Atlantic American (AAME) 10-Q 11 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 07, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	ATLANTIC AMERICAN CORP
Entity Central Index Key	8,177
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		20,264,477
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2018

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
ASSETS
Cash and cash equivalents	$ 8,438	$ 24,547
Investments:
Fixed maturities, available-for-sale (cost: $222,428 and $212,544)	217,848	215,108
Equity securities (cost: $10,918 and $10,918)	18,936	23,355
Other invested assets (cost: $5,663 and $5,626)	5,663	5,626
Policy loans	2,105	2,146
Real estate	38	38
Investment in unconsolidated trusts	1,238	1,238
Total investments	245,828	247,511
Receivables:
Reinsurance	20,883	17,613
Insurance premiums and other (net of allowance for doubtful accounts: $223 and $209)	7,896	13,241
Deferred income taxes, net	2,271	0
Deferred acquisition costs	33,163	32,694
Other assets	4,787	5,089
Intangibles	2,544	2,544
Total assets	325,810	343,239
LIABILITIES AND SHAREHOLDERS' EQUITY
Future policy benefits	84,368	82,435
Unearned premiums	16,887	23,449
Losses and claims	70,120	65,689
Other policy liabilities	1,577	2,010
Total insurance reserves and policyholder funds	172,952	173,583
Accounts payable and accrued expenses	17,396	22,342
Deferred income taxes, net	0	593
Junior subordinated debenture obligations, net	33,738	33,738
Total liabilities	224,086	230,256
Commitments and contingencies (Note 9)
Shareholders' equity:
Preferred stock, $1 par, 4,000,000 shares authorized; Series D preferred, 55,000 shares issued and outstanding; $5,500 redemption value	55	55
Common stock, $1 par, 50,000,000 shares authorized; shares issued: 22,400,894; shares outstanding: 20,372,444 and 20,449,531	22,401	22,401
Additional paid-in capital	57,431	57,495
Retained earnings	33,188	30,993
Accumulated other comprehensive income (loss)	(3,618)	9,751
Unearned stock grant compensation	(387)	(579)
Treasury stock, at cost: 2,028,450 and 1,951,363 shares	(7,346)	(7,133)
Total shareholders' equity	101,724	112,983
Total liabilities and shareholders' equity	$ 325,810	$ 343,239

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Investments:
Fixed maturities, cost	$ 222,428	$ 212,544
Equity securities , cost	10,918	10,918
Other invested assets, cost	5,663	5,626
Receivables:
Insurance premiums and other, allowance for doubtful accounts	$ 223	$ 209
Shareholders' equity:
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	4,000,000	4,000,000
Preferred stock, shares issued (in shares)	55,000	55,000
Preferred stock, shares outstanding (in shares)	55,000	55,000
Preferred stock, redemption value	$ 5,500	$ 5,500
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	22,400,894	22,400,894
Common stock, shares outstanding (in shares)	20,372,444	20,449,531
Treasury stock, at cost (in shares)	2,028,450	1,951,363

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenue:
Insurance premiums	$ 42,202	$ 40,782
Investment income	2,359	2,159
Realized investment gains, net	370	883
Unrealized losses on equity securities, net	(4,419)	0
Other income	28	35
Total revenue	40,540	43,859
Benefits and expenses:
Insurance benefits and losses incurred	33,172	29,997
Commissions and underwriting expenses	10,019	10,614
Interest expense	462	409
Other expense	3,238	3,186
Total benefits and expenses	46,891	44,206
Loss before income taxes	(6,351)	(347)
Income tax benefit	(1,327)	(126)
Net loss	(5,024)	(221)
Preferred stock dividends	(99)	(99)
Net loss applicable to common shareholders	$ (5,123)	$ (320)
Loss per common share (basic and diluted) (in dollars per share)	$ (0.25)	$ (0.02)

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) [Abstract]
Net loss	$ (5,024)	$ (221)
Available-for-sale securities:
Gross unrealized holding gain (loss) arising in the period	(6,774)	4,243
Related income tax effect	1,422	(1,485)
Less: reclassification adjustment for net realized gains included in net loss	(370)	(883)
Related income tax effect	78	309
Net current period other comprehensive loss	(5,644)	2,184
Total comprehensive income (loss)	$ (10,668)	$ 1,963

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income [Member]	Unearned Stock Grant Compensation [Member]	Treasury Stock [Member]	Total
Beginning Balance at Dec. 31, 2016	$ 55	$ 22,401	$ 57,114	$ 27,272	$ 5,830	$ (428)	$ (6,738)	$ 105,506
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	0	0	0	(221)	0	0	0	(221)
Other comprehensive income (loss), net of tax	0	0	0	0	2,184	0	0	2,184
Dividends declared on common stock	0	0	0	(408)	0	0	0	(408)
Dividends accrued on preferred stock	0	0	0	(99)	0	0	0	(99)
Amortization of unearned compensation	0	0	0	0	0	116	0	116
Purchase of shares for treasury	0	0	0	0	0	0	(105)	(105)
Issuance of shares under stock plans	0	0	5	0	0	0	3	8
Ending Balance at Mar. 31, 2017	55	22,401	57,119	26,544	8,014	(312)	(6,840)	106,981
Beginning Balance at Dec. 31, 2017	55	22,401	57,495	30,993	9,751	(579)	(7,133)	112,983
Cumulative effect of adoption of updated accounting guidance for equity financial instruments at January 1, 2018 (ASU 2016-01 [Member]) at Dec. 31, 2017	0	0	0	9,825	(9,825)	0	0	0
Reclassification of certain tax effects from accumulated other comprehensive income at January 1, 2018 (ASU 2018-02 [Member]) at Dec. 31, 2017	0	0	0	(2,100)	2,100	0	0	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	0	0	0	(5,024)	0	0	0	(5,024)
Other comprehensive income (loss), net of tax	0	0	0	0	(5,644)	0	0	(5,644)
Dividends declared on common stock	0	0	0	(407)	0	0	0	(407)
Dividends accrued on preferred stock	0	0	0	(99)	0	0	0	(99)
Restricted stock grants	0	0	(68)	0	0	115	(47)	0
Amortization of unearned compensation	0	0	0	0	0	77	0	77
Purchase of shares for treasury	0	0	0	0	0	0	(169)	(169)
Issuance of shares under stock plans	0	0	4	0	0	0	3	7
Ending Balance at Mar. 31, 2018	$ 55	$ 22,401	$ 57,431	$ 33,188	$ (3,618)	$ (387)	$ (7,346)	$ 101,724

CONDENSED CONSOLIDATED STATEME7

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (5,024)	$ (221)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of deferred acquisition costs	3,719	3,399
Acquisition costs deferred	(4,188)	(5,036)
Realized investment gains, net	(370)	(883)
Unrealized losses on equity securities, net	4,419	0
Compensation expense related to share awards	77	116
Depreciation and amortization	273	387
Deferred income tax benefit	(1,363)	(126)
Decrease in receivables, net	1,567	4,671
Decrease in insurance reserves	(631)	(4,276)
Decrease in other liabilities	(5,453)	(4,281)
Other, net	98	102
Net cash used in operating activities	(6,876)	(6,148)
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from investments sold	13,373	19,782
Proceeds from investments matured, called or redeemed	1,529	5,842
Investments purchased	(23,955)	(21,870)
Additions to property and equipment	(18)	(83)
Net cash (used in) provided by investing activities	(9,071)	3,671
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from shares issued under stock plans	7	8
Purchase of shares for treasury	(169)	(105)
Net cash used in financing activities	(162)	(97)
Net decrease in cash and cash equivalents	(16,109)	(2,574)
Cash and cash equivalents at beginning of period	24,547	13,252
Cash and cash equivalents at end of period	8,438	10,678
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	$ 452	$ 408

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2018
Basis of Presentation [Abstract]
Basis of Presentation	Note 1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of Atlantic American Corporation (the “Parent”) and its subsidiaries (collectively with the Parent, the “Company”). The Parent’s primary operating subsidiaries, American Southern Insurance Company and American Safety Insurance Company (together known as “American Southern”) and Bankers Fidelity Life Insurance Company and Bankers Fidelity Assurance Company (together known as “Bankers Fidelity”), operate in two principal business units. American Southern operates in the property and casualty insurance market, while Bankers Fidelity operates in the life and health insurance market. All significant intercompany accounts and transactions have been eliminated in consolidation. The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for audited annual financial statements. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. The unaudited condensed consolidated financial statements included herein and these related notes should be read in conjunction with the Company’s consolidated financial statements, and the notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 (the “2017 Annual Report”). The Company’s financial condition and results of operations and cash flows as of and for the three month period ended March 31, 2018 are not necessarily indicative of the financial condition or results of operations and cash flows that may be expected for the year ending December 31, 2018 or for any other future period. The Company’s significant accounting policies have not changed materially from those set out in the Company’s 2017 Annual Report, except as noted below for the adoption of new accounting standards. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates.

