market-corroborated inputs. Level 3 - Inputs to the valuation methodology are unobservable for the asset or liability and are significant to the fair value measurement. Fair values of the Company's investment portfolio are estimated using unadjusted prices obtained by its investment manager from third party pricing services, where available. For securities where the Company is unable to obtain fair values from a pricing service or broker, fair values are estimated using information obtained from the Company's investment manager. Management performs several procedures to ascertain the reasonableness of investment values included in the condensed consolidated financial statements including 1) obtaining and reviewing internal control reports from the Company's investment manager that obtain fair values from third party pricing services, 2) discussing with the Company's investment manager its process for reviewing and validating pricing obtained from outside pricing services and 3) reviewing the security pricing received from the Company's investment manager and monitoring changes in unrealized gains and losses. The Company has evaluated the various types of securities in its investment portfolio to determine an appropriate fair value hierarchy level based upon trading activity and the observability of market inputs. The following tables present the balances of assets measured at fair value on a recurring basis as of March 31, 2018 and December 31, 2017 , by level within the fair value hierarchy. March 31, 2018 Level 1 Level 2 Level 3 Total (in thousands) Assets Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 606 $ — $ — $ 606 Obligations of states, municipalities and political subdivisions — 158,715 — 158,715 Corporate and other securities — 93,664 — 93,664 Asset-backed securities — 122,937 — 122,937 Residential mortgage-backed securities — 86,612 — 86,612 Total fixed maturities 606 461,928 — 462,534 Equity securities: Exchange traded funds 35,939 — — 35,939 Nonredeemable preferred stock — 19,126 — 19,126 Total equity securities 35,939 19,126 — 55,065 Total $ 36,545 $ 481,054 $ — $ 517,599 December 31, 2017 Level 1 Level 2 Level 3 Total (in thousands) Assets Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 9,098 $ — $ — $ 9,098 Obligations of states, municipalities and political subdivisions — 164,326 — 164,326 Corporate and other securities — 71,631 — 71,631 Asset-backed securities — 95,360 — 95,360 Residential mortgage-backed securities — 84,776 — 84,776 Total fixed maturities 9,098 416,093 — 425,191 Equity securities: Exchange traded funds 34,380 — — 34,380 Nonredeemable preferred stock — 19,752 — 19,752 Total equity securities 34,380 19,752 — 54,132 Total $ 43,478 $ 435,845 $ — $ 479,323 There were no transfers into or out of Level 1 and Level 2 during the three months ended March 31, 2018 . There were no assets or liabilities measured at fair value on a nonrecurring basis as of March 31, 2018 or December 31, 2017 . Due to the relatively short-term nature of cash and cash equivalents, short-term investments, receivables and payables, their carrying amounts are reasonable estimates of fair value.

Deferred Policy Acquisition Cos

Deferred Policy Acquisition Costs	3 Months Ended
	Mar. 31, 2018
Deferred Policy Acquisition Costs Disclosures [Abstract]
Deferred Policy Acquisition Costs	Deferred policy acquisition costs The following table presents the amounts of policy acquisition costs deferred and amortized for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Balance, beginning of period $ 11,775 $ 10,150 Policy acquisition costs deferred: Direct commissions 9,377 7,880 Ceding commissions (2,541 ) (2,591 ) Other underwriting and policy acquisition costs 809 761 Policy acquisition costs deferred 7,645 6,050 Amortization of net policy acquisition costs (6,652 ) (5,699 ) Balance, end of period $ 12,768 $ 10,501

Underwriting, Acquisition and I

Underwriting, Acquisition and Insurance Expenses	3 Months Ended
	Mar. 31, 2018
Underwriting, Acquisition and Insurance Expenses [Abstract]
Underwriting, acquisition and insurance expenses	Underwriting, acquisition and insurance expenses Underwriting, acquisition and insurance expenses for the three months ended March 31, 2018 and 2017 consist of the following: Three Months Ended March 31, 2018 2017 (in thousands) Underwriting, acquisition and insurance expenses incurred: Direct commissions $ 8,379 $ 7,149 Ceding commissions (2,444 ) (2,346 ) Other operating expenses 6,463 6,491 Total $ 12,398 $ 11,294 Other operating expenses within underwriting, acquisition and insurance expenses include salaries, bonus and employee benefits expenses of $5.0 million for both the three months ended March 31, 2018 and 2017 .

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
Earnings Per Share	Earnings per share The following represents a reconciliation of the numerator and denominator of the basic and diluted earnings per share computations contained in the consolidated financial statements: Three Months Ended March 31, 2018 2017 (in thousands, except per share data) Net income $ 7,287 $ 6,281 Weighted average common shares outstanding - basic 21,045 20,969 Effect of potential dilutive securities: Conversion of stock options 581 420 Conversion of restricted stock 2 — Weighted average common shares outstanding - diluted 21,628 21,389 Earnings per common share: Basic $ 0.35 $ 0.30 Diluted $ 0.34 $ 0.29 There were no anti-dilutive stock options for the three months ended March 31, 2018 and 2017.

