NI (NODK) 10-Q 5 May 21 2021 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2021	Apr. 30, 2021
Document and Entity Information [Abstract]
Entity Central Index Key	0001681206
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Entity Ex Transition Period	false
Document Period End Date	Mar. 31, 2021
Entity File Number	001-37973
Entity Registrant Name	NI HOLDINGS, INC.
Entity Incorporation, State or Country Code	ND
Entity Tax Identification Number	81-2683619
Entity Address, Address Line One	1101 First Avenue North
Entity Address, City or Town	Fargo
Entity Address, State or Province	ND
Entity Address, Postal Zip Code	58102
City Area Code	701
Local Phone Number	298-4200
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	NODK
Name of Exchange on which Security is Registered	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		21,337,959

Unaudited Consolidated Balance

Unaudited Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Assets:
Cash and cash equivalents	$ 52,683	$ 101,077
Fixed income securities, at fair value	361,330	320,410
Equity securities, at fair value	79,363	69,952
Other investments	2,089	2,924
Total cash and investments	495,465	494,363
Premiums and agents' balances receivable	49,325	48,523
Deferred policy acquisition costs	26,575	23,968
Reinsurance premiums receivable		93
Reinsurance recoverables on losses	9,270	8,710
Accrued investment income	2,281	2,141
Property and equipment	9,843	9,899
Receivable from Federal Crop Insurance Corporation	5,182	6,646
Goodwill and other intangibles	18,076	18,194
Other assets	5,368	5,066
Total assets	621,385	617,603
Liabilities:
Unpaid losses and loss adjustment expenses	111,522	105,750
Unearned premiums	123,458	119,363
Reinsurance premiums payable	700
Income tax payable	1,917	754
Deferred income taxes	7,851	8,757
Westminster consideration payable	12,720	19,287
Accrued expenses and other liabilities	10,627	14,820
Total liabilities	268,795	268,731
Commitments and Contingencies
Shareholders' equity:
Common stock, $0.01 par value, authorized: 25,000,000 shares; issued: 23,000,000 shares; and outstanding: 2021 - 21,372,772 shares, 2020 - 21,318,638 shares	230	230
Preferred stock, without par value, authorized 5,000,000 shares, no shares issued or outstanding
Additional paid-in capital	96,511	97,911
Unearned employee stock ownership plan shares	(1,427)	(1,427)
Retained earnings	268,444	258,741
Accumulated other comprehensive income, net of income taxes	7,417	12,840
Treasury stock, at cost, 2021 - 1,484,488 shares, 2020 - 1,538,622 shares	(23,012)	(23,968)
Non-controlling interest	4,427	4,545
Total shareholders' equity	352,590	348,872
Total liabilities and shareholders' equity	$ 621,385	$ 617,603

Unaudited Consolidated Balanc_2

Unaudited Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	23,000,000	23,000,000
Common stock, shares outstanding	21,372,772	21,318,638
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Treasury stock, shares	1,484,488	1,538,622

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Revenues:
Net premiums earned	$ 63,135	$ 58,772
Fee and other income	317	362
Net investment income	1,536	1,971
Net capital gain (loss) on investments	5,811	(14,919)
Total revenues	70,799	46,186
Expenses:
Losses and loss adjustment expenses	36,889	30,422
Amortization of deferred policy acquisition costs	13,587	9,387
Other underwriting and general expenses	7,651	10,772
Total expenses	58,127	50,581
Income (loss) before income taxes	12,672	(4,395)
Income tax expense (benefit)	2,890	(840)
Net income (loss)	9,782	(3,555)
Net income attributable to non-controlling interest	113	32
Net income (loss) attributable to NI Holdings, Inc.	$ 9,669	$ (3,587)
Earnings (loss) per common share:
Basic	$ 0.45	$ (0.16)
Diluted	$ 0.45	$ (0.16)
Share data:
Weighted average common shares outstanding used in basic per common share calculations	21,462,641	22,218,073
Plus: Dilutive securities	236,358
Weighted average common shares used in diluted per common share calculations	21,698,999	22,218,073

Unaudited Consolidated Statem_2

Unaudited Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Net income (loss)	$ 9,782	$ (3,555)
Other comprehensive loss, before income taxes:
Holding losses on investments	(7,056)	(4,542)
Reclassification adjustment for net realized capital gain included in net income (loss)	(101)	(62)
Other comprehensive loss, before income taxes	(7,157)	(4,604)
Income tax benefit related to items of other comprehensive loss	1,503	967
Other comprehensive loss, net of income taxes	(5,654)	(3,637)
Comprehensive income (loss)	4,128	(7,192)
Attributable to NI Holdings, Inc. [Member]
Net income (loss)	9,669	(3,587)
Other comprehensive loss, before income taxes:
Holding losses on investments	(6,763)	(4,456)
Reclassification adjustment for net realized capital gain included in net income (loss)	(101)	(57)
Other comprehensive loss, before income taxes	(6,864)	(4,513)
Income tax benefit related to items of other comprehensive loss	1,441	948
Other comprehensive loss, net of income taxes	(5,423)	(3,565)
Comprehensive income (loss)	4,246	(7,152)
Attributable to Non-Controlling Interest [Member]
Net income (loss)	113	32
Other comprehensive loss, before income taxes:
Holding losses on investments	(293)	(86)
Reclassification adjustment for net realized capital gain included in net income (loss)		(5)
Other comprehensive loss, before income taxes	(293)	(91)
Income tax benefit related to items of other comprehensive loss	62	19
Other comprehensive loss, net of income taxes	(231)	(72)
Comprehensive income (loss)	$ (118)	$ (40)

Unaudited Consolidated Statem_3

Unaudited Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Unearned Employee Stock Ownership Plan Shares [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income, Net of Income Taxes [Member]	Treasury Stock	Non-Controlling Interest [Member]	Total
Balance at Dec. 31, 2019	$ 230	$ 95,961	$ (1,671)	$ 218,480	$ 5,612	$ (12,308)	$ 3,499	$ 309,803
Net income (loss)				(3,587)			32	(3,555)
Other comprehensive loss, net of income taxes					(3,565)		(72)	(3,637)
Purchase of treasury stock						(1,502)		(1,502)
Share-based compensation		713						713
Issuance of vested award shares		(300)		(82)		351		(31)
Balance at Mar. 31, 2020	230	96,374	(1,671)	214,811	2,047	(13,459)	3,459	301,791
Balance at Dec. 31, 2019	230	95,961	(1,671)	218,480	5,612	(12,308)	3,499	309,803
Balance at Dec. 31, 2020	230	97,911	(1,427)	258,741	12,840	(23,968)	4,545	348,872
Net income (loss)				9,669			113	9,782
Other comprehensive loss, net of income taxes					(5,423)		(231)	(5,654)
Purchase of treasury stock						(596)		(596)
Share-based compensation		672						672
Issuance of vested award shares		(2,072)		34		1,552		(486)
Balance at Mar. 31, 2021	$ 230	$ 96,511	$ (1,427)	$ 268,444	$ 7,417	$ (23,012)	$ 4,427	$ 352,590

Unaudited Consolidated Statem_4

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Cash flows from operating activities:
Net income (loss)	$ 9,782	$ (3,555)
Adjustments to reconcile net income (loss) to net cash flows from operating activities:
Net capital (gain) loss on investments	(5,811)	14,919
Deferred income tax expense (benefit)	597	(2,708)
Depreciation of property and equipment	170	187
Amortization of intangibles	118	1,882
Share-based compensation	672	713
Amortization of deferred policy acquisition costs	13,587	9,387
Deferral of policy acquisition costs	(16,194)	(13,152)
Net amortization of premiums and discounts on investments	482	282
Loss on sale of property and equipment	4
Changes in operating assets and liabilities:
Premiums and agents' balances receivable	(802)	(3,085)
Reinsurance premiums receivable / payable	793	181
Reinsurance recoverables on losses	(560)	(3,259)
Accrued investment income	(140)	60
Receivable from Federal Crop Insurance Corporation	1,464	8,990
Income tax recoverable / payable	1,163	(1,034)
Other assets	(302)	72
Unpaid losses and loss adjustment expenses	5,772	(4,418)
Unearned premiums	4,095	523
Accrued expenses and other liabilities	(4,096)	(2,369)
Net cash flows from operating activities	10,794	3,616
Cash flows from investing activities:
Proceeds from maturities and sales of fixed income securities	13,079	19,872
Proceeds from sales of equity securities	8,246	6,016
Purchases of fixed income securities	(61,536)	(27,016)
Purchases of equity securities	(11,946)	(5,503)
Purchases of property and equipment	(117)	(310)
Acquisition of Westminster American Insurance Company (cash consideration paid net of cash and cash equivalents acquired)		(703)
Proceeds from sale of other investments and other	835	66
Net cash flows from investing activities	(51,439)	(7,578)
Cash flows from financing activities:
Purchases of treasury stock	(596)	(1,502)
Installment payment on Westminster consideration payable	(6,667)
Issuance of restricted stock awards	(486)	(31)
Net cash flows from financing activities	(7,749)	(1,533)
Net decrease in cash and cash equivalents	(48,394)	(5,495)
Cash and cash equivalents at beginning of period	101,077	62,132
Cash and cash equivalents at end of period	52,683	56,637
Non-cash item: Present value of installment payable issued in connection with acquisition of Westminster American Insurance Company		18,787
Federal and state income taxes paid	$ 1,130	$ 2,900

Organization

Organization	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	1. Organization NI Holdings, Inc. (“NI Holdings”) is a North Dakota business corporation that is the stock holding company of Nodak Insurance Company and became such in connection with the conversion of Nodak Mutual Insurance Company from a mutual to stock form of organization and the creation of a mutual holding company. The conversion was consummated on March 13, 2017. Immediately following the conversion, all of the outstanding shares of common stock of Nodak Insurance Company (the successor to Nodak Mutual Insurance Company) were issued to Nodak Mutual Group, Inc., which then contributed the shares to NI Holdings in exchange for 55% of the outstanding shares of common stock of NI Holdings. Nodak Insurance Company then became a wholly-owned stock subsidiary of NI Holdings. Prior to completion of the conversion, NI Holdings conducted no business and had no assets or liabilities. As a result of the conversion, NI Holdings became the holding company for Nodak Insurance Company and its existing subsidiaries. The newly issued shares of NI Holdings were available for public trading on March 16, 2017. These Consolidated Financial Statements of NI Holdings include the financial position and results of NI Holdings and seven other entities: • Nodak Insurance Company (“Nodak Insurance”, formerly Nodak Mutual Insurance Company prior to the conversion);   • Nodak Agency, Inc. (“Nodak Agency”);   • American West Insurance Company (“American West”);   • Primero Insurance Company (“Primero”);   • Battle Creek Mutual Insurance Company (“Battle Creek”, an affiliated company with Nodak Insurance);   • Direct Auto Insurance Company (“Direct Auto”); and   • Westminster American Insurance Company (“Westminster”).   Nodak Insurance is the largest domestic property and casualty insurance company in North Dakota. Nodak Insurance was incorporated on April 15, 1946 under the laws of North Dakota, and benefits from a strong marketing affiliation with the North Dakota Farm Bureau (“NDFB”). Nodak Insurance specializes in providing private passenger auto, homeowners, farmowners, commercial, crop hail, and Federal multi-peril crop insurance coverages. Nodak Agency, a wholly-owned subsidiary of Nodak Insurance, is an inactive shell corporation. American West, a wholly-owned subsidiary of Nodak Insurance, is a property and casualty insurance company licensed in eight states in the Midwest and Western regions of the United States. American West began writing policies in 2002 and primarily writes personal auto, homeowners, and farm coverages in South Dakota. American West also writes personal auto coverage in North Dakota, as well as crop hail and Federal multi-peril crop insurance coverages in Minnesota and South Dakota. Primero is a wholly-owned subsidiary of Tri-State, Ltd. Tri-State, Ltd. is an inactive shell corporation 100% owned by Nodak Insurance. Primero is a property and casualty insurance company writing non-standard automobile coverage in the states of Nevada, Arizona, North Dakota and South Dakota. Battle Creek became affiliated with Nodak Insurance in 2011, and Nodak Insurance provides underwriting, claims management, policy administration, and other administrative services to Battle Creek. Battle Creek is controlled by Nodak Insurance via a surplus note. The terms of the surplus note allow Nodak Insurance to appoint two-thirds of the Battle Creek Board of Directors. Battle Creek is a property and casualty insurance company writing personal auto, homeowners, and farm coverages solely in the state of Nebraska. Direct Auto, a wholly-owned subsidiary of NI Holdings, is a property and casualty company licensed in Illinois. Direct Auto began writing non-standard automobile coverage in 2007, and was acquired by NI Holdings on August 31, 2018 via a stock purchase agreement. Westminster, a wholly-owned subsidiary of NI Holdings, is a property and casualty insurance company licensed in seventeen states and the District of Columbia. Westminster is headquartered in Owings Mills, Maryland and underwrites multi-peril commercial insurance in the states of Delaware, Georgia, Maryland, New Jersey, North Carolina, Pennsylvania, South Carolina, Virginia, West Virginia, and the District of Columbia. Westminster was acquired by NI Holdings on January 1, 2020 via a stock purchase agreement. The financial results of Westminster have been included in the Consolidated Financial Statements herein since January 1, 2020. See Note 4. 8 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The same executive management team provides oversight and strategic direction for the entire organization. Nodak Insurance provides common product oversight, pricing practices, and underwriting standards, as well as underwriting and claims administration, to itself, American West, and Battle Creek. Primero, Direct Auto, and Westminster personnel manage the day-to-day operations of their respective companies. The insurance companies share a combined business plan to achieve market penetration and underwriting profitability objectives. Distinctions within the products of the insurance companies generally relate to the states in which the risk is located and specific risk profiles targeted within similar classes of business.