Recently Issued Accounting Stan

Recently Issued Accounting Standards	3 Months Ended
	Mar. 31, 2018
Recently Issued Accounting Standards [Abstract]
Recently Issued Accounting Standards	Note 2. Recently Issued Accounting Standards Adoption of New Accounting Standards In February 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). The FASB issued this guidance for the effect on deferred tax assets and liabilities related to items recorded in accumulated other comprehensive income ("AOCI") resulting from legislated tax reform enacted on December 22, 2017. The tax reform reduced the federal tax rate applied to the Company’s deferred tax balances from 35% to 21% on enactment. Under current GAAP, the Company recorded the total effect of the change in enacted tax rates on deferred tax balances in the income tax expense component of net income. ASU 2018-02 permits the Company to reclassify out of AOCI and into retained earnings the “stranded” tax effects that resulted from recording the tax effects of unrealized investment gains at a 35% tax rate because the 14% reduction in tax rate was recognized in net income instead of other comprehensive income. The Company adopted ASU 2018-02 as of January 1, 2018. As a result, on January 1, 2018, the Company reclassified $2,100 of stranded tax effects related to continuing operations which increased AOCI and reduced retained earnings. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). ASU 2016-15 is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. The issues addressed in ASU 2016-15 are: 1) debt prepayment or debt extinguishment costs, 2) settlement of zero-coupon debt instruments, 3) contingent consideration payments made after a business combination, 4) proceeds from the settlement of insurance claims, 5) proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, 6) distributions received from equity method investees, 7) beneficial interests in securitization transactions and 8) separately identifiable cash flows and application of the predominance principle. The Company adopted ASU 2016-15 as of January 1, 2018. The adoption of this ASU did not have an impact on the Company’s consolidated statements of cash flows. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments – Overall (Subtopic 825-10) (“ASU 2016-01”). ASU 2016-01 provides updated guidance for the recognition and measurement of financial instruments. The guidance requires investments in equity securities to be measured at fair value with any changes in valuation reported in net income except for investments that are consolidated or are accounted for under the equity method of accounting. The guidance also requires a deferred tax asset resulting from net unrealized losses on available-for-sale (AFS) fixed maturities that are recognized in AOCI to be evaluated for recoverability in combination with the Company’s other deferred tax assets. Under previous guidance, the Company measured investments in equity securities at fair value with any changes in fair value reported in other comprehensive income. The Company adopted ASU 2016-01 as of January 1, 2018. The adoption of this guidance resulted in the recognition of $9,825 of net after tax unrealized gains on equity securities as a cumulative effect adjustment that increased retained earnings as of January 1, 2018 and decreased AOCI by the same amount. The Company elected to report changes in the fair value of equity securities in a separate line item on the Company’s consolidated statements of operations. At December 31, 2017, equity securities were classified as AFS in the Company’s consolidated balance sheets. However, upon adoption, the updated guidance eliminated the AFS balance sheet classification for equity securities. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09, as modified, provides guidance for recognizing revenue which excludes insurance contracts and financial instruments. Revenue is to be recognized when, or as, goods or services are transferred to customers in an amount that reflects the consideration that an entity is expected to be entitled in exchange for those goods or services. For the three months ended March 31, 2018, approximately $28, or less than one-tenth of 1% of the Company's total revenues, were within the scope of this updated guidance. The Company adopted ASU No. 2014-09 as of January 1, 2018. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements.

Investments

Investments	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Investments	Note 3. Investments The following tables set forth the carrying value, gross unrealized gains, gross unrealized losses and cost or amortized cost of the Company’s investments, aggregated by type and industry, as of March 31, 2018 and December 31, 2017. Investments were comprised of the following: March 31, 2018 Carrying Value Gross Unrealized Gains Gross Unrealized Losses Cost or Amortized Cost Fixed maturities: Bonds: U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 29,978 $ 87 $ 966 $ 30,857 Obligations of states and political subdivisions 10,666 476 50 10,240 Corporate securities: Utilities and telecom 18,592 1,262 487 17,817 Financial services 54,061 1,394 1,412 54,079 Other business – diversified 49,639 491 2,366 51,514 Other consumer – diversified 54,720 266 3,275 57,729 Total corporate securities 177,012 3,413 7,540 181,139 Redeemable preferred stocks: Other consumer – diversified 192 - - 192 Total redeemable preferred stocks 192 - - 192 Total fixed maturities 217,848 3,976 8,556 222,428 Equity securities: Common and non-redeemable preferred stocks: Utilities and telecom 1,434 470 - 964 Financial services 5,500 716 - 4,784 Other business – diversified 299 252 - 47 Other consumer – diversified 11,703 6,580 - 5,123 Total equity securities 18,936 8,018 - 10,918 Other invested assets 5,663 - - 5,663 Policy loans 2,105 - - 2,105 Real estate 38 - - 38 Investments in unconsolidated trusts 1,238 - - 1,238 Total investments $ 245,828 $ 11,994 $ 8,556 $ 242,390 December 31, 2017 Carrying Value Gross Unrealized Gains Gross Unrealized Losses Cost or Amortized Cost Fixed maturities: Bonds: U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 31,155 $ 149 $ 511 $ 31,517 Obligations of states and political subdivisions 10,809 630 1 10,180 Corporate securities: Utilities and telecom 21,882 1,709 130 20,303 Financial services 53,686 2,049 453 52,090 Other business – diversified 44,184 1,024 1,349 44,509 Other consumer – diversified 53,200 924 1,477 53,753 Total corporate securities 172,952 5,706 3,409 170,655 Redeemable preferred stocks: Other consumer – diversified 192 - - 192 Total redeemable preferred stocks 192 - - 192 Total fixed maturities 215,108 6,485 3,921 212,544 Equity securities: Common and non-redeemable preferred stocks: Utilities and telecom 1,588 624 - 964 Financial services 5,634 851 - 4,783 Other business – diversified 297 250 - 47 Other consumer – diversified 15,836 10,712 - 5,124 Total equity securities 23,355 12,437 - 10,918 Other invested assets 5,626 - - 5,626 Policy loans 2,146 - - 2,146 Real estate 38 - - 38 Investments in unconsolidated trusts 1,238 - - 1,238 Total investments $ 247,511 $ 18,922 $ 3,921 $ 232,510 Bonds having an amortized cost of $11,209 and $11,178 and included in the tables above were on deposit with insurance regulatory authorities at March 31, 2018 and December 31, 2017, respectively, in accordance with statutory requirements. The carrying value and amortized cost of the Company’s investments in fixed maturities at March 31, 2018 and December 31, 2017 by contractual maturity were as follows. Actual maturities may differ from contractual maturities because issuers may call or prepay obligations with or without call or prepayment penalties. March 31, 2018 December 31, 2017 Carrying Value Amortized Cost Carrying Value Amortized Cost Due in one year or less $ 1,498 $ 1,502 $ 1,653 $ 1,655 Due after one year through five years 16,936 17,402 13,738 14,056 Due after five years through ten years 127,271 130,853 112,847 112,116 Due after ten years 53,646 53,539 67,328 64,928 Varying maturities 18,497 19,132 19,542 19,789 Totals $ 217,848 $ 222,428 $ 215,108 $ 212,544 The following tables present the Company’s unrealized loss aging for securities by type and length of time the security was in a continuous unrealized loss position as of March 31, 2018 and December 31, 2017. March 31, 2018 Less than 12 months 12 months or longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 15,379 $ 445 $ 12,018 $ 521 $ 27,397 $ 966 Obligations of states and political subdivisions 4,029 50 - - 4,029 50 Corporate securities 97,572 4,118 29,050 3,422 126,622 7,540 Total temporarily impaired securities $ 116,980 $ 4,613 $ 41,068 $ 3,943 $ 158,048 $ 8,556 December 31, 2017 Less than 12 months 12 months or longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 12,175 $ 162 $ 12,737 $ 349 $ 24,912 $ 511 Obligations of states and political subdivisions 999 1 - - 999 1 Corporate securities 40,108 653 32,667 2,756 72,775 3,409 Total temporarily impaired securities $ 53,282 $ 816 $ 45,404 $ 3,105 $ 98,686 $ 3,921 The evaluation for an other than temporary impairment is a quantitative and qualitative process, which is subject to risks and uncertainties in the determination of whether declines in the fair value of investments are other than temporary. Potential risks and uncertainties include, among other things, changes in general economic conditions, an issuer’s financial condition or near term recovery prospects and the effects of changes in interest rates. In evaluating a potential impairment, the Company considers, among other factors, management’s intent and ability to hold the securities until price recovery, the nature of the investment and the expectation of prospects for the issuer and its industry, the status of an issuer’s continued satisfaction of its obligations in accordance with their contractual terms, and management’s expectation as to the issuer’s ability and intent to continue to do so, as well as ratings actions that may affect the issuer’s credit status. As of March 31, 2018 and December 31, 2017, there were one hundred twenty-one and sixty-nine securities, respectively, in an unrealized loss position which primarily included certain of the Company’s investments in fixed maturities within the other diversified business and other diversified consumer sectors. Securities in an unrealized loss position as of March 31, 2018, reported in the other diversified business sector included gross unrealized losses of $987 related to investments in fixed maturities of five different issuers, all related to the oil and gas industry. These issuers represent a diversified group of businesses which include, among others, exploration and production, pipeline owners and operators, deep water offshore rig owners and operators, all of which we believe are in continuing stages of rationalizing their current operations, investments, future capital expenditures and carefully managing and modifying their capital and liquidity positions. Based on publicly available information, the companies are continuing to assess and revise short-term, intermediate and long-term business plans in response to the current trends in oil and gas markets. All of the investees have continued to make regular interest payments on their debt when and as due and the Company continues to perform analyses of publicly available financial disclosures of each of the investees on a regular basis. The Company does not currently intend to sell nor does it expect to be required to sell any of the securities in an unrealized loss position. Based upon the Company’s expected continuation of receipt of contractually required principal and interest payments and its intent and ability to retain the securities until price recovery, as well as the Company’s evaluation of other relevant factors, including those described above, the Company has deemed these securities to be temporarily impaired as of March 31, 2018. The following describes the fair value hierarchy and provides information as to the extent to which the Company uses fair value to measure the value of its financial instruments and information about the inputs used to value those financial instruments. The fair value hierarchy prioritizes the inputs in the valuation techniques used to measure fair value into three broad levels. Level 1 Observable inputs that reflect quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date. The Company’s financial instruments valued using Level 1 criteria include cash equivalents and exchange traded common stocks. Level 2 Observable inputs, other than quoted prices included in Level 1, for an asset or liability or prices for similar assets or liabilities. The Company’s financial instruments valued using Level 2 criteria include significantly all of its fixed maturities, which consist of U.S. Treasury securities and U.S. Government securities, obligations of states and political subdivisions, and certain corporate fixed maturities, as well as its non-redeemable preferred stocks. In determining fair value measurements of its fixed maturities and non-redeemable preferred stocks using Level 2 criteria, the Company utilizes data from outside sources, including nationally recognized pricing services and broker/dealers. Prices for the majority of the Company’s Level 2 fixed maturities and non-redeemable preferred stocks were determined using unadjusted prices received from pricing services that utilize a matrix pricing concept, which is a mathematical technique used widely in the industry to value debt securities based on various relationships to other benchmark quoted prices. Level 3 Valuations that are derived from techniques in which one or more of the significant inputs are unobservable (including assumptions about risk). Fair value is based on criteria that use assumptions or other data that are not readily observable from objective sources. The Company’s financial instruments valued using Level 3 criteria consist of a limited number of fixed maturities. As of March 31, 2018 and December 31, 2017, the value of the Company’s fixed maturities valued using Level 3 criteria was $1,339 and $1,369, respectively. The use of different criteria or assumptions regarding data may have yielded materially different valuations. As of March 31, 2018, financial instruments carried at fair value were measured on a recurring basis as summarized below: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) Total Assets: Fixed maturities $ - $ 216,509 $ 1,339 (1) $ 217,848 Equity securities 13,657 5,279 (1) - 18,936 Cash equivalents 6,807 - - 6,807 Total $ 20,464 $ 221,788 $ 1,339 $ 243,591 (1) All underlying securities are financial service industry related. As of December 31, 2017, financial instruments carried at fair value were measured on a recurring basis as summarized below: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) Total Assets: Fixed maturities $ - $ 213,739 $ 1,369 (1) $ 215,108 Equity securities 17,973 5,382 (1) - 23,355 Cash equivalents 13,855 - - 13,855 Total $ 31,828 $ 219,121 $ 1,369 $ 252,318 (1) All underlying securities are financial service industry related. The following tables provide a roll-forward of the Company’s financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three month periods ended March 31, 2018 and 2017. Fixed Maturities Balance, December 31, 2017 $ 1,369 Total unrealized losses included in other comprehensive loss (30 ) Balance, March 31, 2018 $ 1,339 Fixed Maturities Balance, December 31, 2016 $ 1,264 Total unrealized gains included in other comprehensive income 38 Balance, March 31, 2017 $ 1,302 The Company’s fixed maturities valued using Level 3 inputs consist solely of issuances of pooled debt obligations of multiple, smaller financial services companies. They are not actively traded and valuation techniques used to measure fair value are based on future estimated cash flows (based on current cash flows) discounted at reasonable estimated rates of interest. There are no assumed prepayments and/or default probability assumptions as a majority of these instruments contain certain U.S. government agency strips to support repayment of the principal. Other qualitative and quantitative information received from the original underwriter of the pooled offerings is also considered, as applicable. The following table is a summary of realized investment gains (losses) for the three month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 2017 Gross gains $ 370 $ 931 Gross losses - (48 ) Realized investment gains, net $ 370 $ 883 The following table presents the portion of unrealized gains (losses) related to equity securities still held for the three month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 2017 Net losses recognized during the period on equity securities $ (4,419 ) $ - Less: Net gains (losses) recognized during the period on equity securities sold during the period - - Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (4,419 ) $ -

