Erie Indemnity (ERIE) 10-Q 29 Oct 20 2020 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2020	Oct. 23, 2020
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2020
Document Transition Report	false
Entity File Number	0-24000
Entry Registrant Name	ERIE INDEMNITY COMPANY
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	25-0466020
Entity Address, Address Line One	100 Erie Insurance Place,
Entity Address, City or Town	Erie,
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	16530
City Area Code	814
Local Phone Number	870-2000
Title of 12(b) Security	Class A common stock,
Trading Symbol	ERIE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0000922621
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Class A common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		46,189,068
Class B common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		2,542

STATEMENTS OF OPERATIONS (UNAUD

STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Operating revenue
Operating revenue	$ 653,481	$ 638,742	$ 1,927,237	$ 1,880,558
Operating expenses
Operating expenses	557,256	532,835	1,654,132	1,591,919
Operating income	96,225	105,907	273,105	288,639
Investment income
Net investment income	7,030	8,652	22,772	25,199
Net realized investment gains	5,915	1,696	1,635	5,501
Net impairment losses recognized in earnings	(122)	(31)	(3,192)	(193)
Equity in earnings (losses) of limited partnerships	3,615	3,289	(2,419)	2,546
Total investment income	16,438	13,606	18,796	33,053
Interest expense, net	3	111	8	832
Other (expense) income	(964)	100	(1,588)	195
Income before income taxes	111,696	119,502	290,305	321,055
Income tax expense	22,480	25,333	59,786	63,821
Net income	$ 89,216	$ 94,169	$ 230,519	$ 257,234
Class A common stock
Earnings per share - Basic and diluted:
Common stock - basic (in dollars per share)	$ 1.92	$ 2.02	$ 4.95	$ 5.52
Common stock - diluted (in dollars per share)	$ 1.71	$ 1.80	$ 4.41	$ 4.92
Weighted average shares outstanding – Basic
Common stock - basic (in shares)	46,189,030	46,189,006	46,188,544	46,188,767
Weighted average shares outstanding – Diluted
Common stock - diluted (in shares)	52,310,429	52,325,125	52,312,588	52,317,275
Dividends declared per share
Common stock (in dollars per share)	$ 0.965	$ 0.90	$ 2.895	$ 2.70
Class B common stock
Earnings per share - Basic and diluted:
Common stock - basic (in dollars per share)	287	303	742	829
Common stock - diluted (in dollars per share)	$ 287	$ 303	$ 742	$ 828
Weighted average shares outstanding – Basic
Common stock - basic (in shares)	2,542	2,542	2,542	2,542
Weighted average shares outstanding – Diluted
Common stock - diluted (in shares)	2,542	2,542	2,542	2,542
Dividends declared per share
Common stock (in dollars per share)	$ 144.75	$ 135	$ 434.25	$ 405
Management fee revenue - policy issuance and renewal services, net
Operating revenue
Operating revenue	$ 484,551	$ 474,427	$ 1,412,096	$ 1,385,923
Operating expenses
Operating expenses	409,546	390,105	1,202,903	1,160,614
Management fee revenue - administrative services, net
Operating revenue
Operating revenue	14,910	14,430	44,494	42,576
Administrative services reimbursement revenue
Operating revenue
Operating revenue	147,710	142,730	451,229	431,305
Operating expenses
Operating expenses	147,710	142,730	451,229	431,305
Service agreement revenue
Operating revenue
Operating revenue	$ 6,310	$ 7,155	$ 19,418	$ 20,754

STATEMENTS OF COMPREHENSIVE INC

STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 89,216	$ 94,169	$ 230,519	$ 257,234
Other comprehensive income, net of tax
Change in unrealized holding gains on available-for-sale securities	6,143	2,330	11,358	10,387
Amortization of prior service costs and net actuarial loss on pension and other postretirement plans	2,659	1,231	7,979	3,694
Total other comprehensive income, net of tax	8,802	3,561	19,337	14,081
Comprehensive income	$ 98,018	$ 97,730	$ 249,856	$ 271,315

