Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 31, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-33067 | |
Entity Registrant Name | SELECTIVE INSURANCE GROUP, INC | |
Entity Incorporation, State or Country Code | NJ | |
Entity Tax Identification Number | 22-2168890 | |
Entity Address, Address Line One | 40 Wantage Avenue | |
Entity Address, City or Town | Branchville | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07890 | |
City Area Code | 973 | |
Local Phone Number | 948-3000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 60,275,170 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0000230557 | |
Current Fiscal Year End Date | --12-31 | |
Noncumulative Preferred Stock | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest in a share of 4.60% Non-Cumulative Preferred Stock, Series B, without par value | |
Trading Symbol | SIGIP | |
Security Exchange Name | NASDAQ | |
Common Stock [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Common Stock, par value $2 per share | |
Trading Symbol | SIGI | |
Security Exchange Name | NASDAQ |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
ASSETS | ||
Fixed income securities, held-to-maturity - at carrying value | $ 33,008 | $ 28,850 |
Less: allowance for credit losses | 0 | (65) |
Fixed income securities, held-to-maturity, net of allowance for credit losses | 33,008 | 28,785 |
Fixed income securities, available-for-sale - at fair value | 6,472,100 | 6,709,976 |
Commercial mortgage loans - at carrying value | 145,209 | 95,795 |
Less: allowance for credit losses | 0 | 0 |
Commercial mortgage loans, net of allowance for credit losses | 145,209 | 95,795 |
Equity securities - at fair value | 183,868 | 335,537 |
Short-term investments | 269,302 | 447,863 |
Other investments | 432,624 | 409,032 |
Total investments (Note 4 and 5) | 7,536,111 | 8,026,988 |
Cash | 538 | 455 |
Restricted cash | 8,495 | 44,608 |
Accrued investment income | 54,024 | 48,247 |
Premiums receivable | 1,128,673 | 958,787 |
Less: allowance for credit losses (Note 6) | (15,200) | (13,600) |
Premiums receivable, net of allowance for credit losses | 1,113,473 | 945,187 |
Reinsurance recoverable, gross | 714,731 | 601,668 |
Less: allowance for credit losses (Note 7) | (1,600) | (1,600) |
Reinsurance recoverable, net of allowance for credit losses | 713,131 | 600,068 |
Prepaid reinsurance premiums | 178,708 | 183,007 |
Current federal income tax | 24,565 | 772 |
Deferred federal income tax | 164,557 | 0 |
Property and equipment - at cost, net of accumulated depreciation and amortization | 85,333 | 82,053 |
Deferred policy acquisition costs | 370,925 | 326,915 |
Goodwill | 7,849 | 7,849 |
Other assets | 262,772 | 195,240 |
Total assets | 10,520,481 | 10,461,389 |
Liabilities | ||
Reserve for loss and loss expense (Note 8) | 4,965,277 | 4,580,903 |
Unearned premiums | 2,022,240 | 1,803,207 |
Long-term debt | 505,151 | 506,050 |
Deferred federal income tax | 0 | 13,413 |
Accrued salaries and benefits | 112,227 | 121,057 |
Other liabilities | 488,053 | 453,874 |
Total liabilities | 8,092,948 | 7,478,504 |
Stockholders' Equity: | ||
Preferred stock of $0 par value per share: Authorized shares 5,000,000; Issued shares: 8,000 with $25,000 liquidation preference per share - 2022 and 2021 | 200,000 | 200,000 |
Common stock of $2 par value per share: Authorized shares 360,000,000; Issued: 104,778,828 - 2022; 104,450,916 - 2021 | 209,558 | 208,902 |
Additional paid-in capital | 486,239 | 464,347 |
Retained earnings | 2,683,763 | 2,603,472 |
Accumulated other comprehensive (loss) income (Note 11) | (525,011) | 115,099 |
Treasury Stock, at cost (shares: 44,505,337 - 2022; 44,266,534 - 2021) | (627,016) | (608,935) |
Total stockholders' equity | 2,427,533 | 2,982,885 |
Commitments and contingencies | ||
Total liabilities and stockholders' equity | $ 10,520,481 | $ 10,461,389 |
Preferred Stock [Member] | ||
Preferred stock, Par or Stated Value (in dollars per share) | $ 0 | $ 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues: | ||||
Net premiums earned | $ 853,879 | $ 767,247 | $ 2,500,601 | $ 2,232,725 |
Net investment income earned | 63,889 | 93,032 | 206,713 | 246,479 |
Net realized and unrealized investment (losses) gains | (25,681) | 177 | (108,913) | 15,353 |
Other income | 2,933 | 4,588 | 7,499 | 14,912 |
Total revenues | 895,020 | 865,044 | 2,605,900 | 2,509,469 |
Expenses: | ||||
Loss and loss expense incurred | 547,826 | 505,269 | 1,566,930 | 1,340,293 |
Amortization of deferred policy acquisition costs | 179,048 | 160,868 | 522,186 | 464,276 |
Other insurance expenses | 102,806 | 94,759 | 298,310 | 278,531 |
Interest expense | 7,179 | 7,242 | 21,599 | 21,967 |
Corporate expenses | 5,522 | 4,270 | 24,442 | 22,936 |
Total expenses | 842,381 | 772,408 | 2,433,467 | 2,128,003 |
Income before federal income tax | 52,639 | 92,636 | 172,433 | 381,466 |
Federal income tax expense: | ||||
Current | 14,813 | 18,878 | 41,682 | 79,319 |
Deferred | (4,699) | 53 | (7,624) | (2,711) |
Total federal income tax expense | 10,114 | 18,931 | 34,058 | 76,608 |
Net income | 42,525 | 73,705 | 138,375 | 304,858 |
Preferred stock dividends | 2,300 | 2,300 | 6,900 | 7,053 |
Net Income available to common stockholders | $ 40,225 | $ 71,405 | $ 131,475 | $ 297,805 |
Earnings per common share: | ||||
Earnings per common share - net income available to common stockholders - Basic | $ 0.67 | $ 1.19 | $ 2.18 | $ 4.95 |
Earnings per common share - net income available to common stockholders - Diluted | $ 0.66 | $ 1.18 | $ 2.16 | $ 4.92 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income | $ 42,525 | $ 73,705 | $ 138,375 | $ 304,858 |
Unrealized holding losses arising during period | (149,803) | (27,875) | (532,744) | (81,402) |
Unrealized losses on securities with credit loss recognized in earnings | (53,946) | (1,851) | (179,803) | (2,906) |
Amounts reclassified into net income: Held-to-maturity securities | 1 | 1 | 2 | (3) |
Amounts reclassified into net income: Net realized losses (gains) on disposals and intent-to-sell AFS securities | 11,246 | (1,024) | 38,233 | (501) |
Amounts reclassified into net income: Credit loss expense | 3,532 | 1,054 | 33,214 | 3,207 |
Total Unrealized Losses on Investment Securities | (188,970) | (29,695) | (641,098) | (81,605) |
Amount reclassified into net income: Net actuarial loss, Net | 329 | 548 | 988 | 1,643 |
Total defined benefit pension and post-retirement plans, Net | 329 | 548 | 988 | 1,643 |
Other Comprehensive loss | (188,641) | (29,147) | (640,110) | (79,962) |
Comprehensive loss (income) | $ (146,116) | $ 44,558 | $ (501,735) | $ 224,896 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Preferred Stock [Member] | Common Stock [Member] | Additional paid-in capital [Member] | Retained Earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Treasury stock [Member] |
Preferred Stock, Shares Outstanding | 8,000 | ||||||
Beginning of period at Dec. 31, 2020 | $ 200,000 | $ 208,066 | $ 438,985 | $ 2,271,537 | $ 220,186 | $ (599,885) | |
Issuance of preferred stock | 0 | ||||||
Dividend reinvestment plan | 34 | 1,261 | |||||
Stock purchase and compensation plans | 678 | 17,897 | |||||
Net income | $ 304,858 | 304,858 | |||||
Dividends to preferred stockholders | (7,053) | ||||||
Dividends to common stockholders | (45,532) | ||||||
Other comprehensive loss | (79,962) | (79,962) | |||||
Acquisition of treasury stock - share repurchase authorization | (3,404) | ||||||
Acquisition of treasury stock - shares acquired related to employee-share based compensation plans | (5,570) | ||||||
End of period at Sep. 30, 2021 | $ 2,922,096 | $ 200,000 | 208,778 | 458,143 | 2,523,810 | 140,224 | (608,859) |
Dividends declared per share to preferred stockholders | $ 881.67 | ||||||
Dividends declared per share to common stockholders | $ 0.75 | ||||||
Issuance of preferred stock, shares | 0 | ||||||
Common stock, shares outstanding, beginning of period at Dec. 31, 2020 | 59,905,803 | ||||||
Dividend reinvestment plan, shares | 17,152 | ||||||
Stock purchase and compensation plan, shares | 339,061 | ||||||
Acquisition of treasury stock, share repurchase authorization, shares | (52,781) | ||||||
Acquisition of treasury stock - shares acquired related to employee share-based compensation plans, shares | (85,700) | ||||||
Common stock, shares outstanding, end of period at Sep. 30, 2021 | 60,123,535 | ||||||
Preferred Stock, Shares Outstanding | 8,000 | ||||||
Beginning of period at Jun. 30, 2021 | $ 200,000 | 208,742 | 454,459 | 2,467,596 | 169,371 | (608,801) | |
Issuance of preferred stock | 0 | ||||||
Dividend reinvestment plan | 10 | 416 | |||||
Stock purchase and compensation plans | 26 | 3,268 | |||||
Net income | $ 73,705 | 73,705 | |||||
Dividends to preferred stockholders | (2,300) | ||||||
Dividends to common stockholders | (15,191) | ||||||
Other comprehensive loss | (29,147) | (29,147) | |||||
Acquisition of treasury stock - share repurchase authorization | 0 | ||||||
Acquisition of treasury stock - shares acquired related to employee-share based compensation plans | (58) | ||||||
End of period at Sep. 30, 2021 | $ 2,922,096 | $ 200,000 | 208,778 | 458,143 | 2,523,810 | 140,224 | (608,859) |
Dividends declared per share to preferred stockholders | $ 287.50 | ||||||
Dividends declared per share to common stockholders | $ 0.25 | ||||||
Issuance of preferred stock, shares | 0 | ||||||
Common stock, shares outstanding, beginning of period at Jun. 30, 2021 | 60,106,236 | ||||||
Dividend reinvestment plan, shares | 5,096 | ||||||
Stock purchase and compensation plan, shares | 12,946 | ||||||
Acquisition of treasury stock, share repurchase authorization, shares | 0 | ||||||
Acquisition of treasury stock - shares acquired related to employee share-based compensation plans, shares | (743) | ||||||
Common stock, shares outstanding, end of period at Sep. 30, 2021 | 60,123,535 | ||||||
Preferred Stock, Shares Outstanding | 8,000 | ||||||
Preferred Stock, Shares Outstanding | 8,000 | ||||||
Beginning of period at Dec. 31, 2021 | $ 2,982,885 | $ 200,000 | 208,902 | 464,347 | 2,603,472 | 115,099 | (608,935) |
Issuance of preferred stock | 0 | ||||||
Dividend reinvestment plan | 34 | 1,325 | |||||
Stock purchase and compensation plans | 622 | 20,567 | |||||
Net income | 138,375 | 138,375 | |||||
Dividends to preferred stockholders | (6,900) | ||||||
Dividends to common stockholders | (51,184) | ||||||
Other comprehensive loss | (640,110) | (640,110) | |||||
Acquisition of treasury stock - share repurchase authorization | (12,400) | (12,423) | |||||
Acquisition of treasury stock - shares acquired related to employee-share based compensation plans | (5,658) | ||||||
End of period at Sep. 30, 2022 | $ 2,427,533 | $ 200,000 | 209,558 | 486,239 | 2,683,763 | (525,011) | (627,016) |
Dividends declared per share to preferred stockholders | $ 862.50 | ||||||
Dividends declared per share to common stockholders | $ 0.84 | ||||||
Issuance of preferred stock, shares | 0 | ||||||
Common stock, shares outstanding, beginning of period at Dec. 31, 2021 | 60,184,382 | ||||||
Dividend reinvestment plan, shares | 17,152 | ||||||
Stock purchase and compensation plan, shares | 310,760 | ||||||
Acquisition of treasury stock, share repurchase authorization, shares | (165,159) | ||||||
Acquisition of treasury stock - shares acquired related to employee share-based compensation plans, shares | (73,644) | ||||||
Common stock, shares outstanding, end of period at Sep. 30, 2022 | 60,273,491 | ||||||
Preferred Stock, Shares Outstanding | 8,000 | ||||||
Beginning of period at Jun. 30, 2022 | $ 200,000 | 209,506 | 481,380 | 2,660,584 | (336,370) | (621,010) | |
Issuance of preferred stock | 0 | ||||||
Dividend reinvestment plan | 11 | 438 | |||||
Stock purchase and compensation plans | 41 | 4,421 | |||||
Net income | $ 42,525 | 42,525 | |||||
Dividends to preferred stockholders | (2,300) | ||||||
Dividends to common stockholders | (17,046) | ||||||
Other comprehensive loss | (188,641) | (188,641) | |||||
Acquisition of treasury stock - share repurchase authorization | (5,931) | ||||||
Acquisition of treasury stock - shares acquired related to employee-share based compensation plans | (75) | ||||||
End of period at Sep. 30, 2022 | $ 2,427,533 | $ 200,000 | $ 209,558 | $ 486,239 | $ 2,683,763 | $ (525,011) | $ (627,016) |
Dividends declared per share to preferred stockholders | $ 287.50 | ||||||
Dividends declared per share to common stockholders | $ 0.28 | ||||||
Issuance of preferred stock, shares | 0 | ||||||
Common stock, shares outstanding, beginning of period at Jun. 30, 2022 | 60,327,734 | ||||||
Dividend reinvestment plan, shares | 5,647 | ||||||
Stock purchase and compensation plan, shares | 20,073 | ||||||
Acquisition of treasury stock, share repurchase authorization, shares | (79,100) | ||||||
Acquisition of treasury stock - shares acquired related to employee share-based compensation plans, shares | (863) | ||||||
Common stock, shares outstanding, end of period at Sep. 30, 2022 | 60,273,491 | ||||||
Preferred Stock, Shares Outstanding | 8,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Operating Activities | ||
Net income | $ 138,375 | $ 304,858 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 34,350 | 40,706 |
Stock-based compensation expense | 15,123 | 13,431 |
Undistributed gains of equity method investments | (12,971) | (65,215) |
Distributions in excess of current year income of equity method investments | 33,365 | 2,750 |
Net realized and unrealized losses (gains) | 108,913 | (15,353) |
Loss on disposal of fixed assets | 0 | 50 |
Changes in assets and liabilities: | ||
Increase in reserve for loss and loss expense, net of reinsurance recoverable | 271,311 | 251,260 |
Increase in unearned premiums, net of prepaid reinsurance | 223,332 | 211,564 |
Increase in net federal income taxes | (31,607) | (17,866) |
Increase in premiums receivable | (168,286) | (148,817) |
Increase in deferred policy acquisition costs | (44,010) | (45,417) |
Increase in accrued investment income | (5,936) | (1,249) |
Decrease in accrued salaries and benefits | (8,830) | (1,160) |
Increase in other assets | (31,241) | (22,045) |
(Decrease) increase in other liabilities | (36,444) | 35,806 |
Net Cash Provided by Operating Activities | 485,444 | 543,303 |
Investing Activities | ||
Purchases of fixed income securities, held-to-maturity | (6,692) | (11,250) |
Purchases of fixed income securities, available-for-sale | (2,183,013) | (1,660,798) |
Purchases of commercial mortgage loans | (57,289) | (38,129) |
Purchases of equity securities | (21,044) | (82,223) |
Purchases of other investments | (45,495) | (63,661) |
Purchases of short-term investments | (3,123,086) | (3,443,597) |
Sales of fixed income securities, available-for-sale | 986,367 | 384,586 |
Proceeds from commercial mortgage loans | 7,875 | 442 |
Sale of short-term investments | 3,302,140 | 3,497,243 |
Redemption and maturities of fixed income securities, held-to-maturity | 2,508 | 2,735 |
Redemption and maturities of fixed income securities, available-for-sale | 539,680 | 910,741 |
Sales of Equity Securities | 155,670 | 85,373 |
Sales of other investments | 2,156 | 5,377 |
Distributions from other investments | 11,114 | 10,524 |
Purchases of property and equipment | (21,758) | (15,123) |
Net Cash Used in Investing Activities | (450,867) | (417,760) |
Financing Activities | ||
Dividends to preferred stockholders | (6,900) | (7,053) |
Dividends to common stockholders | (49,307) | (43,756) |
Acquisition of treasury stock | (18,081) | (8,974) |
Net proceeds from stock purchase and compensation plans | 5,500 | 4,575 |
Preferred stock issued, net of issuance costs | 0 | (479) |
Proceeds from borrowings | 35,000 | 0 |
Repayments of borrowings | (35,000) | (50,000) |
Repayments of finance lease obligations | (1,819) | (298) |
Net Cash used in Financing Activities | (70,607) | (105,985) |
Net (decrease) increase in cash and restricted cash | (36,030) | 19,558 |
Cash and restricted cash, beginning of period | 45,063 | 15,231 |
Cash and restricted cash, end of period | $ 9,033 | $ 34,789 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Fixed income securities, held-to-maturity, fair value | $ 31,482 | $ 29,460 |
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (52,337) | (9,724) |
Commercial mortgage loans, fair value | 136,652 | 97,598 |
Fixed income securities, available-for-sale, amortized cost | 7,107,011 | 6,490,753 |
Equity Securities, cost | 188,964 | 308,840 |
Property and equipment, accumulated depreciation and amortization | $ 271,563 | $ 253,427 |
Preferred Stock, Shares Outstanding | 8,000 | 8,000 |
Preferred Stock [Member] | ||
Preferred stock, Par or Stated Value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 8,000 | 8,000 |
Preferred Stock, Shares Outstanding | 8,000 | 8,000 |
Preferred Stock, Liquidation Preference (in dollars per share) | $ 25,000 | $ 25,000 |
Common Stock [Member] | ||
Common stock, Par or Stated Value (in dollars per share) | $ 2 | $ 2 |
Common stock, shares authorized | 360,000,000 | 360,000,000 |
Common stock, shares issued | 104,778,828 | 104,450,916 |
Treasury stock [Member] | ||
Treasury stock, shares | 44,505,337 | 44,266,534 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
Basis of Presentation And Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of PresentationThe words "Company,” “we,” “us,” or “our” refer to Selective Insurance Group, Inc. (the "Parent") and its subsidiaries, except as expressly indicated or the context requires otherwise. We have prepared our interim unaudited consolidated financial statements (“Financial Statements”) in conformity with (i) United States ("U.S.") generally accepted accounting principles (“GAAP”), and (ii) the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) regarding interim financial reporting. These require management to make estimates and assumptions that affect the reported financial statement balances and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. All significant intercompany accounts and transactions are eliminated in consolidation.Our Financial Statements reflect all adjustments that, in our opinion, are normal, recurring, and necessary for a fair presentation of our results of operations and financial condition. Our Financial Statements cover the third quarters ended September 30, 2022 (“Third Quarter 2022”) and September 30, 2021 (“Third Quarter 2021”), and the nine-month periods ended September 30, 2022 ("Nine Months 2022") and September 30, 2021 ("Nine Months 2021"). Our Financial Statements do not include all information and disclosures required by GAAP and the SEC for audited annual financial statements. Because interim period results of operations are not necessarily indicative of full-year results, our Financial Statements should be read in conjunction with the consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2021 (“2021 Annual Report”) filed with the SEC. |
Accounting Pronouncements
Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Accounting Pronouncements | Adoption of Accounting Pronouncements There was no adoption of accounting pronouncements in Third Quarter and Nine Months 2022. Pronouncements to be effective in the future In March 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-04, Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). ASU 2020-04 provides optional expedients and exceptions to the GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition away from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. Companies can elect to adopt ASU 2020-04 as of the beginning of the interim period that includes March 2020, or any date thereafter through December 31, 2022. We are currently evaluating the impact of this guidance, but we do not anticipate its adoption to have a material impact on our financial condition and results of operations. In June 2022, the FASB issued ASU 2022-03 , Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (“ASU 2022-03”). ASU 2022-03 clarifies that a contractual sales restriction on an equity security is not considered when determining the security's fair value. This ASU was issued to eliminate diversity in practice by clarifying that contractual arrangements restricting an entity's ability to sell the security for a certain period of time is a characteristic of the reporting entity and should not be contemplated when determining the security's fair value. ASU 2022-03 requires new disclosures that provide investors with information about the restriction, including the nature and remaining duration of the restriction. The ASU is effective for annual periods beginning after December 15, 2023, including interim periods within those annual periods. Early adoption is permitted. We are currently evaluating the impact of this guidance. |
Statements of Cash Flows
Statements of Cash Flows | 9 Months Ended |