Fair Values of Financial Instru

Fair Values of Financial Instruments	3 Months Ended
	Mar. 31, 2018
Fair Values of Financial Instruments [Abstract]
Fair Values of Financial Instruments	Note 4. Fair Values of Financial Instruments The estimated fair values have been determined by the Company using available market information from various market sources and appropriate valuation methodologies as of the respective dates. However, considerable judgment is necessary to interpret market data and to develop the estimates of fair value. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, the estimates presented herein are not necessarily indicative of the amounts which the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company’s financial instruments as of March 31, 2018 and December 31, 2017. March 31, 2018 December 31, 2017 Level in Fair Value Hierarchy (1) Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Assets: Cash and cash equivalents Level 1 $ 8,438 $ 8,438 $ 24,547 $ 24,547 Fixed maturities (1) 217,848 217,848 215,108 215,108 Equity securities (1) 18,936 18,936 23,355 23,355 Other invested assets Level 3 5,663 5,663 5,626 5,626 Policy loans Level 2 2,105 2,105 2,146 2,146 Real estate Level 2 38 38 38 38 Investment in unconsolidated trusts Level 2 1,238 1,238 1,238 1,238 Liabilities: Junior subordinated debentures, net Level 2 33,738 33,738 33,738 33,738 (1) See Note 3 for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets. There have not been any transfers between Level 1, Level 2 and Level 3 during the periods presented in these condensed consolidated financial statements.

Liabilities for Unpaid Losses,

Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses	3 Months Ended
	Mar. 31, 2018
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Abstract]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses	Note 5. Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses The roll-forward of liabilities for unpaid losses, claims and loss adjustment expenses, by major product, is as follows: Property and Casualty Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 47,997 $ 49,556 Less: Reinsurance recoverable on unpaid losses (7,220 ) (9,806 ) Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 40,777 39,750 Incurred related to: Current accident year 9,602 8,806 Prior accident year development (1) (425 ) (522 ) Total incurred 9,177 8,284 Paid related to: Current accident year 2,348 2,312 Prior accident years 5,976 5,836 Total paid 8,324 8,148 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 41,630 39,886 Plus: Reinsurance recoverable on unpaid losses 7,158 9,011 Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 48,788 $ 48,897 (1) In establishing property and casualty reserves, the Company initially reserves for losses at the higher end of the reasonable range if no other value within the range is determined to be more probable. Selection of such an initial loss estimate is an attempt by management to give recognition that initial claims information received generally is not conclusive with respect to legal liability, is generally not comprehensive with respect to magnitude of loss and generally, based on historical experience, will develop more adversely as time passes and more information becomes available. Accordingly, the Company generally experiences reserve redundancies when analyzing the development of prior year losses in a current period. Medicare Supplement Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 15,859 $ 11,263 Less: Reinsurance recoverable on unpaid losses (4,748 ) (990 ) Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 11,111 10,273 Incurred related to: Current accident year 17,615 18,035 Prior accident year development 3,343 (2) 241 Total incurred 20,958 18,276 Paid related to: Current accident year 5,873 8,797 Prior accident years 13,252 8,354 Total paid 19,125 17,151 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 12,944 11,398 Plus: Reinsurance recoverable on unpaid losses 6,535 1,819 Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 19,479 $ 13,217 (2) The prior accident year development for Medicare supplement insurance products was primarily due to influenza, the usual driver of elevated morbidity in winter, which was significantly higher than in the previous year and ultimately had an unfavorable effect on the Company’s loss patterns. Other Life and Health Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 1,833 $ 1,743 Less: Reinsurance recoverable on unpaid losses - - Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 1,833 1,743 Incurred related to: Current accident year 2,516 1,527 Prior accident year development (284 ) 653 Total incurred 2,232 2,180 Paid related to: Current accident year 998 1,056 Prior accident years 1,214 1,221 Total paid 2,212 2,277 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 1,853 1,646 Plus: Reinsurance recoverable on unpaid losses - - Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 1,853 $ 1,646 Following is a reconciliation of total incurred losses to total insurance benefits and losses incurred: Three Months Ended March 31, 2018 2017 Total incurred losses $ 32,367 $ 28,740 Cash surrender value and matured endowments 378 483 Benefit reserve changes 427 774 Total insurance benefits and losses incurred $ 33,172 $ 29,997

Junior Subordinated Debentures

Junior Subordinated Debentures	3 Months Ended
	Mar. 31, 2018
Junior Subordinated Debentures [Abstract]
Junior Subordinated Debentures	Note 6. Junior Subordinated Debentures The Company has two unconsolidated Connecticut statutory business trusts, which exist for the exclusive purposes of: (i) issuing trust preferred securities (“Trust Preferred Securities”) representing undivided beneficial interests in the assets of the trusts; (ii) investing the gross proceeds of the Trust Preferred Securities in junior subordinated deferrable interest debentures (“Junior Subordinated Debentures”) of Atlantic American; and (iii) engaging in those activities necessary or incidental thereto. The financial structure of each of Atlantic American Statutory Trust I and II as of March 31, 2018 was as follows: Atlantic American Statutory Trust I Atlantic American Statutory Trust II JUNIOR SUBORDINATED DEBENTURES (1) (2) Principal amount owed $ 18,042 $ 23,196 Balance March 31, 2018 $ 18,042 $ 23,196 Less: Treasury debt (3) - (7,500 ) Net balance March 31, 2018 $ 18,042 $ 15,696 Net balance December 31, 2017 $ 18,042 $ 15,696 Coupon rate LIBOR + 4.00% LIBOR + 4.10% Interest payable Quarterly Quarterly Maturity date December 4, 2032 May 15, 2033 Redeemable by issuer Yes Yes TRUST PREFERRED SECURITIES Issuance date December 4, 2002 May 15, 2003 Securities issued 17,500 22,500 Liquidation preference per security $ 1 $ 1 Liquidation value $ 17,500 $ 22,500 Coupon rate LIBOR + 4.00% LIBOR + 4.10% Distribution payable Quarterly Quarterly Distribution guaranteed by (4) Atlantic American Corporation Atlantic American Corporation (1) For each of the respective debentures, the Company has the right at any time, and from time to time, to defer payments of interest on the Junior Subordinated Debentures for a period not exceeding 20 consecutive quarters up to the debentures’ respective maturity dates. During any such period, interest will continue to accrue and the Company may not declare or pay any cash dividends or distributions on, or purchase, the Company’s common stock nor make any principal, interest or premium payments on or repurchase any debt securities that rank equally with or junior to the Junior Subordinated Debentures. The Company has the right at any time to dissolve each of the trusts and cause the Junior Subordinated Debentures to be distributed to the holders of the Trust Preferred Securities. (2) The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries. (3) On August 4, 2014, the Company acquired $7,500 of the Junior Subordinated Debentures. (4) The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

