Document and Entity Information
Document and Entity Information Document - USD ($) | 12 Months Ended | |||
Dec. 31, 2020 | Feb. 24, 2021 | Jun. 30, 2020 | Dec. 31, 2019 | |
Document Information [Line Items] | ||||
Document Type | 10-K | |||
Document Quarterly Report | true | |||
Document Period End Date | Dec. 31, 2020 | |||
Document Transition Report | false | |||
Entity File Number | 1-11356 | |||
Entity Registrant Name | RADIAN GROUP INC | |||
Entity Tax Identification Number | 23-2691170 | |||
Entity Address, Address Line One | 1500 Market Street | |||
Entity Address, City or Town | Philadelphia | |||
Entity Address, State or Province | PA | |||
Entity Address, Postal Zip Code | 19102 | |||
City Area Code | 215 | |||
Local Phone Number | 231-1000 | |||
Title of 12(b) Security | Common Stock, $.001 par value per share | |||
Trading Symbol | RDN | |||
Security Exchange Name | NYSE | |||
Entity Current Reporting Status | Yes | |||
Entity Interactive Data Current | Yes | |||
Entity Filer Category | Large Accelerated Filer | |||
Entity Small Business | false | |||
Entity Emerging Growth Company | false | |||
ICFR Auditor Attestation Flag | true | |||
Entity Shell Company | false | |||
Entity Public Float | $ 2,958,053,939 | |||
Entity Common Stock, Shares Outstanding | 191,688,864 | |||
Entity Central Index Key | 0000890926 | |||
Current Fiscal Year End Date | --12-31 | |||
Document Fiscal Year Focus | 2020 | |||
Document Fiscal Period Focus | FY | |||
Amendment Flag | false | |||
Entity Well-known Seasoned Issuer | Yes | |||
Entity Voluntary Filers | No | |||
Entity Incorporation, State or Country Code | DE | |||
Parent Company | ||||
Document Information [Line Items] | ||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Consolidated Balance Sheets Sta
Consolidated Balance Sheets Statement - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Fixed-maturities available for sale—at fair value, net of allowance for credit losses of $948 as of December 31, 2020 (amortized cost of $5,393,623 and $4,549,534) | $ 5,723,340 | $ 4,688,911 |
Trading securities—at fair value (amortized cost of $260,773 and $297,505) | 290,885 | 317,150 |
Equity securities—at fair value (cost of $145,501 and $125,311) | 151,240 | 130,221 |
Short-term investments—at fair value (includes $15,587 and $25,561 of reinvested cash collateral held under securities lending agreements) | 618,004 | 518,393 |
Other invested assets—at fair value | 4,973 | 4,072 |
Total investments | 6,788,442 | 5,658,747 |
Cash | 87,915 | 92,729 |
Restricted cash | 6,231 | 3,545 |
Accrued investment income | 34,047 | 32,333 |
Accounts and notes receivable | 121,294 | 93,630 |
Reinsurance recoverables | 73,202 | 16,976 |
Deferred policy acquisition costs | 18,305 | 20,759 |
Property and equipment | 80,457 | 87,879 |
Prepaid reinsurance premium | 267,638 | 363,856 |
Goodwill and other acquired intangible assets, net (Note 7) | 23,043 | 28,187 |
Other assets (Note 9) | 447,447 | 409,672 |
Total assets | 7,948,021 | 6,808,313 |
Liabilities and Stockholders’ Equity | ||
Unearned premiums | 448,791 | 626,822 |
Reserve for losses and LAE (Note 11) | 848,413 | 404,765 |
Senior notes (Note 12) | 1,405,674 | 887,110 |
FHLB advances (Note 12) | 176,483 | 134,875 |
Reinsurance funds withheld | 278,555 | 291,829 |
Net deferred tax liability (Note 10) | 213,897 | 71,084 |
Other liabilities | 291,855 | 343,105 |
Total liabilities | 3,663,668 | 2,759,590 |
Commitments and Contingencies (Note 13) | ||
Stockholders’ equity | ||
Common stock: par value $0.001 per share; 485,000 shares authorized at December 31, 2020 and 2019; 210,130 and 219,123 shares issued at December 31, 2020 and 2019, respectively; 191,606 and 201,164 shares outstanding at December 31, 2020 and 2019, respectively | 210 | 219 |
Treasury stock, at cost: 18,524 and 17,959 shares at December 31, 2020 and 2019, respectively | (910,115) | (901,657) |
Additional paid-in capital | 2,245,897 | 2,449,884 |
Retained earnings | 2,684,636 | 2,389,789 |
Accumulated other comprehensive income (loss) (Note 15) | 263,725 | 110,488 |
Total stockholders’ equity | 4,284,353 | 4,048,723 |
Total liabilities and stockholders’ equity | 7,948,021 | 6,808,313 |
Reinvested Cash Collateral Held Under Securities Lending Agreements | 15,587 | 25,561 |
Fixed-maturities available for sale—amortized cost | 5,393,623 | $ 4,549,534 |
Allowance for Credit Losses | $ (948) |
Balance Sheet Parenthetical (Pa
Balance Sheet Parenthetical (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fixed-maturities, Available-for-sale, Amortized Cost | $ 5,393,623 | $ 4,549,534 |
Trading Securities, Amortized Cost | 260,773 | 297,505 |
Equity Securities, Amortized Cost | 145,501 | 125,311 |
Reinvested Cash Collateral Held Under Securities Lending Agreements | $ 15,587 | $ 25,561 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues: | |||
Net premiums earned (Note 8) | $ 1,115,321 | $ 1,145,349 | $ 1,014,007 |
Services revenue (Note 4) | 105,385 | 154,596 | 144,972 |
Net investment income (Note 6) | 154,037 | 171,796 | 152,475 |
Net gains (losses) on investments and other financial instruments | 60,277 | 51,719 | (42,476) |
Other income | 3,597 | 3,495 | 4,028 |
Total revenues | 1,438,617 | 1,526,955 | 1,273,006 |
Expenses: | |||
Provision for losses | 485,117 | 132,031 | 104,641 |
Policy acquisition costs | 30,989 | 25,314 | 25,265 |
Cost of services | 86,066 | 108,324 | 98,124 |
Other operating expenses | 280,710 | 306,129 | 280,818 |
Restructuring and other exit costs | 0 | 0 | 6,053 |
Interest expense | 71,150 | 56,310 | 61,490 |
Loss on extinguishment of debt (Note 12) | 0 | 22,738 | 0 |
Impairment of goodwill (Note 7) | 0 | 4,828 | 0 |
Amortization and impairment of other acquired intangible assets | 5,144 | 22,288 | 12,429 |
Total expenses | 959,176 | 677,962 | 588,820 |
Pretax income | 479,441 | 848,993 | 684,186 |
Income tax provision (Note 10) | 85,815 | 176,684 | 78,175 |
Net income | $ 393,626 | $ 672,309 | $ 606,011 |
Earnings Per Share, Basic: | |||
Net income (loss), per basic share | $ 2.01 | $ 3.22 | $ 2.83 |
Earnings Per Share, Diluted: | |||
Net income (loss) per diluted share | $ 2 | $ 3.20 | $ 2.77 |
Weighted-average number of common shares outstanding—basic | 195,443 | 208,773 | 214,267 |
Weighted-average number of common and common equivalent shares outstanding—diluted | 196,642 | 210,340 | 218,553 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net income | $ 148,013 | $ 135,103 | $ (29,951) | $ 140,461 | $ 161,184 | $ 173,438 | $ 166,730 | $ 170,957 | $ 393,626 | $ 672,309 | $ 606,011 |
Unrealized gains (losses) on investments: | |||||||||||
Unrealized holding gains (losses) arising during the period for which an allowance for expected losses has not been recognized | 178,761 | 180,441 | (97,356) | ||||||||
Net realized gains (losses) on disposals and non-credit related impairment losses | 26,440 | 8,897 | (10,270) | ||||||||
Net decrease (increase) in expected credit losses | (991) | 0 | 0 | ||||||||
Net unrealized gains (losses) on investments, net of tax | 153,312 | 171,544 | (87,086) | ||||||||
Other adjustments to comprehensive income, net | (75) | (136) | 133 | ||||||||
Other comprehensive income (loss), net of tax | 153,237 | 171,408 | (86,953) | ||||||||
Comprehensive income | $ 546,863 | $ 843,717 | $ 519,058 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Common Stockholders' Equity - USD ($) | Total | Parent [Member] | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings/(Deficit) | Accumulated Other Comprehensive Income (Loss) |
Balance, at Dec. 31, 2017 | $ 233,000 | $ (893,888,000) | $ 2,754,275,000 | $ 1,116,333,000 | $ 23,085,000 | ||
Issuance of common stock under incentive and benefit plans | 1,000 | 2,859,000 | |||||
Share-based compensation | 17,649,000 | ||||||
Shares repurchased under share repurchase program (Note 14) | (3,000) | (50,050,000) | |||||
Repurchases of common stock under incentive plans | (982,000) | ||||||
Cumulative effect of adopting accounting standards updates | (663,000) | 2,948,000 | |||||
Net income | $ 606,011,000 | 606,011,000 | |||||
Dividends and dividend equivalents declared | (2,140,000) | ||||||
Net unrealized gains (losses) on investments, net of tax | (87,086,000) | (87,086,000) | |||||
Other adjustments to comprehensive income, net | 133,000 | 133,000 | |||||
Balance, at Dec. 31, 2018 | $ 3,488,715,000 | 231,000 | (894,870,000) | 2,724,733,000 | 1,719,541,000 | (60,920,000) | |
Issuance of common stock under incentive and benefit plans | 1,000 | 3,925,000 | |||||
Share-based compensation | 21,414,000 | ||||||
Shares repurchased under share repurchase program (Note 14) | (13,000) | (300,188,000) | |||||
Repurchases of common stock under incentive plans | (6,787,000) | ||||||
Net income | 672,309,000 | 672,309,000 | |||||
Dividends and dividend equivalents declared | (2,061,000) | ||||||
Net unrealized gains (losses) on investments, net of tax | 171,544,000 | 171,544,000 | |||||
Other adjustments to comprehensive income, net | (136,000) | (136,000) | |||||
Balance, at Dec. 31, 2019 | 4,048,723,000 | 4,048,723,000 | 219,000 | (901,657,000) | 2,449,884,000 | 2,389,789,000 | 110,488,000 |
Issuance of common stock under incentive and benefit plans | 2,000 | 3,143,000 | |||||
Share-based compensation | 19,164,000 | ||||||
Shares repurchased under share repurchase program (Note 14) | (11,000) | (226,294,000) | |||||
Repurchases of common stock under incentive plans | (8,458,000) | ||||||
Net income | 393,626,000 | 393,626,000 | |||||
Dividends and dividend equivalents declared | (98,779,000) | ||||||
Net unrealized gains (losses) on investments, net of tax | 153,312,000 | 153,312,000 | |||||
Other adjustments to comprehensive income, net | (75,000) | (75,000) | |||||
Balance, at Dec. 31, 2020 | $ 4,284,353,000 | $ 4,284,353,000 | $ 210,000 | $ (910,115,000) | $ 2,245,897,000 | $ 2,684,636,000 | $ 263,725,000 |
Note 15 - Accumulated Other Com
Note 15 - Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2020 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | Accumulated Other Comprehensive Income (Loss) The following tables show the rollforward of accumulated other comprehensive income (loss) as of the periods indicated. Year Ended December 31, 2020 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ 139,858 $ 29,370 $ 110,488 Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period for which an allowance for expected credit losses has not been recognized 226,280 47,519 178,761 Less: Reclassification adjustment for net gains (losses) included in net income (loss): (1) Net realized gains (losses) on disposals and non-credit related impairment losses 33,468 7,028 26,440 Net decrease (increase) in expected credit losses (1,254) (263) (991) Net unrealized gains (losses) on investments 194,066 40,754 153,312 Other adjustments to comprehensive income, net (95) (20) (75) Other comprehensive income (loss) 193,971 40,734 153,237 Balance at end of period $ 333,829 $ 70,104 $ 263,725 Year Ended December 31, 2019 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ (77,114) $ (16,194) $ (60,920) Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period 228,406 47,965 180,441 Less: Reclassification adjustment for net gains (losses) included in net income (1) 11,262 2,365 8,897 Net unrealized gains (losses) on investments 217,144 45,600 171,544 Other adjustments to comprehensive income, net (172) (36) (136) Other comprehensive income (loss) 216,972 45,564 171,408 Balance at end of period $ 139,858 $ 29,370 $ 110,488 Year Ended December 31, 2018 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ 32,669 $ 9,584 $ 23,085 Cumulative effect of adopting accounting standard updates 284 (2,664) 2,948 Balance adjusted for cumulative effect of adopting accounting standard updates 32,953 6,920 26,033 Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period (123,235) (25,879) (97,356) Less: Reclassification adjustment for net gains (losses) included in net income (1) (13,000) (2,730) (10,270) Net unrealized gains (losses) on investments (110,235) (23,149) (87,086) Other adjustments to comprehensive income, net 168 35 133 Other comprehensive income (loss) (110,067) (23,114) (86,953) Balance at end of period $ (77,114) $ (16,194) $ (60,920) (1) Included in net gains (losses) on investments and other financial instruments in our consolidated statements of operations. |
Note 18 - Quarterly Financial D
Note 18 - Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | Quarterly Financial Data (Unaudited) 2020 Quarters (In thousands, except per-share amounts) First Second Third Fourth Year Net premiums earned $ 277,415 $ 249,295 $ 286,471 $ 302,140 $ 1,115,321 Services revenue 31,927 28,075 33,943 11,440 105,385 Net investment income 40,944 38,723 36,255 38,115 154,037 Net gains (losses) on investments and other financial instruments (22,027) 47,276 17,652 17,376 60,277 Provision for losses 35,951 304,418 88,084 56,664 485,117 Policy acquisition costs 7,413 6,015 10,166 7,395 30,989 Cost of services 22,141 17,972 24,353 21,600 86,066 Other operating expenses 69,110 60,582 69,377 81,641 280,710 Amortization and impairment of other acquired intangible assets 979 979 961 2,225 5,144 Net income (loss) 140,461 (29,951) 135,103 148,013 393,626 Diluted net income (loss) per share (1) $ 0.70 $ (0.15) $ 0.70 $ 0.76 $ 2.00 Weighted-average shares outstanding—diluted 201,819 193,299 194,156 194,663 196,642 2019 Quarters First Second Third Fourth Year Net premiums earned $ 263,512 $ 299,166 $ 281,185 $ 301,486 $ 1,145,349 Services revenue 32,753 39,303 42,509 40,031 154,596 Net investment income 43,847 43,761 42,756 41,432 171,796 Net gains (losses) on investments and other financial instruments 21,913 12,540 13,009 4,257 51,719 Provision for losses 20,754 47,427 29,231 34,619 132,031 Policy acquisition costs 5,893 6,203 6,435 6,783 25,314 Cost of services 24,157 27,845 29,044 27,278 108,324 Other operating expenses 78,805 70,046 76,384 80,894 306,129 Loss on extinguishment of debt — 16,798 5,940 — 22,738 Impairment of goodwill — — — 4,828 4,828 Amortization and impairment of other acquired intangible assets 2,187 2,139 2,139 15,823 22,288 Net income 170,957 166,730 173,438 161,184 672,309 Diluted net income per share (1) $ 0.78 $ 0.78 $ 0.83 $ 0.79 $ 3.20 Weighted-average shares outstanding—diluted 218,343 213,603 208,691 205,165 210,340 |
Note 15 - Accumulated Other C_2
Note 15 - Accumulated Other Comprehensive Income (Loss) - Level 3 | 12 Months Ended |
Dec. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following tables show the rollforward of accumulated other comprehensive income (loss) as of the periods indicated. Year Ended December 31, 2020 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ 139,858 $ 29,370 $ 110,488 Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period for which an allowance for expected credit losses has not been recognized 226,280 47,519 178,761 Less: Reclassification adjustment for net gains (losses) included in net income (loss): (1) Net realized gains (losses) on disposals and non-credit related impairment losses 33,468 7,028 26,440 Net decrease (increase) in expected credit losses (1,254) (263) (991) Net unrealized gains (losses) on investments 194,066 40,754 153,312 Other adjustments to comprehensive income, net (95) (20) (75) Other comprehensive income (loss) 193,971 40,734 153,237 Balance at end of period $ 333,829 $ 70,104 $ 263,725 Year Ended December 31, 2019 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ (77,114) $ (16,194) $ (60,920) Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period 228,406 47,965 180,441 Less: Reclassification adjustment for net gains (losses) included in net income (1) 11,262 2,365 8,897 Net unrealized gains (losses) on investments 217,144 45,600 171,544 Other adjustments to comprehensive income, net (172) (36) (136) Other comprehensive income (loss) 216,972 45,564 171,408 Balance at end of period $ 139,858 $ 29,370 $ 110,488 Year Ended December 31, 2018 (In thousands) Before Tax Tax Effect Net of Tax Balance at beginning of period $ 32,669 $ 9,584 $ 23,085 Cumulative effect of adopting accounting standard updates 284 (2,664) 2,948 Balance adjusted for cumulative effect of adopting accounting standard updates 32,953 6,920 26,033 Other comprehensive income (loss): Unrealized gains (losses) on investments: Unrealized holding gains (losses) arising during the period (123,235) (25,879) (97,356) Less: Reclassification adjustment for net gains (losses) included in net income (1) (13,000) (2,730) (10,270) Net unrealized gains (losses) on investments (110,235) (23,149) (87,086) Other adjustments to comprehensive income, net 168 35 133 Other comprehensive income (loss) (110,067) (23,114) (86,953) Balance at end of period $ (77,114) $ (16,194) $ (60,920) (1) Included in net gains (losses) on investments and other financial instruments in our consolidated statements of operations. |
Note 18 - Quarterly Financial_2
Note 18 - Quarterly Financial Data (Unaudited) - Level 3 | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information [Table Text Block] | 2020 Quarters (In thousands, except per-share amounts) First Second Third Fourth Year Net premiums earned $ 277,415 $ 249,295 $ 286,471 $ 302,140 $ 1,115,321 Services revenue 31,927 28,075 33,943 11,440 105,385 Net investment income 40,944 38,723 36,255 38,115 154,037 Net gains (losses) on investments and other financial instruments (22,027) 47,276 17,652 17,376 60,277 Provision for losses 35,951 304,418 88,084 56,664 485,117 Policy acquisition costs 7,413 6,015 10,166 7,395 30,989 Cost of services 22,141 17,972 24,353 21,600 86,066 Other operating expenses 69,110 60,582 69,377 81,641 280,710 Amortization and impairment of other acquired intangible assets 979 979 961 2,225 5,144 Net income (loss) 140,461 (29,951) 135,103 148,013 393,626 Diluted net income (loss) per share (1) $ 0.70 $ (0.15) $ 0.70 $ 0.76 $ 2.00 Weighted-average shares outstanding—diluted 201,819 193,299 194,156 194,663 196,642 2019 Quarters First Second Third Fourth Year Net premiums earned $ 263,512 $ 299,166 $ 281,185 $ 301,486 $ 1,145,349 Services revenue 32,753 39,303 42,509 40,031 154,596 Net investment income 43,847 43,761 42,756 41,432 171,796 Net gains (losses) on investments and other financial instruments 21,913 12,540 13,009 4,257 51,719 Provision for losses 20,754 47,427 29,231 34,619 132,031 Policy acquisition costs 5,893 6,203 6,435 6,783 25,314 Cost of services 24,157 27,845 29,044 27,278 108,324 Other operating expenses 78,805 70,046 76,384 80,894 306,129 Loss on extinguishment of debt — 16,798 5,940 — 22,738 Impairment of goodwill — — — 4,828 4,828 Amortization and impairment of other acquired intangible assets 2,187 2,139 2,139 15,823 22,288 Net income 170,957 166,730 173,438 161,184 672,309 Diluted net income per share (1) $ 0.78 $ 0.78 $ 0.83 $ 0.79 $ 3.20 Weighted-average shares outstanding—diluted 218,343 213,603 208,691 205,165 210,340 |
Note 14 - Capital Stock - Divid
Note 14 - Capital Stock - Dividends Paid (Level 4) - $ / shares | Feb. 13, 2020 | Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 |
Common Stock, Dividends, Per Share, Declared | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.0025 | $ 0.0025 | $ 0.0025 | $ 0.0025 | $ 0.0025 | $ 0.0025 | $ 0.0025 | $ 0.0025 | |
Common Stock, Dividends, Announced | $ 0.125 |
Note 15 - Accumulated Other C_3
Note 15 - Accumulated Other Comprehensive Income (Loss) - Rollforward of Accumulated Other Comprehensive Income (Loss) - Level 4 - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||
Balance at beginning of period, net of tax | $ 110,488 | ||
Unrealized holding gains (losses) arising during the period for which an allowance for expected losses has not been recognized | 178,761 | $ 180,441 | $ (97,356) |
Net realized gains (losses) on disposals and non-credit related impairment losses | 26,440 | 8,897 | (10,270) |
Net decrease (increase) in expected credit losses | (991) | 0 | 0 |
Net unrealized gains (losses) on investments, net of tax | 153,312 | 171,544 | (87,086) |
Other adjustments to comprehensive income, net | (75) | (136) | 133 |
Other comprehensive income (loss), net of tax | 153,237 | 171,408 | (86,953) |
Balance at end of period, net of tax | 263,725 | 110,488 | |
Other Comprehensive Income (Loss) | |||
Other Comprehensive Income (Loss), before Tax [Abstract] | |||
Balance at beginning of period, before tax | 139,858 | (77,114) | 32,669 |
Cumulative effect of adopting the accounting standard update, before tax | 284 | ||
Balance adjusted for cumulative effect of adopting accounting standard updates, before tax | 32,953 | ||
Unrealized holding gains (losses) arising during the period, before tax | 226,280 | 228,406 | (123,235) |
Net realized gains (losses) on disposals and non-credit related impairment losses, before Tax | 33,468 | 11,262 | (13,000) |
Net decrease (increase) in expected credit losses, before tax | (1,254) | ||
Net unrealized gains (losses) on investments | 194,066 | 217,144 | (110,235) |
Other Adjustments to Other Comprehensive Income, BeforeTax | (95) | (172) | 168 |
OCI, before tax | 193,971 | 216,972 | (110,067) |
Balance at end of period, before tax | 333,829 | 139,858 | (77,114) |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Balance at beginning of period, tax | 29,370 | (16,194) | 9,584 |
Cumulative effect of adopting the accounting standard update, tax | (2,664) | ||
Balance adjusted for cumulative effect of adopting accounting standard updates, tax | 6,920 | ||
Unrealized holding gains (losses) arising during the period, tax | 47,519 | 47,965 | (25,879) |
Net realized gains (losses) on disposals and non-credit-related impairment losses, tax | 7,028 | 2,365 | (2,730) |
Net decrease (increase) in expected credit losses, tax | (263) | ||
Net unrealized gains (losses) on investments, tax | 40,754 | 45,600 | (23,149) |
Other adjustments to comprehensive income, tax | (20) | (36) | 35 |
OCI, tax | 40,734 | 45,564 | (23,114) |
Balance at end of period, tax | 70,104 | 29,370 | (16,194) |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||
Balance at beginning of period, net of tax | 110,488 | (60,920) | 23,085 |
Cumulative effect of adopting the accounting standard update for financial instruments, net of tax | 2,948 | ||
Balance adjusted for cumulative effect of adopting accounting standard updates, net of tax | 26,033 | ||
Unrealized holding gains (losses) arising during the period for which an allowance for expected losses has not been recognized | 178,761 | 180,441 | (97,356) |
Net realized gains (losses) on disposals and non-credit related impairment losses | 26,440 | 8,897 | (10,270) |
Net decrease (increase) in expected credit losses | (991) | ||
Net unrealized gains (losses) on investments, net of tax | 153,312 | 171,544 | (87,086) |
Other adjustments to comprehensive income, net | (75) | (136) | 133 |
Other comprehensive income (loss), net of tax | 153,237 | 171,408 | (86,953) |
Balance at end of period, net of tax | $ 263,725 | $ 110,488 | $ (60,920) |
Note 18 - Quarterly Financial_3
Note 18 - Quarterly Financial Data (Unaudited) - Level 4 - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net premiums earned (Note 8) | $ 302,140 | $ 286,471 | $ 249,295 | $ 277,415 | $ 301,486 | $ 281,185 | $ 299,166 | $ 263,512 | $ 1,115,321 | $ 1,145,349 | $ 1,014,007 |
Services revenue (Note 4) | 11,440 | 33,943 | 28,075 | 31,927 | 40,031 | 42,509 | 39,303 | 32,753 | 105,385 | 154,596 | 144,972 |
Net investment income (Note 6) | 38,115 | 36,255 | 38,723 | 40,944 | 41,432 | 42,756 | 43,761 | 43,847 | 154,037 | 171,796 | 152,475 |
Net gains (losses) on investments and other financial instruments | 17,376 | 17,652 | 47,276 | (22,027) | 4,257 | 13,009 | 12,540 | 21,913 | 60,277 | 51,719 | (42,476) |
Provision for losses | 56,664 | 88,084 | 304,418 | 35,951 | 34,619 | 29,231 | 47,427 | 20,754 | 485,117 | 132,031 | 104,641 |
Policy acquisition costs | 7,395 | 10,166 | 6,015 | 7,413 | 6,783 | 6,435 | 6,203 | 5,893 | 30,989 | 25,314 | 25,265 |
Cost of services | 21,600 | 24,353 | 17,972 | 22,141 | 27,278 | 29,044 | 27,845 | 24,157 | 86,066 | 108,324 | 98,124 |
Other operating expenses | 81,641 | 69,377 | 60,582 | 69,110 | 80,894 | 76,384 | 70,046 | 78,805 | 280,710 | 306,129 | 280,818 |
Loss on extinguishment of debt (Note 12) | 0 | 5,940 | 16,798 | 0 | 0 | 22,738 | 0 | ||||
Impairment of goodwill | 4,828 | 0 | 0 | 0 | 0 | 4,828 | 0 | ||||
Amortization and impairment of other acquired intangible assets | 2,225 | 961 | 979 | 979 | 15,823 | 2,139 | 2,139 | 2,187 | 5,144 | 22,288 | 12,429 |
Net income | $ 148,013 | $ 135,103 | $ (29,951) | $ 140,461 | $ 161,184 | $ 173,438 | $ 166,730 | $ 170,957 | $ 393,626 | $ 672,309 | $ 606,011 |
Diluted net income per share | $ 0.76 | $ 0.70 | $ (0.15) | $ 0.70 | $ 0.79 | $ 0.83 | $ 0.78 | $ 0.78 | $ 2 | $ 3.20 | $ 2.77 |
Weighted-average number of common and common equivalent shares outstanding—diluted | 194,663 | 194,156 | 193,299 | 201,819 | 205,165 | 208,691 | 213,603 | 218,343 | 196,642 | 210,340 | 218,553 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities [Abstract] | |||||||||||
Net income | $ 148,013 | $ 135,103 | $ (29,951) | $ 140,461 | $ 161,184 | $ 173,438 | $ 166,730 | $ 170,957 | $ 393,626 | $ 672,309 | $ 606,011 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Net (gains) losses on investments and other financial instruments | (17,376) | $ (17,652) | $ (47,276) | 22,027 | (4,257) | (13,009) | (12,540) | (21,913) | (60,277) | (51,719) | 42,476 |
Loss on extinguishment of debt | 0 | 5,940 | 16,798 | 0 | 0 | 22,738 | 0 | ||||
Deferred income tax provision | 102,079 | 157,162 | 120,573 | ||||||||
Impairment of goodwill | 4,828 | $ 0 | $ 0 | 0 | 0 | 4,828 | 0 | ||||
Amortization and impairment of other acquired intangible assets | 5,144 | 22,288 | 12,429 | ||||||||
Depreciation, other amortization, and other impairments, net | 66,585 | 50,439 | 56,661 | ||||||||
Change in: | |||||||||||
Accrued investment income | (1,714) | 2,545 | (3,485) | ||||||||
Accounts and notes receivable | (29,280) | (25,504) | (4,599) | ||||||||
Reinsurance recoverables | (56,226) | (2,574) | (2,497) | ||||||||
Deferred policy acquisition costs | 2,454 | (3,448) | (324) | ||||||||
Prepaid reinsurance premiums | 96,218 | 53,772 | (31,119) | ||||||||
Unearned premiums | (178,031) | (112,535) | 15,419 | ||||||||
Reserve for losses and LAE | 443,648 | 3,404 | (109,642) | ||||||||
Reinsurance funds withheld | (13,274) | (29,383) | 32,814 | ||||||||
Other assets | (57,538) | (130,953) | 49,868 | ||||||||
Other liabilities | (54,980) | 61,062 | (106,799) | ||||||||
Net cash provided by (used in) operating activities | 658,434 | 694,431 | 677,786 | ||||||||
Cash flows from investing activities: | |||||||||||
Proceeds from sales of Fixed-maturity investments available for sale | 963,589 | 986,647 | 728,584 | ||||||||
Proceeds from sales of Trading securities | 11,602 | 130,537 | 58,317 | ||||||||
Proceeds from sales of Equity securities | 90,450 | 69,779 | 95,697 | ||||||||
Proceeds from redemptions of Fixed-maturity investments available for sale | 645,068 | 464,777 | 457,595 | ||||||||
Proceeds from redemptions of Trading securities | 22,913 | 37,684 | 54,329 | ||||||||
Purchases of Fixed-maturity investments available for sale | (2,449,762) | (1,913,703) | (1,875,069) | ||||||||
Purchases of Equity securities | (85,014) | (57,422) | (69,160) | ||||||||
Sales, redemptions and (purchases) of Short-term investments, net | (82,925) | 8,017 | (108,325) | ||||||||
Sales, redemptions and (purchases) of Other assets and other invested assets, net | 1,434 | (739) | 2,590 | ||||||||
Proceeds from sale of subsidiary, net of cash sold | 16,481 | 0 | 0 | ||||||||
Purchases of property and equipment | (17,016) | (27,626) | (26,008) | ||||||||
Acquisitions, net of cash acquired | 0 | 0 | (7,964) | ||||||||
Net cash provided by (used in) investing activities | (883,180) | (302,049) | (689,414) | ||||||||
Cash flows from financing activities: | |||||||||||
Dividends and dividend equivalents paid | (97,458) | (2,061) | (2,140) | ||||||||
Issuance of senior notes, net | 515,567 | 442,439 | 0 | ||||||||
Repayments and repurchases of senior notes | 0 | (610,763) | 0 | ||||||||
Issuance of common stock | 1,553 | 2,416 | 1,385 | ||||||||
Repurchases of common shares | (226,305) | (300,201) | (50,053) | ||||||||
Proceeds from (Payments for) Other Financing Activities | (2,292) | (989) | (1,510) | ||||||||
Change in secured borrowings, net (with terms three months or less) | (37,475) | 13,862 | 39,342 | ||||||||
Proceeds from secured borrowings (with terms greater than three months) | 207,034 | 115,275 | 56,449 | ||||||||
Repayments of secured borrowings (with terms greater than three months) | (137,927) | (62,932) | (20,917) | ||||||||
Repayment of other borrowings | (79) | (152) | (170) | ||||||||
Net cash provided by (used in) financing activities | 222,618 | (403,106) | 22,386 | ||||||||
Effect of exchange rate changes on cash and restricted cash | 0 | (4) | 0 | ||||||||
Increase (decrease) in cash and restricted cash | (2,128) | (10,728) | 10,758 | ||||||||
Cash and restricted cash, beginning of period | 96,274 | 107,002 | 96,274 | 107,002 | 96,244 | ||||||
Cash and restricted cash, end of period | 94,146 | 96,274 | 94,146 | 96,274 | 107,002 | ||||||
Supplemental disclosures of cash flow information: | |||||||||||
Income taxes paid (Note 10) | 81,404 | 71,469 | 8,364 | ||||||||
Interest paid | 60,564 | 45,762 | 56,688 | ||||||||
Parent Company | |||||||||||
Cash flows from operating activities [Abstract] | |||||||||||
Net income | 393,626 | 672,309 | 606,011 | ||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Net (gains) losses on investments and other financial instruments | (5,682) | (12,863) | 470 | ||||||||
Loss on extinguishment of debt | 0 | (22,738) | 0 | ||||||||
Change in: | |||||||||||
Net cash provided by (used in) operating activities | (13,741) | 143,664 | 254,698 | ||||||||
Cash flows from investing activities: | |||||||||||
Proceeds from sales of Fixed-maturity investments available for sale | 304,737 | 296,171 | 6,779 | ||||||||
Proceeds from sales of Trading securities | 0 | 56,787 | 0 | ||||||||
Proceeds from sales of Equity securities | 13,401 | 16,916 | 0 | ||||||||
Proceeds from redemptions of Fixed-maturity investments available for sale | 238,161 | 149,767 | 12,391 | ||||||||
Proceeds from redemptions of Trading securities | 0 | 114 | 0 | ||||||||
Purchases of Fixed-maturity investments available for sale | (691,874) | (293,284) | (37,552) | ||||||||
Sales, redemptions and (purchases) of Short-term investments, net | (53,024) | 157,045 | (131,164) | ||||||||
Sales, redemptions and (purchases) of Other assets and other invested assets, net | 6,068 | 6,958 | 3,317 | ||||||||
Net cash provided by (used in) investing activities | (180,717) | 316,679 | (183,201) | ||||||||
Cash flows from financing activities: | |||||||||||
Dividends and dividend equivalents paid | (97,458) | (2,061) | (2,140) | ||||||||
Issuance of senior notes, net | 515,567 | 442,439 | 0 | ||||||||
Repayments and repurchases of senior notes | 0 | (610,763) | 0 | ||||||||
Issuance of common stock | 1,553 | 2,416 | 1,385 | ||||||||
Repurchases of common shares | (226,305) | (300,201) | (50,053) | ||||||||
Proceeds from (Payments for) Other Financing Activities | (2,292) | (989) | (1,510) | ||||||||
Net cash provided by (used in) financing activities | 191,065 | (469,159) | (52,318) | ||||||||
Effect of exchange rate changes on cash and restricted cash | 0 | (2) | 0 | ||||||||
Increase (decrease) in cash and restricted cash | (3,393) | (8,818) | 19,179 | ||||||||
Cash and restricted cash, beginning of period | $ 23,534 | $ 32,352 | 23,534 | 32,352 | 13,173 | ||||||
Cash and restricted cash, end of period | $ 20,141 | $ 23,534 | $ 20,141 | $ 23,534 | $ 32,352 |
Note 1 - Description of Busines
Note 1 - Description of Business - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business Description and Basis of Presentation [Text Block] | Description of Business We are a diversified mortgage and real estate business, providing both credit-related mortgage insurance coverage and a broad array of other mortgage, risk, title, valuation, asset management and other real estate services. We have two reportable business segments—Mortgage and Real Estate. Mortgage Our Mortgage segment provides credit-related insurance coverage, principally through private mortgage insurance on residential first-lien mortgage loans, as well as other credit risk management and contract underwriting solutions, to mortgage lending institutions and mortgage credit investors. We provide our mortgage insurance products and services mainly through our wholly-owned subsidiary, Radian Guaranty. Private mortgage insurance plays an important role in the U.S. housing finance system because it promotes affordable home ownership and helps protect mortgage lenders and investors, as well as other beneficiaries by mitigating default-related losses on residential mortgage loans. Generally, these loans are made to homebuyers who make down payments of less than 20% of the purchase price for their home or, in the case of refinancings, have less than 20% equity in their home. Private mortgage insurance also facilitates the sale of these low down payment loans in the secondary mortgage market, most of which are currently sold to the GSEs. Our total direct primary mortgage IIF and RIF were $246.1 billion and $60.7 billion, respectively, as of December 31, 2020, compared to $240.6 billion and $60.9 billion, respectively, as of December 31, 2019. In addition to providing private mortgage insurance, we participate in credit risk transfer programs developed by the GSEs as part of their initiative to distribute mortgage credit risk and increase the role of private capital in the mortgage market. Our additional RIF under credit risk transfer transactions, resulting from our participation in these programs with the GSEs, totaled $392.0 million as of December 31, 2020 compared to $275.2 million as of December 31, 2019. The GSEs and state insurance regulators impose various capital and financial requirements on our mortgage insurance subsidiaries. These include Risk-to-capital, other risk-based capital measures and surplus requirements, as well as the PMIERs financial requirements. Failure to comply with these capital and financial requirements may limit the amount of insurance that our mortgage insurance subsidiaries write or may prohibit them from writing insurance altogether. The GSEs and state insurance regulators possess significant discretion with respect to our mortgage insurance subsidiaries and all aspects of their business. See Note 16 for additional information on PMIERs and other regulatory information, and “—Recent Developments” below for a discussion of the elevated risks posed by the COVID-19 pandemic, which has led to an increase in mortgage defaults in our insured portfolio and a resulting increase in our Minimum Required Assets during 2020. Real Estate Our Real Estate segment is primarily a fee-for-service business that offers a broad array of products and services to market participants across the real estate value chain. Our real estate services include title, valuation, asset management and other real estate services offered primarily to mortgage lenders, mortgage and real estate investors, GSEs, real estate brokers and agents. These services help lenders, investors, consumers and real estate agents evaluate, manage, monitor, acquire and sell properties. These services include software as a service solutions and platforms, as well as managed services, such as REO asset management, single family rental services and real estate valuation services. In addition, we provide title insurance and non-insurance title, closing and settlement services to mortgage lenders, GSEs and mortgage investors, as well as directly to consumers for residential mortgage loans. See Note 4 for additional information about our reportable segments and All Other business activities, including the sale of Clayton and the impact of organizational changes in the first quarter of 2020, as well as other changes impacting our reportable segments in 2020. Recent Developments As a seller of mortgage credit protection, our results are subject to macroeconomic conditions and specific events that impact the housing finance and real estate markets, including events that impact mortgage originations and the credit performance of our RIF. Many of these conditions are beyond our control, including housing prices, unemployment, interest rate changes, the availability of credit and other factors that may be derived from national and regional economic conditions. In general, a deterioration in economic conditions increases the likelihood that borrowers will be unable to satisfy their mortgage obligations. A deteriorating economy can adversely affect housing values, which in turn can influence the willingness of borrowers to continue to make mortgage payments regardless of whether they have the financial resources to do so. Mortgage defaults can also occur due to a variety of specific events affecting borrowers, including death or illness, divorce or other family problems, unemployment, or other events. In addition, factors impacting regional economic conditions, acts of terrorism, war or other severe conflicts, event-specific economic depressions or other catastrophic events such as natural disasters and pandemics could result in increased defaults due to the impact of such events on the ability of borrowers to satisfy their mortgage obligations and on the value of affected homes. Beginning in March 2020, the unprecedented and continually evolving social and economic impacts associated with the COVID-19 pandemic on the U.S. and global economies generally, and in particular on the U.S. housing, real estate and housing finance markets, had a negative effect on our business and our financial results for the second quarter of 2020, and to a lesser extent the second half of 2020, and are expected to adversely impact our business and results of operations in future periods. Specifically, and primarily as a result of an increase in the number of new defaults for the year ended December 31, 2020, our financial results include: (i) an increase in provision for losses and (ii) an increase in our Minimum Required Assets required under the PMIERs. The number of new defaults increased significantly during the second quarter of 2020, but have trended down during the second half of the year, while remaining elevated compared to levels before the pandemic. See Note 11 for additional information on our reserve for losses. In response to the uncertainties associated with COVID-19, during the second quarter of 2020 we strengthened our capital and liquidity positions by extending our existing credit facility and issuing $525 million aggregate principal amount of Senior Notes due 2025. See Note 12 for additional information on our borrowings and financing activities. The long-term impact of the COVID-19 pandemic on our businesses will depend on, among other things: the extent and duration of the pandemic, the severity of and number of people infected with the virus and the widespread availability of effective anti-viral treatments and vaccines, especially as new strains of COVID-19 have been discovered; the wider economic effects of the pandemic and the scope and duration of governmental and other third-party measures restricting day-to-day life and business operations; the impact of economic stimulus efforts to support the economy through the pandemic; and governmental and GSE programs implemented to assist borrowers experiencing a COVID-19-related hardship, including forbearance programs and suspensions of foreclosures and evictions. Although we are uncertain of the potential magnitude or duration of the business and economic impacts of the COVID-19 pandemic, these and other factors could continue to have a material negative effect on the Company’s business, liquidity, results of operations and financial condition. |
Note 2 - Significant Accounting
Note 2 - Significant Accounting Policies - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | Significant Accounting Policies Basis of Presentation Our consolidated financial statements are prepared in accordance with GAAP and include the accounts of Radian Group Inc. and its subsidiaries. All intercompany accounts and transactions, and intercompany profits and losses, have been eliminated. Certain prior period amounts have been reclassified to conform to current period presentation, including certain balance sheet line items that were previously reported in other assets or other liabilities and certain segment reporting balances due to changes in the composition of our segments during 2020. We refer to Radian Group Inc. together with its consolidated subsidiaries as “Radian,” the “Company,” “we,” “us” or “our,” unless the context requires otherwise. We generally refer to Radian Group Inc. alone, without its consolidated subsidiaries, as “Radian Group.” Unless otherwise defined in this report, certain terms and acronyms used throughout this report are defined in the Glossary of Abbreviations and Acronyms included as part of this report. Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of our contingent assets and liabilities at the dates of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. While the amounts included in our consolidated financial statements include our best estimates and assumptions, actual results may vary materially. Investments We group fixed-maturity securities in our investment portfolio into one of three main categories: held to maturity, available for sale or trading securities. Fixed-maturity securities for which we have the positive intent and ability to hold to maturity, if any, are classified as held to maturity and are reported at amortized cost. Trading securities are reported at fair value, with unrealized gains and losses reported as a separate component of income. Investments in fixed-maturity securities not classified as held to maturity or trading securities are classified as available for sale and are reported at fair value, with unrealized gains and losses (net of tax) reported as a separate component of stockholders’ equity as accumulated other comprehensive income (loss). Equity securities consist of holdings in common stock, preferred stock and exchange traded funds, which are recorded at fair value with unrealized gains and losses reported in income. Short-term investments consist of money market instruments, certificates of deposit and highly liquid, interest-bearing instruments with an original maturity of 12 months or less at the time of purchase. Amortization of premium and accretion of discount are calculated principally using the interest method over the term of the investment. Realized gains and losses on investments are recognized using the specific identification method. See Notes 5 and 6 for further discussion on investments. We recognize an impairment as a loss for fixed-maturities available for sale on the statement of operations if: (i) we intend to sell the impaired security; (ii) it is more likely than not that we will be required to sell the impaired security prior to recovery of its amortized cost basis; or (iii) the present value of cash flows we expect to collect is less than the amortized cost basis of a security. In those instances, we record an impairment loss through earnings that varies depending on specific circumstances. If a sale is likely, the full amount of the impairment is recognized as a loss in the statement of operations. Otherwise, unrealized losses on securities are separated into: (i) the portion of loss that represents the credit loss and (ii) the portion that is due to other factors. In evaluating whether a decline in value for other securities relates to an existing credit loss, we consider several factors, including, but not limited to, the following: ■ the extent to which the amortized cost basis is greater than fair value; ■ reasons for the decline in value (e.g., adverse conditions related to industry or geographic area, changes in financial condition to the issuers or underlying loan obligors); ■ any changes to the rating of the security by a rating agency; ■ the failure of the issuer to make a scheduled payment; ■ the financial position, access to capital and near-term prospects of the issuer, including the current and future impact of any specific events; and ■ our best estimate of the present value of cash flows expected to be collected. Prior to the adoption of ASU 2016-13, Financial Instruments—Credit Losses (“ASU 2016-13”), as described below under “—Recent Accounting Pronouncements” and effective January 1, 2020, we also considered the duration of the decline in value in assessing whether our fixed income securities available for sale have a credit loss impairment. As a result of the adoption of ASU 2016-13, on initial recognition and at each reporting date after a credit loss is identified, we recognize an allowance for remaining lifetime expected credit losses. This amount is calculated as the difference between the amortized cost and the present value of future expected cash flows, limited to the difference between the carrying amount (i.e. fair value) and amortized cost. If a credit loss is determined to exist, the credit loss impairment is included in net gains (losses) on investments and other financial instruments in the statement of operations, with an offset to an allowance for credit losses. Subsequent changes (favorable and unfavorable) in expected credit losses are recognized immediately in net income as a credit loss impairment or a reversal of credit loss impairment. Prior to the adoption of ASU 2016-13, the amortized cost of any other-than-temporarily impaired securities was written down to a new basis and any subsequent increases in fair value were recognized as a component of other comprehensive income until such gains were realized through cash collection or sale, rather than through net income. Fair Value of Financial Instruments Our estimated fair value measurements are intended to reflect the assumptions market participants would use in pricing an asset or liability based on the best information available. Assumptions include the risks inherent in a particular valuation technique (such as a pricing model) and the risks inherent in the inputs to the model. Changes in economic conditions and capital market conditions, including but not limited to, credit spread changes, benchmark interest rate changes, market volatility and changes in the value of underlying collateral, could cause actual results to differ materially from our estimated fair value measurements. We define fair value as the current amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In accordance with GAAP, we established a three-level valuation hierarchy for disclosure of fair value measurements based on the transparency of inputs to the valuation of an asset or liability as of the measurement date. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements). The level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is significant to the measurement in its entirety. The three levels of the fair value hierarchy are defined below: Level I — Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level II — Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities; and Level III — Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. Level III inputs are used to measure fair value only to the extent that observable inputs are not available. For markets in which inputs are not observable or are limited, we use significant judgment and assumptions that a typical market participant would use to evaluate the market price of an asset or liability. Given the level of judgment necessary, another market participant may derive a materially different estimate of fair value. These assets and liabilities are classified in Level III of our fair value hierarchy. Available for sale securities, trading securities, equity securities and certain other assets are recorded at fair value as described in Note 5. All changes in fair value of trading securities, equity securities and certain other assets are included in our consolidated statements of operations. Restricted Cash Included in our restricted cash balances as of December 31, 2020 were cash funds held in trusts for the benefit of: a mortgage insurance reserve policy held in escrow for any future duties, rights and liabilities; certain policyholders; servicer liabilities; and title services obligations. Accounts and Notes Receivable Accounts and notes receivable primarily consist of accrued premiums receivable, amounts billed and due from our customers for services performed, and certain receivables related to our reinsurance transactions. See “—Revenue Recognition—Mortgage Insurance” below for information on our deferred premium receivable, and Note 8 for details on our reinsurance agreements. Accounts and notes receivable are carried at their estimated collectible amounts, net of any allowance for doubtful accounts, and are periodically evaluated for collectability based on past payment history and current economic conditions. Income Taxes We provide for income taxes in accordance with the provisions of the accounting standard regarding accounting for income taxes. As required under this standard, our deferred tax assets and deferred tax liabilities are recognized under the balance sheet method, which recognizes the future tax effect of temporary differences between the amounts recorded in our consolidated financial statements and the tax bases of these amounts. Deferred tax assets and deferred tax liabilities are measured using the enacted tax rates that are expected to apply to taxable income in the periods in which the deferred tax asset or deferred tax liability is expected to be realized or settled. In regards to accumulated other comprehensive income, the Company’s policy for releasing disproportionate income tax effects is to release the effects as individual items are sold. We are required to establish a valuation allowance against our deferred tax assets when it is more likely than not that all or some portion of our deferred tax assets will not be realized. At each balance sheet date, we assess our need for a valuation allowance. Our assessment is based on all available evidence, both positive and negative. This requires management to exercise judgment and make assumptions regarding whether our deferred tax assets will be realized in future periods. Our provision for income taxes for interim financial periods is based on an estimate of our annual effective tax rate for the full year. When estimating our full year effective tax rate, we adjust our estimate for gains and losses on our investments, changes in the accounting for uncertainty in income taxes, changes in our beginning of year valuation allowance, and other adjustments. The impact of these items is accounted for as Discrete Items at the applicable federal tax rate. Reserve for Losses and LAE Mortgage Insurance We establish reserves to provide for losses and LAE on our mortgage insurance policies, which include the estimated costs of settling claims, in accordance with the accounting standard regarding accounting and reporting by insurance enterprises (ASC 944). Although this standard specifically excludes mortgage insurance from its guidance relating to the reserve for losses, because there is no specific guidance for mortgage insurance, we establish reserves for mortgage insurance as described below, using the guidance contained in this standard supplemented with other accounting guidance. In our mortgage insurance business, the default and claim cycle begins with the receipt of a default notice from the loan servicer. Case reserves for losses are established upon receipt of notification from servicers that a borrower has missed two monthly payments, which is when we consider a loan to be in default for financial statement and internal tracking purposes. We also establish reserves for associated LAE, consisting of the estimated cost of the claims administration process, including legal and other fees and expenses associated with administering the claims process. We do not establish reserves for loans that are in default if we believe that we will not be liable for the payment of a claim with respect to that default. We generally do not establish loss reserves for expected future claims on insured mortgages that are not in default. See “—Reserve for Premium Deficiency” below for an exception to these general principles. With respect to loans that are in default, considerable judgment is exercised as to the adequacy of reserve levels. We use an actuarial projection methodology referred to as a “roll rate” analysis that uses historical claim frequency information to determine the projected ultimate Default to Claim Rates based on the Stage of Default and Time in Default as well as the date that a loan goes into default. The Default to Claim Rate also includes our estimates with respect to expected Loss Mitigation Activities, which have the effect of reducing our Default to Claim Rates. After estimating the Default to Claim Rate, we estimate Claim Severity based on the average of recently observed severity rates within product type, type of insurance, and Time in Default cohorts. These average severity estimates are then applied to individual loan coverage amounts to determine reserves. The impact to our reserve due to estimated future Loss Mitigation Activities incorporates our expectations regarding the number of policies that we expect to be reinstated as a result of our claims rebuttal process. Rescissions, Claim Denials and Claim Curtailments may occur for various reasons, including, without limitation, underwriting negligence, fraudulent applications and appraisals, breach of representations and warranties and inadequate documentation, primarily related to our insurance written in years prior to and including 2008. Unless a liability associated with such activities or discussions becomes probable and can be reasonably estimated, we consider our claim payments and our Rescissions, Claim Denials and Claim Curtailments to be resolved for financial reporting purposes. Under the accounting standard regarding contingencies, an estimated loss is accrued only if we determine that the loss is probable and can be reasonably estimated. For populations of disputed Rescissions, Claim Denials and Claim Curtailments where we determine that a settlement is probable and that a loss can be reasonably estimated, we reflect our best estimate of the expected loss related to the populations under discussion in our financial statements, primarily as a component of our IBNR reserve. While our reserves include our best estimate of such losses, the outcome of the discussions or potential legal proceedings that could ensue is uncertain, and it is reasonably possible that a loss exists in excess of the amount accrued. Estimating our case reserve for losses involves significant reliance upon assumptions and estimates with regard to the likelihood, magnitude and timing of each potential loss. The models, assumptions and estimates we use to establish loss reserves may not prove to be accurate, especially in the event of an extended economic downturn or a period of extreme market volatility and economic uncertainty such as we are currently experiencing due to the COVID-19 pandemic. For example, the ultimate cure rate for loan defaults resulting from the pandemic may be lower or higher than our expectations. These assumptions require management to use considerable judgment in estimating the rate at which these loans will result in claims. As such, given the current environment, there is significant uncertainty around our reserve estimate. Title Insurance We establish reserves for estimated future claims payments on our title insurance policies at the time the related policy revenue is recorded. Our title insurance reserve for losses and LAE comprises estimates of both known claims and incurred but unreported claims expected to be paid in the future for policies issued as of the balance sheet date. We provide for losses associated with these policies based upon our historical experience and other factors. However, by their nature, title claims can often be complex, vary greatly in dollar amounts, vary in number due to economic and market conditions such as an increase in mortgage foreclosures, and involve uncertainties as to ultimate exposure. Due to the length of time over which claim payments are made and regularly occurring changes in underlying economic and market conditions, these estimates are subject to variability. Reserve for Premium Deficiency Insurance enterprises are required to establish a PDR if the net present value of the expected future losses and expenses for a particular product line exceeds the net present value of expected future premiums and existing reserves for that product line. We reassess our expectations for premiums, losses and expenses for our mortgage insurance business at least quarterly and update our premium deficiency analyses accordingly. For our mortgage insurance business, we group our mortgage insurance products into two categories: first-lien and second-lien mortgage loans. As of December 31, 2020 and 2019, the combination of the net present value of our expected future premiums and existing reserves (net of reinsurance recoverables) significantly exceeded the net present value of our future expected losses and expenses associated with our first lien mortgage insurance portfolio. Our second-lien PDR, which was $0.1 million and $0.2 million as of December 31, 2020 and 2019, respectively, is recorded as a component of other liabilities. Revenue Recognition Mortgage Insurance Premiums on mortgage insurance products are written on a recurring basis, either as monthly or annual premiums, or on a multi-year basis as a single premium. Monthly premiums written are earned as coverage is provided each month. For certain monthly policies where the billing is deferred for the first month’s coverage period, currently to the end of the policy, we record a net premium receivable representing the present value of such deferred premiums that we estimate will be collected at that future date. As of December 31, 2020 and 2019, this net premium receivable was $29.7 million and $17.4 million, respectively, representing the present values of $77.0 million and $78.4 million, respectively, in contractual deferred monthly premiums, after adjustments for the estimated collectability and timing of future billing. We recognize changes in this receivable based on changes in the estimated amount and timing of such collections, including as a result of changes in observed trends as well as our periodic review of our servicing guide and our operations and collections practices. Given the difference between the present value of the net premium receivable recorded and the contractual premiums due, such changes to the preceding factors could have a material effect on our results of operations in future periods if any changes are implemented. Annual premiums written are initially recorded as unearned premiums and amortized on a monthly, straight-line basis. Single premiums written are initially recorded as unearned premiums and earned over time based on the anticipated claim payment pattern, which includes historical industry experience and is updated periodically. During 2019, we updated the amortization rates due to the continuing increase in the significance of borrower-paid Single Premium Policies in our portfolio following our rate reductions on borrower-paid Single Premium Policies in 2018. Under HPA, most borrower-paid policies must be canceled automatically on the date the LTV is scheduled to reach 78% of the original value (or, if the loan is not current on that date, on the subsequent date that the loan becomes current). As a result, given the shift in our mix of Single Premium Policies toward more borrower-paid Single Premium Policies than lender-paid, the average anticipated term of our Single Premium IIF is declining compared to historical levels. We updated our analysis to reflect not only this anticipated effect of HPA cancellations on borrower-paid policies, but also changes in observed and projected loss patterns for both borrower-paid and lender-paid policies. Our results for 2019 include a $32.9 million increase in net premiums earned and a $0.12 increase in net income per share, resulting from a cumulative adjustment related to the updated amortization rates used to recognize revenue for Single Premium Policies. When we rescind insurance coverage on a loan, we refund all premiums received in connection with such coverage. When insurance coverage on a loan is canceled due to claim payment, we refund all premiums received since the date of delinquency. When insurance coverage is cancelled for a reason other than Rescission or claim payment, all premium that is nonrefundable is immediately earned. Premium revenue is recognized net of our accrual for estimated premium refunds due to Rescissions or other factors. With respect to our reinsurance transactions, ceded premiums written on an annual or multi-year basis are initially set up as prepaid reinsurance and are amortized in a manner consistent with the recognition of income on direct premiums. Title Insurance and Related Services Title insurance premiums are recognized as revenue upon closing and completion of the real estate transaction. Premiums generally are calculated with reference to the policy amount. Premiums are charged to customers based on rates predetermined in coordination with each state's respective Department of Insurance. Such regulations vary from state to state. Premium revenues from agency title operations are primarily comprised of premiums recognized upon title order and completion of real estate transaction closing. Other title-related fees and income are closely related to title insurance premiums and are primarily associated with managing the closing of real estate transactions. As such, revenue is primarily recognized upon closing of the real estate transaction or completion and billing of services. We offer title services that include tax and title data services; centralized recording services; document retrieval; default curative title services; deed reports; property reports, and other real estate or title-related activities. Expenses typically associated with premiums include third-party agent commissions and premium taxes. Other Services We recognize revenue representing the transfer of services to customers in an amount that reflects the consideration that we expect to be entitled to receive in exchange for those services, recognized as the performance obligations are satisfied. Due to the transactional nature of our business, our services revenue may fluctuate from period to period as transactions are commenced or completed. Prior to our January 2020 sale of Clayton, our services included transaction management services related to loan acquisition, RMBS securitization and distressed asset reviews and servicer and loan surveillance services. Also, through December 2020, we offered residential real estate appraisal services through a panel of independent contractor appraisers; however, consistent with increased market demand for technology-driven solutions, in October 2020 we announced the wind down of this traditional appraisal business, in order to focus on our digital valuation services that are expected to produce higher growth. Our remaining services and related revenue recognition considerations are as follows: Valuation Services. We leverage technology and a quality control process to deliver real estate valuation products and services to our customers, which include: appraisal review products; hybrid/ancillary appraisal products; automated valuation products; interactive valuation products; and broker price opinions (BPOs). Each service qualifies as a separate performance obligation for which revenue is recognized as the service is performed and made available to the client. Asset Management Services. We provide asset management services, which include management of the entire REO disposition process, services such as diligence and underwriting that serve the single family rental asset class, and a web-based workflow solution for task driven asset management, including the management of REO assets, rental properties, due diligence for bulk acquisitions, loss mitigation efforts and short sales. Revenue attributable to REO services provided is based on a percentage of the sale and recognized over time, measured based on the progress to date and typically coincides with the client’s successful closing on the property. In certain instances, fees are received at the time that an asset is assigned to Radian for management. These fees are recorded as deferred revenue and are recognized over time based on progress to date and the availability to customers. Mortgage Services. We provide third-party contract underwriting services to our mortgage insurance customers. Generally, revenue is recognized when contract underwriting results are made available to the customer. Cost of Services Cost of services consists primarily of costs paid for employee compensation and related payroll benefits, as well as corresponding travel and related expenses incurred in providing such services to clients. Leases We determine if an arrangement includes a lease at inception, and if it does, we recognize a right-of-use asset and lease liability in other assets and other liabilities, respectively, in our consolidated balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and are recognized net of any payments made or received from the lessor. Lease liabilities represent our obligation to make lease payments arising from the lease and are based on the present value of lease payments over the lease term. In determining the net present value of lease payments, we use our incremental borrowing rate based on the information available at the lease commencement date. Lease expense is recognized on a straight-line basis over the expected lease term. Lease and non-lease components are generally not accounted for separately. We have elected the short-term exemption for contracts with lease terms of 12 months or less. Our lease agreements primarily relate to operating leases for office space we use in our operations. Certain of our leases include renewal options and/or termination options that we did not consider in the determination of the right-of-use asset or the lease liability as we did not believe it was reasonably certain that we would exercise such options. Our lease agreements do not contain any variable lease payments, material residual value guarantees or material restrictive covenants. Reinsurance We cede insurance risk through the use of reinsurance contracts and follow reinsurance accounting for those transactions where significant risk is transferred. Loss reserves and unearned premiums are established before consideration is given to amounts related to our reinsurance agreements. In accordance with the terms of the Single Premium QSR Program, rather than making a cash payment or transferring investments for ceded premiums written, Radian Guaranty holds the related amounts to collateralize the reinsurers’ obligations and has established a corresponding funds withheld liability. Any loss recoveries and any potential profit commission to Radian Guaranty will be realized from this account. The reinsurers’ share of earned premiums is paid from this account on a quarterly basis. This liability also includes an interest credit on funds withheld, which is recorded as ceded premiums at a rate specified in the agreement and, depending on experience under the contract, may be paid to either Radian Guaranty or the reinsurers. The ceding commission earned for premiums ceded pursuant to this transaction is attributable to other underwriting costs (including any related deferred policy acquisition costs). The unamortized portion of the ceding commission in excess of our related acquisition cost is reflected in other liabilities. Ceded premiums written are recorded on the balance sheet as prepaid reinsurance premiums and amortized to ceded premiums earned in a manner consistent with the recognition of income on direct premiums. See Note 8 for further discussion of our reinsurance transactions. Variable Interest Entity In connection with our reinsurance programs for our mortgage insurance business, we may enter into contracts with VIEs. VIEs include corporations, trusts or partnerships in which: (i) the entity has insufficient equity at risk to allow it to finance its activities without additional subordinated financial support or (ii) at-risk equity holders, as a group, do not have the characteristics of a controlling financial interest. We perform an evaluation to determine whether we are required to consolidate the VIE’s assets and liabilities in our consolidated financial statements, based on whether we are deemed to be the primary beneficiary. The primary beneficiary of a VIE is the variable interest holder that is determined to have the controlling financial interest as a result of having both: (i) the power to direct the activities of a VIE that most significantly impact the economic performance of the VIE and (ii) the obligation to absorb losses or right to receive benefits from the VIE that potentially could be significant to the VIE. See Note 8 for additional information. Goodwill and Other Acquired Intangible Assets, Net Goodwill is an asset representing the estimated future economic benefits arising from the assets we have acquired that were not individually identified and separately recognized. We generally perform our annual goodwill impairment test during the fourth quarter of each year, using balances as of the prior quarter. Goodwill is deemed to have an indefinite useful life and is subject to review for impairment annually, or more frequently, whenever circumstances indicate potential impairment at the reporting unit level. A reporting unit represents a business for which discrete financial information is available. We have concluded that we have one reporting unit, the Real Estate segment, for purposes of our goodwill impairment assessment. Acquired intangible assets, other than goodwill, primarily consist of customer relationships and represents the value of the specifically acquired customer relationships. For financial reporting purposes, intangible assets with finite lives are amortized over their applicable estimated useful lives in a manner that approximates the pattern of expected economic benefit from each intangible asset. The calculation of the estimated fair value of goodwill and other acquired intangibles is performed primarily using an income approach and requires the use of significant estimates and assumptions that are highly subjective in nature, such as future expected cash flows, discount rates, attrition rates and market conditions. The most significant assumptions relate to the valuation of customer relationships. For more information on our accounting for goodwill and other acquired intangibles, including our impairment analysis policy, see Note 7. Property and Equipment We capitalize certain costs associated with the development of internal-use software and the purchase of property and equipment. Software, property and equipment are carried at cost, net of accumulated depreciation and amortization. Amortization and depreciation are calculated on a straight-line basis over the estimated useful life of the respective assets and commence during the month of our placement of the assets into use. The estimated useful life used to calcula |
Note 3 - Net Income Per Share -
Note 3 - Net Income Per Share - Level 1 | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Net Income Per Share The calculation of basic and diluted net income per share is as follows. Year Ended December 31, (In thousands, except per-share amounts) 2020 2019 2018 Net income—basic and diluted $ 393,626 $ 672,309 $ 606,011 Average common shares outstanding—basic 195,443 208,773 214,267 Dilutive effect of stock-based compensation arrangements (1) 1,199 1,567 4,286 Adjusted average common shares outstanding—diluted 196,642 210,340 218,553 Net income per share: Basic $ 2.01 $ 3.22 $ 2.83 Diluted $ 2.00 $ 3.20 $ 2.77 (1) The following number of shares of our common stock equivalents issued under our share-based compensation arrangements were not included in the calculation of diluted net income per share because they were anti-dilutive: Year Ended December 31, (In thousands) 2020 2019 2018 Shares of common stock equivalents 865 221 337 |
Note 4 - Segment Reporting - Le
Note 4 - Segment Reporting - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Segment Reporting We have two strategic business segments that we manage separately—Mortgage and Real Estate. Our Mortgage segment derives its revenue from mortgage insurance and other mortgage and risk services, including contract underwriting services provided to lenders. Our Real Estate segment offers a broad array of title, valuation, asset management and other real estate services to market participants across the real estate value chain. In addition, we report as All Other activities that include: (i) income (losses) from assets held by our holding company; (ii) related general corporate operating expenses not attributable or allocated to our reportable segments; (iii) for all periods through its sale in January 2020, income and expenses related to Clayton; (iv) for all periods presented, the income and expenses related to our traditional appraisal services, which in October 2020 we announced we were winding down; and (v) other immaterial revenue and expense items, including entries to correct for certain immaterial adjustments. Subsequent to the sale of Clayton, our Chief Executive Officer (Radian’s chief operating decision maker) implemented certain organizational changes that caused the composition of our reportable segments to change. As revised, the Company’s Mortgage and Real Estate segments are managed by our President of Mortgage and Co-Heads of Real Estate, respectively, who are responsible for the overall profitability of their respective segments and who are directly accountable to our chief operating decision maker. These segment reporting changes align with the changes in personnel reporting lines, management oversight and branding following the sale of Clayton, and are consistent with the way our chief operating decision maker began assessing the performance of our reportable segments and other business activities effective in the first quarter of 2020. All changes in 2020 to the composition of our reportable segments have been reflected in our segment operating results for all periods presented. See Note 1 for additional details about our Mortgage and Real Estate businesses. We allocate corporate operating expenses to both reportable segments based on each segment’s forecasted annual percentage of total revenue, which approximates the estimated percentage of management time spent on each segment. In addition, we allocate all corporate interest expense to our Mortgage segment, due to the capital-intensive nature of our mortgage insurance business. With the exception of goodwill and other acquired intangible assets that relate to our Real Estate segment, which are reviewed as part of our annual goodwill impairment assessment, we do not manage assets by segment. Adjusted Pretax Operating Income (Loss) Our senior management, including our Chief Executive Officer (Radian’s chief operating decision maker), uses adjusted pretax operating income (loss) as our primary measure to evaluate the fundamental financial performance of each of Radian’s business segments and to allocate resources to the segments. Adjusted pretax operating income (loss) is defined as pretax income (loss) from continuing operations excluding the effects of: (i) net gains (losses) on investments and other financial instruments; (ii) loss on extinguishment of debt; (iii) amortization and impairment of goodwill and other acquired intangible assets; and (iv) impairment of other long-lived assets and other non-operating items, such as gains (losses) from the sale of lines of business and acquisition-related expenses. Although adjusted pretax operating income (loss) excludes certain items that have occurred in the past and are expected to occur in the future, the excluded items represent those that are: (i) not viewed as part of the operating performance of our primary activities or (ii) not expected to result in an economic impact equal to the amount reflected in pretax income (loss). These adjustments, along with the reasons for their treatment, are described below. (1) Net gains (losses) on investments and other financial instruments. The recognition of realized investment gains or losses can vary significantly across periods as the activity is highly discretionary based on the timing of individual securities sales due to such factors as market opportunities, our tax and capital profile and overall market cycles. Unrealized gains and losses arise primarily from changes in the market value of our investments that are classified as trading or equity securities. These valuation adjustments may not necessarily result in realized economic gains or losses. Trends in the profitability of our fundamental operating activities can be more clearly identified without the fluctuations of these realized and unrealized gains or losses and changes in fair value of other financial instruments. We do not view them to be indicative of our fundamental operating activities. (2) Loss on extinguishment of debt. Gains or losses on early extinguishment of debt and losses incurred to purchase our debt prior to maturity are discretionary activities that are undertaken in order to take advantage of market opportunities to strengthen our financial and capital positions; therefore, we do not view these activities as part of our operating performance. Such transactions do not reflect expected future operations and do not provide meaningful insight regarding our current or past operating trends. (3) Amortization and impairment of goodwill and other acquired intangible assets. Amortization of acquired intangible assets represents the periodic expense required to amortize the cost of acquired intangible assets over their estimated useful lives. Acquired intangible assets are also periodically reviewed for potential impairment, and impairment adjustments are made whenever appropriate. We do not view these charges as part of the operating performance of our primary activities. (4) Impairment of other long-lived assets and other non-operating items. Includes activities that we do not view to be indicative of our fundamental operating activities, such as: (i) impairment of internal-use software and other long-lived assets; (ii) gains (losses) from the sale of lines of business; and (iii) acquisition-related expenses. The reconciliation of adjusted pretax operating income (loss) for our reportable segments to consolidated pretax income is as follows. December 31, (In thousands) 2020 2019 2018 Adjusted pretax operating income (loss): Mortgage $ 451,488 $ 852,854 $ 770,714 Real Estate (23,240) (17,987) (4,005) Total adjusted pretax operating income (loss) for reportable 428,248 834,867 766,709 All Other adjusted pretax operating income (loss) 3,819 19,768 (21,214) Net gains (losses) on investments and other financial instruments 60,277 51,719 (42,476) Loss on extinguishment of debt — (22,738) — Impairment of goodwill — (4,828) — Amortization and impairment of other acquired intangible assets (5,144) (22,288) (12,429) Impairment of other long-lived assets and other non-operating items (7,759) (7,507) (6,404) Consolidated pretax income $ 479,441 $ 848,993 $ 684,186 Revenue and Other Segment Information The following tables reconcile reportable segment revenues to consolidated revenues and summarize interest expense, depreciation expense, allocation of corporate operating expenses and adjusted pretax operating income for our reportable segments as follows. December 31, 2020 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $ 1,092,767 $ 22,554 $ 1,115,321 $ — $ — $ — $ 1,115,321 Services revenue 14,765 79,524 94,289 12,535 (1,439) — 105,385 Net investment income 137,195 361 137,556 16,481 — — 154,037 Other income 2,816 — 2,816 534 — 247 3,597 Add: Net gains (losses) on investments and other financial instruments — — — — — 60,277 60,277 Total revenues $ 1,247,543 $ 102,439 $ 1,349,982 $ 29,550 $ (1,439) $ 60,524 $ 1,438,617 Other segment information: Interest expense $ 71,150 $ — $ 71,150 Depreciation 9,815 2,559 12,374 Allocation of corporate operating expenses (1) 114,802 12,807 127,609 (1) Includes additional depreciation expense of $2.6 million, $0.3 million and $2.9 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. December 31, 2019 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $ 1,134,214 $ 11,976 $ 1,146,190 $ (841) $ — $ — $ 1,145,349 Services revenue 8,134 76,941 85,075 70,961 (1,440) — 154,596 Net investment income 151,491 680 152,171 19,625 — — 171,796 Other income 2,798 — 2,798 697 — — 3,495 Add: Net gains (losses) on investments and other financial instruments — — — — — 51,719 51,719 Total revenues $ 1,296,637 $ 89,597 $ 1,386,234 $ 90,442 $ (1,440) $ 51,719 $ 1,526,955 Other segment information: Interest expense $ 56,310 $ — $ 56,310 Depreciation 13,770 2,169 15,939 Allocation of corporate operating expenses (1) 104,078 10,165 114,243 (1) Includes additional depreciation expense of $1.6 million, $0.1 million and $1.7 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. December 31, 2018 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $1,006,721 $ 7,286 $ 1,014,007 $ — $ — $ — $ 1,014,007 Services revenue 4,968 79,080 84,048 62,574 (1,650) — 144,972 Net investment income 148,274 373 148,647 3,828 — — 152,475 Other income 2,214 1,234 3,448 580 — — 4,028 Add: Net gains (losses) on investments and other financial instruments — — — — — (42,476) (42,476) Total revenues $ 1,162,177 $ 87,973 $ 1,250,150 $ 66,982 $ (1,650) $ (42,476) $ 1,273,006 Other segment information: Interest expense $ 43,685 $ — $ 43,685 Depreciation 14,714 1,395 16,109 Allocation of corporate operating expenses (1) 80,135 8,382 88,517 (1) Includes additional depreciation expense of $0.5 million, $0.1 million and $0.6 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. The table below represents the disaggregation of services revenues by revenue type. Year Ended December 31, (In thousands) 2020 2019 2018 Real Estate services: Asset management services $ 29,841 $ 30,846 $ 42,839 Title services 23,266 14,185 5,512 Valuation services 22,582 29,026 30,269 Other real estate services 2,479 2,431 — Mortgage services 14,682 7,632 4,307 All Other services (1) 12,535 70,476 62,045 Total services revenue $ 105,385 $ 154,596 $ 144,972 (1) Includes services revenue from Clayton prior to its sale in January 2020 and amounts related to our traditional appraisal business, which we wound down beginning in the fourth quarter of 2020. Revenue recognized related to services made available to customers and billed is reflected in accounts and notes receivable. Accounts and notes receivable included $18.8 million and $10.8 million as of December 31, 2020 and 2019, respectively, related to services revenue contracts. Revenue recognized related to services performed and not yet billed is recorded in unbilled receivables and reflected in other assets. Deferred revenue, which represents advance payments received from customers in advance of revenue recognition, is immaterial for all periods presented. We have no material bad-debt expense. There was one single customer that accounted for more than 10% of NIW in 2020, as compared to none in 2019 or 2018. There was no single customer that accounted for more than 10% of our consolidated revenues (excluding net gains (losses) on investments and other financial instruments) in 2020, 2019 or 2018. |
Note 5 - Fair Value of Financia
Note 5 - Fair Value of Financial Instruments - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | Fair Value of Financial Instruments The following tables include a list of assets that are measured at fair value by hierarchy level as of December 31, 2020 and 2019. (In thousands) Level I Level II Level III Total Assets at fair value as of December 31, 2020 Investments: Fixed-maturities available for sale: U.S. government and agency securities $ 140,034 $ 29,189 $ — $ 169,223 State and municipal obligations — 165,271 — 165,271 Corporate bonds and notes — 3,047,189 — 3,047,189 RMBS — 833,939 — 833,939 CMBS — 681,265 — 681,265 CLO — 568,558 — 568,558 Other ABS — 252,457 — 252,457 Foreign government and agency securities — 5,438 — 5,438 Total fixed-maturities available for sale 140,034 5,583,306 — 5,723,340 Trading securities: State and municipal obligations — 120,449 — 120,449 Corporate bonds and notes — 123,142 — 123,142 RMBS — 13,000 — 13,000 CMBS — 34,294 — 34,294 Total trading securities — 290,885 — 290,885 Equity securities 142,761 8,479 — 151,240 Short-term investments: State and municipal obligations — 21,819 — 21,819 Money market instruments 268,900 — — 268,900 Corporate bonds and notes — 30,495 — 30,495 Other ABS — 219 — 219 Other investments (1) — 296,571 — 296,571 Total short-term investments 268,900 349,104 — 618,004 Other invested assets (2) — — 3,000 3,000 Total investments at fair value (2) 551,695 6,231,774 3,000 6,786,469 Other: Embedded derivatives (3) — — 5,513 5,513 Loaned securities: (4) U.S. government and agency securities 4,876 — — 4,876 Corporate bonds and notes — 31,324 — 31,324 Equity securities 21,299 — — 21,299 Total assets at fair value (2) $ 577,870 $ 6,263,098 $ 8,513 $ 6,849,481 (1) Comprising short-term certificates of deposit and commercial paper. (2) Does not include other invested assets of $2.0 million that are primarily invested in limited partnership investments valued using the net asset value as a practical expedient. (3) Embedded derivatives related to our Excess-of-Loss Program are classified as other assets in our consolidated balance sheets. See Note 8 for more information about our reinsurance programs. (4) Securities loaned to third-party borrowers under securities lending agreements are classified as other assets in our consolidated balance sheets. See Note 6 for more information. (In thousands) Level I Level II Level III Total Assets at fair value as of December 31, 2019 Investments: Fixed-maturities available for sale: U.S. government and agency securities $ 143,884 $ 35,700 $ — $ 179,584 State and municipal obligations — 119,994 — 119,994 Corporate bonds and notes — 2,237,611 — 2,237,611 RMBS — 779,354 — 779,354 CMBS — 588,420 — 588,420 CLO — 462,561 — 462,561 Other ABS — 316,163 — 316,163 Foreign government and agency securities — 5,224 — 5,224 Total fixed-maturities available for sale 143,884 4,545,027 — 4,688,911 Trading securities: State and municipal obligations — 118,949 — 118,949 Corporate bonds and notes — 147,232 — 147,232 RMBS — 16,180 — 16,180 CMBS — 34,789 — 34,789 Total trading securities — 317,150 — 317,150 Equity securities 124,009 6,212 — 130,221 Short-term investments: U.S. government and agency securities 127,152 — — 127,152 State and municipal obligations — 21,475 — 21,475 Money market instruments 202,461 — — 202,461 Corporate bonds and notes — 20,298 — 20,298 Other investments (1) — 147,007 — 147,007 Total short-term investments 329,613 188,780 — 518,393 Other invested assets (2) — — 1,500 1,500 Total investments at fair value (2) 597,506 5,057,169 1,500 5,656,175 Other: Embedded derivatives (3) — — 383 383 Loaned securities: (4) U.S. government and agency securities 35,309 — — 35,309 Corporate bonds and notes — 3,669 — 3,669 Equity securities 27,464 — — 27,464 Total assets at fair value (2) $ 660,279 $ 5,060,838 $ 1,883 $ 5,723,000 (1) Comprising short-term certificates of deposit and commercial paper. (2) Does not include other invested assets of $2.6 million that are primarily invested in limited partnership investments valued using the net asset value as a practical expedient. (3) Embedded derivatives related to our Excess-of-Loss Program are classified as other assets in our consolidated balance sheets. See Note 8 for more information about our reinsurance programs. (4) Securities loaned to third-party borrowers under securities lending agreements are classified as other assets in our consolidated balance sheets. See Note 6 for more information. There were no transfers to or from Level III for the years ended December 31, 2020 and 2019. Activity related to Level III assets and liabilities (including realized and unrealized gains and losses, purchases, sales, issuances, settlements and transfers) was immaterial for the years ended December 31, 2020 and 2019. Valuation Methodologies for Assets Measured at Fair Value The following are descriptions of our valuation methodologies for financial assets measured at fair value. We are responsible for the determination of the value of all investments carried at fair value and the supporting methodologies and assumptions. To assist us in this responsibility, we utilize independent third-party valuation service providers to gather, analyze and interpret market information and estimate fair values based upon relevant methodologies and assumptions for various asset classes and individual securities. We perform monthly quantitative and qualitative analyses on the prices received from third parties to determine whether the prices are reasonable estimates of fair value. Our analysis includes: (i) a review of the methodology used by third-party pricing services; (ii) a comparison of pricing services’ valuations to other independent sources; (iii) a review of month-to-month price fluctuations; and (iv) a comparison of actual purchase and sale transactions with valuations received from third parties. These processes are designed to ensure that our investment values are accurately recorded, that the data inputs and valuation techniques utilized are appropriate and consistently applied and that the assumptions are reasonable and consistent with the objective of determining fair value. U.S. Government and Agency Securities. The fair value of U.S. government and agency securities is estimated using observed market transactions, including broker-dealer quotes and actual trade activity as a basis for valuation. U.S. government and agency securities are categorized in either Level I or Level II of the fair value hierarchy. State and Municipal Obligations. The fair value of state and municipal obligations is estimated using recent transaction activity, including market observations. Valuation models are used, which incorporate bond structure, yield curve, credit spreads and other factors. These securities are generally categorized in Level II of the fair value hierarchy or in Level III when market-based transaction activity is unavailable. Money Market Instruments. The fair value of money market instruments is based on daily prices, which are published and available to all potential investors and market participants. As such, these securities are categorized in Level I of the fair value hierarchy. Corporate Bonds and Notes. The fair value of corporate bonds and notes is estimated using recent transaction activity, including market observations. Spread models are used that incorporate issuer and structure characteristics, such as credit risk and early redemption features, where applicable. These securities are generally categorized in Level II of the fair value hierarchy or in Level III when market-based transaction activity is unavailable. RMBS, CMBS, CLO and Other ABS. The fair value of these instruments is estimated based on prices of comparable securities and spreads and observable prepayment speeds. These securities are generally categorized in Level II of the fair value hierarchy or in Level III when market-based transaction activity is unavailable. The fair value of any Level III securities is generally estimated by discounting estimated future cash flows. Foreign Government and Agency Securities. The fair value of foreign government and agency securities is estimated using observed market yields used to create a maturity curve and observed credit spreads from market makers and broker-dealers. These securities are categorized in Level II of the fair value hierarchy. Equity Securities. The fair value of these securities is generally estimated using observable market data in active markets or bid prices from market makers and broker-dealers. Generally, these securities are categorized in Level I or II of the fair value hierarchy, as observable market data are readily available. From time to time, certain equity securities may be categorized in Level III of the fair value hierarchy due to a lack of market-based transaction data or the use of model-based valuations. Other Investments. These securities primarily consist of commercial paper and short-term certificates of deposit, which are categorized in Level II of the fair value hierarchy. The fair value of these investments is estimated using market data for comparable instruments of similar maturity and average yield. Other Invested Assets. These other invested assets represent a promissory note receivable. The estimated fair value approximates its cost due to the short-term nature of the note. Embedded Derivatives. The estimated fair value related to our embedded derivatives generally reflects the present value impact of the variation in investment income on the assets held by the reinsurance trusts and the contractual reference rate used to calculate the reinsurance premiums we will pay. Other Fair Value Disclosure The carrying value and estimated fair value of other selected liabilities not carried at fair value in our consolidated balance sheets were as follows as of the dates indicated. December 31, 2020 December 31, 2019 (In thousands) Carrying Estimated Carrying Estimated Liabilities: Senior notes $ 1,405,674 $ 1,563,503 $ 887,110 $ 949,500 FHLB advances 176,483 179,578 134,875 135,997 The fair value of our senior notes is estimated based on the quoted market prices. The fair value of our FHLB advances is estimated based on expected cash flows for similar borrowings. These liabilities are categorized in Level II of the fair value hierarchy. See Note 12 for further information about these borrowings. |
Note 6 - Investments Level 1 (N
Note 6 - Investments Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Investments [Abstract] | |
Investments | Investments Available for Sale Securities Our available for sale securities within our investment portfolio consisted of the following as of the dates indicated. December 31, 2020 (In thousands) Amortized Allowance for Credit Losses Gross Gross Fair Value Fixed-maturities available for sale: U.S. government and agency securities $ 176,033 $ — $ 1,677 $ (3,611) $ 174,099 State and municipal obligations 149,258 — 16,113 (100) 165,271 Corporate bonds and notes 2,832,350 (948) 250,771 (3,758) 3,078,415 RMBS 799,814 — 34,439 (314) 833,939 CMBS 645,071 — 39,495 (3,301) 681,265 CLO 569,173 — 2,026 (2,641) 568,558 Other ABS 249,988 — 2,901 (432) 252,457 Foreign government and agency securities 5,100 — 338 — 5,438 Total securities available for sale, including loaned securities 5,426,787 $ (948) $ 347,760 $ (14,157) 5,759,442 Less: loaned securities (1) 33,164 36,102 Total fixed-maturities available for sale $ 5,393,623 $ 5,723,340 (1) Included in Other assets in our consolidated balance sheet as further described below. See below for a discussion of our securities lending agreements. December 31, 2019 (In thousands) Amortized Gross Gross Fair Value Fixed-maturities available for sale: U.S. government and agency securities $ 198,613 $ 2,048 $ (733) $ 199,928 State and municipal obligations 112,003 8,032 (41) 119,994 Corporate bonds and notes 2,136,819 106,189 (1,728) 2,241,280 RMBS 766,429 14,452 (1,527) 779,354 CMBS 574,037 14,993 (610) 588,420 CLO 465,449 229 (3,117) 462,561 Other ABS 314,946 1,789 (572) 316,163 Foreign government and agency securities 5,091 133 — 5,224 Total securities available for sale, including loaned securities 4,573,387 $ 147,865 $ (8,328) 4,712,924 Less: loaned securities (1) 23,853 24,013 Total fixed-maturities available for sale $ 4,549,534 $ 4,688,911 (1) Included in Other assets in our consolidated balance sheet as further described below. See below for a discussion of our securities lending agreements. The following table provides a rollforward of the allowance for credit losses on fixed-maturities available for sale, which relates entirely to corporate bonds and notes for the periods indicated. (In thousands) Year Ended Beginning balance $ — Current provision for securities without prior allowance 1,254 Net increases (decreases) in allowance on previously impaired securities — Reduction for securities sold (306) Ending balance $ 948 Gross Unrealized Losses and Related Fair Values of Available for Sale Securities For securities deemed “available for sale” that are in an unrealized loss position and for which an allowance for credit loss has not been established, the following tables show the gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of the dates indicated. Included in the amounts as of December 31, 2020 and 2019, are loaned securities under securities lending agreements that are classified as other assets in our consolidated balance sheets, as further described below. December 31, 2020 ($ in thousands) Less Than 12 Months 12 Months or Greater Total Description of # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized U.S. government and agency securities 4 $ 90,591 $ (3,611) — $ — $ — 4 $ 90,591 $ (3,611) State and municipal obligations 4 9,626 (100) — — — 4 9,626 (100) Corporate bonds and notes 60 174,848 (3,758) — — — 60 174,848 (3,758) RMBS 5 42,003 (305) 2 915 (9) 7 42,918 (314) CMBS 43 118,345 (3,035) 6 8,312 (266) 49 126,657 (3,301) CLO 52 173,459 (970) 25 137,506 (1,671) 77 310,965 (2,641) Other ABS 26 70,759 (322) 3 12,119 (110) 29 82,878 (432) Total 194 $ 679,631 $ (12,101) 36 $ 158,852 $ (2,056) 230 $ 838,483 $ (14,157) December 31, 2019 ($ in thousands) Less Than 12 Months 12 Months or Greater Total Description of # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized U.S. government and agency securities 2 $ 26,142 $ (731) 2 $ 2,529 $ (2) 4 $ 28,671 $ (733) State and municipal obligations 1 3,959 (41) — — — 1 3,959 (41) Corporate bonds and notes 25 110,871 (1,728) — — — 25 110,871 (1,728) RMBS 27 184,378 (535) 16 36,192 (992) 43 220,570 (1,527) CMBS 33 89,994 (463) 8 6,346 (147) 41 96,340 (610) CLO 34 170,806 (327) 36 184,483 (2,790) 70 355,289 (3,117) Other ABS 32 74,733 (358) 8 25,178 (214) 40 99,911 (572) Total 154 $ 660,883 $ (4,183) 70 $ 254,728 $ (4,145) 224 $ 915,611 $ (8,328) See below for additional details on our net gains (losses) on investments, including the changes in the allowance for credit losses on fixed-maturities available for sale and other impairments due to our intent to sell securities in an unrealized loss position. See Note 2 for a discussion of our accounting policy for impairments, including our adoption of ASU 2016-13 effective January 2020. Securities Lending Agreements We participate in a securities lending program whereby we loan certain securities in our investment portfolio to third parties, generally large banks, for short periods of time. These securities lending agreements are collateralized financing arrangements whereby we transfer securities to third parties through an intermediary in exchange for cash or other securities. However, pursuant to the terms of these agreements, we maintain effective control over all loaned securities. Although we report such securities at fair value within other assets in our consolidated balance sheets, rather than in investments, the detailed information provided in this Note includes these securities. See Note 9 for additional information. Under our securities lending agreements, the borrower is required to provide to us collateral, consisting of cash or securities, in amounts generally equal to or exceeding: (i) 102% of the value of the loaned securities (105% in the case of foreign securities) or (ii) another agreed-upon percentage not less than 100% of the market value of the loaned securities. Any cash collateral we receive may be invested in liquid assets. Cash collateral, which is reinvested for our benefit by the intermediary in accordance with the investment guidelines contained in the securities lending and collateral agreements, is reflected in short-term investments, with an offsetting liability recognized in other liabilities for the obligation to return the cash collateral. Securities collateral we receive is held on deposit for the borrower’s benefit and we may not transfer or loan such securities collateral unless the borrower is in default. Therefore, such securities collateral is not reflected in our consolidated financial statements given that the risks and rewards of ownership are not transferred to us from the borrowers. Fees received and paid in connection with securities lending agreements are recorded in net investment income and interest expense, respectively, on the consolidated statements of operations. All of our securities lending agreements are classified as overnight and revolving. Securities collateral on deposit with us from third-party borrowers totaling $43.3 million and $42.4 million as of December 31, 2020 and December 31, 2019, respectively, may not be transferred or re-pledged unless the third-party borrower is in default, and is therefore not reflected in our consolidated financial statements. Net Investment Income Net investment income consisted of the following. Year Ended December 31, (In thousands) 2020 2019 2018 Investment income: Fixed-maturities $ 148,127 $ 155,104 $ 141,552 Equity securities 6,378 7,028 7,157 Short-term investments 5,774 17,255 10,270 Other 354 545 976 Gross investment income 160,633 179,932 159,955 Investment expenses (6,596) (8,136) (7,480) Net investment income $ 154,037 $ 171,796 $ 152,475 Net Gains (Losses) on Investments Net gains (losses) on investments consisted of the following. Year Ended December 31, (In thousands) 2020 2019 2018 Net realized gains (losses): Fixed-maturities available for sale (1) $ 34,869 $ 11,262 $ (11,256) Trading securities 4 (303) (1,840) Equity securities 353 (719) 532 Other investments 600 603 470 Net realized gains (losses) on investments 35,826 10,843 (12,094) Impairment losses due to intent to sell (1,401) — (1,744) Net decrease (increase) in expected credit losses (1,254) — — Net unrealized gains (losses) on investments 10,960 33,220 (27,287) Total net gains (losses) on investments $ 44,131 $ 44,063 $ (41,125) (1) Components of net realized gains (losses) on fixed-maturities available for sale include: Year Ended December 31, (In thousands) 2020 2019 2018 Gross investment gains from sales and redemptions $ 37,431 $ 17,663 $ 1,986 Gross investment losses from sales and redemptions (2,562) (6,401) (13,242) The net changes in unrealized gains (losses) recognized in earnings on investments that were still held at each period-end were as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Net unrealized gains (losses) on investments still held: Trading securities $ 10,583 $ 16,346 $ (16,281) Equity securities 1,759 11,906 (8,886) Other investments 248 (174) 447 Net unrealized gains (losses) on investments still held $ 12,590 $ 28,078 $ (24,720) Contractual Maturities The contractual maturities of fixed-maturities available for sale were as follows. December 31, 2020 (In thousands) Amortized Cost Fair Value Due in one year or less $ 125,361 $ 126,414 Due after one year through five years (1) 1,002,786 1,062,579 Due after five years through 10 years (1) 1,225,712 1,338,147 Due after 10 years (1) 808,882 896,083 Asset-backed and mortgage-backed securities (2) 2,264,046 2,336,219 Total 5,426,787 5,759,442 Less: loaned securities 33,164 36,102 Total fixed-maturities available for sale $ 5,393,623 $ 5,723,340 (1) Actual maturities may differ as a result of calls before scheduled maturity. (2) Includes RMBS, CMBS, CLO and Other ABS, which are not due at a single maturity date. Other For the years ended December 31, 2020, 2019 and 2018, we did not transfer any securities to or from the available for sale or trading categories. Our fixed-maturities available for sale include securities totaling $16.9 million and $16.8 million at December 31, 2020 and 2019, respectively, on deposit and serving as collateral with various state regulatory authorities. Our fixed-maturities available for sale also include securities serving as collateral for our FHLB advances. See Note 12 for additional information about our FHLB advances. |