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	2. Basis of Presentation The accompanying Unaudited Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the interim period ended March 31, 2021 are not necessarily indicative of the results that may be expected for the year ended December 31, 2021. These financial statements should be read in conjunction with the financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2020. Our Consolidated Financial Statements include our accounts and those of our wholly-owned subsidiaries, as well as Battle Creek, an entity we control via contract. We have eliminated all significant inter-company accounts and transactions in consolidation. The terms “we”, “us”, “our”, or “the Company” as used herein refer to the consolidated entity.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	3. Summary of Significant Accounting Policies Use of Estimates: In preparing our Consolidated Financial Statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the balance sheet and revenues and expenses for the periods then ended. Actual results could differ significantly from those estimates. We make estimates and assumptions that can have a significant effect on amounts and disclosures we report in our Consolidated Financial Statements. The most significant estimates relate to our reserves for unpaid losses and loss adjustment expenses, earned premiums for crop insurance, valuation of investments, determination of other-than-temporary impairments, valuation allowances for deferred income tax assets, deferred policy acquisition costs, and the valuations used to establish intangible assets acquired related to business combinations. While we believe our estimates are appropriate, the ultimate amounts may differ from the estimates provided. We regularly review our methods for making these estimates as well as the continuing appropriateness of the estimated amounts, and we reflect any adjustment we consider necessary in our current results of operations. Variable-Interest Entities: Any company deemed to be a variable interest entity (“VIE”) is required to be consolidated by the primary beneficiary of the VIE. We assess our investments in other entities at inception to determine if any meet the qualifications of a VIE. We consider an investment in another company to be a VIE if (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) the characteristics of a controlling financial interest are missing (either the ability to make decisions through voting or other rights, the obligation to absorb expected losses of the entity or the right to receive the expected residual returns of the entity), or (c) the voting rights of the equity holders are not proportional to their obligations to absorb the expected losses of the entity and/or the rights to receive the expected residual returns of the entity, and substantially all of the entity’s activities either involve or are conducted on behalf of an investor that has disproportionately few voting rights. Upon the occurrence of certain events, we would reassess our initial determination of whether the investment is a VIE. We evaluate whether we are the primary beneficiary of each VIE and we consolidate the VIE if we have both (1) the power to direct the economically significant activities of the entity and (2) the obligation to absorb losses of, or the right to receive benefits from, the entity. We consider the contractual agreements that define the ownership structure, distribution of profits and losses, risks, responsibilities, indebtedness, voting rights, and board representation of the respective parties in determining whether we qualify as the primary beneficiary. Our assessment of whether we are the primary beneficiary of a VIE is performed at least annually. We control Battle Creek via a surplus note which provides us with the ability to appoint two-thirds of the Board of Directors of Battle Creek. Under the quota share reinsurance agreement that existed through December 31, 2019, Battle Creek’s operating results included only net investment income, bad debt expense, and income taxes. Effective January 1, 2020, the Company implemented an intercompany pooling reinsurance agreement, and Battle Creek’s operating results now include their participation in the underwriting results of the pool (2% during 2020 and 2021). See Note 13. Because we have concluded that we control Battle Creek, we consolidate the financial statements of Battle Creek, and Battle Creek’s policyholders’ interest in Battle Creek is reflected as a non-controlling interest in shareholders’ equity in our Consolidated Balance Sheet. Cash and Cash Equivalents: Cash and cash equivalents include certain investments in highly liquid debt instruments with original maturities of three months or less. Cost approximates fair value for these short-term investments. Investments: We have categorized our investment portfolio as “available-for-sale” and have reported the portfolio at fair value. Unrealized gains and losses on fixed income securities, net of income taxes, are reported in accumulated other comprehensive income. Changes in unrealized gains and losses on equity securities are reported as a component of net capital gain on investments in our operating results. Fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair 10 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) value is estimated using quoted market prices for similar securities. Amortization of premium and accretion of discount are computed using an effective interest method. Net investment income includes interest and dividend income together with amortization of purchase premiums and discounts, and is net of investment management and custody fees. Realized gains and losses on investments are determined using the specific identification method and are included in net capital gain (loss) on investments, along with the change in unrealized gains and losses on equity securities. We review our investments each quarter to determine whether a decline in fair value below the amortized cost basis is other than temporary. Accordingly, we assess whether we intend to sell or it is more likely than not that we will be required to sell a security before recovery of its amortized cost basis. For fixed income securities that are considered other-than-temporarily impaired and that we do not intend to sell and will not be required to sell prior to recovery of the amortized cost basis, we separate the amount of the impairment into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows discounted at the security’s effective yield. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and, therefore, is not required to be recognized as losses in the Consolidated Statement of Operations, but is recognized in other comprehensive income (loss). We classify each fair value measurement at the appropriate level in the fair value hierarchy. The hierarchy gives the highest priority to unadjusted quoted market price in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements). An asset’s or liability’s classification within the fair value hierarchy is based on the lowest level of significant input to its valuation. Level I – Quoted price in active markets for identical assets and liabilities. Level II – Quoted prices in markets that are not active or inputs that are observable either directly or indirectly. Level II inputs include quoted prices for similar assets or liabilities other than quoted in prices in Level I, quoted prices in markets that are not active, or other inputs that are observable or can be derived principally from or corroborated by observable market data for substantially the full term of the assets or liabilities. Level III – Unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Unobservable inputs reflect the reporting entity’s own assumptions that market participants would use in pricing the asset or liability. Level III assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. Fair Value of Other Financial Instruments: Our other financial instruments, aside from investments, are cash and cash equivalents, premiums and agents’ balances receivable, and accrued expenses and accounts payable. The carrying amounts for cash and cash equivalents, premiums and agents’ balances receivable, and accrued expenses and accounts payable approximate their fair value based on their short-term nature. Other invested assets that do not have observable inputs and little or no market activity are carried on a cost basis, which is not materially different from fair value. All other invested assets have been assessed for impairment. Revenue Recognition: We record premiums written at policy inception and recognize them as revenue on a pro rata basis over the policy term or, in the case of crop insurance, over the period of risk. The portion of premiums that could be earned in the future is deferred and reported as unearned premiums. When policies lapse, the Company reverses the unearned portion of the written premium and removes the applicable unearned premium. Policy-related fee income is recognized when collected. The period of risk for our crop insurance program, which is comprised primarily of spring-planted crops, typically runs from April 1 (the approximate time when farmers can begin to work their fields) through December 15 (last date claims can be made for the most recent planting season). The crop insurance program provides indemnification for acreage that cannot be planted because of flood, drought, or other natural disaster (known as “prevented planting”). In cases where a valid prevented planting claim is made by an insured, the Company assumes that the risk period has ended as there will be no additional coverage under the policy, and the Company will immediately recognize the remaining unearned premium. 11 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The Company uses the direct write-off method for recognizing bad debts. Accounts billed directly to the policyholder are provided grace payment and cancellation notice periods per state insurance regulations. Any earned but uncollected premiums are written off within 90 days after the effective date of policy cancellation. Direct Auto also provides for agency billing for a portion of their agents. Accounts billed to agents are due within 60 days of the statement date. The balances are carried as agents’ balances receivable until it is determined the amount is not collectible from the agent. At that time, the balance is written off as uncollectible. The agent is responsible for all past due balances. As part of its agent appointment, Direct Auto requires a personal guarantee for all balances due to Direct Auto from the principal of the contracted agency. Policy Acquisition Costs: We defer our policy acquisition costs, consisting primarily of commissions, state premium taxes and certain other underwriting costs, reduced by ceding commissions, which vary with and relate directly to the production of business. We amortize these deferred policy acquisition costs over the period in which we earn the premiums. The method we follow in computing deferred policy acquisition costs limits the amount of such deferred costs to their estimated realizable value, which gives effect to the premium to be earned, related investment income, losses and loss adjustment expenses, and certain other costs we expect to incur as we earn the premium. Property and Equipment: We report property and equipment at cost less accumulated depreciation. Depreciation is computed using the straight-line method based upon the estimated useful lives of the assets. Losses and Loss Adjustment Expenses: Liabilities for unpaid losses and loss adjustment expenses are estimates at a given point in time of the amounts we expect to pay with respect to policyholder claims based on facts and circumstances then known. At the time of establishing our estimates, we recognize that our ultimate liability for losses and loss adjustment expenses will exceed or be less than such estimates. We base our estimates of liabilities for unpaid losses and loss adjustment expenses on assumptions as to future loss trends, expected claims severity, judicial theories of liability, and other factors. During the loss adjustment period, we may learn additional facts regarding certain claims, and, consequently, it often becomes necessary for us to refine and adjust our estimates of the liability. We reflect any adjustments to our liabilities for unpaid losses and loss adjustment expenses in our operating results in the period in which we determine the need for a change in the estimates. We maintain liabilities for unpaid losses and loss adjustment expenses with respect to both reported and unreported claims. We establish these liabilities for the purpose of covering the ultimate costs of settling all losses, including investigation and litigation costs. We base the amount of our liability for reported losses primarily upon a case-by-case evaluation of the type of risk involved, knowledge of the circumstances surrounding each claim, and the insurance policy provisions relating to the type of loss our policyholder incurred. We determine the amount of our liability for unreported losses and loss adjustment expenses on the basis of historical information by line of insurance. Inflation is not explicitly selected in the loss reserve analysis. However, historical inflation is embedded in the estimated loss development factors. We closely monitor our liabilities and update them periodically using new information on reported claims and a variety of statistical techniques. We do not discount our liabilities for unpaid losses and loss adjustment expenses. Reserve estimates can change over time because of unexpected changes in assumptions related to our external environment and, to a lesser extent, assumptions as to our internal operations. Assumptions related to our external environment include the absence of significant changes in tort law and the legal environment which may impact liability exposure, the trends in judicial interpretations of insurance coverage and policy provisions, and the rate of loss cost inflation. Internal assumptions include consistency in the recording of premium and loss statistics, consistency in the recording of claims, payment and case reserving methodologies, accurate measurement of the impact of rate changes and changes in policy provisions, consistency in the quality and characteristics of business written within a given line of business, and consistency in reinsurance coverage and collectability of reinsured losses, among other items. To the extent we determine that underlying factors impacting our assumptions have changed, we attempt to make appropriate adjustments for such changes in our reserves. Accordingly, our ultimate liability for unpaid losses and loss adjustment expenses will likely differ from the amount recorded. 12 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Income Taxes: With the exception of Battle Creek, which files a stand-alone federal income tax return, we currently file a consolidated federal income tax return which includes NI Holdings and its wholly-owned subsidiaries. Direct Auto and Westminster became part of the consolidated federal income tax return as of their acquisition dates. Insurance companies typically pay state premium taxes rather than state income taxes. However, Direct Auto is subject to state income taxes in the state of Illinois, in addition to state premium taxes. Additionally, NI Holdings, on a stand-alone basis, pays state income taxes to the state of North Dakota for income or losses generated as a separate financial entity. While state premium taxes are included as a part of amortization of deferred policy acquisition costs, state income taxes are combined with federal income taxes within the financial reporting category labeled income tax expense (benefit). The Company does not have any material uncertain tax positions. The Company’s policy is to recognize tax-related interest and penalties accrued related to unrecognized benefits as a component of income tax expense (benefit). The Company did not recognize any tax-related interest and penalties, nor did it have any tax-related interest or penalties accrued as of March 31, 2021 and December 31, 2020. We account for deferred income taxes using the asset and liability method. The objective of the asset and liability method is to establish deferred income tax assets and liabilities for the temporary differences between the financial reporting basis and the income tax basis of our assets and liabilities at enacted tax rates expected to be in effect when we realize or settle such amounts. We re-measure existing deferred income tax assets (including loss carryforwards) and liabilities when a change in tax rate occurs, and record an offset for the net amount of the change as a component of income tax expense from continuing operations in the period of enactment. We also record any change to a previously recorded valuation allowance as a result of re-measuring existing temporary differences and loss carryforwards to be reflected as a component of income tax expense (benefit) from continuing operations. The Company has elected to reclassify any tax effects stranded in accumulated other comprehensive income as a result of a change in income tax rates to retained earnings. Earnings Per Share: Earnings per share are computed by dividing net income available to common shareholders for the period by the weighted average number of common shares outstanding for the same period. Unearned shares related to the Company’s Employee Stock Ownership Plan are not considered outstanding until they are released and allocated to plan participants. Unearned shares related to the Company’s Restricted Stock Units and Performance Share Units are not considered outstanding until they are earned by award participants. See Notes 14 and 20. Credit Risk: Our primary investment objective is to earn competitive returns by investing in a diversified portfolio of securities. Our portfolio of fixed income securities and, to a lesser extent, short-term investments, is subject to credit risk. We define this risk as the potential loss in fair value resulting from adverse changes in the borrower’s ability to repay the debt. We manage this risk by performing an analysis of prospective investments and through regular reviews of our portfolio by our management team and investment advisors. We also limit the amount of our total investment portfolio that we invest in any one security. Property and liability insurance coverages are marketed through captive agents in North Dakota and through independent insurance agencies located throughout all other operating areas. All business, except for the majority of Direct Auto’s business, is billed directly to the policyholders. We maintain cash balances primarily at one bank, which are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $ 250. During the normal course of business, balances are maintained above the FDIC insurance limit. The Company maintains short-term investment balances in investment grade money market accounts that are insured by the Securities Investor Protection Corporation (“SIPC”) up to $ 500. On occasion, balances for these accounts are maintained in excess of the SIPC insurance limit. 13 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Reinsurance: The Company limits the maximum net loss that can arise from large risks or risks in concentrated areas of exposure by reinsuring (ceding) certain levels of risks to other insurers or reinsurers, either on an automatic basis under general reinsurance contracts knows as “treaties” or by negotiation on substantial individual risks. Ceded reinsurance is treated as the risk and liability of the assuming companies. Reinsurance contracts do not relieve the Company from its obligations to policyholders. In the event that all or any of the reinsuring companies might be unable to meet their obligations under existing reinsurance agreements, the Company would be liable for such defaulted amounts. Goodwill and Other Intangibles: Goodwill represents the excess of the purchase price over the underlying fair value of acquired entities. When completing acquisitions, we seek also to identify separately identifiable intangible assets that we have acquired. We assess goodwill and other intangibles with an indefinite useful life for impairment annually. We also assess goodwill and other intangibles for impairment upon the occurrence of certain events. In making our assessment, we consider a number of factors including operating results, business plans, economic projections, anticipated future cash flows, and current market data. Inherent uncertainties exist with respect to these factors and to our judgment in applying them when we make our assessment. Impairment of goodwill and other intangibles could result from changes in economic and operating conditions in future periods. We did not record any impairments of goodwill or other intangibles during the three month periods ended March 31, 2021 and 2020. Goodwill arising from the acquisition of Primero in 2014 represents the excess of the purchase price over the fair value of the net assets acquired. The purchase price in excess of the fair value of net assets acquired was negotiated at arms-length with an unrelated party and was based upon the strategic decision by Company management to expand both the geographic footprint and product lines of the Company. The nature of the business acquired was such that there were limited intangibles not reflected in the net assets acquired. The purchase price was paid with a combination of cash and cancellation of obligations owed to the acquired company by the sellers. The goodwill which arose from this transaction is included in the basis of the net assets acquired and is not deductible for income tax purposes. Intangible assets arising from the acquisition of Direct Auto in 2018 represent the estimated fair values of certain intangible assets, including a favorable lease contract, a state insurance license, the value of the Direct Auto trade name, and the value of business acquired (“VOBA”). The state insurance license asset has an indefinite life, while the favorable lease contract, Direct Auto trade name, and VOBA assets will be amortized over eighteen months, five years, and twelve months, respectively, from the August 31, 2018 acquisition/valuation date. Goodwill arising from the acquisition of Westminster in January 2020 represents the excess of the purchase price over the fair value of the net assets acquired. The purchase price in excess of the fair value of net assets acquired was negotiated at arms-length with an unrelated party and was based upon the strategic decision by Company management to expand both the geographic footprint and commercial business product line of the Company. Other intangible assets arising from the acquisition of Westminster represent the estimated fair values of certain intangible assets, including state insurance licenses, the value of Westminster’s distribution network, the value of the Westminster trade name, and the VOBA. The state insurance license asset has an indefinite life, while the distribution networks, Westminster trade name, and VOBA assets will be amortized over twenty years, ten years, and twelve months, respectively, from the January 1, 2020 acquisition/valuation date.

Acquisition of Westminster Amer

Acquisition of Westminster American Insurance Company	3 Months Ended
	Mar. 31, 2021
Business Combinations [Abstract]
Acquisition of Westminster American Insurance Company	4. Acquisition of Westminster American Insurance Company On January 1, 2020, the Company completed the acquisition of 100% of the common stock of Westminster from the private shareholder of Westminster, and Westminster became a consolidated subsidiary of the Company. Westminster is a property and casualty insurance company specializing in multi-peril commercial insurance in nine states and the District of Columbia. Westminster remains headquartered in Owings Mills, Maryland, and continues to be led by its president and other key management in place at the time of the acquisition. The results of Westminster are included as part of the Company’s commercial business segment following the closing date. We account for business acquisitions in accordance with the acquisition method of accounting, which requires, among other things, that most assets acquired, liabilities assumed, and contingent consideration be recognized at their fair values as of the acquisition date, which is the closing date for the Westminster transaction. During the measurement period, adjustments to provisional purchase price allocations are recognized if new information is obtained about the facts and circumstances that existed as of the acquisition date that, if known, would have resulted in the recognition of those assets and liabilities as of that date. The measurement period ends as soon as it is determined that no more information is obtainable, but in no case shall the measurement period exceed one year from the acquisition date. The measurement period for the Westminster acquisition ended December 31, 2020. The Company incurred acquisition-related costs of $828 and $83 during the years ended December 31, 2020, and 2019, respectively. The Company paid $20,000 in cash consideration to the private shareholder of Westminster as of the closing date, with an additional $20,000 to be paid in three equal annual installments. The acquisition of Westminster did not include any contingent consideration other than a provision regarding future changes to federal income tax rates. The following table summarizes the consideration transferred to acquire Westminster and the amounts of identified assets acquired and liabilities assumed at the acquisition date: Fair Value of Consideration: Cash consideration transferred $ 20,000 Present value of future cash consideration 18,787 Total cash consideration $ 38,787 Fair Value of Identifiable Assets Acquired and Liabilities Assumed: Identifiable net assets: Cash and cash equivalents $ 19,297 Fixed income securities 12,073 Equity securities 2,705 Other investments 735 Premiums and agents' balances receivable 8,507 Reinsurance recoverables on losses 763 Accrued investment income 70 Property and equipment 2,376 Federal income tax recoverable 138 State insurance licenses (included in goodwill and other intangibles) 1,800 Distribution network (included in goodwill and other intangibles) 6,700 Trade name (included in goodwill and other intangibles) 500 Value of business acquired (included in goodwill and other intangibles) 4,750 Other assets 76 Unpaid losses and loss adjustment expenses (8,568 ) Unearned premiums (16,611 ) Deferred income taxes, net (1,583 ) Reinsurance premiums payable (565 ) Accrued expenses and other liabilities (1,132 ) Total identifiable net assets $ 32,031 Goodwill $ 6,756 15 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The fair value of the assets acquired includes premiums and agents’ balances receivable of $8,507 and reinsurance recoverables on losses of $763. These are the gross amounts due from policyholders and reinsurers, respectively, none of which is anticipated to be uncollectible. The Company did not acquire any other material class of receivable as a result of the acquisition of Westminster. The fair values of the acquired distribution network, state insurance licenses, Westminster trade name, and VOBA intangible assets were $6,700, $1,800, $500, and $4,750, respectively. The state insurance license intangible has an indefinite life, while the other intangible assets will be amortized over useful lives of up to twenty years. The goodwill is not deductible for income tax purposes. The first installment of the additional consideration was paid during the first quarter of 2021.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Recent Accounting Pronouncements	5. Recent Accounting Pronouncements As an emerging growth company, we have elected to use the extended transition period for complying with any new or revised financial accounting standards from the Financial Accounting Standards Board (“FASB”) pursuant to Section 13(a) of the Exchange Act. The following discussion includes effective dates for both public business entities and emerging growth companies, as well as whether specific guidance may be adopted early. Adopted In January 2020, the Company adopted amended guidance from the FASB that shortened the amortization period of premiums on certain fixed income securities held at a premium to the earliest call date rather than through the maturity date of the callable security. The adoption of this guidance did not materially impact the Company’s financial position, results of operations, or cash flows. In March 2020, the Company adopted modified disclosure requirements from the FASB relating to the fair value of assets and liabilities. The modifications primarily related to Level 3 fair value measurements. The Company does not currently carry any Level 3 assets or liabilities. As a result, there was no impact to the Company’s financial statement disclosures. Not Yet Adopted In February 2016, the FASB issued new guidance that requires lessees to recognize leases, including operating leases, on the lessee’s Consolidated Balance Sheet, unless a lease is considered a short-term lease. The new guidance also requires entities to make new judgments to identify leases. In July 2018, the FASB issued additional guidance to allow an optional transition method. An entity may apply the new leases guidance at the beginning of the earliest period presented in the financial statements, or at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The new guidance, which replaces the current lease guidance, is effective for annual and interim reporting periods beginning after December 15, 2018 for public business entities. For private companies and emerging growth companies, this guidance is effective for annual reporting periods beginning after December 15, 2021 and interim periods within fiscal years beginning after December 15, 2022. Early adoption is permitted for all entities. We do not expect the adoption of this new guidance to have a significant impact on our financial position, results of operations, or cash flows. Upon adoption, the Company will recognize a right of use asset and operating lease liabilities on its Consolidated Balance Sheet. The cumulative adjustment to retained earnings is not expected to be significant. In June 2016, the FASB issued a new standard that will require timelier recording of credit losses on loans and other financial instruments held by financial institutions and other organizations. The guidance will require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better form their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. Additionally, the guidance requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. These disclosures include qualitative and quantitative requirements that provide additional information about the amounts recorded in the financial statements. Finally, the guidance amends the accounting for credit losses on available-for-sale fixed income securities and purchased financial assets with credit deterioration. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 16 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) 2019 for filers with the Securities and Exchange Commission (“SEC”) excluding smaller reporting companies, and emerging growth companies that did not relinquish private company relief. For all other entities, this guidance is effective for annual reporting periods beginning after December 15, 2022 and interim periods within those fiscal years. Early adoption is permitted for all entities. Based on our evaluation, adoption of this new standard will not have a significant impact on our financial position, results of operations, and cash flows. In December 2019, the FASB issued amended guidance to simplify the accounting for income taxes. The amended guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years, for public business entities. For private companies and emerging growth companies, this amended guidance is effective for fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. Early adoption is permitted, including adoption in an interim period. We are evaluating the impact this new guidance will have on our financial position, results of operations, and cash flows.