Loss Per Common Share

Loss Per Common Share	3 Months Ended
	Mar. 31, 2018
Loss Per Common Share [Abstract]
Loss Per Common Share	Note 7. Loss Per Common Share A reconciliation of the numerator and denominator used in the loss per common share calculations is as follows: Three Months Ended March 31, 2018 Loss Shares (In thousands) Per Share Amount Basic and Diluted Loss Per Common Share: Net loss $ (5,024 ) 20,419 Less preferred stock dividends (99 ) - Net loss applicable to common shareholders $ (5,123 ) 20,419 $ (.25 ) Three Months Ended March 31, 2017 Loss Shares (In thousands) Per Share Amount Basic and Diluted Loss Per Common Share: Net loss $ (221 ) 20,432 Less preferred stock dividends (99 ) - Net loss applicable to common shareholders $ (320 ) 20,432 $ (.02 ) The assumed conversion of the Company’s Series D preferred stock was excluded from the loss per common share calculation for all periods presented since its impact would have been antidilutive.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2018
Income Taxes [Abstract]
Income Taxes	Note 8. Income Taxes A reconciliation of the differences between income taxes computed at the federal statutory income tax rate and income tax benefit is as follows: Three Months Ended March 31, 2018 2017 Federal income tax provision at statutory rate of 21% and 35% for 2018 and 2017, respectively $ (1,334 ) $ (121 ) Dividends-received deduction (10 ) (24 ) Other permanent differences 17 19 Income tax benefit $ (1,327 ) $ (126 ) The components of income tax benefit were: Three Months Ended March 31, 2018 2017 Current – Federal $ 36 $ - Deferred – Federal (1,363 ) (126 ) Total $ (1,327 ) $ (126 )

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2018
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 9. Commitments and Contingencies From time to time, the Company is, and expects to continue to be, involved in various claims and lawsuits incidental to and in the ordinary course of its businesses. In the opinion of management, any such known claims are not expected to have a material effect on the financial condition or results of operations of the Company.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2018
Segment Information [Abstract]
Segment Information	Note 10. Segment Information The Parent’s primary insurance subsidiaries, American Southern and Bankers Fidelity, operate in two principal business units, each focusing on specific products. American Southern operates in the property and casualty insurance market, while Bankers Fidelity operates in the life and health insurance market. Each business unit is managed independently and is evaluated on its individual performance. The following sets forth the revenue and income (loss) before income taxes for each business unit for the three month periods ended March 31, 2018 and 2017. Revenues Three Months Ended March 31, 2018 2017 American Southern $ 13,533 $ 14,301 Bankers Fidelity 30,113 29,537 Corporate and Other (3,106 ) 21 Total revenue $ 40,540 $ 43,859 Income (Loss) Before Income Taxes Three Months Ended March 31, 2018 2017 American Southern $ 968 $ 2,150 Bankers Fidelity (2,535 ) (835 ) Corporate and Other (4,784 ) (1,662 ) Loss before income taxes $ (6,351 ) $ (347 )

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	3 Months Ended
	Mar. 31, 2018
Accumulated Other Comprehensive Income (Loss) [Abstract]
Accumulated Other Comprehensive Income (Loss)	Note 11. Accumulated Other Comprehensive Income (Loss) The following table sets forth the balance of the only component of accumulated other comprehensive income (loss) as of March 31, 2018 and December 31, 2017, and the changes in the balance of that component thereof during the three month period ended March 31, 2018, net of taxes. Unrealized Gains on Available-for- Sale Securities Balance, December 31, 2017 $ 9,751 Cumulative effect of adoption of updated accounting guidance for equity financial instruments at January 1, 2018 (9,825 ) Reclassification of certain tax effects from accumulated other comprehensive income at January 1, 2018 2,100 Total effect of adoption of updated accounting guidance at January 1, 2018 (7,725 ) Other comprehensive loss before reclassifications (5,352 ) Amounts reclassified from accumulated other comprehensive loss (292 ) Net current period other comprehensive loss (5,644 ) Balance, March 31, 2018 $ (3,618 )

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions	Note 12. Related Party Transactions For the three month periods ended March 31, 2018 and 2017, Gray Television, Inc., a related party, paid the Company approximately $105 and $145, respectively, in employer paid insurance premiums related to a group accident plan.

Recently Issued Accounting St20

Recently Issued Accounting Standards (Policies)	3 Months Ended
	Mar. 31, 2018
Recently Issued Accounting Standards [Abstract]
Adoption of New Accounting Standards	Adoption of New Accounting Standards In February 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). The FASB issued this guidance for the effect on deferred tax assets and liabilities related to items recorded in accumulated other comprehensive income ("AOCI") resulting from legislated tax reform enacted on December 22, 2017. The tax reform reduced the federal tax rate applied to the Company’s deferred tax balances from 35% to 21% on enactment. Under current GAAP, the Company recorded the total effect of the change in enacted tax rates on deferred tax balances in the income tax expense component of net income. ASU 2018-02 permits the Company to reclassify out of AOCI and into retained earnings the “stranded” tax effects that resulted from recording the tax effects of unrealized investment gains at a 35% tax rate because the 14% reduction in tax rate was recognized in net income instead of other comprehensive income. The Company adopted ASU 2018-02 as of January 1, 2018. As a result, on January 1, 2018, the Company reclassified $2,100 of stranded tax effects related to continuing operations which increased AOCI and reduced retained earnings. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). ASU 2016-15 is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. The issues addressed in ASU 2016-15 are: 1) debt prepayment or debt extinguishment costs, 2) settlement of zero-coupon debt instruments, 3) contingent consideration payments made after a business combination, 4) proceeds from the settlement of insurance claims, 5) proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, 6) distributions received from equity method investees, 7) beneficial interests in securitization transactions and 8) separately identifiable cash flows and application of the predominance principle. The Company adopted ASU 2016-15 as of January 1, 2018. The adoption of this ASU did not have an impact on the Company’s consolidated statements of cash flows. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments – Overall (Subtopic 825-10) (“ASU 2016-01”). ASU 2016-01 provides updated guidance for the recognition and measurement of financial instruments. The guidance requires investments in equity securities to be measured at fair value with any changes in valuation reported in net income except for investments that are consolidated or are accounted for under the equity method of accounting. The guidance also requires a deferred tax asset resulting from net unrealized losses on available-for-sale (AFS) fixed maturities that are recognized in AOCI to be evaluated for recoverability in combination with the Company’s other deferred tax assets. Under previous guidance, the Company measured investments in equity securities at fair value with any changes in fair value reported in other comprehensive income. The Company adopted ASU 2016-01 as of January 1, 2018. The adoption of this guidance resulted in the recognition of $9,825 of net after tax unrealized gains on equity securities as a cumulative effect adjustment that increased retained earnings as of January 1, 2018 and decreased AOCI by the same amount. The Company elected to report changes in the fair value of equity securities in a separate line item on the Company’s consolidated statements of operations. At December 31, 2017, equity securities were classified as AFS in the Company’s consolidated balance sheets. However, upon adoption, the updated guidance eliminated the AFS balance sheet classification for equity securities. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09, as modified, provides guidance for recognizing revenue which excludes insurance contracts and financial instruments. Revenue is to be recognized when, or as, goods or services are transferred to customers in an amount that reflects the consideration that an entity is expected to be entitled in exchange for those goods or services. For the three months ended March 31, 2018, approximately $28, or less than one-tenth of 1% of the Company's total revenues, were within the scope of this updated guidance. The Company adopted ASU No. 2014-09 as of January 1, 2018. The adoption of this ASU did not have an impact on the Company’s consolidated financial statements.