Note 7 - Goodwill and Other Acq
Note 7 - Goodwill and Other Acquired Intangible Assets, Net (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | Goodwill and Other Acquired Intangible Assets, Net All of our goodwill and other acquired intangible assets relate to our Real Estate segment. The following table shows the changes in the carrying amount of goodwill as of and for the years ended December 31, 2020 and 2019. (In thousands) Goodwill Accumulated Impairment Losses Net Balance at December 31, 2018 $ 200,561 $ (186,469) $ 14,092 Goodwill acquired 538 — 538 Impairment losses — (4,828) (4,828) Balance at December 31, 2019 201,099 (191,297) 9,802 Goodwill disposed (1) (191,297) 191,297 — Balance at December 31, 2020 $ 9,802 $ — $ 9,802 (1) Related to the sale of Clayton in January 2020. The following is a summary of the gross and net carrying amounts and accumulated amortization (including impairment) of our other acquired intangible assets as of the periods indicated. December 31, 2020 December 31, 2019 (In thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Client relationships $ 43,550 $ (31,559) $ 11,991 $ 43,550 $ (27,269) $ 16,281 Technology 8,285 (7,370) 915 8,435 (6,789) 1,646 Licenses 463 (128) 335 463 (81) 382 Trade names and trademarks 480 (480) — 480 (404) 76 Total $ 52,778 $ (39,537) $ 13,241 $ 52,928 $ (34,543) $ 18,385 For the years ended December 31, 2020, 2019 and 2018, amortization expense (including impairment) was $5.1 million, $8.6 million and $12.4 million, respectively. The estimated amortization expense for 2021 and thereafter is as follows. (In thousands) Estimated Amortization Expense 2021 $ 3,450 2022 3,397 2023 3,361 2024 3,033 Thereafter — Total $ 13,241 Impairment Analysis As part of our 2020 annual goodwill impairment assessment performed during the fourth quarter, we estimated the fair value of the reporting unit using primarily an income approach. The key factor in our fair value analysis was forecasted future cash flows. We considered both positive and negative factors and concluded that, after considering all of the factors and evidence available, there was no impairment of goodwill indicated as of the measurement date because the estimated fair value of the reporting unit exceeded our carrying amount. Based primarily on the wind down of the traditional appraisal business, as of December 31, 2020, we also evaluated the recoverability of certain asset groups in the fourth quarter, including other acquired intangible assets. Based on our analysis, we recognized an impairment of client relationships of $1.0 million and technology of $0.3 million as of December 31, 2020. There was no impairment indicated for the remaining other acquired intangible assets. Clayton Sale In January 2020, we completed the sale of Clayton, through which we provided mortgage services related to loan acquisition, RMBS securitization and distressed asset reviews and servicer and loan surveillance services. We determined that the asset group associated with the sale of Clayton met the criteria to be reclassified as held for sale as of December 31, 2019 and recognized an im pairment charge of $4.8 million for goodwill allocated to this asset group. In addition, we recognized an impairment of other acquired intangible assets for $13.7 million and reclassified the remaining other acquired intangible assets balance associated with the asset group of $3.7 million as held for sale as of December 31, 2019. Assets and liabilities related to Clayton classified as held for sale are presented in other assets and other liabilities, respectively, in the consolidated balance sheets in the period in which the business was classified as held for sale as of December 31, 2019. |
Note 8 - Reinsurance
Note 8 - Reinsurance | 12 Months Ended |
Dec. 31, 2020 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance [Text Block] | Reinsurance In our mortgage insurance and title insurance businesses, we use reinsurance as part of our risk distribution strategy, including to manage our capital position and risk profile. The reinsurance arrangements for our mortgage insurance business include premiums ceded under the QSR Program, the Single Premium QSR Program, and the Excess-of-Loss Program. The amount of credit that we receive under the PMIERs financial requirements for our third-party reinsurance transactions is subject to ongoing review and approval by the GSEs. The effect of all of our reinsurance programs on our net income is as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Net premiums written: Direct $ 1,108,513 $ 1,132,338 $ 1,089,720 Assumed (1) 12,197 10,379 6,901 Ceded (2) (87,201) (56,132) (98,314) Net premiums written $ 1,033,509 $ 1,086,585 $ 998,307 Net premiums earned: Direct $ 1,286,527 $ 1,244,870 (3) $ 1,074,298 Assumed (1) 12,213 10,382 6,904 Ceded (2) (183,419) (109,903) (3) (67,195) Net premiums earned $ 1,115,321 $ 1,145,349 (3) $ 1,014,007 Ceding commissions earned (4) $ 53,654 $ 48,659 (3) $ 33,446 Ceded losses 58,266 5,859 5,086 (1) Includes premiums from our participation in certain credit risk transfer programs. (2) Net of profit commission, which is impacted by the level of ceded losses recoverable, if any, on reinsurance transactions. See Note 11 for additional information on our reserve for losses and reinsurance recoverables. (3) Includes a cumulative adjustment to unearned premiums recorded in the second quarter of 2019 related to an update to the amortization rates used to recognize revenue for Single Premium Policies. See Note 4 for further information. (4) Deferred ceding commissions of $52.5 million and $74.8 million are included in other liabilities on our consolidated balance sheets at December 31, 2020 and 2019, respectively. Single Premium QSR Program Radian Guaranty entered into each of the 2016 Single Premium QSR Agreement, 2018 Single Premium QSR Agreement and 2020 Single Premium QSR Agreement with panels of third-party reinsurers to cede a contractual quota share percent of our Single Premium NIW as of the effective date of each agreement (as set forth in the table below), subject to certain conditions. Radian Guaranty receives a ceding commission for ceded premiums written pursuant to these transactions. Radian Guaranty also receives a profit commission annually, provided that the loss ratio on the loans covered under the agreement generally remains below the applicable prescribed thresholds. Losses on the ceded risk up to this level reduce Radian Guaranty’s profit commission on a dollar-for-dollar basis. Each of the agreements is subject to a scheduled termination date as set forth in the table below; however, Radian Guaranty has the option, based on certain conditions and subject to a termination fee, to terminate any of the agreements at the end of any calendar quarter on or after the applicable optional termination date. If Radian Guaranty exercises this option in the future, it would result in Radian Guaranty reassuming the related RIF in exchange for a net payment to the reinsurer calculated in accordance with the terms of the applicable agreement. Radian Guaranty also may terminate any of the agreements prior to the applicable scheduled termination date under certain circumstances, including if one or both of the GSEs no longer grant full PMIERs capital relief for the reinsurance. The 2020 Single Premium QSR Agreement is the only QSR agreement under which Radian Guaranty is currently ceding NIW. Under the 2020 Single Premium QSR Agreement, NIW for policies issued between January 1, 2020 and December 31, 2021 is being ceded, subject to certain conditions and a limitation on ceded premiums written of $250 million. The parties may mutually agree to increase the amount of ceded risk above this level. The following table sets forth additional details regarding the Single Premium QSR Program. 2020 Singles QSR 2018 Singles QSR 2016 Singles QSR NIW Policy Dates Jan 1, 2020-Dec 31, 2021 Jan 1, 2018-Dec 31, 2019 Jan 1, 2012-Dec 31, 2017 Effective Date January 1, 2020 January 1, 2018 January 1, 2016 Scheduled Termination Date December 31, 2031 December 31, 2029 December 31, 2027 Optional Termination Date January 1, 2024 January 1, 2022 January 1, 2020 Quota Share % 65% 65% 20% - 65% (1) Ceding Commission % 25% 25% 25% Profit Commission % Up to 56% Up to 56% Up to 55% (In millions) As of December 31, 2020 RIF Ceded $ 1,597 $ 1,979 $ 3,071 (In millions) As of December 31, 2019 RIF Ceded $ — $ 3,231 $ 5,351 (1) Effective December 31, 2017, we amended the 2016 Single Premium QSR Agreement to increase the amount of ceded risk on performing loans under the agreement from 35% to 65% for the 2015 through 2017 vintages. Loans included in the 2012 through 2014 vintages, and any other loans subject to the agreement that were delinquent at the time of the amendment, were unaffected by the change and therefore the amount of ceded risk for those loans continues to range from 20% to 35%. Excess-of-Loss Program Radian Guaranty has entered into four fully collateralized reinsurance arrangements with the Eagle Re Issuers. For the respective coverage periods, Radian Guaranty retains the first-loss layer of aggregate losses, as well as any losses in excess of the outstanding reinsurance coverage amounts. The Eagle Re Issuers provide second layer coverage up to the outstanding coverage amounts. For each of these four reinsurance arrangements, the Eagle Re Issuers financed their coverage by issuing mortgage insurance-linked notes to eligible third-party capital markets investors in unregistered private offerings. The aggregate excess-of-loss reinsurance coverage for these transactions decreases over a 10-year period as the principal balances of the underlying covered mortgages decrease and as any claims are paid by the applicable Eagle Re Issuer or the mortgage insurance is canceled. Radian Guaranty has rights to terminate the reinsurance agreements upon the occurrence of certain events. In each of the insurance-linked notes transactions, the outstanding reinsurance coverage amount will begin amortizing after an initial period in which a target level of credit enhancement is obtained and will stop amortizing if certain thresholds, or triggers, are reached, including a trigger based on an elevated level of delinquencies as defined in the insurance-linked notes transaction agreements. With the exception of the most recent transaction, Eagle Re 2020-2 Ltd., the insurance-linked notes issued by the Eagle Re Issuers in connection with our Excess-of-Loss Program are currently subject to a delinquency trigger event, which was reported to the insurance-linked note investors on June 25, 2020. Both the amortization of the outstanding reinsurance coverage amount pursuant to our reinsurance arrangements with the Eagle Re Issuers and the amortization of the principal amount of the related insurance-linked notes issued by the Eagle Re Issuers have been suspended and will continue to be suspended during the pendency of the trigger event. The following table sets forth additional details regarding the Excess-of-Loss Program. (In millions) Eagle Re 2020-2 Ltd. Eagle Re 2020-1 Ltd. Eagle Re 2019-1 Ltd. Eagle Re 2018-1 Ltd. Issued October 2020 February 2020 April 2019 November 2018 NIW Policy Dates Oct 1, 2019- Jan 1, 2019- Jan 1, 2018- Jan 1, 2017- Initial RIF $ 13,011 $ 9,866 $ 10,705 $ 9,109 Initial Coverage 390 488 562 434 (1) Initial First Layer Retention 423 202 268 205 (In millions) As of December 31, 2020 RIF $ 11,748 $ 6,121 $ 4,657 $ 3,986 Remaining Coverage 390 488 385 276 (1) First Layer Retention 423 202 265 201 (In millions) As of December 31, 2019 RIF $ — $ — $ 8,409 $ 7,026 Remaining Coverage — — 487 343 (1) First Layer Retention — — 267 204 (1) Excludes a separate excess-of-loss reinsurance agreement entered into by Radian Guaranty with both initial and remaining coverage of $21.4 million. The Eagle Re Issuers are not subsidiaries or affiliates of Radian Guaranty. Based on the accounting guidance that addresses VIEs, we have not consolidated any of the Eagle Re Issuers in our consolidated financial statements, because Radian does not have: (i) the power to direct the activities that most significantly affect the Eagle Re Issuers’ economic performances or (ii) the obligation to absorb losses or the right to receive benefits from the Eagle Re Issuers that potentially could be significant to the Eagle Re Issuers. See Note 2 for more information on our accounting treatment of VIEs. The reinsurance premium due to the Eagle Re Issuers is calculated by multiplying the outstanding reinsurance coverage amount at the beginning of a period by a coupon rate, which is the sum of one-month LIBOR, or acceptable alternative to LIBOR, plus a contractual risk margin, and then subtracting actual investment income collected on the assets in the reinsurance trust during the preceding month. As a result, the premiums we pay will vary based on: (i) the spread between LIBOR and the rates on the investments held by the reinsurance trust and (ii) the outstanding amount of reinsurance coverage. As the reinsurance premium will vary based on changes in these rates, we concluded that the reinsurance agreements contain embedded derivatives, which we have accounted for separately as freestanding derivatives and recorded in other assets or other liabilities on our consolidated balance sheets. See Note 5 for additional information on our embedded derivatives. In the event an Eagle Re Issuer is unable to meet its future obligations to us, if any, our insurance subsidiaries would be liable to make claims payments to our policyholders. In the event that all of the assets in the reinsurance trust (consisting of U.S. government money market funds, cash or U.S. Treasury securities) have become worthless and the Eagle Re Issuer is unable to make its payments to us, our maximum potential loss would be the amount of mortgage insurance claim payments for losses on the insured policies, net of the aggregate reinsurance payments already received, up to the full aggregate excess-of-loss reinsurance coverage amount. In the same scenario, the related embedded derivative would no longer have value. The Eagle Re Issuers represent our only VIEs as of December 31, 2020 and December 31, 2019. The following table presents the total assets and liabilities of the Eagle Re Issuers as of the dates indicated. Total VIE Assets and Liabilities (1) Year Ended December 31, (In thousands) 2020 2019 Eagle Re 2020-2 Ltd. $ 390,324 $ — Eagle Re 2020-1 Ltd. 488,385 — Eagle Re 2019-1 Ltd. 384,602 508,449 Eagle Re 2018-1 Ltd. 275,718 357,005 Total $ 1,539,029 $ 865,454 (1) Assets held by the Eagle Re Issuers are required to be invested in U.S. government money market funds, cash or U.S. Treasury securities. Liabilities of Eagle Re Issuers consist of their mortgage insurance-linked notes, as described above. QSR Program In 2012, Radian Guaranty entered into the QSR Program with a third-party reinsurance provider. Radian Guaranty has ceded the maximum amount permitted under the QSR Program and is no longer ceding NIW under this program. RIF ceded under the QSR Program was $381.8 million and $644.5 million as of December 31, 2020 and 2019, respectively. Other Collateral Although we use reinsurance as one of our risk management tools, reinsurance does not relieve us of our obligations to our policyholders. In the event the reinsurers are unable to meet their obligations to us, our insurance subsidiaries would be liable for any defaulted amounts. However, consistent with the PMIERs reinsurer counterparty collateral requirements, Radian Guaranty’s reinsurers have established trusts to help secure our potential cash recoveries. In addition to the total VIE assets of the Eagle Re Issuers discussed above, the amount held in reinsurance trusts was $228.6 million as of December 31, 2020, compared to $203.2 million as of December 31, 2019. In addition, for the Single Premium QSR Program, Radian Guaranty holds amounts received from ceded premiums written to collateralize the reinsurers’ obligations, which is reported in reinsurance funds withheld on our consolidated balance sheets. Any loss recoveries and profit commissions paid to Radian Guaranty related to the Single Premium QSR Program are expected to be realized from this account. |
Note 9 - Other Assets (Notes)
Note 9 - Other Assets (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets Disclosure [Text Block] | Other Assets The following table shows the components of other assets for the periods indicated. December 31, (In thousands) 2020 2019 Prepaid federal income taxes (Note 10) $ 210,889 $ 134,800 Company-owned life insurance 115,586 105,721 Loaned securities (Notes 5 and 6) 57,499 66,442 Right-of-use assets (Note 13) 32,985 37,866 Assets held for sale (1) — 24,908 Other 30,488 39,935 Total other assets $ 447,447 $ 409,672 (1) Related to the sale of Clayton. See Notes 4 and 7 for additional information on assets held for sale. Liabilities held for sale at December 31, 2019 are included in other liabilities on our consolidated balance sheets. |
Note 10 - Income Taxes - Level
Note 10 - Income Taxes - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes Income Tax Provision The components of our consolidated income tax provision from continuing operations are as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Current provision (benefit) $ (16,264) $ 19,522 $ (42,398) Deferred provision 102,079 157,162 120,573 Total income tax provision $ 85,815 $ 176,684 $ 78,175 The reconciliation of taxes computed at the statutory tax rate of 21% in 2020, 2019 and 2018 to the provision for income taxes is as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Provision for income taxes computed at the statutory tax rate $ 100,683 $ 178,289 $ 143,679 Change in tax resulting from: Valuation allowance 11,290 1,941 (1,856) Uncertain tax positions (14,784) 1,202 2,589 State tax provision (benefit), net of federal impact (9,062) (293) 5,570 Other, net (2,312) (4,455) 1,778 Impact related to settlement of IRS Matter — — (73,585) Provision for income taxes $ 85,815 $ 176,684 $ 78,175 Deferred Tax Assets and Liabilities The significant components of our net deferred tax assets and liabilities from continuing operations are summarized as follows. December 31, (In thousands) 2020 2019 Deferred tax assets: State income taxes, net of federal impact $ 75,499 $ 65,917 Goodwill and intangibles 32,673 36,282 Unearned premiums 27,703 34,394 Lease liability 11,214 13,293 Accrued expenses 11,140 11,642 Share-based compensation 9,291 11,238 Deferred policy acquisition and ceding commission costs 7,043 11,190 Loss reserves 4,578 1,920 Other 8,732 11,188 Total deferred tax assets $ 187,873 $ 197,064 December 31, (In thousands) 2020 2019 Deferred tax liabilities: Contingency reserve $ 216,122 $ 137,983 Net unrealized gain on investments 70,057 29,303 Depreciation 13,029 12,803 Differences in fair value of financial instruments 9,087 5,708 Other 15,747 15,914 Total deferred tax liabilities 324,042 201,711 Less: Valuation allowance 77,728 66,437 Net deferred tax asset (liability) $ (213,897) $ (71,084) Current and Deferred Taxes As of December 31, 2020, we recorded a net current income tax payable of $17.5 million, which primarily relates to applying the standards of accounting for uncertainty in income taxes. Certain entities within our consolidated group have generated net deferred tax assets of approximately $74.9 million, relating primarily to state and local NOL carryforwards which, if unutilized, will expire during various future tax periods. We are required to establish a valuation allowance against our deferred tax assets when it is more likely than not that all or some portion of our deferred tax assets will not be realized. At each balance sheet date, we assess our need for a valuation allowance. Our assessment is based on all available evidence, both positive and negative. This requires management to exercise judgment and make assumptions regarding whether our deferred tax assets will be realized in future periods. We have determined that certain non-insurance entities within Radian may continue to generate taxable losses on a separate company basis in the near term and may not be able to fully utilize certain state and local NOLs on their state and local tax returns. Therefore, with respect to deferred tax assets relating to these state and local NOLs and other state timing adjustments, we retained a valuation allowance of $77.7 million at December 31, 2020 and $66.4 million at December 31, 2019. As a mortgage guaranty insurer, we are eligible for a tax deduction, subject to certain limitations, under Internal Revenue Code Section 832(e) for amounts required by state law or regulation to be set aside in statutory contingency reserves. The deduction is allowed only to the extent that we purchase non-interest bearing U.S. Mortgage Guaranty Tax and Loss Bonds issued by the U.S. Department of the Treasury in an amount equal to the tax benefit derived from deducting any portion of our statutory contingency reserves. As of December 31, 2020, we held $210.9 million of these bonds, which are included as prepaid income taxes within other assets in our consolidated balance sheets. The corresponding deduction of our statutory contingency reserves resulted in the recognition of a net deferred tax liability. See Note 16 for additional information about our U.S. Mortgage Guaranty Tax and Loss Bonds. IRS Matter In July 2018, we finalized a settlement with the IRS related to adjustments we had been contesting that resulted from the examination by the IRS of our 2000 through 2007 consolidated federal income tax returns. This settlement with the IRS resolved the issues and concluded all disputes related to the IRS Matter. During 2018, we recorded tax benefits of $73.6 million, which includes both the impact of the settlement with the IRS as well as the reversal of certain previously accrued state and local tax liabilities. Unrecognized Tax Benefits As of December 31, 2020, we have $3.1 million of net unrecognized tax benefits, including $1.6 million of interest and penalties, that would affect the effective tax rate, if recognized. Our policy for the recognition of interest and penalties associated with uncertain tax positions is to record such items as a component of our income tax provision, of which $0.3 million and $1.3 million were recorded for the years ended December 31, 2020 and 2019, respectively. In 2018, we recorded an income tax benefit of $61.6 million for interest and penalties primarily related to our IRS settlement. A reconciliation of the beginning and ending gross unrecognized tax benefits is as follows. Year Ended December 31, (In thousands) 2020 2019 Balance at beginning of period $ 37,208 $ 33,552 Tax positions related to the current year: Increases 250 3,215 Decreases (1,788) — Tax positions related to prior years: Increases 16,568 441 Decreases (171) — Lapses of applicable statute of limitation (31,818) — Balance at end of period $ 20,249 $ 37,208 Our total unrecognized tax benefits decreased by $17.0 million from December 31, 2019 to December 31, 2020, primarily due to the lapses of the statute of limitations relating to the 2015 and 2016 tax years offset by the increase of unrecognized tax benefits associated with our recognition of certain premium income in prior years. Although unrecognized tax benefits for this item decreased due to statute expirations, the related amounts continued to impact subsequent years, resulting in a corresponding increase. Over the next 12 months, we do not anticipate a material change in our unrecognized tax benefits. The statute of limitations related to our federal consolidated income tax return remains open for tax years 2017-2019. Additionally, among the entities within our consolidated group, various tax years remain open to potential examination by state and local taxing authorities. |
Note 11 - Losses and LAE - Leve
Note 11 - Losses and LAE - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Insurance Loss Reserves [Abstract] | |
Liability for Future Policy Benefits and Unpaid Claims Disclosure [Text Block] | Losses and Loss Adjustment Expenses Our reserve for losses and LAE, at the end of each period indicated, consisted of the following. Year Ended December 31, (In thousands) 2020 2019 Mortgage insurance loss reserves (1) $ 844,107 $ 401,273 Title insurance loss reserves 4,306 3,492 Total reserve for losses and LAE $ 848,413 $ 404,765 (1) Primarily comprises first lien primary case reserves of $799.5 million and $339.8 million at December 31, 2020 and 2019, respectively. For the periods indicated, the following table presents information relating to our mortgage insurance reserve for losses, including our IBNR reserve and LAE, but excluding our second-lien mortgage loan PDR. Year Ended December 31, (In thousands) 2020 2019 2018 Balance at January 1, $ 401,273 $ 397,891 $ 507,588 Less: Reinsurance recoverables (1) 14,594 11,009 8,350 Balance at January 1, net of reinsurance recoverables 386,679 386,882 499,238 Add: Losses and LAE incurred in respect of default notices reported and unreported in: Current year (2) 517,807 146,733 135,291 Prior years (34,547) (14,709) (31,699) Total incurred 483,260 132,024 103,592 Deduct: Paid claims and LAE related to: Current year (2) 4,148 4,220 5,856 Prior years 93,453 128,007 210,092 Total paid 97,601 132,227 215,948 Balance at end of period, net of reinsurance recoverables 772,338 386,679 386,882 Add: reinsurance recoverables (1) 71,769 14,594 11,009 Balance at December 31, $ 844,107 $ 401,273 $ 397,891 (1) Related to ceded losses recoverable on reinsurance transactions. See Note 8 for additional information. (2) Related to underlying defaulted loans with a most recent default notice dated in the year indicated. For example, if a loan had defaulted in a prior year, but then subsequently cured and later re-defaulted in the current year, that default would be considered a current year default. Reserve Activity Incurred Losses For all periods presented, case reserves established for new default notices were the primary driver of our total incurred losses, and they were primarily impacted by the number of new primary default notices received in the period and our related gross Default to Claim Rate assumption applied to those new defaults. For the year ended December 31, 2020, we experienced a significant increase in the number of new primary default notices, substantially all related to defaults of loans subject to forbearance programs implemented in response to the COVID-19 pandemic. New primary default notices totaled 108,025 for the year ended December 31, 2020, compared to 40,985 for the year ended December 31, 2019. Our gross Default to Claim Rate assumption applied to new defaults was 8.5% as of December 31, 2020, compared to 7.5% as of December 31, 2019. This increase reflects the estimated impact of a worsening macroeconomic environment, partially offset by the expected beneficial effects of mortgage relief options and other protections, including forbearance programs under the CARES Act. For all periods presented, our provision for losses was also impacted by favorable reserve development on prior year defaults, primarily due to higher Cures than previously estimated. For 2019, this favorable development was partially offset by a $30.5 million increase in our IBNR reserve estimate related to legal proceedings involving challenges from certain servicers regarding our Loss Mitigation Activities. See Note 13 for additional information . See also Note 1 for additional information on the elevated risks and uncertainties resulting from the COVID-19 pandemic to our business and Note 2 for discussion of the reserving methodology for the mortgage insurance industry, which requires that reserves for losses are generally not established until receipt of notification from servicers that a borrower has missed two payments. Default to Claim Rate. Our Default to Claim Rate estimates on defaulted loans are mainly developed based on the Stage of Default and Time in Default of the underlying defaulted loans grouped according to the period in which the default occurred, as measured by the progress toward foreclosure sale and the number of months in default. Our estimate of expected Rescissions and Claim Denials (net of expected Reinstatements) embedded in our estimated net Default to Claim Rate is generally based on our recent experience. Consideration is also given to differences in characteristics between those rescinded policies and denied claims and the loans remaining in our defaulted inventory. The following table shows our gross Default to Claim Rates on our primary portfolio based on the Time in Default and as of the dates indicated. December 31, 2020 2019 2018 Default to Claim Rate on: New defaults 8.5 % 7.5 % 8.0 % Defaults not in Foreclosure Stage: Time in Default: < 2 years (1) 21.0 % 22.0 % 23.0 % Time in Default: 2 - 5 years 62.5 % 48.0 % 52.0 % Time in Default: > 5 years 70.0 % 63.0 % 68.0 % Foreclosure Stage Defaults 75.0 % 70.0 % 75.0 % (1) Represents the weighted average Default to Claim Rate for all defaults not in foreclosure stage that have been in default for up to two years, including new defaults. The estimated Default to Claim Rates applied to defaults within this population vary by Time in Default, and range from the Default to Claim Rates on new defaults shown above, up to 55.0%, 55.6% and 57.4% for more aged defaults in this category as of December 31, 2020, 2019, and 2018, respectively. Claims Paid The decrease in claims paid in 2020 is primarily attributable to COVID-19-related forbearance plans and suspensions of foreclosures and evictions. Claims paid in 2020 include payments made to settle certain previously disclosed legal proceedings. See Note 13 for additional information about these legal proceedings . The decrease in total claims paid is consistent with the decline in outstanding default inventory prior to 2020. Concentration of Risk As of December 31, 2020, there was no state that accounted for more than 10% of our mortgage insurance business measured by primary RIF. As of December 31, 2019, California, at 11.2%, was the only state to account for more than 10% of primary RIF. California also accounted for 10.4% of our direct NIW for the year ended December 31, 2020, compared to 10.6% and 11.9% for the years ended December 31, 2019 and 2018, respectively. Additional Disclosures The following tables provide information as of and for the periods indicated about: (i) incurred losses, net of reinsurance; (ii) the total of IBNR liabilities plus expected development on reported claims, included within the net incurred loss amounts; (iii) the cumulative number of reported defaults; and (iv) cumulative paid claims, net of reinsurance. The default year represents the period that a new default notice is first reported to us by loan servicers, related to borrowers that missed two monthly payments. The information about net incurred losses and paid claims development for the years ended prior to 2020 is presented as supplementary information. Incurred Losses, Net of Reinsurance ($ in thousands) Total of IBNR Liabilities Plus Expected Development on Reported Claims (1) Cumulative Number of Reported Defaults (2) Year Ended December 31, Default Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Unaudited As of December 31, 2020 2011 $ 1,058,625 $ 1,152,016 $ 1,052,277 $ 1,050,555 $ 1,062,579 $ 1,061,161 $ 1,059,116 $ 1,060,376 $ 1,064,054 $ 1,062,826 $ 578 117,019 2012 803,831 763,969 711,213 720,502 715,646 714,783 713,750 713,839 713,146 313 88,555 2013 505,732 405,334 401,444 404,333 402,259 400,243 399,356 399,317 150 70,723 2014 337,784 247,074 265,891 264,620 260,098 261,507 261,377 73 57,541 2015 222,555 198,186 178,042 183,952 183,546 184,066 69 49,255 2016 201,016 165,440 149,753 148,811 148,640 75 45,824 2017 180,851 151,802 133,357 130,274 144 46,956 2018 131,513 116,634 95,534 279 39,341 2019 143,475 136,860 809 42,884 2020 504,160 4,540 109,411 Total $ 3,636,200 (1) Represents reserves as of December 31, 2020 related to IBNR liabilities. (2) Represents total number of new default notices received in each calendar year as compiled monthly based on reports received from loan servicers. As reflected in our Default to Claim Rate assumptions, a significant portion of reported defaults generally do not result in a claim. In certain instances, a defaulted loan may cure, and then re-default in a later period. Consistent with our reserving practice, each new event of default is treated as a unique occurrence and therefore certain loans that cure and re-default may be included as a reported default in multiple periods. Cumulative Paid Claims, Net of Reinsurance Year Ended December 31, (In thousands) Unaudited Default Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2011 $ 40,392 $ 323,216 $ 756,820 $ 892,959 $ 982,830 $ 1,016,855 $ 1,038,582 $ 1,048,966 $ 1,052,688 $ 1,057,199 2012 19,200 295,332 528,744 631,982 672,271 692,291 702,136 704,770 708,528 2013 34,504 191,040 307,361 357,087 379,036 388,688 392,818 395,093 2014 13,108 115,852 200,422 233,607 246,611 252,619 255,742 2015 10,479 84,271 142,421 163,916 172,645 174,812 2016 11,061 76,616 119,357 134,115 137,306 2017 24,653 66,585 99,678 108,484 2018 5,584 36,066 54,625 2019 4,220 18,703 2020 4,148 Total $ 2,914,640 All outstanding liabilities before 2011, net of reinsurance 30,257 Liabilities for claims, net of reinsurance (1) $ 751,817 (1) Calculated as follows: (In thousands) Incurred losses, net of reinsurance $ 3,636,200 All outstanding liabilities before 2011, net of reinsurance 30,257 Cumulative paid claims, net of reinsurance (2,914,640) Liabilities for claims, net of reinsurance $ 751,817 The following table provides a reconciliation of the net incurred losses and paid claims development tables above to the mortgage insurance reserve for losses and LAE at December 31, 2020. (In thousands) December 31, 2020 Net outstanding liabilities - mortgage insurance: Reserve for losses and LAE, net of reinsurance $ 751,817 Reinsurance recoverables on unpaid claims 71,769 Unallocated LAE 20,521 Total gross reserve for losses and LAE (1) $ 844,107 (1) Excludes title insurance reserve for losses and LAE of $4.3 million. The following is supplementary information about average historical claims duration as of December 31, 2020, representing the average distribution of when claims are paid relative to the year of default. Average Annual Percentage Payout of Incurred Losses by Age, Net of Reinsurance (Unaudited) Years 1 2 3 4 5 6 7 8 9 10 Mortgage insurance 6.2% 33.6% 30.0% 11.5% 5.2% 2.4% 1.4% 0.6% 0.4% 0.4% |
Note 12 - Borrowings and Financ
Note 12 - Borrowings and Financing Activities - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
Borrowings and Financing Activities | The carrying value of our debt at December 31, 2020 and 2019 was as follows. December 31, ($ in thousands) 2020 2019 Senior notes: Senior Notes due 2024 $ 445,512 $ 444,445 Senior Notes due 2025 516,634 — Senior Notes due 2027 443,528 442,665 Total senior notes $ 1,405,674 $ 887,110 FHLB advances: FHLB advances due 2020 $ — $ 79,002 FHLB advances due 2021 67,500 19,000 FHLB advances due 2022 61,050 11,925 FHLB advances due 2023 27,995 14,994 FHLB advances due 2024 9,954 9,954 FHLB advances due 2025 9,984 — Total FHLB advances $ 176,483 $ 134,875 Extinguishment of Debt 2019 Activity Repayment of Senior Notes due 2019. In accordance with the terms of the notes under the related indenture, we retired the remaining aggregate principal amount of $158.6 million of outstanding Senior Notes due 2019 upon their maturity in June 2019. Repurchases of Senior Notes due 2020 and 2021. During the second quarter of 2019, pursuant to cash tender offers to purchase our outstanding Senior Notes due 2020 and 2021, we purchased aggregate principal amounts of $207.2 million and $127.3 million of our Senior Notes due 2020 and 2021, respectively. We funded the purchases with $351.8 million in cash (which includes accrued and unpaid interest due on the purchased notes). These purchases resulted in a loss on extinguishment of debt of $16.8 million. During the third quarter of 2019, we redeemed the remaining $27.0 million and $70.4 million aggregate principal amount of Senior Notes due 2020 and 2021, respectively, in accordance with the terms of the related indentures. The aggregate redemption amount paid was $103.1 million, which includes accrued interest through the applicable redemption dates. These purchases resulted in a loss on extinguishment of debt of $5.9 million. Following these purchases and redemptions, there were no remaining principal amounts outstanding on the Senior Notes due 2020 and 2021 at December 31, 2019. Senior Notes Senior Notes due 2024. In September 2017, we issued $450 million aggregate principal amount of Senior Notes due 2024 and received net proceeds of $442.2 million. These notes mature on October 1, 2024 and bear interest at a rate of 4.500% per annum, payable semi-annually on April 1 and October 1 of each year, with interest payments commencing on April 1, 2018. Senior Notes due 2025. In May 2020, we issued $525 million aggregate principal amount of Senior Notes due 2025 and received net proceeds of $515.6 million. These notes mature on March 15, 2025 and bear interest at a rate of 6.625% per annum, payable semi-annually on March 15 and September 15 of each year, with interest payments commencing on September 15, 2020. Senior Notes due 2027. In June 2019, we issued $450 million aggregate principal amount of Senior Notes due 2027 and received net proceeds of $442.2 million. These notes mature on March 15, 2027 and bear interest at a rate of 4.875% per annum, payable semi-annually on March 15 and September 15 of each year, with interest payments commencing on March 15, 2020. Redemption Terms in Senior Notes. We have the option to redeem the Senior Notes due 2024, 2025 and 2027, in whole or in part, at any time, or from time to time, prior to July 1, 2024 (the date that is three months prior to the maturity date of the Senior notes due 2024), September 15, 2024 (the date that is six months prior to the maturity date of the Senior notes due 2025) and September 15, 2026 (the date that is six months prior to the maturity date of the Senior notes due 2027) (in each case, the “Par Call Date”), respectively, at a redemption price equal to the greater of: (i) 100% of the aggregate principal amount of the notes to be redeemed and (ii) the make-whole amount, which is the sum of the present values of the remaining scheduled payments of principal and interest in respect of the notes to be redeemed from the redemption date to the Par Call Date discounted to the redemption date at the applicable treasury rate plus 50 basis points, plus, in each case, accrued and unpaid interest thereon to, but excluding, the redemption date. At any time on or after the Par Call Date, we may, at our option, redeem the notes in whole or in part, at a redemption price equal to 100% of the aggregate principal amount of the notes to be redeemed, plus accrued and unpaid interest thereon to, but excluding, the redemption date. Covenants in Senior Notes. The indentures governing the Senior Notes due 2024, 2025 and 2027 contain covenants customary for securities of this nature, including covenants related to the payments of the notes, periodic reporting and certificates to be issued and covenants related to amendments to the indentures. Additionally, the indentures include covenants restricting us from encumbering the capital stock of a designated subsidiary (as defined in the indenture for the notes) or disposing of any capital stock of any designated subsidiary unless either all of the stock is disposed of or we retain more than 80% of the stock. We were in compliance with all covenants as of December 31, 2020. FHLB Advances In August 2016, Radian Guaranty and Radian Reinsurance became members of the FHLB. As members, they may borrow from the FHLB, subject to certain conditions, which include the need to post collateral and the requirement to maintain a minimum investment in FHLB stock, in part depending on the level of their outstanding FHLB advances. As of December 31, 2020, we had $176.5 million of fixed-rate advances outstanding with a weighted average interest rate of 1.12%. Interest on the FHLB advances is payable quarterly, or at maturity if the term of the advance is less than 90 days. Principal is due at maturity. For obligations with maturities greater than or equal to 90 days, we may prepay the debt at any time, subject to the calculation and payment of a prepayment fee. The principal balance of the FHLB advances is required to be collateralized by eligible assets with a market value that must be maintained generally within a range of 103% to 111% of market value, depending on the type of collateral pledged. Our fixed-maturities available for sale include securities totaling $188.0 million and $143.1 million at December 31, 2020 and 2019, respectively, which serve as collateral for our FHLB advances to satisfy this requirement. Revolving Credit Facility Radian Group has in place a $267.5 million unsecured revolving credit facility with a syndicate of bank lenders, which has a maturity date of January 18, 2022. Terms of the credit facility include an accordion feature that allows Radian Group, at its option, to increase the total borrowing capacity during the term of the agreement, subject to our obtaining the necessary increased commitments from lenders (which may include then existing or other lenders), up to a total of $300 million. Subject to certain limitations, borrowings under the credit facility may be used for working capital and general corporate purposes, including capital contributions to Radian Group’s insurance and reinsurance subsidiaries as well as growth initiatives. The credit facility contains customary representations, warranties, covenants, terms and conditions. Our ability to borrow under the credit facility is conditioned on the satisfaction of certain financial and other covenants, including covenants related to minimum net worth and statutory surplus, a maximum debt-to-capitalization level, limits on certain types of indebtedness and liens, minimum liquidity levels and Radian Guaranty’s eligibility as a private mortgage insurer with the GSEs. At December 31, 2020, Radian Group was in compliance with all the covenants and there were no amounts outstanding under this revolving credit facility. |
Note 13 - Commitments and Conti