Sep. 30, 2022 | |
Supplemental Cash Flow Information [Abstract] | |
Statements of Cash Flows | Statements of Cash Flows Supplemental cash flow information was as follows: Nine Months ended September 30, ($ in thousands) 2022 2021 Cash paid (received) during the period for: Interest $ 22,699 23,278 Federal income tax 61,000 93,000 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 6,096 6,480 Operating cash flows from financing leases 33 5 Financing cash flows from finance leases 1,819 298 Non-cash items: Corporate actions related to fixed income securities, available-for-sale ("AFS") 1 32,546 50,501 Corporate actions related to equity securities 1 — 527 Conversion of AFS fixed income securities to equity securities 1,463 — Assets acquired under finance lease arrangements 650 183 Assets acquired under operating lease arrangements 15,514 273 Non-cash purchase of property and equipment — — 1 Examples of corporate actions include like-kind exchanges, non-cash acquisitions, and stock splits. The following table provides a reconciliation of cash and restricted cash reported within the Consolidated Balance Sheets that equate to the amount reported in the Consolidated Statements of Cash Flows: ($ in thousands) September 30, 2022 December 31, 2021 Cash $ 538 455 Restricted cash 8,495 44,608 Cash and restricted cash shown in the Consolidated Statements of Cash Flows $ 9,033 45,063 Amounts in restricted cash represent cash received from the National Flood Insurance Program ("NFIP") that can only be used to pay flood claims under the Write Your Own program. Restricted cash was elevated at December 31, 2021, primarily to pay Hurricane Ida flood claims. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2022 | |
Investments [Abstract] | |
Investments | Investments (a) Information regarding our AFS securities as of September 30, 2022 and December 31, 2021, were as follows: September 30, 2022 ($ in thousands) Cost/ Allowance for Credit Losses Unrealized Unrealized Fair AFS fixed income securities: U.S. government and government agencies $ 168,340 — 6 (20,115) 148,231 Foreign government 16,060 (320) — (1,960) 13,780 Obligations of states and political subdivisions 1,031,937 (1,311) 141 (63,137) 967,630 Corporate securities 2,535,367 (36,970) 1,222 (234,983) 2,264,636 Collateralized loan obligations ("CLO") and other asset-backed securities ("ABS") 1,581,097 (3,114) 1,732 (112,292) 1,467,423 Residential mortgage-backed securities ("RMBS") 1,130,752 (10,603) 764 (104,856) 1,016,057 Commercial mortgage-backed securities ("CMBS") 643,458 (19) 102 (49,198) 594,343 Total AFS fixed income securities $ 7,107,011 (52,337) 3,967 (586,541) 6,472,100 December 31, 2021 ($ in thousands) Cost/ Allowance for Credit Losses Unrealized Unrealized Fair AFS fixed income securities: U.S. government and government agencies $ 127,974 — 3,629 (1,145) 130,458 Foreign government 15,420 (46) 609 (123) 15,860 Obligations of states and political subdivisions 1,121,422 (137) 68,258 (235) 1,189,308 Corporate securities 2,478,348 (6,682) 106,890 (4,953) 2,573,603 CLO and other ABS 1,343,687 (939) 14,350 (6,284) 1,350,814 RMBS 756,280 (1,909) 24,813 (2,932) 776,252 CMBS 647,622 (11) 27,752 (1,682) 673,681 Total AFS fixed income securities $ 6,490,753 (9,724) 246,301 (17,354) 6,709,976 The following tables provide a roll forward of the allowance for credit losses on our AFS fixed income securities for the indicated periods: Quarter ended September 30, 2022 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 265 40 — 15 — — 320 Obligations of states and political subdivisions 1,206 313 — (181) (27) — 1,311 Corporate securities 35,072 4,061 — 633 (2,733) (63) 36,970 CLO and other ABS 3,623 35 — (527) (17) — 3,114 RMBS 10,616 35 — 46 (94) — 10,603 CMBS 18 — — 1 — — 19 Total AFS fixed income securities $ 50,800 4,484 — (13) (2,871) (63) 52,337 Quarter ended September 30, 2021 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 49 — (2) — — 47 Obligations of states and political subdivisions 38 61 — — — 99 Corporate securities 3,477 1,307 64 (49) (80) 4,719 CLO and other ABS 1,399 46 (517) (2) — 926 RMBS 1,034 248 125 (44) — 1,363 CMBS 14 4 (3) — — 15 Total AFS fixed income securities $ 6,011 1,666 (333) (95) (80) 7,169 Nine Months ended September 30, 2022 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 46 292 — (4) (14) — 320 Obligations of states and political subdivisions 137 1,371 — (6) (191) — 1,311 Corporate securities 6,682 33,096 — 4,384 (5,925) (1,267) 36,970 CLO and other ABS 939 1,580 — 623 (28) — 3,114 RMBS 1,909 225 8,318 473 (322) — 10,603 CMBS 11 18 — (10) — — 19 Total AFS fixed income securities $ 9,724 36,582 8,318 5,460 (6,480) (1,267) 52,337 Nine Months ended September 30, 2021 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 1 47 (1) — — 47 Obligations of states and political subdivisions 4 84 11 — — 99 Corporate securities 2,782 3,413 (765) (570) (141) 4,719 CLO and other ABS 592 573 (219) (20) — 926 RMBS 561 1,018 (95) (121) — 1,363 CMBS 29 4 (18) — — 15 Total AFS fixed income securities $ 3,969 5,139 (1,087) (711) (141) 7,169 During Third Quarter and Nine Months 2022 and 2021, we had no write-offs or recoveries of our AFS fixed income securities. For information on our methodology and significant inputs used to measure expected credit losses, our accounting policy for recognizing write-offs of uncollectible amounts, and our treatment of accrued interest, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2021 Annual Report. Accrued interest on AFS securities was $52.8 million as of September 30, 2022, and $46.3 million as of December 31, 2021. We did not record any material write-offs of accrued interest during 2022 and 2021. (b) Quantitative information about unrealized losses on our AFS portfolio follows: September 30, 2022 Less than 12 months 12 months or longer Total ($ in thousands) Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized AFS fixed income securities: U.S. government and government agencies $ 138,136 (16,003) 9,819 (4,112) 147,955 (20,115) Foreign government 12,069 (1,501) 1,711 (459) 13,780 (1,960) Obligations of states and political subdivisions 921,980 (62,494) 3,886 (643) 925,866 (63,137) Corporate securities 2,037,738 (217,328) 61,315 (17,655) 2,099,053 (234,983) CLO and other ABS 1,107,292 (82,751) 269,902 (29,541) 1,377,194 (112,292) RMBS 937,823 (93,871) 45,296 (10,985) 983,119 (104,856) CMBS 538,907 (40,359) 52,313 (8,839) 591,220 (49,198) Total AFS fixed income securities $ 5,693,945 (514,307) 444,242 (72,234) 6,138,187 (586,541) December 31, 2021 Less than 12 months 12 months or longer Total ($ in thousands) Fair Unrealized Fair Value Unrealized Fair Value Unrealized AFS fixed income securities: U.S. government and government agencies $ 34,857 (746) 7,827 (399) 42,684 (1,145) Foreign government 2,000 (84) 1,061 (39) 3,061 (123) Obligations of states and political subdivisions 25,837 (235) — — 25,837 (235) Corporate securities 300,549 (4,903) 2,520 (50) 303,069 (4,953) CLO and other ABS 663,976 (4,934) 53,368 (1,350) 717,344 (6,284) RMBS 236,010 (2,931) 20 (1) 236,030 (2,932) CMBS 112,899 (1,016) 20,326 (666) 133,225 (1,682) Total AFS fixed income securities $ 1,376,128 (14,849) 85,122 (2,505) 1,461,250 (17,354) We currently do not intend to sell any of the securities summarized in the tables above, nor will we be required to sell any of them. The increase in gross unrealized losses as of September 30, 2022, compared to December 31, 2021, was driven by an increase in benchmark U.S. Treasury rates and a widening of credit spreads, with the increase in interest rates having the most significant impact. Considering these factors and our review of these securities under our credit loss policy as described in Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2021 Annual Report, we have concluded that no allowance for credit loss is required on these balances beyond the allowance for credit loss recorded as of September 30, 2022. This conclusion reflects our current judgment about the financial position and future prospects of the entities that issued the investment security and underlying collateral. (c) AFS and held-to-maturity ("HTM") fixed income securities at September 30, 2022, by contractual maturity are shown below. The maturities of mortgage-backed securities were calculated using each security's estimated average life. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. AFS HTM ($ in thousands) Fair Value Carrying Value Fair Value Due in one year or less $ 322,189 6,577 6,595 Due after one year through five years 2,826,402 4,955 4,907 Due after five years through 10 years 2,410,981 21,476 19,980 Due after 10 years 912,528 — — Total fixed income securities $ 6,472,100 33,008 31,482 (d) The following table summarizes our other investment portfolio by strategy: Other Investments September 30, 2022 December 31, 2021 ($ in thousands) Carrying Value Remaining Commitment Maximum Exposure to Loss 1 Carrying Value Remaining Commitment Maximum Exposure to Loss 1 Alternative Investments Private equity $ 284,538 126,446 410,984 273,070 99,734 372,804 Private credit 55,398 91,196 146,594 63,138 92,674 155,812 Real assets 27,885 29,103 56,988 23,524 22,579 46,103 Total alternative investments 367,821 246,745 614,566 359,732 214,987 574,719 Other securities 64,803 — 64,803 49,300 — 49,300 Total other investments $ 432,624 246,745 679,369 409,032 214,987 624,019 1 In addition to the amounts in this table, previously recognized tax credits are subject to the risk of recapture. We do not consider the risk of recapture to be significant and therefore do not reflect this risk in the Maximum Exposure to Loss column in this table. We are contractually committed to make additional investments up to the remaining commitments stated above. We did not provide any non-contractual financial support during 2022 or 2021. The following table shows gross summarized financial information for our other investments portfolio, including the portion we do not own. The majority of these investments are carried under the equity method of accounting and report results to us on a one-quarter lag. The following table provides (i) the total net income reported by these investments to all of their investors for the three and nine months ended June 30, 2022 and June 30, 2021, and (ii) the portion of these results that are included in our Third Quarter and Nine Months 2022 and 2021 results: Income Statement Information Quarter ended September 30, Nine Months ended September 30, ($ in millions) 2022 2021 2022 2021 Net investment income $ 205.6 60.4 $ 612.0 550.3 Realized gains 1,983.5 1,857.6 10,964.9 4,026.2 Net change in unrealized appreciation (3,188.9) 11,188.2 (1,973.0) 20,767.9 Net income $ (999.8) 13,106.2 $ 9,603.9 25,344.4 Alternative investment income included in "Net investment income earned" on our Consolidated Statements of Income $ (5.6) 42.8 $ 22.8 92.9 (e) We have pledged certain AFS fixed income securities as collateral related to our borrowing relationships with the Federal Home Loan Bank of Indianapolis ("FHLBI") and the Federal Home Loan Bank of New York ("FHLBNY"). In addition, we had certain securities on deposit with various state and regulatory agencies at September 30, 2022 to comply with insurance laws. We retain all rights regarding all securities pledged as collateral. The following table summarizes the market value of these securities at September 30, 2022: ($ in millions) FHLBI Collateral FHLBNY Collateral State and Total U.S. government and government agencies $ — — 18.9 18.9 Obligations of states and political subdivisions — — 3.6 3.6 RMBS 60.5 29.7 — 90.2 CMBS 4.8 10.0 — 14.8 Total pledged as collateral $ 65.3 39.7 22.5 127.5 (f) We did not have exposure to any credit concentration risk of a single issuer greater than 10% of our stockholders' equity, other than certain U.S. government agencies, as of September 30, 2022, or December 31, 2021. (g) The components of pre-tax net investment income earned were as follows: Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Fixed income securities $ 68,236 51,683 $ 184,305 157,114 Commercial mortgage loans ("CMLs") 1,600 683 3,762 1,892 Equity securities 2,604 2,955 7,661 8,425 Short-term investments 1,152 64 1,660 204 Other investments (5,469) 42,865 22,896 93,158 Investment expenses (4,234) (5,218) (13,571) (14,314) Net investment income earned $ 63,889 93,032 $ 206,713 246,479 (h) The following table summarizes net realized and unrealized gains and losses for the periods indicated: Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Gross gains on sales $ 7,094 7,151 $ 23,843 12,906 Gross losses on sales (19,668) (2,505) (52,573) (8,787) Net realized (losses) gains on disposals (12,574) 4,646 (28,730) 4,119 Net unrealized (losses) gains on equity securities (7,777) (3,111) (31,791) 15,830 Net credit loss expense on fixed income securities, AFS (4,471) (1,334) (42,042) (4,059) Net credit loss benefit (expense) on fixed income securities, HTM 54 6 62 (54) Losses on securities for which we have the intent to sell (913) (30) (6,412) (483) Net realized and unrealized (losses) gains $ (25,681) 177 $ (108,913) 15,353 Net realized and unrealized investment gains decreased $25.9 million in Third Quarter 2022 and $124.3 million in Nine Months 2022 compared to the same prior-year periods, primarily driven by (i) a decrease in valuations reflecting the current public equities market, (ii) active trading of our fixed income securities in an effort to opportunistically increase yield given the rising interest rate environment, and (iii) higher credit loss expense on our AFS fixed income securities portfolio. Net unrealized losses and gains recognized in income on equity securities, as reflected in the table above, included the following: Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Unrealized (losses) gains recognized in income on equity securities: On securities remaining in our portfolio at end of period $ (5,832) 269 $ (16,334) 14,767 On securities sold in period (1,945) (3,380) (15,457) 1,063 Total unrealized (losses) gains recognized in income on equity securities $ (7,777) (3,111) $ (31,791) 15,830 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The financial assets in our investment portfolio are primarily measured at fair value as disclosed on the Consolidated Balance Sheets. The following table presents the carrying amounts and fair values of our financial liabilities as of September 30, 2022, and December 31, 2021: September 30, 2022 December 31, 2021 ($ in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial Liabilities Long-term debt: 7.25% Senior Notes $ 49,920 50,225 49,917 63,719 6.70% Senior Notes 99,536 97,098 99,520 127,574 5.375% Senior Notes 294,400 255,216 294,330 395,652 3.03% borrowings from FHLBI 60,000 57,025 60,000 64,126 Subtotal long-term debt 503,856 459,564 503,767 651,071 Unamortized debt issuance costs (2,986) (3,167) Finance lease obligations 4,281 5,450 Total long-term debt $ 505,151 506,050 For discussion regarding the fair value techniques of our financial instruments, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2021 Annual Report. The following tables provide quantitative disclosures of our financial assets that were measured and recorded at fair value at September 30, 2022, and December 31, 2021: September 30, 2022 Fair Value Measurements Using ($ in thousands) Assets Quoted Prices in Significant Other Significant Unobservable Description Measured on a recurring basis: AFS fixed income securities: U.S. government and government agencies $ 148,231 75,858 72,373 — Foreign government 13,780 — 13,780 — Obligations of states and political subdivisions 967,630 — 960,919 6,711 Corporate securities 2,264,636 — 2,098,812 165,824 CLO and other ABS 1,467,423 — 1,341,751 125,672 RMBS 1,016,057 — 1,016,057 — CMBS 594,343 — 593,970 373 Total AFS fixed income securities 6,472,100 75,858 6,097,662 298,580 Equity securities: Common stock 1 182,138 81,029 — — Preferred stock 1,730 1,730 — — Total equity securities 183,868 82,759 — — Short-term investments 269,302 268,982 320 — Total assets measured at fair value $ 6,925,270 427,599 6,097,982 298,580 December 31, 2021 Fair Value Measurements Using ($ in thousands) Assets Quoted Prices in Significant Significant Unobservable Description Measured on a recurring basis: AFS fixed income securities: U.S. government and government agencies $ 130,458 60,615 69,843 — Foreign government 15,860 — 15,860 — Obligations of states and political subdivisions 1,189,308 — 1,181,563 7,745 Corporate securities 2,573,603 — 2,459,476 114,127 CLO and other ABS 1,350,814 — 1,225,905 124,909 RMBS 776,252 — 776,007 245 CMBS 673,681 — 669,425 4,256 Total AFS fixed income securities 6,709,976 60,615 6,398,079 251,282 Equity securities: Common stock 1 333,449 249,846 — — Preferred stock 2,088 2,088 — — Total equity securities 335,537 251,934 — — Short-term investments 447,863 442,723 5,140 — Total assets measured at fair value $ 7,493,376 755,272 6,403,219 251,282 1 Investments amounting to $101.1 million at September 30, 2022, and $83.6 million at December 31, 2021, were measured at fair value using the net asset value per share (or its practical expedient) and have not been classified in the fair value hierarchy. These investments are not redeemable and the timing of liquidations of the underlying assets is unknown at each reporting period. The fair value amounts in this table are intended to permit reconciliation of the fair value hierarchy to total assets measured at fair value. The following tables provide a summary of Level 3 changes in Nine Months 2022 and Nine Months 2021: September 30, 2022 ($ in thousands) Obligations of States and Political Subdivisions Corporate Securities CLO and Other ABS RMBS CMBS Total Fair value, December 31, 2021 $ 7,745 114,127 124,909 245 4,256 251,282 Total net (losses) gains for the period included in: Other comprehensive income ("OCI") (879) (23,847) (11,436) (17) (477) (36,656) Net realized and unrealized (losses) gains (155) (2,345) (771) — (7) (3,278) Net investment income earned — 49 127 — 46 222 Purchases — 74,327 44,167 — — 118,494 Sales — — — — — — Issuances — — — — — — Settlements — (8,663) (6,678) (11) (15) (15,367) Transfers into Level 3 — 19,214 — — — 19,214 Transfers out of Level 3 — (7,038) (24,646) (217) (3,430) (35,331) Fair value, September 30, 2022 $ 6,711 165,824 125,672 — 373 298,580 Change in unrealized losses for the period included in earnings for assets held at period end (155) (2,330) (771) — (7) (3,263) Change in unrealized losses for the period included in OCI for assets held at period end (879) (23,852) (11,395) (17) (477) (36,620) September 30, 2021 ($ in thousands) Obligation of state and Political Subdivisions Corporate Securities CLO and Other ABS Total Fair value, December 31, 2020 $ 2,894 70,700 56,375 129,969 Total net (losses) gains for the period included in: OCI 9 2,607 206 2,822 Net realized and unrealized (losses) gains — (185) (35) (220) Net investment income earned — 14 9 23 Purchases — 43,833 19,041 62,874 Sales — — — — Issuances — — — — Settlements — (210) (1,750) (1,960) Transfers into Level 3 5,101 981 3,226 9,308 Transfers out of Level 3 — (7,454) (14,643) (22,097) Fair value, September 30, 2021 $ 8,004 110,286 62,429 180,719 Change in unrealized (losses) gains for the period included in earnings for assets held at period end — (185) (35) (220) Change in unrealized gains (losses) for the period included in OCI for assets held at period end 9 2,607 206 2,822 The following tables present quantitative information about the significant unobservable inputs used in the fair value measurements of Level 3 assets at September 30, 2022, and December 31, 2021: September 30, 2022 ($ in thousands) Assets Measured at Fair Value Valuation Techniques Unobservable Inputs Range Weighted Average Internal valuations: Corporate securities $ 77,424 Discounted Cash Flow Illiquidity Spread (4.4)% - 19.6% 1.8% CLO and other ABS 40,883 Discounted Cash Flow Illiquidity Spread 0.01% - 8.0% 1.9% Total internal valuations 118,307 Other 1 180,273 Total Level 3 securities $ 298,580 December 31, 2021 ($ in thousands) Assets Measured at Fair Value Valuation Techniques Unobservable Inputs Range Weighted Average Internal valuations: Corporate securities $ 54,135 Discounted Cash Flow Illiquidity Spread 0.3% - 3.0% 1.2% CLO and other ABS 34,903 Discounted Cash Flow Illiquidity Spread 0.7% - 8.0% 2.1% Total internal valuations 89,038 Other 1 162,244 Total Level 3 securities $ 251,282 1 Other is comprised of broker quotes or other third-party pricing for which there is a lack of transparency into the inputs used to develop the valuations. The quantitative details of these unobservable inputs is neither provided to us, nor reasonably available to us, and therefore are not included in the tables above. For the securities in the tables above valued using a discounted cash flow analysis, we apply an illiquidity spread in our determination of fair value. An increase in this assumption would result in a lower fair value measurement. The following tables provide quantitative information about our financial assets and liabilities that were not measured at fair value, but were disclosed as such at September 30, 2022, and December 31, 2021: September 30, 2022 Fair Value Measurements Using ($ in thousands) Assets/ Quoted Prices in Significant Other Significant Financial Assets HTM: Obligations of states and political subdivisions $ 3,424 — 3,424 — Corporate securities 28,058 — 28,058 — Total HTM fixed income securities $ 31,482 — 31,482 — CMLs $ 136,652 — — 136,652 Financial Liabilities Long-term debt: 7.25% Senior Notes $ 50,225 — 50,225 — 6.70% Senior Notes 97,098 — 97,098 — 5.375% Senior Notes 255,216 — 255,216 — 3.03% borrowings from FHLBI 57,025 — 57,025 — Total long-term debt $ 459,564 — 459,564 — December 31, 2021 Fair Value Measurements Using ($ in thousands) Assets/ Quoted Prices in Significant Other Significant Financial Assets HTM: Obligations of states and political subdivisions $ 3,576 — 3,576 — Corporate securities 25,884 — 25,884 — Total HTM fixed income securities $ 29,460 — 29,460 — CMLs $ 97,598 — — 97,598 Financial Liabilities Long-term debt: 7.25% Senior Notes $ 63,719 — 63,719 — 6.70% Senior Notes 127,574 — 127,574 — 5.375% Senior Notes 395,652 — 395,652 — 3.03% borrowings from FHLBI 64,126 — 64,126 — Total long-term debt $ 651,071 — 651,071 — |