Investments (Tables)

Investments (Tables)	3 Months Ended
	Mar. 31, 2018
Investments [Abstract]
Investments aggregated by type and industry	Investments were comprised of the following: March 31, 2018 Carrying Value Gross Unrealized Gains Gross Unrealized Losses Cost or Amortized Cost Fixed maturities: Bonds: U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 29,978 $ 87 $ 966 $ 30,857 Obligations of states and political subdivisions 10,666 476 50 10,240 Corporate securities: Utilities and telecom 18,592 1,262 487 17,817 Financial services 54,061 1,394 1,412 54,079 Other business – diversified 49,639 491 2,366 51,514 Other consumer – diversified 54,720 266 3,275 57,729 Total corporate securities 177,012 3,413 7,540 181,139 Redeemable preferred stocks: Other consumer – diversified 192 - - 192 Total redeemable preferred stocks 192 - - 192 Total fixed maturities 217,848 3,976 8,556 222,428 Equity securities: Common and non-redeemable preferred stocks: Utilities and telecom 1,434 470 - 964 Financial services 5,500 716 - 4,784 Other business – diversified 299 252 - 47 Other consumer – diversified 11,703 6,580 - 5,123 Total equity securities 18,936 8,018 - 10,918 Other invested assets 5,663 - - 5,663 Policy loans 2,105 - - 2,105 Real estate 38 - - 38 Investments in unconsolidated trusts 1,238 - - 1,238 Total investments $ 245,828 $ 11,994 $ 8,556 $ 242,390 December 31, 2017 Carrying Value Gross Unrealized Gains Gross Unrealized Losses Cost or Amortized Cost Fixed maturities: Bonds: U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 31,155 $ 149 $ 511 $ 31,517 Obligations of states and political subdivisions 10,809 630 1 10,180 Corporate securities: Utilities and telecom 21,882 1,709 130 20,303 Financial services 53,686 2,049 453 52,090 Other business – diversified 44,184 1,024 1,349 44,509 Other consumer – diversified 53,200 924 1,477 53,753 Total corporate securities 172,952 5,706 3,409 170,655 Redeemable preferred stocks: Other consumer – diversified 192 - - 192 Total redeemable preferred stocks 192 - - 192 Total fixed maturities 215,108 6,485 3,921 212,544 Equity securities: Common and non-redeemable preferred stocks: Utilities and telecom 1,588 624 - 964 Financial services 5,634 851 - 4,783 Other business – diversified 297 250 - 47 Other consumer – diversified 15,836 10,712 - 5,124 Total equity securities 23,355 12,437 - 10,918 Other invested assets 5,626 - - 5,626 Policy loans 2,146 - - 2,146 Real estate 38 - - 38 Investments in unconsolidated trusts 1,238 - - 1,238 Total investments $ 247,511 $ 18,922 $ 3,921 $ 232,510
Amortized cost and carrying value of fixed maturities by contractual maturity	The carrying value and amortized cost of the Company’s investments in fixed maturities at March 31, 2018 and December 31, 2017 by contractual maturity were as follows. Actual maturities may differ from contractual maturities because issuers may call or prepay obligations with or without call or prepayment penalties. March 31, 2018 December 31, 2017 Carrying Value Amortized Cost Carrying Value Amortized Cost Due in one year or less $ 1,498 $ 1,502 $ 1,653 $ 1,655 Due after one year through five years 16,936 17,402 13,738 14,056 Due after five years through ten years 127,271 130,853 112,847 112,116 Due after ten years 53,646 53,539 67,328 64,928 Varying maturities 18,497 19,132 19,542 19,789 Totals $ 217,848 $ 222,428 $ 215,108 $ 212,544
Investment securities with continuous unrealized loss position	The following tables present the Company’s unrealized loss aging for securities by type and length of time the security was in a continuous unrealized loss position as of March 31, 2018 and December 31, 2017. March 31, 2018 Less than 12 months 12 months or longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 15,379 $ 445 $ 12,018 $ 521 $ 27,397 $ 966 Obligations of states and political subdivisions 4,029 50 - - 4,029 50 Corporate securities 97,572 4,118 29,050 3,422 126,622 7,540 Total temporarily impaired securities $ 116,980 $ 4,613 $ 41,068 $ 3,943 $ 158,048 $ 8,556 December 31, 2017 Less than 12 months 12 months or longer Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities and obligations of U.S. Government agencies and authorities $ 12,175 $ 162 $ 12,737 $ 349 $ 24,912 $ 511 Obligations of states and political subdivisions 999 1 - - 999 1 Corporate securities 40,108 653 32,667 2,756 72,775 3,409 Total temporarily impaired securities $ 53,282 $ 816 $ 45,404 $ 3,105 $ 98,686 $ 3,921
Financial instruments carried at fair value measured on a recurring basis	As of March 31, 2018, financial instruments carried at fair value were measured on a recurring basis as summarized below: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) Total Assets: Fixed maturities $ - $ 216,509 $ 1,339 (1) $ 217,848 Equity securities 13,657 5,279 (1) - 18,936 Cash equivalents 6,807 - - 6,807 Total $ 20,464 $ 221,788 $ 1,339 $ 243,591 (1) All underlying securities are financial service industry related. As of December 31, 2017, financial instruments carried at fair value were measured on a recurring basis as summarized below: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) Total Assets: Fixed maturities $ - $ 213,739 $ 1,369 (1) $ 215,108 Equity securities 17,973 5,382 (1) - 23,355 Cash equivalents 13,855 - - 13,855 Total $ 31,828 $ 219,121 $ 1,369 $ 252,318 (1) All underlying securities are financial service industry related.
Roll-forward of financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3)	The following tables provide a roll-forward of the Company’s financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three month periods ended March 31, 2018 and 2017. Fixed Maturities Balance, December 31, 2017 $ 1,369 Total unrealized losses included in other comprehensive loss (30 ) Balance, March 31, 2018 $ 1,339 Fixed Maturities Balance, December 31, 2016 $ 1,264 Total unrealized gains included in other comprehensive income 38 Balance, March 31, 2017 $ 1,302
Summary of realized investment gains (losses)	The following table is a summary of realized investment gains (losses) for the three month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 2017 Gross gains $ 370 $ 931 Gross losses - (48 ) Realized investment gains, net $ 370 $ 883
Unrealized gains (losses) related to equity securities	The following table presents the portion of unrealized gains (losses) related to equity securities still held for the three month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 2017 Net losses recognized during the period on equity securities $ (4,419 ) $ - Less: Net gains (losses) recognized during the period on equity securities sold during the period - - Unrealized losses recognized during the reporting period on equity securities still held at the reporting date $ (4,419 ) $ -

Fair Values of Financial Inst22

Fair Values of Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2018
Fair Values of Financial Instruments [Abstract]
Carrying amount, estimated fair value and level within the fair value hierarchy of financial instruments	The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company’s financial instruments as of March 31, 2018 and December 31, 2017. March 31, 2018 December 31, 2017 Level in Fair Value Hierarchy (1) Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Assets: Cash and cash equivalents Level 1 $ 8,438 $ 8,438 $ 24,547 $ 24,547 Fixed maturities (1) 217,848 217,848 215,108 215,108 Equity securities (1) 18,936 18,936 23,355 23,355 Other invested assets Level 3 5,663 5,663 5,626 5,626 Policy loans Level 2 2,105 2,105 2,146 2,146 Real estate Level 2 38 38 38 38 Investment in unconsolidated trusts Level 2 1,238 1,238 1,238 1,238 Liabilities: Junior subordinated debentures, net Level 2 33,738 33,738 33,738 33,738 (1) See Note 3 for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

Liabilities for Unpaid Losses23

Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses (Tables)	3 Months Ended
	Mar. 31, 2018
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Abstract]
Reconciliation of total incurred losses to total insurance benefits and losses	Following is a reconciliation of total incurred losses to total insurance benefits and losses incurred: Three Months Ended March 31, 2018 2017 Total incurred losses $ 32,367 $ 28,740 Cash surrender value and matured endowments 378 483 Benefit reserve changes 427 774 Total insurance benefits and losses incurred $ 33,172 $ 29,997
Property and Casualty Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Abstract]
Roll-forward of liabilities for unpaid losses, claims and loss adjustment expenses	The roll-forward of liabilities for unpaid losses, claims and loss adjustment expenses, by major product, is as follows: Property and Casualty Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 47,997 $ 49,556 Less: Reinsurance recoverable on unpaid losses (7,220 ) (9,806 ) Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 40,777 39,750 Incurred related to: Current accident year 9,602 8,806 Prior accident year development (1) (425 ) (522 ) Total incurred 9,177 8,284 Paid related to: Current accident year 2,348 2,312 Prior accident years 5,976 5,836 Total paid 8,324 8,148 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 41,630 39,886 Plus: Reinsurance recoverable on unpaid losses 7,158 9,011 Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 48,788 $ 48,897 (1) In establishing property and casualty reserves, the Company initially reserves for losses at the higher end of the reasonable range if no other value within the range is determined to be more probable. Selection of such an initial loss estimate is an attempt by management to give recognition that initial claims information received generally is not conclusive with respect to legal liability, is generally not comprehensive with respect to magnitude of loss and generally, based on historical experience, will develop more adversely as time passes and more information becomes available. Accordingly, the Company generally experiences reserve redundancies when analyzing the development of prior year losses in a current period.
Medicare Supplement Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Abstract]
Roll-forward of liabilities for unpaid losses, claims and loss adjustment expenses	Medicare Supplement Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 15,859 $ 11,263 Less: Reinsurance recoverable on unpaid losses (4,748 ) (990 ) Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 11,111 10,273 Incurred related to: Current accident year 17,615 18,035 Prior accident year development 3,343 (2) 241 Total incurred 20,958 18,276 Paid related to: Current accident year 5,873 8,797 Prior accident years 13,252 8,354 Total paid 19,125 17,151 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 12,944 11,398 Plus: Reinsurance recoverable on unpaid losses 6,535 1,819 Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 19,479 $ 13,217 (2) The prior accident year development for Medicare supplement insurance products was primarily due to influenza, the usual driver of elevated morbidity in winter, which was significantly higher than in the previous year and ultimately had an unfavorable effect on the Company’s loss patterns.
Other Life and Health Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Abstract]
Roll-forward of liabilities for unpaid losses, claims and loss adjustment expenses	Other Life and Health Insurance Products Three Months Ended March 31, 2018 2017 Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 1,833 $ 1,743 Less: Reinsurance recoverable on unpaid losses - - Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net 1,833 1,743 Incurred related to: Current accident year 2,516 1,527 Prior accident year development (284 ) 653 Total incurred 2,232 2,180 Paid related to: Current accident year 998 1,056 Prior accident years 1,214 1,221 Total paid 2,212 2,277 Ending liabilities for unpaid losses, claims and loss adjustment expenses, net 1,853 1,646 Plus: Reinsurance recoverable on unpaid losses - - Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross $ 1,853 $ 1,646