Investments

Investments	3 Months Ended
	Mar. 31, 2021
Marketable Securities [Abstract]
Investments	6. Investments The amortized cost and estimated fair value of fixed income securities as of March 31, 2021 and December 31, 2020, were as follows: March 31, 2021 Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Fixed income securities: U.S. Government and agencies $ 15,195 $ 680 $ (145 ) $ 15,730 Obligations of states and political subdivisions 65,635 2,594 (269 ) 67,960 Corporate securities 152,649 5,730 (1,437 ) 156,942 Residential mortgage-backed securities 41,001 1,299 (206 ) 42,094 Commercial mortgage-backed securities 27,031 1,064 (106 ) 27,989 Asset-backed securities 50,471 332 (188 ) 50,615 Total fixed income securities $ 351,982 $ 11,699 $ (2,351 ) $ 361,330 December 31, 2020 Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Fixed income securities: U.S. Government and agencies $ 13,334 $ 1,055 $ (6 ) $ 14,383 Obligations of states and political subdivisions 61,001 3,278 (35 ) 64,244 Corporate securities 119,826 8,755 (147 ) 128,434 Residential mortgage-backed securities 35,017 1,478 (1 ) 36,494 Commercial mortgage-backed securities 23,976 1,700 (21 ) 25,655 Asset-backed securities 50,751 535 (86 ) 51,200 Total fixed income securities $ 303,905 $ 16,801 $ (296 ) $ 320,410 The amortized cost and estimated fair value of fixed income securities by contractual maturity are shown below. Actual maturities could differ from contractual maturities because issuers of the securities may have the right to call or prepay certain obligations, which may or may not include call or prepayment penalties. March 31, 2021 Amortized Cost Fair Value Due to mature: One year or less $ 22,846 $ 23,071 After one year through five years 87,767 91,773 After five years through ten years 85,183 86,921 After ten years 37,683 38,867 Mortgage / asset-backed securities 118,503 120,698 Total fixed income securities $ 351,982 $ 361,330 December 31, 2020 Amortized Cost Fair Value Due to mature: One year or less $ 17,722 $ 17,933 After one year through five years 86,709 91,457 After five years through ten years 59,408 64,987 After ten years 30,322 32,684 Mortgage / asset-backed securities 109,744 113,349 Total fixed income securities $ 303,905 $ 320,410 18 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Fixed income securities with a fair value of $7,852 at March 31, 2021 and $6,093 at December 31, 2020, were deposited with various state regulatory agencies as required by law. The Company has not pledged any assets to secure any obligations. The investment category and duration of the Company’s gross unrealized losses on fixed income securities were as follows: March 31, 2021 Less than 12 Months Greater than 12 months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Fixed income securities: U.S. Government and agencies $ 3,177 $ (145 ) $ - $ - $ 3,177 $ (145 ) Obligations of states and political subdivisions 8,498 (269 ) - - 8,498 (269 ) Corporate securities 38,660 (1,341 ) 1,481 (96 ) 40,141 (1,437 ) Residential mortgage-backed securities 14,466 (206 ) - - 14,466 (206 ) Commercial mortgage-backed securities 4,575 (106 ) - - 4,575 (106 ) Asset-backed securities 14,237 (177 ) 1,486 (11 ) 15,723 (188 ) Total fixed income securities $ 83,613 $ (2,244 ) $ 2,967 $ (107 ) $ 86,580 $ (2,351 ) December 31, 2020 Less than 12 Months Greater than 12 months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Fixed income securities: U.S. Government and agencies $ 931 $ (6 ) $ - $ - $ 931 $ (6 ) Obligations of states and political subdivisions 1,806 (35 ) - - 1,806 (35 ) Corporate securities 3,215 (97 ) 734 (50 ) 3,949 (147 ) Residential mortgage-backed securities 68 (1 ) - - 68 (1 ) Commercial mortgage-backed securities 1,103 (21 ) - - 1,103 (21 ) Asset-backed securities 5,785 (31 ) 4,188 (55 ) 9,973 (86 ) Total fixed income securities $ 12,908 $ (191 ) $ 4,922 $ (105 ) $ 17,830 $ (296 ) Investments with unrealized losses are categorized with a duration of greater than 12 months when all positions of a security have continually been in a loss position for at least 12 months. We frequently review our investment portfolio for declines in fair value. Our process for identifying declines in the fair value of investments that are other than temporary involves consideration of several factors. These factors include (i) the time period in which there has been a significant decline in value, (ii) an analysis of the liquidity, business prospects, and overall financial condition of the issuer, (iii) the significance of the decline, and (iv) our intent and ability to hold the investment for a sufficient period of time for the value to recover. When our analysis of the above factors results in the conclusion that declines in fair values are other than temporary, the cost of the securities is written down to fair value and the previously unrealized loss is therefore reflected as a realized capital loss on investment. The Company did not record any other-than-temporary impairments during the three month periods ended March 31, 2021 and 2020. 19 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) As of March 31, 2021, we held 167 fixed income securities with unrealized losses. As of December 31, 2020, we held 67 fixed income securities with unrealized losses. In conjunction with our outside investment advisors, we analyzed the credit ratings of the securities as well as the historical monthly amortized cost to fair value ratio of securities in an unrealized loss position. This analysis yielded no fixed income securities which had fair values less than 80% of amortized cost for the preceding 12-month period. Net investment income consisted of the following: Three Months Ended March 31, 2021 2020 Fixed income securities $ 2,011 $ 2,309 Equity securities 265 325 Real estate 156 146 Cash and cash equivalents 1 20 Total gross investment income 2,433 2,800 Investment expenses 897 829 Net investment income $ 1,536 $ 1,971 Net capital gain (loss) on investments consisted of the following: Three Months Ended March 31, 2021 2020 Gross realized gains: Fixed income securities $ 110 $ 85 Equity securities 3,915 1,515 Total gross realized gains 4,025 1,600 Gross realized losses, excluding other-than-temporary impairment losses: Fixed income securities (9 ) (23 ) Equity securities (114 ) (562 ) Total gross realized losses, excluding other-than-temporary impairment losses (123 ) (585 ) Net realized gain on investments 3,902 1,015 Change in net unrealized gain on equity securities 1,909 (15,934 ) Net capital gain (loss) on investments $ 5,811 $ (14,919 )

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2021
Investments, All Other Investments [Abstract]
Fair Value Measurements	7. Fair Value Measurements We maximize the use of observable inputs in our valuation techniques and apply unobservable inputs only to the extent that observable inputs are unavailable. The largest class of assets and liabilities carried at fair value by the Company at March 31, 2021 and December 31, 2020 were fixed income securities. Prices provided by independent pricing services and independent broker quotes can vary widely, even for the same security. Our available-for-sale investments are comprised of a variety of different securities, which are classified into levels based on the valuation technique and inputs used in their valuation. The valuation of money market funds classified as cash equivalents and equity securities are generally based on Level I inputs, which use the market approach valuation technique. The valuation of fixed income securities generally incorporates significant Level II inputs using the market and income approach techniques. We may assign a lower level to inputs typically considered to be Level II based on our assessment of liquidity and relative level of uncertainty surrounding inputs. There were no assets or liabilities classified as Level III at March 31, 2021 or December 31, 2020. The following tables set forth our assets which are measured on a recurring basis by the level within the fair value hierarchy in which fair value measurements fall: March 31, 2021 Total Level I Level II Level III Fixed income securities: U.S. Government and agencies $ 15,730 $ - $ 15,730 $ - Obligations of states and political subdivisions 67,960 - 67,960 - Corporate securities 156,942 - 156,942 - Residential mortgage-backed securities 42,094 - 42,094 - Commercial mortgage-backed securities 27,989 - 27,989 - Asset-backed securities 50,615 - 50,615 - Total fixed income securities 361,330 - 361,330 - Equity securities: Basic materials 1,607 1,607 - - Communications 8,757 8,757 - - Consumer, cyclical 11,125 11,125 - - Consumer, non-cyclical 16,045 16,045 - - Energy 2,015 2,015 - - Financial 6,737 6,737 - - Industrial 15,002 15,002 - - Technology 17,742 17,742 - - Utility 333 333 - Total equity securities 79,363 79,363 - - Cash and cash equivalents 52,683 37,694 14,989 - Total assets at fair value $ 493,376 $ 117,057 $ 376,319 $ - 21 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) December 31, 2020 Total Level I Level II Level III Fixed income securities: U.S. Government and agencies $ 14,383 $ - $ 14,383 $ - Obligations of states and political subdivisions 64,244 - 64,244 - Corporate securities 128,434 - 128,434 - Residential mortgage-backed securities 36,494 - 36,494 - Commercial mortgage-backed securities 25,655 - 25,655 - Asset-backed securities 51,200 - 51,200 - Total fixed income securities 320,410 - 320,410 - Equity securities: Basic materials 1,285 1,285 - - Communications 7,455 7,455 - - Consumer, cyclical 9,929 9,929 - - Consumer, non-cyclical 14,633 14,633 - - Energy 1,499 1,499 - - Financial 6,235 6,235 - - Industrial 12,733 12,733 - - Technology 16,145 16,145 - - Utility 38 38 - - Total equity securities 69,952 69,952 - - Cash and cash equivalents 101,077 65,354 35,723 - Total assets at fair value $ 491,439 $ 135,306 $ 356,133 $ - There were no liabilities measured at fair value on a recurring basis at March 31, 2021 or December 31, 2020.

Reinsurance

Reinsurance	3 Months Ended
	Mar. 31, 2021
Reinsurance Disclosures [Abstract]
Reinsurance	8. Reinsurance The Company will assume and cede certain premiums and losses to and from various companies and associations under various reinsurance agreements. The Company seeks to limit the maximum net loss that can arise from large risks or risks in concentrated areas of exposure through use of these agreements, either on an automatic basis under general reinsurance contracts known as treaties or by negotiation on substantial individual risks. Reinsurance contracts do not relieve the Company from its obligation to policyholders. Additionally, failure of reinsurers to honor their obligations could result in significant losses to us. There can be no assurance that reinsurance will continue to be available to us at the same extent, and at the same cost, as it has in the past. The Company may choose in the future to reevaluate the use of reinsurance to increase or decrease the amounts of risk ceded to reinsurers. As a group, during the three month period ended March 31, 2021, the Company retained the first $ 10,000 of weather-related losses from catastrophic events and had reinsurance under various reinsurance agreements up to $ 117,000 in excess of its $ 10,000 retained risk. During the year ended December 31, 2020, the Company retained the first $10,000 of weather-related losses from catastrophic events and had reinsurance under various reinsurance agreements up to $97,000 in excess of its $10,000 retained risk. The Company actively monitors and evaluates the financial condition of the reinsurers and develops estimates of the uncollectible amounts due from reinsurers. Such estimates are made based on periodic evaluation of balances due from reinsurers, judgments regarding reinsurers’ solvency, known disputes, reporting characteristics of the underlying reinsured business, historical experience, current economic conditions, and the state of reinsurer relations in general. Collection risk is mitigated from reinsurers by entering into reinsurance arrangements only with reinsurers that have strong credit ratings and statutory surplus above certain levels. The Company’s reinsurance recoverables on paid and unpaid losses were due from reinsurance companies with A.M. Best ratings of “A” or higher. A reconciliation of direct to net premiums on both a written and an earned basis is as follows: Three Months Ended March 31, 2021 Premiums Written Premiums Earned Direct premium $ 72,420 $ 68,743 Assumed premium 1,450 1,448 Ceded premium (7,114 ) (7,056 ) Net premiums $ 66,756 $ 63,135 Percentage of assumed earned premium to direct earned premium 2.1 % Three Months Ended March 31, 2020 Premiums Written Premiums Earned Direct premium $ 62,972 $ 62,393 Assumed premium 1,600 1,600 Ceded premium (5,170 ) (5,221 ) Net premiums $ 59,402 $ 58,772 Percentage of assumed earned premium to direct earned premium 2.6% A reconciliation of direct to net losses and loss adjustment expenses is as follows: Three Months Ended March 31, 2021 2020 Direct losses and loss adjustment expenses $ 37,578 $ 33,892 Assumed losses and loss adjustment expenses 948 308 Ceded losses and loss adjustment expenses (1,637 ) (3,778 ) Net losses and loss adjustment expenses $ 36,889 $ 30,422 23 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) If 100% of our ceded reinsurance was cancelled as of March 31, 2021 or December 31, 2020, no ceded commissions would need to be returned to the reinsurers. Reinsurance contracts are typically effective from January 1 through December 31 each year.

Deferred Policy Acquisition Cos

Deferred Policy Acquisition Costs	3 Months Ended
	Mar. 31, 2021
Deferred Policy Acquisition Costs Disclosures [Abstract]
Deferred Policy Acquisition Costs	9. Deferred Policy Acquisition Costs Activity with regards to our deferred policy acquisition costs was as follows: Three Months Ended March 31, 2021 2020 Balance, beginning of period $ 23,968 $ 15,399 Deferral of policy acquisition costs 16,194 13,152 Amortization of deferred policy acquisition costs (13,587 ) (9,387 ) Balance, end of period $ 26,575 $ 19,164

Unpaid Losses and Loss Adjustme

Unpaid Losses and Loss Adjustment Expenses	3 Months Ended
	Mar. 31, 2021
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]
Unpaid Losses and Loss Adjustment Expenses	10. Unpaid Losses and Loss Adjustment Expenses Activity in the liability for unpaid losses and loss adjustment expenses is summarized as follows: Three Months Ended March 31, 2021 2020 Balance at beginning of period: Liability for unpaid losses and loss adjustment expenses $ 105,750 $ 93,250 Reinsurance recoverables on losses 8,710 4,045 Net balance at beginning of period 97,040 89,205 Acquired unpaid losses and loss adjustment expenses related to: Current year - - Prior years - 8,568 Total incurred - 8,568 Incurred related to: Current year 34,366 29,912 Prior years 2,523 510 Total incurred 36,889 30,422 Paid related to: Current year 13,415 12,532 Prior years 18,262 26,330 Total paid 31,677 38,862 Balance at end of period: Liability for unpaid losses and loss adjustment expenses 111,522 97,400 Reinsurance recoverables on losses 9,270 8,067 Net balance at end of period $ 102,252 $ 89,333 During the three months ended March 31, 2021, the Company’s reported incurred losses and LAE included $2,523 of net unfavorable development on prior accident years, compared to $510 of net unfavorable development on prior accident years during the three months ended March 31, 2020. Increases and decreases are generally the result of ongoing analysis of loss development trends. As additional information becomes known regarding individual claims, original estimates are increased or decreased accordingly.

Property and Equipment

Property and Equipment	3 Months Ended
	Mar. 31, 2021
Property, Plant and Equipment [Abstract]
Property and Equipment	11. Property and Equipment Property and equipment consisted of the following: March 31, 2021 December 31, 2020 Estimated Useful Life Cost: Real estate $ 15,327 $ 15,313 10-31 years Electronic data processing equipment 1,289 1,271 5-7 years Furniture and fixtures 2,867 2,867 5-7 years Automobiles 1,271 1,275 2-3 years Gross cost 20,754 20,726 Accumulated depreciation (10,911 ) (10,827 ) Total property and equipment, net $ 9,843 $ 9,899 Depreciation expense was $170 and $187 for the three months ended March 31, 2021 and 2020, respectively.

Goodwill and Other Intangibles

Goodwill and Other Intangibles	3 Months Ended
	Mar. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangibles	12. Goodwill and Other Intangibles Goodwill The following table presents the carrying amount of the Company’s goodwill by segment: March 31, 2021 December 31, 2020 Non-standard auto from acquisition of Primero $ 2,628 $ 2,628 Commercial from acquisition of Westminster 6,756 6,756 Total $ 9,384 $ 9,384 Other Intangible Assets The following table presents the carrying amount of the Company’s other intangible assets: March 31, 2021 Gross Carrying Amount Accumulated Amortization Net Subject to amortization: Trade names $ 748 $ 191 $ 557 Distribution network 6,700 465 6,235 Total subject to amortization 7,448 656 6,792 Not subject to amortization – state insurance licenses 1,900 - 1,900 Total $ 9,348 $ 656 $ 8,692 25 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Subject to amortization: Trade names $ 748 $ 166 $ 582 Distribution network 6,700 372 6,328 Total subject to amortization 7,448 538 6,910 Not subject to amortization – state insurance license 1,900 - 1,900 Total $ 9,348 $ 538 $ 8,810 Amortization expense was $118 and $1,882 for the three months ended March 31, 2021 and 2020, respectively. Other intangible assets that have finite lives, including trade names and distribution networks, are amortized over their useful lives. As of March 31, 2021, the estimated amortization of other intangible assets with finite lives for the next five years in the period ended December 31, 2025, and thereafter is as follows: Year ending December 31, Amount 2021 $ 354 2022 472 2023 455 2024 422 2025 422 Thereafter 4,667 Total other intangible assets with finite lives $ 6,792

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2021
Related Party Transactions [Abstract]
Related Party Transactions	13. Related Party Transactions Intercompany Reinsurance Pooling Arrangement Effective January 1, 2020, all of our insurance subsidiary and affiliate companies entered into an intercompany reinsurance pooling agreement. This agreement was finalized, approved, and implemented during the fourth quarter of 2020, retroactive to the January 1 effective date. Nodak Insurance is the lead company of the pool, and assumes the net premiums, net losses, and underwriting expenses from each of the other five companies. Nodak Insurance then retrocedes balances back to each company, while retaining its own share of the pool’s net underwriting results, based on individual pool percentages established in the respective pooling agreement. This arrangement allows each insurance company to rely upon the capacity of the pool’s total statutory capital and surplus. As a result, they are evaluated by A.M. Best on a group basis and hold a single combined financial strength rating, long-term issuer credit rating, and financial size category. In connection with the pooling agreement, the quota share agreement between Battle Creek and Nodak Insurance was cancelled. As a result, the Company’s consolidated financial position and results of operations are impacted by the portion of Battle Creek’s underwriting results that are allocated to the policyholders of Battle Creek rather than the shareholders of NI Holdings. For the three months ended March 31, 2021 and the year ended December 31, 2020, the pooling share percentages by insurance company subsidiary were: Pool Percentage Nodak Insurance Company 66.0 % American West Insurance Company 7.0 % Primero Insurance Company 3.0 % Battle Creek Mutual Insurance Company 2.0 % Direct Auto Insurance Company 13.0 % Westminster American Insurance Company 9.0 % Total 100.0 % 26 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) North Dakota Farm Bureau We were organized by the NDFB to provide insurance protection for its members. We have a royalty agreement with the NDFB that recognizes the use of their trademark and provides royalties to the NDFB based on the premiums written on Nodak Insurance’s insurance policies. Royalties paid to the NDFB were $337 and $336 during the three months ended March 31, 2021 and 2020, respectively. Royalty amounts payable of $125 and $113 were accrued as a liability to the NDFB at March 31, 2021 and December 31, 2020, respectively. Dividends State insurance laws require our insurance subsidiaries to maintain certain minimum capital and surplus amounts on a statutory basis. Our insurance subsidiaries are subject to regulations that restrict the payment of dividends from statutory surplus and may require prior approval from their domiciliary insurance regulatory authorities. Our insurance subsidiaries are also subject to risk-based capital (“RBC”) requirements that may further affect their ability to pay dividends. Our insurance subsidiaries statutory capital and surplus at December 31, 2020 exceeded the amount of statutory capital and surplus necessary to satisfy regulatory requirements, including the RBC requirements, by a significant margin. The amount available for payment of dividends from Nodak Insurance to NI Holdings during 2021 without the prior approval of the North Dakota Insurance Department is $21,628 based upon the policyholders’ surplus of Nodak Insurance at December 31, 2020. Prior to its payment of any extraordinary dividend, Nodak Insurance will be required to provide notice of the dividend to the North Dakota Insurance Department. This notice must be provided to the North Dakota Insurance Department 30 days prior to the payment of an extraordinary dividend and 10 days prior to the payment of an ordinary dividend. The North Dakota Insurance Department has the power to limit or prohibit dividend payments if Nodak Insurance is in violation of any law or regulation. These restrictions or any subsequently imposed restrictions may affect our future liquidity. No dividends were declared or paid by Nodak Insurance during the three months ended March 31, 2021. The Board of Directors of Nodak Insurance declared and paid a $6,000 dividend to NI Holdings during the year ended December 31, 2020. The amount available for payment of dividends from Direct Auto to NI Holdings during 2021 without the prior approval of the Illinois Department of Insurance is $3,582 based upon the policyholders’ surplus of Direct Auto at December 31, 2020. Prior to its payment of any dividend, Direct Auto will be required to provide notice of the dividend to the Illinois Department of Insurance. This notice must be provided to the Illinois Department of Insurance within five business days following declaration of any dividend and no less than 30 days prior to the payment of an extraordinary dividend or 10 days prior to the payment of an ordinary dividend. The Illinois Department of Insurance has the power to limit or prohibit dividend payments if Direct Auto is in violation of any law or regulation. These restrictions or any subsequently imposed restrictions may affect our future liquidity. No dividends were declared or paid by Direct Auto during the three months ended March 31, 2021 or the year ended December 31, 2020. The amount available for payment of dividends from Westminster to NI Holdings during 2021 without the prior approval of the Maryland Insurance Administration is $505 based upon the statutory net investment income of Westminster for the year ended December 31, 2020 and the three preceding years. Prior to its payment of any dividend, Westminster will be required to provide notice of the dividend to the Maryland Insurance Administration. This notice must be provided to the Maryland Insurance Administration within five business days following declaration of any dividend and no less than 30 days prior to the payment of an extraordinary dividend or 10 days prior to the payment of an ordinary dividend. The Maryland Insurance Administration has the power to limit or prohibit dividend payments if Westminster is in violation of any law or regulation. These restrictions or any subsequently imposed restrictions may affect our future liquidity. No dividends were declared or paid by Westminster during the three months ended March 31, 2021 or the year ended December 31, 2020. 27 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Battle Creek Mutual Insurance Company The following tables illustrates the impact of including Battle Creek in our Consolidated Balance Sheets and Statements of Operations prior to intercompany eliminations: March 31, 2021 December 31, 2020 Assets: Cash and cash equivalents $ 3,649 $ 6,055 Investments 10,134 5,543 Premiums and agents’ balances receivable 4,577 4,738 Deferred policy acquisition costs 531 479 Pooling receivable (1) - 920 Reinsurance recoverables on losses (2) 6,096 5,646 Accrued investment income 52 27 Deferred income tax asset 133 101 Property and equipment 334 337 Other assets 47 49 Total assets $ 25,553 $ 23,895 Liabilities: Unpaid losses and loss adjustment expenses $ 2,549 $ 2,445 Unearned premiums 2,453 2,381 Notes payable (1) 3,000 3,000 Reinsurance losses payable (2) 10,349 11,221 Pooling payable (1) 2,536 - Accrued expenses and other liabilities 239 303 Total liabilities 21,126 19,350 Equity: Non-controlling interest 4,427 4,545 Total equity 4,427 4,545 Total liabilities and equity $ 25,553 $ 23,895 (1) Amount fully eliminated in consolidation. (2) Amount partly eliminated in consolidation. Three Months Ended March 31, 2021 2020 Revenues: Net premiums earned $ 1,263 $ - Fee and other income (3 ) (2 ) Net investment income 8 39 Net capital gain on investments - 5 Total revenues 1,268 42 Expenses: Losses and loss adjustment expenses 738 - Amortization of deferred policy acquisition costs 272 - Other underwriting and general expenses 116 - Total expenses 1,126 - Income before income taxes 142 42 Income tax expense 29 10 Net income $ 113 $ 32