Allowance for Credit Losses on
Allowance for Credit Losses on Premiums Receivable (Notes) | 9 Months Ended |
Sep. 30, 2022 | |
Premiums Receivable [Abstract] | |
Allowance for Credit Losses on Premiums Receivable Note [Text Block] | Premiums Receivable The following table provides a roll forward of the allowance for credit losses on our premiums receivable balance for the indicated periods: Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Balance at beginning of period $ 14,900 $ 18,300 $ 13,600 $ 21,000 Current period change for expected credit losses 2,250 180 4,335 1,721 Write-offs charged against the allowance for credit losses (2,349) (2,154) (3,787) (6,554) Recoveries 399 174 1,052 333 Allowance for credit losses, end of period $ 15,200 $ 16,500 $ 15,200 $ 16,500 In Third Quarter 2022, we recognized an additional allowance for credit losses on premiums receivable of $2.6 million, excluding the impact of write-offs. The additional allowance consisted of a reserve of $2.7 million on 2022 premiums based on our historical write-off percentages and assumptions, partially offset by a $0.1 million allowance reduction on 2021 and older policies. In Nine Months 2022, we recognized an additional allowance for credit losses on premiums receivable of $5.4 million, excluding the impact of write-offs. The additional allowance consisted of a reserve of $7.0 million on 2022 premiums based on our historical write-off percentages and assumptions, partially offset by a $1.6 million allowance reduction on 2021 and older policies, primarily impacted by the COVID-19 pandemic, for which the credit loss did not fully materialize. In Third Quarter 2021, we recognized expected credit losses, excluding the impact of write-offs, of $1.2 million on 2021 policies based on our historical write-off percentages and assumptions, partially offset by a $0.8 million allowance reduction on older policies. In Nine Months 2021, we recognized expected credit losses, excluding the impact of write-offs, of $6.3 million on 2021 policies based on our historical write-off percentages and assumptions, partially offset by a $4.2 million allowance reduction on older policies. For a discussion of the methodology used to evaluate our estimate of expected credit losses on premiums receivable, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2021 Annual Report. |
Reinsurance
Reinsurance | 9 Months Ended |
Sep. 30, 2022 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance | Reinsurance We evaluate and monitor the financial condition of our reinsurers under voluntary reinsurance arrangements to minimize our exposure to significant losses from reinsurer insolvencies. The following tables provide (i) a disaggregation of our reinsurance recoverable balance by financial strength rating, and (ii) an aging analysis of our past due reinsurance recoverable balances as of September 30, 2022, and December 31, 2021: September 30, 2022 ($ in thousands) Current Past Due Total Reinsurance Recoverables Financial strength rating of rated reinsurers A++ $ 45,356 $ — $ 45,356 A+ 360,085 920 361,005 A 98,860 176 99,036 A- 2,301 90 2,391 B++ — — — B+ — — — Total rated reinsurers $ 506,602 $ 1,186 $ 507,788 Non-rated reinsurers Federal and state pools $ 202,989 $ — $ 202,989 Other than federal and state pools 3,676 278 3,954 Total non-rated reinsurers $ 206,665 $ 278 $ 206,943 Total reinsurance recoverable, gross $ 713,267 $ 1,464 $ 714,731 Less: allowance for credit losses (1,600) Total reinsurance recoverable, net $ 713,131 December 31, 2021 ($ in thousands) Current Past Due Total Reinsurance Recoverables Financial strength rating of rated reinsurers A++ $ 38,601 $ 9 $ 38,610 A+ 339,857 1,520 341,377 A 95,675 1,227 96,902 A- 3,209 145 3,354 B++ — — — B+ — — — Total rated reinsurers $ 477,342 $ 2,901 $ 480,243 Non-rated reinsurers Federal and state pools $ 116,378 $ — $ 116,378 Other than federal and state pools 4,597 450 5,047 Total non-rated reinsurers $ 120,975 $ 450 $ 121,425 Total reinsurance recoverable, gross $ 598,317 $ 3,351 $ 601,668 Less: allowance for credit losses (1,600) Total reinsurance recoverable, net $ 600,068 The $86.6 million increase in "Federal and state pools" as of September 30, 2022, compared to December 31, 2021, was primarily due to NFIP reserves recorded in Third Quarter 2022 for flood losses in Florida and surrounding states as a result of Hurricane Ian, which are 100% ceded to the NFIP. The following table provides a roll forward of the allowance for credit losses on our reinsurance recoverable balance for the periods indicated: ($ in thousands) Quarter ended September 30, Nine Months ended September 30, 2022 2021 2022 2021 Balance at beginning of period $ 1,600 1,777 $ 1,600 1,777 Current period change for expected credit losses — (182) — (182) Write-offs charged against the allowance for credit losses — — — — Recoveries — — — — Allowance for credit losses, end of period $ 1,600 1,595 $ 1,600 1,595 For a discussion of the methodology used to evaluate our estimate of expected credit losses on our reinsurance recoverable balance, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2021 Annual Report. The following table lists direct, assumed, and ceded reinsurance amounts for premiums written, premiums earned, and loss and loss expenses incurred for the indicated periods. For more information about reinsurance, refer to Note 9. “Reinsurance” in Item 8. “Financial Statements and Supplementary Data.” of our 2021 Annual Report. Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Premiums written: Direct $ 1,037,612 932,752 $ 3,089,166 2,796,296 Assumed 9,531 7,136 23,398 17,541 Ceded (143,749) (126,982) (388,631) (369,548) Net $ 903,394 812,906 $ 2,723,933 2,444,289 Premiums earned: Direct $ 984,981 877,620 $ 2,872,008 2,568,445 Assumed 8,514 6,304 21,523 16,391 Ceded (139,616) (116,677) (392,930) (352,111) Net $ 853,879 767,247 $ 2,500,601 2,232,725 Loss and loss expenses incurred: Direct $ 732,568 655,483 $ 1,821,069 1,557,063 Assumed 6,443 4,143 15,846 10,807 Ceded (191,185) (154,357) (269,985) (227,577) Net $ 547,826 505,269 $ 1,566,930 1,340,293 |
Reserve for Loss and Loss Expen
Reserve for Loss and Loss Expense | 9 Months Ended |
Sep. 30, 2022 | |
Insurance Loss Reserves [Abstract] | |
Reserve for Loss and Loss Expense | Reserve for Loss and Loss Expense The table below provides a roll forward of reserve for loss and loss expense for beginning and ending reserve balances: Nine Months ended September 30, ($ in thousands) 2022 2021 Gross reserve for loss and loss expense, at beginning of period $ 4,580,903 4,260,355 Less: reinsurance recoverable on unpaid loss and loss expense, at beginning of period 578,641 554,269 Net reserve for loss and loss expense, at beginning of period 4,002,262 3,706,086 Incurred loss and loss expense for claims occurring in the: Current year 1,610,940 1,408,240 Prior years (44,010) (67,947) Total incurred loss and loss expense 1,566,930 1,340,293 Paid loss and loss expense for claims occurring in the: Current year 513,118 430,288 Prior years 779,438 675,782 Total paid loss and loss expense 1,292,556 1,106,070 Net reserve for loss and loss expense, at end of period 4,276,636 3,940,309 Add: Reinsurance recoverable on unpaid loss and loss expense, at end of period 688,641 670,031 Gross reserve for loss and loss expense at end of period $ 4,965,277 4,610,340 Prior year reserve development in Nine Months 2022 was favorable by $44.0 million, consisting of $48.0 million of favorable casualty reserve development, partially offset by $4.0 million of unfavorable property reserve development. The favorable casualty reserve development included $40.0 million in our workers compensation line of business, $10.0 million in our bonds line of business, $8.0 million in our businessowners' policies line of business, and $5.0 million in our general liability line of business, partially offset by $15.0 million of unfavorable casualty reserve development in our commercial automobile line of business. Prior year reserve development in Nine Months 2021 was favorable by $67.9 million, primarily consisting of $66.0 million of casualty reserve development. The favorable casualty reserve development included $29.0 million in our general liability line of business, $28.0 million in our workers compensation line of business, $7.0 million in our Excess and Surplus (E&S") casualty lines of business, and $2.0 million in our businessowners' policies line of business. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information We evaluate the results of our four reportable segments as follows: • Our Standard Commercial Lines, Standard Personal Lines, and E&S Lines are evaluated based on before and after-tax underwriting results (net premiums earned, incurred loss and loss expense, policyholder dividends, policy acquisition costs, and other underwriting expenses), return on equity ("ROE") contribution, and combined ratios. • Our Investments segment is primarily evaluated on after-tax net investment income and its ROE contribution. After-tax net realized and unrealized gains and losses, which are not included in non-GAAP operating income, are also included in our Investments segment results. In computing each segment's results, we do not make adjustments for interest expense or corporate expenses. No segment has a separate investment portfolio or allocated assets. The following summaries present revenues (net investment income and net realized and unrealized gains and losses on investments in the case of the Investments segment) and pre-tax income for the individual segments: Revenue by Segment Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Standard Commercial Lines: Net premiums earned: General liability $ 225,302 205,904 $ 667,912 596,717 Commercial automobile 207,129 185,610 599,340 535,519 Commercial property 128,268 111,981 371,892 320,904 Workers compensation 81,996 78,318 250,178 230,845 Businessowners' policies 32,130 23,025 93,682 80,963 Bonds 11,094 8,850 32,136 26,436 Other 6,518 5,883 19,003 17,082 Miscellaneous income 2,444 4,168 6,141 13,670 Total Standard Commercial Lines revenue 694,881 623,739 2,040,284 1,822,136 Standard Personal Lines: Net premiums earned: Personal automobile 40,746 40,575 120,414 122,977 Homeowners 32,619 30,633 95,436 91,801 Other 2,273 2,154 5,768 5,698 Miscellaneous income 489 420 1,358 1,242 Total Standard Personal Lines revenue 76,127 73,782 222,976 221,718 E&S Lines: Net premiums earned: Casualty lines 59,640 52,983 170,305 144,458 Property lines 26,164 21,331 74,535 59,325 Total E&S Lines revenue 85,804 74,314 244,840 203,783 Investments: Net investment income 63,889 93,032 206,713 246,479 Net realized and unrealized investment (losses) gains (25,681) 177 (108,913) 15,353 Total Investments revenue 38,208 93,209 97,800 261,832 Total revenues $ 895,020 865,044 $ 2,605,900 2,509,469 Income Before and After Federal Income Tax Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Standard Commercial Lines: Underwriting income, before federal income tax $ 22,501 17,413 $ 111,593 154,850 Underwriting income, after federal income tax 17,776 13,756 88,158 122,332 Combined ratio 96.8 % 97.2 94.5 91.4 ROE contribution 3.1 2.1 4.7 6.2 Standard Personal Lines: Underwriting (loss) income, before federal income tax $ (1,385) (11,146) $ (7,232) 2,193 Underwriting (loss) income, after federal income tax (1,094) (8,805) (5,713) 1,732 Combined ratio 101.8 % 115.2 103.3 99.0 ROE contribution (0.2) (1.3) (0.3) 0.1 E&S Lines: Underwriting income, before federal income tax $ 6,016 4,672 $ 16,313 7,494 Underwriting income, after federal income tax 4,753 3,691 12,887 5,920 Combined ratio 93.0 % 93.7 93.3 96.3 ROE contribution 0.8 0.5 0.7 0.3 Investments: Net investment income earned $ 63,889 93,032 $ 206,713 246,479 Net realized and unrealized investment (losses) gains (25,681) 177 (108,913) 15,353 Total investments segment income, before federal income tax 38,208 93,209 97,800 261,832 Tax on investments segment income 6,964 18,379 17,136 51,229 Total investments segment income, after federal income tax $ 31,244 74,830 $ 80,664 210,603 ROE contribution of after-tax net investment income earned 8.9 11.0 8.9 10.1 Reconciliation of Segment Results to Income Before Federal Income Tax Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Underwriting income (loss) Standard Commercial Lines $ 22,501 17,413 $ 111,593 154,850 Standard Personal Lines (1,385) (11,146) (7,232) 2,193 E&S Lines 6,016 4,672 16,313 7,494 Investment income 38,208 93,209 97,800 261,832 Total all segments 65,340 104,148 218,474 426,369 Interest expense (7,179) (7,242) (21,599) (21,967) Corporate expenses (5,522) (4,270) (24,442) (22,936) Income, before federal income tax $ 52,639 92,636 $ 172,433 381,466 Preferred stock dividends (2,300) (2,300) (6,900) (7,053) Income available to common stockholders, before federal income tax $ 50,339 90,336 $ 165,533 374,413 |
Retirement Plans
Retirement Plans | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans The primary pension plan for our employees is the Retirement Income Plan for Selective Insurance Company of America (the “Pension Plan”). Selective Insurance Company of America (“SICA”) also sponsors the Supplemental Excess Retirement Plan (the “Excess Plan”) and a life insurance benefit plan. All plans are closed to new entrants, and benefits ceased accruing under the Pension Plan and the Excess Plan after March 31, 2016. For more information about SICA's retirement plans, see Note 15. “Retirement Plans” in Item 8. “Financial Statements and Supplementary Data.” of our 2021 Annual Report. The following tables provide information about the Pension Plan: Pension Plan Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Net Periodic Pension Cost (Benefit): Interest cost $ 2,486 2,148 $ 7,458 6,445 Expected return on plan assets (5,537) (5,744) (16,611) (17,232) Amortization of unrecognized net actuarial loss 366 626 1,099 1,876 Total net periodic pension cost (benefit) 1 $ (2,685) (2,970) $ (8,054) (8,911) 1 The components of net periodic pension cost (benefit) are included within "Loss and loss expense incurred" and "Other insurance expenses" on the Consolidated Statements of Income. Pension Plan Nine Months ended September 30, 2022 2021 Weighted-Average Expense Assumptions: Discount rate 2.98 % 2.68 % Effective interest rate for calculation of interest cost 2.48 2.06 Expected return on plan assets 5.00 5.40 |
Comprehensive Income
Comprehensive Income | 9 Months Ended |
Sep. 30, 2022 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |
Comprehensive Income | Comprehensive Income The components of comprehensive income, both gross and net of tax, for Third Quarter and Nine Months 2022 and 2021 are as follows: Third Quarter 2022 ($ in thousands) Gross Tax Net Net income $ 52,639 10,114 42,525 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (189,622) (39,819) (149,803) Unrealized losses on securities with credit loss recognized in earnings (68,287) (14,341) (53,946) Amounts reclassified into net income: HTM securities 1 — 1 Net realized losses on disposals and intent-to-sell AFS securities 14,235 2,989 11,246 Credit loss expense 4,471 939 3,532 Total unrealized losses on investment securities (239,202) (50,232) (188,970) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 417 88 329 Total defined benefit pension and post-retirement plans 417 88 329 Other comprehensive loss (238,785) (50,144) (188,641) Comprehensive loss $ (186,146) (40,030) (146,116) Third Quarter 2021 ($ in thousands) Gross Tax Net Net income $ 92,636 18,931 73,705 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (35,285) (7,410) (27,875) Unrealized losses on securities with credit loss recognized in earnings (2,343) (492) (1,851) Amounts reclassified into net income: HTM securities 1 — 1 Net realized gains on disposals and intent-to-sell AFS securities (1,296) (272) (1,024) Credit loss expense 1,334 280 1,054 Total unrealized losses on investment securities (37,589) (7,894) (29,695) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 693 145 548 Total defined benefit pension and post-retirement plans 693 145 548 Other comprehensive loss (36,896) (7,749) (29,147) Comprehensive income $ 55,740 11,182 44,558 Nine Months 2022 ($ in thousands) Gross Tax Net Net income $ 172,433 34,058 138,375 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (674,357) (141,613) (532,744) Unrealized losses on securities with credit loss recognized in earnings (227,599) (47,796) (179,803) Amounts reclassified into net income: HTM securities 2 — 2 Net realized losses on disposals and intent-to-sell AFS securities 48,396 10,163 38,233 Credit loss expense 42,042 8,828 33,214 Total unrealized losses on investment securities (811,516) (170,418) (641,098) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 1,251 263 988 Total defined benefit pension and post-retirement plans 1,251 263 988 Other comprehensive loss (810,265) (170,155) (640,110) Comprehensive loss $ (637,832) (136,097) (501,735) Nine Months 2021 ($ in thousands) Gross Tax Net Net income $ 381,466 76,608 304,858 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (103,040) (21,638) (81,402) Unrealized losses on securities with credit loss recognized in earnings (3,678) (772) (2,906) Amounts reclassified into net income: HTM securities (4) (1) (3) Net realized gains on disposals and intent-to-sell AFS securities (634) (133) (501) Credit loss expense 4,059 852 3,207 Total unrealized losses on investment securities (103,297) (21,692) (81,605) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 2,079 436 1,643 Total defined benefit pension and post-retirement plans 2,079 436 1,643 Other comprehensive loss (101,218) (21,256) (79,962) Comprehensive income $ 280,248 55,352 224,896 The balances of, and changes in, each component of accumulated other comprehensive income ("AOCI") (net of taxes) as of September 30, 2022, were as follows: September 30, 2022 Net Unrealized (Losses) Gains on Investment Securities Defined Benefit Total AOCI ($ in thousands) Credit Loss Related 1 HTM All Investments Balance, December 31, 2021 $ (4,287) (3) 185,170 180,880 (65,781) 115,099 OCI before reclassifications (179,803) — (532,744) (712,547) — (712,547) Amounts reclassified from AOCI 33,214 2 38,233 71,449 988 72,437 Net current period OCI (146,589) 2 (494,511) (641,098) 988 (640,110) Balance, September 30, 2022 $ (150,876) (1) (309,341) (460,218) (64,793) (525,011) 1 Represents change in unrealized loss on securities with credit loss recognized in earnings. The reclassifications out of AOCI were as follows: Quarter ended September 30, Nine Months ended September 30, Affected Line Item in the Unaudited Consolidated Statements of Income ($ in thousands) 2022 2021 2022 2021 HTM related Unrealized losses (gains) on HTM disposals $ 1 (1) $ 1 (1) Net realized and unrealized investment (losses) gains Amortization of net unrealized losses (gains) on HTM securities — 2 1 (3) Net investment income earned 1 1 2 (4) Income before federal income tax — — — 1 Total federal income tax expense 1 1 2 (3) Net income Net realized losses (gains) on disposals and intent-to-sell AFS securities Net realized losses (gains) on disposals and intent-to-sell AFS securities 14,235 (1,296) 48,396 (634) Net realized and unrealized investment (losses) gains 14,235 (1,296) 48,396 (634) Income before federal income tax (2,989) 272 (10,163) 133 Total federal income tax expense 11,246 (1,024) 38,233 (501) Net income Credit loss related Credit loss expense 4,471 1,334 42,042 4,059 Net realized and unrealized investment (losses) gains 4,471 1,334 42,042 4,059 Income before federal income tax (939) (280) (8,828) (852) Total federal income tax expense 3,532 1,054 33,214 3,207 Net income Defined benefit pension and post-retirement life plans Net actuarial loss 90 159 270 478 Loss and loss expense incurred 327 534 981 1,601 Other insurance expenses Total defined benefit pension and post-retirement life 417 693 1,251 2,079 Income before federal income tax (88) (145) (263) (436) Total federal income tax expense 329 548 988 1,643 Net income Total reclassifications for the period $ 15,108 579 $ 72,437 4,346 Net income |