Junior Subordinated Debentures

Junior Subordinated Debentures (Tables)	3 Months Ended
	Mar. 31, 2018
Junior Subordinated Debentures [Abstract]
Financial structure of statutory business trusts	The financial structure of each of Atlantic American Statutory Trust I and II as of March 31, 2018 was as follows: Atlantic American Statutory Trust I Atlantic American Statutory Trust II JUNIOR SUBORDINATED DEBENTURES (1) (2) Principal amount owed $ 18,042 $ 23,196 Balance March 31, 2018 $ 18,042 $ 23,196 Less: Treasury debt (3) - (7,500 ) Net balance March 31, 2018 $ 18,042 $ 15,696 Net balance December 31, 2017 $ 18,042 $ 15,696 Coupon rate LIBOR + 4.00% LIBOR + 4.10% Interest payable Quarterly Quarterly Maturity date December 4, 2032 May 15, 2033 Redeemable by issuer Yes Yes TRUST PREFERRED SECURITIES Issuance date December 4, 2002 May 15, 2003 Securities issued 17,500 22,500 Liquidation preference per security $ 1 $ 1 Liquidation value $ 17,500 $ 22,500 Coupon rate LIBOR + 4.00% LIBOR + 4.10% Distribution payable Quarterly Quarterly Distribution guaranteed by (4) Atlantic American Corporation Atlantic American Corporation (1) For each of the respective debentures, the Company has the right at any time, and from time to time, to defer payments of interest on the Junior Subordinated Debentures for a period not exceeding 20 consecutive quarters up to the debentures’ respective maturity dates. During any such period, interest will continue to accrue and the Company may not declare or pay any cash dividends or distributions on, or purchase, the Company’s common stock nor make any principal, interest or premium payments on or repurchase any debt securities that rank equally with or junior to the Junior Subordinated Debentures. The Company has the right at any time to dissolve each of the trusts and cause the Junior Subordinated Debentures to be distributed to the holders of the Trust Preferred Securities. (2) The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries. (3) On August 4, 2014, the Company acquired $7,500 of the Junior Subordinated Debentures. (4) The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

Loss Per Common Share (Tables)

Loss Per Common Share (Tables)	3 Months Ended
	Mar. 31, 2018
Loss Per Common Share [Abstract]
Reconciliation of numerator and denominator used in loss per common share calculations	A reconciliation of the numerator and denominator used in the loss per common share calculations is as follows: Three Months Ended March 31, 2018 Loss Shares (In thousands) Per Share Amount Basic and Diluted Loss Per Common Share: Net loss $ (5,024 ) 20,419 Less preferred stock dividends (99 ) - Net loss applicable to common shareholders $ (5,123 ) 20,419 $ (.25 ) Three Months Ended March 31, 2017 Loss Shares (In thousands) Per Share Amount Basic and Diluted Loss Per Common Share: Net loss $ (221 ) 20,432 Less preferred stock dividends (99 ) - Net loss applicable to common shareholders $ (320 ) 20,432 $ (.02 )

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Mar. 31, 2018
Income Taxes [Abstract]
Reconciliation of income tax benefit	A reconciliation of the differences between income taxes computed at the federal statutory income tax rate and income tax benefit is as follows: Three Months Ended March 31, 2018 2017 Federal income tax provision at statutory rate of 21% and 35% for 2018 and 2017, respectively $ (1,334 ) $ (121 ) Dividends-received deduction (10 ) (24 ) Other permanent differences 17 19 Income tax benefit $ (1,327 ) $ (126 )
Components of income tax benefit	The components of income tax benefit were: Three Months Ended March 31, 2018 2017 Current – Federal $ 36 $ - Deferred – Federal (1,363 ) (126 ) Total $ (1,327 ) $ (126 )

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2018
Segment Information [Abstract]
Revenue and income (loss) before income taxes for each business unit	The following sets forth the revenue and income (loss) before income taxes for each business unit for the three month periods ended March 31, 2018 and 2017. Revenues Three Months Ended March 31, 2018 2017 American Southern $ 13,533 $ 14,301 Bankers Fidelity 30,113 29,537 Corporate and Other (3,106 ) 21 Total revenue $ 40,540 $ 43,859 Income (Loss) Before Income Taxes Three Months Ended March 31, 2018 2017 American Southern $ 968 $ 2,150 Bankers Fidelity (2,535 ) (835 ) Corporate and Other (4,784 ) (1,662 ) Loss before income taxes $ (6,351 ) $ (347 )

Accumulated Other Comprehensi28

Accumulated Other Comprehensive Income (Loss) (Tables)	3 Months Ended
	Mar. 31, 2018
Accumulated Other Comprehensive Income (Loss) [Abstract]
Changes in balances of each component of accumulated other comprehensive income (loss), net of taxes	The following table sets forth the balance of the only component of accumulated other comprehensive income (loss) as of March 31, 2018 and December 31, 2017, and the changes in the balance of that component thereof during the three month period ended March 31, 2018, net of taxes. Unrealized Gains on Available-for- Sale Securities Balance, December 31, 2017 $ 9,751 Cumulative effect of adoption of updated accounting guidance for equity financial instruments at January 1, 2018 (9,825 ) Reclassification of certain tax effects from accumulated other comprehensive income at January 1, 2018 2,100 Total effect of adoption of updated accounting guidance at January 1, 2018 (7,725 ) Other comprehensive loss before reclassifications (5,352 ) Amounts reclassified from accumulated other comprehensive loss (292 ) Net current period other comprehensive loss (5,644 ) Balance, March 31, 2018 $ (3,618 )

Basis of Presentation (Details)

Basis of Presentation (Details)	3 Months Ended
	Mar. 31, 2018Segment
Basis of Presentation [Abstract]
Number of business units	2

Recently Issued Accounting St30

Recently Issued Accounting Standards (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Federal corporate tax rate	21.00%	35.00%
Reduction in tax rate	14.00%
Revenues within scope of updated accounting guidance	$ 40,540	$ 43,859
ASU 2018-02 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of standard tax effects on AOCI and retained earnings			$ 0
ASU 2018-02 [Member] | Retained Earnings [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of standard tax effects on AOCI and retained earnings			(2,100)
ASU 2018-02 [Member] | Accumulated Other Comprehensive Income [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of standard tax effects on AOCI and retained earnings			2,100
ASU 2016-01 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment that increased retained earnings and decreased AOCI			0
ASU 2016-01 [Member] | Retained Earnings [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment that increased retained earnings and decreased AOCI			9,825
ASU 2016-01 [Member] | Accumulated Other Comprehensive Income [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment that increased retained earnings and decreased AOCI			$ (9,825)
ASU 2014-09 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Revenues within scope of updated accounting guidance	$ 28
Revenues within scope of updated accounting guidance, as a percentage of total revenues (less than)	0.10%