STATEMENTS OF FINANCIAL POSITIO

STATEMENTS OF FINANCIAL POSITION - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 216,355	$ 336,739
Available-for-sale securities	13,429	32,810
Equity securities	0	2,381
Receivables from Erie Insurance Exchange and affiliates, net	501,192	468,636
Prepaid expenses and other current assets	52,008	44,943
Federal income taxes recoverable	3,965	462
Accrued investment income	5,973	5,433
Total current assets	792,922	891,404
Available-for-sale securities, net	894,625	697,891
Equity securities	94,435	64,752
Limited partnership investments	10,006	26,775
Fixed assets, net	254,908	221,379
Agent loans, net	58,339	60,978
Deferred income taxes, net	21,618	17,186
Other assets	32,489	35,875
Total assets	2,159,342	2,016,240
Current liabilities:
Commissions payable	275,594	262,963
Agent bonuses	85,709	96,053
Accounts payable and accrued liabilities	148,075	134,957
Dividends payable	44,940	44,940
Contract liability	37,420	35,938
Deferred executive compensation	12,701	10,882
Current portion of long-term borrowings	2,021	1,979
Total current liabilities	606,460	587,712
Defined benefit pension plans	169,358	145,659
Long-term borrowings	94,337	95,842
Contract liability	19,140	18,435
Deferred executive compensation	11,335	13,734
Other long-term liabilities	11,495	21,605
Total liabilities	912,125	882,987
Shareholders’ equity
Additional paid-in-capital	16,487	16,483
Accumulated other comprehensive loss	(97,531)	(116,868)
Retained earnings	2,472,181	2,377,558
Total contributed capital and retained earnings	2,393,307	2,279,343
Treasury stock, at cost; 22,110,132 shares held	(1,162,917)	(1,158,910)
Deferred compensation	16,827	12,820
Total shareholders’ equity	1,247,217	1,133,253
Total liabilities and shareholders’ equity	2,159,342	2,016,240
Class A common stock
Shareholders’ equity
Common stock	1,992	1,992
Class B common stock
Shareholders’ equity
Common stock	$ 178	$ 178

STATEMENTS OF FINANCIAL POSIT_2

STATEMENTS OF FINANCIAL POSITION (Parenthetical)	Sep. 30, 2020$ / sharesshares	Dec. 31, 2019$ / sharesshares
Treasury stock (in shares)	22,110,132	22,110,132
Class A common stock
Common stock, stated value per share (in dollars per share) | $ / shares	$ 0.0292	$ 0.0292
Common stock, authorized (in shares)	74,996,930	74,996,930
Common stock, issued (in shares)	68,299,200	68,299,200
Common stock, outstanding (in shares)	46,189,068	46,189,068
Class B common stock
Common stock, stated value per share (in dollars per share) | $ / shares	$ 70	$ 70
Common stock, authorized (in shares)	3,070	3,070
Ratio for converting shares of Class B common stock into shares of Class A common stock	2,400	2,400
Shares issued (in shares)	2,542	2,542
Shares outstanding (in shares)	2,542	2,542