Equity
Equity | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Treasury Stock | EquityOn December 2, 2020, we announced that our Board of Directors authorized a $100 million share repurchase program, with no set expiration or termination date. Our repurchase program does not obligate us to acquire any particular amount of our common stock. The timing and amount of any share repurchases under the authorization will be determined by management at its discretion based on market conditions and other considerations. In Nine Months 2022, we repurchased 165,159 shares of our common stock under our share repurchase program, of which 79,100 were repurchased in Third Quarter 2022. The total cost of repurchases, including commissions, was $12.4 million in Nine Months 2022. We had $84.2 million of remaining capacity under our share repurchase program as of September 30, 2022. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings per Common Share The following table presents the calculations of earnings per common share ("EPS") on a basic and diluted basis: Quarter ended September 30, Nine months ended September 30, (in thousands, except per share amounts) 2022 2021 2022 2021 Net income available to common stockholders: $ 40,225 71,405 131,475 297,805 Weighted average common shares outstanding: Weighted average common shares outstanding - basic 60,404 60,231 60,409 60,161 Effect of dilutive securities - stock compensation plans 431 355 420 348 Weighted average common shares outstanding - diluted 60,835 60,586 60,829 60,509 EPS: Basic $ 0.67 1.19 2.18 4.95 Diluted 0.66 1.18 2.16 4.92 |
Litigation
Litigation | 9 Months Ended |
Sep. 30, 2022 | |
Loss Contingency, Information about Litigation Matters [Abstract] | |
Litigation | Litigation As of September 30, 2022, we do not believe we are involved in any legal action that could have a material adverse effect on our consolidated financial condition, results of operations, or cash flows. In the ordinary course of conducting business, we are parties in various legal actions. Most are claims litigation involving our Insurance Subsidiaries as (i) liability insurers defending or providing indemnity for third-party claims brought against our customers, (ii) insurers defending first-party coverage claims brought against them, or (iii) liability insurers seeking declaratory judgment on our insurance coverage obligations. We account for such activity by establishing unpaid loss and loss expense reserves. Considering potential losses and defense costs reserves, we expect that any potential ultimate liability for ordinary course claims litigation will not be material to our consolidated financial condition, results of operations, or cash flows. All our commercial property and businessowners' policies require direct physical loss of or damage to property by a covered cause of loss. All our standard lines commercial property and businessowners' policies also include or attach an exclusion that states all loss or property damage caused by or resulting from any virus, bacterium, or other microorganism that induces or is capable of inducing physical distress, illness, or disease is not a covered cause of loss ("Virus Exclusion"). Whether COVID-19-related contamination, the existence of the COVID-19 pandemic, and the resulting COVID-19-related government shutdown orders cause physical loss of or damage to property is the subject of much public debate and first-party coverage litigation against some insurers, including us. The Virus Exclusion also is the subject of first-party coverage litigation against some insurers, including us. To date, insurers (including us) have prevailed in the majority of these suits, with most decisions holding that COVID-19 does not cause physical loss of or damage to property and the Virus Exclusion is valid. Nonetheless, these two matters continue to be litigated in trial courts, are subject to review by state and federal appellate courts, and their ultimate outcome cannot be assured. From time to time, our Insurance Subsidiaries also are named as defendants in other legal actions, some asserting claims for substantial amounts. Plaintiffs may punitively style these actions as class actions and seek judicial certification of a state or national class for allegations involving our business practices, such as improper medical provider reimbursement under workers compensation and personal and commercial automobile insurance policies or improper reimbursement for automobile parts. Similarly, our Insurance Subsidiaries can be defendants in individual actions seeking extra-contractual damages, punitive damages, or penalties, often alleging bad faith claims handling. We believe that we have valid defenses to these allegations, and we account for such activity by establishing unpaid loss and loss expense reserves. Considering estimated losses and defense costs reserves, we expect that any potential ultimate liability for these other legal actions will not be material to our consolidated financial condition. As litigation outcomes are inherently unpredictable and the amounts sought in certain actions are large or indeterminate, adverse outcomes could potentially have a material adverse effect on our consolidated results of operations or cash flows in particular quarterly or annual periods. |
Statements of Cash Flows (Table
Statements of Cash Flows (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures | Nine Months ended September 30, ($ in thousands) 2022 2021 Cash paid (received) during the period for: Interest $ 22,699 23,278 Federal income tax 61,000 93,000 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 6,096 6,480 Operating cash flows from financing leases 33 5 Financing cash flows from finance leases 1,819 298 Non-cash items: Corporate actions related to fixed income securities, available-for-sale ("AFS") 1 32,546 50,501 Corporate actions related to equity securities 1 — 527 Conversion of AFS fixed income securities to equity securities 1,463 — Assets acquired under finance lease arrangements 650 183 Assets acquired under operating lease arrangements 15,514 273 Non-cash purchase of property and equipment — — 1 Examples of corporate actions include like-kind exchanges, non-cash acquisitions, and stock splits. |
Schedule of Cash and Restricted Cash | ($ in thousands) September 30, 2022 December 31, 2021 Cash $ 538 455 Restricted cash 8,495 44,608 Cash and restricted cash shown in the Consolidated Statements of Cash Flows $ 9,033 45,063 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Schedule of Investments [Line Items] | |
Schedule of Available-for-sale Securities | September 30, 2022 ($ in thousands) Cost/ Allowance for Credit Losses Unrealized Unrealized Fair AFS fixed income securities: U.S. government and government agencies $ 168,340 — 6 (20,115) 148,231 Foreign government 16,060 (320) — (1,960) 13,780 Obligations of states and political subdivisions 1,031,937 (1,311) 141 (63,137) 967,630 Corporate securities 2,535,367 (36,970) 1,222 (234,983) 2,264,636 Collateralized loan obligations ("CLO") and other asset-backed securities ("ABS") 1,581,097 (3,114) 1,732 (112,292) 1,467,423 Residential mortgage-backed securities ("RMBS") 1,130,752 (10,603) 764 (104,856) 1,016,057 Commercial mortgage-backed securities ("CMBS") 643,458 (19) 102 (49,198) 594,343 Total AFS fixed income securities $ 7,107,011 (52,337) 3,967 (586,541) 6,472,100 December 31, 2021 ($ in thousands) Cost/ Allowance for Credit Losses Unrealized Unrealized Fair AFS fixed income securities: U.S. government and government agencies $ 127,974 — 3,629 (1,145) 130,458 Foreign government 15,420 (46) 609 (123) 15,860 Obligations of states and political subdivisions 1,121,422 (137) 68,258 (235) 1,189,308 Corporate securities 2,478,348 (6,682) 106,890 (4,953) 2,573,603 CLO and other ABS 1,343,687 (939) 14,350 (6,284) 1,350,814 RMBS 756,280 (1,909) 24,813 (2,932) 776,252 CMBS 647,622 (11) 27,752 (1,682) 673,681 Total AFS fixed income securities $ 6,490,753 (9,724) 246,301 (17,354) 6,709,976 |
Debt Securities, Available-for-sale, Allowance for Credit Loss | Quarter ended September 30, 2022 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 265 40 — 15 — — 320 Obligations of states and political subdivisions 1,206 313 — (181) (27) — 1,311 Corporate securities 35,072 4,061 — 633 (2,733) (63) 36,970 CLO and other ABS 3,623 35 — (527) (17) — 3,114 RMBS 10,616 35 — 46 (94) — 10,603 CMBS 18 — — 1 — — 19 Total AFS fixed income securities $ 50,800 4,484 — (13) (2,871) (63) 52,337 Quarter ended September 30, 2021 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 49 — (2) — — 47 Obligations of states and political subdivisions 38 61 — — — 99 Corporate securities 3,477 1,307 64 (49) (80) 4,719 CLO and other ABS 1,399 46 (517) (2) — 926 RMBS 1,034 248 125 (44) — 1,363 CMBS 14 4 (3) — — 15 Total AFS fixed income securities $ 6,011 1,666 (333) (95) (80) 7,169 Nine Months ended September 30, 2022 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 46 292 — (4) (14) — 320 Obligations of states and political subdivisions 137 1,371 — (6) (191) — 1,311 Corporate securities 6,682 33,096 — 4,384 (5,925) (1,267) 36,970 CLO and other ABS 939 1,580 — 623 (28) — 3,114 RMBS 1,909 225 8,318 473 (322) — 10,603 CMBS 11 18 — (10) — — 19 Total AFS fixed income securities $ 9,724 36,582 8,318 5,460 (6,480) (1,267) 52,337 Nine Months ended September 30, 2021 ($ in thousands) Beginning Balance Current Provision for Securities without Prior Allowance Increase (Decrease) on Securities with Prior Allowance, excluding intent (or Requirement) to Sell Securities Reductions for Securities Sold Reductions for Securities Identified as Intent (or Requirement) to Sell during the Period Ending Balance Foreign government $ 1 47 (1) — — 47 Obligations of states and political subdivisions 4 84 11 — — 99 Corporate securities 2,782 3,413 (765) (570) (141) 4,719 CLO and other ABS 592 573 (219) (20) — 926 RMBS 561 1,018 (95) (121) — 1,363 CMBS 29 4 (18) — — 15 Total AFS fixed income securities $ 3,969 5,139 (1,087) (711) (141) 7,169 During Third Quarter and Nine Months 2022 and 2021, we had no write-offs or recoveries of our AFS fixed income securities. |
Schedule of Fair Value and Gross Pre-Tax Net Unrealized Loss of Securities by Length of Time, AFS | September 30, 2022 Less than 12 months 12 months or longer Total ($ in thousands) Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized AFS fixed income securities: U.S. government and government agencies $ 138,136 (16,003) 9,819 (4,112) 147,955 (20,115) Foreign government 12,069 (1,501) 1,711 (459) 13,780 (1,960) Obligations of states and political subdivisions 921,980 (62,494) 3,886 (643) 925,866 (63,137) Corporate securities 2,037,738 (217,328) 61,315 (17,655) 2,099,053 (234,983) CLO and other ABS 1,107,292 (82,751) 269,902 (29,541) 1,377,194 (112,292) RMBS 937,823 (93,871) 45,296 (10,985) 983,119 (104,856) CMBS 538,907 (40,359) 52,313 (8,839) 591,220 (49,198) Total AFS fixed income securities $ 5,693,945 (514,307) 444,242 (72,234) 6,138,187 (586,541) December 31, 2021 Less than 12 months 12 months or longer Total ($ in thousands) Fair Unrealized Fair Value Unrealized Fair Value Unrealized AFS fixed income securities: U.S. government and government agencies $ 34,857 (746) 7,827 (399) 42,684 (1,145) Foreign government 2,000 (84) 1,061 (39) 3,061 (123) Obligations of states and political subdivisions 25,837 (235) — — 25,837 (235) Corporate securities 300,549 (4,903) 2,520 (50) 303,069 (4,953) CLO and other ABS 663,976 (4,934) 53,368 (1,350) 717,344 (6,284) RMBS 236,010 (2,931) 20 (1) 236,030 (2,932) CMBS 112,899 (1,016) 20,326 (666) 133,225 (1,682) Total AFS fixed income securities $ 1,376,128 (14,849) 85,122 (2,505) 1,461,250 (17,354) |
Schedule of Fixed Maturity Securities By Contractual Maturities | AFS HTM ($ in thousands) Fair Value Carrying Value Fair Value Due in one year or less $ 322,189 6,577 6,595 Due after one year through five years 2,826,402 4,955 4,907 Due after five years through 10 years 2,410,981 21,476 19,980 Due after 10 years 912,528 — — Total fixed income securities $ 6,472,100 33,008 31,482 |
Schedule of Other Investment Portfolio By Strategy And Remaining Commitment Amount and Maximum Exposure to Loss Associated With Each Strategy | Other Investments September 30, 2022 December 31, 2021 ($ in thousands) Carrying Value Remaining Commitment Maximum Exposure to Loss 1 Carrying Value Remaining Commitment Maximum Exposure to Loss 1 Alternative Investments Private equity $ 284,538 126,446 410,984 273,070 99,734 372,804 Private credit 55,398 91,196 146,594 63,138 92,674 155,812 Real assets 27,885 29,103 56,988 23,524 22,579 46,103 Total alternative investments 367,821 246,745 614,566 359,732 214,987 574,719 Other securities 64,803 — 64,803 49,300 — 49,300 Total other investments $ 432,624 246,745 679,369 409,032 214,987 624,019 1 In addition to the amounts in this table, previously recognized tax credits are subject to the risk of recapture. We do not consider the risk of recapture to be significant and therefore do not reflect this risk in the Maximum Exposure to Loss column in this table. |
Schedule of Aggregated Summarized Income Statement Financial Information For Partnerships In Our Alternative Investment Portfolio | Income Statement Information Quarter ended September 30, Nine Months ended September 30, ($ in millions) 2022 2021 2022 2021 Net investment income $ 205.6 60.4 $ 612.0 550.3 Realized gains 1,983.5 1,857.6 10,964.9 4,026.2 Net change in unrealized appreciation (3,188.9) 11,188.2 (1,973.0) 20,767.9 Net income $ (999.8) 13,106.2 $ 9,603.9 25,344.4 Alternative investment income included in "Net investment income earned" on our Consolidated Statements of Income $ (5.6) 42.8 $ 22.8 92.9 |
Schedule of Securities Pledged As Collateral | ($ in millions) FHLBI Collateral FHLBNY Collateral State and Total U.S. government and government agencies $ — — 18.9 18.9 Obligations of states and political subdivisions — — 3.6 3.6 RMBS 60.5 29.7 — 90.2 CMBS 4.8 10.0 — 14.8 Total pledged as collateral $ 65.3 39.7 22.5 127.5 |
Schedule of Pre-Tax Net Investment Income Earned | Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Fixed income securities $ 68,236 51,683 $ 184,305 157,114 Commercial mortgage loans ("CMLs") 1,600 683 3,762 1,892 Equity securities 2,604 2,955 7,661 8,425 Short-term investments 1,152 64 1,660 204 Other investments (5,469) 42,865 22,896 93,158 Investment expenses (4,234) (5,218) (13,571) (14,314) Net investment income earned $ 63,889 93,032 $ 206,713 246,479 |
Schedule of realized and unrealized gains (losses) on securities | Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Gross gains on sales $ 7,094 7,151 $ 23,843 12,906 Gross losses on sales (19,668) (2,505) (52,573) (8,787) Net realized (losses) gains on disposals (12,574) 4,646 (28,730) 4,119 Net unrealized (losses) gains on equity securities (7,777) (3,111) (31,791) 15,830 Net credit loss expense on fixed income securities, AFS (4,471) (1,334) (42,042) (4,059) Net credit loss benefit (expense) on fixed income securities, HTM 54 6 62 (54) Losses on securities for which we have the intent to sell (913) (30) (6,412) (483) Net realized and unrealized (losses) gains $ (25,681) 177 $ (108,913) 15,353 |
Unrealized Gain (Loss) on Equity Securities | Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Unrealized (losses) gains recognized in income on equity securities: On securities remaining in our portfolio at end of period $ (5,832) 269 $ (16,334) 14,767 On securities sold in period (1,945) (3,380) (15,457) 1,063 Total unrealized (losses) gains recognized in income on equity securities $ (7,777) (3,111) $ (31,791) 15,830 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |
Schedule of Carrying Values and Estimated Fair Values of Financial Liabilities | September 30, 2022 December 31, 2021 ($ in thousands) Carrying Amount Fair Value Carrying Amount Fair Value Financial Liabilities Long-term debt: 7.25% Senior Notes $ 49,920 50,225 49,917 63,719 6.70% Senior Notes 99,536 97,098 99,520 127,574 5.375% Senior Notes 294,400 255,216 294,330 395,652 3.03% borrowings from FHLBI 60,000 57,025 60,000 64,126 Subtotal long-term debt 503,856 459,564 503,767 651,071 Unamortized debt issuance costs (2,986) (3,167) Finance lease obligations 4,281 5,450 Total long-term debt $ 505,151 506,050 |
Schedule of Quantitative Disclosures of Our Financial Assets That Were Measured At Fair Value | September 30, 2022 Fair Value Measurements Using ($ in thousands) Assets Quoted Prices in Significant Other Significant Unobservable Description Measured on a recurring basis: AFS fixed income securities: U.S. government and government agencies $ 148,231 75,858 72,373 — Foreign government 13,780 — 13,780 — Obligations of states and political subdivisions 967,630 — 960,919 6,711 Corporate securities 2,264,636 — 2,098,812 165,824 CLO and other ABS 1,467,423 — 1,341,751 125,672 RMBS 1,016,057 — 1,016,057 — CMBS 594,343 — 593,970 373 Total AFS fixed income securities 6,472,100 75,858 6,097,662 298,580 Equity securities: Common stock 1 182,138 81,029 — — Preferred stock 1,730 1,730 — — Total equity securities 183,868 82,759 — — Short-term investments 269,302 268,982 320 — Total assets measured at fair value $ 6,925,270 427,599 6,097,982 298,580 December 31, 2021 Fair Value Measurements Using ($ in thousands) Assets Quoted Prices in Significant Significant Unobservable Description Measured on a recurring basis: AFS fixed income securities: U.S. government and government agencies $ 130,458 60,615 69,843 — Foreign government 15,860 — 15,860 — Obligations of states and political subdivisions 1,189,308 — 1,181,563 7,745 Corporate securities 2,573,603 — 2,459,476 114,127 CLO and other ABS 1,350,814 — 1,225,905 124,909 RMBS 776,252 — 776,007 245 CMBS 673,681 — 669,425 4,256 Total AFS fixed income securities 6,709,976 60,615 6,398,079 251,282 Equity securities: Common stock 1 333,449 249,846 — — Preferred stock 2,088 2,088 — — Total equity securities 335,537 251,934 — — Short-term investments 447,863 442,723 5,140 — Total assets measured at fair value $ 7,493,376 755,272 6,403,219 251,282 |
Schedule of Changes in Fair Value of Securities Using Level 3 Inputs | September 30, 2022 ($ in thousands) Obligations of States and Political Subdivisions Corporate Securities CLO and Other ABS RMBS CMBS Total Fair value, December 31, 2021 $ 7,745 114,127 124,909 245 4,256 251,282 Total net (losses) gains for the period included in: Other comprehensive income ("OCI") (879) (23,847) (11,436) (17) (477) (36,656) Net realized and unrealized (losses) gains (155) (2,345) (771) — (7) (3,278) Net investment income earned — 49 127 — 46 222 Purchases — 74,327 44,167 — — 118,494 Sales — — — — — — Issuances — — — — — — Settlements — (8,663) (6,678) (11) (15) (15,367) Transfers into Level 3 — 19,214 — — — 19,214 Transfers out of Level 3 — (7,038) (24,646) (217) (3,430) (35,331) Fair value, September 30, 2022 $ 6,711 165,824 125,672 — 373 298,580 Change in unrealized losses for the period included in earnings for assets held at period end (155) (2,330) (771) — (7) (3,263) Change in unrealized losses for the period included in OCI for assets held at period end (879) (23,852) (11,395) (17) (477) (36,620) September 30, 2021 ($ in thousands) Obligation of state and Political Subdivisions Corporate Securities CLO and Other ABS Total Fair value, December 31, 2020 $ 2,894 70,700 56,375 129,969 Total net (losses) gains for the period included in: OCI 9 2,607 206 2,822 Net realized and unrealized (losses) gains — (185) (35) (220) Net investment income earned — 14 9 23 Purchases — 43,833 19,041 62,874 Sales — — — — Issuances — — — — Settlements — (210) (1,750) (1,960) Transfers into Level 3 5,101 981 3,226 9,308 Transfers out of Level 3 — (7,454) (14,643) (22,097) Fair value, September 30, 2021 $ 8,004 110,286 62,429 180,719 Change in unrealized (losses) gains for the period included in earnings for assets held at period end — (185) (35) (220) Change in unrealized gains (losses) for the period included in OCI for assets held at period end 9 2,607 206 2,822 |