Investments, Aggregated by Type

Investments, Aggregated by Type and Industry (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)SecuritiesIssuer	Dec. 31, 2017USD ($)Securities
Investments aggregated by type and industry [Abstract]
Carrying value	$ 217,848	$ 215,108
Gross unrealized gains	3,976	6,485
Gross unrealized losses	8,556	3,921
Cost or amortized cost	222,428	212,544
Carrying value	18,936	23,355
Gross unrealized gains	8,018	12,437
Gross unrealized losses	0	0
Cost or amortized cost	10,918	10,918
Other invested assets	5,663	5,626
Other invested assets, cost or amortized cost	5,663	5,626
Policy loans	2,105	2,146
Policy loans, cost or amortized cost	2,105	2,146
Real estate	38	38
Real estate, cost or amortized cost	38	38
Investment in unconsolidated trusts	1,238	1,238
Investment in unconsolidated trusts, cost or amortized cost	1,238	1,238
Total investments	245,828	247,511
Total investments, gross unrealized gains	11,994	18,922
Total investments, gross unrealized losses	8,556	3,921
Total investments, cost or amortized cost	242,390	232,510
Amortized cost of bonds on deposit with insurance regulatory authorities	$ 11,209	$ 11,178
Number of securities in unrealized loss position | Securities	121	69
Oil and Gas Properties [Member]
Investments aggregated by type and industry [Abstract]
Gross unrealized losses	$ 987
Fixed maturity investments, number of issuers | Issuer	5
Fixed Maturities - U.S. Treasury Securities and Obligations of U.S. Government Agencies and Authorities [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	$ 29,978	$ 31,155
Gross unrealized gains	87	149
Gross unrealized losses	966	511
Cost or amortized cost	30,857	31,517
Fixed Maturities - Obligations of States and Political Subdivisions [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	10,666	10,809
Gross unrealized gains	476	630
Gross unrealized losses	50	1
Cost or amortized cost	10,240	10,180
Fixed Maturities - Corporate Securities [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	177,012	172,952
Gross unrealized gains	3,413	5,706
Gross unrealized losses	7,540	3,409
Cost or amortized cost	181,139	170,655
Fixed Maturities - Utilities and Telecom [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	18,592	21,882
Gross unrealized gains	1,262	1,709
Gross unrealized losses	487	130
Cost or amortized cost	17,817	20,303
Fixed Maturities - Financial Services [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	54,061	53,686
Gross unrealized gains	1,394	2,049
Gross unrealized losses	1,412	453
Cost or amortized cost	54,079	52,090
Fixed Maturities - Other Business - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	49,639	44,184
Gross unrealized gains	491	1,024
Gross unrealized losses	2,366	1,349
Cost or amortized cost	51,514	44,509
Fixed Maturities - Other Consumer - Diversified [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	54,720	53,200
Gross unrealized gains	266	924
Gross unrealized losses	3,275	1,477
Cost or amortized cost	57,729	53,753
Fixed Maturities - Redeemable Preferred Stocks [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	192	192
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Cost or amortized cost	192	192
Fixed Maturities - Other Consumer Diversified [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	192	192
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Cost or amortized cost	192	192
Equity Securities - Utilities and Telecom [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	1,434	1,588
Gross unrealized gains	470	624
Gross unrealized losses	0	0
Cost or amortized cost	964	964
Equity Securities - Financial Services [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	5,500	5,634
Gross unrealized gains	716	851
Gross unrealized losses	0	0
Cost or amortized cost	4,784	4,783
Equity Securities - Other Business Diversified [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	299	297
Gross unrealized gains	252	250
Gross unrealized losses	0	0
Cost or amortized cost	47	47
Equity Securities - Other Consumer Diversified [Member]
Investments aggregated by type and industry [Abstract]
Carrying value	11,703	15,836
Gross unrealized gains	6,580	10,712
Gross unrealized losses	0	0
Cost or amortized cost	$ 5,123	$ 5,124

Investments, Fixed Maturities b

Investments, Fixed Maturities by Contractual Maturities (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Carrying Value [Abstract]
Due in one year or less	$ 1,498	$ 1,653
Due after one year through five years	16,936	13,738
Due after five years through ten years	127,271	112,847
Due after ten years	53,646	67,328
Varying maturities	18,497	19,542
Totals	217,848	215,108
Amortized Cost [Abstract]
Due in one year or less	1,502	1,655
Due after one year through five years	17,402	14,056
Due after five years through ten years	130,853	112,116
Due after ten years	53,539	64,928
Varying maturities	19,132	19,789
Cost or amortized cost	$ 222,428	$ 212,544

Investments, Securities with Co

Investments, Securities with Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	$ 116,980	$ 53,282
12 months or longer	41,068	45,404
Total	158,048	98,686
Available-for-sale Securities, Continuous Unrealized Loss Position, Unrealized Losses [Abstract]
Less than 12 months	4,613	816
12 months or longer	3,943	3,105
Total	8,556	3,921
U.S. Treasury Securities and Obligations of U.S. Government Agencies and Authorities [Member]
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	15,379	12,175
12 months or longer	12,018	12,737
Total	27,397	24,912
Available-for-sale Securities, Continuous Unrealized Loss Position, Unrealized Losses [Abstract]
Less than 12 months	445	162
12 months or longer	521	349
Total	966	511
Obligations of States and Political Subdivisions [Member]
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	4,029	999
12 months or longer	0	0
Total	4,029	999
Available-for-sale Securities, Continuous Unrealized Loss Position, Unrealized Losses [Abstract]
Less than 12 months	50	1
12 months or longer	0	0
Total	50	1
Corporate Securities [Member]
Available-for-sale securities, continuous unrealized loss position, Fair Value [Abstract]
Less than 12 months	97,572	40,108
12 months or longer	29,050	32,667
Total	126,622	72,775
Available-for-sale Securities, Continuous Unrealized Loss Position, Unrealized Losses [Abstract]
Less than 12 months	4,118	653
12 months or longer	3,422	2,756
Total	$ 7,540	$ 3,409

Investments, Fair Value Measure

Investments, Fair Value Measured on a Recurring Basis (Details) - Recurring [Member] - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		$ 243,591	$ 252,318
Fixed Maturities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		217,848	215,108
Equity Securities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		18,936	23,355
Cash Equivalents [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		6,807	13,855
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		20,464	31,828
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fixed Maturities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity Securities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		13,657	17,973
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Cash Equivalents [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		6,807	13,855
Significant Other Observable Inputs (Level 2) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		221,788	219,121
Significant Other Observable Inputs (Level 2) [Member] | Fixed Maturities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		216,509	213,739
Significant Other Observable Inputs (Level 2) [Member] | Equity Securities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value	[1]	5,279	5,382
Significant Other Observable Inputs (Level 2) [Member] | Cash Equivalents [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		0	0
Significant Unobservable Inputs (Level 3) [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		1,339	1,369
Significant Unobservable Inputs (Level 3) [Member] | Fixed Maturities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value	[1]	1,339	1,369
Significant Unobservable Inputs (Level 3) [Member] | Equity Securities [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		0	0
Significant Unobservable Inputs (Level 3) [Member] | Cash Equivalents [Member]
Financial instruments carried at fair value measured on a recurring basis [Abstract]
Assets at fair value		$ 0	$ 0
[1]	All underlying securities are financial service industry related.

Investments, Roll-forward of Fi

Investments, Roll-forward of Financial Instruments Measured at Fair Value (Details) - Fixed Maturities [Member] - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Assets measured at fair value on a recurring basis [Abstract]
Balance, beginning of period	$ 1,369	$ 1,264
Total unrealized losses included in other comprehensive loss	(30)	38
Balance, end of period	$ 1,339	$ 1,302

Investments, Summary of Realize

Investments, Summary of Realized Investment Gains (Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Summary of realized investment gains (losses) [Abstract]
Gross gains	$ 370	$ 931
Gross losses	0	(48)
Realized investment gains, net	$ 370	$ 883

Investments, Unrealized Gains (

Investments, Unrealized Gains (Losses) Related to Equity Securities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Investments [Abstract]
Net losses recognized during the period on equity securities	$ (4,419)	$ 0
Less: Net gains (losses) recognized during the period on equity securities sold during the period	0	0
Unrealized losses recognized during the reporting period on equity securities still held at the reporting date	$ (4,419)	$ 0

Fair Values of Financial Inst38

Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Carrying Amount [Member]
Assets [Abstract]
Fixed maturities	[1]	$ 217,848	$ 215,108
Equity securities	[1]	18,936	23,355
Carrying Amount [Member] | Level 1 [Member]
Assets [Abstract]
Cash and cash equivalents		8,438	24,547
Carrying Amount [Member] | Level 2 [Member]
Assets [Abstract]
Policy loans		2,105	2,146
Real estate		38	38
Investment in unconsolidated trusts		1,238	1,238
Liabilities [Abstract]
Junior subordinated debentures, net		33,738	33,738
Carrying Amount [Member] | Level 3 [Member]
Assets [Abstract]
Other invested assets		5,663	5,626
Estimated Fair Value [Member]
Assets [Abstract]
Fixed maturities	[1]	217,848	215,108
Equity securities	[1]	18,936	23,355
Estimated Fair Value [Member] | Level 1 [Member]
Assets [Abstract]
Cash and cash equivalents		8,438	24,547
Estimated Fair Value [Member] | Level 2 [Member]
Assets [Abstract]
Policy loans		2,105	2,146
Real estate		38	38
Investment in unconsolidated trusts		1,238	1,238
Liabilities [Abstract]
Junior subordinated debentures, net		33,738	33,738
Estimated Fair Value [Member] | Level 3 [Member]
Assets [Abstract]
Other invested assets		$ 5,663	$ 5,626
[1]	See Note 3 for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