STATEMENTS OF SHAREHOLDERS' EQU

STATEMENTS OF SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands		Total	Cumulative effect adjustment	[3]	Class A common stock	Class B common stock	Common stockClass A common stock	Common stockClass B common stock	Additional paid-in-capital	Accumulated other comprehensive (loss) income	Retained earnings	Retained earningsCumulative effect adjustment	[3]	Retained earningsClass A common stock	Retained earningsClass B common stock	Treasury stock	Deferred compensation
Beginning balance at Dec. 31, 2018		$ 973,672					$ 1,992	$ 178	$ 16,459	$ (130,284)	$ 2,231,417					$ (1,157,625)	$ 11,535
Increase (decrease) in shareholders' equity
Net income		75,311									75,311
Other comprehensive (loss) income		6,710								6,710
Dividends declared:					$ (41,570)	$ (343)								$ (41,570)	$ (343)
Net purchase of treasury stock	[1]	24							24							0
Deferred compensation		0														(1,154)	1,154
Ending balance at Mar. 31, 2019		1,013,804					1,992	178	16,483	(123,574)	2,264,815					(1,158,779)	12,689
Beginning balance at Dec. 31, 2018		973,672					1,992	178	16,459	(130,284)	2,231,417					(1,157,625)	11,535
Increase (decrease) in shareholders' equity
Net income		257,234
Other comprehensive (loss) income		14,081								14,081
Ending balance at Sep. 30, 2019		1,119,271					1,992	178	16,483	(116,203)	2,362,911					(1,158,620)	12,530
Beginning balance at Mar. 31, 2019		1,013,804					1,992	178	16,483	(123,574)	2,264,815					(1,158,779)	12,689
Increase (decrease) in shareholders' equity
Net income		87,754									87,754
Other comprehensive (loss) income		3,810								3,810
Dividends declared:					(41,570)	(344)								(41,570)	(344)
Net purchase of treasury stock	[1]	0							0							0
Deferred compensation		0														(443)	443
Rabbi trust distribution	[2]	0														922	(922)
Ending balance at Jun. 30, 2019		1,063,454					1,992	178	16,483	(119,764)	2,310,655					(1,158,300)	12,210
Increase (decrease) in shareholders' equity
Net income		94,169									94,169
Other comprehensive (loss) income		3,561								3,561
Dividends declared:					(41,570)	(343)								(41,570)	(343)
Net purchase of treasury stock	[1]	0							0							0
Deferred compensation		0														(320)	320
Ending balance at Sep. 30, 2019		1,119,271					1,992	178	16,483	(116,203)	2,362,911					(1,158,620)	12,530
Beginning balance at Dec. 31, 2019		1,133,253	$ (1,075)				1,992	178	16,483	(116,868)	2,377,558	$ (1,075)				(1,158,910)	12,820
Increase (decrease) in shareholders' equity
Net income		59,326									59,326
Other comprehensive (loss) income		(29,576)								(29,576)
Dividends declared:					(44,572)	(368)								(44,572)	(368)
Net purchase of treasury stock	[4]	4							4							0
Deferred compensation		0														(772)	772
Ending balance at Mar. 31, 2020		1,116,992					1,992	178	16,487	(146,444)	2,390,869					(1,159,682)	13,592
Beginning balance at Dec. 31, 2019		1,133,253	$ (1,075)				1,992	178	16,483	(116,868)	2,377,558	$ (1,075)				(1,158,910)	12,820
Increase (decrease) in shareholders' equity
Net income		230,519
Other comprehensive (loss) income		19,337								19,337
Ending balance at Sep. 30, 2020		1,247,217					1,992	178	16,487	(97,531)	2,472,181					(1,162,917)	16,827
Beginning balance at Mar. 31, 2020		1,116,992					1,992	178	16,487	(146,444)	2,390,869					(1,159,682)	13,592
Increase (decrease) in shareholders' equity
Net income		81,977									81,977
Other comprehensive (loss) income		40,111								40,111
Dividends declared:					(44,573)	(368)								(44,573)	(368)
Net purchase of treasury stock	[4]	0							0							0
Deferred compensation		0														(3,568)	3,568
Rabbi trust distribution	[5]	0														704	(704)
Ending balance at Jun. 30, 2020		1,194,139					1,992	178	16,487	(106,333)	2,427,905					(1,162,546)	16,456
Increase (decrease) in shareholders' equity
Net income		89,216									89,216
Other comprehensive (loss) income		8,802								8,802
Dividends declared:					$ (44,572)	$ (368)								$ (44,572)	$ (368)
Net purchase of treasury stock	[4]	0							0							0
Deferred compensation		0														(371)	371
Ending balance at Sep. 30, 2020		$ 1,247,217					$ 1,992	$ 178	$ 16,487	$ (97,531)	$ 2,472,181					$ (1,162,917)	$ 16,827
[1]	Net purchases of treasury stock in 2019 include the repurchase of our Class A common stock in the open market that were subsequently distributed to satisfy stock based compensation awards.
[2]	Distributions of our Class A shares were made from the rabbi trust to a retired director in 2019.
[3]	The cumulative effect adjustment is related to the implementation of new credit loss allowance accounting guidance effective January 1, 2020. See Note 2. "Significant Accounting Policies".
[4]	Net purchases of treasury stock in 2020 include the repurchase of our Class A common stock in the open market that were subsequently distributed to satisfy stock based compensation awards.
[5]	Distributions of our Class A shares were made from the rabbi trust to a retired director in 2020.