Benefit Plans

Benefit Plans	3 Months Ended
	Mar. 31, 2021
Compensation Related Costs [Abstract]
Benefit Plans	14. Benefit Plans The Company sponsors a money purchase plan that covers all eligible employees. Plan costs are funded annually as they are earned. The Company reported expenses related to the money purchase plan totaling $269 and $201 during the three months ended March 31, 2021 and 2020, respectively. The Company also sponsors a 401(k) plan with an automatic contribution to all eligible employees and a matching contribution for eligible employees of 50% up to 3% of eligible compensation. Primero, Direct Auto, and Westminster also sponsor 401(k) plans. The Company reported expenses related to the 401(k) plans totaling $172 and $163 during the three months ended March 31, 2021 and 2020, respectively. All fees associated with both plans are deducted from the eligible employee accounts. Deferred Compensation Plan The Board of Directors has authorized a non-qualified deferred compensation plan covering key executives of the Company (as designated by the Board of Directors). The Company’s policy is to fund the plan by amounts that represent the excess of the maximum contribution allowed by the Employee Retirement Income Security Act (“ERISA”) over the key executives’ allowable 401(k) contribution. The plan also allows employee-directed deferral of key executive’s compensation or incentive payments. The Company reported expenses related to this plan totaling $418 and $14 during the three months ended March 31, 2021 and 2020, respectively. Employee Stock Ownership Plan The Company has established an Employee Stock Ownership Plan (the “ESOP”). The ESOP is intended to be an employee stock ownership plan within the meaning of Internal Revenue Code Section 4975(e)(7) and will invest solely in common stock of the Company. In connection with our initial public offering in March 2017, Nodak Insurance loaned $2,400 to the ESOP’s related trust (the “ESOP Trust”). The ESOP loan will be for a period of ten years and bears interest at the long-term Applicable Federal Rate effective on the closing date of the offering (2.79% annually). The ESOP Trust used the proceeds of the loan to purchase shares in our initial public offering, which results in the ESOP Trust owning approximately 1.0% of the Company’s authorized shares. The ESOP has purchased the shares for investment and not for resale. The shares purchased by the ESOP Trust in the offering are held in a suspense account as collateral for the ESOP loan. Nodak Insurance will make semi-annual cash contributions to the ESOP in amounts no smaller than the amounts required for the ESOP Trust to make its loan payments to Nodak Insurance. While the ESOP makes two loan payments per year, a pre-determined portion of the shares will be released from the suspense account and allocated to participant accounts at the end of the calendar year. This release and allocation will occur on an annual basis over the ten-year term of the ESOP loan. Nodak Insurance will have a lien on the shares of common stock of the Company held by the ESOP to secure repayment of the loan from the ESOP to Nodak Insurance. If the ESOP is terminated as a result of a change in control of the Company, the ESOP may be required to pay the costs of terminating the plan. It is anticipated that the only assets held by the ESOP will be shares of the Company’s common stock. Participants in the ESOP cannot direct the investment of any assets allocated to their accounts. The initial ESOP participants are employees of Nodak Insurance. The employees of Primero, Direct Auto, and Westminster do not participate in the ESOP. American West and Battle Creek have no employees. Each employee of Nodak Insurance will automatically become a participant in the ESOP if such employee is at least 21 years old, has completed a minimum of one thousand hours of service with Nodak Insurance, and has completed an Eligibility Computation Period. Employees are not permitted to make any contributions to the ESOP. Participants in the ESOP will receive annual reports from the Company showing the number of shares of common stock of the Company allocated to the participant’s account and the market value of those shares. The shares are allocated to participants based on compensation as provided for in the ESOP. In connection with the initial public offering, the Company created a contra-equity account on the Company’s Consolidated Balance Sheet equal to the ESOP’s basis in the shares. The basis of those shares was set at $10.00 per share as part of the initial public offering. As shares are released from the ESOP suspense account, the contra-equity account will be credited, which shall reduce the impact of the contra-equity account on the Company’s Consolidated Balance Sheet. The Company shall record a compensation expense related to the shares released, which compensation expense is equal to the number of shares released from the suspense account multiplied by the average market value of the Company’s stock during the period. 29 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The Company recognized compensation expense of $109 and $89 during the three months ended March 31, 2021 and 2020, respectively, related to the ESOP. Through March 31, 2021 and December 31, 2020, the Company had released and allocated 97,260 ESOP shares to participants, with a remainder of 142,740 ESOP shares in suspense at March 31, 2021 and December 31, 2020. Using the Company’s quarter-end market price of $18.48 per share, the fair value of the unearned ESOP shares was $2,638 at March 31, 2021.

Line of Credit

Line of Credit	3 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Line of Credit	15. Line of Credit Nodak Insurance has a $5,000 line of credit with Wells Fargo Bank, N.A. The terms of the line of credit include a floating interest rate with a floor rate of 3.25%. There were no outstanding amounts during the three months ended March 31, 2021, or the year ended December 31, 2020. This line of credit is scheduled to expire on January 30, 2022.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	16. Income Taxes On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (the “CARES” Act) was enacted, implementing numerous changes to tax law including temporary changes regarding the prior and future utilization of net operating losses, temporary changes to the prior and future limitations on interest deductions, and the creation of certain refundable employee retention credits. There has been no impact to the Company’s income taxes due to this legislation. At March 31, 2021 and December 31, 2020, we had no unrecognized tax benefits, no accrued interest and penalties, and no significant uncertain tax positions. No interest and penalties were recognized during the three month periods ended March 31, 2021 or 2020. At March 31, 2021 and December 31, 2020, the Company, other than Battle Creek and Westminster, had no income tax related carryovers for net operating losses, alternative minimum tax credits, or capital losses. Battle Creek, which files its income tax returns on a stand-alone basis, had net operating loss carryovers of $3,390 at December 31, 2020. The net operating loss carryforwards expire beginning in 2021 through 2030 due to limitations on the use of these net operating loss carryforwards. Westminster, which became part of the Company’s consolidated federal income tax return beginning in 2020, had net operating loss carryovers of $2,559 at December 31, 2020. The net operating loss carryforwards expire beginning in 2021 through 2023 due to limitations on the use of these net operating loss carryforwards.

Operating Leases

Operating Leases	3 Months Ended
	Mar. 31, 2021
Leases, Operating [Abstract]
Operating Leases	17. Operating Leases Our Primero subsidiary leases a facility in Spearfish, South Dakota under a non-cancellable operating lease expiring in 2023. Our Direct Auto subsidiary leases a facility in Chicago, Illinois under a non-cancellable operating lease expiring in 2029. Our Nodak Insurance subsidiary leases a facility in Fargo, North Dakota under a non-cancellable operating lease expiring in 2024. There were expenses of $61 and $89 related to these leases during the three months ended March 31, 2021 and 2020, respectively. As of March 31, 2021, we have minimum future commitments under non-cancellable leases as follows: Year ending December 31, Estimated Future Minimum Commitments 2021 $ 188 2022 319 2023 358 2024 320 2025 286 Thereafter 1,066

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Contingencies	18. Contingencies We have been named as a defendant in various lawsuits relating to our insurance operations. Contingent liabilities arising from litigation, income taxes, and other matters are not considered to be material to our financial position.

Common Stock

Common Stock	3 Months Ended
	Mar. 31, 2021
Equity [Abstract]
Common Stock	19. Common Stock Changes in the number of common stock shares outstanding are as follows: Three Months Ended March 31, 2021 2020 Shares outstanding, beginning of period 21,318,638 22,119,380 Treasury shares repurchased through stock repurchase authorization (32,326 ) (123,264 ) Issuance of treasury shares for vesting of restricted stock units 86,460 19,042 Shares outstanding, end of period 21,372,772 22,015,158 On February 28, 2018, our Board of Directors approved an authorization for the repurchase of up to approximately $10,000 of the Company’s outstanding common stock. We completed the repurchase of 191,265 shares of our common stock for $2,966 during 2018, and an additional 116,034 shares for $2,006 during 2019. During the six months ended June 30, 2020, we completed the repurchase of 402,056 shares of our common stock for $4,996 to close out this authorization. On May 4, 2020, our Board of Directors approved an additional authorization for the repurchase of up to approximately $10,000 of the Company’s outstanding common stock. During the year ended December 31, 2020, we completed the repurchase of 454,443 shares of our common stock for $7,238 under this new authorization. During the three months ended March 31, 2021, we completed the repurchase of 32,326 shares of our common stock for $596. The cost of this treasury stock is a reduction of shareholders’ equity within our Consolidated Balance Sheets.

Stock Based Compensation

Stock Based Compensation	3 Months Ended
	Mar. 31, 2021
Share-based Payment Arrangement [Abstract]
Stock Based Compensation	20. Stock Based Compensation At its 2020 Annual Shareholders’ Meeting, the NI Holdings, Inc. 2020 Stock and Incentive Plan (the “Plan”) was approved by shareholders. The purpose of the Plan is to promote the interests of the Company and its shareholders by aiding the Company in attracting and retaining employees, officers, consultants, independent contractors, advisors, and non-employee directors capable of assuring the future success of the Company, to offer such persons incentives to put forth maximum efforts for the success of the Company’s business and to afford such persons an opportunity to acquire an ownership interest in the Company, thereby aligning the interests of such persons with the Company’s shareholders. The Plan provides for the grant of nonqualified stock options, incentive stock options, restricted stock units (“RSUs”), stock appreciation rights, dividend equivalents, and performance share units (“PSUs”) to employees, officers, consultants, advisors, non-employee directors, and independent contractors designated by the Compensation Committee of the Board of Directors (the “Compensation Committee”). Awards made under the Plan are based upon, among other things, a participant’s level of responsibility and performance within the Company. The total aggregate number of shares of common stock that awards may be issued under all awards made under the Plan shall not exceed 1,000,000 shares of common stock, subject to adjustments as provided in the Plan. No eligible participant may be granted any awards for more than 100,000 shares in the aggregate in any calendar year, subject to adjustment in accordance with the Plan. The aggregate amount payable pursuant to all performance awards denominated in cash to any eligible person in any calendar year is limited to $1,000 in value. Directors who are not also employees of the Company may not be granted awards denominated in shares that exceed $150 in any calendar year. Restricted Stock Units The Compensation Committee has awarded RSUs to non-employee directors and select executives. RSUs are promises to issue actual shares of common stock at the end of a vesting period. The RSUs granted to executives under the Plan were based on salary and vest 20% per year over a five-year period, while RSUs granted to non-employee directors vest 100% on the date of the next annual meeting of shareholders following the grant date. Dividend equivalents on RSUs are accrued during the vesting period and paid in cash at the end of the vesting period, but are subject to forfeiture until the underlying shares become vested. Participants do not have voting rights with respect to RSUs. 31 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The Company recognizes stock-based compensation costs based on the grant date fair value. The compensation costs are normally expensed over the vesting periods to each vesting date; however, the cost of RSUs granted to executives are expensed immediately if the executive has met certain retirement criteria and the RSUs become non-forfeitable. Estimated forfeitures are included in the determination of compensation costs. No forfeitures are currently estimated. A summary of the Company’s outstanding and unearned restricted stock units is presented below: RSUs Weighted-Average Grant-Date Fair Value Per Share Units outstanding and unearned at January 1, 2020 96,540 $ 16.47 RSUs granted during 2020 66,000 14.27 RSUs earned during 2020 (46,760 ) 16.33 Units outstanding and unearned at December 31, 2020 115,780 $ 15.27 RSUs granted during 2021 43,100 18.64 RSUs earned during 2021 (37,320 ) 16.64 Units outstanding and unearned at March 31, 2021 121,560 $ 16.05 The following table shows the impact of RSU activity to the Company’s financial results: Three Months Ended March 31, 2021 2020 RSU compensation expense $ 388 $ 420 Income tax benefit (81 ) (88 ) RSU compensation expense, net of income taxes $ 307 $ 332 At March 31, 2021, there was $1,097 of unrecognized compensation cost related to outstanding RSUs. That cost is expected to be recognized over a weighted-average period of 2.44 years. Performance Stock Units The Compensation Committee has awarded PSUs to select executives. PSUs are promises to issue actual shares of common stock at the end of a vesting period, if certain performance conditions are met. The PSUs granted to employees under the Plan were based on salary and include a three-year book value cumulative growth target with threshold and stretch goals. They will vest on the third anniversary of the grant date, subject to the participant’s continuous employment through the vesting date and the level of performance achieved. Dividend equivalents on PSUs are accrued and paid in cash at the end of the performance period in accordance with the level of performance achieved, but are subject to forfeiture until the underlying shares become vested. Participants do not have voting rights with respect to PSUs. The Company recognizes stock-based compensation costs based on the grant date fair value over the performance period of the awards. Estimated forfeitures are included in the determination of compensation costs. The current cost estimate assumes that the cumulative growth targets will be achieved or exceeded. 32 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) A summary of the Company’s outstanding performance share units is presented below: PSUs Weighted-Average Grant-Date Fair Value Per Share Units outstanding at January 1, 2020 111,000 $ 15.27 PSUs granted during 2020 (at target) 63,600 14.26 Units outstanding at December 31, 2020 174,600 $ 15.15 PSUs granted during 2021 (at target) 64,600 18.64 PSUs earned during 2021 (70,363 ) 16.25 Performance adjustment (1) 24,300 16.25 Forfeitures (2,537 ) 16.25 Units outstanding at March 31, 2021 190,600 $ 16.06 ​ (1) The following table shows the impact of PSU activity to the Company’s financial results: Three Months Ended March 31, 2021 2020 PSU compensation expense $ 284 $ 293 Income tax benefit (60 ) (62 ) PSU compensation expense, net of income taxes $ 224 $ 231 The PSU grants above represent initial target awards and do not reflect potential increases or decreases resulting from financial performance objectives to be determined at the end of the performance period. The actual number of shares to be issued at the end of the performance period will range from 0% to 150% of the initial target awards. At March 31, 2021, there was $2,011 of unrecognized compensation cost related to outstanding PSUs. That cost is expected to be recognized over a weighted-average period of 2.23 years. 33 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts)