Note 13 - Commitments and Contingencies - Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Commitments and Contingencies Legal Proceedings We are routinely involved in a number of legal actions and proceedings, including reviews, audits and inquiries by various regulatory entities, as well as litigation and other disputes arising in the ordinary course of our business. These proceedings could result in adverse judgments, settlements, fines, injunctions, restitutions or other relief that could require significant expenditures or have other effects on our business. Management believes, based on current knowledge and after consultation with counsel, that the outcome of such actions will not have a material adverse effect on our consolidated financial condition. The outcome of litigation and other legal and regulatory matters and proceedings is inherently uncertain, and it is possible that one or more of the matters currently pending or threatened could have an adverse effect on our liquidity, financial condition or results of operations for any particular period. In accordance with applicable accounting standards and guidance, we establish accruals only when we determine both that it is probable that a loss has been incurred and the amount of the loss is reasonably estimable. We accrue the amount that represents our best estimate of the probable loss; however, if we can only determine a range of estimated losses, we accrue an amount within the range that, in our judgment, reflects the most likely outcome, and if none of the estimates within the range is more likely, we accrue the minimum amount of the range. In the course of our regular review of pending legal and regulatory matters, we determine whether it is reasonably possible that a potential loss may have a material impact on our liquidity, results of operations or financial condition. If we determine such a loss is reasonably possible, we disclose information relating to such potential loss, including an estimate or range of loss or a statement that such an estimate cannot be made. On a quarterly basis, we review relevant information with respect to loss contingencies and update our accruals, disclosures and estimates of reasonably possible losses or range of losses based on such reviews. We are often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from other parties and investigation of factual allegations, rulings by the court on motions or appeals, analysis by experts, and the progress of settlement negotiations. In addition, we generally make no disclosures for loss contingencies that are determined to be remote. For matters for which we disclose an estimated loss, the disclosed estimate reflects the reasonably possible loss or range of loss in excess of the amount accrued, if any. Loss estimates are inherently subjective, based on currently available information, and are subject to management’s judgment and various assumptions. Due to the inherently subjective nature of these estimates and the uncertainty and unpredictability surrounding the outcome of legal and other proceedings, actual results may differ materially from any amounts that have been accrued. On December 22, 2016, Ocwen Loan Servicing, LLC and Homeward Residential, Inc. (collectively, “Ocwen”) filed a complaint in the U.S. District Court for the Eastern District of Pennsylvania against Radian Guaranty alleging breach of contract and bad faith claims and seeking monetary damages and declaratory relief (the “Litigation”). Ocwen has also initiated similar legal proceedings against several other mortgage insurers. On December 17, 2016, Ocwen separately filed a parallel arbitration petition against Radian Guaranty before the American Arbitration Association (“AAA”) asserting substantially the same allegations (the “Arbitration”). Ocwen’s filings together listed 9,420 mortgage insurance certificates issued under multiple insurance policies, including Pool Mortgage Insurance policies, as subject to the dispute. On June 5, 2017, Ocwen filed an amended complaint and an amended petition (collectively, the “Amended Filings”) with the court and the AAA, respectively, together listing 8,870 certificates as subject to the dispute. On April 11, 2018, the parties entered into a confidential agreement with respect to all certificates subject to the dispute. The confidential agreement resolved certain categories of claims involved in the dispute and, on April 12, 2018, the parties filed a stipulation of voluntary dismissal of the Litigation and the trial judge issued an order dismissing all claims and counterclaims in the Litigation. Radian Guaranty was not required to make any payment in connection with this confidential agreement. Pursuant to the confidential agreement, the parties: (i) dismissed the Litigation; (ii) narrowed the scope of the Arbitration to Ocwen’s breach of contract claims seeking payment of insurance benefits on approximately 2,500 certificates that Ocwen was previously pursuing through the Amended Filings; and (iii) agreed to resolve the Arbitration through an alternative dispute resolution process administered by the AAA (the “ADR Process”). Effective June 30, 2020, Radian Guaranty, PHH Mortgage Corporation, on behalf of itself, and as successor by merger to Ocwen (collectively, “PHH”), and Ocwen Financial Corporation entered into a Confidential Settlement Agreement and Release (the “Ocwen Settlement”) to fully resolve, among other things, all claims subject to the ADR Process. Implementation of the Ocwen Settlement, which was subject to the condition precedent that the GSEs consent to the settlement agreement, became effective on November 1, 2020 upon finalization of the consents. Pursuant to the Ocwen Settlement, among other things: (i) Radian made a cash settlement payment on November 6, 2020 and (ii) each party agreed to release the other with respect to all known or unknown claims with respect to the certificates subject to the ADR Process as well as with respect to all other certificates issued on loans serviced by PHH for which Radian decided claims prior to January 1, 2019. On November 13, 2020, the Arbitration and ADR Process was dismissed with prejudice. On August 31, 2018, Nationstar Mortgage LLC d/b/a Mr. Cooper (“Nationstar”) filed a complaint in the U.S. District Court for the Eastern District of Pennsylvania against Radian Guaranty (the “Complaint”) alleging breach of contract, bad faith, equitable indemnification, unjust enrichment, and conversion claims and seeking monetary damages and declaratory relief. Exhibit 1 to the Complaint lists 3,014 mortgage insurance certificates issued under multiple insurance policies as subject to disputes involving insurance coverage decisions (the “Coverage Disputed Loans”). Exhibit 2 to the Complaint further lists 2,231 mortgage insurance certificates issued under multiple insurance policies as subject to disputes involving premium refund requests. In December 2018, Radian Guaranty filed a motion to dismiss the Complaint. In March 2019, the trial judge issued an order granting in part, and denying in part, our motion to dismiss, and dismissed Nationstar’s unjust enrichment and conversion claims. In May 2019, Radian Guaranty filed an answer to the Complaint, with affirmative defenses and counterclaims. On September 23, 2019, the trial judge entered as an order a joint stipulation submitted by Nationstar and Radian Guaranty that narrowed the scope of the dispute involving Coverage Disputed Loans to claims relating to 1,704 mortgage insurance certificates. Effective June 26, 2020, Radian Guaranty and Nationstar entered into a Confidential Settlement Agreement and Release (the “Nationstar Settlement”) to fully resolve, among other things, all claims and counterclaims in this litigation. Pursuant to the Nationstar Settlement, among other things: (i) Radian agreed to make a cash settlement payment following the implementation of the Nationstar Settlement and (ii) each party agreed to release the other with respect to all known or unknown claims with respect to the certificates subject to this litigation as well as with respect to all other certificates issued under certain policies on loans serviced by Nationstar for which Radian decided claims prior to January 1, 2019. Implementation of the Nationstar Settlement remains subject to the condition precedent that the GSEs consent to the settlement agreement. On July 9, 2020, the trial judge granted the parties’ joint motion requesting to stay this litigation pending receipt of required consents. On January 5, 2021, counsel for Radian and Nationstar submitted a joint status report to the trial judge reporting that the parties anticipate receiving the GSE consents, and that the case will be dismissed in the near future. As previously disclosed, based on developments in the Ocwen and Nationstar legal proceedings discussed above, the Company’s IBNR reserve was increased in 2019 to reflect our best estimate as of that time of our probable loss in connection with these legal proceedings. The settlement agreements are materially consistent with these estimates, and as a result, the implementation of the Ocwen Settlement, which became effective as of November 1, 2020, and the execution and expected implementation of the Nationstar Settlement, do not have a material impact on our mortgage insurance reserves for these legal proceedings. A failure to receive the required consents of the GSEs to the Nationstar Settlement could restart the applicable legal proceeding, the outcome of which could have an adverse effect on our future results of operations, liquidity or financial condition. We also are periodically subject to reviews and audits, as well as inquiries, information-gathering requests and investigations. In connection with these matters, from time to time we receive requests and subpoenas seeking information and documents related to aspects of our business. Our Master Policies establish the timeline within which any suit or action arising from any right of an insured under the policy generally must be commenced. In general, any suit or action arising from any right of an insured under the policy must be commenced within two years after such right first arose for primary insurance and within three years for certain other policies, including certain Pool Mortgage Insurance policies. Although we believe that our Loss Mitigation Activities are justified under our policies, from time to time we face challenges from certain lender and servicer customers regarding our Loss Mitigation Activities. These challenges could result in additional arbitration or judicial proceedings and we may need to reassume the risk on, and increase loss reserves for, the associated policies or pay additional claims. The legal and regulatory matters and proceedings discussed above could result in adverse judgments, settlements, fines, injunctions, restitutions or other relief that could require significant expenditures or have other effects on our business. Lease Liability Our lease liability represents the present value of future lease payments over the lease term. Our leases do not provide a readily determinable implicit rate. Therefore, we must estimate our incremental borrowing rate, on a collateralized basis, to discount the lease payments based on information available at lease commencement. Our leases expire periodically through August 2032, and contain provisions for scheduled periodic rent increases. We estimate the incremental borrowing rate based on the yields of Radian Group corporate bonds, as adjusted to reflect a collateralized borrowing rate, resulting in discount rates ranging from 4.22% to 7.08%. While the majority of our lease population expires within one year of one of the Radian Group corporate bonds, our more significant leases do not. For those leases, we adjust the corporate bond rate for both U.S. Department of the Treasury rate yields and a corporate spread adjustment determined from recent market data. The following tables provide additional information related to our leases, including: (i) the components of our total lease cost; (ii) the cash flows arising from our lease transactions; (iii) supplemental balance sheet information; (iv) the weighted-average remaining lease term; (v) the weighted-average discount rate used for our leases; and (vi) the remaining maturities of our lease liabilities, as of and for the periods indicated. Year Ended December 31, ($ in thousands) 2020 2019 Operating lease cost $ 8,798 $ 9,332 Short-term lease cost 13 140 Total lease cost $ 8,811 $ 9,472 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (9,595) $ (10,615) December 31, ($ in thousands) 2020 2019 Operating leases: Operating lease right-of-use assets (1) $ 32,985 $ 37,866 Operating lease liabilities (2) 53,399 59,452 Weighted-average remaining lease term - operating leases (in years) 9.3 years 10.2 years Weighted-average discount rate - operating leases 6.72 % 6.80 % Remaining maturities of lease liabilities for future years is as follows: 2021 $ 8,330 2022 10,040 2023 10,170 2024 9,904 2025 7,976 2026 and thereafter 39,870 Total lease payments 86,290 Less: Imputed interest (32,891) Present value of lease liabilities (2) $ 53,399 (1) Classified in other assets in our consolidated balance sheets. See Note 9. (2) Classified in other liabilities in our consolidated balance sheets. Pursuant to the previous lease accounting standard, rent expense for the year ended December 31, 2018 was $9.7 million. At December 31, 2020 and 2019, there were no future minimum receipts expected from sublease rental payments. Other We provide contract underwriting to our mortgage insurance customers. Generally, under our current contract underwriting program the remedy we offer is limited indemnification. In 2020, payments for losses related to contract underwriting remedies were de minimis. In 2020, our provision for contract underwriting expenses was also de minimis. We monitor this risk and negotiate our underwriting fee structure and recourse agreements on a client-by-client basis. We also routinely audit the performance of our contract underwriters. |
Note 14 - Capital Stock (Notes)
Note 14 - Capital Stock (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Capital Stock Share Repurchase Activity On August 9, 2017, Radian Group’s board of directors authorized a share repurchase program to spend up to $50 million to repurchase Radian Group common stock in the open market or in privately negotiated transactions, based on market and business conditions, stock price and other factors. Radian established a trading plan under Rule 10b5-1 of the Exchange Act to implement the program. The Company completed this program during the first half of 2018 by purchasing 3,022,856 shares of Radian Group common stock at an average price of $16.56 per share, including commissions. On August 16, 2018, Radian Group’s board of directors approved a share repurchase program that authorized the Company to repurchase up to $100 million of its common stock in the open market or in privately negotiated transactions, based on market and business conditions, stock price and other factors. On March 20, 2019, Radian Group’s board of directors approved a $150 million increase in authorization for this program, bringing the total authorization to repurchase shares up to $250 million, excluding commissions. Radian operated this program pursuant to a trading plan under Rule 10b5-1 of the Exchange Act to implement this program. During 2019, the Company completed this program by purchasing 11,258,574 shares, which represents 5.3% of the shares outstanding at the beginning of the program, at an average price of $22.22 per share including commissions, at which time no further purchase authority remained under this program. On August 14, 2019, Radian Group’s board of directors approved a share repurchase program that authorized the Company to spend up to $200 million, excluding commissions, to repurchase Radian Group common stock in the open market or in privately negotiated transactions, based on market and business conditions, stock price and other factors. Radian operated this program pursuant to a trading plan under Rule 10b5-1 of the Exchange Act. Under this program during 2019, the Company purchased 2,195,661 shares at an average price of $22.79 per share, including commissions. As of December 31, 2019, purchase authority of up to $150.0 million remained available under this program. On February 13, 2020, Radian Group’s board of directors authorized a $275 million increase in this program, bringing the total authorization to repurchase shares up to $475 million, excluding commissions, and extended the expiration of this program extension from July 31, 2020 to August 31, 2021. During the year ended December 31, 2020, the Company purchased 11,036,248 shares at an average price of $20.51, including commissions. Effective March 19, 2020, the Company temporarily suspended purchases under its share repurchase program and canceled its then current 10b5-1 plan in response to uncertainty resulting from the COVID-19 pandemic. Radian may initiate a new 10b5-1 plan at its discretion in the future. As of December 31, 2020, purchase authority of up to $198.9 million remained available under this program. The expiration date of the current share repurchase authorization remains August 31, 2021. Other Purchases We may purchase shares on the open market to settle stock options exercised by employees and purchases under our Employee Stock Purchase Plan. In addition, upon the vesting of certain restricted stock awards under our equity compensation plans, we may withhold from such vested awards shares of our common stock to satisfy the tax liability of the award recipients. Dividends and Dividend Equivalents In each of the quarters during 2019 and 2018, we declared quarterly cash dividends on our common stock equal to $0.0025 per share. On February 13, 2020, Radian Group’s board of directors authorized an increase to the Company’s quarterly cash dividend from $0.0025 to $0.125 per share, which was declared and paid during each of the quarters in 2020. Also beginning in first quarter of 2020, dividend equivalents are accrued on RSUs when dividends are declared on the Company’s common stock, subject to certain exclusions. See Note 17 for information about our dividend equivalents on RSU awards. |
Note 16 - Statutory Information
Note 16 - Statutory Information Level 1 (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Abstract] | |
Insurance Disclosure [Text Block] | Statutory Information Radian Group serves as the holding company for our insurance subsidiaries, through which we conduct our mortgage insurance and title insurance businesses. These insurance subsidiaries are subject to comprehensive, detailed regulation by the insurance departments in the various states where our insurance subsidiaries are domiciled or licensed to transact business. Insurance laws vary from state to state, but generally grant broad supervisory powers to state agencies or officials to examine insurance companies and enforce rules or exercise discretion affecting almost every significant aspect of the insurance business, including the power to revoke or restrict an insurance company’s ability to write new business. In addition, in order to be eligible to insure loans purchased by the GSEs, mortgage insurers such as Radian Guaranty must meet the GSEs’ eligibility requirements, or PMIERs. The PMIERs are comprehensive, covering virtually all aspects of the business and operations of a private mortgage insurer, including internal risk management and quality controls, the relationship between the GSEs and the approved insurer, as well as the approved insurer’s financial condition. See “PMIERs” below for additional information. The PMIERs and state insurance regulations include various capital requirements and dividend restrictions based on our insurance subsidiaries’ statutory financial position and results of operations, as described below. Our failure to maintain adequate levels of capital could lead to intervention by the various insurance regulatory authorities, which could materially and adversely affect our business, business prospects and financial condition. Statutory Financial Statements We prepare our statutory financial statements in accordance with the accounting practices required or permitted, if applicable, by the insurance departments of the respective states of domicile of our insurance subsidiaries. Required SAP are established by the NAIC, as well as state laws, regulations and general administrative rules. In addition, insurance departments have the right to permit other specific practices that may deviate from prescribed practices. As of December 31, 2020, we did not have any prescribed or permitted SAP that resulted in reported statutory surplus or risk-based capital being different from what would have been reported had NAIC statutory accounting practices been followed. Reflecting the principal differences between SAP and GAAP, statutory financial statements typically do not include unrealized gains or losses on fixed-maturity securities, deferred policy acquisition costs, and certain net deferred tax assets and certain other less readily marketable assets that are designated as non-admitted assets. In addition to these general differences, SAP also requires that mortgage insurance companies establish a special contingency reserve equal to 50% of premiums earned in each year, generally to be maintained for 10 years, to protect policyholders against loss during adverse economic cycles. As a result of the requirement to establish and maintain this statutory liability, contingency reserves affect the ability of a mortgage insurer to pay dividends, as described below. With regulatory approval, a mortgage insurance company may make early withdrawals from this contingency reserve when incurred losses exceed 35% of net premiums in a calendar year. Due to elevated losses in 2020, Radian Guaranty received regulatory approval to release $93.0 million from contingency reserves for the year. Radian Guaranty did not release any amounts from their contingency reserves in 2019 or 2018. Based on the typical 10-year holding requirement, Radian Guaranty is scheduled to release contingency reserves to unassigned surplus in material amounts beginning in 2024. See “—Statutory Dividend Restrictions” below for additional information. As a mortgage guaranty insurer, we are eligible for a tax deduction, subject to certain limitations, related to amounts required to be set aside in statutory contingency reserves to the extent we purchase U.S. Mortgage Guaranty Tax and Loss Bonds issued by the U.S. Department of the Treasury. Under SAP, this deduction reduces the tax provision reflected in the statutory financial statements, which in turn increases statutory net income and surplus as well as Available Assets under the PMIERs. As of December 31, 2020, Radian Guaranty held $210.9 million of these bonds, which have a 10-year original maturity but may be redeemed in any tax year prior to maturity. If redeemed, the taxable income in the tax year of the redemption includes the previously deducted amount associated with the redeemed bond, and is subject to tax at the statutory tax rate applicable in the year of the redemption. Accordingly, if corporate income tax rates were to increase in a year subsequent to the tax year in which the deduction was taken, additional amounts of tax above what was paid originally for the bonds must be paid when those amounts are included in income in future years. If Radian Guaranty were to redeem its bonds early in anticipation of future corporate tax rate increases, its statutory surplus and PMIERs Available Assets would decline by the amount of the redemption only, which would be up to $210.9 million based on the amount held as of December 31, 2020. Under that scenario, Radian Guaranty would still remain in compliance with both minimum surplus requirements and the current PMIERs financial requirements, as described below. All of our mortgage insurance subsidiaries are domiciled in Pennsylvania, and we currently write new business using two principal subsidiaries, Radian Guaranty and Radian Reinsurance. Radian Guaranty, our only approved insurer under the PMIERs, is authorized as a monoline insurer to write mortgage guaranty insurance (or in states where there is no specific authorization for mortgage guaranty insurance, the applicable line of insurance under which mortgage guaranty insurance is regulated) in all 50 states, the District of Columbia and Guam. Radian Reinsurance is licensed only in Pennsylvania as a stock casualty insurance company authorized to carry on the business of credit insurance, which includes the authority to write direct mortgage guaranty insurance. We use Radian Reinsurance to participate in the credit risk transfer programs developed by Fannie Mae and Freddie Mac. Prior to the January 2020 actions described below, we also used Radian Reinsurance to provide reinsurance to Radian Guaranty. In January 2020, in connection with the termination of an intercompany reinsurance agreement between Radian Reinsurance and Radian Guaranty, Radian Reinsurance transferred $6.0 billion in RIF to Radian Guaranty and released substantially all of its contingency reserves to unassigned surplus. In turn, Radian Guaranty established equivalent contingency reserves with a corresponding decrease to its unassigned surplus. As part of these actions, the Pennsylvania Insurance Department approved a $465 million return of capital from Radian Reinsurance to Radian Group as well as the transfer of $200 million of cash and marketable securities from Radian Group to Radian Guaranty in exchange for a surplus note. This intercompany surplus note has a 3% interest rate and a stated maturity of January 31, 2030; however, any principal or interest payments made by Radian Guaranty are subject to approval by the Pennsylvania Insurance Department. To date, no payments have been made related to this surplus note. The surplus note may be redeemed or converted to paid in capital at any time upon 30 days prior notice, subject to a request by Radian Guaranty for the approval of the Pennsylvania Insurance Department. Our mortgage insurance subsidiaries also include Radian Mortgage Assurance, Radian Insurance Inc., Radian Investor Surety Inc. and Radian Mortgage Guaranty Inc. Additionally, as part of our title services, we offer title insurance through Radian Title Insurance, an Ohio domiciled title insurance underwriter and settlement services company that is licensed to issue title insurance policies in 39 states and the District of Columbia. Our insurance subsidiaries’ statutory net income and statutory policyholders’ surplus for the years ended and as of December 31, 2020, 2019 and 2018 were as follows. December 31, (In millions) 2020 2019 2018 Statutory net income (loss) Radian Guaranty $ 441.9 $ 703.4 $ 501.9 Radian Reinsurance 32.5 101.6 86.1 Other Mortgage Subsidiaries 1.1 0.1 (2.8) Radian Title Insurance 2.1 0.3 (1.8) Statutory policyholders’ surplus Radian Guaranty $ 481.5 $ 637.7 $ 814.1 Radian Reinsurance 360.7 455.6 356.2 Other Mortgage Subsidiaries 41.3 45.7 58.0 Radian Title Insurance 28.8 27.0 27.0 Statutory Capital Requirements Under state insurance regulations, Radian Guaranty is required to maintain minimum surplus levels and, in certain states, a maximum ratio of net RIF relative to statutory capital, or Risk-to-capital. There are 16 RBC States that currently impose a Statutory RBC Requirement. The most common Statutory RBC Requirement is that a mortgage insurer’s Risk-to-capital may not exceed 25 to 1. In certain of the RBC States, a mortgage insurer must satisfy a MPP Requirement. Unless an RBC State grants a waiver or other form of relief, if a mortgage insurer, such as Radian Guaranty, is not in compliance with the Statutory RBC Requirement of that state, the mortgage insurer may be prohibited from writing new mortgage insurance business in that state. The statutory capital requirements for the non-RBC States are de minimis (ranging from $1 million to $5 million); however, the insurance laws of these states generally grant broad supervisory powers to state agencies or officials to enforce rules or exercise discretion affecting almost every significant aspect of the insurance business, including the power to revoke or restrict an insurance company’s ability to write new business. Radian Guaranty’s domiciliary state, Pennsylvania, is not one of the RBC States. Radian Guaranty was in compliance with all applicable Statutory RBC Requirements or MPP Requirements, as applicable, in each of the RBC States as of December 31, 2020. Radian Guaranty’s Risk-to-capital calculation was 12.7:1 and 13.6:1 as of December 31, 2020 and 2019, respectively. For purposes of the Risk-to-capital requirements imposed by certain states, statutory capital is defined as the sum of statutory policyholders’ surplus plus statutory contingency reserves. Our other mortgage insurance and title insurance subsidiaries were also in compliance with all statutory and counterparty capital requirements as of December 31, 2020 and 2019. The NAIC is in the process of reviewing the minimum capital and surplus requirements for mortgage insurers and considering changes to the Model Act. In December 2019, a working group of state regulators released exposure drafts of a revised Model Act, including new proposed mortgage guaranty insurance capital requirements for mortgage insurers. While the process for developing this framework was inactive as a result of the COVID-19 pandemic, we understand the initiative remains active and that an effort to resume work on the exposure draft is expected in 2021. As proposed, the capital requirements set forth in the most recent exposure draft rely on, among other things, changes in the economic and housing environment, including changes in home prices and incomes. PMIERs The PMIERs financial requirements require that a mortgage insurer’s Available Assets meet or exceed its Minimum Required Assets. At December 31, 2020, Radian Guaranty is an approved mortgage insurer under the PMIERs and is in compliance with the current PMIERs financial requirements. Under the PMIERs there are increased financial requirements for loans in default, including as a result of natural disasters and pandemics. As a result, increases in defaults related to the COVID-19 pandemic have subjected Radian Guaranty to an increase in Minimum Required Assets under the PMIERs, and therefore, could impact our compliance with the PMIERs or continue to negatively impact our results of operations. However, as further described below, the PMIERs apply a multiplier that reduces the Minimum Required Asset factor for loans that have become non-performing as a result of a “FEMA Declared Major Disaster” event, including as a result of participation in a forbearance program, because those loans generally have a higher likelihood of curing following the conclusion of the event. For these defaults, the PMIERs apply the Disaster Related Capital Charge, which is a 0.30 multiplier to the factor that normally would be applied to such default, effectively reducing the required asset amount by 70%, unless the resulting Minimum Required Asset amount after applying the Disaster Related Capital Charge would be less than the Minimum Required Asset amount for the loan if it was performing, in which case the Minimum Required Asset amount would equal the performing level amount. Pursuant to the COVID-19 Amendment, the Disaster Related Capital Charge is now applied nationwide to all COVID-19 Defaulted Loans for no longer than three The GSEs may amend the PMIERs at any time, and they have broad discretion to interpret the requirements, which could impact the calculation of Radian Guaranty’s Available Assets and/or Minimum Required Assets. In addition, the GSEs have a broad range of consent rights under the PMIERs and require private mortgage insurers to obtain the prior consent of the GSEs before taking certain actions. If Radian Guaranty is unable to satisfy the requirements set forth in the PMIERs, the GSEs could restrict it from conducting certain types of business with them or take actions that may include not purchasing loans insured by Radian Guaranty. Statutory Dividend Restrictions As of December 31, 2020, the amount of restricted net assets held by our consolidated insurance subsidiaries (which represents our equity investment in those insurance subsidiaries) totaled $4.1 billion of our consolidated net assets. Despite holding assets above the minimum statutory capital thresholds and PMIERs financial requirements, the ability of Radian’s mortgage insurance subsidiaries to pay dividends on their common stock is restricted by certain provisions of the insurance laws of Pennsylvania, their state of domicile. Under Pennsylvania’s insurance laws, ordinary dividends and distributions may only be paid out of an insurer’s positive unassigned surplus, measured as of the end of the prior fiscal year, unless the Pennsylvania Insurance Department approves the payment of extraordinary dividends or other distributions from another source. As of December 31, 2020, Radian Guaranty had negative unassigned surplus of $859.5 million. Therefore, no dividends or other ordinary distributions can be paid by Radian Guaranty in 2021. In light of Radian Guaranty’s negative unassigned surplus related to operating losses in prior periods and the ongoing need to set aside contingency reserves, we do not anticipate that Radian Guaranty will be permitted under applicable insurance laws to pay ordinary dividends to Radian Group for the foreseeable future. As of December 31, 2020, Radian Reinsurance had positive unassigned surplus of $319.7 million. As a result, Radian Reinsurance does have the ability to pay an ordinary dividend in 2021. Under Pennsylvania’s insurance laws, Radian Reinsurance can distribute up to $36.1 million in 2021 without prior approval from the Pennsylvania Insurance Department. As of December 31, 2020 and 2019, Radian Guaranty had contingency reserves of $3.4 billion and $2.6 billion, respectively. As discussed above, absent early releases related to elevated incurred losses such as occurred in 2020, Radian Guaranty is scheduled to release contingency reserves to unassigned surplus in material amounts beginning in 2024, which should accelerate the reduction of its negative unassigned surplus. Under Pennsylvania’s insurance laws, an insurer may request approval to pay an Extraordinary Distribution, subject to the approval of the Pennsylvania Insurance Department. Radian Guaranty sought and received such approval to return capital by paying Extraordinary Distributions to Radian Group in 2019 and 2018. As described above, Radian Reinsurance sought and received approval to return capital by paying an Extraordinary Distribution to Radian Group in January 2020. The surplus additions (distributions) between Radian Group and Radian Guaranty and our other insurance subsidiaries for the years ended December 31, 2020, 2019 and 2018 were as follows. Year Ended December 31, (In millions) 2020 2019 2018 Additions to Radian Guaranty surplus $ 200.0 $ — $ — Distributions from Radian Guaranty surplus — (375.0) (450.0) Additions to other insurance subsidiaries’ surplus — 65.2 — Distributions from other insurance subsidiaries’ surplus (465.0) (14.0) — |
Note 17 - Share-Based Compensat
Note 17 - Share-Based Compensation and Other Benefit Programs | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based and Other Compensation Plans | Share-Based Compensation and Other Benefit ProgramsAll outstanding awards granted under the Equity Plans are performance-based or time-based awards in the form of RSUs, non-qualified stock options, or phantom stock. The maximum contractual term for stock options and similar instruments under the Equity Plans is 10 years, although awards of these instruments may be granted with shorter terms. There were 3,478,075 shares available for grant under the Amended and Restated Equity Compensation Plan as of December 31, 2020 (the “share reserve”). Each grant of restricted stock, RSUs, or performance share awards under the Amended and Restated Equity Compensation Plan (other than those settled in cash) reduces the share reserve available for grant under the Amended and Restated Equity Compensation Plan by 1.31 shares for every share subject to such grant. Absent this share reserve adjustment for outstanding restricted stock, RSUs, phantom stock or performance share awards, our shares remaining available for grant under the Amended and Restated Equity Compensation Plan would have been 8,050,843 shares as of December 31, 2020. Most awards vest at the end of the performance or service period and will vest earlier under certain circumstances. In the event of a grantee’s death or disability, awards generally vest immediately. Upon retirement, if certain conditions are met, awards generally vest immediately or at the end of the performance period, if any. Certain time-based RSU awards granted to officers under our Amended and Restated Equity Compensation Plan will vest in whole or in part in the event the grantee’s employment is terminated by us without cause or for “good reason.” Awards granted to officers will vest in connection with a change of control only in the event the grantee’s employment is terminated by us without cause or the grantee terminates employment for “good reason,” in each case within 90 days before or one year after the change of control. Awards to our non-employee directors will vest in connection with a change of control only in the event the grantee fails to be appointed to the board of directors of the surviving entity or is not nominated for reelection, or fails to be reelected after nomination, to the board of directors of the Company or the surviving entity. The following table summarizes the compensation cost recognized and additional information regarding all share-based awards for the years indicated. Year Ended December 31, (In thousands) 2020 2019 2018 Compensation cost recognized: (1) RSUs $ 18,403 $ 20,694 $ 16,591 Employee Stock Purchase Plan 671 444 453 Non-Qualified Stock Options and Other 119 276 605 Total compensation cost recognized 19,193 21,414 17,649 Less: Costs deferred as acquisition costs — 373 324 Share-based compensation expense 19,193 21,041 17,325 Income tax benefit related to share-based compensation expense 4,264 6,343 2,863 Share-based compensation expense, net $ 14,929 $ 14,698 $ 14,462 (1) Compensation cost is generally recognized over the periods that an employee provides service in exchange for the award. For purposes of calculating compensation cost recognized for retirement eligible grantees, we consider the service condition to be met (and recognize the full compensation costs) as of the date when a grantee becomes retirement eligible. As of December 31, 2020, unrecognized compensation expense for all of our outstanding share-based awards was $22.7 million. Absent a change of control under the Equity Plans, this expense is expected to be recognized over a weighted-average period of approximately 1.9 years. The ultimate unrecognized expense associated with our outstanding awards could differ, depending upon whether or not the performance and service conditions are met. RSUs Information with regard to RSUs to be settled in stock for the periods indicated is as follows. Performance-Based Time-Vested Number of Weighted-Average Number of Weighted-Average Outstanding, December 31, 2019 (1) 2,375,005 $ 15.84 1,869,740 $ 13.82 Granted (2) 839,330 11.91 763,608 13.49 Performance adjustment (3) 168,749 — — — Vested (4) (1,174,535) 13.14 (501,283) 15.98 Forfeited (22,305) 18.69 (13,180) 17.61 Outstanding, December 31, 2020 (1) 2,186,244 15.71 2,118,885 13.16 (1) Outstanding RSUs represent shares that have not yet been issued because not all conditions necessary to earn the right to benefit from the instruments have been satisfied. The final amount of RSUs distributed depends on the employee’s level of performance achieved and, with the exception of certain retirement-eligible employees, continued service through the vesting date, which could result in changes in vested RSUs. (2) For performance-based RSUs, amount represents the number of target shares at grant date. (3) For performance-based RSUs, represents the difference between the number of target shares at grant date and the number of shares vested at settlement, which can range from 0 to 200% of target depending on results over the applicable performance periods. (4) Represents amounts vested during the year, including the impact of performance adjustments for performance-based awards. The weighted-average grant date fair value of performance-based RSUs granted during 2019 and 2018 was $21.45 and $15.07, respectively. The weighted-average grant date fair value of time-vested RSUs granted during 2019 and 2018 was $22.76 and $16.24, respectively. The fair value as of the respective vesting dates of performance-based RSUs vested during 2020, 2019 and 2018 was $17.2 million, $10.6 million, and $0.2 million, respectively. The fair value as of the respective vesting dates of time-vested RSUs vested during 2020, 2019 and 2018 was $7.6 million, $10.9 million, and $4.2 million, respectively. In February 2020, the Compensation and Human Capital Management Committee of Radian Group’s board of directors approved the amendment of outstanding performance-based RSU awards and time-based RSU awards held by eligible employees (including former employees) and directors of the Company to add dividend equivalent rights to such equity awards, subject to certain exclusions. Therefore, beginning in the first quarter of 2020, dividend equivalents are accrued on these awards when dividends are declared on the Company’s common stock and will generally be paid in cash when the awards are settled. Performance-Based RSUs. In 2020, 2019 and 2018, the vesting of the performance-based RSUs granted to each executive officer and non-executive will be based upon the cumulative growth in Radian’s book value per share, adjusted for certain defined items, over a three three one The grant date fair value of the performance-based RSUs that are based on the cumulative growth in Radian’s book value per share is calculated based on the stock price as of the grant date, discounted for executives for the one Time-Vested RSUs. With the exception of certain time-vested RSUs granted in 2020, 2019 and 2018 to non-employee directors, the time-vested RSU awards granted in 2020, 2019 and 2018 are scheduled to vest in: (i) pro rata installments on each of the first three anniversaries of the grant date or (ii) generally at the end of three years. Certain time-vested RSU awards granted in 2020, 2019 and 2018 to non-employee directors generally are subject to one Non-Qualified Stock Options Information with regard to stock options for the periods indicated is as follows. ($ in thousands, except per-share amounts) Number of Weighted Weighted Aggregate Intrinsic Value (1) Outstanding, December 31, 2019 981,547 $ 10.05 Granted — — Exercised (207,598) 7.50 Forfeited — — Expired (430) 18.42 Outstanding, December 31, 2020 773,519 $ 10.73 3.2 $ 7,366 Exercisable, December 31, 2020 773,519 $ 10.73 3.2 $ 7,366 (1) Based on the market price of $20.25 at December 31, 2020. The following table summarizes additional information concerning stock option activity for the periods indicated. Years Ended December 31, ($ in thousands, except per-share amounts) 2020 2019 2018 Aggregate intrinsic value of options exercised $ 3,344 $ 4,984 $ 6,274 Tax benefit of options exercised 702 1,047 1,318 Cash received from options exercised 1,553 2,416 1,425 Upon the exercise of stock options, we generally issue shares from the authorized, unissued share reserves when the exercise price is less than the treasury stock repurchase price and from treasury stock when the exercise price is greater than the treasury stock repurchase price. Generally, the stock option awards have a four There were no stock options granted in 2020, 2019 and 2018. Employee Stock Purchase Plan On May 9, 2018, stockholders of Radian approved the Amended and Restated Radian Group Inc. ESPP, which amended and restated the Radian Group Inc. 2008 Employee Stock Purchase Plan. The Amended and Restated Radian Group Inc. ESPP is designed to allow eligible employees to purchase shares of our common stock at a discount of 15% off the lower of the fair market value of our common stock at the beginning or end of a six Under this plan, we issued 100,022; 107,009; and 103,668 shares to employees during the years ended December 31, 2020, 2019 and 2018, respectively. As of February 2021, 1,776,532 shares remain available for issuance under the Amended and Restated Radian Group Inc. ESPP. Benefit Plans The Radian Group Inc. Savings Incentive Plan (“Savings Plan”) covers substantially all of our full-time and our part-time employees. Participants can contribute up to 100% of their base earnings as pretax and/or after-tax (Roth IRA) contributions up to a maximum amount of $19,500 for 2020. The Savings Plan also includes a catch-up contribution provision whereby participants who are or will be age 50 and above during the Savings Plan year may contribute an additional contribution. The maximum catch-up contribution for the Savings Plan in 2020 was $6,500. We match up to 100% of the first 6.0% of eligible compensation contributed in any given year. Our expense for matching funds for the years ended December 31, 2020, 2019 and 2018 was $7.8 million, $5.6 million and $6.1 million, respectively. |
Schedule I Summary Of Investmen
Schedule I Summary Of Investments | 12 Months Ended |
Dec. 31, 2020 | |
Schedule I Summary of Investments [Abstract] | |
Summary of Investments-Other than Investments in Related Parties [Text Block] | Radian Group Inc. and Its Consolidated Subsidiaries (In thousands) Amortized Allowance for Credit Losses Fair Value Amount Reflected on the Consolidated Balance Sheet Type of Investment Fixed-maturities available for sale: Bonds: U.S. government and agency securities $ 176,033 $ — $ 174,099 $ 174,099 State and municipal obligations 149,258 — 165,271 165,271 Corporate bonds and notes 2,832,350 (948) 3,078,415 3,078,415 RMBS 799,814 — 833,939 833,939 CMBS 645,071 — 681,265 681,265 CLO 569,173 — 568,558 568,558 Other ABS 249,988 — 252,457 252,457 Foreign government and agency securities 5,100 — 5,438 5,438 Total securities available for sale 5,426,787 (948) 5,759,442 (1) 5,759,442 (1) Trading securities 260,863 — 290,983 (2) 290,983 (2) Equity securities: Common stocks 166,721 — 172,539 172,539 Total equity securities 166,721 — 172,539 (3) 172,539 (3) Short-term investments (4) 618,014 — 618,004 618,004 Other invested assets 3,145 — 4,973 4,973 Total investments other than investments in related parties $ 6,475,530 $ (948) $ 6,845,941 $ 6,845,941 (1) Includes $36.1 million of fixed-maturity securities available for sale loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (2) Includes $0.1 million of trading securities loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (3) Includes $21.3 million of equity securities loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (4) Includes cash collateral held under securities lending agreements of $15.6 million that is reinvested in money market instruments. |
Schedule II Financial Informati
Schedule II Financial Information of Registrant | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Statements Parent Only [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | Condensed Balance Sheet (In thousands, except per-share amounts) December 31, December 31, Assets Investments Fixed-maturities available for sale—at fair value (amortized cost of $836,191 and $429,999) $ 844,393 $ 430,442 Equity securities—at fair value (cost of $— and $13,280) — 13,381 Short-term investments—at fair value 233,569 162,363 Other invested assets—at fair value 3,000 1,500 Total investments 1,080,962 607,686 Cash 20,141 23,534 Investment in subsidiaries, at equity in net assets (Note C) 4,545,508 4,413,065 Accounts and notes receivable 300,656 100,775 Other assets (Note C) 75,305 113,917 Total assets $ 6,022,572 $ 5,258,977 Liabilities and Stockholders’ Equity Liabilities: Senior notes $ 1,405,674 $ 887,110 Net deferred tax liability (Note A) 272,868 253,739 Other liabilities 59,677 69,405 Total liabilities 1,738,219 1,210,254 Common stockholders’ equity Common stock: par value $0.001 per share; 485,000 shares authorized at December 31, 2020 and 2019; 210,130 and 219,123 shares issued at December 31, 2020 and 2019, respectively; 191,606 and 201,164 shares outstanding at December 31, 2020 and 2019, respectively 210 219 Treasury stock, at cost: 18,524 and 17,959 shares at December 31, 2020 and 2019, respectively (910,115) (901,657) Additional paid-in capital 2,245,897 2,449,884 Retained earnings 2,684,636 2,389,789 Accumulated other comprehensive income (loss) 263,725 110,488 Total common stockholders’ equity 4,284,353 4,048,723 Total liabilities and stockholders’ equity $ 6,022,572 $ 5,258,977 Radian Group Inc. Year Ended December 31, (In thousands) 2020 2019 2018 Revenues: Net investment income $ 19,459 $ 19,751 $ 21,294 Net gains (losses) on investments and other financial instruments 5,682 12,863 (470) Other income 101 218 — Total revenues 25,242 32,832 20,824 Expenses: Loss on extinguishment of debt — 22,738 — Interest expense — — 17,805 Other operating expenses 2,619 — — Total expenses (Note B) 2,619 22,738 17,805 Pretax income 22,623 10,094 3,019 Income tax benefit (3,165) (19,997) (3,319) Equity in net income of affiliates 367,838 642,218 599,673 Net income 393,626 672,309 606,011 Other comprehensive income (loss), net of tax 153,237 171,408 (86,953) Comprehensive income $ 546,863 $ 843,717 $ 519,058 Radian Group Inc. Year Ended December 31, (In thousands) 2020 2019 2018 Cash flows from operating activities: Net cash provided by (used in) operating activities (1) $ (13,741) $ 143,664 $ 254,698 Cash flows from investing activities: Proceeds from sales of: Fixed-maturities available for sale 304,737 296,171 6,779 Trading securities — 56,787 — Equity securities 13,401 16,916 — Proceeds from redemptions of: Fixed-maturities available for sale 238,161 149,767 12,391 Trading securities — 114 — Purchases of: Fixed-maturities available for sale (691,874) (293,284) (37,552) Sales, redemptions and (purchases) of : Short-term investments, net (53,024) 157,045 (131,164) Other assets, net (6,068) (6,958) (3,317) Capital distributions from subsidiaries 19,000 6,000 — Capital contributions to subsidiaries (5,050) (65,879) (30,338) Net cash provided by (used in) investing activities (180,717) 316,679 (183,201) Cash flows from financing activities: Dividends paid (97,458) (2,061) (2,140) Issuance of senior notes, net 515,567 442,439 — Repayments and repurchases of senior notes — (610,763) — Issuance of common stock 1,553 2,416 1,385 Repurchases of common shares (226,305) (300,201) (50,053) Credit facility commitment fees paid (2,292) (989) (1,510) Net cash provided by (used in) financing activities 191,065 (469,159) (52,318) Effect of exchange rate changes on cash and restricted cash — (2) — Increase (decrease) in cash and restricted cash (3,393) (8,818) 19,179 Cash and restricted cash, beginning of period 23,534 32,352 13,173 Cash and restricted cash, end of period $ 20,141 $ 23,534 $ 32,352 (1) Includes cash distributions received from subsidiaries of $1.7 million, $26.6 million and $55.4 million in 2020, 2019 and 2018, respectively. Excludes non-cash distributions received from subsidiaries of $484.1 million, $362.4 million and $394.6 million in 2020, 2019 and 2018, respectively. Radian Group Inc. Note A The Radian Group Inc. (the “Parent Company”, “we” or “our”) financial statements represent the stand-alone financial statements of the Parent Company. These financial statements have been prepared on the same basis and using the same accounting policies as described in the consolidated financial statements included herein, except that the Parent Company uses the equity-method of accounting for its majority-owned subsidiaries. These financial statements should be read in conjunction with our consolidated financial statements and the accompanying notes thereto. See Notes 12 and 14 of Notes to Consolidated Financial Statements for additional information on the Parent Company’s debt obligations and capital stock. The Parent Company has entered into the following intercompany guarantees with certain of our subsidiaries: ■ Radian Group and Radian Mortgage Assurance are parties to a guaranty agreement, which provides that Radian Group will make sufficient funds available to Radian Mortgage Assurance to ensure that Radian Mortgage Assurance has a minimum of $5.0 million of statutory policyholders’ surplus every calendar quarter. Radian Mortgage Assurance had $8.7 million of statutory policyholders’ surplus and no RIF exposure as of December 31, 2020. ■ To allow our mortgage insurance customers to comply with applicable securities regulations for issuers of ABS (including mortgage-backed securities), Radian Group has guaranteed two structured transactions for Radian Guaranty with $73.2 million of aggregate remaining credit exposure as of December 31, 2020. As of December 31, 2020, Radian Group recorded a net deferred tax liability of $272.9 million. This balance includes liabilities related to certain of our subsidiaries, which have incurred federal NOLs that could not be carried-back and utilized on a separate company tax return basis. As a result, we are not currently obligated under our tax-sharing agreement to reimburse these subsidiaries for their separate company federal NOL carryforward. However, if in a future period one of these subsidiaries utilizes its share of federal NOL carryforwards on a separate entity basis, then Radian Group may be obligated to fund such subsidiary’s share of our consolidated tax liability to the IRS. Note B The Parent Company provides certain services to its subsidiaries. The Parent Company allocates to its subsidiaries expenses it incurs in the capacity of supporting those subsidiaries, including operating expenses, which are allocated based on the forecasted annual percentage of total revenue, which approximates the estimated percentage of time spent on certain subsidiaries, and interest expense, which is allocated based on relative capital. These expenses are presented net of allocations in the Statements of Operations. Substantially all operating expenses and interest expense, have been allocated to the subsidiaries for 2020, 2019 and 2018. Amounts allocated to the subsidiaries for expenses are based on actual cost, without any mark-up. The Parent Company considers these charges fair and reasonable. The subsidiaries generally reimburse the Parent Company for these costs in a timely manner, which has the impact of temporarily improving the cash flows of the Parent Company, if accrued expenses are reimbursed prior to actual payment. The following table shows the components of our Parent Company expenses that have been allocated to our subsidiaries for the periods indicated. Year Ended December 31, (in thousands) 2020 2019 2018 Allocated operating expenses $ 129,870 $ 124,412 $ 94,815 Allocated interest expense 68,938 53,692 42,195 Total allocated expenses $ 198,808 $ 178,104 $ 137,010 Note C During 2020, certain non-insurance subsidiaries had not generated sufficient cash flow to reimburse the Parent Company for its share of its direct and allocated operating expenses, and therefore the Parent Company effectively contributed a total of $116.8 million to these subsidiaries to reflect the impairment of the intercompany receivables representing unreimbursed direct and allocated costs. |