Schedule of quantitative information about significant unobservable inputs utilized in the fair value measurements of Level 3 assets. | September 30, 2022 ($ in thousands) Assets Measured at Fair Value Valuation Techniques Unobservable Inputs Range Weighted Average Internal valuations: Corporate securities $ 77,424 Discounted Cash Flow Illiquidity Spread (4.4)% - 19.6% 1.8% CLO and other ABS 40,883 Discounted Cash Flow Illiquidity Spread 0.01% - 8.0% 1.9% Total internal valuations 118,307 Other 1 180,273 Total Level 3 securities $ 298,580 December 31, 2021 ($ in thousands) Assets Measured at Fair Value Valuation Techniques Unobservable Inputs Range Weighted Average Internal valuations: Corporate securities $ 54,135 Discounted Cash Flow Illiquidity Spread 0.3% - 3.0% 1.2% CLO and other ABS 34,903 Discounted Cash Flow Illiquidity Spread 0.7% - 8.0% 2.1% Total internal valuations 89,038 Other 1 162,244 Total Level 3 securities $ 251,282 1 Other is comprised of broker quotes or other third-party pricing for which there is a lack of transparency into the inputs used to develop the valuations. The quantitative details of these unobservable inputs is neither provided to us, nor reasonably available to us, and therefore are not included in the tables above. |
Schedule of Quantitative Information of Our Financial Assets and Liabilities That Were Disclosed at Fair Value | September 30, 2022 Fair Value Measurements Using ($ in thousands) Assets/ Quoted Prices in Significant Other Significant Financial Assets HTM: Obligations of states and political subdivisions $ 3,424 — 3,424 — Corporate securities 28,058 — 28,058 — Total HTM fixed income securities $ 31,482 — 31,482 — CMLs $ 136,652 — — 136,652 Financial Liabilities Long-term debt: 7.25% Senior Notes $ 50,225 — 50,225 — 6.70% Senior Notes 97,098 — 97,098 — 5.375% Senior Notes 255,216 — 255,216 — 3.03% borrowings from FHLBI 57,025 — 57,025 — Total long-term debt $ 459,564 — 459,564 — December 31, 2021 Fair Value Measurements Using ($ in thousands) Assets/ Quoted Prices in Significant Other Significant Financial Assets HTM: Obligations of states and political subdivisions $ 3,576 — 3,576 — Corporate securities 25,884 — 25,884 — Total HTM fixed income securities $ 29,460 — 29,460 — CMLs $ 97,598 — — 97,598 Financial Liabilities Long-term debt: 7.25% Senior Notes $ 63,719 — 63,719 — 6.70% Senior Notes 127,574 — 127,574 — 5.375% Senior Notes 395,652 — 395,652 — 3.03% borrowings from FHLBI 64,126 — 64,126 — Total long-term debt $ 651,071 — 651,071 — |
Allowance for Credit Losses o_2
Allowance for Credit Losses on Premiums Receivable (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Premiums Receivable [Abstract] | |
Allowance for Credit Losses on Premiums Receivable [Table Text Block] | Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Balance at beginning of period $ 14,900 $ 18,300 $ 13,600 $ 21,000 Current period change for expected credit losses 2,250 180 4,335 1,721 Write-offs charged against the allowance for credit losses (2,349) (2,154) (3,787) (6,554) Recoveries 399 174 1,052 333 Allowance for credit losses, end of period $ 15,200 $ 16,500 $ 15,200 $ 16,500 |
Reinsurance (Tables)
Reinsurance (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance Recoverable, Credit Quality Indicator [Table Text Block] | September 30, 2022 ($ in thousands) Current Past Due Total Reinsurance Recoverables Financial strength rating of rated reinsurers A++ $ 45,356 $ — $ 45,356 A+ 360,085 920 361,005 A 98,860 176 99,036 A- 2,301 90 2,391 B++ — — — B+ — — — Total rated reinsurers $ 506,602 $ 1,186 $ 507,788 Non-rated reinsurers Federal and state pools $ 202,989 $ — $ 202,989 Other than federal and state pools 3,676 278 3,954 Total non-rated reinsurers $ 206,665 $ 278 $ 206,943 Total reinsurance recoverable, gross $ 713,267 $ 1,464 $ 714,731 Less: allowance for credit losses (1,600) Total reinsurance recoverable, net $ 713,131 December 31, 2021 ($ in thousands) Current Past Due Total Reinsurance Recoverables Financial strength rating of rated reinsurers A++ $ 38,601 $ 9 $ 38,610 A+ 339,857 1,520 341,377 A 95,675 1,227 96,902 A- 3,209 145 3,354 B++ — — — B+ — — — Total rated reinsurers $ 477,342 $ 2,901 $ 480,243 Non-rated reinsurers Federal and state pools $ 116,378 $ — $ 116,378 Other than federal and state pools 4,597 450 5,047 Total non-rated reinsurers $ 120,975 $ 450 $ 121,425 Total reinsurance recoverable, gross $ 598,317 $ 3,351 $ 601,668 Less: allowance for credit losses (1,600) Total reinsurance recoverable, net $ 600,068 |
Reinsurance Recoverable, Allowance for Credit Loss [Table Text Block] | ($ in thousands) Quarter ended September 30, Nine Months ended September 30, 2022 2021 2022 2021 Balance at beginning of period $ 1,600 1,777 $ 1,600 1,777 Current period change for expected credit losses — (182) — (182) Write-offs charged against the allowance for credit losses — — — — Recoveries — — — — Allowance for credit losses, end of period $ 1,600 1,595 $ 1,600 1,595 |
Schedule of List Of Direct, Assumed, And Ceded Reinsurance Amounts | Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Premiums written: Direct $ 1,037,612 932,752 $ 3,089,166 2,796,296 Assumed 9,531 7,136 23,398 17,541 Ceded (143,749) (126,982) (388,631) (369,548) Net $ 903,394 812,906 $ 2,723,933 2,444,289 Premiums earned: Direct $ 984,981 877,620 $ 2,872,008 2,568,445 Assumed 8,514 6,304 21,523 16,391 Ceded (139,616) (116,677) (392,930) (352,111) Net $ 853,879 767,247 $ 2,500,601 2,232,725 Loss and loss expenses incurred: Direct $ 732,568 655,483 $ 1,821,069 1,557,063 Assumed 6,443 4,143 15,846 10,807 Ceded (191,185) (154,357) (269,985) (227,577) Net $ 547,826 505,269 $ 1,566,930 1,340,293 |
Reserve for Loss and Loss Exp_2
Reserve for Loss and Loss Expense (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Insurance Loss Reserves [Abstract] | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense | Nine Months ended September 30, ($ in thousands) 2022 2021 Gross reserve for loss and loss expense, at beginning of period $ 4,580,903 4,260,355 Less: reinsurance recoverable on unpaid loss and loss expense, at beginning of period 578,641 554,269 Net reserve for loss and loss expense, at beginning of period 4,002,262 3,706,086 Incurred loss and loss expense for claims occurring in the: Current year 1,610,940 1,408,240 Prior years (44,010) (67,947) Total incurred loss and loss expense 1,566,930 1,340,293 Paid loss and loss expense for claims occurring in the: Current year 513,118 430,288 Prior years 779,438 675,782 Total paid loss and loss expense 1,292,556 1,106,070 Net reserve for loss and loss expense, at end of period 4,276,636 3,940,309 Add: Reinsurance recoverable on unpaid loss and loss expense, at end of period 688,641 670,031 Gross reserve for loss and loss expense at end of period $ 4,965,277 4,610,340 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Revenue By Segment | Revenue by Segment Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Standard Commercial Lines: Net premiums earned: General liability $ 225,302 205,904 $ 667,912 596,717 Commercial automobile 207,129 185,610 599,340 535,519 Commercial property 128,268 111,981 371,892 320,904 Workers compensation 81,996 78,318 250,178 230,845 Businessowners' policies 32,130 23,025 93,682 80,963 Bonds 11,094 8,850 32,136 26,436 Other 6,518 5,883 19,003 17,082 Miscellaneous income 2,444 4,168 6,141 13,670 Total Standard Commercial Lines revenue 694,881 623,739 2,040,284 1,822,136 Standard Personal Lines: Net premiums earned: Personal automobile 40,746 40,575 120,414 122,977 Homeowners 32,619 30,633 95,436 91,801 Other 2,273 2,154 5,768 5,698 Miscellaneous income 489 420 1,358 1,242 Total Standard Personal Lines revenue 76,127 73,782 222,976 221,718 E&S Lines: Net premiums earned: Casualty lines 59,640 52,983 170,305 144,458 Property lines 26,164 21,331 74,535 59,325 Total E&S Lines revenue 85,804 74,314 244,840 203,783 Investments: Net investment income 63,889 93,032 206,713 246,479 Net realized and unrealized investment (losses) gains (25,681) 177 (108,913) 15,353 Total Investments revenue 38,208 93,209 97,800 261,832 Total revenues $ 895,020 865,044 $ 2,605,900 2,509,469 |
Schedule of Income Before and After Federal Income Tax | Income Before and After Federal Income Tax Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Standard Commercial Lines: Underwriting income, before federal income tax $ 22,501 17,413 $ 111,593 154,850 Underwriting income, after federal income tax 17,776 13,756 88,158 122,332 Combined ratio 96.8 % 97.2 94.5 91.4 ROE contribution 3.1 2.1 4.7 6.2 Standard Personal Lines: Underwriting (loss) income, before federal income tax $ (1,385) (11,146) $ (7,232) 2,193 Underwriting (loss) income, after federal income tax (1,094) (8,805) (5,713) 1,732 Combined ratio 101.8 % 115.2 103.3 99.0 ROE contribution (0.2) (1.3) (0.3) 0.1 E&S Lines: Underwriting income, before federal income tax $ 6,016 4,672 $ 16,313 7,494 Underwriting income, after federal income tax 4,753 3,691 12,887 5,920 Combined ratio 93.0 % 93.7 93.3 96.3 ROE contribution 0.8 0.5 0.7 0.3 Investments: Net investment income earned $ 63,889 93,032 $ 206,713 246,479 Net realized and unrealized investment (losses) gains (25,681) 177 (108,913) 15,353 Total investments segment income, before federal income tax 38,208 93,209 97,800 261,832 Tax on investments segment income 6,964 18,379 17,136 51,229 Total investments segment income, after federal income tax $ 31,244 74,830 $ 80,664 210,603 ROE contribution of after-tax net investment income earned 8.9 11.0 8.9 10.1 |
Schedule of Reconciliation of Segment Results to Income Before Federal Income Tax | Reconciliation of Segment Results to Income Before Federal Income Tax Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Underwriting income (loss) Standard Commercial Lines $ 22,501 17,413 $ 111,593 154,850 Standard Personal Lines (1,385) (11,146) (7,232) 2,193 E&S Lines 6,016 4,672 16,313 7,494 Investment income 38,208 93,209 97,800 261,832 Total all segments 65,340 104,148 218,474 426,369 Interest expense (7,179) (7,242) (21,599) (21,967) Corporate expenses (5,522) (4,270) (24,442) (22,936) Income, before federal income tax $ 52,639 92,636 $ 172,433 381,466 Preferred stock dividends (2,300) (2,300) (6,900) (7,053) Income available to common stockholders, before federal income tax $ 50,339 90,336 $ 165,533 374,413 |
Retirement Plans (Table)
Retirement Plans (Table) | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Periodic Benefit Cost | Pension Plan Quarter ended September 30, Nine Months ended September 30, ($ in thousands) 2022 2021 2022 2021 Net Periodic Pension Cost (Benefit): Interest cost $ 2,486 2,148 $ 7,458 6,445 Expected return on plan assets (5,537) (5,744) (16,611) (17,232) Amortization of unrecognized net actuarial loss 366 626 1,099 1,876 Total net periodic pension cost (benefit) 1 $ (2,685) (2,970) $ (8,054) (8,911) 1 The components of net periodic pension cost (benefit) are included within "Loss and loss expense incurred" and "Other insurance expenses" on the Consolidated Statements of Income. |
Schedule of Weighted-Average Expense Assumptions | Pension Plan Nine Months ended September 30, 2022 2021 Weighted-Average Expense Assumptions: Discount rate 2.98 % 2.68 % Effective interest rate for calculation of interest cost 2.48 2.06 Expected return on plan assets 5.00 5.40 |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |
Schedule of Components of Comprehensive Income-Gross and Net of Tax | Third Quarter 2022 ($ in thousands) Gross Tax Net Net income $ 52,639 10,114 42,525 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (189,622) (39,819) (149,803) Unrealized losses on securities with credit loss recognized in earnings (68,287) (14,341) (53,946) Amounts reclassified into net income: HTM securities 1 — 1 Net realized losses on disposals and intent-to-sell AFS securities 14,235 2,989 11,246 Credit loss expense 4,471 939 3,532 Total unrealized losses on investment securities (239,202) (50,232) (188,970) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 417 88 329 Total defined benefit pension and post-retirement plans 417 88 329 Other comprehensive loss (238,785) (50,144) (188,641) Comprehensive loss $ (186,146) (40,030) (146,116) Third Quarter 2021 ($ in thousands) Gross Tax Net Net income $ 92,636 18,931 73,705 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (35,285) (7,410) (27,875) Unrealized losses on securities with credit loss recognized in earnings (2,343) (492) (1,851) Amounts reclassified into net income: HTM securities 1 — 1 Net realized gains on disposals and intent-to-sell AFS securities (1,296) (272) (1,024) Credit loss expense 1,334 280 1,054 Total unrealized losses on investment securities (37,589) (7,894) (29,695) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 693 145 548 Total defined benefit pension and post-retirement plans 693 145 548 Other comprehensive loss (36,896) (7,749) (29,147) Comprehensive income $ 55,740 11,182 44,558 Nine Months 2022 ($ in thousands) Gross Tax Net Net income $ 172,433 34,058 138,375 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (674,357) (141,613) (532,744) Unrealized losses on securities with credit loss recognized in earnings (227,599) (47,796) (179,803) Amounts reclassified into net income: HTM securities 2 — 2 Net realized losses on disposals and intent-to-sell AFS securities 48,396 10,163 38,233 Credit loss expense 42,042 8,828 33,214 Total unrealized losses on investment securities (811,516) (170,418) (641,098) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 1,251 263 988 Total defined benefit pension and post-retirement plans 1,251 263 988 Other comprehensive loss (810,265) (170,155) (640,110) Comprehensive loss $ (637,832) (136,097) (501,735) Nine Months 2021 ($ in thousands) Gross Tax Net Net income $ 381,466 76,608 304,858 Components of OCI: Unrealized losses on investment securities : Unrealized holding losses during the period (103,040) (21,638) (81,402) Unrealized losses on securities with credit loss recognized in earnings (3,678) (772) (2,906) Amounts reclassified into net income: HTM securities (4) (1) (3) Net realized gains on disposals and intent-to-sell AFS securities (634) (133) (501) Credit loss expense 4,059 852 3,207 Total unrealized losses on investment securities (103,297) (21,692) (81,605) Defined benefit pension and post-retirement plans: Amounts reclassified into net income: Net actuarial loss 2,079 436 1,643 Total defined benefit pension and post-retirement plans 2,079 436 1,643 Other comprehensive loss (101,218) (21,256) (79,962) Comprehensive income $ 280,248 55,352 224,896 |
Schedule of Components of Accumulated Other Comprehensive Income Net of Tax | September 30, 2022 Net Unrealized (Losses) Gains on Investment Securities Defined Benefit Total AOCI ($ in thousands) Credit Loss Related 1 HTM All Investments Balance, December 31, 2021 $ (4,287) (3) 185,170 180,880 (65,781) 115,099 OCI before reclassifications (179,803) — (532,744) (712,547) — (712,547) Amounts reclassified from AOCI 33,214 2 38,233 71,449 988 72,437 Net current period OCI (146,589) 2 (494,511) (641,098) 988 (640,110) Balance, September 30, 2022 $ (150,876) (1) (309,341) (460,218) (64,793) (525,011) |
Schedule of Reclassifications Out Of Accumulated Other Comprehensive Income | Quarter ended September 30, Nine Months ended September 30, Affected Line Item in the Unaudited Consolidated Statements of Income ($ in thousands) 2022 2021 2022 2021 HTM related Unrealized losses (gains) on HTM disposals $ 1 (1) $ 1 (1) Net realized and unrealized investment (losses) gains Amortization of net unrealized losses (gains) on HTM securities — 2 1 (3) Net investment income earned 1 1 2 (4) Income before federal income tax — — — 1 Total federal income tax expense 1 1 2 (3) Net income Net realized losses (gains) on disposals and intent-to-sell AFS securities Net realized losses (gains) on disposals and intent-to-sell AFS securities 14,235 (1,296) 48,396 (634) Net realized and unrealized investment (losses) gains 14,235 (1,296) 48,396 (634) Income before federal income tax (2,989) 272 (10,163) 133 Total federal income tax expense 11,246 (1,024) 38,233 (501) Net income Credit loss related Credit loss expense 4,471 1,334 42,042 4,059 Net realized and unrealized investment (losses) gains 4,471 1,334 42,042 4,059 Income before federal income tax (939) (280) (8,828) (852) Total federal income tax expense 3,532 1,054 33,214 3,207 Net income Defined benefit pension and post-retirement life plans Net actuarial loss 90 159 270 478 Loss and loss expense incurred 327 534 981 1,601 Other insurance expenses Total defined benefit pension and post-retirement life 417 693 1,251 2,079 Income before federal income tax (88) (145) (263) (436) Total federal income tax expense 329 548 988 1,643 Net income Total reclassifications for the period $ 15,108 579 $ 72,437 4,346 Net income |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Quarter ended September 30, Nine months ended September 30, (in thousands, except per share amounts) 2022 2021 2022 2021 Net income available to common stockholders: $ 40,225 71,405 131,475 297,805 Weighted average common shares outstanding: Weighted average common shares outstanding - basic 60,404 60,231 60,409 60,161 Effect of dilutive securities - stock compensation plans 431 355 420 348 Weighted average common shares outstanding - diluted 60,835 60,586 60,829 60,509 EPS: Basic $ 0.67 1.19 2.18 4.95 Diluted 0.66 1.18 2.16 4.92 |
Statements of Cash Flows (Cash
Statements of Cash Flows (Cash Flow Supplemental Disclosures) (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | ||
Interest | $ 22,699 | $ 23,278 | |
Federal income tax | 61,000 | 93,000 | |
Operating cash flows from operating leases | 6,096 | 6,480 | |
Operating cash flows from financing leases | 33 | 5 | |
Financing cash flows from finance leases | 1,819 | 298 | |
Assets acquired under finance lease arrangements | 650 | 183 | |
Assets acquired under operating lease arrangements | 15,514 | 273 | |
Non-cash purchase of property and equipment | 0 | 0 | |
Available-for-sale Securities | |||
Corporate actions related to securities | [1] | 32,546 | 50,501 |
Equity Securities [Member] | |||
Corporate actions related to securities | [1] | 0 | 527 |
Conversion of AFS fixed income securities to equity securities | $ 1,463 | $ 0 | |
[1]Examples of corporate actions include like-kind exchanges, non-cash acquisitions, and stock splits. |
Statements of Cash Flows (Sched
Statements of Cash Flows (Schedule of Cash and Restricted Cash) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 |
Schedule of Cash and Restricted Cash [Line Items] | ||||
Cash | $ 538 | $ 455 | ||
Restricted cash | 8,495 | 44,608 | ||
Total cash and restricted cash shown in the Statements of Cash Flows | $ 9,033 | $ 45,063 | $ 34,789 | $ 15,231 |
Investments (Available-For-Sale
Investments (Available-For-Sale Securities Disclosure) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | $ 7,107,011 | $ 6,490,753 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (52,337) | $ (50,800) | (9,724) | $ (7,169) | $ (6,011) | $ (3,969) |
Unrealized gains | 3,967 | 246,301 | ||||
Unrealized losses | (586,541) | (17,354) | ||||
Debt Securities, Available-for-sale, Fair Value | 6,472,100 | 6,709,976 | ||||
U.S. Government and Government Agencies [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 168,340 | 127,974 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | 0 | 0 | ||||
Unrealized gains | 6 | 3,629 | ||||
Unrealized losses | (20,115) | (1,145) | ||||
Debt Securities, Available-for-sale, Fair Value | 148,231 | 130,458 | ||||
Foreign Government [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 16,060 | 15,420 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (320) | (265) | (46) | (47) | (49) | (1) |
Unrealized gains | 0 | 609 | ||||
Unrealized losses | (1,960) | (123) | ||||
Debt Securities, Available-for-sale, Fair Value | 13,780 | 15,860 | ||||
Obligations of States and Political Subdivisions [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 1,031,937 | 1,121,422 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (1,311) | (1,206) | (137) | (99) | (38) | (4) |
Unrealized gains | 141 | 68,258 | ||||
Unrealized losses | (63,137) | (235) | ||||
Debt Securities, Available-for-sale, Fair Value | 967,630 | 1,189,308 | ||||
Corporate Securities [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 2,535,367 | 2,478,348 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (36,970) | (35,072) | (6,682) | (4,719) | (3,477) | (2,782) |
Unrealized gains | 1,222 | 106,890 | ||||