Income taxes

Income taxes	3 Months Ended
	Mar. 31, 2018
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	Income taxes On December 22, 2017, the President of the United States signed into law the TCJA. The legislation significantly changed U.S. tax law by, among other things, lowering corporate income tax rates from 35% to 21% effective January 1, 2018, and modifying the manner in which property and casualty insurance loss reserves are computed for federal income tax purposes. The Company records a deduction for unpaid losses and loss adjustment expenses when computing its taxable income. Prior to the new legislation, the deduction was discounted using interest rates and loss payment patterns prescribed by the U.S. Treasury. The TCJA changed the prescribed interest rates, which are now based on corporate bond yield curves, and extended the applicable time periods for the loss payment pattern period for long-tailed lines of business. Beginning in 2018, a transition rule will spread the adjustments related to pre-effective-date losses and loss adjustment expenses over the next eight years. U.S. GAAP requires companies to recognize the effect of tax law changes in the period of enactment. The SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the TCJA. The TCJA did not specify the application of certain elements of the legislation and the U.S. Treasury has yet to issue interpretive guidance to specify the loss payment patterns and the corporate bond yield curve under the new law for 2018. The Company recognized provisional tax amounts of $3.5 million related to the transition adjustment for loss discounting, which was included in its components of deferred tax assets and liabilities as part of its consolidated financial statements for the year ended December 31, 2017. The ultimate impact may differ from these provisional amounts due to, among other things, additional analysis, changes in interpretations and assumptions the Company has made, additional regulatory guidance that may be issued, and actions the Company may take as a result of the TCJA. During the three months ended March 31, 2018, there were no changes to these amounts and no measurement period adjustments were recorded. The accounting is expected to be complete when the U.S. Treasury issues further guidance and the Company has completed its calculations. The Company's effective tax rate was 17.3% for the three months ended March 31, 2018 and 32.4% for the three months ended March 31, 2017. The decrease in the effective tax rate in the first quarter of 2018 compared to the first quarter of 2017 was primarily due to the impact of the TCJA, which lowered the federal corporate tax rate from 35% to 21% starting January 1, 2018, and the recognition of tax benefits related to stock options exercised during the first quarter of 2018.

Reserves for Unpaid Losses and

Reserves for Unpaid Losses and Loss Adjustment Expenses	3 Months Ended
	Mar. 31, 2018
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]
Reserves for Unpaid Losses and Loss Adjustment Expenses	Reserves for unpaid losses and loss adjustment expenses The following table presents a reconciliation of consolidated beginning and ending reserves for unpaid losses and loss adjustment expenses: March 31, 2018 2017 (in thousands) Net reserves for unpaid losses and loss adjustment expenses, beginning of year $ 267,493 $ 194,602 Commutation of MLQS — 27,929 Adjusted net reserves for losses and loss adjustment expenses, beginning of year 267,493 222,531 Incurred losses and loss adjustment expenses: Current year 30,183 27,211 Prior years (1,284 ) (5,104 ) Total net losses and loss adjustment expenses incurred 28,899 22,107 Payments: Current year 340 333 Prior years 17,516 11,566 Total payments 17,856 11,899 Net reserves for unpaid losses and loss adjustment expenses, end of period 278,536 232,739 Reinsurance recoverable on unpaid losses 49,673 40,262 Gross reserves for unpaid losses and loss adjustment expenses, end of period $ 328,209 $ 273,001 During the three months ended March 31, 2018 , the reserves for unpaid losses and loss adjustment expenses held at December 31, 2017 developed favorably by $1.3 million . The favorable development was primarily attributable to the 2017 accident year of $2.5 million and the 2016 accident year of $1.2 million , which resulted from reported losses emerging at a lower level than expected. This favorable development was offset in part by adverse development from the 2011 through 2015 accident years of $2.4 million . During the three months ended March 31, 2017 , the reserves for unpaid losses and loss adjustment expenses held at December 31, 2016 developed favorably by $5.1 million . The favorable development was attributable primarily to the 2016 accident year of $3.3 million and the 2015 accident year of $2.5 million , which was due to reported losses emerging at a lower level than expected. The favorable development was offset in part by adverse development of $0.9 million for the 2013 accident year. Multi-line quota share reinsurance Effective January 1, 2017, the Company commuted its multi-line quota share treaty ("MLQS") covering the period January 1, 2015 to December 31, 2015, which reduced reinsurance recoverables on unpaid losses by approximately $27.9 million . The commutation did not have any effect on the Company's results of operations or cash flows for the applicable period.

Reinsurance

Reinsurance	3 Months Ended
	Mar. 31, 2018
Reinsurance Disclosures [Abstract]
Reinsurance	Reinsurance The following table summarizes the effect of reinsurance on premiums written and earned for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Written: Direct $ 63,847 $ 52,862 Assumed — — Ceded (8,756 ) (8,700 ) Net written $ 55,091 $ 44,162 Earned: Direct $ 56,593 $ 48,462 Assumed — — Ceded (8,532 ) (8,029 ) Net earned $ 48,061 $ 40,433 Incurred losses and loss adjustment expenses were net of reinsurance (ceded incurred losses and loss adjustment expenses) of $2.9 million and $2.4 million for the three months ended March 31, 2018 and 2017 , respectively. At March 31, 2018 , reinsurance recoverables on paid and unpaid losses were $1.0 million and $49.7 million , respectively. At December 31, 2017 , reinsurance recoverables on paid and unpaid losses were $1.4 million and $48.2 million , respectively.