Schedule IV Reinsurance
Schedule IV Reinsurance | 12 Months Ended |
Dec. 31, 2020 | |
Reinsurance Insurance Premiums Earned [Abstract] | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Text Block] | Radian Group Inc. ($ in thousands) Premiums Earned Gross Ceded Assumed Net Assumed Premiums as a Percentage of Net Premiums 2020 Mortgage Insurance $ 1,263,684 $ 183,130 $ 12,213 $ 1,092,767 1.12 % Title Insurance 22,843 289 — 22,554 0.00 % Total $ 1,286,527 $ 183,419 $ 12,213 $ 1,115,321 1.10 % 2019 Mortgage Insurance $ 1,233,528 $ 109,696 $ 10,382 $ 1,134,214 0.92 % Title Insurance 11,342 207 — 11,135 0.00 % Total $ 1,244,870 $ 109,903 $ 10,382 $ 1,145,349 0.91 % 2018 Mortgage Insurance $ 1,066,860 $ 67,047 $ 6,904 $ 1,006,717 0.69 % Title Insurance 7,438 148 — 7,290 0.00 % Total $ 1,074,298 $ 67,195 $ 6,904 $ 1,014,007 0.68 % |
Note 2 - Significant Accounti_2
Note 2 - Significant Accounting Policies - Level 2 (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation, Policy | Basis of PresentationOur consolidated financial statements are prepared in accordance with GAAP and include the accounts of Radian Group Inc. and its subsidiaries. All intercompany accounts and transactions, and intercompany profits and losses, have been eliminated. Certain prior period amounts have been reclassified to conform to current period presentation, including certain balance sheet line items that were previously reported in other assets or other liabilities and certain segment reporting balances due to changes in the composition of our segments during 2020. |
Use of Estimates, Policy | Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of our contingent assets and liabilities at the dates of the financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. While the amounts included in our consolidated financial statements include our best estimates and assumptions, actual results may vary materially. |
Investments, Policy | Investments We group fixed-maturity securities in our investment portfolio into one of three main categories: held to maturity, available for sale or trading securities. Fixed-maturity securities for which we have the positive intent and ability to hold to maturity, if any, are classified as held to maturity and are reported at amortized cost. Trading securities are reported at fair value, with unrealized gains and losses reported as a separate component of income. Investments in fixed-maturity securities not classified as held to maturity or trading securities are classified as available for sale and are reported at fair value, with unrealized gains and losses (net of tax) reported as a separate component of stockholders’ equity as accumulated other comprehensive income (loss). Equity securities consist of holdings in common stock, preferred stock and exchange traded funds, which are recorded at fair value with unrealized gains and losses reported in income. Short-term investments consist of money market instruments, certificates of deposit and highly liquid, interest-bearing instruments with an original maturity of 12 months or less at the time of purchase. Amortization of premium and accretion of discount are calculated principally using the interest method over the term of the investment. Realized gains and losses on investments are recognized using the specific identification method. See Notes 5 and 6 for further discussion on investments. We recognize an impairment as a loss for fixed-maturities available for sale on the statement of operations if: (i) we intend to sell the impaired security; (ii) it is more likely than not that we will be required to sell the impaired security prior to recovery of its amortized cost basis; or (iii) the present value of cash flows we expect to collect is less than the amortized cost basis of a security. In those instances, we record an impairment loss through earnings that varies depending on specific circumstances. If a sale is likely, the full amount of the impairment is recognized as a loss in the statement of operations. Otherwise, unrealized losses on securities are separated into: (i) the portion of loss that represents the credit loss and (ii) the portion that is due to other factors. In evaluating whether a decline in value for other securities relates to an existing credit loss, we consider several factors, including, but not limited to, the following: ■ the extent to which the amortized cost basis is greater than fair value; ■ reasons for the decline in value (e.g., adverse conditions related to industry or geographic area, changes in financial condition to the issuers or underlying loan obligors); ■ any changes to the rating of the security by a rating agency; ■ the failure of the issuer to make a scheduled payment; ■ the financial position, access to capital and near-term prospects of the issuer, including the current and future impact of any specific events; and ■ our best estimate of the present value of cash flows expected to be collected. Prior to the adoption of ASU 2016-13, Financial Instruments—Credit Losses (“ASU 2016-13”), as described below under “—Recent Accounting Pronouncements” and effective January 1, 2020, we also considered the duration of the decline in value in assessing whether our fixed income securities available for sale have a credit loss impairment. As a result of the adoption of ASU 2016-13, on initial recognition and at each reporting date after a credit loss is identified, we recognize an allowance for remaining lifetime expected credit losses. This amount is calculated as the difference between the amortized cost and the present value of future expected cash flows, limited to the difference between the carrying amount (i.e. fair value) and amortized cost. If a credit loss is determined to exist, the credit loss impairment is included in net gains (losses) on investments and other financial instruments in the statement of operations, with an offset to an allowance for credit losses. Subsequent changes (favorable and unfavorable) in expected credit losses are recognized immediately in net income as a credit loss impairment or a reversal of credit loss impairment. Prior to the adoption of ASU 2016-13, the amortized cost of any other-than-temporarily impaired securities was written down to a new basis and any subsequent increases in fair value were recognized as a component of other comprehensive income until such gains were realized through cash collection or sale, rather than through net income. |
Fair Value of Financial Instruments, Policy | Fair Value of Financial Instruments Our estimated fair value measurements are intended to reflect the assumptions market participants would use in pricing an asset or liability based on the best information available. Assumptions include the risks inherent in a particular valuation technique (such as a pricing model) and the risks inherent in the inputs to the model. Changes in economic conditions and capital market conditions, including but not limited to, credit spread changes, benchmark interest rate changes, market volatility and changes in the value of underlying collateral, could cause actual results to differ materially from our estimated fair value measurements. We define fair value as the current amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In accordance with GAAP, we established a three-level valuation hierarchy for disclosure of fair value measurements based on the transparency of inputs to the valuation of an asset or liability as of the measurement date. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level I measurements) and the lowest priority to unobservable inputs (Level III measurements). The level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is significant to the measurement in its entirety. The three levels of the fair value hierarchy are defined below: Level I — Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level II — Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities; and Level III — Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. Level III inputs are used to measure fair value only to the extent that observable inputs are not available. For markets in which inputs are not observable or are limited, we use significant judgment and assumptions that a typical market participant would use to evaluate the market price of an asset or liability. Given the level of judgment necessary, another |
Restricted Cash, Policy | Restricted Cash Included in our restricted cash balances as of December 31, 2020 were cash funds held in trusts for the benefit of: a mortgage insurance reserve policy held in escrow for any future duties, rights and liabilities; certain policyholders; servicer liabilities; and title services obligations. |
Accounts and Notes Receivable, Policy | Accounts and Notes ReceivableAccounts and notes receivable primarily consist of accrued premiums receivable, amounts billed and due from our customers for services performed, and certain receivables related to our reinsurance transactions. See “—Revenue Recognition—Mortgage Insurance” below for information on our deferred premium receivable, and Note 8 for details on our reinsurance agreements. Accounts and notes receivable are carried at their estimated collectible amounts, net of any allowance for doubtful accounts, and are periodically evaluated for collectability based on past payment history and current economic conditions |
Income Taxes, Policy | Income Taxes We provide for income taxes in accordance with the provisions of the accounting standard regarding accounting for income taxes. As required under this standard, our deferred tax assets and deferred tax liabilities are recognized under the balance sheet method, which recognizes the future tax effect of temporary differences between the amounts recorded in our consolidated financial statements and the tax bases of these amounts. Deferred tax assets and deferred tax liabilities are measured using the enacted tax rates that are expected to apply to taxable income in the periods in which the deferred tax asset or deferred tax liability is expected to be realized or settled. In regards to accumulated other comprehensive income, the Company’s policy for releasing disproportionate income tax effects is to release the effects as individual items are sold. We are required to establish a valuation allowance against our deferred tax assets when it is more likely than not that all or some portion of our deferred tax assets will not be realized. At each balance sheet date, we assess our need for a valuation allowance. Our assessment is based on all available evidence, both positive and negative. This requires management to exercise judgment and make assumptions regarding whether our deferred tax assets will be realized in future periods. Our provision for income taxes for interim financial periods is based on an estimate of our annual effective tax rate for the full year. When estimating our full year effective tax rate, we adjust our estimate for gains and losses on our investments, changes in the accounting for uncertainty in income taxes, changes in our beginning of year valuation allowance, and other adjustments. The impact of these items is accounted for as Discrete Items at the applicable federal tax rate. |
Reserve for Losses and LAE, Policy | Reserve for Losses and LAE Mortgage Insurance We establish reserves to provide for losses and LAE on our mortgage insurance policies, which include the estimated costs of settling claims, in accordance with the accounting standard regarding accounting and reporting by insurance enterprises (ASC 944). Although this standard specifically excludes mortgage insurance from its guidance relating to the reserve for losses, because there is no specific guidance for mortgage insurance, we establish reserves for mortgage insurance as described below, using the guidance contained in this standard supplemented with other accounting guidance. In our mortgage insurance business, the default and claim cycle begins with the receipt of a default notice from the loan servicer. Case reserves for losses are established upon receipt of notification from servicers that a borrower has missed two monthly payments, which is when we consider a loan to be in default for financial statement and internal tracking purposes. We also establish reserves for associated LAE, consisting of the estimated cost of the claims administration process, including legal and other fees and expenses associated with administering the claims process. We do not establish reserves for loans that are in default if we believe that we will not be liable for the payment of a claim with respect to that default. We generally do not establish loss reserves for expected future claims on insured mortgages that are not in default. See “—Reserve for Premium Deficiency” below for an exception to these general principles. With respect to loans that are in default, considerable judgment is exercised as to the adequacy of reserve levels. We use an actuarial projection methodology referred to as a “roll rate” analysis that uses historical claim frequency information to determine the projected ultimate Default to Claim Rates based on the Stage of Default and Time in Default as well as the date that a loan goes into default. The Default to Claim Rate also includes our estimates with respect to expected Loss Mitigation Activities, which have the effect of reducing our Default to Claim Rates. After estimating the Default to Claim Rate, we estimate Claim Severity based on the average of recently observed severity rates within product type, type of insurance, and Time in Default cohorts. These average severity estimates are then applied to individual loan coverage amounts to determine reserves. The impact to our reserve due to estimated future Loss Mitigation Activities incorporates our expectations regarding the number of policies that we expect to be reinstated as a result of our claims rebuttal process. Rescissions, Claim Denials and Claim Curtailments may occur for various reasons, including, without limitation, underwriting negligence, fraudulent applications and appraisals, breach of representations and warranties and inadequate documentation, primarily related to our insurance written in years prior to and including 2008. Unless a liability associated with such activities or discussions becomes probable and can be reasonably estimated, we consider our claim payments and our Rescissions, Claim Denials and Claim Curtailments to be resolved for financial reporting purposes. Under the accounting standard regarding contingencies, an estimated loss is accrued only if we determine that the loss is probable and can be reasonably estimated. For populations of disputed Rescissions, Claim Denials and Claim Curtailments where we determine that a settlement is probable and that a loss can be reasonably estimated, we reflect our best estimate of the expected loss related to the populations under discussion in our financial statements, primarily as a component of our IBNR reserve. While our reserves include our best estimate of such losses, the outcome of the discussions or potential legal proceedings that could ensue is uncertain, and it is reasonably possible that a loss exists in excess of the amount accrued. Estimating our case reserve for losses involves significant reliance upon assumptions and estimates with regard to the likelihood, magnitude and timing of each potential loss. The models, assumptions and estimates we use to establish loss reserves may not prove to be accurate, especially in the event of an extended economic downturn or a period of extreme market volatility and economic uncertainty such as we are currently experiencing due to the COVID-19 pandemic. For example, the ultimate cure rate for loan defaults resulting from the pandemic may be lower or higher than our expectations. These assumptions require management to use considerable judgment in estimating the rate at which these loans will result in claims. As such, given the current environment, there is significant uncertainty around our reserve estimate. Title Insurance We establish reserves for estimated future claims payments on our title insurance policies at the time the related policy revenue is recorded. Our title insurance reserve for losses and LAE comprises estimates of both known claims and incurred but unreported claims expected to be paid in the future for policies issued as of the balance sheet date. We provide for losses associated with these policies based upon our historical experience and other factors. However, by their nature, title claims can often be complex, vary greatly in dollar amounts, vary in number due to economic and market conditions such as an increase in mortgage foreclosures, and involve uncertainties as to ultimate exposure. Due to the length of time over which claim payments are made and regularly occurring changes in underlying economic and market conditions, these estimates are subject to variability. |
Reserve For Premium Deficiency, Policy | Reserve for Premium Deficiency Insurance enterprises are required to establish a PDR if the net present value of the expected future losses and expenses for a particular product line exceeds the net present value of expected future premiums and existing reserves for that product line. We reassess our expectations for premiums, losses and expenses for our mortgage insurance business at least quarterly and update our premium deficiency analyses accordingly. For our mortgage insurance business, we group our mortgage insurance products into two categories: first-lien and second-lien mortgage loans. As of December 31, 2020 and 2019, the combination of the net present value of our expected future premiums and existing reserves (net of reinsurance recoverables) significantly exceeded the net present value of our future expected losses and expenses associated with our first lien mortgage insurance portfolio. Our second-lien PDR, which was $0.1 million and $0.2 million as of December 31, 2020 and 2019, respectively, is recorded as a component of other liabilities. |
Revenue Recognition-Insurance Premiums, Policy | Revenue Recognition Mortgage Insurance Premiums on mortgage insurance products are written on a recurring basis, either as monthly or annual premiums, or on a multi-year basis as a single premium. Monthly premiums written are earned as coverage is provided each month. For certain monthly policies where the billing is deferred for the first month’s coverage period, currently to the end of the policy, we record a net premium receivable representing the present value of such deferred premiums that we estimate will be collected at that future date. As of December 31, 2020 and 2019, this net premium receivable was $29.7 million and $17.4 million, respectively, representing the present values of $77.0 million and $78.4 million, respectively, in contractual deferred monthly premiums, after adjustments for the estimated collectability and timing of future billing. We recognize changes in this receivable based on changes in the estimated amount and timing of such collections, including as a result of changes in observed trends as well as our periodic review of our servicing guide and our operations and collections practices. Given the difference between the present value of the net premium receivable recorded and the contractual premiums due, such changes to the preceding factors could have a material effect on our results of operations in future periods if any changes are implemented. Annual premiums written are initially recorded as unearned premiums and amortized on a monthly, straight-line basis. Single premiums written are initially recorded as unearned premiums and earned over time based on the anticipated claim payment pattern, which includes historical industry experience and is updated periodically. During 2019, we updated the amortization rates due to the continuing increase in the significance of borrower-paid Single Premium Policies in our portfolio following our rate reductions on borrower-paid Single Premium Policies in 2018. Under HPA, most borrower-paid policies must be canceled automatically on the date the LTV is scheduled to reach 78% of the original value (or, if the loan is not current on that date, on the subsequent date that the loan becomes current). As a result, given the shift in our mix of Single Premium Policies toward more borrower-paid Single Premium Policies than lender-paid, the average anticipated term of our Single Premium IIF is declining compared to historical levels. We updated our analysis to reflect not only this anticipated effect of HPA cancellations on borrower-paid policies, but also changes in observed and projected loss patterns for both borrower-paid and lender-paid policies. Our results for 2019 include a $32.9 million increase in net premiums earned and a $0.12 increase in net income per share, resulting from a cumulative adjustment related to the updated amortization rates used to recognize revenue for Single Premium Policies. When we rescind insurance coverage on a loan, we refund all premiums received in connection with such coverage. When insurance coverage on a loan is canceled due to claim payment, we refund all premiums received since the date of delinquency. When insurance coverage is cancelled for a reason other than Rescission or claim payment, all premium that is nonrefundable is immediately earned. Premium revenue is recognized net of our accrual for estimated premium refunds due to Rescissions or other factors. |
Revenue Recognition-Services, Policy | Title Insurance and Related Services Title insurance premiums are recognized as revenue upon closing and completion of the real estate transaction. Premiums generally are calculated with reference to the policy amount. Premiums are charged to customers based on rates predetermined in coordination with each state's respective Department of Insurance. Such regulations vary from state to state. Premium revenues from agency title operations are primarily comprised of premiums recognized upon title order and completion of real estate transaction closing. Other title-related fees and income are closely related to title insurance premiums and are primarily associated with managing the closing of real estate transactions. As such, revenue is primarily recognized upon closing of the real estate transaction or completion and billing of services. We offer title services that include tax and title data services; centralized recording services; document retrieval; default curative title services; deed reports; property reports, and other real estate or title-related activities. Expenses typically associated with premiums include third-party agent commissions and premium taxes. Other Services We recognize revenue representing the transfer of services to customers in an amount that reflects the consideration that we expect to be entitled to receive in exchange for those services, recognized as the performance obligations are satisfied. Due to the transactional nature of our business, our services revenue may fluctuate from period to period as transactions are commenced or completed. Prior to our January 2020 sale of Clayton, our services included transaction management services related to loan acquisition, RMBS securitization and distressed asset reviews and servicer and loan surveillance services. Also, through December 2020, we offered residential real estate appraisal services through a panel of independent contractor appraisers; however, consistent with increased market demand for technology-driven solutions, in October 2020 we announced the wind down of this traditional appraisal business, in order to focus on our digital valuation services that are expected to produce higher growth. Our remaining services and related revenue recognition considerations are as follows: Valuation Services. We leverage technology and a quality control process to deliver real estate valuation products and services to our customers, which include: appraisal review products; hybrid/ancillary appraisal products; automated valuation products; interactive valuation products; and broker price opinions (BPOs). Each service qualifies as a separate performance obligation for which revenue is recognized as the service is performed and made available to the client. Asset Management Services. We provide asset management services, which include management of the entire REO disposition process, services such as diligence and underwriting that serve the single family rental asset class, and a web-based workflow solution for task driven asset management, including the management of REO assets, rental properties, due diligence for bulk acquisitions, loss mitigation efforts and short sales. Revenue attributable to REO services provided is based on a percentage of the sale and recognized over time, measured based on the progress to date and typically coincides with the client’s successful closing on the property. In certain instances, fees are received at the time that an asset is assigned to Radian |
Cost of Service, Policy | Cost of Services Cost of services consists primarily of costs paid for employee compensation and related payroll benefits, as well as corresponding travel and related expenses incurred in providing such services to clients. |
Leases, Policy | Leases We determine if an arrangement includes a lease at inception, and if it does, we recognize a right-of-use asset and lease liability in other assets and other liabilities, respectively, in our consolidated balance sheet. Right-of-use assets represent our right to use an underlying asset for the lease term and are recognized net of any payments made or received from the lessor. Lease liabilities represent our obligation to make lease payments arising from the lease and are based on the present value of lease payments over the lease term. In determining the net present value of lease payments, we use our incremental borrowing rate based on the information available at the lease commencement date. Lease expense is recognized on a straight-line basis over the expected lease term. Lease and non-lease components are generally not accounted for separately. We have elected the short-term exemption for contracts with lease terms of 12 months or less. Our lease agreements primarily relate to operating leases for office space we use in our operations. Certain of our leases include renewal options and/or termination options that we did not consider in the determination of the right-of-use asset or the lease liability as we did not believe it was reasonably certain that we would exercise such options. Our lease agreements do not contain any variable lease payments, material residual value guarantees or material restrictive covenants. |
Reinsurance, Policy | Reinsurance We cede insurance risk through the use of reinsurance contracts and follow reinsurance accounting for those transactions where significant risk is transferred. Loss reserves and unearned premiums are established before consideration is given to amounts related to our reinsurance agreements. |
Variable Interest Entity, Policy | Variable Interest Entity In connection with our reinsurance programs for our mortgage insurance business, we may enter into contracts with VIEs. VIEs include corporations, trusts or partnerships in which: (i) the entity has insufficient equity at risk to allow it to finance its activities without additional subordinated financial support or (ii) at-risk equity holders, as a group, do not have the characteristics of a controlling financial interest. |
Goodwill and Other Acquired Intangible Assets, Net, Policy | Goodwill and Other Acquired Intangible Assets, Net Goodwill is an asset representing the estimated future economic benefits arising from the assets we have acquired that were not individually identified and separately recognized. We generally perform our annual goodwill impairment test during the fourth quarter of each year, using balances as of the prior quarter. Goodwill is deemed to have an indefinite useful life and is subject to review for impairment annually, or more frequently, whenever circumstances indicate potential impairment at the reporting unit level. A reporting unit represents a business for which discrete financial information is available. We have concluded that we have one reporting unit, the Real Estate segment, for purposes of our goodwill impairment assessment. Acquired intangible assets, other than goodwill, primarily consist of customer relationships and represents the value of the specifically acquired customer relationships. For financial reporting purposes, intangible assets with finite lives are amortized over their applicable estimated useful lives in a manner that approximates the pattern of expected economic benefit from each intangible asset. |
Internal-use software, Property and Equipment, Policy | Property and Equipment We capitalize certain costs associated with the development of internal-use software and the purchase of property and equipment. Software, property and equipment are carried at cost, net of accumulated depreciation and amortization. Amortization and depreciation are calculated on a straight-line basis over the estimated useful life of the respective assets and commence during the month of our placement of the assets into use. The estimated useful life used to calculate the amortization of internal-use software is generally seven years. Leasehold improvements are depreciated over the lesser of the estimated useful life of the asset improved or the remaining term of the lease. The estimated useful life used to calculate the depreciation of furniture and equipment is generally three years. Depreciation and amortization expense associated with property and equipment for the years ended December 31, 2020, 2019 and 2018 was $18.3 million, $20.8 million and $19.4 million, respectively. The following is a summary of the gross and net carrying amounts and accumulated amortization / depreciation (including impairment) of our property and equipment as of the periods indicated. December 31, 2020 December 31, 2019 (In thousands) Gross Carrying Amount Accumulated Amortization / Net Carrying Amount Gross Carrying Amount Accumulated Amortization / Net Carrying Amount Internal-use software $ 136,033 $ (81,724) $ 54,309 $ 131,854 $ (73,498) $ 58,356 Leasehold improvements 32,975 (15,608) 17,367 32,872 (13,409) 19,463 Furniture and equipment 65,478 (56,697) 8,781 65,087 (55,027) 10,060 Total $ 234,486 $ (154,029) $ 80,457 $ 229,813 $ (141,934) $ 87,879 |
Deferred Policy Acquisition Costs, Policy | Deferred Policy Acquisition Costs Incremental, direct costs associated with the successful acquisition of mortgage insurance policies, consisting of compensation, premium tax, and other policy issuance and underwriting expenses, are initially deferred and reported as deferred policy acquisition costs. Consistent with industry accounting practice, amortization of these costs for each underwriting year book of business is recognized in proportion to estimated gross profits over the estimated life of the policies. |
Earnings per Share, Policy | Earnings per Share Basic net income per share is computed by dividing net income by the weighted-average number of common shares outstanding, while diluted net income per share is computed by dividing net income attributable to common stockholders by the sum of the weighted-average number of common shares outstanding and the weighted-average number of dilutive potential common shares. Dilutive potential common shares relate primarily to our share-based compensation arrangements. For all calculations, the determination of whether potential common shares are dilutive or anti-dilutive is based on net income. |
Accounting for Share-Based Compensation, Policy | Share-Based CompensationThe cost related to share-based equity instruments is measured based on the grant-date fair value at the date of issuance, which for RSU awards is primarily determined by our common stock price on the date of grant. For share-based awards with performance conditions related to our own operations, the expense recognized is dependent on the probability of the performance measure being achieved. Compensation cost is generally recognized over the periods that an employee provides service in exchange for the award. Any forfeitures of awards are recognized as they occur. |
Recent Accounting Pronouncements: Accounting Standards Adopted During the Year, Policy | Recent Accounting Pronouncements Accounting Standards Adopted During 2020 We adopted ASU 2016-13 on January 1, 2020 using the modified retrospective adoption approach. This ASU and the associated subsequent amendments require that financial assets measured at their amortized cost basis be presented at the net amount expected to be collected. Credit losses relating to our available-for-sale debt securities are recorded through an allowance for credit losses, rather than a write-down of the asset, with the amount of the allowance limited to the amount by which fair value is less than amortized cost. This allowance method will allow reversals of credit losses if the estimate of credit losses declines. This ASU also affected certain of our accounts and notes receivable, and certain of our other assets, including reinsurance recoverables; however, the update did not have a material effect on our financial statements and disclosures. See Note 5 for additional information. We adopted ASU 2019-04, Codification Improvements related to Financial Instruments—Credit Losses, Derivatives and Hedging, and Financial Instruments on January 1, 2020. This update to the accounting standards regarding financial instruments and derivatives and hedging clarifies the accounting treatment for the measurement of credit losses and provides further clarification on previously issued updates. The adoption of this update did not have a material effect on our financial statements and disclosures. |
Recent Accounting Pronouncements: Accounting Standards Not Yet Adopted, Policy | Accounting Standards Not Yet Adopted In August 2018, the FASB issued ASU 2018-12, Financial Services—Insurance. The new standard: (i) requires that assumptions used to measure the liability for future policy benefits be reviewed at least annually; (ii) defines and simplifies the measurement of market risk benefits; (iii) simplifies the amortization of deferred acquisition costs; and (iv) enhances the required disclosures about long-duration contracts. This update is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact on our financial statements and future disclosures as a result of this update. In December 2019, the FASB issued ASU 2019-12, Income Taxes—Simplifying the Accounting for Income Taxes. This update simplifies the accounting for income taxes by removing certain exceptions to the general principles of ASC Topic 740 in GAAP. This update is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted. The adoption of this ASU is not expected to have a material effect on the Company's consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform—Facilitation of the Effects of Reference Reform on Financial Reporting. This update provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform. In January 2021, the FASB issued ASU 2021-01 Reference Rate Reform - Scope, to clarify that certain optional expedients and exceptions apply to derivatives that are affected by the discounting transition. The amendments in these updates are optional and may be elected from the date of issuance through December 31, 2022, as reference rate reform activities occur. We are currently evaluating the impact of the guidance and our options related to the practical expedients. In October 2020, the FASB issued ASU 2020-08, Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs. This update clarifies that an entity should reevaluate whether a callable debt security is within the scope of ASC paragraph 310-20-35-33 for each reporting period. This update is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is not permitted. Entities are required to apply ASU 2020-08 on a prospective basis as of the beginning of the period of adoption for existing or newly purchased |
Note 13 - Commitments and Con_2
Note 13 - Commitments and Contingencies - Level 2 (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies, Policy [Policy Text Block] | In the course of our regular review of pending legal and regulatory matters, we determine whether it is reasonably possible that a potential loss may have a material impact on our liquidity, results of operations or financial condition. If we determine such a loss is reasonably possible, we disclose information relating to such potential loss, including an estimate or range of loss or a statement that such an estimate cannot be made. On a quarterly basis, we review relevant information with respect to loss contingencies and update our accruals, disclosures and estimates of reasonably possible losses or range of losses based on such reviews. We are often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from other parties and investigation of factual allegations, rulings by the court on motions or appeals, analysis by experts, and the progress of settlement negotiations. In addition, we generally make no disclosures for loss contingencies that are determined to be remote. For matters for which we disclose an estimated loss, the disclosed estimate reflects the reasonably possible loss or range of loss in excess of the amount accrued, if any. |
Note 2 - Significant Accounti_3
Note 2 - Significant Accounting Policies - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment | The following is a summary of the gross and net carrying amounts and accumulated amortization / depreciation (including impairment) of our property and equipment as of the periods indicated. December 31, 2020 December 31, 2019 (In thousands) Gross Carrying Amount Accumulated Amortization / Net Carrying Amount Gross Carrying Amount Accumulated Amortization / Net Carrying Amount Internal-use software $ 136,033 $ (81,724) $ 54,309 $ 131,854 $ (73,498) $ 58,356 Leasehold improvements 32,975 (15,608) 17,367 32,872 (13,409) 19,463 Furniture and equipment 65,478 (56,697) 8,781 65,087 (55,027) 10,060 Total $ 234,486 $ (154,029) $ 80,457 $ 229,813 $ (141,934) $ 87,879 |
Note 3 - Net Income Per Share-
Note 3 - Net Income Per Share- Level 2 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The calculation of basic and diluted net income per share is as follows. Year Ended December 31, (In thousands, except per-share amounts) 2020 2019 2018 Net income—basic and diluted $ 393,626 $ 672,309 $ 606,011 Average common shares outstanding—basic 195,443 208,773 214,267 Dilutive effect of stock-based compensation arrangements (1) 1,199 1,567 4,286 Adjusted average common shares outstanding—diluted 196,642 210,340 218,553 Net income per share: Basic $ 2.01 $ 3.22 $ 2.83 Diluted $ 2.00 $ 3.20 $ 2.77 (1) The following number of shares of our common stock equivalents issued under our share-based compensation arrangements were not included in the calculation of diluted net income per share because they were anti-dilutive: Year Ended December 31, (In thousands) 2020 2019 2018 Shares of common stock equivalents 865 221 337 |
Note 4 - Segment Reporting - _2
Note 4 - Segment Reporting - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | The reconciliation of adjusted pretax operating income (loss) for our reportable segments to consolidated pretax income is as follows. December 31, (In thousands) 2020 2019 2018 Adjusted pretax operating income (loss): Mortgage $ 451,488 $ 852,854 $ 770,714 Real Estate (23,240) (17,987) (4,005) Total adjusted pretax operating income (loss) for reportable 428,248 834,867 766,709 All Other adjusted pretax operating income (loss) 3,819 19,768 (21,214) Net gains (losses) on investments and other financial instruments 60,277 51,719 (42,476) Loss on extinguishment of debt — (22,738) — Impairment of goodwill — (4,828) — Amortization and impairment of other acquired intangible assets (5,144) (22,288) (12,429) Impairment of other long-lived assets and other non-operating items (7,759) (7,507) (6,404) Consolidated pretax income $ 479,441 $ 848,993 $ 684,186 |
Reconciliation of Revenue from Segments to Consolidated [Table Text Block] | The following tables reconcile reportable segment revenues to consolidated revenues and summarize interest expense, depreciation expense, allocation of corporate operating expenses and adjusted pretax operating income for our reportable segments as follows. December 31, 2020 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $ 1,092,767 $ 22,554 $ 1,115,321 $ — $ — $ — $ 1,115,321 Services revenue 14,765 79,524 94,289 12,535 (1,439) — 105,385 Net investment income 137,195 361 137,556 16,481 — — 154,037 Other income 2,816 — 2,816 534 — 247 3,597 Add: Net gains (losses) on investments and other financial instruments — — — — — 60,277 60,277 Total revenues $ 1,247,543 $ 102,439 $ 1,349,982 $ 29,550 $ (1,439) $ 60,524 $ 1,438,617 Other segment information: Interest expense $ 71,150 $ — $ 71,150 Depreciation 9,815 2,559 12,374 Allocation of corporate operating expenses (1) 114,802 12,807 127,609 (1) Includes additional depreciation expense of $2.6 million, $0.3 million and $2.9 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. December 31, 2019 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $ 1,134,214 $ 11,976 $ 1,146,190 $ (841) $ — $ — $ 1,145,349 Services revenue 8,134 76,941 85,075 70,961 (1,440) — 154,596 Net investment income 151,491 680 152,171 19,625 — — 171,796 Other income 2,798 — 2,798 697 — — 3,495 Add: Net gains (losses) on investments and other financial instruments — — — — — 51,719 51,719 Total revenues $ 1,296,637 $ 89,597 $ 1,386,234 $ 90,442 $ (1,440) $ 51,719 $ 1,526,955 Other segment information: Interest expense $ 56,310 $ — $ 56,310 Depreciation 13,770 2,169 15,939 Allocation of corporate operating expenses (1) 104,078 10,165 114,243 (1) Includes additional depreciation expense of $1.6 million, $0.1 million and $1.7 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. December 31, 2018 (In thousands) Mortgage Real Estate Reportable Segment Total All Other Inter-segment Adjustments Consolidated Total Net premiums earned $1,006,721 $ 7,286 $ 1,014,007 $ — $ — $ — $ 1,014,007 Services revenue 4,968 79,080 84,048 62,574 (1,650) — 144,972 Net investment income 148,274 373 148,647 3,828 — — 152,475 Other income 2,214 1,234 3,448 580 — — 4,028 Add: Net gains (losses) on investments and other financial instruments — — — — — (42,476) (42,476) Total revenues $ 1,162,177 $ 87,973 $ 1,250,150 $ 66,982 $ (1,650) $ (42,476) $ 1,273,006 Other segment information: Interest expense $ 43,685 $ — $ 43,685 Depreciation 14,714 1,395 16,109 Allocation of corporate operating expenses (1) 80,135 8,382 88,517 (1) Includes additional depreciation expense of $0.5 million, $0.1 million and $0.6 million allocated to Mortgage, Real Estate and Reportable Segment Total, respectively. |
Services Revenue [Table Text Block] | The table below represents the disaggregation of services revenues by revenue type. Year Ended December 31, (In thousands) 2020 2019 2018 Real Estate services: Asset management services $ 29,841 $ 30,846 $ 42,839 Title services 23,266 14,185 5,512 Valuation services 22,582 29,026 30,269 Other real estate services 2,479 2,431 — Mortgage services 14,682 7,632 4,307 All Other services (1) 12,535 70,476 62,045 Total services revenue $ 105,385 $ 154,596 $ 144,972 (1) Includes services revenue from Clayton prior to its sale in January 2020 and amounts related to our traditional appraisal business, which we wound down beginning in the fourth quarter of 2020. |
Note 5 - Fair Value of Financ_2
Note 5 - Fair Value of Financial Instruments - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Assets & Liabilities Measured at Fair Value by Hierarchy Level | The following tables include a list of assets that are measured at fair value by hierarchy level as of December 31, 2020 and 2019. (In thousands) Level I Level II Level III Total Assets at fair value as of December 31, 2020 Investments: Fixed-maturities available for sale: U.S. government and agency securities $ 140,034 $ 29,189 $ — $ 169,223 State and municipal obligations — 165,271 — 165,271 Corporate bonds and notes — 3,047,189 — 3,047,189 RMBS — 833,939 — 833,939 CMBS — 681,265 — 681,265 CLO — 568,558 — 568,558 Other ABS — 252,457 — 252,457 Foreign government and agency securities — 5,438 — 5,438 Total fixed-maturities available for sale 140,034 5,583,306 — 5,723,340 Trading securities: State and municipal obligations — 120,449 — 120,449 Corporate bonds and notes — 123,142 — 123,142 RMBS — 13,000 — 13,000 CMBS — 34,294 — 34,294 Total trading securities — 290,885 — 290,885 Equity securities 142,761 8,479 — 151,240 Short-term investments: State and municipal obligations — 21,819 — 21,819 Money market instruments 268,900 — — 268,900 Corporate bonds and notes — 30,495 — 30,495 Other ABS — 219 — 219 Other investments (1) — 296,571 — 296,571 Total short-term investments 268,900 349,104 — 618,004 Other invested assets (2) — — 3,000 3,000 Total investments at fair value (2) 551,695 6,231,774 3,000 6,786,469 Other: Embedded derivatives (3) — — 5,513 5,513 Loaned securities: (4) U.S. government and agency securities 4,876 — — 4,876 Corporate bonds and notes — 31,324 — 31,324 Equity securities 21,299 — — 21,299 Total assets at fair value (2) $ 577,870 $ 6,263,098 $ 8,513 $ 6,849,481 (1) Comprising short-term certificates of deposit and commercial paper. (2) Does not include other invested assets of $2.0 million that are primarily invested in limited partnership investments valued using the net asset value as a practical expedient. (3) Embedded derivatives related to our Excess-of-Loss Program are classified as other assets in our consolidated balance sheets. See Note 8 for more information about our reinsurance programs. (4) Securities loaned to third-party borrowers under securities lending agreements are classified as other assets in our consolidated balance sheets. See Note 6 for more information. (In thousands) Level I Level II Level III Total Assets at fair value as of December 31, 2019 Investments: Fixed-maturities available for sale: U.S. government and agency securities $ 143,884 $ 35,700 $ — $ 179,584 State and municipal obligations — 119,994 — 119,994 Corporate bonds and notes — 2,237,611 — 2,237,611 RMBS — 779,354 — 779,354 CMBS — 588,420 — 588,420 CLO — 462,561 — 462,561 Other ABS — 316,163 — 316,163 Foreign government and agency securities — 5,224 — 5,224 Total fixed-maturities available for sale 143,884 4,545,027 — 4,688,911 Trading securities: State and municipal obligations — 118,949 — 118,949 Corporate bonds and notes — 147,232 — 147,232 RMBS — 16,180 — 16,180 CMBS — 34,789 — 34,789 Total trading securities — 317,150 — 317,150 Equity securities 124,009 6,212 — 130,221 Short-term investments: U.S. government and agency securities 127,152 — — 127,152 State and municipal obligations — 21,475 — 21,475 Money market instruments 202,461 — — 202,461 Corporate bonds and notes — 20,298 — 20,298 Other investments (1) — 147,007 — 147,007 Total short-term investments 329,613 188,780 — 518,393 Other invested assets (2) — — 1,500 1,500 Total investments at fair value (2) 597,506 5,057,169 1,500 5,656,175 Other: Embedded derivatives (3) — — 383 383 Loaned securities: (4) U.S. government and agency securities 35,309 — — 35,309 Corporate bonds and notes — 3,669 — 3,669 Equity securities 27,464 — — 27,464 Total assets at fair value (2) $ 660,279 $ 5,060,838 $ 1,883 $ 5,723,000 (1) Comprising short-term certificates of deposit and commercial paper. (2) Does not include other invested assets of $2.6 million that are primarily invested in limited partnership investments valued using the net asset value as a practical expedient. (3) Embedded derivatives related to our Excess-of-Loss Program are classified as other assets in our consolidated balance sheets. See Note 8 for more information about our reinsurance programs. (4) Securities loaned to third-party borrowers under securities lending agreements are classified as other assets in our consolidated balance sheets. See Note 6 for more information. |
Fair Value, by Balance Sheet Grouping [Table Text Block] | The carrying value and estimated fair value of other selected liabilities not carried at fair value in our consolidated balance sheets were as follows as of the dates indicated. December 31, 2020 December 31, 2019 (In thousands) Carrying Estimated Carrying Estimated Liabilities: Senior notes $ 1,405,674 $ 1,563,503 $ 887,110 $ 949,500 FHLB advances 176,483 179,578 134,875 135,997 |