Unrealized losses | (234,983) | (4,953) | ||||
Debt Securities, Available-for-sale, Fair Value | 2,264,636 | 2,573,603 | ||||
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 1,581,097 | 1,343,687 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (3,114) | (3,623) | (939) | (926) | (1,399) | (592) |
Unrealized gains | 1,732 | 14,350 | ||||
Unrealized losses | (112,292) | (6,284) | ||||
Debt Securities, Available-for-sale, Fair Value | 1,467,423 | 1,350,814 | ||||
Residential Mortgage Backed Securities [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 1,130,752 | 756,280 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (10,603) | (10,616) | (1,909) | (1,363) | (1,034) | (561) |
Unrealized gains | 764 | 24,813 | ||||
Unrealized losses | (104,856) | (2,932) | ||||
Debt Securities, Available-for-sale, Fair Value | 1,016,057 | 776,252 | ||||
Commercial Mortgage Backed Securities [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed income securities, available-for-sale, amortized cost | 643,458 | 647,622 | ||||
Fixed Income Securities, Available-for-sale, Allowance for Credit Loss | (19) | $ (18) | (11) | $ (15) | $ (14) | $ (29) |
Unrealized gains | 102 | 27,752 | ||||
Unrealized losses | (49,198) | (1,682) | ||||
Debt Securities, Available-for-sale, Fair Value | $ 594,343 | $ 673,681 |
Investments (Available-for-sa_2
Investments (Available-for-sale allowance for credit losses roll forward) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | $ 50,800 | $ 6,011 | $ 9,724 | $ 3,969 |
Current provision for securities without prior allowance | 4,484 | 1,666 | 36,582 | 5,139 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 8,318 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | (13) | (333) | 5,460 | (1,087) |
Reductions for securities sold | (2,871) | (95) | (6,480) | (711) |
Reductions for securities identified as intent (or requirement) to sell during the period | (63) | (80) | (1,267) | (141) |
Allowance for credit losses, Period ending balance | 52,337 | 7,169 | 52,337 | 7,169 |
Foreign Government [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 265 | 49 | 46 | 1 |
Current provision for securities without prior allowance | 40 | 0 | 292 | 47 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 0 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | 15 | (2) | (4) | (1) |
Reductions for securities sold | 0 | 0 | (14) | 0 |
Reductions for securities identified as intent (or requirement) to sell during the period | 0 | 0 | 0 | 0 |
Allowance for credit losses, Period ending balance | 320 | 47 | 320 | 47 |
Obligations of States and Political Subdivisions [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 1,206 | 38 | 137 | 4 |
Current provision for securities without prior allowance | 313 | 61 | 1,371 | 84 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 0 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | (181) | 0 | (6) | 11 |
Reductions for securities sold | (27) | 0 | (191) | 0 |
Reductions for securities identified as intent (or requirement) to sell during the period | 0 | 0 | 0 | 0 |
Allowance for credit losses, Period ending balance | 1,311 | 99 | 1,311 | 99 |
Corporate Securities [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 35,072 | 3,477 | 6,682 | 2,782 |
Current provision for securities without prior allowance | 4,061 | 1,307 | 33,096 | 3,413 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 0 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | 633 | 64 | 4,384 | (765) |
Reductions for securities sold | (2,733) | (49) | (5,925) | (570) |
Reductions for securities identified as intent (or requirement) to sell during the period | (63) | (80) | (1,267) | (141) |
Allowance for credit losses, Period ending balance | 36,970 | 4,719 | 36,970 | 4,719 |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 3,623 | 1,399 | 939 | 592 |
Current provision for securities without prior allowance | 35 | 46 | 1,580 | 573 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 0 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | (527) | (517) | 623 | (219) |
Reductions for securities sold | (17) | (2) | (28) | (20) |
Reductions for securities identified as intent (or requirement) to sell during the period | 0 | 0 | 0 | 0 |
Allowance for credit losses, Period ending balance | 3,114 | 926 | 3,114 | 926 |
Residential Mortgage Backed Securities [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 10,616 | 1,034 | 1,909 | 561 |
Current provision for securities without prior allowance | 35 | 248 | 225 | 1,018 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 8,318 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | 46 | 125 | 473 | (95) |
Reductions for securities sold | (94) | (44) | (322) | (121) |
Reductions for securities identified as intent (or requirement) to sell during the period | 0 | 0 | 0 | 0 |
Allowance for credit losses, Period ending balance | 10,603 | 1,363 | 10,603 | 1,363 |
Commercial Mortgage Backed Securities [Member] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, Period beginning balance | 18 | 14 | 11 | 29 |
Current provision for securities without prior allowance | 0 | 4 | 18 | 4 |
Initial Allowance for Purchased Credit Deteriorated Assets with Credit Deterioration | 0 | 0 | ||
Increase or (Decrease) on securities with prior allowance, excluding intent (or Requirements) to sell securities | 1 | (3) | (10) | (18) |
Reductions for securities sold | 0 | 0 | 0 | 0 |
Reductions for securities identified as intent (or requirement) to sell during the period | 0 | 0 | 0 | 0 |
Allowance for credit losses, Period ending balance | $ 19 | $ 15 | $ 19 | $ 15 |
Investments (Accrued Investment
Investments (Accrued Investment Income) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Accrued Interest on Investments [Line Items] | ||
Accrued investment income | $ 54,024 | $ 48,247 |
Available-for-sale Securities [Member] | ||
Accrued Interest on Investments [Line Items] | ||
Accrued investment income | $ 52,800 | $ 46,300 |
Investments (Fair Value and Gro
Investments (Fair Value and Gross Pre-Tax Net Unrealized Loss of Securities By Length of Time) (Details) - Available-for-sale Securities - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
AFS Fair Value, Less than 12 Months | $ 5,693,945 | $ 1,376,128 |
AFS Unrealized Losses, Less than 12 months | (514,307) | (14,849) |
AFS Fair Value, 12 months or longer | 444,242 | 85,122 |
AFS Unrealized Losses, 12 months or longer | (72,234) | (2,505) |
AFS Fair Value | 6,138,187 | 1,461,250 |
AFS Unrealized Losses | (586,541) | (17,354) |
U.S. Government and Government Agencies [Member] | ||
AFS Fair Value, Less than 12 Months | 138,136 | 34,857 |
AFS Unrealized Losses, Less than 12 months | (16,003) | (746) |
AFS Fair Value, 12 months or longer | 9,819 | 7,827 |
AFS Unrealized Losses, 12 months or longer | (4,112) | (399) |
AFS Fair Value | 147,955 | 42,684 |
AFS Unrealized Losses | (20,115) | (1,145) |
Foreign Government [Member] | ||
AFS Fair Value, Less than 12 Months | 12,069 | 2,000 |
AFS Unrealized Losses, Less than 12 months | (1,501) | (84) |
AFS Fair Value, 12 months or longer | 1,711 | 1,061 |
AFS Unrealized Losses, 12 months or longer | (459) | (39) |
AFS Fair Value | 13,780 | 3,061 |
AFS Unrealized Losses | (1,960) | (123) |
Obligations of States and Political Subdivisions [Member] | ||
AFS Fair Value, Less than 12 Months | 921,980 | 25,837 |
AFS Unrealized Losses, Less than 12 months | (62,494) | (235) |
AFS Fair Value, 12 months or longer | 3,886 | 0 |
AFS Unrealized Losses, 12 months or longer | (643) | 0 |
AFS Fair Value | 925,866 | 25,837 |
AFS Unrealized Losses | (63,137) | (235) |
Corporate Securities [Member] | ||
AFS Fair Value, Less than 12 Months | 2,037,738 | 300,549 |
AFS Unrealized Losses, Less than 12 months | (217,328) | (4,903) |
AFS Fair Value, 12 months or longer | 61,315 | 2,520 |
AFS Unrealized Losses, 12 months or longer | (17,655) | (50) |
AFS Fair Value | 2,099,053 | 303,069 |
AFS Unrealized Losses | (234,983) | (4,953) |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||
AFS Fair Value, Less than 12 Months | 1,107,292 | 663,976 |
AFS Unrealized Losses, Less than 12 months | (82,751) | (4,934) |
AFS Fair Value, 12 months or longer | 269,902 | 53,368 |
AFS Unrealized Losses, 12 months or longer | (29,541) | (1,350) |
AFS Fair Value | 1,377,194 | 717,344 |
AFS Unrealized Losses | (112,292) | (6,284) |
Residential Mortgage Backed Securities [Member] | ||
AFS Fair Value, Less than 12 Months | 937,823 | 236,010 |
AFS Unrealized Losses, Less than 12 months | (93,871) | (2,931) |
AFS Fair Value, 12 months or longer | 45,296 | 20 |
AFS Unrealized Losses, 12 months or longer | (10,985) | (1) |
AFS Fair Value | 983,119 | 236,030 |
AFS Unrealized Losses | (104,856) | (2,932) |
Commercial Mortgage Backed Securities [Member] | ||
AFS Fair Value, Less than 12 Months | 538,907 | 112,899 |
AFS Unrealized Losses, Less than 12 months | (40,359) | (1,016) |
AFS Fair Value, 12 months or longer | 52,313 | 20,326 |
AFS Unrealized Losses, 12 months or longer | (8,839) | (666) |
AFS Fair Value | 591,220 | 133,225 |
AFS Unrealized Losses | $ (49,198) | $ (1,682) |
Investments (Fixed Income Secur
Investments (Fixed Income Securities by Contractual Maturity) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Schedule of Fixed Income Securities [Line Items] | ||
Due in one year or less fair value, AFS | $ 322,189 | |
Due after one year through five years fair value, AFS | 2,826,402 | |
Due after five years through 10 years fair value, AFS | 2,410,981 | |
Due after 10 years fair value, AFS | 912,528 | |
Total AFS fixed income securities, Fair Value | 6,472,100 | $ 6,709,976 |
Due in one year or less carrying value, HTM | 6,577 | |
Due after one year through five years carrying value, HTM | 4,955 | |
Due after five years through 10 years carrying value, HTM | 21,476 | |
Due after 10 years carrying value, HTM | 0 | |
Fixed income securities, held-to-maturity, net of allowance for credit losses | 33,008 | 28,785 |
Due in one year or less fair value, HTM | 6,595 | |
Due after one year through five years fair value, HTM | 4,907 | |
Due after five years through 10 years fair value, HTM | 19,980 | |
Due after 10 years fair value, HTM | 0 | |
Total HTM fixed income securities, Fair Value | $ 31,482 | $ 29,460 |
Investments (Other Investment P
Investments (Other Investment Portfolio by Strategy and the Remaining Commitment Amount and Maximum Exposure to Loss Associated With Each Strategy) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | ||
Net investment income earned | $ 63,889 | $ 93,032 | $ 206,713 | $ 246,479 | ||
Other Investments | 432,624 | 432,624 | $ 409,032 | |||
Alternative Investments [Member] | ||||||
Net investment income earned | (5,600) | $ 42,800 | 22,800 | $ 92,900 | ||
Other Securities [Member] | ||||||
Other Investments | 64,803 | 64,803 | 49,300 | |||
Remaining Commitment | 0 | 0 | 0 | |||
Maximum Exposure to Loss | [1] | 64,803 | 64,803 | 49,300 | ||
Alternative Investments [Member] | ||||||
Other Investments | 367,821 | 367,821 | 359,732 | |||
Remaining Commitment | 246,745 | 246,745 | 214,987 | |||
Maximum Exposure to Loss | [1] | 614,566 | 614,566 | 574,719 | ||
Alternative Investments [Member] | Private Equity Funds [Member] | ||||||
Other Investments | 284,538 | 284,538 | 273,070 | |||
Remaining Commitment | 126,446 | 126,446 | 99,734 | |||
Maximum Exposure to Loss | [1] | 410,984 | 410,984 | 372,804 | ||
Alternative Investments [Member] | Private Credit Funds [Member] | ||||||
Other Investments | 55,398 | 55,398 | 63,138 | |||
Remaining Commitment | 91,196 | 91,196 | 92,674 | |||
Maximum Exposure to Loss | [1] | 146,594 | 146,594 | 155,812 | ||
Alternative Investments [Member] | Real Assets [Member] | ||||||
Other Investments | 27,885 | 27,885 | 23,524 | |||
Remaining Commitment | 29,103 | 29,103 | 22,579 | |||
Maximum Exposure to Loss | [1] | 56,988 | 56,988 | 46,103 | ||
Other Investments [Member] | ||||||
Other Investments | 432,624 | 432,624 | 409,032 | |||
Remaining Commitment | 246,745 | 246,745 | 214,987 | |||
Maximum Exposure to Loss | [1] | $ 679,369 | $ 679,369 | $ 624,019 | ||
[1]In addition to the amounts in this table, previously recognized tax credits are subject to the risk of recapture. We do not consider the risk of recapture to be significant and therefore do not reflect this risk in the Maximum Exposure to Loss column in this table. |
Investments (Aggregated Income
Investments (Aggregated Income Statement Summarized Financial Information for Partnerhips in our Alternative Investment Portfolio) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||||
Net investment income earned | $ 63,889 | $ 93,032 | $ 206,713 | $ 246,479 | |
Other Investments | 432,624 | 432,624 | $ 409,032 | ||
Alternative Investments [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net investment income earned | (5,600) | 42,800 | 22,800 | 92,900 | |
Investments accounted for under the equity method [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net investment income | 205,600 | 60,400 | 612,000 | 550,300 | |
Realized gains | 1,983,500 | 1,857,600 | 10,964,900 | 4,026,200 | |
Net change in unrealized appreciation | (3,188,900) | 11,188,200 | (1,973,000) | 20,767,900 | |
Net income | $ (999,800) | $ 13,106,200 | $ 9,603,900 | $ 25,344,400 |
Investments (Investments Pledge
Investments (Investments Pledged as Collateral) (Details) $ in Millions | Sep. 30, 2022 USD ($) |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral On Deposit With Various State And Regulatory Agencies | $ 22.5 |
Security Owned and Pledged as Collateral, Fair Value | 127.5 |
Federal Home Loan Bank of Indianapolis [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 65.3 |
Federal Home Loan Bank of New York [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 39.7 |
U.S. Government and Government Agencies [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral On Deposit With Various State And Regulatory Agencies | 18.9 |
Security Owned and Pledged as Collateral, Fair Value | 18.9 |
U.S. Government and Government Agencies [Member] | Federal Home Loan Bank of Indianapolis [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 0 |
U.S. Government and Government Agencies [Member] | Federal Home Loan Bank of New York [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 0 |
Obligations of States and Political Subdivisions [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral On Deposit With Various State And Regulatory Agencies | 3.6 |
Security Owned and Pledged as Collateral, Fair Value | 3.6 |
Obligations of States and Political Subdivisions [Member] | Federal Home Loan Bank of Indianapolis [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 0 |
Obligations of States and Political Subdivisions [Member] | Federal Home Loan Bank of New York [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 0 |
Residential Mortgage Backed Securities [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral On Deposit With Various State And Regulatory Agencies | 0 |
Security Owned and Pledged as Collateral, Fair Value | 90.2 |
Residential Mortgage Backed Securities [Member] | Federal Home Loan Bank of Indianapolis [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 60.5 |
Residential Mortgage Backed Securities [Member] | Federal Home Loan Bank of New York [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 29.7 |
Commercial Mortgage Backed Securities [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral On Deposit With Various State And Regulatory Agencies | 0 |
Security Owned and Pledged as Collateral, Fair Value | 14.8 |
Commercial Mortgage Backed Securities [Member] | Federal Home Loan Bank of Indianapolis [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | 4.8 |
Commercial Mortgage Backed Securities [Member] | Federal Home Loan Bank of New York [Member] | |
Financial Instruments Owned and Pledged as Collateral [Line Items] | |
Securities Pledged as Collateral on FHLB | $ 10 |
Investments (Credit Concentrati
Investments (Credit Concentration Risk) (Details) | Sep. 30, 2022 | Dec. 31, 2021 |
Investments [Abstract] | ||
Maximum exposure to credit concentration risk of the Company's stockholder's equity other than certain U.S. government-backed investments | 10% | 10% |
Investments (Net Investment Inc
Investments (Net Investment Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net Investment Income [Line Items] | ||||
Net investment income earned | $ 63,889 | $ 93,032 | $ 206,713 | $ 246,479 |
Investment Expense | (4,234) | (5,218) | (13,571) | (14,314) |
Fixed Income Securities [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | 68,236 | 51,683 | 184,305 | 157,114 |
Commercial Mortgage Loans [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | 1,600 | 683 | 3,762 | 1,892 |
Equity Securities [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | 2,604 | 2,955 | 7,661 | 8,425 |
Short-Term Investments [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | 1,152 | 64 | 1,660 | 204 |
Other Investments [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | (5,469) | 42,865 | 22,896 | 93,158 |
Alternative Investments [Member] | ||||
Net Investment Income [Line Items] | ||||
Net investment income earned | $ (5,600) | $ 42,800 | $ 22,800 | $ 92,900 |
Investments (Net Realized and U
Investments (Net Realized and Unrealized Investment Gains and (Losses)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Gain (Loss) on Securities [Line Items] | ||||
Gross gains on sales | $ 7,094 | $ 7,151 | $ 23,843 | $ 12,906 |
Gross losses on sales | (19,668) | (2,505) | (52,573) | (8,787) |
Net realized (losses) gains on disposals | (12,574) | 4,646 | (28,730) | 4,119 |
Net unrealized (losses) gains on equity securities | (7,777) | (3,111) | (31,791) | 15,830 |
Losses on securities for which we have the intent to sell | (913) | (30) | (6,412) | (483) |
Net realized and unrealized investment (losses) gains | (25,681) | 177 | (108,913) | 15,353 |
Change in net realized and unrealized investment gains | (25,900) | (124,300) | ||
Available-for-sale Securities [Member] | ||||
Gain (Loss) on Securities [Line Items] | ||||
Net credit loss (expense) benefit on fixed income securities | (4,471) | (1,334) | (42,042) | (4,059) |
Held-to-maturity Securities [Member] | ||||
Gain (Loss) on Securities [Line Items] | ||||
Net credit loss (expense) benefit on fixed income securities | $ 54 | $ 6 | $ 62 | $ (54) |
Investments (Unrealized Gains (
Investments (Unrealized Gains (Losses) on Equity Securities) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Gain (Loss) on Securities [Line Items] | ||||
Unrealized (losses) gains recognized in income on equity securities remaining in our portfolio at period end. | $ (5,832) | $ 269 | $ (16,334) | $ 14,767 |
Unrealized (losses) gains recognized in income on equity securities sold during period | (1,945) | (3,380) | (15,457) | 1,063 |
Total unrealized (losses) gains recognized in income on equity securities | $ (7,777) | $ (3,111) | $ (31,791) | $ 15,830 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Values and Estimated Fair Values of Financial Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Finance lease obligations | $ 4,281 | $ 5,450 |
Long-term debt, carrying amount | 505,151 | 506,050 |
Long-term debt, fair value | 459,564 | 651,071 |
Seven Point Twenty Five Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 50,225 | 63,719 |
Seven Point Twenty Five Percent Senior Notes [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, carrying amount | 49,920 | 49,917 |
Six Point Seventy Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 97,098 | 127,574 |
Six Point Seventy Percent Senior Notes [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, carrying amount | 99,536 | 99,520 |
Five Point Three Hundred Seventy Five Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 255,216 | 395,652 |
Five Point Three Hundred Seventy Five Senior Notes [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, carrying amount | 294,400 | 294,330 |
Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 57,025 | 64,126 |
Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, carrying amount | 60,000 | 60,000 |
Long Term Debt Excluding Issuance Costs and Finance Lease Obligations [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, carrying amount | 503,856 | 503,767 |
Unamortized Debt Issuance Costs [Member] | Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Unamortized debt issuance costs | $ (2,986) | $ (3,167) |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Disclosures of Fair Value Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | |
AFS fixed income securities | $ 6,472,100 | $ 6,709,976 | |
Equity securities | 183,868 | 335,537 | |
Short-term investments | 269,302 | 447,863 | |
Investments measured at fair value using the net asset value per share. | [1] | 101,100 | 83,600 |