Other Comprehensive Income

Other Comprehensive Income	3 Months Ended
	Mar. 31, 2018
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Other Comprehensive Income	Other comprehensive (loss) income The following table summarizes the components of other comprehensive (loss) income for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Unrealized (losses) gains arising during the period, before income taxes: Fixed-maturity securities $ (6,092 ) $ 697 Equity securities (1) — 921 Total unrealized (losses) gains arising during the period, before income taxes (6,092 ) 1,618 Income taxes 1,279 (566 ) Unrealized (losses) gains arising during the period, net of income taxes (4,813 ) 1,052 Less reclassification adjustment: Net realized gains (losses) on fixed-maturity securities, before income taxes 55 (32 ) Income taxes (12 ) 11 Reclassification adjustment included in net income 43 (21 ) Other comprehensive (loss) income $ (4,856 ) $ 1,073 (1) Adoption of ASU 2016-01, "Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities," which was effective January 1, 2018, eliminated the available-for-sale classification for equity investments and required changes in unrealized gains and losses in fair value of equity securities to be recognized in net income. The sale of an available-for-sale fixed-maturity security results in amounts being reclassified from accumulated other comprehensive income to realized gains or losses in current period earnings. The related tax effect of the reclassification adjustment is recorded in income tax expense in current period earnings. See Note 2 for additional information.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of presentation The accompanying condensed consolidated financial statements and notes have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") for interim financial information and do not contain all of the information and footnotes required by U.S. GAAP for complete financial statements. For a more complete description of the Company’s business and accounting policies, these condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements of Kinsale Capital Group, Inc. and its wholly owned subsidiaries (the "Company") included in the Annual Report on Form 10-K for the year ended December 31, 2017. In the opinion of management, all adjustments necessary for a fair presentation of the condensed 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.
Use of Estimates	Use of estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Management periodically reviews its estimates and assumptions.
Recently Adopted Accounting Pronouncements	Recently adopted accounting pronouncements ASU 2016-01, Financial Instruments - Overall: Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, the FASB issued ASU 2016-01, "Financial Instruments – Overall: Recognition and Measurement of Financial Assets and Financial Liabilities," which eliminated the available-for-sale classification for equity investments, required changes in unrealized gains and losses in fair value of equity investments to be recognized in net income, required public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes, required separate presentation of financial assets and financial liabilities by measurement category and form of financial asset, and eliminated the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that was required to be disclosed for financial instruments measured at amortized cost. Effective January 1, 2018, the Company adopted this ASU and recorded a cumulative-effect adjustment, which reclassified unrealized gains of $6.5 million , net of taxes, on equity investments from accumulated other comprehensive income ("AOCI") to retained earnings. Prior periods have not been restated to conform to the current presentation. ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, "Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income," which permitted companies to reclassify the disproportionate income tax effects of the Tax Cuts and Jobs Act of 2017 (the "TCJA") on items within AOCI to retained earnings. The FASB refers to these amounts as "stranded tax effects." The guidance is effective for all companies for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. Effective January 1, 2018, the Company elected to early adopt this ASU and to reclassify the stranded income tax effects for available-for-sale securities of $1.3 million from AOCI to retained earnings. Other than those effects related to the TCJA, the Company uses the portfolio approach to release stranded tax effects in AOCI related to its available-for-sale fixed-maturity securities and its available-for-sale equity securities (prior to the adoption of ASU 2016-01). Under this approach, stranded tax effects remaining in AOCI are released only when the entire portfolio of the available-for-sale fixed-maturity securities and available-for-sale equity securities are liquidated, sold or extinguished.
Prospective Accounting Pronouncements	Prospective accounting pronouncements ASU 2016-02, Leases (Topic 842) In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)" 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 initially measured at 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 at the inception of the lease. The lessee’s income statement treatment for leases will vary depending on the nature of what is being leased. 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. This ASU is effective for annual and interim reporting periods beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) On June 16, 2016, the FASB issued ASU 2016-13, "Financial Instruments – Credit Losses (Topic 326)" to provide more useful information about the expected credit losses on financial instruments. Current GAAP delays the recognition of credit losses until it is probable a loss has been incurred. The update will require a financial asset measured at amortized cost to be presented at the net amount expected to be collected by means of an allowance for credit losses that runs through net income. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses. However, the amendments would limit the amount of the allowance to the amount by which fair value is below amortized cost. The measurement of credit losses on available-for-sale securities is similar under current GAAP, but the update requires the use of the allowance account through which amounts can be reversed, rather than through an irreversible write-down. This ASU is effective for annual and interim reporting periods beginning after December 15, 2019. Early adoption is permitted beginning after December 15, 2018. Upon adoption, the update will be applied using the modified-retrospective approach, by which a cumulative-effect adjustment will be made to retained earnings as of the beginning of the first reporting period presented. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities On March 30, 2017, the FASB issued ASU 2017-08, "Premium Amortization on Purchased Callable Debt Securities," which shortens the amortization period of the premium for certain callable debt securities, from the contractual maturity date to the earliest call date. This ASU is effective in fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period. Upon adoption, the update will applied on a modified retrospective basis, with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period presented. The Company is currently evaluating the impact of the adoption on its consolidated financial statements. There are no other prospective accounting standards which, upon their effective date, would have a material impact on the Company's consolidated financial statements.

Investments (Tables)