Note 6 - Investments Level 3 (T
Note 6 - Investments Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments [Abstract] | |
Available for Sale Securities [Table Text Block] | Our available for sale securities within our investment portfolio consisted of the following as of the dates indicated. December 31, 2020 (In thousands) Amortized Allowance for Credit Losses Gross Gross Fair Value Fixed-maturities available for sale: U.S. government and agency securities $ 176,033 $ — $ 1,677 $ (3,611) $ 174,099 State and municipal obligations 149,258 — 16,113 (100) 165,271 Corporate bonds and notes 2,832,350 (948) 250,771 (3,758) 3,078,415 RMBS 799,814 — 34,439 (314) 833,939 CMBS 645,071 — 39,495 (3,301) 681,265 CLO 569,173 — 2,026 (2,641) 568,558 Other ABS 249,988 — 2,901 (432) 252,457 Foreign government and agency securities 5,100 — 338 — 5,438 Total securities available for sale, including loaned securities 5,426,787 $ (948) $ 347,760 $ (14,157) 5,759,442 Less: loaned securities (1) 33,164 36,102 Total fixed-maturities available for sale $ 5,393,623 $ 5,723,340 (1) Included in Other assets in our consolidated balance sheet as further described below. See below for a discussion of our securities lending agreements. December 31, 2019 (In thousands) Amortized Gross Gross Fair Value Fixed-maturities available for sale: U.S. government and agency securities $ 198,613 $ 2,048 $ (733) $ 199,928 State and municipal obligations 112,003 8,032 (41) 119,994 Corporate bonds and notes 2,136,819 106,189 (1,728) 2,241,280 RMBS 766,429 14,452 (1,527) 779,354 CMBS 574,037 14,993 (610) 588,420 CLO 465,449 229 (3,117) 462,561 Other ABS 314,946 1,789 (572) 316,163 Foreign government and agency securities 5,091 133 — 5,224 Total securities available for sale, including loaned securities 4,573,387 $ 147,865 $ (8,328) 4,712,924 Less: loaned securities (1) 23,853 24,013 Total fixed-maturities available for sale $ 4,549,534 $ 4,688,911 (1) Included in Other assets in our consolidated balance sheet as further described below. See below for a discussion of our securities lending agreements. |
Gross Unrealized Losses and Related Fair Values of Available for Sale Securities [Table Text Block] | the following tables show the gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of the dates indicated. Included in the amounts as of December 31, 2020 and 2019, are loaned securities under securities lending agreements that are classified as other assets in our consolidated balance sheets, as further described below. December 31, 2020 ($ in thousands) Less Than 12 Months 12 Months or Greater Total Description of # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized U.S. government and agency securities 4 $ 90,591 $ (3,611) — $ — $ — 4 $ 90,591 $ (3,611) State and municipal obligations 4 9,626 (100) — — — 4 9,626 (100) Corporate bonds and notes 60 174,848 (3,758) — — — 60 174,848 (3,758) RMBS 5 42,003 (305) 2 915 (9) 7 42,918 (314) CMBS 43 118,345 (3,035) 6 8,312 (266) 49 126,657 (3,301) CLO 52 173,459 (970) 25 137,506 (1,671) 77 310,965 (2,641) Other ABS 26 70,759 (322) 3 12,119 (110) 29 82,878 (432) Total 194 $ 679,631 $ (12,101) 36 $ 158,852 $ (2,056) 230 $ 838,483 $ (14,157) December 31, 2019 ($ in thousands) Less Than 12 Months 12 Months or Greater Total Description of # of Fair Unrealized # of Fair Unrealized # of Fair Unrealized U.S. government and agency securities 2 $ 26,142 $ (731) 2 $ 2,529 $ (2) 4 $ 28,671 $ (733) State and municipal obligations 1 3,959 (41) — — — 1 3,959 (41) Corporate bonds and notes 25 110,871 (1,728) — — — 25 110,871 (1,728) RMBS 27 184,378 (535) 16 36,192 (992) 43 220,570 (1,527) CMBS 33 89,994 (463) 8 6,346 (147) 41 96,340 (610) CLO 34 170,806 (327) 36 184,483 (2,790) 70 355,289 (3,117) Other ABS 32 74,733 (358) 8 25,178 (214) 40 99,911 (572) Total 154 $ 660,883 $ (4,183) 70 $ 254,728 $ (4,145) 224 $ 915,611 $ (8,328) |
Net Investment Income [Table Text Block] | Net investment income consisted of the following. Year Ended December 31, (In thousands) 2020 2019 2018 Investment income: Fixed-maturities $ 148,127 $ 155,104 $ 141,552 Equity securities 6,378 7,028 7,157 Short-term investments 5,774 17,255 10,270 Other 354 545 976 Gross investment income 160,633 179,932 159,955 Investment expenses (6,596) (8,136) (7,480) Net investment income $ 154,037 $ 171,796 $ 152,475 |
Net Gains (Losses) on Investments [Table Text Block] | Net gains (losses) on investments consisted of the following. Year Ended December 31, (In thousands) 2020 2019 2018 Net realized gains (losses): Fixed-maturities available for sale (1) $ 34,869 $ 11,262 $ (11,256) Trading securities 4 (303) (1,840) Equity securities 353 (719) 532 Other investments 600 603 470 Net realized gains (losses) on investments 35,826 10,843 (12,094) Impairment losses due to intent to sell (1,401) — (1,744) Net decrease (increase) in expected credit losses (1,254) — — Net unrealized gains (losses) on investments 10,960 33,220 (27,287) Total net gains (losses) on investments $ 44,131 $ 44,063 $ (41,125) (1) Components of net realized gains (losses) on fixed-maturities available for sale include: Year Ended December 31, (In thousands) 2020 2019 2018 Gross investment gains from sales and redemptions $ 37,431 $ 17,663 $ 1,986 Gross investment losses from sales and redemptions (2,562) (6,401) (13,242) |
Net Unrealized Gains (Losses) on Investment Securities [Table Text Block] | The net changes in unrealized gains (losses) recognized in earnings on investments that were still held at each period-end were as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Net unrealized gains (losses) on investments still held: Trading securities $ 10,583 $ 16,346 $ (16,281) Equity securities 1,759 11,906 (8,886) Other investments 248 (174) 447 Net unrealized gains (losses) on investments still held $ 12,590 $ 28,078 $ (24,720) |
Contractual Maturities [Table Text Block] | The contractual maturities of fixed-maturities available for sale were as follows. December 31, 2020 (In thousands) Amortized Cost Fair Value Due in one year or less $ 125,361 $ 126,414 Due after one year through five years (1) 1,002,786 1,062,579 Due after five years through 10 years (1) 1,225,712 1,338,147 Due after 10 years (1) 808,882 896,083 Asset-backed and mortgage-backed securities (2) 2,264,046 2,336,219 Total 5,426,787 5,759,442 Less: loaned securities 33,164 36,102 Total fixed-maturities available for sale $ 5,393,623 $ 5,723,340 (1) Actual maturities may differ as a result of calls before scheduled maturity. (2) Includes RMBS, CMBS, CLO and Other ABS, which are not due at a single maturity date. |
Note 7 - Goodwill and Other A_2
Note 7 - Goodwill and Other Acquired Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | The following table shows the changes in the carrying amount of goodwill as of and for the years ended December 31, 2020 and 2019. (In thousands) Goodwill Accumulated Impairment Losses Net Balance at December 31, 2018 $ 200,561 $ (186,469) $ 14,092 Goodwill acquired 538 — 538 Impairment losses — (4,828) (4,828) Balance at December 31, 2019 201,099 (191,297) 9,802 Goodwill disposed (1) (191,297) 191,297 — Balance at December 31, 2020 $ 9,802 $ — $ 9,802 (1) Related to the sale of Clayton in January 2020. |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block] | The following is a summary of the gross and net carrying amounts and accumulated amortization (including impairment) of our other acquired intangible assets as of the periods indicated. December 31, 2020 December 31, 2019 (In thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Client relationships $ 43,550 $ (31,559) $ 11,991 $ 43,550 $ (27,269) $ 16,281 Technology 8,285 (7,370) 915 8,435 (6,789) 1,646 Licenses 463 (128) 335 463 (81) 382 Trade names and trademarks 480 (480) — 480 (404) 76 Total $ 52,778 $ (39,537) $ 13,241 $ 52,928 $ (34,543) $ 18,385 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | For the years ended December 31, 2020, 2019 and 2018, amortization expense (including impairment) was $5.1 million, $8.6 million and $12.4 million, respectively. The estimated amortization expense for 2021 and thereafter is as follows. (In thousands) Estimated Amortization Expense 2021 $ 3,450 2022 3,397 2023 3,361 2024 3,033 Thereafter — Total $ 13,241 |
Note 8 - Reinsurance (Tables)
Note 8 - Reinsurance (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Reinsurance Disclosures [Abstract] | |
Effects of Reinsurance [Table Text Block] | The effect of all of our reinsurance programs on our net income is as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Net premiums written: Direct $ 1,108,513 $ 1,132,338 $ 1,089,720 Assumed (1) 12,197 10,379 6,901 Ceded (2) (87,201) (56,132) (98,314) Net premiums written $ 1,033,509 $ 1,086,585 $ 998,307 Net premiums earned: Direct $ 1,286,527 $ 1,244,870 (3) $ 1,074,298 Assumed (1) 12,213 10,382 6,904 Ceded (2) (183,419) (109,903) (3) (67,195) Net premiums earned $ 1,115,321 $ 1,145,349 (3) $ 1,014,007 Ceding commissions earned (4) $ 53,654 $ 48,659 (3) $ 33,446 Ceded losses 58,266 5,859 5,086 (1) Includes premiums from our participation in certain credit risk transfer programs. (2) Net of profit commission, which is impacted by the level of ceded losses recoverable, if any, on reinsurance transactions. See Note 11 for additional information on our reserve for losses and reinsurance recoverables. (3) Includes a cumulative adjustment to unearned premiums recorded in the second quarter of 2019 related to an update to the amortization rates used to recognize revenue for Single Premium Policies. See Note 4 for further information. (4) Deferred ceding commissions of $52.5 million and $74.8 million are included in other liabilities on our consolidated balance sheets at December 31, 2020 and 2019, respectively. |
Schedule of Single Premium Quota Share Reinsurance Program Details | The following table sets forth additional details regarding the Single Premium QSR Program. 2020 Singles QSR 2018 Singles QSR 2016 Singles QSR NIW Policy Dates Jan 1, 2020-Dec 31, 2021 Jan 1, 2018-Dec 31, 2019 Jan 1, 2012-Dec 31, 2017 Effective Date January 1, 2020 January 1, 2018 January 1, 2016 Scheduled Termination Date December 31, 2031 December 31, 2029 December 31, 2027 Optional Termination Date January 1, 2024 January 1, 2022 January 1, 2020 Quota Share % 65% 65% 20% - 65% (1) Ceding Commission % 25% 25% 25% Profit Commission % Up to 56% Up to 56% Up to 55% (In millions) As of December 31, 2020 RIF Ceded $ 1,597 $ 1,979 $ 3,071 (In millions) As of December 31, 2019 RIF Ceded $ — $ 3,231 $ 5,351 (1) Effective December 31, 2017, we amended the 2016 Single Premium QSR Agreement to increase the amount of ceded risk on performing loans under the agreement from 35% to 65% for the 2015 through 2017 vintages. Loans included in the 2012 through 2014 vintages, and any other loans subject to the agreement that were delinquent at the time of the amendment, were unaffected by the change and therefore the amount of ceded risk for those loans continues to range from 20% to 35%. |
Schedule of Collateralized Reinsurance Agreements [Table Text Block] | The following table sets forth additional details regarding the Excess-of-Loss Program. (In millions) Eagle Re 2020-2 Ltd. Eagle Re 2020-1 Ltd. Eagle Re 2019-1 Ltd. Eagle Re 2018-1 Ltd. Issued October 2020 February 2020 April 2019 November 2018 NIW Policy Dates Oct 1, 2019- Jan 1, 2019- Jan 1, 2018- Jan 1, 2017- Initial RIF $ 13,011 $ 9,866 $ 10,705 $ 9,109 Initial Coverage 390 488 562 434 (1) Initial First Layer Retention 423 202 268 205 (In millions) As of December 31, 2020 RIF $ 11,748 $ 6,121 $ 4,657 $ 3,986 Remaining Coverage 390 488 385 276 (1) First Layer Retention 423 202 265 201 (In millions) As of December 31, 2019 RIF $ — $ — $ 8,409 $ 7,026 Remaining Coverage — — 487 343 (1) First Layer Retention — — 267 204 |
Schedule of VIE Assets [Table Text Block] | The following table presents the total assets and liabilities of the Eagle Re Issuers as of the dates indicated. Total VIE Assets and Liabilities (1) Year Ended December 31, (In thousands) 2020 2019 Eagle Re 2020-2 Ltd. $ 390,324 $ — Eagle Re 2020-1 Ltd. 488,385 — Eagle Re 2019-1 Ltd. 384,602 508,449 Eagle Re 2018-1 Ltd. 275,718 357,005 Total $ 1,539,029 $ 865,454 |
Note 9 - Other Assets (Tables)
Note 9 - Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets [Table Text Block] | The following table shows the components of other assets for the periods indicated. December 31, (In thousands) 2020 2019 Prepaid federal income taxes (Note 10) $ 210,889 $ 134,800 Company-owned life insurance 115,586 105,721 Loaned securities (Notes 5 and 6) 57,499 66,442 Right-of-use assets (Note 13) 32,985 37,866 Assets held for sale (1) — 24,908 Other 30,488 39,935 Total other assets $ 447,447 $ 409,672 (1) Related to the sale of Clayton. See Notes 4 and 7 for additional information on assets held for sale. Liabilities held for sale at December 31, 2019 are included in other liabilities on our consolidated balance sheets. |
Note 10 - Income Taxes - Leve_2
Note 10 - Income Taxes - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Provision [Table Text Block] | The components of our consolidated income tax provision from continuing operations are as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Current provision (benefit) $ (16,264) $ 19,522 $ (42,398) Deferred provision 102,079 157,162 120,573 Total income tax provision $ 85,815 $ 176,684 $ 78,175 |
Reconciliation of Taxes at Statutory Rate to Provision (Benefit) for Income Taxes [Table Text Block] | The reconciliation of taxes computed at the statutory tax rate of 21% in 2020, 2019 and 2018 to the provision for income taxes is as follows. Year Ended December 31, (In thousands) 2020 2019 2018 Provision for income taxes computed at the statutory tax rate $ 100,683 $ 178,289 $ 143,679 Change in tax resulting from: Valuation allowance 11,290 1,941 (1,856) Uncertain tax positions (14,784) 1,202 2,589 State tax provision (benefit), net of federal impact (9,062) (293) 5,570 Other, net (2,312) (4,455) 1,778 Impact related to settlement of IRS Matter — — (73,585) Provision for income taxes $ 85,815 $ 176,684 $ 78,175 |
Schedule of Components of Deferred Tax Assets and Liabilities [Table Text Block] | The significant components of our net deferred tax assets and liabilities from continuing operations are summarized as follows. December 31, (In thousands) 2020 2019 Deferred tax assets: State income taxes, net of federal impact $ 75,499 $ 65,917 Goodwill and intangibles 32,673 36,282 Unearned premiums 27,703 34,394 Lease liability 11,214 13,293 Accrued expenses 11,140 11,642 Share-based compensation 9,291 11,238 Deferred policy acquisition and ceding commission costs 7,043 11,190 Loss reserves 4,578 1,920 Other 8,732 11,188 Total deferred tax assets $ 187,873 $ 197,064 December 31, (In thousands) 2020 2019 Deferred tax liabilities: Contingency reserve $ 216,122 $ 137,983 Net unrealized gain on investments 70,057 29,303 Depreciation 13,029 12,803 Differences in fair value of financial instruments 9,087 5,708 Other 15,747 15,914 Total deferred tax liabilities 324,042 201,711 Less: Valuation allowance 77,728 66,437 Net deferred tax asset (liability) $ (213,897) $ (71,084) |
Reconciliation of Unrecognized Tax Benefits [Table Text Block] | A reconciliation of the beginning and ending gross unrecognized tax benefits is as follows. Year Ended December 31, (In thousands) 2020 2019 Balance at beginning of period $ 37,208 $ 33,552 Tax positions related to the current year: Increases 250 3,215 Decreases (1,788) — Tax positions related to prior years: Increases 16,568 441 Decreases (171) — Lapses of applicable statute of limitation (31,818) — Balance at end of period $ 20,249 $ 37,208 |
Note 11 - Losses and LAE - Le_2
Note 11 - Losses and LAE - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Insurance Loss Reserves [Abstract] | |
Schedule of Liability for Unpaid Claims and Claim Adjustment Expenses, by Segment [Table Text Block] | Our reserve for losses and LAE, at the end of each period indicated, consisted of the following. Year Ended December 31, (In thousands) 2020 2019 Mortgage insurance loss reserves (1) $ 844,107 $ 401,273 Title insurance loss reserves 4,306 3,492 Total reserve for losses and LAE $ 848,413 $ 404,765 (1) Primarily comprises first lien primary case reserves of $799.5 million and $339.8 million at December 31, 2020 and 2019, respectively. |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | the following table presents information relating to our mortgage insurance reserve for losses, including our IBNR reserve and LAE, but excluding our second-lien mortgage loan PDR. Year Ended December 31, (In thousands) 2020 2019 2018 Balance at January 1, $ 401,273 $ 397,891 $ 507,588 Less: Reinsurance recoverables (1) 14,594 11,009 8,350 Balance at January 1, net of reinsurance recoverables 386,679 386,882 499,238 Add: Losses and LAE incurred in respect of default notices reported and unreported in: Current year (2) 517,807 146,733 135,291 Prior years (34,547) (14,709) (31,699) Total incurred 483,260 132,024 103,592 Deduct: Paid claims and LAE related to: Current year (2) 4,148 4,220 5,856 Prior years 93,453 128,007 210,092 Total paid 97,601 132,227 215,948 Balance at end of period, net of reinsurance recoverables 772,338 386,679 386,882 Add: reinsurance recoverables (1) 71,769 14,594 11,009 Balance at December 31, $ 844,107 $ 401,273 $ 397,891 (1) Related to ceded losses recoverable on reinsurance transactions. See Note 8 for additional information. |
Schedule of Default to Claim Rates on Primary Portfolio [Table Text Block] | The following table shows our gross Default to Claim Rates on our primary portfolio based on the Time in Default and as of the dates indicated. December 31, 2020 2019 2018 Default to Claim Rate on: New defaults 8.5 % 7.5 % 8.0 % Defaults not in Foreclosure Stage: Time in Default: < 2 years (1) 21.0 % 22.0 % 23.0 % Time in Default: 2 - 5 years 62.5 % 48.0 % 52.0 % Time in Default: > 5 years 70.0 % 63.0 % 68.0 % Foreclosure Stage Defaults 75.0 % 70.0 % 75.0 % (1) Represents the weighted average Default to Claim Rate for all defaults not in foreclosure stage that have been in default for up to two years, including new defaults. The estimated Default to Claim Rates applied to defaults within this population vary by Time in Default, and range from the Default to Claim Rates on new defaults shown above, up to 55.0%, 55.6% and 57.4% for more aged defaults in this category as of December 31, 2020, 2019, and 2018, respectively. |
Short-duration Insurance Contracts, Claims Development [Table Text Block] | The information about net incurred losses and paid claims development for the years ended prior to 2020 is presented as supplementary information. Incurred Losses, Net of Reinsurance ($ in thousands) Total of IBNR Liabilities Plus Expected Development on Reported Claims (1) Cumulative Number of Reported Defaults (2) Year Ended December 31, Default Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Unaudited As of December 31, 2020 2011 $ 1,058,625 $ 1,152,016 $ 1,052,277 $ 1,050,555 $ 1,062,579 $ 1,061,161 $ 1,059,116 $ 1,060,376 $ 1,064,054 $ 1,062,826 $ 578 117,019 2012 803,831 763,969 711,213 720,502 715,646 714,783 713,750 713,839 713,146 313 88,555 2013 505,732 405,334 401,444 404,333 402,259 400,243 399,356 399,317 150 70,723 2014 337,784 247,074 265,891 264,620 260,098 261,507 261,377 73 57,541 2015 222,555 198,186 178,042 183,952 183,546 184,066 69 49,255 2016 201,016 165,440 149,753 148,811 148,640 75 45,824 2017 180,851 151,802 133,357 130,274 144 46,956 2018 131,513 116,634 95,534 279 39,341 2019 143,475 136,860 809 42,884 2020 504,160 4,540 109,411 Total $ 3,636,200 (1) Represents reserves as of December 31, 2020 related to IBNR liabilities. (2) Represents total number of new default notices received in each calendar year as compiled monthly based on reports received from loan servicers. As reflected in our Default to Claim Rate assumptions, a significant portion of reported defaults generally do not result in a claim. In certain instances, a defaulted loan may cure, and then re-default in a later period. Consistent with our reserving practice, each new event of default is treated as a unique occurrence and therefore certain loans that cure and re-default may be included as a reported default in multiple periods. Cumulative Paid Claims, Net of Reinsurance Year Ended December 31, (In thousands) Unaudited Default Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2011 $ 40,392 $ 323,216 $ 756,820 $ 892,959 $ 982,830 $ 1,016,855 $ 1,038,582 $ 1,048,966 $ 1,052,688 $ 1,057,199 2012 19,200 295,332 528,744 631,982 672,271 692,291 702,136 704,770 708,528 2013 34,504 191,040 307,361 357,087 379,036 388,688 392,818 395,093 2014 13,108 115,852 200,422 233,607 246,611 252,619 255,742 2015 10,479 84,271 142,421 163,916 172,645 174,812 2016 11,061 76,616 119,357 134,115 137,306 2017 24,653 66,585 99,678 108,484 2018 5,584 36,066 54,625 2019 4,220 18,703 2020 4,148 Total $ 2,914,640 All outstanding liabilities before 2011, net of reinsurance 30,257 Liabilities for claims, net of reinsurance (1) $ 751,817 (1) Calculated as follows: (In thousands) Incurred losses, net of reinsurance $ 3,636,200 All outstanding liabilities before 2011, net of reinsurance 30,257 Cumulative paid claims, net of reinsurance (2,914,640) Liabilities for claims, net of reinsurance $ 751,817 |
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Table Text Block] | The following table provides a reconciliation of the net incurred losses and paid claims development tables above to the mortgage insurance reserve for losses and LAE at December 31, 2020. (In thousands) December 31, 2020 Net outstanding liabilities - mortgage insurance: Reserve for losses and LAE, net of reinsurance $ 751,817 Reinsurance recoverables on unpaid claims 71,769 Unallocated LAE 20,521 Total gross reserve for losses and LAE (1) $ 844,107 (1) Excludes title insurance reserve for losses and LAE of $4.3 million. |
Short-duration Insurance Contracts, Schedule of Historical Claims Duration [Table Text Block] | The following is supplementary information about average historical claims duration as of December 31, 2020, representing the average distribution of when claims are paid relative to the year of default. Average Annual Percentage Payout of Incurred Losses by Age, Net of Reinsurance (Unaudited) Years 1 2 3 4 5 6 7 8 9 10 Mortgage insurance 6.2% 33.6% 30.0% 11.5% 5.2% 2.4% 1.4% 0.6% 0.4% 0.4% |
Note 12 - Borrowings and Fina_2
Note 12 - Borrowings and Financing Activities - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
Schedule of Debt | The carrying value of our debt at December 31, 2020 and 2019 was as follows. December 31, ($ in thousands) 2020 2019 Senior notes: Senior Notes due 2024 $ 445,512 $ 444,445 Senior Notes due 2025 516,634 — Senior Notes due 2027 443,528 442,665 Total senior notes $ 1,405,674 $ 887,110 FHLB advances: FHLB advances due 2020 $ — $ 79,002 FHLB advances due 2021 67,500 19,000 FHLB advances due 2022 61,050 11,925 FHLB advances due 2023 27,995 14,994 FHLB advances due 2024 9,954 9,954 FHLB advances due 2025 9,984 — Total FHLB advances $ 176,483 $ 134,875 |
Note 13 - Commitments and Con_3
Note 13 - Commitments and Contingencies - Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Components of Total Lease Cost [Table Text Block] | The following tables provide additional information related to our leases, including: (i) the components of our total lease cost; (ii) the cash flows arising from our lease transactions; (iii) supplemental balance sheet information; (iv) the weighted-average remaining lease term; (v) the weighted-average discount rate used for our leases; and (vi) the remaining maturities of our lease liabilities, as of and for the periods indicated. Year Ended December 31, ($ in thousands) 2020 2019 Operating lease cost $ 8,798 $ 9,332 Short-term lease cost 13 140 Total lease cost $ 8,811 $ 9,472 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (9,595) $ (10,615) |
Operating Leases [Text Block] | December 31, ($ in thousands) 2020 2019 Operating leases: Operating lease right-of-use assets (1) $ 32,985 $ 37,866 Operating lease liabilities (2) 53,399 59,452 Weighted-average remaining lease term - operating leases (in years) 9.3 years 10.2 years Weighted-average discount rate - operating leases 6.72 % 6.80 % Remaining maturities of lease liabilities for future years is as follows: 2021 $ 8,330 2022 10,040 2023 10,170 2024 9,904 2025 7,976 2026 and thereafter 39,870 Total lease payments 86,290 Less: Imputed interest (32,891) Present value of lease liabilities (2) $ 53,399 (1) Classified in other assets in our consolidated balance sheets. See Note 9. (2) Classified in other liabilities in our consolidated balance sheets. |
Note 16 - Statutory Informati_2
Note 16 - Statutory Information Level 3 (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Abstract] | |
Statutory Accounting Practices Disclosure [Table Text Block] | Our insurance subsidiaries’ statutory net income and statutory policyholders’ surplus for the years ended and as of December 31, 2020, 2019 and 2018 were as follows. December 31, (In millions) 2020 2019 2018 Statutory net income (loss) Radian Guaranty $ 441.9 $ 703.4 $ 501.9 Radian Reinsurance 32.5 101.6 86.1 Other Mortgage Subsidiaries 1.1 0.1 (2.8) Radian Title Insurance 2.1 0.3 (1.8) Statutory policyholders’ surplus Radian Guaranty $ 481.5 $ 637.7 $ 814.1 Radian Reinsurance 360.7 455.6 356.2 Other Mortgage Subsidiaries 41.3 45.7 58.0 Radian Title Insurance 28.8 27.0 27.0 |
Statutory Accounting Practices, Surplus Additions (Distributions) [Table Text Block] | The surplus additions (distributions) between Radian Group and Radian Guaranty and our other insurance subsidiaries for the years ended December 31, 2020, 2019 and 2018 were as follows. Year Ended December 31, (In millions) 2020 2019 2018 Additions to Radian Guaranty surplus $ 200.0 $ — $ — Distributions from Radian Guaranty surplus — (375.0) (450.0) Additions to other insurance subsidiaries’ surplus — 65.2 — Distributions from other insurance subsidiaries’ surplus (465.0) (14.0) — |
Note 17 - Share-Based Compens_2
Note 17 - Share-Based Compensation and Other Benefit Programs (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Compensation Cost Recognized | The following table summarizes the compensation cost recognized and additional information regarding all share-based awards for the years indicated. Year Ended December 31, (In thousands) 2020 2019 2018 Compensation cost recognized: (1) RSUs $ 18,403 $ 20,694 $ 16,591 Employee Stock Purchase Plan 671 444 453 Non-Qualified Stock Options and Other 119 276 605 Total compensation cost recognized 19,193 21,414 17,649 Less: Costs deferred as acquisition costs — 373 324 Share-based compensation expense 19,193 21,041 17,325 Income tax benefit related to share-based compensation expense 4,264 6,343 2,863 Share-based compensation expense, net $ 14,929 $ 14,698 $ 14,462 |
Schedule of RSUs Equity-Settled | Information with regard to RSUs to be settled in stock for the periods indicated is as follows. Performance-Based Time-Vested Number of Weighted-Average Number of Weighted-Average Outstanding, December 31, 2019 (1) 2,375,005 $ 15.84 1,869,740 $ 13.82 Granted (2) 839,330 11.91 763,608 13.49 Performance adjustment (3) 168,749 — — — Vested (4) (1,174,535) 13.14 (501,283) 15.98 Forfeited (22,305) 18.69 (13,180) 17.61 Outstanding, December 31, 2020 (1) 2,186,244 15.71 2,118,885 13.16 (1) Outstanding RSUs represent shares that have not yet been issued because not all conditions necessary to earn the right to benefit from the instruments have been satisfied. The final amount of RSUs distributed depends on the employee’s level of performance achieved and, with the exception of certain retirement-eligible employees, continued service through the vesting date, which could result in changes in vested RSUs. (2) For performance-based RSUs, amount represents the number of target shares at grant date. (3) For performance-based RSUs, represents the difference between the number of target shares at grant date and the number of shares vested at settlement, which can range from 0 to 200% of target depending on results over the applicable performance periods. (4) Represents amounts vested during the year, including the impact of performance adjustments for performance-based awards. |
Schedule of Information with regard to Stock Options | Information with regard to stock options for the periods indicated is as follows. ($ in thousands, except per-share amounts) Number of Weighted Weighted Aggregate Intrinsic Value (1) Outstanding, December 31, 2019 981,547 $ 10.05 Granted — — Exercised (207,598) 7.50 Forfeited — — Expired (430) 18.42 Outstanding, December 31, 2020 773,519 $ 10.73 3.2 $ 7,366 Exercisable, December 31, 2020 773,519 $ 10.73 3.2 $ 7,366 (1) Based on the market price of $20.25 at December 31, 2020. |
Schedule of Information of Exercised Stock Options | The following table summarizes additional information concerning stock option activity for the periods indicated. Years Ended December 31, ($ in thousands, except per-share amounts) 2020 2019 2018 Aggregate intrinsic value of options exercised $ 3,344 $ 4,984 $ 6,274 Tax benefit of options exercised 702 1,047 1,318 Cash received from options exercised 1,553 2,416 1,425 |
Schedule I Summary Of Investm_2
Schedule I Summary Of Investments - Summary of Investments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Investments [Abstract] | |
Summary Investment Holdings [Table Text Block] | (In thousands) Amortized Allowance for Credit Losses Fair Value Amount Reflected on the Consolidated Balance Sheet Type of Investment Fixed-maturities available for sale: Bonds: U.S. government and agency securities $ 176,033 $ — $ 174,099 $ 174,099 State and municipal obligations 149,258 — 165,271 165,271 Corporate bonds and notes 2,832,350 (948) 3,078,415 3,078,415 RMBS 799,814 — 833,939 833,939 CMBS 645,071 — 681,265 681,265 CLO 569,173 — 568,558 568,558 Other ABS 249,988 — 252,457 252,457 Foreign government and agency securities 5,100 — 5,438 5,438 Total securities available for sale 5,426,787 (948) 5,759,442 (1) 5,759,442 (1) Trading securities 260,863 — 290,983 (2) 290,983 (2) Equity securities: Common stocks 166,721 — 172,539 172,539 Total equity securities 166,721 — 172,539 (3) 172,539 (3) Short-term investments (4) 618,014 — 618,004 618,004 Other invested assets 3,145 — 4,973 4,973 Total investments other than investments in related parties $ 6,475,530 $ (948) $ 6,845,941 $ 6,845,941 (1) Includes $36.1 million of fixed-maturity securities available for sale loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (2) Includes $0.1 million of trading securities loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (3) Includes $21.3 million of equity securities loaned under securities lending agreements that are classified as other assets in our consolidated balance sheets. (4) Includes cash collateral held under securities lending agreements of $15.6 million that is reinvested in money market instruments. |
Schedule II Financial Informa_2
Schedule II Financial Information of Registrant - Parent Company Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Cash Flow Statements, Captions [Line Items] | |
Condensed Financial Information Statement of Condition of Parent Company [Table Text Block] | Condensed Balance Sheet (In thousands, except per-share amounts) December 31, December 31, Assets Investments Fixed-maturities available for sale—at fair value (amortized cost of $836,191 and $429,999) $ 844,393 $ 430,442 Equity securities—at fair value (cost of $— and $13,280) — 13,381 Short-term investments—at fair value 233,569 162,363 Other invested assets—at fair value 3,000 1,500 Total investments 1,080,962 607,686 Cash 20,141 23,534 Investment in subsidiaries, at equity in net assets (Note C) 4,545,508 4,413,065 Accounts and notes receivable 300,656 100,775 Other assets (Note C) 75,305 113,917 Total assets $ 6,022,572 $ 5,258,977 Liabilities and Stockholders’ Equity Liabilities: Senior notes $ 1,405,674 $ 887,110 Net deferred tax liability (Note A) 272,868 253,739 Other liabilities 59,677 69,405 Total liabilities 1,738,219 1,210,254 Common stockholders’ equity Common stock: par value $0.001 per share; 485,000 shares authorized at December 31, 2020 and 2019; 210,130 and 219,123 shares issued at December 31, 2020 and 2019, respectively; 191,606 and 201,164 shares outstanding at December 31, 2020 and 2019, respectively 210 219 Treasury stock, at cost: 18,524 and 17,959 shares at December 31, 2020 and 2019, respectively (910,115) (901,657) Additional paid-in capital 2,245,897 2,449,884 Retained earnings 2,684,636 2,389,789 Accumulated other comprehensive income (loss) 263,725 110,488 Total common stockholders’ equity 4,284,353 4,048,723 Total liabilities and stockholders’ equity $ 6,022,572 $ 5,258,977 |
Condensed Financial Information Statement of Income of Parent Company [Table Text Block] | Radian Group Inc. Year Ended December 31, (In thousands) 2020 2019 2018 Revenues: Net investment income $ 19,459 $ 19,751 $ 21,294 Net gains (losses) on investments and other financial instruments 5,682 12,863 (470) Other income 101 218 — Total revenues 25,242 32,832 20,824 Expenses: Loss on extinguishment of debt — 22,738 — Interest expense — — 17,805 Other operating expenses 2,619 — — Total expenses (Note B) 2,619 22,738 17,805 Pretax income 22,623 10,094 3,019 Income tax benefit (3,165) (19,997) (3,319) Equity in net income of affiliates 367,838 642,218 599,673 Net income 393,626 672,309 606,011 Other comprehensive income (loss), net of tax 153,237 171,408 (86,953) Comprehensive income $ 546,863 $ 843,717 $ 519,058 |
Condensed Financial Information Statement of Cash Flows of Parent Company [Table Text Block] | Radian Group Inc. Year Ended December 31, (In thousands) 2020 2019 2018 Cash flows from operating activities: Net cash provided by (used in) operating activities (1) $ (13,741) $ 143,664 $ 254,698 Cash flows from investing activities: Proceeds from sales of: Fixed-maturities available for sale 304,737 296,171 6,779 Trading securities — 56,787 — Equity securities 13,401 16,916 — Proceeds from redemptions of: Fixed-maturities available for sale 238,161 149,767 12,391 Trading securities — 114 — Purchases of: Fixed-maturities available for sale (691,874) (293,284) (37,552) Sales, redemptions and (purchases) of : Short-term investments, net (53,024) 157,045 (131,164) Other assets, net (6,068) (6,958) (3,317) Capital distributions from subsidiaries 19,000 6,000 — Capital contributions to subsidiaries (5,050) (65,879) (30,338) Net cash provided by (used in) investing activities (180,717) 316,679 (183,201) Cash flows from financing activities: Dividends paid (97,458) (2,061) (2,140) Issuance of senior notes, net 515,567 442,439 — Repayments and repurchases of senior notes — (610,763) — Issuance of common stock 1,553 2,416 1,385 Repurchases of common shares (226,305) (300,201) (50,053) Credit facility commitment fees paid (2,292) (989) (1,510) Net cash provided by (used in) financing activities 191,065 (469,159) (52,318) Effect of exchange rate changes on cash and restricted cash — (2) — Increase (decrease) in cash and restricted cash (3,393) (8,818) 19,179 Cash and restricted cash, beginning of period 23,534 32,352 13,173 Cash and restricted cash, end of period $ 20,141 $ 23,534 $ 32,352 (1) Includes cash distributions received from subsidiaries of $1.7 million, $26.6 million and $55.4 million in 2020, 2019 and 2018, respectively. Excludes non-cash distributions received from subsidiaries of $484.1 million, $362.4 million and $394.6 million in 2020, 2019 and 2018, respectively. |
Components of Parent Company Expenses Allocated to Subsidiaries [Table Text Block] | The following table shows the components of our Parent Company expenses that have been allocated to our subsidiaries for the periods indicated. Year Ended December 31, (in thousands) 2020 2019 2018 Allocated operating expenses $ 129,870 $ 124,412 $ 94,815 Allocated interest expense 68,938 53,692 42,195 Total allocated expenses $ 198,808 $ 178,104 $ 137,010 |
Schedule IV Reinsurance (Tables
Schedule IV Reinsurance (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Abstract] | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance, Insurance Premiums Earned | ($ in thousands) Premiums Earned Gross Ceded Assumed Net Assumed Premiums as a Percentage of Net Premiums 2020 Mortgage Insurance $ 1,263,684 $ 183,130 $ 12,213 $ 1,092,767 1.12 % Title Insurance 22,843 289 — 22,554 0.00 % Total $ 1,286,527 $ 183,419 $ 12,213 $ 1,115,321 1.10 % 2019 Mortgage Insurance $ 1,233,528 $ 109,696 $ 10,382 $ 1,134,214 0.92 % Title Insurance 11,342 207 — 11,135 0.00 % Total $ 1,244,870 $ 109,903 $ 10,382 $ 1,145,349 0.91 % 2018 Mortgage Insurance $ 1,066,860 $ 67,047 $ 6,904 $ 1,006,717 0.69 % Title Insurance 7,438 148 — 7,290 0.00 % Total $ 1,074,298 $ 67,195 $ 6,904 $ 1,014,007 0.68 % |
Note 1 - Description of Busin_2
Note 1 - Description of Business - General (Details) | 12 Months Ended |
Dec. 31, 2020segment | |
Organization of Business [Abstract] | |
Number of Reportable Segments | 2 |
Note 1 - Description of Busin_3
Note 1 - Description of Business - Mortgage (Details) - Mortgage segment - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Business Overview [Abstract] | ||
Private Mortgage Insurance Protects Lenders For Loans Made With Less Than This Maximum Down Payment Percentage | 20.00% | |
Private Mortgage Insurance Protects Lenders For Refinancings Made to Home Buyers With Less Than This Maximum Equity-Ownership Percentage | 20.00% | |
Direct Primary Mortgage Insurance in Force | $ 246,100 | $ 240,600 |
Direct Primary Mortgage Insurance Risk In Force | 60,700 | 60,900 |
Credit Risk Transfer Transactions | ||
Business Overview [Abstract] | ||
Direct Primary Mortgage Insurance Risk In Force | $ 392 | $ 275.2 |
Note 1 - Description of Busin_4
Note 1 - Description of Business - Recent Developments (Details) $ in Thousands | May 31, 2020USD ($) |
Senior Notes Due 2025 | Senior Notes | |
Basis of Presentation and Business Overview [Line Items] | |
Debt Instrument, Face Amount | $ 525,000 |
Note 2 - Significant Accounti_4
Note 2 - Significant Accounting Policies - Level 4 (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)paymentsegmentgroup | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($) | |
Losses and LAE Mortgage Insurance [Abstract] | |||
Number Of Payments Missed For Insured Loans | payment | 2 | ||
Second-Lien Reserve for Premium Deficiency | $ 100 | $ 200 | |
Percent of LTV at which HPA Must Be Canceled Automatically | 0.78 | ||
Investments [Abstract] | |||
Number of Investment Categories | group | 3 | ||
Maximum Maturity Duration for Short Term Investment Grouping | 12 months | ||
Number of Reportable Segments | segment | 2 | ||
Property, Plant and Equipment, Net [Abstract] | |||
Depreciation, Depletion and Amortization | $ 18,300 | 20,800 | $ 19,400 |
Property, Plant and Equipment, Gross | 234,486 | 229,813 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (154,029) | (141,934) | |
Property and equipment | 80,457 | 87,879 | |
2018 Award Year | Timed-vested RSUs (Equity settled) | |||
Property, Plant and Equipment, Net [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Internal-use software | |||
Property, Plant and Equipment, Net [Abstract] | |||
Property, Plant and Equipment, Gross | 136,033 | 131,854 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (81,724) | (73,498) | |
Property and equipment | 54,309 | 58,356 | |
Furniture and equipment | |||
Property, Plant and Equipment, Net [Abstract] | |||
Property, Plant and Equipment, Gross | 65,478 | 65,087 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (56,697) | (55,027) | |
Property and equipment | 8,781 | 10,060 | |
Leasehold improvements | |||
Property, Plant and Equipment, Net [Abstract] | |||
Property, Plant and Equipment, Gross | 32,975 | 32,872 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (15,608) | (13,409) | |
Property and equipment | $ 17,367 | 19,463 | |
Real Estate Segment | |||
Investments [Abstract] | |||
Number of Reportable Segments | segment | 1 | ||
Minimum | |||
Losses and LAE Mortgage Insurance [Abstract] | |||
Number Of Payments Missed For Insured Loans | payment | 2 | ||
Property, Plant and Equipment, Net [Abstract] | |||
Property, Plant and Equipment, Useful Life | 3 years | ||
Minimum | 2018 Award Year | Performance-based RSUs (Equity settled) | |||
Property, Plant and Equipment, Net [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Post-Vesting Holding Period | 1 year | ||
Minimum | 2018 Award Year | Timed-vested RSUs (Equity settled) | |||
Property, Plant and Equipment, Net [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||
Maximum | |||
Losses and LAE Mortgage Insurance [Abstract] | |||
Lessee, Operating Lease, Term of Contract | 12 months | ||
Property, Plant and Equipment, Net [Abstract] | |||
Property, Plant and Equipment, Useful Life | 7 years | ||
Mortgage segment | |||
Losses and LAE Mortgage Insurance [Abstract] | |||
Number of Mortgage Insurance Product Categories | group | 2 | ||
Premium receivable for deferred monthly premiums | $ 29,700 | 17,400 | |
Contractual deferred monthly premiums | $ 77,000 | 78,400 | |
Increase in Net Premium Earned | $ 32,900 | ||
Increase in Net Premiums Earned Per Share | $ / shares | $ 0.12 |
Note 3 - Net Income Per Share_2
Note 3 - Net Income Per Share- Level 3 (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Net income-basic | $ 393,626 | $ 672,309 | $ 606,011 | ||||||||
Net income-diluted | $ 393,626 | $ 672,309 | $ 606,011 | ||||||||
Average common shares outstanding—basic | 195,443 | 208,773 | 214,267 | ||||||||
Dilutive effect of stock-based compensation arrangements | 1,199 | 1,567 | 4,286 | ||||||||
Adjusted average common shares outstanding—diluted | 194,663 | 194,156 | 193,299 | 201,819 | 205,165 | 208,691 | 213,603 | 218,343 | 196,642 | 210,340 | 218,553 |
Net income per share—basic | $ 2.01 | $ 3.22 | $ 2.83 | ||||||||
Net income per share—diluted | $ 0.76 | $ 0.70 | $ (0.15) | $ 0.70 | $ 0.79 | $ 0.83 | $ 0.78 | $ 0.78 | $ 2 | $ 3.20 | $ 2.77 |
Stock Compensation Plan | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Ant-dilutive shares - Shares of common stock equivalents | 865 | 221 | 337 |
Note 4 - Segment Reporting - Ad
Note 4 - Segment Reporting - Adjusted Pretax Operating Income (Loss) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2020USD ($)segment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of Reportable Segments | segment | 2 | ||||||||||
Net gains (losses) on investments and other financial instruments | $ 17,376 | $ 17,652 | $ 47,276 | $ (22,027) | $ 4,257 | $ 13,009 | $ 12,540 | $ 21,913 | $ 60,277 | $ 51,719 | $ (42,476) |
Loss on extinguishment of debt | 0 | (5,940) | (16,798) | 0 | 0 | (22,738) | 0 | ||||
Impairment of goodwill | (4,828) | 0 | 0 | 0 | 0 | (4,828) | 0 | ||||
Amortization and impairment of other acquired intangible assets | $ (2,225) | $ (961) | $ (979) | $ (979) | $ (15,823) | $ (2,139) | $ (2,139) | $ (2,187) | (5,144) | (22,288) | (12,429) |
Impairment of Long-Lived Assets Held-for-use | (7,759) | (7,507) | (6,404) | ||||||||
Consolidated pretax income | 479,441 | 848,993 | 684,186 | ||||||||
Mortgage segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Adjusted pretax operating income (loss) | 451,488 | 852,854 | 770,714 | ||||||||
Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Real Estate Segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Adjusted pretax operating income (loss) | (23,240) | (17,987) | (4,005) | ||||||||
Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Impairment of goodwill | 0 | (4,828) | |||||||||
Mortgage and Real Estate Services Segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Adjusted pretax operating income (loss) | 428,248 | 834,867 | 766,709 | ||||||||
All Other activities segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Adjusted pretax operating income (loss) | 3,819 | 19,768 | (21,214) | ||||||||
Net gains (losses) on investments and other financial instruments | $ 0 | $ 0 | $ 0 |
Note 4 - Segment Reporting - Re
Note 4 - Segment Reporting - Revenue and Other Segment Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | $ 302,140,000 | $ 286,471,000 | $ 249,295,000 | $ 277,415,000 | $ 301,486,000 | $ 281,185,000 | $ 299,166,000 | $ 263,512,000 | $ 1,115,321,000 | $ 1,145,349,000 | $ 1,014,007,000 |
Services Revenue, Net | 11,440,000 | 33,943,000 | 28,075,000 | 31,927,000 | 40,031,000 | 42,509,000 | 39,303,000 | 32,753,000 | 105,385,000 | 154,596,000 | 144,972,000 |
Net investment income (Note 6) | 38,115,000 | 36,255,000 | 38,723,000 | 40,944,000 | 41,432,000 | 42,756,000 | 43,761,000 | 43,847,000 | 154,037,000 | 171,796,000 | 152,475,000 |
Other income | 3,597,000 | 3,495,000 | 4,028,000 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 17,376,000 | $ 17,652,000 | $ 47,276,000 | $ (22,027,000) | 4,257,000 | $ 13,009,000 | $ 12,540,000 | $ 21,913,000 | 60,277,000 | 51,719,000 | (42,476,000) |
Total revenues | 1,438,617,000 | 1,526,955,000 | 1,273,006,000 | ||||||||
Interest expense | 71,150,000 | 56,310,000 | 61,490,000 | ||||||||
Allocation of corporate operating expenses (1) | 129,870,000 | 124,412,000 | 94,815,000 | ||||||||
Accounts Receivable, after Allowance for Credit Loss | 121,294,000 | 93,630,000 | 121,294,000 | 93,630,000 | |||||||
Valuation Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 22,582,000 | 29,026,000 | 30,269,000 | ||||||||
Title Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 23,266,000 | 14,185,000 | 5,512,000 | ||||||||
Asset Management Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 29,841,000 | 30,846,000 | 42,839,000 | ||||||||
Real Estate Agent Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 2,479,000 | 2,431,000 | 0 | ||||||||
Mortgage Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 14,682,000 | 7,632,000 | 4,307,000 | ||||||||
All Other Services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Services Revenue, Net | 12,535,000 | 70,476,000 | 62,045,000 | ||||||||
Intersegment Eliminations | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 0 | 0 | 0 | ||||||||
Services Revenue, Net | (1,439,000) | (1,440,000) | (1,650,000) | ||||||||
Net investment income (Note 6) | 0 | 0 | 0 | ||||||||
Other income | 0 | 0 | 0 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Total revenues | (1,439,000) | (1,440,000) | (1,650,000) | ||||||||
Segment Reconciling Items | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 0 | 0 | 0 | ||||||||
Services Revenue, Net | 0 | 0 | 0 | ||||||||
Net investment income (Note 6) | 0 | 0 | 0 | ||||||||
Other income | 247,000 | 0 | 0 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 60,277,000 | 51,719,000 | (42,476,000) | ||||||||
Total revenues | 60,524,000 | 51,719,000 | (42,476,000) | ||||||||
Mortgage segment | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 1,092,767,000 | 1,134,214,000 | 1,006,721,000 | ||||||||
Services Revenue, Net | 14,765,000 | 8,134,000 | 4,968,000 | ||||||||
Net investment income (Note 6) | 137,195,000 | 151,491,000 | 148,274,000 | ||||||||
Other income | 2,816,000 | 2,798,000 | 2,214,000 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Total revenues | 1,247,543,000 | 1,296,637,000 | 1,162,177,000 | ||||||||
Interest expense | 71,150,000 | 56,310,000 | 43,685,000 | ||||||||
Depreciation | 9,815,000 | 13,770,000 | 14,714,000 | ||||||||
Allocation of corporate operating expenses (1) | 114,802,000 | 104,078,000 | 80,135,000 | ||||||||
Mortgage segment | Depreciation Expense | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Allocation of corporate operating expenses (1) | 2,600,000 | 1,600,000 | 500,000 | ||||||||
Real Estate Segment | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 22,554,000 | 11,976,000 | 7,286,000 | ||||||||
Services Revenue, Net | 79,524,000 | 76,941,000 | 79,080,000 | ||||||||
Net investment income (Note 6) | 361,000 | 680,000 | 373,000 | ||||||||
Other income | 0 | 0 | 1,234,000 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Total revenues | 102,439,000 | 89,597,000 | 87,973,000 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Depreciation | 2,559,000 | 2,169,000 | 1,395,000 | ||||||||
Allocation of corporate operating expenses (1) | 12,807,000 | 10,165,000 | 8,382,000 | ||||||||
Accounts Receivable, after Allowance for Credit Loss | $ 18,800,000 | $ 10,800,000 | 18,800,000 | 10,800,000 | |||||||
Real Estate Segment | Depreciation Expense | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Allocation of corporate operating expenses (1) | 300,000 | 100,000 | 100,000 | ||||||||
Mortgage and Real Estate Services Segment | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Bad debt expense | 0 | 0 | 0 | ||||||||
Mortgage and Real Estate Services Segment | Operating Segments | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 1,115,321,000 | 1,146,190,000 | 1,014,007,000 | ||||||||
Services Revenue, Net | 94,289,000 | 85,075,000 | 84,048,000 | ||||||||
Net investment income (Note 6) | 137,556,000 | 152,171,000 | 148,647,000 | ||||||||
Other income | 2,816,000 | 2,798,000 | 3,448,000 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Total revenues | 1,349,982,000 | 1,386,234,000 | 1,250,150,000 | ||||||||
Interest expense | 71,150,000 | 56,310,000 | 43,685,000 | ||||||||
Depreciation | 12,374,000 | 15,939,000 | 16,109,000 | ||||||||
Allocation of corporate operating expenses (1) | 127,609,000 | 114,243,000 | 88,517,000 | ||||||||
Mortgage and Real Estate Services Segment | Operating Segments | Depreciation Expense | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Allocation of corporate operating expenses (1) | 2,900,000 | 1,700,000 | 600,000 | ||||||||
All Other activities segment | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Premiums Earned, Net | 0 | (841,000) | 0 | ||||||||
Services Revenue, Net | 12,535,000 | 70,961,000 | 62,574,000 | ||||||||
Net investment income (Note 6) | 16,481,000 | 19,625,000 | 3,828,000 | ||||||||
Other income | 534,000 | 697,000 | 580,000 | ||||||||
Add: Net gains (losses) on investments and other financial instruments | 0 | 0 | 0 | ||||||||
Total revenues | $ 29,550,000 | $ 90,442,000 | $ 66,982,000 |
Note 4 - Segment Reporting - Co
Note 4 - Segment Reporting - Concentration of Risk (Details) - Customer Concentration Risk - customer | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
New Insurance Written | |||