STATEMENTS OF SHAREHOLDERS' E_2

STATEMENTS OF SHAREHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended						9 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2020	Sep. 30, 2019
Class A common stock
Dividends declared (in dollars per share)	$ 0.965	$ 0.965	$ 0.965	$ 0.90	$ 0.90	$ 0.90	$ 2.895	$ 2.70
Class B common stock
Dividends declared (in dollars per share)	$ 144.75	$ 144.75	$ 144.75	$ 135	$ 135	$ 135	$ 434.25	$ 405

STATEMENTS OF CASH FLOWS (UNAUD

STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities
Management fee received	$ 1,434,070	$ 1,387,877
Administrative services reimbursements received	432,133	420,697
Service agreement fee received	19,418	20,754
Net investment income received	26,066	25,461
Limited partnership distributions	751	1,596
Commissions paid to agents	(696,447)	(669,618)
Agents bonuses paid	(104,301)	(112,262)
Salaries and wages paid	(146,420)	(138,279)
Employee benefits paid	(24,067)	(31,926)
General operating expenses paid	(193,613)	(179,799)
Administrative services expenses paid	(440,531)	(424,919)
Income taxes paid	(72,576)	(60,863)
Interest paid	(5)	(853)
Net cash provided by operating activities	234,478	237,866
Purchase of investments:
Available-for-sale securities	(338,093)	(852,886)
Equity securities	(66,847)	(46,536)
Limited partnerships	(20)	(20)
Other investments	(768)	(252)
Proceeds from investments:
Available-for-sale securities sales	89,264	655,519
Available-for-sale securities maturities/calls	92,731	282,846
Equity securities	55,000	4,505
Limited partnerships	589	3,600
Purchase of fixed assets	(52,289)	(68,363)
Loans to agents	(3,773)	(16,458)
Collections on agent loans	5,635	5,804
Net cash used in investing activities	(218,571)	(32,241)
Cash flows from financing activities
Dividends paid to shareholders	(134,821)	(125,737)
Net payments on long-term borrowings	(1,470)	(1,433)
Net cash used in financing activities	(136,291)	(127,170)
Net (decrease) increase in cash and cash equivalents	(120,384)	78,455
Cash and cash equivalents, beginning of period	336,739	266,417
Cash and cash equivalents, end of period	216,355	344,872
Supplemental disclosure of noncash transactions
Transfer of investments from limited partnerships to equity securities	13,041	0
Operating lease assets obtained in exchange for new operating lease liabilities	4,107	33,678
Liability incurred to purchase fixed assets	$ 496	$ 8,286