Investments (Tables)	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Available-for-sale Investments	The following tables summarize the available-for-sale investments at March 31, 2018 and December 31, 2017 : March 31, 2018 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Estimated Fair Value (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 608 $ 2 $ (4 ) $ 606 Obligations of states, municipalities and political subdivisions 158,889 1,858 (2,032 ) 158,715 Corporate and other securities 93,807 435 (578 ) 93,664 Asset-backed securities 123,397 221 (681 ) 122,937 Residential mortgage-backed securities 89,043 396 (2,827 ) 86,612 Total available-for-sale investments $ 465,744 $ 2,912 $ (6,122 ) $ 462,534 December 31, 2017 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Estimated Fair Value (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 9,108 $ 4 $ (14 ) $ 9,098 Obligations of states, municipalities and political subdivisions 161,012 3,726 (412 ) 164,326 Corporate and other securities 71,224 579 (172 ) 71,631 Asset-backed securities 95,223 405 (268 ) 95,360 Residential mortgage-backed securities 85,688 466 (1,378 ) 84,776 Total fixed-maturity securities 422,255 5,180 (2,244 ) 425,191 Equity securities: Exchange traded funds 26,041 8,339 — 34,380 Nonredeemable preferred stock 19,875 108 (231 ) 19,752 Total equity securities 45,916 8,447 (231 ) 54,132 Total available-for-sale investments $ 468,171 $ 13,627 $ (2,475 ) $ 479,323
Available-for-sale Securities in a Loss Position	December 31, 2017 Less than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 3,497 $ (2 ) $ 5,488 $ (12 ) $ 8,985 $ (14 ) Obligations of states, municipalities and political subdivisions 7,258 (36 ) 38,143 (376 ) 45,401 (412 ) Corporate and other securities 30,944 (98 ) 13,444 (74 ) 44,388 (172 ) Asset-backed securities 27,609 (108 ) 10,706 (160 ) 38,315 (268 ) Residential mortgage-backed securities 9,081 (83 ) 57,262 (1,295 ) 66,343 (1,378 ) Total fixed-maturity securities 78,389 (327 ) 125,043 (1,917 ) 203,432 (2,244 ) Equity securities: Exchange traded funds 130 — — — 130 — Nonredeemable preferred stocks 10,649 (231 ) — — 10,649 (231 ) Total equity securities 10,779 (231 ) — — 10,779 (231 ) Total investments available for sale $ 89,168 $ (558 ) $ 125,043 $ (1,917 ) $ 214,211 $ (2,475 ) The following tables summarize gross unrealized losses and fair value for available-for-sale securities by length of time that the securities have continuously been in an unrealized loss position: March 31, 2018 Less than 12 Months 12 Months or Longer Total Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses Estimated Fair Value Gross Unrealized Holding Losses (in thousands) Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ — $ — $ 494 $ (4 ) $ 494 $ (4 ) Obligations of states, municipalities and political subdivisions 56,436 (849 ) 37,173 (1,183 ) 93,609 (2,032 ) Corporate and other securities 50,879 (461 ) 10,643 (117 ) 61,522 (578 ) Asset-backed securities 41,534 (419 ) 10,006 (262 ) 51,540 (681 ) Residential mortgage-backed securities 20,500 (304 ) 54,166 (2,523 ) 74,666 (2,827 ) Total fixed-maturity securities $ 169,349 $ (2,033 ) $ 112,482 $ (4,089 ) $ 281,831 $ (6,122 )
Contractual Maturities of Available-for-sale Fixed Maturity Securities	The amortized cost and estimated fair value of available-for-sale fixed-maturity securities at March 31, 2018 are summarized, by contractual maturity, as follows: March 31, 2018 Amortized Estimated Cost Fair Value (in thousands) Due in one year or less $ 33,012 $ 32,899 Due after one year through five years 47,430 47,494 Due after five years through ten years 38,633 39,111 Due after ten years 134,229 133,481 Asset-backed securities 123,397 122,937 Residential mortgage-backed securities 89,043 86,612 Total fixed maturities $ 465,744 $ 462,534
Net Investment Income	The following table presents the components of net investment income for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Interest: Taxable bonds $ 1,761 $ 1,537 Tax exempt municipal bonds 1,085 794 Cash equivalents and short-term investments 260 87 Dividends on equity securities 412 110 Gross investment income 3,518 2,528 Investment expenses (289 ) (242 ) Net investment income $ 3,229 $ 2,286
Realized Gain (Loss) on Investments	The following table presents realized investment gains and losses for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Realized gains: Sales of fixed maturities $ 55 $ — Sales of equity securities 57 — Total realized gains 112 — Realized losses: Sales of fixed maturities — (32 ) Total realized losses — (32 ) Net realized investment gains (losses) $ 112 $ (32 )

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2018
Fair Value Disclosures [Abstract]
Assets Measured at Fair Value on a Recurring Basis	The following tables present the balances of assets measured at fair value on a recurring basis as of March 31, 2018 and December 31, 2017 , by level within the fair value hierarchy. March 31, 2018 Level 1 Level 2 Level 3 Total (in thousands) Assets Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 606 $ — $ — $ 606 Obligations of states, municipalities and political subdivisions — 158,715 — 158,715 Corporate and other securities — 93,664 — 93,664 Asset-backed securities — 122,937 — 122,937 Residential mortgage-backed securities — 86,612 — 86,612 Total fixed maturities 606 461,928 — 462,534 Equity securities: Exchange traded funds 35,939 — — 35,939 Nonredeemable preferred stock — 19,126 — 19,126 Total equity securities 35,939 19,126 — 55,065 Total $ 36,545 $ 481,054 $ — $ 517,599 December 31, 2017 Level 1 Level 2 Level 3 Total (in thousands) Assets Fixed maturities: U.S. Treasury securities and obligations of U.S. government agencies $ 9,098 $ — $ — $ 9,098 Obligations of states, municipalities and political subdivisions — 164,326 — 164,326 Corporate and other securities — 71,631 — 71,631 Asset-backed securities — 95,360 — 95,360 Residential mortgage-backed securities — 84,776 — 84,776 Total fixed maturities 9,098 416,093 — 425,191 Equity securities: Exchange traded funds 34,380 — — 34,380 Nonredeemable preferred stock — 19,752 — 19,752 Total equity securities 34,380 19,752 — 54,132 Total $ 43,478 $ 435,845 $ — $ 479,323

Deferred Policy Acquisition C21

Deferred Policy Acquisition Costs (Tables)	3 Months Ended
	Mar. 31, 2018
Deferred Policy Acquisition Costs Disclosures [Abstract]
Deferred Policy Acquisition Costs	The following table presents the amounts of policy acquisition costs deferred and amortized for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Balance, beginning of period $ 11,775 $ 10,150 Policy acquisition costs deferred: Direct commissions 9,377 7,880 Ceding commissions (2,541 ) (2,591 ) Other underwriting and policy acquisition costs 809 761 Policy acquisition costs deferred 7,645 6,050 Amortization of net policy acquisition costs (6,652 ) (5,699 ) Balance, end of period $ 12,768 $ 10,501