Entity Wide Revenue, Major Customer, Number of Customers | 1 | 0 | 0 |
Concentration Risk, Percentage | 10.00% | 10.00% | 10.00% |
Consolidated Revenue | |||
Entity Wide Revenue, Major Customer, Number of Customers | 0 | 0 | 0 |
Concentration Risk, Percentage | 10.00% | 10.00% | 10.00% |
Note 5 - Fair Value of Financ_3
Note 5 - Fair Value of Financial Instruments - Fair Value Assets Liabilities by Hierarchy Level (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | $ 57,499 | $ 66,442 |
Other Investments | 4,973 | 4,072 |
Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 6,786,469 | 5,656,175 |
Derivative, Fair Value, Net | 5,513 | 383 |
Total Assets at Fair Value | 6,849,481 | 5,723,000 |
Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 5,723,340 | 4,688,911 |
Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 290,885 | 317,150 |
Equity securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 151,240 | 130,221 |
Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 618,004 | 518,393 |
Partnership investment | Carrying (Reported) Amount, Fair Value Disclosure | ||
Fair Value by Hierarchy Level [Line Items] | ||
Other Investments | 2,000 | 2,600 |
Other investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 3,000 | 1,500 |
Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 551,695 | 597,506 |
Derivative, Fair Value, Net | 0 | 0 |
Total Assets at Fair Value | 577,870 | 660,279 |
Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 140,034 | 143,884 |
Fair Value, Inputs, Level 1 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 1 | Equity securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 142,761 | 124,009 |
Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 268,900 | 329,613 |
Fair Value, Inputs, Level 1 | Other investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 6,231,774 | 5,057,169 |
Derivative, Fair Value, Net | 0 | 0 |
Total Assets at Fair Value | 6,263,098 | 5,060,838 |
Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 5,583,306 | 4,545,027 |
Fair Value, Inputs, Level 2 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 290,885 | 317,150 |
Fair Value, Inputs, Level 2 | Equity securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 8,479 | 6,212 |
Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 349,104 | 188,780 |
Fair Value, Inputs, Level 2 | Other investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 3,000 | 1,500 |
Derivative, Fair Value, Net | 5,513 | 383 |
Total Assets at Fair Value | 8,513 | 1,883 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Transfers, Net | 0 | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Transfers, Net | 0 | 0 |
Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 | Equity securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Fair Value, Inputs, Level 3 | Other investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 3,000 | 1,500 |
Securities Financing Transaction, Fair Value | Fixed-maturities available for sale | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 36,100 | |
Securities Financing Transaction, Fair Value | Equity securities | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 21,300 | |
Securities Financing Transaction, Fair Value | Short-term investments | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 100 | |
US government and agency securities | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 169,223 | 179,584 |
US government and agency securities | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 127,152 | |
US government and agency securities | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 140,034 | 143,884 |
US government and agency securities | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 127,152 | |
US government and agency securities | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 29,189 | 35,700 |
US government and agency securities | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | |
US government and agency securities | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
US government and agency securities | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | |
US government and agency securities | Securities Financing Transaction, Fair Value | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 4,876 | 35,309 |
US government and agency securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 4,876 | 35,309 |
US government and agency securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 0 | 0 |
US government and agency securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 0 | 0 |
State and municipal obligations | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 165,271 | 119,994 |
State and municipal obligations | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 120,449 | 118,949 |
State and municipal obligations | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 21,819 | 21,475 |
State and municipal obligations | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
State and municipal obligations | Fair Value, Inputs, Level 1 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
State and municipal obligations | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
State and municipal obligations | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 165,271 | 119,994 |
State and municipal obligations | Fair Value, Inputs, Level 2 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 120,449 | 118,949 |
State and municipal obligations | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 21,819 | 21,475 |
State and municipal obligations | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
State and municipal obligations | Fair Value, Inputs, Level 3 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
State and municipal obligations | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Money market instruments | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 268,900 | 202,461 |
Money market instruments | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 268,900 | 202,461 |
Money market instruments | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Money market instruments | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 3,047,189 | 2,237,611 |
Corporate bonds and notes | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 123,142 | 147,232 |
Corporate bonds and notes | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 30,495 | 20,298 |
Corporate bonds and notes | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fair Value, Inputs, Level 1 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 3,047,189 | 2,237,611 |
Corporate bonds and notes | Fair Value, Inputs, Level 2 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 123,142 | 147,232 |
Corporate bonds and notes | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 30,495 | 20,298 |
Corporate bonds and notes | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fair Value, Inputs, Level 3 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Corporate bonds and notes | Securities Financing Transaction, Fair Value | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 31,324 | 3,669 |
Corporate bonds and notes | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 0 | 0 |
Corporate bonds and notes | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 31,324 | 3,669 |
Corporate bonds and notes | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 0 | 0 |
RMBS | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 833,939 | 779,354 |
RMBS | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 13,000 | 16,180 |
RMBS | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
RMBS | Fair Value, Inputs, Level 1 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
RMBS | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 833,939 | 779,354 |
RMBS | Fair Value, Inputs, Level 2 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 13,000 | 16,180 |
RMBS | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
RMBS | Fair Value, Inputs, Level 3 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CMBS | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 681,265 | 588,420 |
CMBS | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 34,294 | 34,789 |
CMBS | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CMBS | Fair Value, Inputs, Level 1 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CMBS | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 681,265 | 588,420 |
CMBS | Fair Value, Inputs, Level 2 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 34,294 | 34,789 |
CMBS | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CMBS | Fair Value, Inputs, Level 3 | Trading securities | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CLO | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 568,558 | 462,561 |
CLO | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
CLO | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 568,558 | 462,561 |
CLO | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Other ABS | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 252,457 | 316,163 |
Other ABS | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 219 | |
Other ABS | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Other ABS | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | |
Other ABS | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 252,457 | 316,163 |
Other ABS | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 219 | |
Other ABS | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Other ABS | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | |
Foreign government and agency securities | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 5,438 | 5,224 |
Foreign government and agency securities | Fair Value, Inputs, Level 1 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Foreign government and agency securities | Fair Value, Inputs, Level 2 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 5,438 | 5,224 |
Foreign government and agency securities | Fair Value, Inputs, Level 3 | Fixed-maturities available for sale | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Other investments | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 296,571 | 147,007 |
Other investments | Fair Value, Inputs, Level 1 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Other investments | Fair Value, Inputs, Level 2 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 296,571 | 147,007 |
Other investments | Fair Value, Inputs, Level 3 | Short-term investments | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Total Investments at Fair Value | 0 | 0 |
Equity securities | Securities Financing Transaction, Fair Value | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 21,299 | 27,464 |
Equity securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 21,299 | 27,464 |
Equity securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | 0 | 0 |
Equity securities | Securities Financing Transaction, Fair Value | Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value by Hierarchy Level [Line Items] | ||
Loaned securities | $ 0 | $ 0 |
Note 5 - Fair Value of Financ_4
Note 5 - Fair Value of Financial Instruments - Other Fair Value Disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | $ 1,405,674 | $ 887,110 |
Carrying (Reported) Amount, Fair Value Disclosure | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior notes | 1,405,674 | 887,110 |
Advances from Federal Home Loan Banks | 176,483 | 134,875 |
Estimate of Fair Value, Fair Value Disclosure | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior Notes, Fair Value | 1,563,503 | 949,500 |
Federal Home Loan Bank Borrowings, Fair Value Disclosure | $ 179,578 | $ 135,997 |
Note 6 - Investments - Availabl
Note 6 - Investments - Available for Sale Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Debt Securities, Available-for-sale [Line Items] | ||
Loaned securities | $ 57,499 | $ 66,442 |
Fixed-maturities available for sale—amortized cost | 5,393,623 | 4,549,534 |
Fixed-maturities available for sale—at fair value | 5,723,340 | 4,688,911 |
Allowance for Credit Losses | (948) | |
Fixed-maturities available for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Allowance for Credit Losses | (948) | |
Fixed-maturities available for sale | US government and agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 176,033 | 198,613 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 174,099 | 199,928 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 1,677 | 2,048 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (3,611) | (733) |
Fixed-maturities available for sale | State and municipal obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 149,258 | 112,003 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 165,271 | 119,994 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 16,113 | 8,032 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (100) | (41) |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | Corporate bonds and notes | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 2,832,350 | 2,136,819 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 3,078,415 | 2,241,280 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 250,771 | 106,189 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (3,758) | (1,728) |
Allowance for Credit Losses | 948 | 0 |
Debt Securities, Available-for-sale, Allowance for Credit Loss, Not Previously Recorded | 1,254 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss, Recovery | 0 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings, Reductions, Securities Sold | (306) | |
Fixed-maturities available for sale | RMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 799,814 | 766,429 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 833,939 | 779,354 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 34,439 | 14,452 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (314) | (1,527) |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | CMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 645,071 | 574,037 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 681,265 | 588,420 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 39,495 | 14,993 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (3,301) | (610) |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | Other ABS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 249,988 | 314,946 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 252,457 | 316,163 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 2,901 | 1,789 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (432) | (572) |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | Foreign government and agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 5,100 | 5,091 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 5,438 | 5,224 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 338 | 133 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 0 | 0 |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | Total fixed-maturities available for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 5,426,787 | 4,573,387 |
Fixed-maturities available for sale—amortized cost | 5,393,623 | 4,549,534 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 5,759,442 | 4,712,924 |
Fixed-maturities available for sale—at fair value | 5,723,340 | 4,688,911 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 347,760 | 147,865 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (14,157) | (8,328) |
Allowance for Credit Losses | 948 | |
Fixed-maturities available for sale | US Government Corporations and Agencies Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | CLO | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 569,173 | 465,449 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 568,558 | 462,561 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 2,026 | 229 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | (2,641) | (3,117) |
Allowance for Credit Losses | 0 | |
Fixed-maturities available for sale | Securities Financing Transaction, Amortized Cost | Total fixed-maturities available for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loaned securities | 33,164 | 23,853 |
Fixed-maturities available for sale | Securities Financing Transaction, Fair Value | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loaned securities | 36,100 | |
Fixed-maturities available for sale | Securities Financing Transaction, Fair Value | Total fixed-maturities available for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loaned securities | $ 36,102 | $ 24,013 |
Note 6 - Investments - Gross Un
Note 6 - Investments - Gross Unrealized Losses and Related Fair Values of Available for Sale Securities (Details) $ in Thousands | Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($)security |
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 194 | 154 |
Fair value available-for-sale securities | $ 679,631 | $ 660,883 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (12,101) | $ (4,183) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 36 | 70 |
Fair value available-for-sale securities | $ 158,852 | $ 254,728 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ (2,056) | $ (4,145) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 230 | 224 |
Fair value available-for-sale securities | $ 838,483 | $ 915,611 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (14,157) | $ (8,328) |
US government and agency securities | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 4 | 2 |
Fair value available-for-sale securities | $ 90,591 | $ 26,142 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (3,611) | $ (731) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 0 | 2 |
Fair value available-for-sale securities | $ 0 | $ 2,529 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ 0 | $ (2) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 4 | 4 |
Fair value available-for-sale securities | $ 90,591 | $ 28,671 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (3,611) | $ (733) |
State and municipal obligations | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 4 | 1 |
Fair value available-for-sale securities | $ 9,626 | $ 3,959 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (100) | $ (41) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 0 | 0 |
Fair value available-for-sale securities | $ 0 | $ 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ 0 | $ 0 |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 4 | 1 |
Fair value available-for-sale securities | $ 9,626 | $ 3,959 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (100) | $ (41) |
Corporate bonds and notes | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 60 | 25 |
Fair value available-for-sale securities | $ 174,848 | $ 110,871 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (3,758) | $ (1,728) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 0 | 0 |
Fair value available-for-sale securities | $ 0 | $ 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ 0 | $ 0 |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 60 | 25 |
Fair value available-for-sale securities | $ 174,848 | $ 110,871 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (3,758) | $ (1,728) |
RMBS | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 5 | 27 |
Fair value available-for-sale securities | $ 42,003 | $ 184,378 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (305) | $ (535) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 2 | 16 |
Fair value available-for-sale securities | $ 915 | $ 36,192 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ (9) | $ (992) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 7 | 43 |
Fair value available-for-sale securities | $ 42,918 | $ 220,570 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (314) | $ (1,527) |
CMBS | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 43 | 33 |
Fair value available-for-sale securities | $ 118,345 | $ 89,994 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (3,035) | $ (463) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 6 | 8 |
Fair value available-for-sale securities | $ 8,312 | $ 6,346 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ (266) | $ (147) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 49 | 41 |
Fair value available-for-sale securities | $ 126,657 | $ 96,340 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (3,301) | $ (610) |
Other ABS | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 26 | 32 |
Fair value available-for-sale securities | $ 70,759 | $ 74,733 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (322) | $ (358) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 3 | 8 |
Fair value available-for-sale securities | $ 12,119 | $ 25,178 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ (110) | $ (214) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 29 | 40 |
Fair value available-for-sale securities | $ 82,878 | $ 99,911 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (432) | $ (572) |
CLO | ||
Continuous Loss Position Less Than Twelve Months | ||
Number of Securities | security | 52 | 34 |
Fair value available-for-sale securities | $ 173,459 | $ 170,806 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | $ (970) | $ (327) |
Continuous Unrealized Loss Position, Twelve Months Or Greater | ||
Number of securities | security | 25 | 36 |
Fair value available-for-sale securities | $ 137,506 | $ 184,483 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | $ (1,671) | $ (2,790) |
Continuous Loss Position, Total | ||
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | security | 77 | 70 |
Fair value available-for-sale securities | $ 310,965 | $ 355,289 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (2,641) | $ (3,117) |
Note 6 - Investments - Securiti
Note 6 - Investments - Securities Lending Agreements (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Securities Financing Transaction [Line Items] | ||
Securities Lending Rate of Collateral Required | 1.02 | |
Foreign government and agency securities | ||
Securities Financing Transaction [Line Items] | ||
Securities Lending Rate of Collateral Required | 1.05 | |
Securities Financing Transaction, Fair Value | ||
Securities Financing Transaction [Line Items] | ||
Securities Lending Rate of Collateral Required | 1 | |
Securities Received as Collateral | $ 43.3 | $ 42.4 |
Note 6 - Investments - Net Inve
Note 6 - Investments - Net Investment Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net Investment Income [Line Items] | |||
Gross investment income | $ 160,633 | $ 179,932 | $ 159,955 |
Investment expenses | (6,596) | (8,136) | (7,480) |
Net investment income | 154,037 | 171,796 | 152,475 |
Fixed-maturities available for sale | |||
Net Investment Income [Line Items] | |||
Gross investment income | 148,127 | 155,104 | 141,552 |
Equity securities | |||
Net Investment Income [Line Items] | |||
Gross investment income | 6,378 | 7,028 | 7,157 |
Short-term investments | |||
Net Investment Income [Line Items] | |||
Gross investment income | 5,774 | 17,255 | 10,270 |
Other investments | |||
Net Investment Income [Line Items] | |||
Gross investment income | $ 354 | $ 545 | $ 976 |
Note 6 - Investments - Net Gain
Note 6 - Investments - Net Gains (Losses) on Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Gain (Loss) on Securities [Line Items] | |||
Fixed-maturities available for sale, net realized gain (loss) | $ 34,869 | $ 11,262 | $ (11,256) |
Trading securities, net realized gain (loss) | 4 | (303) | (1,840) |
Equity securities, net realized gain (loss) | 353 | (719) | 532 |
Realized Gains (Losses) on Investments, Net | 35,826 | 10,843 | (12,094) |
Impairment losses due to intent to sell | (1,401) | 0 | (1,744) |
Net decrease (increase) in expected credit losses | (1,254) | 0 | 0 |
Net unrealized gains (losses) on investments | 10,960 | 33,220 | (27,287) |
Total net gains (losses) on investments | 44,131 | 44,063 | (41,125) |
Net unrealized gains (losses) on investments still held | 12,590 | 28,078 | (24,720) |
Other investments | |||
Gain (Loss) on Securities [Line Items] | |||
Other investments, net realized gain (loss) | 600 | 603 | 470 |
Other Investments, net unrealized gains (losses) on investments still held | 248 | (174) | 447 |
Fixed-maturities available for sale | |||
Gain (Loss) on Securities [Line Items] | |||
Gross investment gains from sales and redemptions | 37,431 | 17,663 | 1,986 |
Gross investment losses from sales and redemptions | (2,562) | (6,401) | (13,242) |
Trading securities | |||
Gain (Loss) on Securities [Line Items] | |||
Trading Securities, net unrealized gains (losses) on investments still held | 10,583 | 16,346 | (16,281) |
Equity securities | |||
Gain (Loss) on Securities [Line Items] | |||
Equity Securities, net unrealized gains (losses) on investments still held | $ 1,759 | $ 11,906 | $ (8,886) |
Note 6 - Investments - Contract
Note 6 - Investments - Contractual Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Available-for-sale Securities, Amortized Cost | ||
Fixed-maturities, Available-for-sale, Amortized Cost | $ 5,393,623 | $ 4,549,534 |
Available-for-sale Securities, Fair Value | ||
Fixed-maturities available for sale—at fair value | 5,723,340 | 4,688,911 |
Securities Loaned, Asset | 57,499 | 66,442 |
Fixed-maturities available for sale | Non Asset Backed Security Investments, Contractual Maturities | ||
Available-for-sale Securities, Amortized Cost | ||
Due in one year or less | 125,361 | |
Due after one year through five years | 1,002,786 | |
Due after five years through ten years | 1,225,712 | |
Due after ten years | 808,882 | |
Available-for-sale Securities, Fair Value | ||
Due in one year or less | 126,414 | |
Due after one year through five years | 1,062,579 | |
Due after five years through ten years | 1,338,147 | |
Due after ten years | 896,083 | |
Fixed-maturities available for sale | RMBS | ||
Available-for-sale Securities, Fair Value | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 799,814 | 766,429 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 833,939 | 779,354 |
Fixed-maturities available for sale | CMBS | ||
Available-for-sale Securities, Fair Value | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 645,071 | 574,037 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 681,265 | 588,420 |
Fixed-maturities available for sale | Other ABS | ||
Available-for-sale Securities, Fair Value | ||
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 249,988 | 314,946 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 252,457 | 316,163 |
Fixed-maturities available for sale | Total fixed-maturities available for sale | ||
Available-for-sale Securities, Amortized Cost | ||
Fixed-maturities, Available-for-sale, Amortized Cost | 5,393,623 | 4,549,534 |
Available-for-sale Securities, Fair Value | ||
Fixed-maturities available for sale—at fair value | 5,723,340 | 4,688,911 |
Available-for-sale Debt Securities, Amortized Cost Basis, Including Loaned Securities | 5,426,787 | 4,573,387 |
Available-for-sale Securities, Debt Securities, Including Loaned Securities | 5,759,442 | 4,712,924 |
Fixed-maturities available for sale | Asset-backed and other Mortgage Backed securities [Member] | ||
Available-for-sale Securities, Amortized Cost | ||
Debt Securities, Available-for-sale, Maturity, without Single Maturity Date, Amortized Cost | 2,264,046 | |
Available-for-sale Securities, Fair Value | ||
Debt Securities, Available-for-sale, Maturity, without Single Maturity Date, Fair Value | 2,336,219 | |
Securities Financing Transaction, Amortized Cost | Fixed-maturities available for sale | Total fixed-maturities available for sale | ||
Available-for-sale Securities, Fair Value | ||
Securities Loaned, Asset | 33,164 | 23,853 |
Securities Financing Transaction, Fair Value | Fixed-maturities available for sale | ||
Available-for-sale Securities, Fair Value | ||
Securities Loaned, Asset | 36,100 | |
Securities Financing Transaction, Fair Value | Fixed-maturities available for sale | Total fixed-maturities available for sale | ||
Available-for-sale Securities, Fair Value | ||
Securities Loaned, Asset | $ 36,102 | $ 24,013 |
Note 6 - Investments - Other (D
Note 6 - Investments - Other (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Fixed-maturities available for sale | Debt Securities | ||
Investment Holdings [Line Items] | ||
Assets Held by Insurance Regulators | $ 16.9 | $ 16.8 |
Note 7 - Goodwill and Other A_3
Note 7 - Goodwill and Other Acquired Intangible Assets, Net - Schedule of Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Line Items] | |||||||
Impairment of goodwill | $ (4,828) | $ 0 | $ 0 | $ 0 | $ 0 | $ (4,828) | $ 0 |
Goodwill, Dispositions | (191,297) | ||||||
Accumulated Amortization, Goodwill, Dispositions | 191,297 | ||||||
Goodwill, Dispositions, Net | 0 | ||||||
Real Estate Segment | |||||||
Goodwill [Line Items] | |||||||
Beginning Balance, Goodwill, Gross | 200,561 | 201,099 | 200,561 | ||||
Beginning Balance, Accumulated Impairment Loss | (186,469) | (191,297) | (186,469) | ||||
Beginning Balance, Goodwill, Net | $ 14,092 | 9,802 | 14,092 | ||||
Goodwill, Acquired During Period | 538 | ||||||
Impairment of goodwill | 0 | (4,828) | |||||
Ending Balance, Goodwill, Gross | 201,099 | 9,802 | 201,099 | 200,561 | |||
Ending Balance, Accumulated Impairment Loss | (191,297) | 0 | (191,297) | (186,469) | |||
Beginning Balance, Goodwill, Net | $ 9,802 | $ 9,802 | $ 9,802 | $ 14,092 |
Note 7 - Goodwill and Other A_4
Note 7 - Goodwill and Other Acquired Intangible Assets, Net - Schedule of Acquired Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Net | $ 13,241 | |
Real Estate Segment | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 52,778 | $ 52,928 |
Finite-Lived Intangible Assets, Accumulated Amortization | (39,537) | (34,543) |
Finite-Lived Intangible Assets, Net | 13,241 | 18,385 |
Real Estate Segment | Client relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 43,550 | 43,550 |
Finite-Lived Intangible Assets, Accumulated Amortization | (31,559) | (27,269) |
Finite-Lived Intangible Assets, Net | 11,991 | 16,281 |
Real Estate Segment | Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 8,285 | 8,435 |
Finite-Lived Intangible Assets, Accumulated Amortization | (7,370) | (6,789) |
Finite-Lived Intangible Assets, Net | 915 | 1,646 |
Real Estate Segment | Licenses | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 463 | 463 |
Finite-Lived Intangible Assets, Accumulated Amortization | (128) | (81) |
Finite-Lived Intangible Assets, Net | 335 | 382 |
Real Estate Segment | Trade names and trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 480 | 480 |
Finite-Lived Intangible Assets, Accumulated Amortization | (480) | (404) |
Finite-Lived Intangible Assets, Net | $ 0 | $ 76 |
Note 7 - Goodwill and Other A_5
Note 7 - Goodwill and Other Acquired Intangible Assets, Net - Schedule of Finite Lived Assets Future Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization expense | $ 5,100 | $ 8,600 | $ 12,400 |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 3,450 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 3,397 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 3,361 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 3,033 | ||
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | 0 | ||
Finite-Lived Intangible Assets, Net | $ 13,241 |
Note 7 - Goodwill and Other A_6
Note 7 - Goodwill and Other Acquired Intangible Assets, Net - Impairment Analysis (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of goodwill | $ 4,828 | $ 0 | $ 0 | $ 0 | $ 0 | $ 4,828 | $ 0 |
Finite-Lived Intangible Assets, Net | 13,241 | ||||||
Goodwill [Line Items] | |||||||
Impairment of goodwill | 4,828 | $ 0 | $ 0 | $ 0 | 0 | 4,828 | $ 0 |
Client relationships | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of Intangible Assets, Finite-lived | 1,000 | ||||||
Technology | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of Intangible Assets, Finite-lived | 300 | ||||||
Other Intangible Assets | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of Intangible Assets, Finite-lived | 0 | ||||||
Real Estate Segment | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Impairment of goodwill | 0 | 4,828 | |||||
Impairment of Intangible Assets, Finite-lived | 13,700 | ||||||
Finite-Lived Intangible Assets, Net | 18,385 | 13,241 | 18,385 | ||||
Goodwill [Line Items] | |||||||
Impairment of goodwill | 0 | 4,828 | |||||
Real Estate Segment | Client relationships | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Finite-Lived Intangible Assets, Net | 16,281 | 11,991 | 16,281 | ||||
Real Estate Segment | Technology | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Finite-Lived Intangible Assets, Net | $ 1,646 | 915 | $ 1,646 | ||||
Held-for-sale | Real Estate Segment | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Finite-Lived Intangible Assets, Net | $ 3,700 |
Note 8 - Reinsurance - Effect o
Note 8 - Reinsurance - Effect of Reinsurance Programs (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Premiums Written, Net [Abstract] | |||||||||||
Direct Premiums Written | $ 1,108,513,000 | $ 1,132,338,000 | $ 1,089,720,000 | ||||||||
Assumed Premiums Written | 12,197,000 | 10,379,000 | 6,901,000 | ||||||||
Ceded Premiums Written | (87,201,000) | (56,132,000) | (98,314,000) | ||||||||
Net premiums written—insurance | 1,033,509,000 | 1,086,585,000 | 998,307,000 | ||||||||
Premiums Earned, Net [Abstract] | |||||||||||
Direct Premiums Earned | 1,286,527,000 | 1,244,870,000 | 1,074,298,000 | ||||||||
Assumed Premiums Earned | 12,213,000 | 10,382,000 | 6,904,000 | ||||||||
Ceded Premiums Earned | (183,419,000) | (109,903,000) | (67,195,000) | ||||||||
Net premiums earned—insurance | $ 302,140,000 | $ 286,471,000 | $ 249,295,000 | $ 277,415,000 | $ 301,486,000 | $ 281,185,000 | $ 299,166,000 | $ 263,512,000 | 1,115,321,000 | 1,145,349,000 | 1,014,007,000 |
Ceded Credit Risk [Line Items] | |||||||||||
Ceding commissions earned | 53,654,000 | 48,659,000 | 33,446,000 | ||||||||
Ceded losses | 58,266,000 | 5,859,000 | $ 5,086,000 | ||||||||
Deferred ceding commissions | $ 52,500,000 | $ 74,800,000 | $ 52,500,000 | $ 74,800,000 |
Note 8 - Reinsurance - Single P
Note 8 - Reinsurance - Single Premium QSR Program (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Jan. 31, 2020 | Oct. 31, 2017 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2017 |
Ceded Credit Risk [Line Items] | |||||||||
Ceded Premiums Written | $ 87,201 | $ 56,132 | $ 98,314 | ||||||
Radian Guaranty | 2020 Single Premium QSR Transaction | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Ceded Premiums Written | $ 250,000 | ||||||||
Concentration Risk, Percentage | 65.00% | ||||||||
Ceding commission for premium ceded | 25.00% | ||||||||
RIF Ceded | 1,597,000 | 0 | |||||||
Radian Guaranty | 2020 Single Premium QSR Transaction | Maximum | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Loss Ratio | 56.00% | ||||||||
Radian Guaranty | 2018 Single Premium QSR Transaction | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Concentration Risk, Percentage | 65.00% | ||||||||
Ceding commission for premium ceded | 25.00% | ||||||||
RIF Ceded | $ 1,979,000 | 3,231,000 | |||||||
Radian Guaranty | 2018 Single Premium QSR Transaction | Maximum | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Loss Ratio | 56.00% | ||||||||
Radian Guaranty | 2016 Single Premium QSR Transaction | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Concentration Risk, Percentage | 65.00% | 20.00% | 35.00% | 35.00% | |||||
Ceding commission for premium ceded | 25.00% | ||||||||
RIF Ceded | $ 3,071,000 | $ 5,351,000 | |||||||
Radian Guaranty | 2016 Single Premium QSR Transaction | Maximum | |||||||||
Ceded Credit Risk [Line Items] | |||||||||
Loss Ratio | 55.00% |
Note 8 - Reinsurance - Excess-o
Note 8 - Reinsurance - Excess-of-Loss Program (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Oct. 31, 2020USD ($) | Feb. 29, 2020USD ($) | Apr. 30, 2019USD ($) | Nov. 30, 2018USD ($) | Dec. 31, 2020USD ($)arrangements | Dec. 31, 2019USD ($) | |
Total assets | $ 7,948,021 | $ 6,808,313 | ||||
Total liabilities | 3,663,668 | 2,759,590 | ||||
Variable Interest Entity, Primary Beneficiary | ||||||
Total assets | 1,539,029 | 865,454 | ||||
Total liabilities | 1,539,029 | 865,454 | ||||
Mortgage segment | ||||||
Risk In Force | $ 60,700,000 | 60,900,000 | ||||
Mortgage segment | Radian Guaranty | ||||||
Number of Fully Collateralized Reinsurance Arrangements with the Eagle Re Issuers | arrangements | 4 | |||||
Reinsurance Retention Policy, Term of Coverage, Period | 10 years | |||||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2020-2 (Primary) | ||||||
Risk In Force | $ 13,011,000 | $ 11,748,000 | 0 | |||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | 390,000 | 390,000 | 0 | |||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2020-2 (Primary) | Variable Interest Entity, Primary Beneficiary | ||||||
Total assets | 390,324 | 0 | ||||
Total liabilities | 390,324 | 0 | ||||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2020-1 (Primary) | ||||||
Risk In Force | $ 9,866,000 | 6,121,000 | 0 | |||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | 488,000 | 488,000 | 0 | |||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2020-1 (Primary) | Variable Interest Entity, Primary Beneficiary | ||||||
Total assets | 488,385 | 0 | ||||
Total liabilities | 488,385 | 0 | ||||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2019-1 (Primary) | ||||||
Risk In Force | $ 10,705,000 | 4,657,000 | 8,409,000 | |||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | 562,000 | 385,000 | 487,000 | |||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2019-1 (Primary) | Variable Interest Entity, Primary Beneficiary | ||||||
Total assets | 384,602 | 508,449 | ||||
Total liabilities | 384,602 | 508,449 | ||||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2018-1 (Primary) | ||||||
Risk In Force | $ 9,109,000 | 3,986,000 | 7,026,000 | |||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | 434,000 | 276,000 | 343,000 | |||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Eagle Re 2018-1 (Primary) | Variable Interest Entity, Primary Beneficiary | ||||||
Total assets | 275,718 | 357,005 | ||||
Total liabilities | 275,718 | 357,005 | ||||
Excess-of-Loss Program | Mortgage segment | Radian Guaranty | Separate Third-Party Reinsurer | ||||||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | 21,400 | |||||
Excess-of-Loss Program | XOL First Layer | Mortgage segment | Radian Guaranty | Eagle Re 2020-2 (Primary) | ||||||
Reinsurance Retention Policy, Amount Retained | $ 423,000 | 423,000 | 0 | |||
Excess-of-Loss Program | XOL First Layer | Mortgage segment | Radian Guaranty | Eagle Re 2020-1 (Primary) | ||||||
Reinsurance Retention Policy, Amount Retained | $ 202,000 | 202,000 | 0 | |||
Excess-of-Loss Program | XOL First Layer | Mortgage segment | Radian Guaranty | Eagle Re 2019-1 (Primary) | ||||||
Reinsurance Retention Policy, Amount Retained | $ 268,000 | 265,000 | 267,000 | |||
Excess-of-Loss Program | XOL First Layer | Mortgage segment | Radian Guaranty | Eagle Re 2018-1 (Primary) | ||||||
Reinsurance Retention Policy, Amount Retained | $ 205,000 | $ 201,000 | $ 204,000 |
Note 8 - Reinsurance - QSR Prog
Note 8 - Reinsurance - QSR Program (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
QSR Program | Radian Guaranty | ||
RIF Ceded | $ 381.8 | $ 644.5 |
Note 8 - Reinsurance - Collater
Note 8 - Reinsurance - Collateral (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Abstract] | ||
Funds Held Under Reinsurance Agreements, Off-Balance Sheet, Asset | $ 228.6 | $ 203.2 |
Note 9 - Other Assets - Compone
Note 9 - Other Assets - Components of Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Prepaid federal income taxes (Note 10) | $ 210,889 | $ 134,800 |
Company-owned life insurance | 115,586 | 105,721 |
Loaned securities | 57,499 | 66,442 |
Right-of-use assets | 32,985 | 37,866 |
Assets held for sale | 0 | 24,908 |
Other | 30,488 | 39,935 |
Total other assets | $ 447,447 | $ 409,672 |
Note 10 - Income Taxes - Income
Note 10 - Income Taxes - Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||
Current provision (benefit) | $ (16,264) | $ 19,522 | $ (42,398) |
Deferred provision (benefit) | 102,079 | 157,162 | 120,573 |
Total income tax provision (benefit) | $ 85,815 | $ 176,684 | $ 78,175 |
Note 10 - Income Taxes - Reconc
Note 10 - Income Taxes - Reconciliation of Taxes from Statutory Rate to Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Provision for income taxes computed at the statutory tax rate | $ 100,683 | $ 178,289 | $ 143,679 |
Valuation allowance | 11,290 | 1,941 | (1,856) |
Uncertain tax positions | (14,784) | 1,202 | 2,589 |
State tax provision (benefit), net of federal impact | (9,062) | (293) | 5,570 |
Other, net | (2,312) | (4,455) | 1,778 |
Impact related to settlement of IRS Matter | 0 | 0 | (73,585) |
Total income tax provision (benefit) | $ 85,815 | $ 176,684 | $ 78,175 |
Federal Statutory Income Tax Rate | 21.00% | 21.00% | 21.00% |
Note 10 - Income Taxes - Deferr
Note 10 - Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Components of Deferred Tax Assets [Abstract] | ||
State income taxes, net of federal impact | $ 75,499 | $ 65,917 |
Goodwill and intangibles | 32,673 | 36,282 |
Unearned premiums | 27,703 | 34,394 |
Lease liability | 11,214 | 13,293 |
Accrued expenses | 11,140 | 11,642 |
Share-based compensation | 9,291 | 11,238 |
Deferred policy acquisition and ceding commission costs | 7,043 | 11,190 |
Loss reserves | 4,578 | 1,920 |
Other | 8,732 | 11,188 |
Total deferred tax assets | 187,873 | 197,064 |
Components of Deferred Tax Liabilities [Abstract] | ||
Differences in fair value of financial instruments | 9,087 | 5,708 |
Net unrealized gain on investments | 70,057 | 29,303 |
Depreciation | 13,029 | 12,803 |
Contingency reserve | 216,122 | 137,983 |
Other | 15,747 | 15,914 |
Total deferred tax liabilities | 324,042 | 201,711 |
Less: Valuation allowance | 77,728 | 66,437 |
Net deferred tax asset (liability) | $ (213,897) | $ (71,084) |
Note 10 - Income Taxes - Curren
Note 10 - Income Taxes - Current and Deferred Taxes (Details) $ in Millions | Dec. 31, 2020USD ($) |
Income Taxes Receivable, Current | $ 17.5 |
State net operating loss carryforward | 74.9 |
US Treasury Securities | |
Debt Securities | $ 210.9 |
Note 10 - Income Taxes - Valuat
Note 10 - Income Taxes - Valuation Allowances (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Federal Income Tax, Valuation Allowances [Abstract] | ||
Deferred Tax Assets, Valuation Allowance | $ 77,728 | $ 66,437 |
Note 10 - Income Taxes - IRS Ma
Note 10 - Income Taxes - IRS Matter (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Internal Revenue Service (IRS) | |
Income Tax Examination [Line Items] | |
Income Tax Expense (Benefit) Recorded as a Result of Finalized IRS Settlement | $ 73,600 |
Note 10 - Income Taxes - Unreco
Note 10 - Income Taxes - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Contingency [Line Items] | |||
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | $ 3,100 | ||
Unrecognized Tax Benefits, Interest and Penalties Charged to Income | 300 | $ 1,300 | $ 61,600 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at beginning of period | 37,208 | 33,552 | |
Tax positions related to the current year [Abstract] | |||
Unrecognized Tax Benefits, Increases Resulting from Current Period Tax Positions | 250 | 3,215 | |
Unrecognized Tax Benefits, Decrease Resulting from Current Period Tax Positions | (1,788) | 0 | |
Tax positions related to prior years [Abstract] | |||
Unrecognized Tax Benefits, Increases Resulting from Prior Period Tax Positions | 16,568 | 441 | |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | (171) | 0 | |
Unrecognized Tax Benefits, Reductions Resulting from Lapse of Applicable Statute of Limitations | (31,818) | 0 | |
Balance at end of period | 20,249 | $ 37,208 | $ 33,552 |
Unrecognized Tax Benefits, Period Increase (Decrease) | (17,000) | ||
Interest and Penalties [Member] | |||
Income Tax Contingency [Line Items] | |||
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | $ 1,600 |
Note 11 - Losses and LAE - Rese
Note 11 - Losses and LAE - Reserve for Losses and LAE by Segment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Reserve for losses and LAE | $ 848,413 | $ 404,765 | ||
Mortgage insurance loss reserves | ||||
Reserve for losses and LAE | 844,107 | 401,273 | $ 397,891 | $ 507,588 |
Services loss reserves | ||||
Reserve for losses and LAE | 4,306 | 3,492 | ||
Primary Case Reserves | Prime Mortgage Insurance Product | Mortgage insurance loss reserves | ||||
Reserve for losses and LAE | $ 799,500 | $ 339,800 |
Note 11 - Losses and LAE - Mort
Note 11 - Losses and LAE - Mortgage Insurance Loss Reserves Rollforward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Loss reserve [Roll Forward] | |||
Balance at January 1 | $ 404,765 | ||
Deduct paid claims and LAE related to [Abstract] | |||
Balance at December 31 | 848,413 | $ 404,765 | |
Mortgage segment | |||
Loss reserve [Roll Forward] | |||
Balance at January 1 | 401,273 | 397,891 | $ 507,588 |
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments | 14,594 | 11,009 | 8,350 |
Balance at beginning of period, net of reinsurance recoverables | 386,679 | 386,882 | 499,238 |
Add losses and LAE incurred in respect of default notices reported and unreported in [Abstract] | |||
Current year | 517,807 | 146,733 | 135,291 |
Prior years | (34,547) | (14,709) | (31,699) |
Total incurred losses and LAE | 483,260 | 132,024 | 103,592 |
Deduct paid claims and LAE related to [Abstract] | |||
Paid claims and LAE - Current year | 4,148 | 4,220 | 5,856 |
Paid claims and LAE - Prior years | 93,453 | 128,007 | 210,092 |
Total paid claims and LAE | 97,601 | 132,227 | 215,948 |
Balance at end of period, net of reinsurance recoverables | 772,338 | 386,679 | 386,882 |
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments | 71,769 | 14,594 | 11,009 |
Balance at December 31 | $ 844,107 | $ 401,273 | $ 397,891 |
Note 11 - Losses and LAE - Re_2
Note 11 - Losses and LAE - Reserve Activity (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020paymentdefault | Dec. 31, 2019USD ($)default | Dec. 31, 2018 | |
Number Of Payments Missed For Insured Loans | payment | 2 | ||
Mortgage segment | Total primary reserves | Incurred But Not Reported | |||
Liability for Future Policy Benefits, Other Increase (Decrease) | $ | $ 30.5 | ||
Mortgage segment | Primary Mortgage Product | |||
New primary default notices | default | 108,025 | 40,985 | |
Default To Claim Rate Estimate, Gross, For New Defaults | 8.50% | 7.50% | 8.00% |
Default To Claim Estimate, Gross, For Foreclosure Stage Defaults | 75.00% | 70.00% | 75.00% |
Mortgage segment | Primary Mortgage Product | Aged Less Than 2 Years | |||
Default To Claim Rate Estimate, Gross, For Pre-Foreclosure Stage Defaults | 21.00% | 22.00% | 23.00% |
Mortgage segment | Primary Mortgage Product | Aged Less Than 2 Years | Maximum | |||
Default To Claim Rate Estimate, Gross, For Pre-Foreclosure Stage Defaults | 55.00% | 55.60% | 57.40% |
Mortgage segment | Primary Mortgage Product | Aged 2 to 5 Years | |||
Default To Claim Rate Estimate, Gross, For Pre-Foreclosure Stage Defaults | 62.50% | 48.00% | 52.00% |
Mortgage segment | Primary Mortgage Product | Aged greater than 5 Years | |||
Default To Claim Rate Estimate, Gross, For Pre-Foreclosure Stage Defaults | 70.00% | 63.00% | 68.00% |
Note 11 - Losses and LAE - Conc
Note 11 - Losses and LAE - Concentration of Risk (Details) - state | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Number of States That Accounted for More Than 10% of Mortgage Insurance Business Measured by Primary Risk in Force | 0 | ||
CALIFORNIA | Mortgage segment | Primary Risk In Force | Geographic Concentration Risk | |||
Concentration Risk, Percentage | 11.20% | ||
CALIFORNIA | Mortgage segment | New Insurance Written | Geographic Concentration Risk | |||
Concentration Risk, Percentage | 10.40% | 10.60% | 11.90% |
CALIFORNIA | Mortgage segment | Minimum | Primary Risk In Force | Geographic Concentration Risk | |||
Concentration Risk, Percentage | 10.00% | 10.00% |
Note 11 - Losses and LAE - Addi
Note 11 - Losses and LAE - Additional Disclosures: Claims Development (Details) $ in Thousands | Dec. 31, 2020USD ($)paymentdefault | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2011USD ($) |
Claims Development [Line Items] | ||||||||||
Number Of Payments Missed For Insured Loans | payment | 2 | |||||||||
Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 3,636,200 | |||||||||
Short-duration Insurance Contracts, Accident Year 2011 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 1,062,826 | $ 1,064,054 | $ 1,060,376 | $ 1,059,116 | $ 1,061,161 | $ 1,062,579 | $ 1,050,555 | $ 1,052,277 | $ 1,152,016 | $ 1,058,625 |
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 578 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 117,019 | |||||||||
Short-duration Insurance Contracts, Accident Year 2012 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 713,146 | 713,839 | 713,750 | 714,783 | 715,646 | 720,502 | 711,213 | 763,969 | $ 803,831 | |
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 313 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 88,555 | |||||||||
Short-duration Insurance Contracts, Accident Year 2013 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 399,317 | 399,356 | 400,243 | 402,259 | 404,333 | 401,444 | 405,334 | $ 505,732 | ||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 150 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 70,723 | |||||||||
Short-duration Insurance Contracts, Accident Year 2014 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 261,377 | 261,507 | 260,098 | 264,620 | 265,891 | 247,074 | $ 337,784 | |||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 73 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 57,541 | |||||||||
Short-duration Insurance Contracts, Accident Year 2015 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 184,066 | 183,546 | 183,952 | 178,042 | 198,186 | $ 222,555 | ||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 69 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 49,255 | |||||||||
Short-duration Insurance Contracts, Accident Year 2016 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 148,640 | 148,811 | 149,753 | 165,440 | $ 201,016 | |||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 75 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 45,824 | |||||||||