Nature of Operations

Nature of Operations	9 Months Ended
	Sep. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations	Nature of Operations Erie Indemnity Company ("Indemnity", "we", "us", "our") is a publicly held Pennsylvania business corporation that has since its incorporation in 1925 served as the attorney-in-fact for the subscribers (policyholders) at the Erie Insurance Exchange ("Exchange"). The Exchange, which also commenced business in 1925, is a Pennsylvania-domiciled reciprocal insurer that writes property and casualty insurance. Our primary function as attorney-in-fact is to perform policy issuance and renewal services on behalf of the subscribers at the Exchange. We also act as attorney-in-fact on behalf of the Exchange with respect to all claims handling and investment management services, as well as the service provider for all claims handling, life insurance, and investment management services for its insurance subsidiaries, collectively referred to as "administrative services". Acting as attorney-in-fact in these two capacities is done in accordance with a subscriber's agreement (a limited power of attorney) executed individually by each subscriber (policyholder), which appoints us as their common attorney-in-fact to transact certain business on their behalf. Pursuant to the subscriber's agreement for acting as attorney-in-fact in these two capacities, we earn a management fee calculated as a percentage of the direct and affiliated assumed premiums written by the Exchange. The policy issuance and renewal services we provide to the Exchange are related to the sales, underwriting and issuance of policies. The sales related services we provide include agent compensation and certain sales and advertising support services. Agent compensation includes scheduled commissions to agents based upon premiums written as well as additional commissions and bonuses to agents, which are earned by achieving targeted measures. The underwriting services we provide include underwriting and policy processing. The remaining services we provide include customer service and administrative support. We also provide information technology services that support all the functions listed above. Included in these expenses are allocations of costs for departments that support these policy issuance and renewal functions. By virtue of its legal structure as a reciprocal insurer, the Exchange does not have any employees or officers. Therefore, it enters into contractual relationships by and through an attorney-in-fact. Indemnity serves as the attorney-in-fact on behalf of the Exchange with respect to its administrative services. The Exchange's insurance subsidiaries also utilize Indemnity for these services in accordance with the service agreements between each of the subsidiaries and Indemnity. Claims handling services include costs incurred in the claims process, including the adjustment, investigation, defense, recording and payment functions. Life insurance management services include costs incurred in the management and processing of life insurance business. Investment management services are related to investment trading activity, accounting and all other functions attributable to the investment of funds. Included in these expenses are allocations of costs for departments that support these administrative functions. The amounts incurred for these services are reimbursed to Indemnity at cost in accordance with the subscriber's agreement and the service agreements. State insurance regulations require that intercompany service agreements and any material amendments be approved in advance by the state insurance department. Our results of operations are tied to the growth and financial condition of the Exchange. If any events occurred that impaired the Exchange’s ability to grow or sustain its financial condition, including but not limited to reduced financial strength ratings, disruption in the independent agency relationships, significant catastrophe losses, or products not meeting customer demands, the Exchange could find it more difficult to retain its existing business and attract new business. A decline in the business of the Exchange almost certainly would have as a consequence a decline in the total premiums paid and a correspondingly adverse effect on the amount of the management fees we receive. We also have an exposure to a concentration of credit risk related to the unsecured receivables due from the Exchange for its management fee and cost reimbursements. See Note 13, "Concentrations of Credit Risk". Coronavirus ("COVID-19") pandemic On March 11, 2020, the outbreak of the coronavirus ("COVID-19") was declared a global pandemic. The significant volatility in the financial markets, economic disruption and uncertainty resulting from the COVID-19 pandemic that began in the first quarter of 2020 continues to evolve and the pandemic’s ultimate impact and duration remain highly uncertain at this time. The Exchange’s previously announced rate reductions that became effective in the second half of 2020, coupled with the uncertain economic conditions, will likely continue to constrain the Exchange’s premium growth which will impact our management fee revenue. The Exchange’s underwriting profitability has improved largely due to declines in claims frequency. The extent and duration of changes in consumer behavior and driving patterns and the resulting impact to the Exchange’s growth and financial condition remain uncertain. The economic conditions resulting from the COVID-19 pandemic may negatively impact the collectability of the Exchange’s premiums receivable, however no significant impact has been noted through the date of this report. While our investment