Underwriting, Acquisition and22

Underwriting, Acquisition and Insurance Expenses (Tables)	3 Months Ended
	Mar. 31, 2018
Underwriting, Acquisition and Insurance Expenses [Abstract]
Underwriting, acquisition and insurance expenses	Underwriting, acquisition and insurance expenses for the three months ended March 31, 2018 and 2017 consist of the following: Three Months Ended March 31, 2018 2017 (in thousands) Underwriting, acquisition and insurance expenses incurred: Direct commissions $ 8,379 $ 7,149 Ceding commissions (2,444 ) (2,346 ) Other operating expenses 6,463 6,491 Total $ 12,398 $ 11,294

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2018
Earnings Per Share [Abstract]
Earnings Per Share	The following represents a reconciliation of the numerator and denominator of the basic and diluted earnings per share computations contained in the consolidated financial statements: Three Months Ended March 31, 2018 2017 (in thousands, except per share data) Net income $ 7,287 $ 6,281 Weighted average common shares outstanding - basic 21,045 20,969 Effect of potential dilutive securities: Conversion of stock options 581 420 Conversion of restricted stock 2 — Weighted average common shares outstanding - diluted 21,628 21,389 Earnings per common share: Basic $ 0.35 $ 0.30 Diluted $ 0.34 $ 0.29

Reserves for Unpaid Losses an24

Reserves for Unpaid Losses and Loss Adjustment Expenses (Tables)	3 Months Ended
	Mar. 31, 2018
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]
Schedule of Unpaid Losses and Loss Adjustment Expenses	The following table presents a reconciliation of consolidated beginning and ending reserves for unpaid losses and loss adjustment expenses: March 31, 2018 2017 (in thousands) Net reserves for unpaid losses and loss adjustment expenses, beginning of year $ 267,493 $ 194,602 Commutation of MLQS — 27,929 Adjusted net reserves for losses and loss adjustment expenses, beginning of year 267,493 222,531 Incurred losses and loss adjustment expenses: Current year 30,183 27,211 Prior years (1,284 ) (5,104 ) Total net losses and loss adjustment expenses incurred 28,899 22,107 Payments: Current year 340 333 Prior years 17,516 11,566 Total payments 17,856 11,899 Net reserves for unpaid losses and loss adjustment expenses, end of period 278,536 232,739 Reinsurance recoverable on unpaid losses 49,673 40,262 Gross reserves for unpaid losses and loss adjustment expenses, end of period $ 328,209 $ 273,001

Reinsurance (Tables)

Reinsurance (Tables)	3 Months Ended
	Mar. 31, 2018
Reinsurance Disclosures [Abstract]
Effects of Reinsurance	The following table summarizes the effect of reinsurance on premiums written and earned for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Written: Direct $ 63,847 $ 52,862 Assumed — — Ceded (8,756 ) (8,700 ) Net written $ 55,091 $ 44,162 Earned: Direct $ 56,593 $ 48,462 Assumed — — Ceded (8,532 ) (8,029 ) Net earned $ 48,061 $ 40,433

Other Comprehensive Income (Tab

Other Comprehensive Income (Tables)	3 Months Ended
	Mar. 31, 2018
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Comprehensive Income (Loss)	The following table summarizes the components of other comprehensive (loss) income for the three months ended March 31, 2018 and 2017 : Three Months Ended March 31, 2018 2017 (in thousands) Unrealized (losses) gains arising during the period, before income taxes: Fixed-maturity securities $ (6,092 ) $ 697 Equity securities (1) — 921 Total unrealized (losses) gains arising during the period, before income taxes (6,092 ) 1,618 Income taxes 1,279 (566 ) Unrealized (losses) gains arising during the period, net of income taxes (4,813 ) 1,052 Less reclassification adjustment: Net realized gains (losses) on fixed-maturity securities, before income taxes 55 (32 ) Income taxes (12 ) 11 Reclassification adjustment included in net income 43 (21 ) Other comprehensive (loss) income $ (4,856 ) $ 1,073

Summary of Significant Accoun27

Summary of Significant Accounting Policies (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment - net unrealized gains on equity securities	$ 0
Reclassification of tax effects resulting from the TCJA	0
Accounting Standards Update 2016-01 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment - net unrealized gains on equity securities	6,500
Accounting Standards Update 2018-02 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects resulting from the TCJA	$ 1,300

Investments Investments (Availa

Investments Investments (Available for Sale) (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 465,744	$ 468,171
Gross Unrealized Holding Gains	2,912	13,627
Gross Unrealized Holding Losses	(6,122)	(2,475)
Estimated Fair Value	462,534	479,323
Total fixed maturities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		422,255
Gross Unrealized Holding Gains		5,180
Gross Unrealized Holding Losses		(2,244)
Estimated Fair Value		425,191
U.S. Treasury securities and obligations of U.S. government agencies
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	608	9,108
Gross Unrealized Holding Gains	2	4
Gross Unrealized Holding Losses	(4)	(14)
Estimated Fair Value	606	9,098
Obligations of states, municipalities and political subdivisions
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	158,889	161,012
Gross Unrealized Holding Gains	1,858	3,726
Gross Unrealized Holding Losses	(2,032)	(412)
Estimated Fair Value	158,715	164,326
Corporate and other securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	93,807	71,224
Gross Unrealized Holding Gains	435	579
Gross Unrealized Holding Losses	(578)	(172)
Estimated Fair Value	93,664	71,631
Asset-backed securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	123,397	95,223
Gross Unrealized Holding Gains	221	405
Gross Unrealized Holding Losses	(681)	(268)
Estimated Fair Value	122,937	95,360
Residential mortgage-backed securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	89,043	85,688
Gross Unrealized Holding Gains	396	466
Gross Unrealized Holding Losses	(2,827)	(1,378)
Estimated Fair Value	$ 86,612	84,776
Total equity securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		45,916
Gross Unrealized Holding Gains		8,447
Gross Unrealized Holding Losses		(231)
Estimated Fair Value		54,132
Exchange traded funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		26,041
Gross Unrealized Holding Gains		8,339
Gross Unrealized Holding Losses		0
Estimated Fair Value		34,380
Nonredeemable preferred stock [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		19,875
Gross Unrealized Holding Gains		108
Gross Unrealized Holding Losses		(231)
Estimated Fair Value		$ 19,752