Fair Value, Recurring [Member] | |||
AFS fixed income securities | 6,472,100 | 6,709,976 | |
Equity securities | 183,868 | 335,537 | |
Short-term investments | 269,302 | 447,863 | |
Total assets measured at fair value | 6,925,270 | 7,493,376 | |
US Government and Government Agencies [Member] | |||
AFS fixed income securities | 148,231 | 130,458 | |
US Government and Government Agencies [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 148,231 | 130,458 | |
Foreign Government [Member] | |||
AFS fixed income securities | 13,780 | 15,860 | |
Foreign Government [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 13,780 | 15,860 | |
Obligations of States and Political Subdivisions [Member] | |||
AFS fixed income securities | 967,630 | 1,189,308 | |
Obligations of States and Political Subdivisions [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 967,630 | 1,189,308 | |
Corporate Securities [Member] | |||
AFS fixed income securities | 2,264,636 | 2,573,603 | |
Corporate Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 2,264,636 | 2,573,603 | |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
AFS fixed income securities | 1,467,423 | 1,350,814 | |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 1,467,423 | 1,350,814 | |
Residential Mortgage Backed Securities [Member] | |||
AFS fixed income securities | 1,016,057 | 776,252 | |
Residential Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 1,016,057 | 776,252 | |
Commercial Mortgage Backed Securities [Member] | |||
AFS fixed income securities | 594,343 | 673,681 | |
Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 594,343 | 673,681 | |
Common Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | [1] | 182,138 | 333,449 |
Preferred Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | 1,730 | 2,088 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 75,858 | 60,615 | |
Equity securities | 82,759 | 251,934 | |
Short-term investments | 268,982 | 442,723 | |
Total assets measured at fair value | 427,599 | 755,272 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | US Government and Government Agencies [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 75,858 | 60,615 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Foreign Government [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Corporate Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Residential Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Common Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | [1] | 81,029 | 249,846 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Preferred Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | 1,730 | 2,088 | |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 6,097,662 | 6,398,079 | |
Equity securities | 0 | 0 | |
Short-term investments | 320 | 5,140 | |
Total assets measured at fair value | 6,097,982 | 6,403,219 | |
Significant Other Observable Inputs (Level 2) [Member] | US Government and Government Agencies [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 72,373 | 69,843 | |
Significant Other Observable Inputs (Level 2) [Member] | Foreign Government [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 13,780 | 15,860 | |
Significant Other Observable Inputs (Level 2) [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 960,919 | 1,181,563 | |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 2,098,812 | 2,459,476 | |
Significant Other Observable Inputs (Level 2) [Member] | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 1,341,751 | 1,225,905 | |
Significant Other Observable Inputs (Level 2) [Member] | Residential Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 1,016,057 | 776,007 | |
Significant Other Observable Inputs (Level 2) [Member] | Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 593,970 | 669,425 | |
Significant Other Observable Inputs (Level 2) [Member] | Common Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | [1] | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | Preferred Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 298,580 | 251,282 | |
Equity securities | 0 | 0 | |
Short-term investments | 0 | 0 | |
Total assets measured at fair value | 298,580 | 251,282 | |
Significant Unobservable Inputs (Level 3) [Member] | US Government and Government Agencies [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Foreign Government [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Obligations of States and Political Subdivisions [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 6,711 | 7,745 | |
Significant Unobservable Inputs (Level 3) [Member] | Corporate Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 165,824 | 114,127 | |
Significant Unobservable Inputs (Level 3) [Member] | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 125,672 | 124,909 | |
Significant Unobservable Inputs (Level 3) [Member] | Residential Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 0 | 245 | |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Mortgage Backed Securities [Member] | Fair Value, Recurring [Member] | |||
AFS fixed income securities | 373 | 4,256 | |
Significant Unobservable Inputs (Level 3) [Member] | Common Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | [1] | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Preferred Stock [Member] | Fair Value, Recurring [Member] | |||
Equity securities | $ 0 | $ 0 | |
[1]Investments amounting to $101.1 million at September 30, 2022, and $83.6 million at December 31, 2021, were measured at fair value using the net asset value per share (or its practical expedient) and have not been classified in the fair value hierarchy. These investments are not redeemable and the timing of liquidations of the underlying assets is unknown at each reporting period. The fair value amounts in this table are intended to permit reconciliation of the fair value hierarchy to total assets measured at fair value. |
Fair Value Measurements (Change
Fair Value Measurements (Change in Fair Value of Securities Using Level 3 Inputs) (Details) - Available-for-sale Securities [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | $ 7,745 | $ 2,894 |
Total net (losses) gains for the period included in OCI | (879) | 9 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | 0 | 0 |
Transfers into Level 3 | 0 | 5,101 |
Transfers out of Level 3 | 0 | 0 |
Fair value, September 30 | 6,711 | 8,004 |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | (155) | 0 |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (879) | 9 |
Corporate Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | 114,127 | 70,700 |
Total net (losses) gains for the period included in OCI | (23,847) | 2,607 |
Purchases | 74,327 | 43,833 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | (8,663) | (210) |
Transfers into Level 3 | 19,214 | 981 |
Transfers out of Level 3 | (7,038) | (7,454) |
Fair value, September 30 | 165,824 | 110,286 |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | (2,330) | (185) |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (23,852) | 2,607 |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | 124,909 | 56,375 |
Total net (losses) gains for the period included in OCI | (11,436) | 206 |
Purchases | 44,167 | 19,041 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | (6,678) | (1,750) |
Transfers into Level 3 | 0 | 3,226 |
Transfers out of Level 3 | (24,646) | (14,643) |
Fair value, September 30 | 125,672 | 62,429 |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | (771) | (35) |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (11,395) | 206 |
Residential Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | 245 | |
Total net (losses) gains for the period included in OCI | (17) | |
Purchases | 0 | |
Sales | 0 | |
Issuances | 0 | |
Settlements | (11) | |
Transfers into Level 3 | 0 | |
Transfers out of Level 3 | (217) | |
Fair value, September 30 | 0 | |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | 0 | |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (17) | |
Commercial Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | 4,256 | |
Total net (losses) gains for the period included in OCI | (477) | |
Purchases | 0 | |
Sales | 0 | |
Issuances | 0 | |
Settlements | (15) | |
Transfers into Level 3 | 0 | |
Transfers out of Level 3 | (3,430) | |
Fair value, September 30 | 373 | |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | (7) | |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (477) | |
Investments [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value, December 31 | 251,282 | 129,969 |
Total net (losses) gains for the period included in OCI | (36,656) | 2,822 |
Purchases | 118,494 | 62,874 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | (15,367) | (1,960) |
Transfers into Level 3 | 19,214 | 9,308 |
Transfers out of Level 3 | (35,331) | (22,097) |
Fair value, September 30 | 298,580 | 180,719 |
Change in unrealized losses (gains) for the period included in earnings for assets held at period end | (3,263) | (220) |
Change in unrealized losses (gains) for the period included in OCI for assets held at period end | (36,620) | 2,822 |
Gain (Loss) on Investments [Member] | Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | (155) | 0 |
Gain (Loss) on Investments [Member] | Corporate Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | (2,345) | (185) |
Gain (Loss) on Investments [Member] | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | (771) | (35) |
Gain (Loss) on Investments [Member] | Residential Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 0 | |
Gain (Loss) on Investments [Member] | Commercial Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | (7) | |
Gain (Loss) on Investments [Member] | Investments [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | (3,278) | (220) |
Net Investment Income Earned [Member] | Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 0 | 0 |
Net Investment Income Earned [Member] | Corporate Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 49 | 14 |
Net Investment Income Earned [Member] | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 127 | 9 |
Net Investment Income Earned [Member] | Residential Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 0 | |
Net Investment Income Earned [Member] | Commercial Mortgage Backed Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | 46 | |
Net Investment Income Earned [Member] | Investments [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total net (losses) gains in the period included in net income | $ 222 | $ 23 |
Fair Value (Quantitative inform
Fair Value (Quantitative information about significant unobservable inputs in the fair value measurement of level 3 assets) (Details) $ in Thousands | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Fair Value | $ 6,472,100 | $ 6,709,976 | |
Corporate Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Fair Value | 2,264,636 | 2,573,603 | |
Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Fair Value | $ 1,467,423 | $ 1,350,814 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Minimum | Corporate Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | (0.044) | 0.003 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Minimum | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.0001 | 0.007 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Maximum | Corporate Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.196 | 0.030 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Maximum | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.080 | 0.080 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Weighted Average | Corporate Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.018 | 0.012 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Credit Spread | Weighted Average | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.019 | 0.021 | |
Available-for-sale Securities [Member] | Valuation Technique, Discounted Cash Flow | Corporate Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets measured at fair value | $ 77,424 | $ 54,135 | |
Available-for-sale Securities [Member] | Valuation Technique, Discounted Cash Flow | Collateralized Loan Obligations and Other Asset Backed Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets measured at fair value | 40,883 | 34,903 | |
Available-for-sale Securities [Member] | Investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Other investment assets measured at fair value | [1] | 180,273 | 162,244 |
Available-for-sale Securities [Member] | Investments [Member] | Valuation Technique, Discounted Cash Flow | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total assets measured at fair value | $ 118,307 | $ 89,038 | |
[1]Other is comprised of broker quotes or other third-party pricing for which there is a lack of transparency into the inputs used to develop the valuations. The quantitative details of these unobservable inputs is neither provided to us, nor reasonably available to us, and therefore are not included in the tables above. |
Fair Value Measurements (Quan_2
Fair Value Measurements (Quantitative Information of Our Financial Assets and Liabilities That Were Disclosed at Fair Value) (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | $ 31,482 | $ 29,460 |
Commercial mortgage loans, fair value | 136,652 | 97,598 |
Long-term debt, fair value | 459,564 | 651,071 |
Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 3,424 | 3,576 |
Corporate Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 28,058 | 25,884 |
Seven Point Twenty Five Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 50,225 | 63,719 |
Six Point Seventy Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 97,098 | 127,574 |
Five Point Three Hundred Seventy Five Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 255,216 | 395,652 |
Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 57,025 | 64,126 |
Long-term Debt [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 459,564 | 651,071 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Commercial mortgage loans, fair value | 0 | 0 |
Long-term debt, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Corporate Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Seven Point Twenty Five Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Six Point Seventy Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Five Point Three Hundred Seventy Five Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 31,482 | 29,460 |
Commercial mortgage loans, fair value | 0 | 0 |
Long-term debt, fair value | 459,564 | 651,071 |
Significant Other Observable Inputs (Level 2) [Member] | Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 3,424 | 3,576 |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 28,058 | 25,884 |
Significant Other Observable Inputs (Level 2) [Member] | Seven Point Twenty Five Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 50,225 | 63,719 |
Significant Other Observable Inputs (Level 2) [Member] | Six Point Seventy Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 97,098 | 127,574 |
Significant Other Observable Inputs (Level 2) [Member] | Five Point Three Hundred Seventy Five Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 255,216 | 395,652 |
Significant Other Observable Inputs (Level 2) [Member] | Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 57,025 | 64,126 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Commercial mortgage loans, fair value | 136,652 | 97,598 |
Long-term debt, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Obligations of States and Political Subdivisions [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Corporate Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed income securities, held-to-maturity - fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Seven Point Twenty Five Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Six Point Seventy Percent Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Five Point Three Hundred Seventy Five Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Three Point Zero Three Percent Borrowing From Federal Home Loan Bank Due December 16, 2026 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, fair value | $ 0 | $ 0 |
Allowance for Credit Losses o_3
Allowance for Credit Losses on Premiums Receivable (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 | |
Allowance for Credit Losses on Premiums Receivable [Line Items] | ||||||||
Premium Receivable, Allowance for Credit Loss | $ 15,200 | $ 15,200 | $ 14,900 | $ 13,600 | $ 18,300 | $ 21,000 | ||
Change in allowance for credit losses on premiums receivable | 2,600 | 5,400 | ||||||
Premiums Receivable, Allowance for Credit Losses, Historical | ||||||||
Allowance for Credit Losses on Premiums Receivable [Line Items] | ||||||||
Change in allowance for credit losses on premiums receivable | $ 1,200 | $ 6,300 | ||||||
Reduction in Allowance for Credit Losses on Premiums Receivable | ||||||||
Allowance for Credit Losses on Premiums Receivable [Line Items] | ||||||||
Change in allowance for credit losses on premiums receivable | (100) | (800) | (1,600) | (4,200) | ||||
Premiums Receivable, Allowance for Credit Losses, Current period policies | ||||||||
Allowance for Credit Losses on Premiums Receivable [Line Items] | ||||||||
Change in allowance for credit losses on premiums receivable | 2,700 | 7,000 | ||||||
Premiums Receivable [Member] | ||||||||
Allowance for Credit Losses on Premiums Receivable [Line Items] | ||||||||
Premium Receivable, Allowance for Credit Loss | 15,200 | 16,500 | 15,200 | 16,500 | ||||
Current period change for expected credit losses | 2,250 | 180 | 4,335 | 1,721 | ||||
Write-offs charged against the allowance for credit losses | (2,349) | (2,154) | (3,787) | (6,554) | ||||
Recoveries | $ 399 | $ 174 | $ 1,052 | $ 333 |
Reinsurance Recoverable Credit
Reinsurance Recoverable Credit Ratings (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance recoverable, gross | $ 714,731 | $ 601,668 | ||||
Reinsurance Recoverable, Allowance for Credit Loss | (1,600) | $ (1,600) | (1,600) | $ (1,595) | $ (1,777) | $ (1,777) |
Reinsurance recoverable, net of allowance for credit losses | 713,131 | 600,068 | ||||
AM Best, A++ Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 45,356 | 38,610 | ||||
AM Best, A++ Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 9 | ||||
AM Best, A++ Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 45,356 | 38,601 | ||||
AM Best, A+ Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 361,005 | 341,377 | ||||
AM Best, A+ Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 920 | 1,520 | ||||
AM Best, A+ Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 360,085 | 339,857 | ||||
AM Best, A Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 99,036 | 96,902 | ||||
AM Best, A Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 176 | 1,227 | ||||
AM Best, A Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 98,860 | 95,675 | ||||
AM Best, A- Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 2,391 | 3,354 | ||||
AM Best, A- Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 90 | 145 | ||||
AM Best, A- Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 2,301 | 3,209 | ||||
AM Best, B++ Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best, B++ Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best, B++ Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best, B+ Rating [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best, B+ Rating [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best, B+ Rating [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
AM Best Rated Reinsurer [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 507,788 | 480,243 | ||||
AM Best Rated Reinsurer [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 1,186 | 2,901 | ||||
AM Best Rated Reinsurer [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 506,602 | 477,342 | ||||
Total federal and state pools [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 202,989 | 116,378 | ||||
Change in Reinsurance Recoverable, Gross | 86,600 | |||||
Total federal and state pools [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 0 | 0 | ||||
Total federal and state pools [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 202,989 | 116,378 | ||||
Other than Federal And State Pools [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 3,954 | 5,047 | ||||
Other than Federal And State Pools [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 278 | 450 | ||||
Other than Federal And State Pools [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 3,676 | 4,597 | ||||
Non Rated Reinsurer [Member] | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 206,943 | 121,425 | ||||
Non Rated Reinsurer [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 278 | 450 | ||||
Non Rated Reinsurer [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 206,665 | 120,975 | ||||