Short-duration Insurance Contracts, Accident Year 2017 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 130,274 | 133,357 | 151,802 | $ 180,851 | ||||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 144 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 46,956 | |||||||||
Short-duration Insurance Contracts, Accident Year 2018 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 95,534 | 116,634 | $ 131,513 | |||||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 279 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 39,341 | |||||||||
Short-duration Insurance Contracts, Accident Year 2019 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 136,860 | $ 143,475 | ||||||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 809 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 42,884 | |||||||||
Short-duration Insurance Contracts, Accident Year 2020 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Claims Development [Line Items] | ||||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | $ 504,160 | |||||||||
Short-duration Insurance Contracts, Incurred but Not Reported (IBNR) Claims Liability, Net | $ 4,540 | |||||||||
Short-duration Insurance Contract, Cumulative Number of Reported Claims | default | 109,411 |
Note 11 - Losses and LAE - Ad_2
Note 11 - Losses and LAE - Additional Disclosures: Cumulative Paid Claims / Reconciliation of Outstanding Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Reserve for losses and LAE | $ 848,413 | $ 404,765 | ||||||||
Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 2,914,640 | |||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 3,636,200 | |||||||||
Mortgage segment | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments | 71,769 | 14,594 | $ 11,009 | $ 8,350 | ||||||
Short-duration Insurance Contracts, Liability for Unpaid Claims and Claims Adjustment Expense, Accumulated Unallocated Claim Adjustment Expense | 20,521 | |||||||||
Reserve for losses and LAE | 844,107 | 401,273 | 397,891 | 507,588 | ||||||
Mortgage segment | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Liability for Unpaid Claims and Claims Adjustment Expense, Net | 751,817 | |||||||||
Mortgage and Real Estate Services Segment | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Reserve for losses and LAE | 4,306 | 3,492 | ||||||||
Short-duration Insurance Contracts, Accident Year 2011 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 1,057,199 | 1,052,688 | 1,048,966 | 1,038,582 | $ 1,016,855 | $ 982,830 | $ 892,959 | $ 756,820 | $ 323,216 | $ 40,392 |
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 1,062,826 | 1,064,054 | 1,060,376 | 1,059,116 | 1,061,161 | 1,062,579 | 1,050,555 | 1,052,277 | 1,152,016 | $ 1,058,625 |
Short-duration Insurance Contracts, Accident Year 2012 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 708,528 | 704,770 | 702,136 | 692,291 | 672,271 | 631,982 | 528,744 | 295,332 | 19,200 | |
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 713,146 | 713,839 | 713,750 | 714,783 | 715,646 | 720,502 | 711,213 | 763,969 | $ 803,831 | |
Short-duration Insurance Contracts, Accident Year 2013 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 395,093 | 392,818 | 388,688 | 379,036 | 357,087 | 307,361 | 191,040 | 34,504 | ||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 399,317 | 399,356 | 400,243 | 402,259 | 404,333 | 401,444 | 405,334 | $ 505,732 | ||
Short-duration Insurance Contracts, Accident Year 2014 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 255,742 | 252,619 | 246,611 | 233,607 | 200,422 | 115,852 | 13,108 | |||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 261,377 | 261,507 | 260,098 | 264,620 | 265,891 | 247,074 | $ 337,784 | |||
Short-duration Insurance Contracts, Accident Year 2015 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 174,812 | 172,645 | 163,916 | 142,421 | 84,271 | 10,479 | ||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 184,066 | 183,546 | 183,952 | 178,042 | 198,186 | $ 222,555 | ||||
Short-duration Insurance Contracts, Accident Year 2016 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 137,306 | 134,115 | 119,357 | 76,616 | 11,061 | |||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 148,640 | 148,811 | 149,753 | 165,440 | $ 201,016 | |||||
Short-duration Insurance Contracts, Accident Year 2017 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 108,484 | 99,678 | 66,585 | 24,653 | ||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 130,274 | 133,357 | 151,802 | $ 180,851 | ||||||
Short-duration Insurance Contracts, Accident Year 2018 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 54,625 | 36,066 | 5,584 | |||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 95,534 | 116,634 | $ 131,513 | |||||||
Short-duration Insurance Contracts, Accident Year 2019 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 18,703 | 4,220 | ||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 136,860 | $ 143,475 | ||||||||
Short-duration Insurance Contracts, Accident Year 2020 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | 4,148 | |||||||||
Short-duration Insurance Contracts, Incurred Claims and Allocated Claim Adjustment Expense, Net | 504,160 | |||||||||
Short-duration Insurance Contracts, Accident Year Prior to 2011 | Property, Liability and Casualty Insurance Product Line | ||||||||||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | ||||||||||
Short-duration Insurance Contracts, Cumulative Paid Claims and Allocated Claim Adjustment Expense, Net | $ 30,257 |
Note 11 - Losses and LAE - Ad_3
Note 11 - Losses and LAE - Additional Disclosures: Historical Claims Duration (Details) - Property, Liability and Casualty Insurance Product Line | Dec. 31, 2020 |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Short-duration Insurance Contracts, Historical Claims Duration, Year One | 6.20% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Two | 33.60% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Three | 30.00% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Four | 11.50% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Five | 5.20% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Six | 2.40% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Seven | 1.40% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Eight | 0.60% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Nine | 0.40% |
Short-duration Insurance Contracts, Historical Claims Duration, Year Ten | 0.40% |
Note 12 - Borrowings and Fina_3
Note 12 - Borrowings and Financing Activities - Schedule of Senior Notes (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | May 31, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Sep. 30, 2017 |
Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | $ 1,405,674 | $ 887,110 | |||
Senior Notes | Senior Notes Due 2020 | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | 0 | ||||
Senior Notes | Senior Notes Due 2021 | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | 0 | ||||
Senior Notes | Senior Notes Due 2024 | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | 445,512 | 444,445 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | ||||
Senior Notes | Senior Notes Due 2027 | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | 443,528 | 442,665 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.875% | ||||
Senior Notes | Senior Notes Due 2025 | |||||
Debt Instrument [Line Items] | |||||
Senior Notes | 516,634 | 0 | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.625% | ||||
Federal Home Loan Bank Advances | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 67,500 | 79,002 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 61,050 | 19,000 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 27,995 | 11,925 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 9,954 | 14,994 | |||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 9,984 | 9,954 | |||
Long-term Debt, Maturities, Repayments of Principal after Year Five | 0 | ||||
Advances from Federal Home Loan Banks | $ 176,483 | $ 134,875 |
Note 12 - Borrowings and Fina_4
Note 12 - Borrowings and Financing Activities - Extinguishment of Debt (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Jun. 30, 2019 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Loss on extinguishment of debt | $ 0 | $ 5,940 | $ 16,798 | $ 0 | $ 0 | $ 22,738 | $ 0 | |
Senior Notes due 2020 and 2021 | ||||||||
Repayments of Senior Debt | 351,800 | |||||||
Senior Notes | ||||||||
Long-term Debt | 887,110 | $ 1,405,674 | 887,110 | |||||
Senior Notes | Senior Notes Due 2019 | ||||||||
Maturities of Senior Debt | $ 158,600 | |||||||
Senior Notes | Senior Notes Due 2020 | ||||||||
Debt Instrument, Repurchased Face Amount | 207,200 | 27,000 | 207,200 | |||||
Long-term Debt | 0 | 0 | ||||||
Senior Notes | Senior Notes Due 2021 | ||||||||
Debt Instrument, Repurchased Face Amount | $ 127,300 | 70,400 | 127,300 | |||||
Long-term Debt | $ 0 | $ 0 | ||||||
Senior Notes | Senior Notes due 2020 and 2021 | ||||||||
Repayments of Senior Debt | 103,100 | |||||||
Loss on extinguishment of debt | $ 5,900 | $ 16,800 |
Note 12 - Borrowings and Fina_5
Note 12 - Borrowings and Financing Activities - Senior Notes (Details) - Senior Notes - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
May 31, 2020 | Jun. 30, 2019 | Sep. 30, 2017 | Dec. 31, 2020 | |
Senior Notes Due 2024 | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 450,000 | |||
Proceeds from Issuance of Long-term Debt | $ 442,200 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | |||
Senior Notes Due 2027 | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 450,000 | |||
Proceeds from Issuance of Long-term Debt | $ 442,200 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.875% | |||
Senior Notes Due 2024 and 2027 | ||||
Debt Instrument [Line Items] | ||||
Percent of Stock With Ordinary Voting Rights That Company Must Retain In Order To Make Any Capital Stock Transactions | 80.00% | |||
Senior Notes Due 2025 | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 525,000 | |||
Proceeds from Issuance of Long-term Debt | $ 515,600 | |||
Debt Instrument, Interest Rate, Stated Percentage | 6.625% | |||
Senior Notes Due 2024, 2025 and 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||
Debt Instrument, Basis Spread on Variable Rate | 0.50% |
Note 12 - Borrowings and Fina_6
Note 12 - Borrowings and Financing Activities - FHLB Advances (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Federal Home Loan Bank Advances | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Advances from Federal Home Loan Banks | $ 176,483 | $ 134,875 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 1.12% | |
Federal Home Loan Bank, Advances, Maturity Period, Fixed Rate | 90 days | |
Federal Home Loan Bank Certificates and Obligations (FHLB) [Member] | Minimum | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Federal Home Loan Bank, Ratio of Market Value of Collateral to Advances | 1.03 | |
Federal Home Loan Bank Certificates and Obligations (FHLB) [Member] | Maximum | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Federal Home Loan Bank, Ratio of Market Value of Collateral to Advances | 1.11 | |
Fixed-maturities available for sale | Debt Securities | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Investments serving as collateral for FHLB advances | $ 188,000 | $ 143,100 |
Note 12 - Borrowings and Fina_7
Note 12 - Borrowings and Financing Activities - Revolving Credit Facility (Details) - Revolving Credit Facility $ in Millions | Dec. 31, 2020USD ($) |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Current Borrowing Capacity | $ 267.5 |
Line of Credit Facility, Maximum Borrowing Capacity | 300 |
Line of Credit Facility, Fair Value of Amount Outstanding | $ 0 |
Note 13 - Commitments and Con_4
Note 13 - Commitments and Contingencies - Legal Proceedings (Details) | 12 Months Ended | |||||
Dec. 31, 2020matter | Sep. 23, 2019Certificates | Aug. 31, 2018Certificates | Apr. 12, 2018Certificates | Jun. 05, 2017Certificates | Dec. 17, 2016Certificates | |
Loss Contingencies [Line Items] | ||||||
Minimum Number of Pending or Threatened Matters That Could Effect Our Results | matter | 1 | |||||
Insurance Claims | Total primary reserves | Maximum | ||||||
Loss Contingencies [Line Items] | ||||||
Loss Contingency, Legal Actions Commencement, Period | 2 years | |||||
Insurance Claims | Total pool reserves | Maximum | ||||||
Loss Contingencies [Line Items] | ||||||
Loss Contingency, Legal Actions Commencement, Period | 3 years | |||||
Ocwen | Initial | ||||||
Loss Contingencies [Line Items] | ||||||
Insurance Certificates Issued Under Multiple Insurance Policies | 9,420 | |||||
Ocwen | Amended | ||||||
Loss Contingencies [Line Items] | ||||||
Insurance Certificates Issued Under Multiple Insurance Policies | 8,870 | |||||
Ocwen | Narrowed Scope | ||||||
Loss Contingencies [Line Items] | ||||||
Insurance Certificates Whose Scopes Were Narrowed as a Result of the Confidential Agreement | 2,500 | |||||
Nationstar | Insurance coverage decisions | ||||||
Loss Contingencies [Line Items] | ||||||
Insurance Certificates Issued Under Multiple Insurance Policies | 1,704 | 3,014 | ||||
Nationstar | Insurance premium refunds | ||||||
Loss Contingencies [Line Items] | ||||||
Insurance Certificates Issued Under Multiple Insurance Policies | 2,231 |
Note 13 - Commitments and Con_5
Note 13 - Commitments and Contingencies - Lease Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating lease cost | $ 8,798 | $ 9,332 | |
Short-term lease cost | 13 | 140 | |
Total lease cost | 8,811 | 9,472 | |
Operating cash flows from operating leases | (9,595) | (10,615) | |
Operating Lease, Right-of-Use Asset | $ 32,985 | $ 37,866 | |
Operating Lease, Weighted Average Remaining Lease Term | 9 years 3 months 18 days | 10 years 2 months 12 days | |
Operating Lease, Weighted Average Discount Rate, Percent | 6.72% | 6.80% | |
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | $ 8,330 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Two | 10,040 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Three | 10,170 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Four | 9,904 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Five | 7,976 | ||
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 39,870 | ||
Lessee, Operating Lease, Liability, Payments, Due | 86,290 | ||
Lessee, Operating Lease, Imputed Interest | (32,891) | ||
Operating Leases, Rent Expense | $ 9,700 | ||
Operating Leases, Future Minimum Payments Due, Future Minimum Sublease Rentals | 0 | $ 0 | |
Other Liabilities | |||
Operating Lease, Liability | $ 53,399 | $ 59,452 | |
Minimum | |||
Lessee, Operating Lease, Discount Rate | 4.22% | ||
Maximum | |||
Lessee, Operating Lease, Discount Rate | 7.08% |
Note 14 - Capital Stock - Share
Note 14 - Capital Stock - Share Repurchase Programs (Level 4) $ / shares in Units, $ in Millions | 6 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2018$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Feb. 13, 2020USD ($) | Aug. 14, 2019USD ($) | Mar. 20, 2019USD ($) | Aug. 16, 2018USD ($) | Aug. 09, 2017USD ($) | |
3Q19 Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 200 | |||||||
Stock Repurchased During Period, Shares | shares | 2,195,661 | |||||||
Accelerated Share Repurchases, Final Price Paid Per Share | $ / shares | $ 22.79 | |||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 150 | |||||||
1Q20 Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 275 | |||||||
Total of 3Q19 and 1Q20 Repurchase Programs | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 475 | |||||||
Stock Repurchased During Period, Shares | shares | 11,036,248 | |||||||
Accelerated Share Repurchases, Final Price Paid Per Share | $ / shares | $ 20.51 | |||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 198.9 | |||||||
3Q18 Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 100 | |||||||
1Q19 Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 150 | |||||||
Total of 3Q18 and 1Q19 Repurchase Programs | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 250 | |||||||
Stock Repurchased During Period, Shares | shares | 11,258,574 | |||||||
Accelerated Share Repurchases, Final Price Paid Per Share | $ / shares | $ 22.22 | |||||||
Percent of Reduction in Shares Outstanding | 0.053 | |||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 0 | |||||||
3Q17 Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 50 | |||||||
Stock Repurchased During Period, Shares | shares | 3,022,856 | |||||||
Accelerated Share Repurchases, Final Price Paid Per Share | $ / shares | $ 16.56 |
Note 16 - Statutory Informati_3
Note 16 - Statutory Information - Statutory Financial Statements (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2020USD ($) | Dec. 31, 2020USD ($)paymentstatesubsidiaries | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Statutory Accounting Practices [Line Items] | ||||
Prepaid federal income taxes (Note 10) | $ 210,889 | $ 134,800 | ||
Payments Made on Surplus Note | payment | 0 | |||
Radian Guaranty | ||||
Statutory Accounting Practices [Line Items] | ||||
Statutory Accounting Practices, Release of Contingency Reserves | $ 93,000 | |||
Related Party Transaction, Rate | 3.00% | |||
Number of States in which Entity Operates | state | 50 | |||
Statutory Accounting Practices, Statutory Net Income Amount | $ 441,900 | 703,400 | $ 501,900 | |
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | 481,500 | 637,700 | 814,100 | |
Surplus Note | $ 200,000 | |||
Radian Reinsurance | ||||
Statutory Accounting Practices [Line Items] | ||||
Risk In Force | 6,000,000 | |||
Statutory Accounting Practices, Dividends Paid with Approval of Regulatory Agency | 465,000 | |||
Statutory Accounting Practices, Statutory Net Income Amount | 32,500 | 101,600 | 86,100 | |
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | 360,700 | 455,600 | 356,200 | |
Other MI Companies | ||||
Statutory Accounting Practices [Line Items] | ||||
Statutory Accounting Practices, Statutory Net Income Amount | 1,100 | 100 | (2,800) | |
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | $ 41,300 | 45,700 | 58,000 | |
Radian Title Insurance | ||||
Statutory Accounting Practices [Line Items] | ||||
Number of States in which Entity Operates | state | 39 | |||
Statutory Accounting Practices, Statutory Net Income Amount | $ 2,100 | 300 | (1,800) | |
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | $ 28,800 | $ 27,000 | $ 27,000 | |
Radian Group Inc. | ||||
Statutory Accounting Practices [Line Items] | ||||
Marketable Securities | $ 200,000 | |||
Minimum | Radian Guaranty | ||||
Statutory Accounting Practices [Line Items] | ||||
Surplus Note, Notice of Redemption Period | 30 days | |||
Differences Between GAAP Basis and SAPP Basis | ||||
Statutory Accounting Practices [Line Items] | ||||
Mortgage Guaranty Insurance Companies Are Required Each Year To Establish A Contingency Reserve Equal To This Percentage Of Premiums Earned In Such Year | 50.00% | |||
Number of Years That a Contingency Reserve Must Be Maintained Under SAPP | 10 years | |||
Loss Ratio | 35.00% | |||
PENNSYLVANIA | ||||
Statutory Accounting Practices [Line Items] | ||||
Number of Subsidiaries | subsidiaries | 2 |
Note 16 - Statutory Informati_4
Note 16 - Statutory Information - Statutory Capital Requirements (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2020USD ($)statepayment | Dec. 31, 2019 | |
Risk to Capital Line Items [Line Items] | ||
Risk To Capital Ratio, Regulatory Maximum | 25 | |
PMIERS Disaster Related Capital Charge | 30.00% | |
Reduction in Capital Charges | 70.00% | |
Radian Guaranty | ||
Risk to Capital Line Items [Line Items] | ||
Risk-to-capital | 12.7 | 13.6 |
Minimum | Mortgage segment | ||
Risk to Capital Line Items [Line Items] | ||
Number of missed payments | payment | 2 | |
Maximum | ||
Risk to Capital Line Items [Line Items] | ||
Number of Months that Disaster Related Capital Charge is Applied. | 3 months | |
State Insurance Regulations | ||
Risk to Capital Line Items [Line Items] | ||
Number Of States That Have A Statutory Or Regulatory Risk Based Capital Requirement | state | 16 | |
Non RBC States | Minimum | ||
Risk to Capital Line Items [Line Items] | ||
Capital Required for Capital Adequacy | $ 1 | |
Non RBC States | Maximum | ||
Risk to Capital Line Items [Line Items] | ||
Capital Required for Capital Adequacy | $ 5 |
Note 16 - Statutory Informati_5
Note 16 - Statutory Information - Statutory Dividend Restrictions (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2021 | |
Restricted Net Assets Held by Consolidated Subsidiaries | $ 4,100,000 | |||
Radian Guaranty | ||||
Statutory Unassigned Negative Surplus | (859,500) | |||
Contingency Reserve | 3,400,000 | $ 2,600,000 | ||
Statutory Accounting Practices, Statutory Capital and Surplus, Additions | 200,000 | 0 | $ 0 | |
Statutory Accounting Practices, Statutory Capital and Surplus, Distributions | 0 | (375,000) | (450,000) | |
Radian Guaranty | Scenario, Forecast | ||||
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments | $ 0 | |||
Radian Reinsurance | ||||
Statutory Unassigned Negative Surplus | (319,700) | |||
Radian Reinsurance | Scenario, Forecast | ||||
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments | $ 36,100 | |||
Other MI Companies | ||||
Statutory Accounting Practices, Statutory Capital and Surplus, Additions | 0 | 65,200 | 0 | |
Statutory Accounting Practices, Statutory Capital and Surplus, Distributions | $ (465,000) | $ (14,000) | $ 0 |
Note 17 - Share-Based Compens_3
Note 17 - Share-Based Compensation and Other Benefit Programs - Awards Summary (Details) | 12 Months Ended |
Dec. 31, 2020shares | |
Equity Compensation Plans | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Maximum contractual term for all awards | 10 years |
Equity Compensation Plans | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Change of control, grantee employment termination, vesting period range (in days and years) | 90 days |
Equity Compensation Plans | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Change of control, grantee employment termination, vesting period range (in days and years) | 1 year |
Amended and Restated Equity Compensation Plan, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares remaining available for grant (shares reserve) | 3,478,075 |
Share-based Compensation Arrangement By Share-based Payment Award Number of Shares Available for Grant Excluding Adjustments | 8,050,843 |
Amended and Restated Equity Compensation Plan, 2017 | Restricted Stock, Restricted Stock Units and Performance Shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation, Reduction of Shares Available for Grant by Each Grant of Equity Award | 1.31 |
Note 17 - Share-Based Compens_4
Note 17 - Share-Based Compensation and Other Benefit Programs - Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Payment Arrangement, Expense | $ 19,193 | $ 21,414 | $ 17,649 |
Share-based Compensation Arrangement, Amount Deferred as Policy Acquisition Cost | 0 | 373 | 324 |
Share-based Payment Arrangement, Expense, Federal Income Tax Expense (Benefit) | 4,264 | 6,343 | 2,863 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost, Excluding Amounts Deferred as Policy Acquisition Costs, Prior to Income Taxes | 14,929 | 14,698 | 14,462 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost, Excluding Amounts Deferred as Policy Acquisition Costs, Prior to Income Taxes | 19,193 | 21,041 | 17,325 |
Equity Compensation Plans | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 22,700 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 10 months 24 days | ||
Employee Stock Purchase Plan | |||
Share-based Payment Arrangement, Expense | $ 671 | 444 | 453 |
RSUs | |||
Share-based Payment Arrangement, Expense | 18,403 | 20,694 | 16,591 |
Non-Qualified Stock Options | |||
Share-based Payment Arrangement, Expense | $ 119 | $ 276 | $ 605 |
Note 17 - Share-Based Compens_5
Note 17 - Share-Based Compensation and Other Benefit Programs - RSUs (Details) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2020USD ($)anniversary$ / sharesshares | Dec. 31, 2019USD ($)anniversary$ / sharesshares | Dec. 31, 2018USD ($)anniversary$ / shares | |
Performance-based RSUs (Equity settled) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested, Beginning of Period, Number of Shares | shares | 2,375,005 | ||
Unvested, Beginning of Period, Weighted Average Grant-Date Fair Value Per Share | $ 15.84 | ||
Granted, Number of Shares | shares | 839,330 | ||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 11.91 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Adjustment to Shares | shares | 168,749 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Adjustment to Shares, Weighted Average Grant Date Fair Value | $ 0 | ||
Vested, Number of Shares | shares | (1,174,535) | ||
Vested, Weighted Average Grant-Date Fair Value Per Share | $ 13.14 | ||
Forfeited, Number of Shares | shares | (22,305) | ||
Forfeited, Weighted Average Grant-Date Fair Value Per Share | $ 18.69 | ||
Unvested, End of Period, Number of Shares | shares | 2,186,244 | 2,375,005 | |
Unvested, End of Period, Weighted Average Grant-Date Fair Value Per Share | $ 15.71 | $ 15.84 | |
Grants by Compensation Committee | shares | 839,330 | ||
Performance-based RSUs (Equity settled) | 2020 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Fair Value of RSUs Vested | $ | $ 17.2 | ||
Award Requisite Service Period | 3 years | ||
Maximum Payout Percentage of Target Award | 200.00% | ||
Performance-based RSUs (Equity settled) | 2019 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 21.45 | ||
Fair Value of RSUs Vested | $ | $ 10.6 | ||
Award Requisite Service Period | 3 years | ||
Maximum Payout Percentage of Target Award | 200.00% | ||
Performance-based RSUs (Equity settled) | 2018 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 15.07 | ||
Fair Value of RSUs Vested | $ | $ 0.2 | ||
Award Requisite Service Period | 3 years | ||
Maximum Payout Percentage of Target Award | 200.00% | ||
Timed-vested RSUs (Equity settled) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested, Beginning of Period, Number of Shares | shares | 1,869,740 | ||
Unvested, Beginning of Period, Weighted Average Grant-Date Fair Value Per Share | $ 13.82 | ||
Granted, Number of Shares | shares | 763,608 | ||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 13.49 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Adjustment to Shares | shares | 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Performance Adjustment to Shares, Weighted Average Grant Date Fair Value | $ 0 | ||
Vested, Number of Shares | shares | (501,283) | ||
Vested, Weighted Average Grant-Date Fair Value Per Share | $ 15.98 | ||
Forfeited, Number of Shares | shares | (13,180) | ||
Forfeited, Weighted Average Grant-Date Fair Value Per Share | $ 17.61 | ||
Unvested, End of Period, Number of Shares | shares | 2,118,885 | 1,869,740 | |
Unvested, End of Period, Weighted Average Grant-Date Fair Value Per Share | $ 13.16 | $ 13.82 | |
Grants by Compensation Committee | shares | 763,608 | ||
Timed-vested RSUs (Equity settled) | 2020 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Fair Value of RSUs Vested | $ | $ 7.6 | ||
Number of Anniversaries of the Grant Date | anniversary | 3 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Timed-vested RSUs (Equity settled) | 2019 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 22.76 | ||
Fair Value of RSUs Vested | $ | $ 10.9 | ||
Number of Anniversaries of the Grant Date | anniversary | 3 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Timed-vested RSUs (Equity settled) | 2018 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Granted, Weighted Average Grant-Date Fair Value Per Share | $ 16.24 | ||
Fair Value of RSUs Vested | $ | $ 4.2 | ||
Number of Anniversaries of the Grant Date | anniversary | 3 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Minimum | Performance-based RSUs (Equity settled) | 2020 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Maximum Payout Percentage of Target Award | 0.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Post-Vesting Holding Period | 1 year | ||
Minimum | Performance-based RSUs (Equity settled) | 2019 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Post-Vesting Holding Period | 1 year | ||
Minimum | Performance-based RSUs (Equity settled) | 2018 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Post-Vesting Holding Period | 1 year | ||
Minimum | Timed-vested RSUs (Equity settled) | 2020 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||
Minimum | Timed-vested RSUs (Equity settled) | 2019 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||
Minimum | Timed-vested RSUs (Equity settled) | 2018 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year |
Note 17 - Share-Based Compens_6
Note 17 - Share-Based Compensation and Other Benefit Programs - Non-Qualified Stock Options (Details) - Non-Qualified Stock Options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Outstanding, Beginning of Period, Number of Shares | 981,547 | ||
Outstanding, Beginning of Period, Weighted Average Exercise Price Per Share | $ 10.05 | ||
Exercised, Number of Shares | (207,598) | ||
Exercised, Weighted Average Exercise Price Per Share | $ 7.50 | ||
Forfeited, Number of Shares | 0 | ||
Forfeited, Weighted Average Exercise Price Per Share | $ 0 | ||
Expired, Number of Shares | (430) | ||
Expired, Weighted Average Exercise Price Per Share | $ 18.42 | ||
Outstanding, End of Period, Number of Shares | 773,519 | 981,547 | |
Outstanding, End of Period, Weighted Average Exercise Price Per Share | $ 10.73 | $ 10.05 | |
Weighted Average Remaining Contractual Term, Outstanding | 3 years 2 months 12 days | ||
Total intrinsic value of options outstanding | $ 7,366 | ||
Exercisable, Number of Shares | 773,519 | ||
Exercisable, Weighted Average Exercise Price Per Share | $ 10.73 | ||
Weighted Average Remaining Contractual Term, Exercisable | 3 years 2 months 12 days | ||
Total intrinsic value of options exercisable | $ 7,366 | ||
Share Price | $ 20.25 | ||
Aggregate intrinsic value of options exercised | $ 3,344 | $ 4,984 | $ 6,274 |
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | 702 | 1,047 | 1,318 |
Proceeds from Stock Options Exercised | $ 1,553 | $ 2,416 | $ 1,425 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 4 years | ||
2020 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Granted, Number of Shares | 0 | ||
Granted, Weighted Average Exercise Price Per Share | $ 0 | ||
2019 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Granted, Number of Shares | 0 | ||
2018 Award Year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Granted, Number of Shares | 0 | ||
Share-based Compensation Award, Tranche One | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | ||
Share-based Compensation Award, Tranche Two | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% |
Note 17 - Share-Based Compens_7
Note 17 - Share-Based Compensation and Other Benefit Programs - Employee Stock Purchase Plan (Details) - Amended and Restated Radian Group Inc. Employee Stock Purchase Plan - Employee Stock Purchase Plan - shares | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Feb. 01, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Expected life (months) | 6 months | |||
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price, Purchase Date | 15.00% | |||
Shares sold to employees under ESPP Plans | 100,022 | 107,009 | 103,668 | |
Subsequent Event | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Employee Stock Purchase Plan (ESPP), Number of Shares Available for Issuance | 1,776,532 |
Note 17 - Share-Based Compens_8
Note 17 - Share-Based Compensation and Other Benefit Programs - Benefit Plans (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Contribution Plan Maximum Percentage Of Base Earnings Qualifying For Pre-Tax Contributions | 100.00% | ||
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Amount | $ 19,500 | ||
Defined Benefit Plan, Employee Discretionary Contribution Maximum Catch-up Amount | $ 6,500 | ||
Defined Contribution Plan Parent Company Matching Contribution Percentage | 100.00% | ||
Defined Contribution Plan Percentage Of Base Earnings Qualifying For Parent Company Matching Contribution | 6.00% | ||
Defined Contribution Plan, Cost | $ 7,800,000 | $ 5,600,000 | $ 6,100,000 |
Schedule I Summary Of Investm_3
Schedule I Summary Of Investments (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | $ 6,475,530 | |
Allowance for Credit Losses | (948) | |
Fair Value | 6,845,941 | |
Amount Reflected on the Consolidated Balance Sheet | 6,845,941 | |
Reinvested Cash Collateral Held Under Securities Lending Agreements | 15,587 | $ 25,561 |
Loaned securities | 57,499 | $ 66,442 |
US government and agency securities | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 176,033 | |
Allowance for Credit Losses | 0 | |
Fair Value | 174,099 | |
Amount Reflected on the Consolidated Balance Sheet | 174,099 | |
State and municipal obligations | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 149,258 | |
Allowance for Credit Losses | 0 | |
Fair Value | 165,271 | |
Amount Reflected on the Consolidated Balance Sheet | 165,271 | |
Corporate bonds and notes | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 2,832,350 | |
Allowance for Credit Losses | (948) | |
Fair Value | 3,078,415 | |
Amount Reflected on the Consolidated Balance Sheet | 3,078,415 | |
RMBS | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 799,814 | |
Allowance for Credit Losses | 0 | |
Fair Value | 833,939 | |
Amount Reflected on the Consolidated Balance Sheet | 833,939 | |
CMBS | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 645,071 | |
Allowance for Credit Losses | 0 | |
Fair Value | 681,265 | |
Amount Reflected on the Consolidated Balance Sheet | 681,265 | |
CLO | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 569,173 | |
Allowance for Credit Losses | 0 | |
Fair Value | 568,558 | |
Amount Reflected on the Consolidated Balance Sheet | 568,558 | |
Other ABS | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 249,988 | |
Allowance for Credit Losses | 0 | |
Fair Value | 252,457 | |
Amount Reflected on the Consolidated Balance Sheet | 252,457 | |
Foreign government and agency securities | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 5,100 | |
Allowance for Credit Losses | 0 | |
Fair Value | 5,438 | |
Amount Reflected on the Consolidated Balance Sheet | 5,438 | |
Total fixed-maturities available for sale | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 5,426,787 | |
Allowance for Credit Losses | (948) | |
Fair Value | 5,759,442 | |
Amount Reflected on the Consolidated Balance Sheet | 5,759,442 | |
Total fixed-maturities available for sale | Securities Financing Transaction, Fair Value | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Loaned securities | 36,100 | |
Trading securities | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 260,863 | |
Allowance for Credit Losses | 0 | |
Fair Value | 290,983 | |
Amount Reflected on the Consolidated Balance Sheet | 290,983 | |
Reinvested Cash Collateral Held Under Securities Lending Agreements | 15,600 | |
Common stocks | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 166,721 | |
Allowance for Credit Losses | 0 | |
Fair Value | 172,539 | |
Amount Reflected on the Consolidated Balance Sheet | 172,539 | |
Total equity securities | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 166,721 | |
Allowance for Credit Losses | 0 | |
Fair Value | 172,539 | |
Amount Reflected on the Consolidated Balance Sheet | 172,539 | |
Short-term investments | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 618,014 | |
Allowance for Credit Losses | 0 | |
Fair Value | 618,004 | |
Amount Reflected on the Consolidated Balance Sheet | 618,004 | |
Short-term investments | Securities Financing Transaction, Fair Value | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Loaned securities | 100 | |
Other invested assets | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Amortized Cost | 3,145 | |
Allowance for Credit Losses | 0 | |
Fair Value | 4,973 | |
Amount Reflected on the Consolidated Balance Sheet | 4,973 | |
Equity securities | Securities Financing Transaction, Fair Value | ||
SEC Schedule, 12-15, Insurance Companies, Summary of Investments, Other than Investments in Related Parties [Line Items] | ||
Loaned securities | $ 21,300 |
Schedule II Financial Informa_3
Schedule II Financial Information of Registrant - Parent Company Balance Sheet (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Fixed-maturities available for sale—at fair value (amortized cost of $836,191 and $429,999) | $ 5,723,340 | $ 4,688,911 |
Trading securities—at fair value (amortized cost of $— and $—) | 290,885 | 317,150 |
Equity securities—at fair value (cost of $— and $13,280) | 151,240 | 130,221 |
Short-term investments—at fair value | 618,004 | 518,393 |
Other invested assets—at fair value | 4,973 | 4,072 |
Total investments | 6,788,442 | 5,658,747 |
Cash | 87,915 | 92,729 |
Investment in subsidiaries, at equity in net assets (Note C) | 4,100,000 | |
Accounts and notes receivable | 121,294 | 93,630 |
Other assets (Note C) | 447,447 | 409,672 |
Total assets | 7,948,021 | 6,808,313 |
Liabilities and Stockholders’ Equity | ||
Senior notes | 1,405,674 | 887,110 |
Net deferred tax liability (Note A) | 213,897 | 71,084 |
Other liabilities | 291,855 | 343,105 |
Total liabilities | 3,663,668 | 2,759,590 |
Common stock: par value $0.001 per share; 485,000 shares authorized at December 31, 2020 and 2019; 210,130 and 219,123 shares issued at December 31, 2020 and 2019, respectively; 191,606 and 201,164 shares outstanding at December 31, 2020 and 2019, respectively | 210 | 219 |
Treasury stock, at cost: 18,524 and 17,959 shares at December 31, 2020 and 2019, respectively | (910,115) | (901,657) |
Additional paid-in capital | 2,245,897 | 2,449,884 |
Retained earnings | 2,684,636 | 2,389,789 |
Accumulated other comprehensive income (loss) | 263,725 | 110,488 |
Total common stockholders’ equity | 4,284,353 | 4,048,723 |
Total liabilities and stockholders’ equity | 7,948,021 | 6,808,313 |
Balance Sheet Parentheticals [Abstract] | ||
Fixed-maturities available for sale—amortized cost | 5,393,623 | 4,549,534 |
Trading Securities, Amortized Cost | 260,773 | 297,505 |
Equity Securities, Amortized Cost | 145,501 | 125,311 |
Parent Company | ||
Assets | ||
Fixed-maturities available for sale—at fair value (amortized cost of $836,191 and $429,999) | 844,393 | 430,442 |
Equity securities—at fair value (cost of $— and $13,280) | 0 | 13,381 |
Short-term investments—at fair value | 233,569 | 162,363 |
Other invested assets—at fair value | 3,000 | 1,500 |
Total investments | 1,080,962 | 607,686 |
Cash | 20,141 | 23,534 |
Investment in subsidiaries, at equity in net assets (Note C) | 4,545,508 | 4,413,065 |
Accounts and notes receivable | 300,656 | 100,775 |
Other assets (Note C) | 75,305 | 113,917 |
Total assets | 6,022,572 | 5,258,977 |
Liabilities and Stockholders’ Equity | ||
Senior notes | 1,405,674 | 887,110 |
Net deferred tax liability (Note A) | 272,868 | 253,739 |
Other liabilities | 59,677 | 69,405 |
Total liabilities | 1,738,219 | 1,210,254 |
Common stock: par value $0.001 per share; 485,000 shares authorized at December 31, 2020 and 2019; 210,130 and 219,123 shares issued at December 31, 2020 and 2019, respectively; 191,606 and 201,164 shares outstanding at December 31, 2020 and 2019, respectively | 210 | 219 |
Treasury stock, at cost: 18,524 and 17,959 shares at December 31, 2020 and 2019, respectively | (910,115) | (901,657) |
Additional paid-in capital | 2,245,897 | 2,449,884 |
Retained earnings | 2,684,636 | 2,389,789 |
Accumulated other comprehensive income (loss) | 263,725 | 110,488 |
Total common stockholders’ equity | 4,284,353 | 4,048,723 |
Total liabilities and stockholders’ equity | $ 6,022,572 | $ 5,258,977 |
Balance Sheet Parentheticals [Abstract] | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 485,000,000 | 485,000,000 |
Common Stock, Shares, Issued | 210,130,000 | 219,123,000 |
Common Stock, Shares, Outstanding | 191,606,000 | 201,164,000 |
Treasury Stock, Shares | 18,524,000 | 17,959,000 |
Fixed-maturities available for sale—amortized cost | $ 836,191 | $ 429,999 |
Equity Securities, Amortized Cost | $ 0 | $ 13,280 |
Schedule II Financial Informa_4
Schedule II Financial Information of Registrant - Parent Company Statement of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues: | |||||||||||
Net Investment Income | $ 38,115 | $ 36,255 | $ 38,723 | $ 40,944 | $ 41,432 | $ 42,756 | $ 43,761 | $ 43,847 | $ 154,037 | $ 171,796 | $ 152,475 |
Net gains (losses) on investments and other financial instruments | 17,376 | 17,652 | 47,276 | (22,027) | 4,257 | 13,009 | 12,540 | 21,913 | 60,277 | 51,719 | (42,476) |
Other income | 3,597 | 3,495 | 4,028 | ||||||||
Total revenues | 1,438,617 | 1,526,955 | 1,273,006 | ||||||||
Expenses: | |||||||||||
Loss on extinguishment of debt | 0 | (5,940) | (16,798) | 0 | 0 | (22,738) | 0 | ||||
Interest expense | 71,150 | 56,310 | 61,490 | ||||||||
Total expenses (Note B) | 959,176 | 677,962 | 588,820 | ||||||||
Pretax income | 479,441 | 848,993 | 684,186 | ||||||||
Income tax benefit | 85,815 | 176,684 | 78,175 | ||||||||
Net income | 148,013 | 135,103 | (29,951) | 140,461 | 161,184 | 173,438 | 166,730 | 170,957 | 393,626 | 672,309 | 606,011 |
Other comprehensive income (loss), net of tax | 153,237 | 171,408 | (86,953) | ||||||||
Comprehensive income | 546,863 | 843,717 | 519,058 | ||||||||
Other operating expenses | $ 81,641 | $ 69,377 | $ 60,582 | $ 69,110 | $ 80,894 | $ 76,384 | $ 70,046 | $ 78,805 | 280,710 | 306,129 | 280,818 |
Parent Company | |||||||||||
Revenues: | |||||||||||
Net Investment Income | 19,459 | 19,751 | 21,294 | ||||||||
Net gains (losses) on investments and other financial instruments | 5,682 | 12,863 | (470) | ||||||||
Other income | 101 | 218 | 0 | ||||||||
Total revenues | 25,242 | 32,832 | 20,824 | ||||||||
Expenses: | |||||||||||
Loss on extinguishment of debt | 0 | 22,738 | 0 | ||||||||
Interest expense | 0 | 0 | 17,805 | ||||||||
Total expenses (Note B) | 2,619 | 22,738 | 17,805 | ||||||||
Pretax income | 22,623 | 10,094 | 3,019 | ||||||||
Income tax benefit | (3,165) | (19,997) | (3,319) | ||||||||
Equity in net income of affiliates | 367,838 | 642,218 | 599,673 | ||||||||
Net income | 393,626 | 672,309 | 606,011 | ||||||||
Other comprehensive income (loss), net of tax | 153,237 | 171,408 | (86,953) | ||||||||
Comprehensive income | 546,863 | 843,717 | 519,058 | ||||||||
Other operating expenses | $ 2,619 | $ 0 | $ 0 |
Schedule II Financial Informa_5
Schedule II Financial Information of Registrant - Parent Company Statement of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||
Net cash provided by (used in) operating activities (1) | $ 658,434 | $ 694,431 | $ 677,786 |
Cash flows from investing activities: | |||
Proceeds from sales of Fixed-maturity investments available-for-sale | 963,589 | 986,647 | 728,584 |
Proceeds from sales of Trading securities | 11,602 | 130,537 | 58,317 |
Proceeds from sales of Equity securities | 90,450 | 69,779 | 95,697 |
Proceeds from redemptions of Fixed-maturity investments available for sale | 645,068 | 464,777 | 457,595 |
Proceeds from redemptions of Trading securities | 22,913 | 37,684 | 54,329 |
Purchases of Fixed-maturity investments available for sale | (2,449,762) | (1,913,703) | (1,875,069) |
Sales, redemptions and (purchases) of Short-term investments, net | (82,925) | 8,017 | (108,325) |
Sales, redemptions and (purchases) of Other assets, net | (1,434) | 739 | (2,590) |
Net cash provided by (used in) investing activities | (883,180) | (302,049) | (689,414) |
Cash flows from financing activities: | |||
Dividends and dividend equivalents paid | (97,458) | (2,061) | (2,140) |
Issuance of senior notes, net | 515,567 | 442,439 | 0 |
Repayments and repurchases of senior notes | 0 | (610,763) | 0 |
Issuance of common stock | 1,553 | 2,416 | 1,385 |
Repurchases of common shares | (226,305) | (300,201) | (50,053) |
Proceeds from (Payments for) Other Financing Activities | (2,292) | (989) | (1,510) |
Net cash provided by (used in) financing activities | 222,618 | (403,106) | 22,386 |
Effect of exchange rate changes on cash and restricted cash | 0 | (4) | 0 |
Increase (decrease) in cash and restricted cash | (2,128) | (10,728) | 10,758 |
Cash and restricted cash, beginning of period | 96,274 | 107,002 | 96,244 |
Cash and restricted cash, end of period | 94,146 | 96,274 | 107,002 |
Parent Company | |||
Cash flows from operating activities: | |||
Net cash provided by (used in) operating activities (1) | (13,741) | 143,664 | 254,698 |
Cash flows from investing activities: | |||
Proceeds from sales of Fixed-maturity investments available-for-sale | 304,737 | 296,171 | 6,779 |
Proceeds from sales of Trading securities | 0 | 56,787 | 0 |
Proceeds from sales of Equity securities | 13,401 | 16,916 | 0 |
Proceeds from redemptions of Fixed-maturity investments available for sale | 238,161 | 149,767 | 12,391 |
Proceeds from redemptions of Trading securities | 0 | 114 | 0 |
Purchases of Fixed-maturity investments available for sale | (691,874) | (293,284) | (37,552) |
Sales, redemptions and (purchases) of Short-term investments, net | (53,024) | 157,045 | (131,164) |
Sales, redemptions and (purchases) of Other assets, net | (6,068) | (6,958) | (3,317) |
Capital distributions from subsidiaries | 19,000 | 6,000 | 0 |
Capital contributions to subsidiaries | (5,050) | (65,879) | (30,338) |
Net cash provided by (used in) investing activities | (180,717) | 316,679 | (183,201) |
Cash flows from financing activities: | |||
Dividends and dividend equivalents paid | (97,458) | (2,061) | (2,140) |
Issuance of senior notes, net | 515,567 | 442,439 | 0 |
Repayments and repurchases of senior notes | 0 | (610,763) | 0 |
Issuance of common stock | 1,553 | 2,416 | 1,385 |
Repurchases of common shares | (226,305) | (300,201) | (50,053) |
Proceeds from (Payments for) Other Financing Activities | (2,292) | (989) | (1,510) |
Net cash provided by (used in) financing activities | 191,065 | (469,159) | (52,318) |
Effect of exchange rate changes on cash and restricted cash | 0 | (2) | 0 |
Increase (decrease) in cash and restricted cash | (3,393) | (8,818) | 19,179 |
Cash and restricted cash, beginning of period | 23,534 | 32,352 | 13,173 |
Cash and restricted cash, end of period | 20,141 | 23,534 | 32,352 |
Cash Distributions Received From Consolidated Subsidiaries | 1,700 | 26,600 | 55,400 |
Dividends Received From Consolidated Subsidiaries | $ 484,100 | $ 362,400 | $ 394,600 |
Schedule II Financial Informa_6
Schedule II Financial Information of Registrant - Parent Company Only Supplemental Notes (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)transaction | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Condensed Financial Statements, Captions [Line Items] | |||
Total Operating Expenses Allocated to Subsidiaries From Parent Company | $ 129,870 | $ 124,412 | $ 94,815 |
Total Interest Expense Allocated to Subsidiaries From Parent Company | 68,938 | 53,692 | 42,195 |
Supplemental Notes [Abstract] | |||
Deferred Income Tax Liabilities, Net | 213,897 | 71,084 | |
Parent Company | |||
Supplemental Notes [Abstract] | |||
Total Operating Expenses and Interest Expense Allocated to Subsidiaries From Parent Company | 198,808 | 178,104 | 137,010 |
Deferred Income Tax Liabilities, Net | 272,868 | 253,739 | |
Investments in and Advances to Affiliates, at Fair Value, Period Increase (Decrease) | 116,800 | ||
Radian Mortgage Assurance | |||
Supplemental Notes [Abstract] | |||
Statutory Accounting Practices, Statutory Capital and Surplus Required | 5,000 | ||
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | 8,700 | ||
Risk In Force | 0 | ||
Radian Guaranty | |||
Supplemental Notes [Abstract] | |||
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | $ 481,500 | $ 637,700 | $ 814,100 |
Indirect Guarantee of Indebtedness | Radian Guaranty | |||
Supplemental Notes [Abstract] | |||
Number of Guaranteed Structured Transactions For Radian Guaranty | transaction | 2 | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 73,200 |
Schedule II Financial Informa_7
Schedule II Financial Information of Registrant - Parent Company Balance Sheet Investments and Equity Supplemental Info (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Condensed Financial Statements, Captions [Line Items] | ||
Fixed-maturities, Available-for-sale, Amortized Cost | $ 5,393,623 | $ 4,549,534 |
Trading Securities, Amortized Cost | 260,773 | 297,505 |
Equity Securities, Amortized Cost | 145,501 | 125,311 |
Parent Company | ||
Condensed Financial Statements, Captions [Line Items] | ||
Fixed-maturities, Available-for-sale, Amortized Cost | 836,191 | 429,999 |
Equity Securities, Amortized Cost | $ 0 | $ 13,280 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 485,000,000 | 485,000,000 |
Common Stock, Shares, Issued | 210,130,000 | 219,123,000 |
Common Stock, Shares, Outstanding | 191,606,000 | 201,164,000 |
Treasury Stock, Shares | 18,524,000 | 17,959,000 |
Schedule IV Reinsurance (Detail
Schedule IV Reinsurance (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||||||||||
Gross Amount | $ 1,286,527,000 | $ 1,244,870,000 | $ 1,074,298,000 | ||||||||
Ceded to Other Companies | 183,419,000 | 109,903,000 | 67,195,000 | ||||||||
Assumed from Other Companies | 12,213,000 | 10,382,000 | 6,904,000 | ||||||||
Net Amount | $ 302,140,000 | $ 286,471,000 | $ 249,295,000 | $ 277,415,000 | $ 301,486,000 | $ 281,185,000 | $ 299,166,000 | $ 263,512,000 | $ 1,115,321,000 | $ 1,145,349,000 | $ 1,014,007,000 |
Assumed Premium as a Percentage of Net Premiums | 1.10% | 0.91% | 0.68% | ||||||||
Mortgage Insurance | |||||||||||
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||||||||||
Gross Amount | $ 1,263,684,000 | $ 1,233,528,000 | $ 1,066,860,000 | ||||||||
Ceded to Other Companies | 183,130,000 | 109,696,000 | 67,047,000 | ||||||||
Assumed from Other Companies | 12,213,000 | 10,382,000 | 6,904,000 | ||||||||
Net Amount | $ 1,092,767,000 | $ 1,134,214,000 | $ 1,006,717,000 | ||||||||
Assumed Premium as a Percentage of Net Premiums | 1.12% | 0.92% | 0.69% | ||||||||
Title Insurance | |||||||||||
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||||||||||
Gross Amount | $ 22,843,000 | $ 11,342,000 | $ 7,438,000 | ||||||||
Ceded to Other Companies | 289,000 | 207,000 | 148,000 | ||||||||
Assumed from Other Companies | 0 | 0 | 0 | ||||||||
Net Amount | $ 22,554,000 | $ 11,135,000 | $ 7,290,000 | ||||||||
Assumed Premium as a Percentage of Net Premiums | 0.00% | 0.00% | 0.00% |