Investments Available-for-Sale

Investments Available-for-Sale Securities in a Loss Position (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	$ 169,349	$ 89,168
Gross unrealized holding losses, less than 12 months	(2,033)	(558)
12 Months or Longer, Estimated Fair Value	112,482	125,043
12 Months or Longer, Gross Unrealized Holding Losses	(4,089)	(1,917)
Total Estimated Fair Value	281,831	214,211
Total Gross Unrealized Holding Losses	(6,122)	(2,475)
Total fixed maturities
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value		78,389
Gross unrealized holding losses, less than 12 months		(327)
12 Months or Longer, Estimated Fair Value		125,043
12 Months or Longer, Gross Unrealized Holding Losses		(1,917)
Total Estimated Fair Value	281,800	203,432
Total Gross Unrealized Holding Losses	(6,100)	(2,244)
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	0	3,497
Gross unrealized holding losses, less than 12 months	0	(2)
12 Months or Longer, Estimated Fair Value	494	5,488
12 Months or Longer, Gross Unrealized Holding Losses	(4)	(12)
Total Estimated Fair Value	494	8,985
Total Gross Unrealized Holding Losses	(4)	(14)
Obligations of states, municipalities and political subdivisions [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	56,436	7,258
Gross unrealized holding losses, less than 12 months	(849)	(36)
12 Months or Longer, Estimated Fair Value	37,173	38,143
12 Months or Longer, Gross Unrealized Holding Losses	(1,183)	(376)
Total Estimated Fair Value	93,609	45,401
Total Gross Unrealized Holding Losses	(2,032)	(412)
Corporate and other securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	50,879	30,944
Gross unrealized holding losses, less than 12 months	(461)	(98)
12 Months or Longer, Estimated Fair Value	10,643	13,444
12 Months or Longer, Gross Unrealized Holding Losses	(117)	(74)
Total Estimated Fair Value	61,522	44,388
Total Gross Unrealized Holding Losses	(578)	(172)
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	41,534	27,609
Gross unrealized holding losses, less than 12 months	(419)	(108)
12 Months or Longer, Estimated Fair Value	10,006	10,706
12 Months or Longer, Gross Unrealized Holding Losses	(262)	(160)
Total Estimated Fair Value	51,540	38,315
Total Gross Unrealized Holding Losses	(681)	(268)
Residential mortgage-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	20,500	9,081
Gross unrealized holding losses, less than 12 months	(304)	(83)
12 Months or Longer, Estimated Fair Value	54,166	57,262
12 Months or Longer, Gross Unrealized Holding Losses	(2,523)	(1,295)
Total Estimated Fair Value	74,666	66,343
Total Gross Unrealized Holding Losses	$ (2,827)	(1,378)
Total equity securities
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value		10,779
Gross unrealized holding losses, less than 12 months		(231)
12 Months or Longer, Estimated Fair Value		0
12 Months or Longer, Gross Unrealized Holding Losses		0
Total Estimated Fair Value		10,779
Total Gross Unrealized Holding Losses		(231)
Exchange traded funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value		130
Gross unrealized holding losses, less than 12 months		0
12 Months or Longer, Estimated Fair Value		0
12 Months or Longer, Gross Unrealized Holding Losses		0
Total Estimated Fair Value		130
Total Gross Unrealized Holding Losses		0
Nonredeemable preferred stock [Member]
Schedule of Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value		10,649
Gross unrealized holding losses, less than 12 months		(231)
12 Months or Longer, Estimated Fair Value		0
12 Months or Longer, Gross Unrealized Holding Losses		0
Total Estimated Fair Value		10,649
Total Gross Unrealized Holding Losses		$ (231)

Investments Available-for-Sal30

Investments Available-for-Sale Securities in a Loss Position Narrative (Details) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2018USD ($)Rate	Dec. 31, 2017USD ($)Rate
Schedule of Available-for-sale Securities [Line Items]
Total estimated fair value	$ 281,831	$ 214,211
Total gross unrealized holding losses	6,122	2,475
Gross unrealized holding losses, less than 12 months	(2,033)	(558)
Other-than- temporary impairment losses	$ 0	$ 0
Fixed maturities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of available-for-sale securities in unrealized loss positions	306	195
Total estimated fair value	$ 281,800	$ 203,432
Total gross unrealized holding losses	$ 6,100	$ 2,244
Number of available-for-sale securities in unrealized loss positions, greater than one year	124	126
Available-for-sale securities, percentage of securities with ratings of A minus or better | Rate	89.50%	91.10%
Gross unrealized holding losses, less than 12 months		$ (327)
Equity securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of available-for-sale securities in unrealized loss positions		13
Total estimated fair value		$ 10,779
Total gross unrealized holding losses		$ 231
Number of available-for-sale securities in unrealized loss positions, greater than one year		0
Gross unrealized holding losses, less than 12 months		$ (231)