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2021
Segment Reporting [Abstract]
Segment Information	21. Segment Information We have five primary reportable operating segments, which consist of private passenger auto insurance, non-standard auto insurance, home and farm insurance, crop insurance, and commercial insurance. A sixth segment captures all other insurance coverages we sell, including our assumed reinsurance lines of business. We operate only in the United States, and no single customer or agent provides 10 percent or more of our revenues. The following tables provide available information of these segments for the three month periods ended March 31, 2021 and 2020. For presentation in these tables, “LAE” refers to loss adjustment expenses. The ratios presented in these tables are non-GAAP financial measures under Securities and Exchange Commission rules and regulations. While these ratios are used widely in the property and casualty insurance industry, such non-GAAP ratios may not be comparable to similarly-named measures reported by other companies. The loss and LAE ratio equals losses and loss adjustment expenses divided by net premiums earned. The expense ratio equals amortization of deferred policy acquisition costs and other underwriting and general expenses, divided by net premiums earned. The combined ratio equals losses and loss adjustment expenses, amortization of deferred policy acquisition costs, and other underwriting and general expenses, divided by net premiums earned. 34 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Three Months Ended March 31, 2021 Private Passenger Auto Non-Standard Auto Home and Farm Crop Commercial All Other Total Direct premiums earned $ 18,688 $ 13,581 $ 20,583 $ (16 ) $ 14,722 $ 1,185 $ 68,743 Assumed premiums earned - - - - - 1,448 1,448 Ceded premiums earned (1,190 ) (323 ) (3,129 ) 63 (2,384 ) (93 ) (7,056 ) Net premiums earned 17,498 13,258 17,454 47 12,338 2,540 63,135 Direct losses and LAE 12,559 4,800 7,888 572 11,464 295 37,578 Assumed losses and LAE - - - - - 948 948 Ceded losses and LAE (305 ) - (256 ) (11 ) (1,065 ) - (1,637 ) Net losses and LAE 12,254 4,800 7,632 561 10,399 1,243 36,889 Gross margin 5,244 8,458 9,822 (514 ) 1,939 1,297 26,246 Underwriting and general expenses 5,359 4,414 5,611 536 4,615 703 21,238 Underwriting gain (loss) (115 ) 4,044 4,211 (1,050 ) (2,676 ) 594 5,008 Fee and other income 332 317 4,376 Net investment income 1,536 Net capital gain on investments​​ 5,811 Income before income taxes 12,672 Income tax expense 2,890 Net income 9,782 Net income attributable to non-controlling interest 113 Net income attributable to NI Holdings, Inc. 9,669 Non-GAAP Ratios: Loss and LAE ratio 70.0% 36.2% 43.7% n/a 84.3% 48.9% 58.4% Expense ratio 30.6% 33.3% 32.1% n/a 37.4% 27.7% 33.6% Combined ratio 100.7% 69.5% 75.9% n/a 121.7% 76.6% 92.1% Balances at March 31, 2021: Premiums and agents’ balances receivable $ 19,028 $ 8,568 $ 9,102 $ - $ 11,964 $ 663 $ 49,325 Deferred policy acquisition  costs 5,934 6,099 8,170 - 5,883 489 26,575 Reinsurance recoverables 717 - 588 9 5,741 2,215 9,270 Receivable from Federal Crop Insurance Corporation - - - 5,182 - - 5,182 Goodwill and other intangibles - 2,848 - - 15,228 - 18,076 Unpaid losses and LAE 22,503 40,289 12,657 96 25,447 10,530 111,522 Unearned premiums 28,912 19,218 40,706 - 31,639 2,983 123,458 35 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Three Months Ended March 31, 2020 Private Passenger Auto Non-Standard Auto Home and Farm Crop Commercial All Other Total Direct premiums earned $ 18,397 $ 13,194 $ 20,158 $ (5 ) $ 9,505 $ 1,144 $ 62,393 Assumed premiums earned - - - - - 1,600 1,600 Ceded premiums earned (1,098 ) (43 ) (2,537 ) 184 (1,652 ) (75 ) (5,221 ) Net premiums earned 17,299 13,151 17,621 179 7,853 2,669 58,772 Direct losses and LAE 11,129 5,940 7,668 2,811 5,919 425 33,892 Assumed losses and LAE - - - - - 308 308 Ceded losses and LAE - - (1,130 ) (444 ) (2,204 ) - (3,778 ) Net losses and LAE 11,129 5,940 6,538 2,367 3,715 733 30,422 Gross margin 6,170 7,211 11,083 (2,188 ) 4,138 1,936 28,350 Underwriting and general expenses 4,810 5,197 4,889 702 3,929 632 20,159 Underwriting gain (loss) 1,360 2,014 6,194 (2,890 ) 209 1,304 8,191 Fee and other income 329 362 2,343 Net investment income 1,971 Net capital loss on investments​​ (14,919 ) Loss before income taxes (4,395 ) Income tax benefit (840 ) Net loss (3,555 ) Net income attributable to non-controlling interest 32 Net loss attributable to NI Holdings, Inc. $ (3,587 ) Non-GAAP Ratios: Loss and LAE ratio 64.3% 45.2% 37.1% n/a 47.3% 27.5% 51.8% Expense ratio 27.8% 39.5% 27.7% n/a 50.0% 23.7% 34.3% Combined ratio 92.1% 84.7% 64.8% n/a 97.3% 51.1% 86.1% Balances at March 31, 2020: Premiums and agents’ balances receivable $ 18,657 $ 10,557 $ 9,204 $ - $ 9,254 $ 611 $ 48,283 Deferred policy acquisition  costs 5,175 4,952 7,124 - 1,504 409 19,164 Reinsurance recoverables 500 - 2,060 600 3,434 1,473 8,067 Receivable from Federal Crop Insurance Corporation - - - 5,240 - - 5,240 Goodwill and other intangibles - 2,897 - - 18,354 - 21,251 Unpaid losses and LAE 19,952 42,000 10,401 3,945 12,248 8,854 97,400 Unearned premiums 28,426 17,260 39,542 - 18,444 2,738 106,410 36 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) For purposes of evaluating profitability of the non-standard auto segment, management combines the policy fees paid by the insured with the underwriting gain or loss as its primary measure. As a result, these fees are allocated to the non-standard auto segment (included in fee and other income) in the above tables. The remaining fee and other income amounts are not allocated to any segment. We do not assign or allocate all Consolidated Statement of Operations or Consolidated Balance Sheet line items to our operating segments. Those line items include investment income, net capital gain (loss) on investments, other income excluding non-standard auto insurance fees, and income taxes within the Consolidated Statement of Operations. For the Consolidated Balance Sheet, those items include cash and investments, property and equipment, other assets, accrued expenses, income taxes recoverable or payable, and shareholders’ equity.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2021
Accounting Policies [Abstract]
Use of Estimates	Use of Estimates: In preparing our Consolidated Financial Statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the balance sheet and revenues and expenses for the periods then ended. Actual results could differ significantly from those estimates. We make estimates and assumptions that can have a significant effect on amounts and disclosures we report in our Consolidated Financial Statements. The most significant estimates relate to our reserves for unpaid losses and loss adjustment expenses, earned premiums for crop insurance, valuation of investments, determination of other-than-temporary impairments, valuation allowances for deferred income tax assets, deferred policy acquisition costs, and the valuations used to establish intangible assets acquired related to business combinations. While we believe our estimates are appropriate, the ultimate amounts may differ from the estimates provided. We regularly review our methods for making these estimates as well as the continuing appropriateness of the estimated amounts, and we reflect any adjustment we consider necessary in our current results of operations.
Variable-Interest Entities	Variable-Interest Entities: Any company deemed to be a variable interest entity (“VIE”) is required to be consolidated by the primary beneficiary of the VIE. We assess our investments in other entities at inception to determine if any meet the qualifications of a VIE. We consider an investment in another company to be a VIE if (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) the characteristics of a controlling financial interest are missing (either the ability to make decisions through voting or other rights, the obligation to absorb expected losses of the entity or the right to receive the expected residual returns of the entity), or (c) the voting rights of the equity holders are not proportional to their obligations to absorb the expected losses of the entity and/or the rights to receive the expected residual returns of the entity, and substantially all of the entity’s activities either involve or are conducted on behalf of an investor that has disproportionately few voting rights. Upon the occurrence of certain events, we would reassess our initial determination of whether the investment is a VIE. We evaluate whether we are the primary beneficiary of each VIE and we consolidate the VIE if we have both (1) the power to direct the economically significant activities of the entity and (2) the obligation to absorb losses of, or the right to receive benefits from, the entity. We consider the contractual agreements that define the ownership structure, distribution of profits and losses, risks, responsibilities, indebtedness, voting rights, and board representation of the respective parties in determining whether we qualify as the primary beneficiary. Our assessment of whether we are the primary beneficiary of a VIE is performed at least annually. We control Battle Creek via a surplus note which provides us with the ability to appoint two-thirds of the Board of Directors of Battle Creek. Under the quota share reinsurance agreement that existed through December 31, 2019, Battle Creek’s operating results included only net investment income, bad debt expense, and income taxes. Effective January 1, 2020, the Company implemented an intercompany pooling reinsurance agreement, and Battle Creek’s operating results now include their participation in the underwriting results of the pool (2% during 2020 and 2021). See Note 13. Because we have concluded that we control Battle Creek, we consolidate the financial statements of Battle Creek, and Battle Creek’s policyholders’ interest in Battle Creek is reflected as a non-controlling interest in shareholders’ equity in our Consolidated Balance Sheet.
Cash and Cash Equivalents	Cash and Cash Equivalents: Cash and cash equivalents include certain investments in highly liquid debt instruments with original maturities of three months or less. Cost approximates fair value for these short-term investments.
Investments	Investments: We have categorized our investment portfolio as “available-for-sale” and have reported the portfolio at fair value. Unrealized gains and losses on fixed income securities, net of income taxes, are reported in accumulated other comprehensive income. Changes in unrealized gains and losses on equity securities are reported as a component of net capital gain on investments in our operating results. Fair values are based on quoted market prices or dealer quotes, if available. If a quoted market price is not available, fair 10 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) value is estimated using quoted market prices for similar securities. Amortization of premium and accretion of discount are computed using an effective interest method. Net investment income includes interest and dividend income together with amortization of purchase premiums and discounts, and is net of investment management and custody fees. Realized gains and losses on investments are determined using the specific identification method and are included in net capital gain (loss) on investments, along with the change in unrealized gains and losses on equity securities. We review our investments each quarter to determine whether a decline in fair value below the amortized cost basis is other than temporary. Accordingly, we assess whether we intend to sell or it is more likely than not that we will be required to sell a security before recovery of its amortized cost basis. For fixed income securities that are considered other-than-temporarily impaired and that we do not intend to sell and will not be required to sell prior to recovery of the amortized cost basis, we separate the amount of the impairment into the amount that is credit related (credit loss component) and the amount due to all other factors. The credit loss component is recognized in earnings and is the difference between the security’s amortized cost basis and the present value of its expected future cash flows discounted at the security’s effective yield. The remaining difference between the security’s fair value and the present value of future expected cash flows is due to factors that are not credit related and, therefore, is not required to be recognized as losses in the Consolidated Statement of Operations, but is recognized in other comprehensive income (loss). We classify each fair value measurement at the appropriate level in the fair value hierarchy. The hierarchy gives the highest priority to unadjusted quoted market price in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements). An asset’s or liability’s classification within the fair value hierarchy is based on the lowest level of significant input to its valuation. Level I – Quoted price in active markets for identical assets and liabilities. Level II – Quoted prices in markets that are not active or inputs that are observable either directly or indirectly. Level II inputs include quoted prices for similar assets or liabilities other than quoted in prices in Level I, quoted prices in markets that are not active, or other inputs that are observable or can be derived principally from or corroborated by observable market data for substantially the full term of the assets or liabilities. Level III – Unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Unobservable inputs reflect the reporting entity’s own assumptions that market participants would use in pricing the asset or liability. Level III assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.
Fair Value of Other Financial Instruments	Fair Value of Other Financial Instruments: Our other financial instruments, aside from investments, are cash and cash equivalents, premiums and agents’ balances receivable, and accrued expenses and accounts payable. The carrying amounts for cash and cash equivalents, premiums and agents’ balances receivable, and accrued expenses and accounts payable approximate their fair value based on their short-term nature. Other invested assets that do not have observable inputs and little or no market activity are carried on a cost basis, which is not materially different from fair value. All other invested assets have been assessed for impairment.
Revenue Recognition	Revenue Recognition: We record premiums written at policy inception and recognize them as revenue on a pro rata basis over the policy term or, in the case of crop insurance, over the period of risk. The portion of premiums that could be earned in the future is deferred and reported as unearned premiums. When policies lapse, the Company reverses the unearned portion of the written premium and removes the applicable unearned premium. Policy-related fee income is recognized when collected. The period of risk for our crop insurance program, which is comprised primarily of spring-planted crops, typically runs from April 1 (the approximate time when farmers can begin to work their fields) through December 15 (last date claims can be made for the most recent planting season). The crop insurance program provides indemnification for acreage that cannot be planted because of flood, drought, or other natural disaster (known as “prevented planting”). In cases where a valid prevented planting claim is made by an insured, the Company assumes that the risk period has ended as there will be no additional coverage under the policy, and the Company will immediately recognize the remaining unearned premium. 11 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) The Company uses the direct write-off method for recognizing bad debts. Accounts billed directly to the policyholder are provided grace payment and cancellation notice periods per state insurance regulations. Any earned but uncollected premiums are written off within 90 days after the effective date of policy cancellation. Direct Auto also provides for agency billing for a portion of their agents. Accounts billed to agents are due within 60 days of the statement date. The balances are carried as agents’ balances receivable until it is determined the amount is not collectible from the agent. At that time, the balance is written off as uncollectible. The agent is responsible for all past due balances. As part of its agent appointment, Direct Auto requires a personal guarantee for all balances due to Direct Auto from the principal of the contracted agency.
Policy Acquisition Costs	Policy Acquisition Costs: We defer our policy acquisition costs, consisting primarily of commissions, state premium taxes and certain other underwriting costs, reduced by ceding commissions, which vary with and relate directly to the production of business. We amortize these deferred policy acquisition costs over the period in which we earn the premiums. The method we follow in computing deferred policy acquisition costs limits the amount of such deferred costs to their estimated realizable value, which gives effect to the premium to be earned, related investment income, losses and loss adjustment expenses, and certain other costs we expect to incur as we earn the premium.
Property and Equipment	Property and Equipment: We report property and equipment at cost less accumulated depreciation. Depreciation is computed using the straight-line method based upon the estimated useful lives of the assets.
Losses and Loss Adjustment Expenses	Losses and Loss Adjustment Expenses: Liabilities for unpaid losses and loss adjustment expenses are estimates at a given point in time of the amounts we expect to pay with respect to policyholder claims based on facts and circumstances then known. At the time of establishing our estimates, we recognize that our ultimate liability for losses and loss adjustment expenses will exceed or be less than such estimates. We base our estimates of liabilities for unpaid losses and loss adjustment expenses on assumptions as to future loss trends, expected claims severity, judicial theories of liability, and other factors. During the loss adjustment period, we may learn additional facts regarding certain claims, and, consequently, it often becomes necessary for us to refine and adjust our estimates of the liability. We reflect any adjustments to our liabilities for unpaid losses and loss adjustment expenses in our operating results in the period in which we determine the need for a change in the estimates. We maintain liabilities for unpaid losses and loss adjustment expenses with respect to both reported and unreported claims. We establish these liabilities for the purpose of covering the ultimate costs of settling all losses, including investigation and litigation costs. We base the amount of our liability for reported losses primarily upon a case-by-case evaluation of the type of risk involved, knowledge of the circumstances surrounding each claim, and the insurance policy provisions relating to the type of loss our policyholder incurred. We determine the amount of our liability for unreported losses and loss adjustment expenses on the basis of historical information by line of insurance. Inflation is not explicitly selected in the loss reserve analysis. However, historical inflation is embedded in the estimated loss development factors. We closely monitor our liabilities and update them periodically using new information on reported claims and a variety of statistical techniques. We do not discount our liabilities for unpaid losses and loss adjustment expenses. Reserve estimates can change over time because of unexpected changes in assumptions related to our external environment and, to a lesser extent, assumptions as to our internal operations. Assumptions related to our external environment include the absence of significant changes in tort law and the legal environment which may impact liability exposure, the trends in judicial interpretations of insurance coverage and policy provisions, and the rate of loss cost inflation. Internal assumptions include consistency in the recording of premium and loss statistics, consistency in the recording of claims, payment and case reserving methodologies, accurate measurement of the impact of rate changes and changes in policy provisions, consistency in the quality and characteristics of business written within a given line of business, and consistency in reinsurance coverage and collectability of reinsured losses, among other items. To the extent we determine that underlying factors impacting our assumptions have changed, we attempt to make appropriate adjustments for such changes in our reserves. Accordingly, our ultimate liability for unpaid losses and loss adjustment expenses will likely differ from the amount recorded.
Income Taxes	Income Taxes: With the exception of Battle Creek, which files a stand-alone federal income tax return, we currently file a consolidated federal income tax return which includes NI Holdings and its wholly-owned subsidiaries. Direct Auto and Westminster became part of the consolidated federal income tax return as of their acquisition dates. Insurance companies typically pay state premium taxes rather than state income taxes. However, Direct Auto is subject to state income taxes in the state of Illinois, in addition to state premium taxes. Additionally, NI Holdings, on a stand-alone basis, pays state income taxes to the state of North Dakota for income or losses generated as a separate financial entity. While state premium taxes are included as a part of amortization of deferred policy acquisition costs, state income taxes are combined with federal income taxes within the financial reporting category labeled income tax expense (benefit). The Company does not have any material uncertain tax positions. The Company’s policy is to recognize tax-related interest and penalties accrued related to unrecognized benefits as a component of income tax expense (benefit). The Company did not recognize any tax-related interest and penalties, nor did it have any tax-related interest or penalties accrued as of March 31, 2021 and December 31, 2020. We account for deferred income taxes using the asset and liability method. The objective of the asset and liability method is to establish deferred income tax assets and liabilities for the temporary differences between the financial reporting basis and the income tax basis of our assets and liabilities at enacted tax rates expected to be in effect when we realize or settle such amounts. We re-measure existing deferred income tax assets (including loss carryforwards) and liabilities when a change in tax rate occurs, and record an offset for the net amount of the change as a component of income tax expense from continuing operations in the period of enactment. We also record any change to a previously recorded valuation allowance as a result of re-measuring existing temporary differences and loss carryforwards to be reflected as a component of income tax expense (benefit) from continuing operations. The Company has elected to reclassify any tax effects stranded in accumulated other comprehensive income as a result of a change in income tax rates to retained earnings.
Earnings Per Share	Earnings Per Share: Earnings per share are computed by dividing net income available to common shareholders for the period by the weighted average number of common shares outstanding for the same period. Unearned shares related to the Company’s Employee Stock Ownership Plan are not considered outstanding until they are released and allocated to plan participants. Unearned shares related to the Company’s Restricted Stock Units and Performance Share Units are not considered outstanding until they are earned by award participants. See Notes 14 and 20.
Credit Risk	Credit Risk: Our primary investment objective is to earn competitive returns by investing in a diversified portfolio of securities. Our portfolio of fixed income securities and, to a lesser extent, short-term investments, is subject to credit risk. We define this risk as the potential loss in fair value resulting from adverse changes in the borrower’s ability to repay the debt. We manage this risk by performing an analysis of prospective investments and through regular reviews of our portfolio by our management team and investment advisors. We also limit the amount of our total investment portfolio that we invest in any one security. Property and liability insurance coverages are marketed through captive agents in North Dakota and through independent insurance agencies located throughout all other operating areas. All business, except for the majority of Direct Auto’s business, is billed directly to the policyholders. We maintain cash balances primarily at one bank, which are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $ 250. During the normal course of business, balances are maintained above the FDIC insurance limit. The Company maintains short-term investment balances in investment grade money market accounts that are insured by the Securities Investor Protection Corporation (“SIPC”) up to $ 500. On occasion, balances for these accounts are maintained in excess of the SIPC insurance limit. 13 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts)
Reinsurance	Reinsurance: The Company limits the maximum net loss that can arise from large risks or risks in concentrated areas of exposure by reinsuring (ceding) certain levels of risks to other insurers or reinsurers, either on an automatic basis under general reinsurance contracts knows as “treaties” or by negotiation on substantial individual risks. Ceded reinsurance is treated as the risk and liability of the assuming companies. Reinsurance contracts do not relieve the Company from its obligations to policyholders. In the event that all or any of the reinsuring companies might be unable to meet their obligations under existing reinsurance agreements, the Company would be liable for such defaulted amounts.
Goodwill and Other Intangibles	Goodwill and Other Intangibles: Goodwill represents the excess of the purchase price over the underlying fair value of acquired entities. When completing acquisitions, we seek also to identify separately identifiable intangible assets that we have acquired. We assess goodwill and other intangibles with an indefinite useful life for impairment annually. We also assess goodwill and other intangibles for impairment upon the occurrence of certain events. In making our assessment, we consider a number of factors including operating results, business plans, economic projections, anticipated future cash flows, and current market data. Inherent uncertainties exist with respect to these factors and to our judgment in applying them when we make our assessment. Impairment of goodwill and other intangibles could result from changes in economic and operating conditions in future periods. We did not record any impairments of goodwill or other intangibles during the three month periods ended March 31, 2021 and 2020. Goodwill arising from the acquisition of Primero in 2014 represents the excess of the purchase price over the fair value of the net assets acquired. The purchase price in excess of the fair value of net assets acquired was negotiated at arms-length with an unrelated party and was based upon the strategic decision by Company management to expand both the geographic footprint and product lines of the Company. The nature of the business acquired was such that there were limited intangibles not reflected in the net assets acquired. The purchase price was paid with a combination of cash and cancellation of obligations owed to the acquired company by the sellers. The goodwill which arose from this transaction is included in the basis of the net assets acquired and is not deductible for income tax purposes. Intangible assets arising from the acquisition of Direct Auto in 2018 represent the estimated fair values of certain intangible assets, including a favorable lease contract, a state insurance license, the value of the Direct Auto trade name, and the value of business acquired (“VOBA”). The state insurance license asset has an indefinite life, while the favorable lease contract, Direct Auto trade name, and VOBA assets will be amortized over eighteen months, five years, and twelve months, respectively, from the August 31, 2018 acquisition/valuation date. Goodwill arising from the acquisition of Westminster in January 2020 represents the excess of the purchase price over the fair value of the net assets acquired. The purchase price in excess of the fair value of net assets acquired was negotiated at arms-length with an unrelated party and was based upon the strategic decision by Company management to expand both the geographic footprint and commercial business product line of the Company. Other intangible assets arising from the acquisition of Westminster represent the estimated fair values of certain intangible assets, including state insurance licenses, the value of Westminster’s distribution network, the value of the Westminster trade name, and the VOBA. The state insurance license asset has an indefinite life, while the distribution networks, Westminster trade name, and VOBA assets will be amortized over twenty years, ten years, and twelve months, respectively, from the January 1, 2020 acquisition/valuation date.