Liabilities for Unpaid Losses39

Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018		Mar. 31, 2017
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Roll Forward]
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross		$ 65,689
Paid related to [Abstract]
Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross		70,120
Reconciliation of total incurred claims to total insurance benefits and losses incurred [Abstract]
Total incurred losses		32,367		$ 28,740
Cash surrender value and matured endowments		378		483
Benefit reserve changes		427		774
Insurance benefits and losses incurred		33,172		29,997
Property and Casualty Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Roll Forward]
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross		47,997		49,556
Less: Reinsurance recoverable on unpaid losses		(7,220)		(9,806)
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net		40,777		39,750
Incurred related to [Abstract]
Current accident year		9,602		8,806
Prior accident year development	[1]	(425)		(522)
Total incurred		9,177		8,284
Paid related to [Abstract]
Current accident year		2,348		2,312
Prior accident years		5,976		5,836
Total paid		8,324		8,148
Ending liabilities for unpaid losses, claims and loss adjustment expenses, net		41,630		39,886
Plus: Reinsurance recoverable on unpaid losses		7,158		9,011
Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross		48,788		48,897
Medicare Supplement Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Roll Forward]
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross		15,859		11,263
Less: Reinsurance recoverable on unpaid losses		(4,748)		(990)
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net		11,111		10,273
Incurred related to [Abstract]
Current accident year		17,615		18,035
Prior accident year development		3,343	[2]	241
Total incurred		20,958		18,276
Paid related to [Abstract]
Current accident year		5,873		8,797
Prior accident years		13,252		8,354
Total paid		19,125		17,151
Ending liabilities for unpaid losses, claims and loss adjustment expenses, net		12,944		11,398
Plus: Reinsurance recoverable on unpaid losses		6,535		1,819
Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross		19,479		13,217
Other Life and Health Insurance Products [Member]
Liabilities for Unpaid Losses, Claims and Loss Adjustment Expenses [Roll Forward]
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, gross		1,833		1,743
Less: Reinsurance recoverable on unpaid losses		0		0
Beginning liabilities for unpaid losses, claims and loss adjustment expenses, net		1,833		1,743
Incurred related to [Abstract]
Current accident year		2,516		1,527
Prior accident year development		(284)		653
Total incurred		2,232		2,180
Paid related to [Abstract]
Current accident year		998		1,056
Prior accident years		1,214		1,221
Total paid		2,212		2,277
Ending liabilities for unpaid losses, claims and loss adjustment expenses, net		1,853		1,646
Plus: Reinsurance recoverable on unpaid losses		0		0
Ending liabilities for unpaid losses, claims and loss adjustment expenses, gross		$ 1,853		$ 1,646
[1]	In establishing property and casualty reserves, the Company initially reserves for losses at the higher end of the reasonable range if no other value within the range is determined to be more probable. Selection of such an initial loss estimate is an attempt by management to give recognition that initial claims information received generally is not conclusive with respect to legal liability, is generally not comprehensive with respect to magnitude of loss and generally, based on historical experience, will develop more adversely as time passes and more information becomes available. However, as a result, the Company generally experiences reserve redundancies when analyzing the development of prior year losses in a current period.
[2]	The prior accident year development for Medicare supplement insurance products was primarily due to influenza, the usual driver of elevated morbidity in winter, which was significantly higher than in the previous year and ultimately had an unfavorable effect on the Company's loss patterns.

Junior Subordinated Debenture40

Junior Subordinated Debentures (Details) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)TrustQuarter$ / sharesshares
Debt Instrument [Line Items]
Number of Connecticut statutory business trusts | Trust	2
Financial structure of statutory business trusts [Abstract]
Net balance March 31, 2018	$ 33,738
Net balance December 31, 2017	$ 33,738
Junior Subordinated Debentures [Member]
Financial structure of statutory business trusts [Abstract]
Number of consecutive quarters for which interest payments can be deferred | Quarter	20
Atlantic American Statutory Trust I [Member] | Junior Subordinated Debentures [Member]
Financial structure of statutory business trusts [Abstract]
Principal amount owed	$ 18,042	[1],[2]
Balance March 31, 2018	18,042	[1],[2]
Less: Treasury debt	0	[1],[2],[3]
Net balance March 31, 2018	18,042	[1],[2]
Net balance December 31, 2017	$ 18,042	[1],[2]
Coupon rate	LIBOR + 4.00%	[1],[2]
Interest payable	Quarterly	[1],[2]
Maturity date	Dec. 4, 2032	[1],[2]
Redeemable by issuer	Yes	[1],[2]
Atlantic American Statutory Trust I [Member] | Junior Subordinated Debentures [Member] | LIBOR [Member]
Financial structure of statutory business trusts [Abstract]
Basis spread on variable rate	4.00%
Atlantic American Statutory Trust I [Member] | Trust Preferred Securities [Member]
Financial structure of statutory business trusts [Abstract]
Coupon rate	LIBOR + 4.00%
Issuance date	Dec. 4, 2002
Securities issued (in shares) | shares	17,500
Liquidation preference per security (in dollars per share) | $ / shares	$ 1
Liquidation value	$ 17,500
Distribution payable	Quarterly
Distribution guaranteed by	Atlantic American Corporation	[4]
Atlantic American Statutory Trust I [Member] | Trust Preferred Securities [Member] | LIBOR [Member]
Financial structure of statutory business trusts [Abstract]
Basis spread on variable rate	4.00%
Atlantic American Statutory Trust II [Member] | Junior Subordinated Debentures [Member]
Financial structure of statutory business trusts [Abstract]
Principal amount owed	$ 23,196	[1],[2]
Balance March 31, 2018	23,196	[1],[2]
Less: Treasury debt	(7,500)	[1],[2],[3]
Net balance March 31, 2018	15,696	[1],[2]
Net balance December 31, 2017	$ 15,696	[1],[2]
Coupon rate	LIBOR + 4.10%	[1],[2]
Interest payable	Quarterly	[1],[2]
Maturity date	May 15, 2033	[1],[2]
Redeemable by issuer	Yes	[1],[2]
Atlantic American Statutory Trust II [Member] | Junior Subordinated Debentures [Member] | LIBOR [Member]
Financial structure of statutory business trusts [Abstract]
Basis spread on variable rate	4.10%
Atlantic American Statutory Trust II [Member] | Trust Preferred Securities [Member]
Financial structure of statutory business trusts [Abstract]
Coupon rate	LIBOR + 4.10%
Issuance date	May 15, 2003
Securities issued (in shares) | shares	22,500
Liquidation preference per security (in dollars per share) | $ / shares	$ 1
Liquidation value	$ 22,500
Distribution payable	Quarterly
Distribution guaranteed by	Atlantic American Corporation	[4]
Atlantic American Statutory Trust II [Member] | Trust Preferred Securities [Member] | LIBOR [Member]
Financial structure of statutory business trusts [Abstract]
Basis spread on variable rate	4.10%
[1]	For each of the respective debentures, the Company has the right at any time, and from time to time, to defer payments of interest on the Junior Subordinated Debentures for a period not exceeding 20 consecutive quarters up to the debentures' respective maturity dates. During any such period, interest will continue to accrue and the Company may not declare or pay any cash dividends or distributions on, or purchase, the Company's common stock nor make any principal, interest or premium payments on or repurchase any debt securities that rank equally with or junior to the Junior Subordinated Debentures. The Company has the right at any time to dissolve each of the trusts and cause the Junior Subordinated Debentures to be distributed to the holders of the Trust Preferred Securities.
[2]	The Junior Subordinated Debentures are unsecured and rank junior and subordinate in right of payment to all senior debt of the Parent and are effectively subordinated to all existing and future liabilities of its subsidiaries.
[3]	On August 4, 2014, the Company acquired $7,500 of the Junior Subordinated Debentures.
[4]	The Parent has guaranteed, on a subordinated basis, all of the obligations under the Trust Preferred Securities, including payment of the redemption price and any accumulated and unpaid distributions to the extent of available funds and upon dissolution, winding up or liquidation.

Loss Per Common Share (Details)

Loss Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Loss [Abstract]
Net loss	$ (5,024)	$ (221)
Less: preferred stock dividends	(99)	(99)
Net loss applicable to common shareholders	$ (5,123)	$ (320)
Shares [Abstract]
Weighted average shares outstanding (in shares)	20,419	20,432
Per Share Amount [Abstract]
Net loss applicable to common shareholders (in dollars per share)	$ (0.25)	$ (0.02)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Reconciliation of income tax benefit [Abstract]
Federal income tax provision at statutory rate of 21% and 35% for 2018 and 2017, respectively	$ (1,334)	$ (121)
Dividends-received deduction	(10)	(24)
Other permanent differences	17	19
Income tax benefit	$ (1,327)	$ (126)
Federal statutory income tax rate	21.00%	35.00%
Components of income tax benefit [Abstract]
Current - Federal	$ 36	$ 0
Deferred - Federal	(1,363)	(126)
Income tax benefit	$ (1,327)	$ (126)

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)Segment	Mar. 31, 2017USD ($)
Segment Information [Abstract]
Number of business units | Segment	2
Revenue and income (loss) before income taxes for each business unit [Abstract]
Total revenue	$ 40,540	$ 43,859
Loss before income taxes	(6,351)	(347)
Operating Segments [Member] | American Southern [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Total revenue	13,533	14,301
Loss before income taxes	968	2,150
Operating Segments [Member] | Bankers Fidelity [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Total revenue	30,113	29,537
Loss before income taxes	(2,535)	(835)
Corporate and Other [Member]
Revenue and income (loss) before income taxes for each business unit [Abstract]
Total revenue	(3,106)	21
Loss before income taxes	$ (4,784)	$ (1,662)

Accumulated Other Comprehensi44

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Beginning Balance	$ 112,983	$ 105,506
Net current period other comprehensive loss	(5,644)	2,184
Ending Balance	101,724	106,981
ASU 2016-01 [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Cumulative effect of adoption of updated accounting guidance for equity financial instruments at January 1, 2018	0
ASU 2018-02 [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Reclassification of certain tax effects from accumulated other comprehensive income at January 1, 2018	0
AOCI Attributable to Parent [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Beginning Balance	9,751	5,830
Total effect of adoption of updated guidance at January 1, 2018	(7,725)
Net current period other comprehensive loss	(5,644)	2,184
Ending Balance	(3,618)	$ 8,014
AOCI Attributable to Parent [Member] | ASU 2016-01 [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Cumulative effect of adoption of updated accounting guidance for equity financial instruments at January 1, 2018	(9,825)
AOCI Attributable to Parent [Member] | ASU 2018-02 [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Reclassification of certain tax effects from accumulated other comprehensive income at January 1, 2018	2,100
Unrealized Gains on Available-for-Sale Securities [Member]
Changes in balances of each component of accumulated other comprehensive income, net of taxes [Roll Forward]
Other comprehensive loss before reclassifications	(5,352)
Amounts reclassified from accumulated other comprehensive loss	(292)
Net current period other comprehensive loss	$ (5,644)

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Members of Management [Member]
Related Party Transaction [Line Items]
Premiums paid by Gray for group accident plan	$ 105	$ 145