Investments Contractual Maturit

Investments Contractual Maturities of Available-for-Sale Fixed Maturity Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Amortized Cost
Due in one year or less, Amortized Cost	$ 33,012
Due after one year through five years, Amortized Cost	47,430
Due after five years through ten years, Amortized Cost	38,633
Due after ten years, Amortized Cost	134,229
Total fixed maturities, Amortized Cost	465,744	$ 422,255
Estimated Fair Value
Due in one year or less, Estimated Fair Value	32,899
Due after one year through five years, Estimated Fair Value	47,494
Due after five years through ten years, Estimated Fair Value	39,111
Due after ten years, Estimated Fair Value	133,481
Total fixed maturities, Estimated Fair Value	462,534	$ 425,191
Asset-backed securities [Member]
Amortized Cost
Without single maturity date, Amortized Cost	123,397
Estimated Fair Value
Without single maturity date, Estimated Fair Value	122,937
Residential mortgage-backed securities [Member]
Amortized Cost
Without single maturity date, Amortized Cost	89,043
Estimated Fair Value
Without single maturity date, Estimated Fair Value	$ 86,612

Investments Net Investment Inco

Investments Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Components of Net Investment Income [Abstract]
Taxable bonds	$ 1,761	$ 1,537
Tax exempt municipal bonds	1,085	794
Cash equivalents and short-term investments	260	87
Dividends on equity securities	412	110
Gross investment income	3,518	2,528
Investment expenses	(289)	(242)
Net investment income	$ 3,229	$ 2,286

Investments Realized Gains (Los

Investments Realized Gains (Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Gain (Loss) on Investments [Line Items]
Realized gains	$ 112	$ 0
Realized losses	0	(32)
Net realized investment gains	112	(32)
Fixed maturities [Member]
Gain (Loss) on Investments [Line Items]
Realized gains	55	0
Realized losses	0	(32)
Equity securities [Member]
Gain (Loss) on Investments [Line Items]
Realized gains	$ 57	$ 0

Investments Unrealized Gains (L

Investments Unrealized Gains (Losses) on Investments (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Fixed maturities [Member]
Schedule of Available-for-sale Securities [Line Items]
Change in net unrealized gains (losses)	$ (6.1)	$ 0.7
Equity securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Change in net unrealized gains (losses)		$ 0.9

Investments Investment Narrativ

Investments Investment Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]
Bonds on deposits with state regulatory authorities	$ 6.9	$ 7.1
Payable for investments purchased	$ 1.8	$ 1

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	$ 462,534	$ 479,323
Fixed maturities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale		425,191
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	606	9,098
Obligations of states, municipalities and political subdivisions [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	158,715	164,326
Corporate and other securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	93,664	71,631
Asset-backed securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	122,937	95,360
Residential mortgage-backed securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	86,612	84,776
Equity securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale		54,132
Exchange traded funds [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale		34,380
Nonredeemable preferred stock [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale		19,752
Recurring
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	517,599
Fair value - available for sale		479,323
Recurring | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	36,545
Fair value - available for sale		43,478
Recurring | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	481,054
Fair value - available for sale		435,845
Recurring | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	0
Fair value - available for sale		0
Recurring | Fixed maturities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	462,534	425,191
Recurring | Fixed maturities [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	606	9,098
Recurring | Fixed maturities [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	461,928	416,093
Recurring | Fixed maturities [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | U.S. Treasury securities and obligations of U.S. government agencies [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	606	9,098
Recurring | U.S. Treasury securities and obligations of U.S. government agencies [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	606	9,098
Recurring | U.S. Treasury securities and obligations of U.S. government agencies [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | U.S. Treasury securities and obligations of U.S. government agencies [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Obligations of states, municipalities and political subdivisions [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	158,715	164,326
Recurring | Obligations of states, municipalities and political subdivisions [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Obligations of states, municipalities and political subdivisions [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	158,715	164,326
Recurring | Obligations of states, municipalities and political subdivisions [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Corporate and other securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	93,664	71,631
Recurring | Corporate and other securities [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Corporate and other securities [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	93,664	71,631
Recurring | Corporate and other securities [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Asset-backed securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	122,937	95,360
Recurring | Asset-backed securities [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Asset-backed securities [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	122,937	95,360
Recurring | Asset-backed securities [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Residential mortgage-backed securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	86,612	84,776
Recurring | Residential mortgage-backed securities [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Residential mortgage-backed securities [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	86,612	84,776
Recurring | Residential mortgage-backed securities [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value - available for sale	0	0
Recurring | Equity securities [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	55,065
Fair value - available for sale		54,132
Recurring | Equity securities [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	35,939
Fair value - available for sale		34,380
Recurring | Equity securities [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	19,126
Fair value - available for sale		19,752
Recurring | Equity securities [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	0
Fair value - available for sale		0
Recurring | Exchange traded funds [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	35,939
Fair value - available for sale		34,380
Recurring | Exchange traded funds [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	35,939
Fair value - available for sale		34,380
Recurring | Exchange traded funds [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	0
Fair value - available for sale		0
Recurring | Exchange traded funds [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	0
Fair value - available for sale		0
Recurring | Nonredeemable preferred stock [Member]
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	19,126
Fair value - available for sale		19,752
Recurring | Nonredeemable preferred stock [Member] | Level 1
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	0
Fair value - available for sale		0
Recurring | Nonredeemable preferred stock [Member] | Level 2
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	19,126
Fair value - available for sale		19,752
Recurring | Nonredeemable preferred stock [Member] | Level 3
Fair Value of Investments Measured on Recurring Basis [Line Items]
Fair value	$ 0
Fair value - available for sale		$ 0