Acquisition of Westminster Am_2

Acquisition of Westminster American Insurance Company (Tables)	3 Months Ended
	Mar. 31, 2021
Business Combinations [Abstract]
Schedule of Identified Assets Acquired and Liabilities Assumed	The Company paid $20,000 in cash consideration to the private shareholder of Westminster as of the closing date, with an additional $20,000 to be paid in three equal annual installments. The acquisition of Westminster did not include any contingent consideration other than a provision regarding future changes to federal income tax rates. The following table summarizes the consideration transferred to acquire Westminster and the amounts of identified assets acquired and liabilities assumed at the acquisition date: Fair Value of Consideration: Cash consideration transferred $ 20,000 Present value of future cash consideration 18,787 Total cash consideration $ 38,787 Fair Value of Identifiable Assets Acquired and Liabilities Assumed: Identifiable net assets: Cash and cash equivalents $ 19,297 Fixed income securities 12,073 Equity securities 2,705 Other investments 735 Premiums and agents' balances receivable 8,507 Reinsurance recoverables on losses 763 Accrued investment income 70 Property and equipment 2,376 Federal income tax recoverable 138 State insurance licenses (included in goodwill and other intangibles) 1,800 Distribution network (included in goodwill and other intangibles) 6,700 Trade name (included in goodwill and other intangibles) 500 Value of business acquired (included in goodwill and other intangibles) 4,750 Other assets 76 Unpaid losses and loss adjustment expenses (8,568 ) Unearned premiums (16,611 ) Deferred income taxes, net (1,583 ) Reinsurance premiums payable (565 ) Accrued expenses and other liabilities (1,132 ) Total identifiable net assets $ 32,031 Goodwill $ 6,756

Investments (Tables)

Investments (Tables)	3 Months Ended
	Mar. 31, 2021
Marketable Securities [Abstract]
Schedule of amortized cost and estimated fair value of securities	The amortized cost and estimated fair value of fixed income securities as of March 31, 2021 and December 31, 2020, were as follows: March 31, 2021 Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Fixed income securities: U.S. Government and agencies $ 15,195 $ 680 $ (145 ) $ 15,730 Obligations of states and political subdivisions 65,635 2,594 (269 ) 67,960 Corporate securities 152,649 5,730 (1,437 ) 156,942 Residential mortgage-backed securities 41,001 1,299 (206 ) 42,094 Commercial mortgage-backed securities 27,031 1,064 (106 ) 27,989 Asset-backed securities 50,471 332 (188 ) 50,615 Total fixed income securities $ 351,982 $ 11,699 $ (2,351 ) $ 361,330 December 31, 2020 Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Fixed income securities: U.S. Government and agencies $ 13,334 $ 1,055 $ (6 ) $ 14,383 Obligations of states and political subdivisions 61,001 3,278 (35 ) 64,244 Corporate securities 119,826 8,755 (147 ) 128,434 Residential mortgage-backed securities 35,017 1,478 (1 ) 36,494 Commercial mortgage-backed securities 23,976 1,700 (21 ) 25,655 Asset-backed securities 50,751 535 (86 ) 51,200 Total fixed income securities $ 303,905 $ 16,801 $ (296 ) $ 320,410
Schedule of amortized cost and fair value of fixed income securities by contractual maturity	The amortized cost and estimated fair value of fixed income securities by contractual maturity are shown below. Actual maturities could differ from contractual maturities because issuers of the securities may have the right to call or prepay certain obligations, which may or may not include call or prepayment penalties. March 31, 2021 Amortized Cost Fair Value Due to mature: One year or less $ 22,846 $ 23,071 After one year through five years 87,767 91,773 After five years through ten years 85,183 86,921 After ten years 37,683 38,867 Mortgage / asset-backed securities 118,503 120,698 Total fixed income securities $ 351,982 $ 361,330 December 31, 2020 Amortized Cost Fair Value Due to mature: One year or less $ 17,722 $ 17,933 After one year through five years 86,709 91,457 After five years through ten years 59,408 64,987 After ten years 30,322 32,684 Mortgage / asset-backed securities 109,744 113,349 Total fixed income securities $ 303,905 $ 320,410
Schedule of unrealized loss of securities	The investment category and duration of the Company’s gross unrealized losses on fixed income securities were as follows: March 31, 2021 Less than 12 Months Greater than 12 months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Fixed income securities: U.S. Government and agencies $ 3,177 $ (145 ) $ - $ - $ 3,177 $ (145 ) Obligations of states and political subdivisions 8,498 (269 ) - - 8,498 (269 ) Corporate securities 38,660 (1,341 ) 1,481 (96 ) 40,141 (1,437 ) Residential mortgage-backed securities 14,466 (206 ) - - 14,466 (206 ) Commercial mortgage-backed securities 4,575 (106 ) - - 4,575 (106 ) Asset-backed securities 14,237 (177 ) 1,486 (11 ) 15,723 (188 ) Total fixed income securities $ 83,613 $ (2,244 ) $ 2,967 $ (107 ) $ 86,580 $ (2,351 ) December 31, 2020 Less than 12 Months Greater than 12 months Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Fixed income securities: U.S. Government and agencies $ 931 $ (6 ) $ - $ - $ 931 $ (6 ) Obligations of states and political subdivisions 1,806 (35 ) - - 1,806 (35 ) Corporate securities 3,215 (97 ) 734 (50 ) 3,949 (147 ) Residential mortgage-backed securities 68 (1 ) - - 68 (1 ) Commercial mortgage-backed securities 1,103 (21 ) - - 1,103 (21 ) Asset-backed securities 5,785 (31 ) 4,188 (55 ) 9,973 (86 ) Total fixed income securities $ 12,908 $ (191 ) $ 4,922 $ (105 ) $ 17,830 $ (296 )
Schedule of net investment income	Net investment income consisted of the following: Three Months Ended March 31, 2021 2020 Fixed income securities $ 2,011 $ 2,309 Equity securities 265 325 Real estate 156 146 Cash and cash equivalents 1 20 Total gross investment income 2,433 2,800 Investment expenses 897 829 Net investment income $ 1,536 $ 1,971
Schedule of net realized gain (loss) on investments	Net capital gain (loss) on investments consisted of the following: Three Months Ended March 31, 2021 2020 Gross realized gains: Fixed income securities $ 110 $ 85 Equity securities 3,915 1,515 Total gross realized gains 4,025 1,600 Gross realized losses, excluding other-than-temporary impairment losses: Fixed income securities (9 ) (23 ) Equity securities (114 ) (562 ) Total gross realized losses, excluding other-than-temporary impairment losses (123 ) (585 ) Net realized gain on investments 3,902 1,015 Change in net unrealized gain on equity securities 1,909 (15,934 ) Net capital gain (loss) on investments $ 5,811 $ (14,919 )

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2021
Investments, All Other Investments [Abstract]
Schedule of Financial Instruments at Fair Value Measured on a Recurring Basis	The following tables set forth our assets which are measured on a recurring basis by the level within the fair value hierarchy in which fair value measurements fall: March 31, 2021 Total Level I Level II Level III Fixed income securities: U.S. Government and agencies $ 15,730 $ - $ 15,730 $ - Obligations of states and political subdivisions 67,960 - 67,960 - Corporate securities 156,942 - 156,942 - Residential mortgage-backed securities 42,094 - 42,094 - Commercial mortgage-backed securities 27,989 - 27,989 - Asset-backed securities 50,615 - 50,615 - Total fixed income securities 361,330 - 361,330 - Equity securities: Basic materials 1,607 1,607 - - Communications 8,757 8,757 - - Consumer, cyclical 11,125 11,125 - - Consumer, non-cyclical 16,045 16,045 - - Energy 2,015 2,015 - - Financial 6,737 6,737 - - Industrial 15,002 15,002 - - Technology 17,742 17,742 - - Utility 333 333 - Total equity securities 79,363 79,363 - - Cash and cash equivalents 52,683 37,694 14,989 - Total assets at fair value $ 493,376 $ 117,057 $ 376,319 $ - 21 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) December 31, 2020 Total Level I Level II Level III Fixed income securities: U.S. Government and agencies $ 14,383 $ - $ 14,383 $ - Obligations of states and political subdivisions 64,244 - 64,244 - Corporate securities 128,434 - 128,434 - Residential mortgage-backed securities 36,494 - 36,494 - Commercial mortgage-backed securities 25,655 - 25,655 - Asset-backed securities 51,200 - 51,200 - Total fixed income securities 320,410 - 320,410 - Equity securities: Basic materials 1,285 1,285 - - Communications 7,455 7,455 - - Consumer, cyclical 9,929 9,929 - - Consumer, non-cyclical 14,633 14,633 - - Energy 1,499 1,499 - - Financial 6,235 6,235 - - Industrial 12,733 12,733 - - Technology 16,145 16,145 - - Utility 38 38 - - Total equity securities 69,952 69,952 - - Cash and cash equivalents 101,077 65,354 35,723 - Total assets at fair value $ 491,439 $ 135,306 $ 356,133 $ -

Reinsurance (Tables)

Reinsurance (Tables)	3 Months Ended
	Mar. 31, 2021
Reinsurance Disclosures [Abstract]
Schedule of reconciliation of direct to net premiums on both a written and an earned basis	A reconciliation of direct to net premiums on both a written and an earned basis is as follows: Three Months Ended March 31, 2021 Premiums Written Premiums Earned Direct premium $ 72,420 $ 68,743 Assumed premium 1,450 1,448 Ceded premium (7,114 ) (7,056 ) Net premiums $ 66,756 $ 63,135 Percentage of assumed earned premium to direct earned premium 2.1 % Three Months Ended March 31, 2020 Premiums Written Premiums Earned Direct premium $ 62,972 $ 62,393 Assumed premium 1,600 1,600 Ceded premium (5,170 ) (5,221 ) Net premiums $ 59,402 $ 58,772 Percentage of assumed earned premium to direct earned premium 2.6%
Schedule of reconciliation of direct to net losses and loss adjustment expenses	A reconciliation of direct to net losses and loss adjustment expenses is as follows: Three Months Ended March 31, 2021 2020 Direct losses and loss adjustment expenses $ 37,578 $ 33,892 Assumed losses and loss adjustment expenses 948 308 Ceded losses and loss adjustment expenses (1,637 ) (3,778 ) Net losses and loss adjustment expenses $ 36,889 $ 30,422 23 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts)

Deferred Policy Acquisition C_2

Deferred Policy Acquisition Costs (Tables)	3 Months Ended
	Mar. 31, 2021
Reinsurance Disclosures [Abstract]
Schedule of deferred policy acquisition costs	Activity with regards to our deferred policy acquisition costs was as follows: Three Months Ended March 31, 2021 2020 Balance, beginning of period $ 23,968 $ 15,399 Deferral of policy acquisition costs 16,194 13,152 Amortization of deferred policy acquisition costs (13,587 ) (9,387 ) Balance, end of period $ 26,575 $ 19,164

Unpaid Losses and Loss Adjust_2

Unpaid Losses and Loss Adjustment Expenses (Tables)	3 Months Ended
	Mar. 31, 2021
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]
Schedule of Activity in the liability for unpaid losses and loss adjustment expenses	Activity in the liability for unpaid losses and loss adjustment expenses is summarized as follows: Three Months Ended March 31, 2021 2020 Balance at beginning of period: Liability for unpaid losses and loss adjustment expenses $ 105,750 $ 93,250 Reinsurance recoverables on losses 8,710 4,045 Net balance at beginning of period 97,040 89,205 Acquired unpaid losses and loss adjustment expenses related to: Current year - - Prior years - 8,568 Total incurred - 8,568 Incurred related to: Current year 34,366 29,912 Prior years 2,523 510 Total incurred 36,889 30,422 Paid related to: Current year 13,415 12,532 Prior years 18,262 26,330 Total paid 31,677 38,862 Balance at end of period: Liability for unpaid losses and loss adjustment expenses 111,522 97,400 Reinsurance recoverables on losses 9,270 8,067 Net balance at end of period $ 102,252 $ 89,333

Property and Equipment (Tables)

Property and Equipment (Tables)	3 Months Ended
	Mar. 31, 2021
Reinsurance Disclosures [Abstract]
Schedule of Property and equipment	Property and equipment consisted of the following: March 31, 2021 December 31, 2020 Estimated Useful Life Cost: Real estate $ 15,327 $ 15,313 10-31 years Electronic data processing equipment 1,289 1,271 5-7 years Furniture and fixtures 2,867 2,867 5-7 years Automobiles 1,271 1,275 2-3 years Gross cost 20,754 20,726 Accumulated depreciation (10,911 ) (10,827 ) Total property and equipment, net $ 9,843 $ 9,899

Goodwill and Other Intangibles

Goodwill and Other Intangibles (Tables)	3 Months Ended
	Mar. 31, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Carrying Amount of Goodwill by Segment	The following table presents the carrying amount of the Company’s goodwill by segment: March 31, 2021 December 31, 2020 Non-standard auto from acquisition of Primero $ 2,628 $ 2,628 Commercial from acquisition of Westminster 6,756 6,756 Total $ 9,384 $ 9,384
Schedule of Carrying Amount of Other Intangible Assets	The following table presents the carrying amount of the Company’s other intangible assets: March 31, 2021 Gross Carrying Amount Accumulated Amortization Net Subject to amortization: Trade names $ 748 $ 191 $ 557 Distribution network 6,700 465 6,235 Total subject to amortization 7,448 656 6,792 Not subject to amortization – state insurance licenses 1,900 - 1,900 Total $ 9,348 $ 656 $ 8,692 25 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Subject to amortization: Trade names $ 748 $ 166 $ 582 Distribution network 6,700 372 6,328 Total subject to amortization 7,448 538 6,910 Not subject to amortization – state insurance license 1,900 - 1,900 Total $ 9,348 $ 538 $ 8,810
Schedule of Estimated Amortization of Other Intangible Assets	Other intangible assets that have finite lives, including trade names and distribution networks, are amortized over their useful lives. As of March 31, 2021, the estimated amortization of other intangible assets with finite lives for the next five years in the period ended December 31, 2025, and thereafter is as follows: Year ending December 31, Amount 2021 $ 354 2022 472 2023 455 2024 422 2025 422 Thereafter 4,667 Total other intangible assets with finite lives $ 6,792

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2021
Related Party Transactions [Abstract]
Schedule of Pooling Share Percentages	For the three months ended March 31, 2021 and the year ended December 31, 2020, the pooling share percentages by insurance company subsidiary were: Pool Percentage Nodak Insurance Company 66.0 % American West Insurance Company 7.0 % Primero Insurance Company 3.0 % Battle Creek Mutual Insurance Company 2.0 % Direct Auto Insurance Company 13.0 % Westminster American Insurance Company 9.0 % Total 100.0 %
Schedule of illustrates the impact of consolidating Battle Creek into our consolidated balance sheets prior to intercompany eliminations	The following tables illustrates the impact of including Battle Creek in our Consolidated Balance Sheets and Statements of Operations prior to intercompany eliminations: March 31, 2021 December 31, 2020 Assets: Cash and cash equivalents $ 3,649 $ 6,055 Investments 10,134 5,543 Premiums and agents’ balances receivable 4,577 4,738 Deferred policy acquisition costs 531 479 Pooling receivable (1) - 920 Reinsurance recoverables on losses (2) 6,096 5,646 Accrued investment income 52 27 Deferred income tax asset 133 101 Property and equipment 334 337 Other assets 47 49 Total assets $ 25,553 $ 23,895 Liabilities: Unpaid losses and loss adjustment expenses $ 2,549 $ 2,445 Unearned premiums 2,453 2,381 Notes payable (1) 3,000 3,000 Reinsurance losses payable (2) 10,349 11,221 Pooling payable (1) 2,536 - Accrued expenses and other liabilities 239 303 Total liabilities 21,126 19,350 Equity: Non-controlling interest 4,427 4,545 Total equity 4,427 4,545 Total liabilities and equity $ 25,553 $ 23,895 (1) Amount fully eliminated in consolidation. (2) Amount partly eliminated in consolidation. Three Months Ended March 31, 2021 2020 Revenues: Net premiums earned $ 1,263 $ - Fee and other income (3 ) (2 ) Net investment income 8 39 Net capital gain on investments - 5 Total revenues 1,268 42 Expenses: Losses and loss adjustment expenses 738 - Amortization of deferred policy acquisition costs 272 - Other underwriting and general expenses 116 - Total expenses 1,126 - Income before income taxes 142 42 Income tax expense 29 10 Net income $ 113 $ 32

Operating Leases (Tables)

Operating Leases (Tables)	3 Months Ended
	Mar. 31, 2021
Surplus Notes [Member]
Schedule of Minimum Future Commitments Under Non-Cancellable Leases	As of March 31, 2021, we have minimum future commitments under non-cancellable leases as follows: Year ending December 31, Estimated Future Minimum Commitments 2021 $ 188 2022 319 2023 358 2024 320 2025 286 Thereafter 1,066

Common Stock (Tables)

Common Stock (Tables)	3 Months Ended
	Mar. 31, 2021
Common Stock Tables Abstract
Schedule of number of common stock shares	Changes in the number of common stock shares outstanding are as follows: Three Months Ended March 31, 2021 2020 Shares outstanding, beginning of period 21,318,638 22,119,380 Treasury shares repurchased through stock repurchase authorization (32,326 ) (123,264 ) Issuance of treasury shares for vesting of restricted stock units 86,460 19,042 Shares outstanding, end of period 21,372,772 22,015,158

Stock Based Compensation (Table

Stock Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2021
Share-based Payment Arrangement [Abstract]
Schedule of RSU activity	A summary of the Company’s outstanding and unearned restricted stock units is presented below: RSUs Weighted-Average Grant-Date Fair Value Per Share Units outstanding and unearned at January 1, 2020 96,540 $ 16.47 RSUs granted during 2020 66,000 14.27 RSUs earned during 2020 (46,760 ) 16.33 Units outstanding and unearned at December 31, 2020 115,780 $ 15.27 RSUs granted during 2021 43,100 18.64 RSUs earned during 2021 (37,320 ) 16.64 Units outstanding and unearned at March 31, 2021 121,560 $ 16.05
Schedule of Restricted Stock Outstanding	The following table shows the impact of RSU activity to the Company’s financial results: Three Months Ended March 31, 2021 2020 RSU compensation expense $ 388 $ 420 Income tax benefit (81 ) (88 ) RSU compensation expense, net of income taxes $ 307 $ 332
Schedule of Performance Stock Outstanding	A summary of the Company’s outstanding performance share units is presented below: PSUs Weighted-Average Grant-Date Fair Value Per Share Units outstanding at January 1, 2020 111,000 $ 15.27 PSUs granted during 2020 (at target) 63,600 14.26 Units outstanding at December 31, 2020 174,600 $ 15.15 PSUs granted during 2021 (at target) 64,600 18.64 PSUs earned during 2021 (70,363 ) 16.25 Performance adjustment (1) 24,300 16.25 Forfeitures (2,537 ) 16.25 Units outstanding at March 31, 2021 190,600 $ 16.06
Schedule of PSU activity	The following table shows the impact of PSU activity to the Company’s financial results: Three Months Ended March 31, 2021 2020 PSU compensation expense $ 284 $ 293 Income tax benefit (60 ) (62 ) PSU compensation expense, net of income taxes $ 224 $ 231