Reinsurance Recoverable for Paid and Unpaid Claims and Claims Adjustments, Gross [Member] | Financial Asset, Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | 1,464 | 3,351 | ||||
Reinsurance Recoverable for Paid and Unpaid Claims and Claims Adjustments, Gross [Member] | Financial Asset, Not Past Due | ||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | ||||||
Reinsurance Recoverables, Gross | $ 713,267 | $ 598,317 |
Allowance for Credit Losses o_4
Allowance for Credit Losses on Reinsurance Recoverable (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reinsurance Recoverable, Allowance for Credit Loss [Line Items] | ||||
Allowance for credit losses, beginning of period | $ 1,600 | $ 1,777 | $ 1,600 | $ 1,777 |
Current period change for expected credit losses | 0 | (182) | 0 | (182) |
Write-offs charged against the allowance for credit losses | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Allowance for credit losses, end of period | $ 1,600 | $ 1,595 | $ 1,600 | $ 1,595 |
Reinsurance (List of Direct, As
Reinsurance (List of Direct, Assumed, and Ceded Reinsurance Amounts) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Premiums earned: | ||||
Net | $ 853,879 | $ 767,247 | $ 2,500,601 | $ 2,232,725 |
Loss and loss expenses incurred: | ||||
Net | 547,826 | 505,269 | 1,566,930 | 1,340,293 |
Direct Assumed and Ceded Reinsurance Amounts [Member] | ||||
Premiums written: | ||||
Direct | 1,037,612 | 932,752 | 3,089,166 | 2,796,296 |
Assumed | 9,531 | 7,136 | 23,398 | 17,541 |
Ceded | (143,749) | (126,982) | (388,631) | (369,548) |
Net | 903,394 | 812,906 | 2,723,933 | 2,444,289 |
Premiums earned: | ||||
Direct | 984,981 | 877,620 | 2,872,008 | 2,568,445 |
Assumed | 8,514 | 6,304 | 21,523 | 16,391 |
Ceded | (139,616) | (116,677) | (392,930) | (352,111) |
Net | 853,879 | 767,247 | 2,500,601 | 2,232,725 |
Loss and loss expenses incurred: | ||||
Direct | 732,568 | 655,483 | 1,821,069 | 1,557,063 |
Assumed | 6,443 | 4,143 | 15,846 | 10,807 |
Ceded | (191,185) | (154,357) | (269,985) | (227,577) |
Net | $ 547,826 | $ 505,269 | $ 1,566,930 | $ 1,340,293 |
Reserve for Loss and Loss Exp_3
Reserve for Loss and Loss Expense (Rollforward of Reserve for Loss and Loss Expense) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Gross reserve for loss and loss expense, at beginning of period | $ 4,580,903 | $ 4,260,355 |
Less: reinsurance recoverable on unpaid loss and loss expense, at beginning of period | 578,641 | 554,269 |
Net reserve for loss and loss expense, at beginning of period | 4,002,262 | 3,706,086 |
Incurred loss and loss expense for claims occurring in the current year | 1,610,940 | 1,408,240 |
Total incurred loss and loss expense | 1,566,930 | 1,340,293 |
Paid loss and loss expense for claims occurring in the current year | 513,118 | 430,288 |
Paid loss and loss expense for claims occurring in the prior years | 779,438 | 675,782 |
Total paid loss and loss expense | 1,292,556 | 1,106,070 |
Net reserve for loss and loss expense, at end of period | 4,276,636 | 3,940,309 |
Add: reinsurance recoverable on unpaid loss and loss expense, at end of period | 688,641 | 670,031 |
Gross reserve for loss and loss expense, at end of period | 4,965,277 | 4,610,340 |
Change in Historical Claim Rate Experience [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (44,010) | (67,947) |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (48,000) | (66,000) |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | Workers' Compensation Insurance [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (40,000) | (28,000) |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | General Liability [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (5,000) | (29,000) |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | E&S Lines | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (7,000) | |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | Surety Lines | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (10,000) | |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | Business Owners Policies [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | (8,000) | $ (2,000) |
Casualty Insurance Product Line [Member] | Change in Historical Claim Rate Experience [Member] | Commercial Automobile [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | 15,000 | |
Property Insurance [Member] | Change in Historical Claim Rate Experience [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior year development | $ 4,000 |
Segment Information Narrative (
Segment Information Narrative (Details) | 9 Months Ended |
Sep. 30, 2022 | |
Number of Operating Segments | 4 |
Segment Information (Revenue by
Segment Information (Revenue by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net premiums earned | $ 853,879 | $ 767,247 | $ 2,500,601 | $ 2,232,725 |
Other income | 2,933 | 4,588 | 7,499 | 14,912 |
Net investment income earned | 63,889 | 93,032 | 206,713 | 246,479 |
Net realized and unrealized investment (losses) gains | (25,681) | 177 | (108,913) | 15,353 |
Total Investments revenue | 38,208 | 93,209 | 97,800 | 261,832 |
Total revenues | 895,020 | 865,044 | 2,605,900 | 2,509,469 |
Standard Commercial Lines | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 694,881 | 623,739 | 2,040,284 | 1,822,136 |
Standard Commercial Lines | General Liability [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 225,302 | 205,904 | 667,912 | 596,717 |
Standard Commercial Lines | Commercial Automobile [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 207,129 | 185,610 | 599,340 | 535,519 |
Standard Commercial Lines | Commercial Property [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 128,268 | 111,981 | 371,892 | 320,904 |
Standard Commercial Lines | Workers Compensation [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 81,996 | 78,318 | 250,178 | 230,845 |
Standard Commercial Lines | Business Owners Policies [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 32,130 | 23,025 | 93,682 | 80,963 |
Standard Commercial Lines | Bonds Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 11,094 | 8,850 | 32,136 | 26,436 |
Standard Commercial Lines | Other Commercial [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 6,518 | 5,883 | 19,003 | 17,082 |
Standard Commercial Lines | Miscellaneous income | ||||
Segment Reporting Information [Line Items] | ||||
Other income | 2,444 | 4,168 | 6,141 | 13,670 |
Standard Personal Lines | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 76,127 | 73,782 | 222,976 | 221,718 |
Standard Personal Lines | Personal Automobile [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 40,746 | 40,575 | 120,414 | 122,977 |
Standard Personal Lines | Homeowners [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 32,619 | 30,633 | 95,436 | 91,801 |
Standard Personal Lines | Other Personal [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 2,273 | 2,154 | 5,768 | 5,698 |
Standard Personal Lines | Miscellaneous income | ||||
Segment Reporting Information [Line Items] | ||||
Other income | 489 | 420 | 1,358 | 1,242 |
E&S Lines | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 85,804 | 74,314 | 244,840 | 203,783 |
E&S Lines | Casualty Insurance Product Line [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | 59,640 | 52,983 | 170,305 | 144,458 |
E&S Lines | Property Insurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net premiums earned | $ 26,164 | $ 21,331 | $ 74,535 | $ 59,325 |
Segment Information (Income Bef
Segment Information (Income Before and After Federal Income Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net investment income earned | $ 63,889 | $ 93,032 | $ 206,713 | $ 246,479 |
Net realized and unrealized investment (losses) gains | (25,681) | 177 | (108,913) | 15,353 |
Total investment segment income, before federal income tax | 38,208 | 93,209 | 97,800 | 261,832 |
Tax on investments segment income | 6,964 | 18,379 | 17,136 | 51,229 |
Total investment segment income, after federal income tax | 31,244 | 74,830 | 80,664 | 210,603 |
Standard Commercial Lines | ||||
Segment Reporting Information [Line Items] | ||||
Underwriting income (loss), before federal income tax | 22,501 | 17,413 | 111,593 | 154,850 |
Underwriting income (loss), after federal income tax | $ 17,776 | $ 13,756 | $ 88,158 | $ 122,332 |
Combined ratio | 96.80% | 97.20% | 94.50% | 91.40% |
ROE Contribution | 3.10% | 2.10% | 4.70% | 6.20% |
Standard Personal Lines | ||||
Segment Reporting Information [Line Items] | ||||
Underwriting income (loss), before federal income tax | $ (1,385) | $ (11,146) | $ (7,232) | $ 2,193 |
Underwriting income (loss), after federal income tax | $ (1,094) | $ (8,805) | $ (5,713) | $ 1,732 |
Combined ratio | 101.80% | 115.20% | 103.30% | 99% |
ROE Contribution | (0.20%) | (1.30%) | (0.30%) | 0.10% |
E&S Lines | ||||
Segment Reporting Information [Line Items] | ||||
Underwriting income (loss), before federal income tax | $ 6,016 | $ 4,672 | $ 16,313 | $ 7,494 |
Underwriting income (loss), after federal income tax | $ 4,753 | $ 3,691 | $ 12,887 | $ 5,920 |
Combined ratio | 93% | 93.70% | 93.30% | 96.30% |
ROE Contribution | 0.80% | 0.50% | 0.70% | 0.30% |
Investments | ||||
Segment Reporting Information [Line Items] | ||||
ROE Contribution | 8.90% | 11% | 8.90% | 10.10% |
Segment Information (Reconcilia
Segment Information (Reconciliation of Segment Results to Income Before Federal Income Tax (Details)) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Investment income | $ 38,208 | $ 93,209 | $ 97,800 | $ 261,832 |
Interest expense | (7,179) | (7,242) | (21,599) | (21,967) |
Corporate expenses | (5,522) | (4,270) | (24,442) | (22,936) |
Income before federal income tax | 52,639 | 92,636 | 172,433 | 381,466 |
Preferred stock dividends | (2,300) | (2,300) | (6,900) | (7,053) |
Income available to common stockholders, before federal income tax | 50,339 | 90,336 | 165,533 | 374,413 |
Standard Commercial Lines | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Underwriting income (loss), before federal income tax | $ 22,501 | $ 17,413 | $ 111,593 | $ 154,850 |
ROE Contribution | 3.10% | 2.10% | 4.70% | 6.20% |
Standard Personal Lines | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Underwriting income (loss), before federal income tax | $ (1,385) | $ (11,146) | $ (7,232) | $ 2,193 |
ROE Contribution | (0.20%) | (1.30%) | (0.30%) | 0.10% |
E&S Lines | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Underwriting income (loss), before federal income tax | $ 6,016 | $ 4,672 | $ 16,313 | $ 7,494 |
ROE Contribution | 0.80% | 0.50% | 0.70% | 0.30% |
Investments | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
ROE Contribution | 8.90% | 11% | 8.90% | 10.10% |
Operating Segments | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Underwriting income (loss), total all segments | $ 65,340 | $ 104,148 | $ 218,474 | $ 426,369 |
Retirement Plans (Components of
Retirement Plans (Components of Net Periodic Benefit Cost) (Details) - Pension Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Interest cost | $ 2,486 | $ 2,148 | $ 7,458 | $ 6,445 | |
Expected return on plan assets | (5,537) | (5,744) | (16,611) | (17,232) | |
Amortization of unrecognized net actuarial loss | 366 | 626 | 1,099 | 1,876 | |
Total net periodic pension cost (benefit) | [1] | $ (2,685) | $ (2,970) | $ (8,054) | $ (8,911) |
[1]The components of net periodic pension cost (benefit) are included within "Loss and loss expense incurred" and "Other insurance expenses" on the Consolidated Statements of Income. |
Retirement Plans (Weighted-Aver
Retirement Plans (Weighted-Average Expense Assumptions) (Details) - Pension Plan [Member] | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 2.98% | 2.68% |
Effective interest rate for calculation of interest cost | 2.48% | 2.06% |
Expected return on plan assets | 5% | 5.40% |
Comprehensive Income (Component
Comprehensive Income (Components of Comprehensive Income-Gross and Net of Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income, Gross | $ 52,639 | $ 92,636 | $ 172,433 | $ 381,466 |
Unrealized holding losses during the period, Gross | (189,622) | (35,285) | (674,357) | (103,040) |
Unrealized losses on securities with credit loss recognized in earnings; Gross | (68,287) | (2,343) | (227,599) | (3,678) |
Amounts reclassified into net income: HTM securities, Gross | 1 | 1 | 2 | (4) |
Amounts reclassified into net income: net realized losses (gains) on disposals and intent-to-sell AFS securities, gross | 14,235 | (1,296) | 48,396 | (634) |
Amounts reclassified into net income: Credit loss expense, gross | 4,471 | 1,334 | 42,042 | 4,059 |
Total unrealized losses on investment securities, Gross | (239,202) | (37,589) | (811,516) | (103,297) |
Amount reclassified into net income: Net actuarial loss, Gross | 417 | 693 | 1,251 | 2,079 |
Total defined benefit pension and post-retirement benefit plans, Gross | 417 | 693 | 1,251 | 2,079 |
Other comprehensive loss, Gross | (238,785) | (36,896) | (810,265) | (101,218) |
Comprehensive (loss) income before tax | (186,146) | 55,740 | (637,832) | 280,248 |
Net income, Tax | 10,114 | 18,931 | 34,058 | 76,608 |
Unrealized holding losses during the period, Tax | (39,819) | (7,410) | (141,613) | (21,638) |
Unrealized losses on securities with credit loss recognized in earnings; Tax | (14,341) | (492) | (47,796) | (772) |
Amounts reclassified into net income: HTM securities, Tax | 0 | 0 | 0 | (1) |
Amounts reclassified into net income: net realized losses (gains) on disposals and intent-to-sell AFS securities, tax | 2,989 | (272) | 10,163 | (133) |
Amounts reclassified into net income: Credit loss expense, Tax | 939 | 280 | 8,828 | 852 |
Total unrealized losses on investment securities, Tax | (50,232) | (7,894) | (170,418) | (21,692) |
Amount reclassified into net income: Net actuarial loss, Tax | 88 | 145 | 263 | 436 |
Total defined benefit pension and post-retirement benefit plans, Tax | 88 | 145 | 263 | 436 |
Other comprehensive (loss) income, Tax | (50,144) | (7,749) | (170,155) | (21,256) |
Comprehensive (loss) income, Tax | (40,030) | 11,182 | (136,097) | 55,352 |
Net income | 42,525 | 73,705 | 138,375 | 304,858 |
Unrealized holding losses during period, net | (149,803) | (27,875) | (532,744) | (81,402) |
Unrealized losses on securities with credit loss recognized in earnings, Net | (53,946) | (1,851) | (179,803) | (2,906) |
Amounts reclassified into net income: HTM Securities, Net | 1 | 1 | 2 | (3) |
Amounts reclassified into net income: net realized losses (gains) on disposals and intent-to-sell AFS securities, net | 11,246 | (1,024) | 38,233 | (501) |
Amounts reclassified into net income: Credit loss expense, net | 3,532 | 1,054 | 33,214 | 3,207 |
Total Unrealized Losses on Investment Securities | (188,970) | (29,695) | (641,098) | (81,605) |
Net current period OCI | 329 | 548 | 988 | 1,643 |
Total defined benefit pension and post-retirement plans, Net | 329 | 548 | 988 | 1,643 |
Other Comprehensive loss | (188,641) | (29,147) | (640,110) | (79,962) |
Comprehensive loss (income) | $ (146,116) | $ 44,558 | $ (501,735) | $ 224,896 |
Comprehensive Income (Compone_2
Comprehensive Income (Components of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | $ 115,099 | ||||
Net current period OCI | $ (188,641) | $ (29,147) | (640,110) | $ (79,962) | |
Ending Balance, September 30, 2022 | (525,011) | (525,011) | |||
Available-for-sale Securities [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | 185,170 | ||||
OCI before reclassifications | (532,744) | ||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | (38,233) | ||||
Net current period OCI | (494,511) | ||||
Ending Balance, September 30, 2022 | (309,341) | (309,341) | |||
Investments [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | 180,880 | ||||
OCI before reclassifications | (712,547) | ||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | (71,449) | ||||
Net current period OCI | (641,098) | ||||
Ending Balance, September 30, 2022 | (460,218) | (460,218) | |||
Accumulated Net Unrealized Investment Gain (Loss) [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | [1] | (4,287) | |||
OCI before reclassifications | [1] | (179,803) | |||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | [1] | (33,214) | |||
Net current period OCI | [1] | (146,589) | |||
Ending Balance, September 30, 2022 | [1] | (150,876) | (150,876) | ||
Accumulated Net Unrealized Investment Gain (Loss) [Member] | Held-to-maturity Securities [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | (3) | ||||
OCI before reclassifications | 0 | ||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | (2) | ||||
Net current period OCI | 2 | ||||
Ending Balance, September 30, 2022 | (1) | (1) | |||
Accumulated Defined Benefit Plans Adjustment [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | (65,781) | ||||
OCI before reclassifications | 0 | ||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | (988) | ||||
Net current period OCI | (988) | ||||
Ending Balance, September 30, 2022 | (64,793) | (64,793) | |||
Accumulated other comprehensive income (loss) [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Beginning Balance, December 31, 2021 | 115,099 | ||||
OCI before reclassifications | (712,547) | ||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | (72,437) | ||||
Net current period OCI | (188,641) | $ (29,147) | (640,110) | $ (79,962) | |
Ending Balance, September 30, 2022 | $ (525,011) | $ (525,011) | |||
[1] 1 Represents change in unrealized loss on securities with credit loss recognized in earnings. |
Comprehensive Income (Reclassif
Comprehensive Income (Reclassification out of AOCI) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net realized and unrealized investment (losses) gains | $ (25,681) | $ 177 | $ (108,913) | $ 15,353 |
Net investment income earned | 63,889 | 93,032 | 206,713 | 246,479 |
Loss and loss expense incurred | 547,826 | 505,269 | 1,566,930 | 1,340,293 |
Other insurance expenses | 102,806 | 94,759 | 298,310 | 278,531 |
Income before federal income tax | 52,639 | 92,636 | 172,433 | 381,466 |
Total federal income tax expense | (10,114) | (18,931) | (34,058) | (76,608) |
Net income (loss) | 42,525 | 73,705 | 138,375 | 304,858 |
Reclassification out of AOCI | ||||
Net income (loss) | 15,108 | 579 | 72,437 | 4,346 |
Pension Plan [Member] | Reclassification out of AOCI | ||||
Loss and loss expense incurred | 90 | 159 | 270 | 478 |
Other insurance expenses | 327 | 534 | 981 | 1,601 |
Income before federal income tax | 417 | 693 | 1,251 | 2,079 |
Total federal income tax expense | (88) | (145) | (263) | (436) |
Net income (loss) | 329 | 548 | 988 | 1,643 |
Held-to-maturity Securities [Member] | Reclassification out of AOCI | ||||
Net realized and unrealized investment (losses) gains | 1 | (1) | 1 | (1) |
Net investment income earned | 0 | 2 | 1 | (3) |
Income before federal income tax | 1 | 1 | 2 | (4) |
Total federal income tax expense | 0 | 0 | 0 | 1 |
Net income (loss) | 1 | 1 | 2 | (3) |
Available for sale securities, excluding credit losses [Member] | Reclassification out of AOCI | ||||
Net realized and unrealized investment (losses) gains | 14,235 | (1,296) | 48,396 | (634) |
Income before federal income tax | 14,235 | (1,296) | 48,396 | (634) |
Total federal income tax expense | (2,989) | 272 | (10,163) | 133 |
Net income (loss) | 11,246 | (1,024) | 38,233 | (501) |
Available for sale securities, including credit losses | Reclassification out of AOCI | ||||
Net realized and unrealized investment (losses) gains | 4,471 | 1,334 | 42,042 | 4,059 |
Income before federal income tax | 4,471 | 1,334 | 42,042 | 4,059 |
Total federal income tax expense | (939) | (280) | (8,828) | (852) |
Net income (loss) | $ 3,532 | $ 1,054 | $ 33,214 | $ 3,207 |
Equity (Details)
Equity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 02, 2020 | |
Equity [Abstract] | |||||
Authorized amount for share repurchase program | $ 100,000 | ||||
Acquisition of treasury stock, share repurchase authorization, shares | (79,100) | 0 | (165,159) | (52,781) | |
Treasury stock, share repurchase authorization, cost | $ 12,400 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 84,200 | $ 84,200 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items] | ||||
Earnings per common share - net income available to common stockholders - Basic | $ 0.67 | $ 1.19 | $ 2.18 | $ 4.95 |
Earnings per common share - net income available to common stockholders - Diluted | $ 0.66 | $ 1.18 | $ 2.16 | $ 4.92 |
Net Income available to Common Stockholders | $ 40,225 | $ 71,405 | $ 131,475 | $ 297,805 |
Weighted average common shares outstanding - basic | 60,404 | 60,231 | 60,409 | 60,161 |
Effect of dilutive securities - stock compensation plans | 431 | 355 | 420 | 348 |
Weighted Average Common Shares Outstanding, Diluted | 60,835 | 60,586 | 60,829 | 60,509 |