Fair Value Measurements Narrati

Fair Value Measurements Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Fair Value Disclosures [Abstract]
Transfers from Level 1 to Level 2	$ 0
Transfers from Level 2 to Level 1	0
Assets measured at fair value on a nonrecurring basis	0	$ 0
Liabilities measured at fair value on a nonrecurring basis	$ 0	$ 0

Deferred Policy Acquisition C38

Deferred Policy Acquisition Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward]
Balance, beginning of period	$ 11,775	$ 10,150
Policy acquisition costs deferred:
Direct commissions deferred	9,377	7,880
Ceding commissions deferred	(2,541)	(2,591)
Other underwriting and policy acquisition costs	809	761
Policy acquisition costs deferred	7,645	6,050
Amortization of net policy acquisition costs	(6,652)	(5,699)
Balance, end of period	$ 12,768	$ 10,501

Underwriting, Acquisition and39

Underwriting, Acquisition and Insurance Expenses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Underwriting, Acquisition and Insurance Expenses [Abstract]
Gross commissions	$ 8,379	$ 7,149
Ceding commissions	(2,444)	(2,346)
Other operating expenses	6,463	6,491
Underwriting, acquisition, and insurance expenses	12,398	11,294
Salaries, bonuses and employee benefits	$ 5,000	$ 5,000

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Earnings Per Share [Line Items]
Net income	$ 7,287	$ 6,281
Weighted Average Number of Shares Outstanding, Basic [Abstract]
Weighted average shares outstanding - basic	21,045	20,969
Weighted Average Number of Shares Outstanding, Diluted [Abstract]
Weighted average shares outstanding - diluted	21,628	21,389
Earnings Per Share, Basic [Abstract]
Earnings per share - basic	$ 0.35	$ 0.30
Earnings Per Share, Diluted [Abstract]
Earnings per share - diluted	$ 0.34	$ 0.29
Stock option [Member]
Incremental Weighted Average Shares Attributable to Dilutive Effect [Abstract]
Dilutive effect of shares issued under stock compensation arrangements	581	420
Restricted stock [Member]
Incremental Weighted Average Shares Attributable to Dilutive Effect [Abstract]
Dilutive effect of shares issued under stock compensation arrangements	2	0

Earnings Per Share Narrative (D

Earnings Per Share Narrative (Details) - shares	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Earnings Per Share [Abstract]
Antidilutive securities	0	0

Income taxes (Details)

Income taxes (Details) - USD ($) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Federal statutory income tax rate	21.00%		35.00%
Transition adjustment for loss discounting	$ 3.5
Effective tax rate	17.30%	32.40%

Reserves for Unpaid Losses an43

Reserves for Unpaid Losses and Loss Adjustment Expenses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Net reserves for unpaid losses and loss adjustment expenses, beginning of year	$ 267,493	$ 194,602
Commutations of MLQS	0	27,929
Adjusted net reserves for losses and loss adjustment expenses, beginning of year	267,493	222,531
Incurred losses and loss adjustment expenses:
Current year	30,183	27,211
Prior years	(1,284)	(5,104)
Total net losses and loss adjustment expenses incurred	28,899	22,107
Payments:
Current year	340	333
Prior years	17,516	11,566
Total payments	17,856	11,899
Net reserves for unpaid losses and loss adjustment expenses, end of period	278,536	232,739
Reinsurance recoverable on unpaid losses	49,673	40,262
Gross reserves for unpaid losses and loss adjustment expenses, end of period	$ 328,209	$ 273,001

Reserves for Unpaid Losses an44

Reserves for Unpaid Losses and Loss Adjustment Expenses Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves	$ (1,284)	$ (5,104)
Accident Year 2017 [Member]
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves	(2,500)
Accident Year 2016 [Member]
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves	(1,200)	(3,300)
Accident Year 2015 [Member]
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves		(2,500)
Accident Year 2013 [Member]
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves		$ 900
Accident Years 2011 to 2015 [Member]
Claims Development [Line Items]
Adverse (favorable) development on prior year loss reserves	$ 2,400

Reserves for Unpaid Losses an45

Reserves for Unpaid Losses and Loss Adjustment Expenses Multi-line Quota Share Reinsurance (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Jan. 01, 2017	Dec. 31, 2016
Reinsurance Retention Policy [Line Items]
Commutations of MLQS	$ 0		$ 27,929
Multi Line Quota Share Treaty - 2015 [Member]
Reinsurance Retention Policy [Line Items]
Commutations of MLQS		$ 27,900

Reinsurance (Details)

Reinsurance (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Premiums Written, Net [Abstract]
Direct written premiums	$ 63,847	$ 52,862
Assumed written premiums	0	0
Ceded written premiums	(8,756)	(8,700)
Net written premiums	55,091	44,162
Premiums Earned, Net [Abstract]
Direct earned premiums	56,593	48,462
Assumed earned premiums	0	0
Ceded earned premiums	(8,532)	(8,029)
Net earned premiums	48,061	40,433
Ceded incurred losses and loss adjustment expenses	2,900	$ 2,400
Reinsurance recoverables on paid losses	1,000		$ 1,400
Reinsurance recoverables on unpaid losses	$ 49,700		$ 48,200

Other Comprehensive Income (Det

Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses) arising during the period, before income taxes	$ (6,092)	$ 1,618
Income taxes	1,279	(566)
Unrealized gains (losses) arising during the period, net of income tax	(4,813)	1,052
Less reclassification adjustment [Abstract]
Net realized investment gains (losses)	55	(32)
Income taxes	(12)	11
Reclassification adjustment included in net income	43	(21)
Other comprehensive income (loss)	(4,856)	1,073
Fixed maturities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses) arising during the period, before income taxes	(6,092)	697
Equity securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Unrealized gains (losses) arising during the period, before income taxes	$ 0	$ 921