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Schedule of revenue by insurance product line	Three Months Ended March 31, 2021 Private Passenger Auto Non-Standard Auto Home and Farm Crop Commercial All Other Total Direct premiums earned $ 18,688 $ 13,581 $ 20,583 $ (16 ) $ 14,722 $ 1,185 $ 68,743 Assumed premiums earned - - - - - 1,448 1,448 Ceded premiums earned (1,190 ) (323 ) (3,129 ) 63 (2,384 ) (93 ) (7,056 ) Net premiums earned 17,498 13,258 17,454 47 12,338 2,540 63,135 Direct losses and LAE 12,559 4,800 7,888 572 11,464 295 37,578 Assumed losses and LAE - - - - - 948 948 Ceded losses and LAE (305 ) - (256 ) (11 ) (1,065 ) - (1,637 ) Net losses and LAE 12,254 4,800 7,632 561 10,399 1,243 36,889 Gross margin 5,244 8,458 9,822 (514 ) 1,939 1,297 26,246 Underwriting and general expenses 5,359 4,414 5,611 536 4,615 703 21,238 Underwriting gain (loss) (115 ) 4,044 4,211 (1,050 ) (2,676 ) 594 5,008 Fee and other income 332 317 4,376 Net investment income 1,536 Net capital gain on investments​​ 5,811 Income before income taxes 12,672 Income tax expense 2,890 Net income 9,782 Net income attributable to non-controlling interest 113 Net income attributable to NI Holdings, Inc. 9,669 Non-GAAP Ratios: Loss and LAE ratio 70.0% 36.2% 43.7% n/a 84.3% 48.9% 58.4% Expense ratio 30.6% 33.3% 32.1% n/a 37.4% 27.7% 33.6% Combined ratio 100.7% 69.5% 75.9% n/a 121.7% 76.6% 92.1% Balances at March 31, 2021: Premiums and agents’ balances receivable $ 19,028 $ 8,568 $ 9,102 $ - $ 11,964 $ 663 $ 49,325 Deferred policy acquisition  costs 5,934 6,099 8,170 - 5,883 489 26,575 Reinsurance recoverables 717 - 588 9 5,741 2,215 9,270 Receivable from Federal Crop Insurance Corporation - - - 5,182 - - 5,182 Goodwill and other intangibles - 2,848 - - 15,228 - 18,076 Unpaid losses and LAE 22,503 40,289 12,657 96 25,447 10,530 111,522 Unearned premiums 28,912 19,218 40,706 - 31,639 2,983 123,458 35 Table of Contents NI Holdings, Inc. Notes to Unaudited Consolidated Financial Statements (dollar amounts in thousands, except per share amounts) Three Months Ended March 31, 2020 Private Passenger Auto Non-Standard Auto Home and Farm Crop Commercial All Other Total Direct premiums earned $ 18,397 $ 13,194 $ 20,158 $ (5 ) $ 9,505 $ 1,144 $ 62,393 Assumed premiums earned - - - - - 1,600 1,600 Ceded premiums earned (1,098 ) (43 ) (2,537 ) 184 (1,652 ) (75 ) (5,221 ) Net premiums earned 17,299 13,151 17,621 179 7,853 2,669 58,772 Direct losses and LAE 11,129 5,940 7,668 2,811 5,919 425 33,892 Assumed losses and LAE - - - - - 308 308 Ceded losses and LAE - - (1,130 ) (444 ) (2,204 ) - (3,778 ) Net losses and LAE 11,129 5,940 6,538 2,367 3,715 733 30,422 Gross margin 6,170 7,211 11,083 (2,188 ) 4,138 1,936 28,350 Underwriting and general expenses 4,810 5,197 4,889 702 3,929 632 20,159 Underwriting gain (loss) 1,360 2,014 6,194 (2,890 ) 209 1,304 8,191 Fee and other income 329 362 2,343 Net investment income 1,971 Net capital loss on investments​​ (14,919 ) Loss before income taxes (4,395 ) Income tax benefit (840 ) Net loss (3,555 ) Net income attributable to non-controlling interest 32 Net loss attributable to NI Holdings, Inc. $ (3,587 ) Non-GAAP Ratios: Loss and LAE ratio 64.3% 45.2% 37.1% n/a 47.3% 27.5% 51.8% Expense ratio 27.8% 39.5% 27.7% n/a 50.0% 23.7% 34.3% Combined ratio 92.1% 84.7% 64.8% n/a 97.3% 51.1% 86.1% Balances at March 31, 2020: Premiums and agents’ balances receivable $ 18,657 $ 10,557 $ 9,204 $ - $ 9,254 $ 611 $ 48,283 Deferred policy acquisition  costs 5,175 4,952 7,124 - 1,504 409 19,164 Reinsurance recoverables 500 - 2,060 600 3,434 1,473 8,067 Receivable from Federal Crop Insurance Corporation - - - 5,240 - - 5,240 Goodwill and other intangibles - 2,897 - - 18,354 - 21,251 Unpaid losses and LAE 19,952 42,000 10,401 3,945 12,248 8,854 97,400 Unearned premiums 28,426 17,260 39,542 - 18,444 2,738 106,410

Organization (Details)

Organization (Details) - Nodak Insurance [Member]	3 Months Ended
	Mar. 31, 2021
Percentage of shares exchanged	55.00%
Ownership percentage	100.00%

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Narrative) (Details) $ in Thousands	Mar. 31, 2021USD ($)
Accounting Policies [Abstract]
Federal Deposit Insurance Corporation amount	$ 250
Short-term investment balances in investment that are insured by SIPC	$ 500

Acquisition of Westminster Am_3

Acquisition of Westminster American Insurance Company (Narrative) (Details) - Westminster American Insurance Company [Member] $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)Number	Dec. 31, 2020USD ($)	Jan. 02, 2020	Dec. 31, 2019USD ($)
Business Acquisition [Line Items]
Ownership percentage in acquisition			100.00%
Acquisition related costs incurred		$ 828		$ 83
Additional acquisition of entity	$ 20,000
Number of installments | Number	3
Useful life of other intangible assets	20 years

Acquisition of Westminster Am_4

Acquisition of Westminster American Insurance Company (Schedule of Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Identifiable net assets:
Goodwill	$ 9,384	$ 9,384
Westminster American Insurance Company [Member]
Fair Value of Consideration:
Cash consideration transferred	20,000
Present value of future cash consideration	18,787
Total cash consideration	38,787
Identifiable net assets:
Cash and cash equivalents	19,297
Fixed income securities	12,073
Equity securities	2,705
Other investments	735
Premiums and agents' balances receivable	8,507
Reinsurance recoverables on losses	763
Accrued investment income	70
Property and equipment	2,376
Federal income tax recoverable	138
State insurance licenses (included in goodwill and other intangibles)	1,800
Distribution network (included in goodwill and other intangibles)	6,700
Trade name (included in goodwill and other intangibles)	500
Value of business acquired (included in goodwill and other intangibles)	4,750
Other assets	76
Unpaid losses and loss adjustment expenses	(8,568)
Unearned premiums	(16,611)
Deferred income taxes, net	(1,583)
Reinsurance premiums payable	(565)
Accrued expenses and other liabilities	(1,132)
Total identifiable net assets	32,031
Goodwill	$ 6,756	$ 6,756

Investments (Narrative) (Detail

Investments (Narrative) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021USD ($)	Dec. 31, 2020USD ($)
Investments [Abstract]
Fixed income securities with a fair value	$ 7,852	$ 6,093
Percentage of fixed maturities amortized cost values	80.00%
Fixed income securities [Member]
Investments [Abstract]
Number of securities	167	67

Investments (Schedule of amorti

Investments (Schedule of amortized cost and estimated fair value of investment securities) (Details) - Fixed income securities [Member] - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Cost or Amortized Cost	$ 351,982	$ 303,905
Gross Unrealized Gains	11,699	16,801
Gross Unrealized Losses	(2,351)	(296)
Fair Value	361,330	320,410
U.S. Government and agencies [Member]
Cost or Amortized Cost	15,195	13,334
Gross Unrealized Gains	680	1,055
Gross Unrealized Losses	(145)	(6)
Fair Value	15,730	14,383
Obligations of states and political subdivisions [Member]
Cost or Amortized Cost	65,635	61,001
Gross Unrealized Gains	2,594	3,278
Gross Unrealized Losses	(269)	(35)
Fair Value	67,960	64,244
Corporate securities [Member]
Cost or Amortized Cost	152,649	119,826
Gross Unrealized Gains	5,730	8,755
Gross Unrealized Losses	(1,437)	(147)
Fair Value	156,942	128,434
Residential mortgage-backed securities [Member]
Cost or Amortized Cost	41,001	35,017
Gross Unrealized Gains	1,299	1,478
Gross Unrealized Losses	(206)	(1)
Fair Value	42,094	36,494
Commercial mortgage-backed securities [Member]
Cost or Amortized Cost	27,031	23,976
Gross Unrealized Gains	1,064	1,700
Gross Unrealized Losses	(106)	(21)
Fair Value	27,989	25,655
Asset backed securities [Member]
Cost or Amortized Cost	50,471	50,751
Gross Unrealized Gains	332	535
Gross Unrealized Losses	(188)	(86)
Fair Value	$ 50,615	$ 51,200

Investments (Schedule of Fixed

Investments (Schedule of Fixed Maturities) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Marketable Securities [Abstract]
Amortized Cost, Due to mature One year or less	$ 22,846	$ 17,722
Amortized Cost, Due to mature After one year through five years	87,767	86,709
Amortized Cost, Due to mature After five years through ten years	85,183	59,408
Amortized Cost, Due to mature After ten years	37,683	30,322
Amortized Cost, Due to mature Mortgage/asset-backed securities	118,503	109,744
Available-for-sale Securities, Debt Maturities, Amortized Cost	351,982	303,905
Fair Value, Due to mature One year or less	23,071	17,933
Fair Value, Due to mature After one year through five years	91,773	91,457
Fair Value, Due to mature After five years through ten years	86,921	64,987
Fair Value, Due to mature After ten years	38,867	32,684
Fair Value, Due to mature Mortgage/asset-backed securities	120,698	113,349
Available-for-sale Securities, Debt Securities, Estimated Fair Value	$ 361,330	$ 320,410

Investments (Schedule of aggreg

Investments (Schedule of aggregate fair value and unrealized loss) (Details) - Fixed income securities [Member] - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Less than 12 months Fair Value	$ 83,613	$ 12,908
Less than 12 months Unrealized Losses	(2,244)	(191)
Greater than 12 months Fair Value	2,967	4,922
Greater than 12 months Unrealized Losses	(107)	(105)
Fair Value, Total	86,580	17,830
Unrealized Losses, Total	(2,351)	(296)
U.S. Government and agencies [Member]
Less than 12 months Fair Value	3,177	931
Less than 12 months Unrealized Losses	(145)	(6)
Greater than 12 months Fair Value
Greater than 12 months Unrealized Losses
Fair Value, Total	3,177	931
Unrealized Losses, Total	(145)	(6)
Obligations of states and political subdivisions [Member]
Less than 12 months Fair Value	8,498	1,806
Less than 12 months Unrealized Losses	(269)	(35)
Greater than 12 months Fair Value
Greater than 12 months Unrealized Losses
Fair Value, Total	8,498	1,806
Unrealized Losses, Total	(269)	(35)
Corporate securities [Member]
Less than 12 months Fair Value	38,660	3,215
Less than 12 months Unrealized Losses	(1,341)	(97)
Greater than 12 months Fair Value	1,481	734
Greater than 12 months Unrealized Losses	(96)	(50)
Fair Value, Total	40,141	3,949
Unrealized Losses, Total	(1,437)	(147)
Residential mortgage-backed securities [Member]
Less than 12 months Fair Value	14,466	68
Less than 12 months Unrealized Losses	(206)	(1)
Greater than 12 months Fair Value
Greater than 12 months Unrealized Losses
Fair Value, Total	14,466	68
Unrealized Losses, Total	(206)	(1)
Commercial mortgage-backed securities [Member]
Less than 12 months Fair Value	4,575	1,103
Less than 12 months Unrealized Losses	(106)	(21)
Greater than 12 months Fair Value
Greater than 12 months Unrealized Losses
Fair Value, Total	4,575	1,103
Unrealized Losses, Total	(106)	(21)
Asset backed securities [Member]
Less than 12 months Fair Value	14,237	5,785
Less than 12 months Unrealized Losses	(177)	(31)
Greater than 12 months Fair Value	1,486	4,188
Greater than 12 months Unrealized Losses	(11)	(55)
Fair Value, Total	15,723	9,973
Unrealized Losses, Total	$ (188)	$ (86)

Investments (Schedule of Net In

Investments (Schedule of Net Investment Income) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Total gross investment income	$ 2,433	$ 2,800
Investment expenses	897	829
Net investment income	1,536	1,971
Fixed income securities [Member]
Total gross investment income	2,011	2,309
Equity Securities [Member]
Total gross investment income	265	325
Real estate [Member]
Total gross investment income	156	146
Cash and Cash Equivalents [Member]
Total gross investment income	$ 1	$ 20

Investments (Schedule of compon

Investments (Schedule of components of Net realized capital gains on investments) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Gross realized gains	$ 4,025	$ 1,600
Gross realized losses, excluding other-than-temporary impairment losses	(123)	(585)
Net realized gain on investments	3,902	1,015
Change in net unrealized gain on equity securities	1,909	(15,934)
Net capital gain (loss) on investments	5,811	(14,919)
Fixed income securities [Member]
Gross realized gains	110	85
Gross realized losses, excluding other-than-temporary impairment losses	(9)	(23)
Equity Securities [Member]
Gross realized gains	3,915	1,515
Gross realized losses, excluding other-than-temporary impairment losses	$ (114)	$ (562)

Fair Value Measurements (Schedu

Fair Value Measurements (Schedule of assets, which are measured on a recurring basis) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020	Mar. 31, 2020	Dec. 31, 2019
Total fixed income securities	$ 361,330	$ 320,410
Total equity securities	79,363	69,952
Cash and cash equivalents	52,683	101,077	$ 56,637	$ 62,132
Total assets at fair value	493,376	491,439
U.S. Government and agencies [Member]
Total fixed income securities	15,730	14,383
Obligations of states and political subdivisions [Member]
Total fixed income securities	67,960	64,244
Corporate securities [Member]
Total fixed income securities	156,942	128,434
Residential mortgage-backed securities [Member]
Total fixed income securities	42,094	36,494
Commercial mortgage-backed securities [Member]
Total fixed income securities	27,989	25,655
Asset backed securities [Member]
Total fixed income securities	50,615	51,200
Basic materials [Member]
Total equity securities	1,607	1,285
Communications [Member]
Total equity securities	8,757	7,455
Consumer, cyclical [Member]
Total equity securities	11,125	9,929
Consumer, non-cyclical [Member]
Total equity securities	16,045	14,633
Energy [Member]
Total equity securities	2,015	1,499
Financial [Member]
Total equity securities	6,737	6,235
Industrial [Member]
Total equity securities	15,002	12,733
Technology [Member]
Total equity securities	17,742	16,145
Utility [Member]
Total equity securities	333	38
Level I [Member]
Total fixed income securities
Total equity securities	79,363	69,952
Cash and cash equivalents	37,694	65,354
Total assets at fair value	117,057	135,306
Level I [Member] | U.S. Government and agencies [Member]
Total fixed income securities
Level I [Member] | Obligations of states and political subdivisions [Member]
Total fixed income securities
Level I [Member] | Corporate securities [Member]
Total fixed income securities
Level I [Member] | Residential mortgage-backed securities [Member]
Total fixed income securities
Level I [Member] | Commercial mortgage-backed securities [Member]
Total fixed income securities
Level I [Member] | Asset backed securities [Member]
Total fixed income securities
Level I [Member] | Basic materials [Member]
Total equity securities	1,607	1,285
Level I [Member] | Communications [Member]
Total equity securities	8,757	7,455
Level I [Member] | Consumer, cyclical [Member]
Total equity securities	11,125	9,929
Level I [Member] | Consumer, non-cyclical [Member]
Total equity securities	16,045	14,633
Level I [Member] | Energy [Member]
Total equity securities	2,015	1,499
Level I [Member] | Financial [Member]
Total equity securities	6,737	6,235
Level I [Member] | Industrial [Member]
Total equity securities	15,002	12,733
Level I [Member] | Technology [Member]
Total equity securities	17,742	16,145
Level I [Member] | Utility [Member]
Total equity securities	333	38
Level II [Member]
Total fixed income securities	361,330	320,410
Total equity securities
Cash and cash equivalents	14,989	35,723
Total assets at fair value	376,319	356,133
Level II [Member] | U.S. Government and agencies [Member]
Total fixed income securities	15,730	14,383
Level II [Member] | Obligations of states and political subdivisions [Member]
Total fixed income securities	67,960	64,244
Level II [Member] | Corporate securities [Member]
Total fixed income securities	156,942	128,434
Level II [Member] | Residential mortgage-backed securities [Member]
Total fixed income securities	42,094	36,494
Level II [Member] | Commercial mortgage-backed securities [Member]
Total fixed income securities	27,989	25,655
Level II [Member] | Asset backed securities [Member]
Total fixed income securities	50,615	51,200
Level II [Member] | Basic materials [Member]
Total equity securities
Level II [Member] | Communications [Member]
Total equity securities
Level II [Member] | Consumer, cyclical [Member]
Total equity securities
Level II [Member] | Consumer, non-cyclical [Member]
Total equity securities
Level II [Member] | Energy [Member]
Total equity securities
Level II [Member] | Financial [Member]
Total equity securities
Level II [Member] | Industrial [Member]
Total equity securities
Level II [Member] | Technology [Member]
Total equity securities
Level III [Member]
Total fixed income securities
Total equity securities
Cash and cash equivalents
Total assets at fair value
Level III [Member] | U.S. Government and agencies [Member]
Total fixed income securities
Level III [Member] | Obligations of states and political subdivisions [Member]
Total fixed income securities
Level III [Member] | Corporate securities [Member]
Total fixed income securities
Level III [Member] | Residential mortgage-backed securities [Member]
Total fixed income securities
Level III [Member] | Commercial mortgage-backed securities [Member]
Total fixed income securities
Level III [Member] | Asset backed securities [Member]
Total fixed income securities
Level III [Member] | Basic materials [Member]
Total equity securities
Level III [Member] | Communications [Member]
Total equity securities
Level III [Member] | Consumer, cyclical [Member]
Total equity securities
Level III [Member] | Consumer, non-cyclical [Member]
Total equity securities
Level III [Member] | Energy [Member]
Total equity securities
Level III [Member] | Financial [Member]
Total equity securities
Level III [Member] | Industrial [Member]
Total equity securities
Level III [Member] | Technology [Member]
Total equity securities

Reinsurance (Narrative) (Detail

Reinsurance (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Reinsurance Disclosures [Abstract]
Reinsurance Retention Policy, Amount Retained	$ 10,000	$ 10,000
Reinsurance Retention Policy, Excess Retention, Amount Reinsured	117,000	97,000
Retained risk amount	$ 10,000	$ 10,000
Ceded reinsurance commission percentage	100.00%	100.00%

Reinsurance (Schedule of reconc

Reinsurance (Schedule of reconciliation of direct to net premiums on both a written and an earned basis) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Premiums Written
Direct premium	$ 72,420	$ 62,972
Assumed premium	1,450	1,600
Ceded premium	(7,114)	(5,170)
Net premiums	66,756	59,402
Premiums Earned
Direct premium	68,743	62,393
Assumed premium	1,448	1,600
Ceded premium	(7,056)	(5,221)
Net premiums	$ 63,135	$ 58,772
Percentage of assumed earned premium to direct earned premium	2.10%	2.60%

Reinsurance (Schedule of reco_2

Reinsurance (Schedule of reconciliation of direct to net losses and loss adjustment expenses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Reinsurance Disclosures [Abstract]
Direct losses and loss adjustment expenses	$ 37,578	$ 33,892
Assumed losses and loss adjustment expenses	948	308
Ceded losses and loss adjustment expenses	(1,637)	(3,778)
Net losses and loss adjustment expenses	$ 36,889	$ 30,422

Deferred Policy Acquisition C_3

Deferred Policy Acquisition Costs (Schedule of deferred policy acquisition costs) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Deferred Policy Acquisition Costs Disclosures [Abstract]
Balance, beginning of period	$ 23,968	$ 15,399
Deferral of policy acquisition costs	16,194	13,152
Amortization of deferred policy acquisition costs	(13,587)	(9,387)
Balance, end of period	$ 26,575	$ 19,164

Unpaid Losses and Loss Adjust_3

Unpaid Losses and Loss Adjustment Expenses (Schedule of liability for unpaid losses and loss adjustment expenses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]
Liability for unpaid losses and loss adjustment expenses	$ 105,750	$ 93,250
Reinsurance recoverables on losses	8,710	4,045
Net balance at beginning of period	97,040	89,205
Acquired unpaid losses and loss adjustment expenses related to:
Current year
Prior years		8,568
Total incurred		8,568
Incurred related to:
Current year	34,366	29,912
Prior years	2,523	510
Total Incurred	36,889	30,422
Paid related to:
Current year	13,415	12,532
Prior years	18,262	26,330
Total paid	31,677	38,862
Liability for unpaid losses and loss adjustment expenses	111,522	97,400
Reinsurance recoverables on losses	9,270	8,067
Net balance at end of period	$ 102,252	$ 89,333

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Cost:	$ 20,754		$ 20,726
Accumulated depreciation	(10,911)		(10,827)
Total property and equipment, net	9,843		9,899
Depreciation expense	170	$ 187
Real estate [Member]
Cost:	$ 15,327		15,313
Real estate [Member] | Minimum [Member]
Estimated Useful Life	10 years
Real estate [Member] | Maximum [Member]
Estimated Useful Life	31 years
Electronic data processing equipment [Member]
Cost:	$ 1,289		1,271
Electronic data processing equipment [Member] | Minimum [Member]
Estimated Useful Life	5 years
Electronic data processing equipment [Member] | Maximum [Member]
Estimated Useful Life	7 years
Furniture and Fixtures [Member]
Cost:	$ 2,867		2,867
Furniture and Fixtures [Member] | Minimum [Member]
Estimated Useful Life	5 years
Furniture and Fixtures [Member] | Maximum [Member]
Estimated Useful Life	7 years
Automobiles [Member]
Cost:	$ 1,271		$ 1,275
Automobiles [Member] | Minimum [Member]
Estimated Useful Life	2 years
Automobiles [Member] | Maximum [Member]
Estimated Useful Life	3 years

Goodwill and Other Intangible_2

Goodwill and Other Intangibles (Schedule of Carrying Amount of Goodwill by Segment) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Goodwill [Line Items]
Goodwill	$ 9,384	$ 9,384
Primero Insurance Company [Member]
Goodwill [Line Items]
Goodwill	2,628	2,628
Westminster American Insurance Company [Member]
Goodwill [Line Items]
Goodwill	$ 6,756	$ 6,756

Goodwill and Other Intangible_3

Goodwill and Other Intangibles (Schedule of Carrying Amount of Other Intangible Assets) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 9,348		$ 9,348
Accumulated Amortization	656		538
Net	8,692		8,810
Amortization expense	118	$ 1,882
Trade Names [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	748		748
Accumulated Amortization	191		166
Net	557		582
Distribution Network [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	6,700		6,700
Accumulated Amortization	465		372
Net	6,235		6,328
Subject to Amortization [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,448		7,448
Accumulated Amortization	656		538
Net	6,792		6,910
Not Subject to Amortization - State Insurance Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	1,900		1,900
Accumulated Amortization
Net	$ 1,900		$ 1,900

Goodwill and Other Intangible_4

Goodwill and Other Intangibles (Schedule of Estimated Amortization of Other Intangible Assets) (Details) $ in Thousands	Mar. 31, 2021USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2021	$ 354
2022	472
2023	455
2024	422
2025	422
Thereafter	4,667
Total other intangible assets with finite lives	$ 6,792

Related Party Transactions (Nar

Related Party Transactions (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Related Party Transaction [Line Items]
Payment of dividends			$ 21,628
NDFB [Member]
Related Party Transaction [Line Items]
Royalties	$ 337	$ 336
Accrued royalties	$ 125		113
Direct Auto Insurance Company [Member]
Related Party Transaction [Line Items]
Payment of dividends			3,582
Westminster Insurance Company [Member]
Related Party Transaction [Line Items]
Payment of dividends			505
Board of Directors [Member]
Related Party Transaction [Line Items]
Payment of dividends			$ 6,000

Related Party Transactions (Sch

Related Party Transactions (Schedule of Pooling Share Percentages) (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Nodak Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	66.00%	66.00%
American West Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	7.00%	7.00%
Primero Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	3.00%	3.00%
Battle Creek Mutual Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	2.00%	2.00%
Direct Auto Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	13.00%	13.00%
Westminster American Insurance Company [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	9.00%	9.00%
Total [Member]
Subsidiary of Limited Liability Company or Limited Partnership [Line Items]
Total pooling share percentages	100.00%	100.00%

Related Party Transactions (S_2

Related Party Transactions (Schedule of impact of consolidating Battle Creek into our consolidated balance sheets) (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Dec. 31, 2019
Assets:
Deferred policy acquisition costs		$ 26,575	$ 19,164	$ 23,968	$ 15,399
Reinsurance premiums receivable (eliminated in consolidation)				93
Accrued investment income		2,281		2,141
Property and equipment		9,843		9,899
Other assets		5,368		5,066
Total assets		621,385		617,603
Liabilities:
Unpaid losses and loss adjustment expenses		111,522	97,400	105,750
Unearned premiums		123,458	106,410	119,363
Total liabilities		268,795		268,731
Equity:
Non-controlling interest		4,427		4,545
Total liabilities and shareholders' equity		621,385		617,603
Revenues:
Net premiums earned		63,135	58,772
Fee and other income		317	362
Net investment income		1,536	1,971
Net capital gain on investments		5,811	(14,919)
Total revenues		70,799	46,186
Expenses:
Losses and loss adjustment expenses		36,889	30,422
Amortization of deferred policy acquisition costs		13,587	9,387
Other underwriting and general expenses		7,651	10,772
Total expenses		58,127	50,581
Income (loss) before income taxes		12,672	(4,395)
Income tax expense		2,890	(840)
Net income (loss)		9,782	(3,555)
Battle Creek [Member]
Assets:
Cash and cash equivalents		3,649		6,055
Investments		10,134		5,543
Premiums and agents' balances receivable		4,577		4,738
Deferred policy acquisition costs		531		479
Pooling receivable	[1]			920
Reinsurance recoverables on losses	[2]	6,096		5,646
Accrued investment income		52		27
Deferred income tax asset		133		101
Property and equipment		334		337
Other assets		47		49
Total assets		25,553		23,895
Liabilities:
Unpaid losses and loss adjustment expenses		2,549		2,445
Unearned premiums		2,453		2,381
Notes payable	[1]	3,000		3,000
Reinsurance losses payable	[2]	10,349		11,221
Pooling payable	[1]	2,536
Accrued expenses and other liabilities		239		303
Total liabilities		21,126		19,350
Equity:
Non-controlling interest		4,427		4,545
Total shareholders' equity		4,427		4,545
Total liabilities and shareholders' equity		25,553		$ 23,895
Revenues:
Net premiums earned		1,263
Fee and other income		(3)	(2)
Net investment income		8	39
Net capital gain on investments			5
Total revenues		1,268	42
Expenses:
Losses and loss adjustment expenses		738
Amortization of deferred policy acquisition costs		272
Other underwriting and general expenses		116
Total expenses		1,126
Income (loss) before income taxes		142	42
Income tax expense		29	10
Net income (loss)		$ 113	$ 32
[1]	Amount fully eliminated in consolidation.
[2]	Amount partly eliminated in consolidation.

Benefit Plans (Details)

Benefit Plans (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Company's Total contribution to the profit sharing plan		$ 269	$ 201
Company's total contributions to the 401(k) plan		172	163
Compensation expense		$ 109	89
ESOP shares were released and allocated		97,260		97,260
ESOP shares in suspense		142,740		142,740
Market price		$ 18.48
Fair value of unearned ESOP shares		$ 2,638
Debt from ESOP	$ 2,400
Debt term	10 years
Interest rate	2.79%	3.25%
Percentage of ESOP in authorized shares	1.00%
Per share price	$ 10
Deferred compensation plan expenses		$ 418	$ 14
Minimum [Member]
Employee contribution in percentage		3.00%
Maximum [Member]
Employee contribution in percentage		50.00%

Line of Credit (Details)

Line of Credit (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2017
Debt Disclosure [Abstract]
Line of credit with Wells Fargo	$ 5,000
Interest rate	3.25%	2.79%
Line of credit expiration date	Jan. 30, 2022

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Dec. 31, 2020	Mar. 31, 2020
Unrecognized tax benefits
Interest and penalties
Battle Creek [Member]
Net operating loss carryover		3,390
Expiration date	Dec. 31, 2030
Westminster [Member]
Net operating loss carryover		$ 2,559
Expiration date	Dec. 31, 2023

Operating Leases (Details)

Operating Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Operating Leased Assets [Line Items]
Operating lease expenses	$ 61	$ 89
Primero Subsidiary Lease [Member]
Operating Leased Assets [Line Items]
Lease expiration date	Dec. 31, 2023
Direct Auto Subsidiary Lease [Member]
Operating Leased Assets [Line Items]
Lease expiration date	Dec. 31, 2029

Operating Leases (Schedule of M

Operating Leases (Schedule of Minimum Future Commitments Under Non-Cancellable Leases) (Details) $ in Thousands	Mar. 31, 2021USD ($)
Leases, Operating [Abstract]
2021	$ 188
2022	319
2023	358
2024	320
2025	286
Thereafter	$ 1,066

Common Stock (Narrative) (Detai

Common Stock (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended	12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Jun. 30, 2020	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	May 04, 2020	Feb. 28, 2018
Authorization for repurchase of shares value							$ 10,000	$ 10,000
Shares repurchased	32,326	123,264			116,034	191,265
Shares repurchased, value	$ 596	$ 1,502			$ 2,006	$ 2,966
First Authorization [Member]
Shares repurchased			402,056
Shares repurchased, value			$ 4,996
Additional Authorization [Member]
Shares repurchased				454,443
Shares repurchased, value				$ 7,238

Common Stock (Schedule of chang

Common Stock (Schedule of changes in number of common stock) (Details) - shares	3 Months Ended		12 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Equity [Abstract]
Shares outstanding, beginning of period	21,372,772	22,119,380	22,119,380
Treasury shares repurchased through stock repurchase authorization	(32,326)	(123,264)		(116,034)	(191,265)
Issuance of treasury shares for vesting of restricted stock units	86,460	19,042
Shares outstanding, end of period	21,318,638	22,015,158	21,372,772	22,119,380

Stock Based Compensation (Narra

Stock Based Compensation (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
All award [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share issued	1,000,000
Shares granted	100,000
Outstanding, Aggregate Intrinsic Value	$ 1,000
All award [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share granted not exceed	$ 150
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	43,100	66,000
Vesting period	5 years
Total unrecognized compensation cost	$ 1,097
Total unrecognized compensation cost, weighted average period	2 years 5 months 8 days
Percentage of RSU granted to employees per year	20.00%
Percentage of RSU granted to non-employee directors per year	100.00%
Performance Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	64,600	63,600
Total unrecognized compensation cost	$ 2,011
Total unrecognized compensation cost, weighted average period	2 years 2 months 23 days

Stock Based Compensation (Sched

Stock Based Compensation (Schedule of Restricted Stock Outstanding) (Details) - Restricted Stock [Member] - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Shares
Units outstanding at Begning	115,780	96,540
RSUs granted during 2020	43,100	66,000
RSUs earned during 2020	(37,320)	(46,760)
Units outstanding at Ending	121,560	115,780
Weighted Average Grant-Date Fair Value Per Share
Units outstanding at Begning	$ 15.27	$ 16.47
RSUs granted during 2021	18.64	14.27
RSUs earned during 2021	16.64	16.33
Units outstanding at Ending	$ 16.05	$ 15.27

Stock Based Compensation (Sch_2

Stock Based Compensation (Schedule of RSU activity) (Details) - Restricted Stock [Member] - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
RSU compensation expense	$ 388	$ 420
Income tax benefit	(81)	(88)
RSU compensation expense, net of income taxes	$ 307	$ 332

Stock Based Compensation (Sch_3

Stock Based Compensation (Schedule of Outstanding Performance Stock Units) (Details) - Performance Stock Units [Member] - $ / shares		3 Months Ended	12 Months Ended
		Mar. 31, 2021	Dec. 31, 2020
Shares
Units outstanding at Begning		174,600	111,000
Grants (at target)		64,600	63,600
Earned		(70,363)
Performance adjustment	[1]	24,300
Forfeitures		(2,537)
Units outstanding at Ending		190,600	174,600
Weighted Average Grant Date Fair Value
Units outstanding at Begning		$ 15.15	$ 15.27
Grants (at target)		18.64	14.26
Earned		16.25
Performance adjustment	[1]	16.25
Forfeitures		16.25
Units outstanding at Ending		$ 16.06	$ 15.15
[1]	Represents the change in PSUs issued based upon the attainment of performance goals established by the Company.

Stock Based Compensation (Sch_4

Stock Based Compensation (Schedule of PSU Activity) (Details) - Performance Stock Units [Member] - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
PSU compensation expense	$ 284	$ 293
Income tax benefit	(60)	(62)
PSU compensation expense, net of income taxes	$ 224	$ 231

Segment Information (Schedule o

Segment Information (Schedule of revenue by insurance product line) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Dec. 31, 2019
Direct premiums earned	$ 68,743	$ 62,393
Assumed premiums earned	1,448	1,600
Ceded premiums earned	(7,056)	(5,221)
Net premiums earned	63,135	58,772
Direct losses and LAE	37,578	33,892
Assumed losses and LAE	948	308
Ceded losses and LAE	(1,637)	(3,778)
Net losses and LAE	36,889	30,422
Gross margin	26,246	28,350
Underwriting and general expenses	21,238	20,159
Underwriting gain (loss)	5,008	8,191
Fee and other income	317	362
Net investment income	1,536	1,971
Net capital gain (loss) on investments	5,811	(14,919)
Income (loss) before income taxes	12,672	(4,395)
Income tax expense (benefit)	2,890	(840)
Net Income (loss)	9,782	(3,555)
Net income attributable to non-controlling interest	113	32
Net Income (loss) attributable to NI Holdings, Inc.	$ 9,669	$ (3,587)
Non-GAAP Ratios:
Loss and LAE ratio	58.40%	51.80%
Expense ratio	33.60%	34.30%
Combined ratio	92.10%	86.10%
Premiums and agents' balances receivable	$ 49,325	$ 48,283	$ 48,523
Deferred policy acquisition costs	26,575	19,164	23,968	$ 15,399
Reinsurance recoverables	9,270	8,067	8,710
Receivable from Federal Crop Insurance Corporation	5,182	5,240	6,646
Goodwill and other intangibles	18,076	21,251	18,194
Unpaid losses and LAE	111,522	97,400	105,750
Unearned premiums	123,458	106,410	$ 119,363
Private Passenger Auto [Member]
Direct premiums earned	18,688	18,397
Assumed premiums earned
Ceded premiums earned	(1,190)	(1,098)
Net premiums earned	17,498	17,299
Direct losses and LAE	12,559	11,129
Assumed losses and LAE
Ceded losses and LAE	(305)
Net losses and LAE	12,254	11,129
Gross margin	5,244	6,170
Underwriting and general expenses	5,359	4,810
Underwriting gain (loss)	$ (115)	$ 1,360
Non-GAAP Ratios:
Loss and LAE ratio	70.00%	64.30%
Expense ratio	30.60%	27.80%
Combined ratio	100.70%	92.10%
Premiums and agents' balances receivable	$ 19,028	$ 18,657
Deferred policy acquisition costs	5,934	5,175
Reinsurance recoverables	717	500
Receivable from Federal Crop Insurance Corporation
Goodwill and other intangibles
Unpaid losses and LAE	22,503	19,952
Unearned premiums	28,912	28,426
Non Standard Auto [Member]
Direct premiums earned	13,581	13,194
Assumed premiums earned
Ceded premiums earned	(323)	(43)
Net premiums earned	13,258	13,151
Direct losses and LAE	4,800	5,940
Assumed losses and LAE
Ceded losses and LAE
Net losses and LAE	4,800	5,940
Gross margin	8,458	7,211
Underwriting and general expenses	4,414	5,197
Underwriting gain (loss)	4,044	2,014
Fee and other income	332	329
Other income net	$ 4,376	$ 2,343
Non-GAAP Ratios:
Loss and LAE ratio	36.20%	45.20%
Expense ratio	33.30%	39.50%
Combined ratio	69.50%	84.70%
Premiums and agents' balances receivable	$ 8,568	$ 10,557
Deferred policy acquisition costs	6,099	4,952
Reinsurance recoverables
Receivable from Federal Crop Insurance Corporation
Goodwill and other intangibles	2,848	2,897
Unpaid losses and LAE	40,289	42,000
Unearned premiums	19,218	17,260
Home and Farm [Member]
Direct premiums earned	20,583	20,158
Assumed premiums earned
Ceded premiums earned	(3,129)	(2,537)
Net premiums earned	17,454	17,621
Direct losses and LAE	7,888	7,668
Assumed losses and LAE
Ceded losses and LAE	(256)	(1,130)
Net losses and LAE	7,632	6,538
Gross margin	9,822	11,083
Underwriting and general expenses	5,611	4,889
Underwriting gain (loss)	$ 4,211	$ 6,194
Non-GAAP Ratios:
Loss and LAE ratio	43.70%	37.10%
Expense ratio	32.10%	27.70%
Combined ratio	75.90%	64.80%
Premiums and agents' balances receivable	$ 9,102	$ 9,204
Deferred policy acquisition costs	8,170	7,124
Reinsurance recoverables	588	2,060
Receivable from Federal Crop Insurance Corporation
Goodwill and other intangibles
Unpaid losses and LAE	12,657	10,401
Unearned premiums	40,706	39,542
Crop [Member]
Direct premiums earned	(16)	(5)
Assumed premiums earned
Ceded premiums earned		184
Net premiums earned	47	179
Direct losses and LAE	572	2,811
Assumed losses and LAE
Ceded losses and LAE	(11)	(444)
Net losses and LAE	561	2,367
Gross margin	(514)	(2,188)
Underwriting and general expenses	536	702
Underwriting gain (loss)	$ (1,050)	$ (2,890)
Non-GAAP Ratios:
Loss and LAE ratio
Expense ratio
Combined ratio
Premiums and agents' balances receivable
Deferred policy acquisition costs
Reinsurance recoverables	9	600
Receivable from Federal Crop Insurance Corporation	5,182	5,240
Goodwill and other intangibles
Unpaid losses and LAE	96	3,945
Unearned premiums
Commercial [Member]
Direct premiums earned	14,722	9,505
Assumed premiums earned
Ceded premiums earned	(2,384)	(1,652)
Net premiums earned	12,338	7,853
Direct losses and LAE	11,464	5,919
Assumed losses and LAE
Ceded losses and LAE	(1,065)	(2,204)
Net losses and LAE	10,399	3,715
Gross margin	1,939	4,138
Underwriting and general expenses	4,615	3,929
Underwriting gain (loss)	$ (2,676)	$ 209
Non-GAAP Ratios:
Loss and LAE ratio	84.30%	47.30%
Expense ratio	37.40%	50.00%
Combined ratio	121.70%	97.30%
Premiums and agents' balances receivable	$ 11,964	$ 9,254
Deferred policy acquisition costs	5,883	1,504
Reinsurance recoverables	5,741	3,434
Receivable from Federal Crop Insurance Corporation
Goodwill and other intangibles	15,228	18,354
Unpaid losses and LAE	25,447	12,248
Unearned premiums	31,639	18,444
All Other [Member]
Direct premiums earned	1,185	1,144
Assumed premiums earned	1,448	1,600
Ceded premiums earned	(93)	(75)
Net premiums earned	2,540	2,669
Direct losses and LAE	295	425
Assumed losses and LAE	948	308
Ceded losses and LAE
Net losses and LAE	1,243	733
Gross margin	1,297	1,936
Underwriting and general expenses	703	632
Underwriting gain (loss)	$ 594	$ 1,304
Non-GAAP Ratios:
Loss and LAE ratio	48.90%	27.50%
Expense ratio	27.70%	23.70%
Combined ratio	76.60%	51.10%
Premiums and agents' balances receivable	$ 663	$ 611
Deferred policy acquisition costs	489	409
Reinsurance recoverables	2,215	1,473
Receivable from Federal Crop Insurance Corporation
Goodwill and other intangibles
Unpaid losses and LAE	10,530	8,854
Unearned premiums	$ 2,983	$ 2,738