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies Basis of presentation The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020. For further information, refer to the financial statements and footnotes included in our Form 10-K for the year ended December 31, 2019 as filed with the Securities and Exchange Commission on February 27, 2020. 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 contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recently adopted accounting standards In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update ("ASU") 2016-13 "Financial Instruments-Credit Losses" , which requires financial assets measured at amortized cost to be presented at the net amount expected to be collected through the use of a new forward-looking current expected credit loss model and credit losses relating to available-for-sale debt securities to be recognized through an allowance for credit losses. We adopted this guidance, which applies to our receivable from Erie Insurance Exchange and affiliates, agent loans and investments, on January 1, 2020. For assets measured at amortized cost for which a current expected credit loss allowance was required, we adopted the guidance using the modified-retrospective approach. At January 1, 2020, we recorded current expected credit loss allowances related to agent loans of $0.8 million and receivables from Erie Insurance Exchange and affiliates of $0.6 million. This resulted in the recording of a cumulative effect adjustment, net of taxes, to retained earnings of $1.1 million. Our available-for-sale investments are not measured at amortized cost, and therefore do not require the use of a current expected credit loss model. Any credit losses, however, are required to be recorded as an allowance for credit losses rather than a reduction of the carrying value of the asset. For available-for-sale securities, we adopted the guidance using the prospective approach and recorded an initial allowance for credit losses of $0.6 million at March 31, 2020. The adoption of this standard did not have a material impact on our Statements of Financial Position, net income or net cash flows. Investments Available-for-sale securities – Fixed maturity debt securities and redeemable preferred stock are classified as available-for-sale and reported at fair value with unrealized investment gains and losses, net of income taxes, recognized in other comprehensive income. Available-for-sale securities with a remaining maturity of 12 months or less and any security that we intend to sell as of the reporting date are classified as current assets. Available-for-sale securities in an unrealized loss position are evaluated to determine whether the impairment is a result of credit loss or other factors. If we have the intent to sell or it's more likely than not that we would be required to sell the security before recovery of the amortized cost basis, the entire impairment is recognized in earnings. Securities that have experienced a decline in fair value that we do not intend to sell, and that we will not be required to sell before recovery, are evaluated to determine if the decline in fair value is credit related. Impairment resulting from a credit loss is recognized in earnings with a corresponding allowance on the balance sheet. Future recoveries of credit loss result in an adjustment to the allowance and earnings in the period the credit conditions improve. Factors considered in the evaluation of credit loss include the extent to which fair value is less than cost and fundamental factors specific to the issuer such as financial condition, changes in credit ratings, near and long-term business prospects and other factors, as well as the likelihood of recovery of the amortized cost of the security. If the qualitative review indicates credit impairment, the allowance for credit loss is measured as the amount that the security’s amortized cost exceeds the present value of cash flows expected to be collected and is limited to the amount that fair value is below amortized cost. Realized gains and losses and investment income – Realized gains and losses on sales of available-for-sale and equity securities are recognized in income based upon the specific identification method and reported as net realized investment gains (losses). Interest income is recognized as earned and includes amortization of premium and accretion of discount. Income is recognized based on the constant effective yield method, which includes periodically updated prepayment assumptions obtained from third party data sources on our prepaying securities. The effective yield for prepaying securities is recalculated on a retrospective basis. Dividend income is recognized at the ex-dividend date. Both interest and dividend income are reported as net investment income. We do not record an allowance for credit losses on accrued investment income as any amount deemed uncollectible is reversed from interest income in the period the expected payment defaults. Agent loans Agent loans, the majority of which are senior secured, are carried at unpaid principal balance with interest recorded in investment income as earned. The current portion of agent loans is recorded in prepaid expenses and other current assets. The adoption of ASU 2016-13 on January 1, 2020 requires the recording of a current expected credit loss allowance on these loans. The allowance is estimated using available loss history and/or external loss rates based on comparable loan losses and considers current conditions and forecasted information. When establishing the expected credit loss allowance upon implementation of ASU 2016-13, a cumulative effect adjustment was recorded to beginning retained earnings. Future changes to the allowance will be recognized in earnings as adjustments to net impairment losses. Prior to the adoption of ASU 2016-13, we did not record an allowance for credit losses as the majority of these loans are senior secured and have had insignificant default amounts. In the second quarter of 2020, we entered into an agreement with a bank for the establishment of a loan participation program for agent loans. The maximum amount of loans to be funded through this program is $100 million. We have committed to fund a minimum of 30% of each loan executed through this program. Additionally, we have agreed to guarantee a portion of the funding provided by the other participants in the program upon execution of each loan. In the third quarter of 2020, loans executed under the agreement totaled $3.1 million, of which our portion of the loans is $0.9 million, and the related guarantee is $0.7 million. Our portion of these loans and the related current expected credit loss allowance are recorded in the same manner as our direct agent loans. Other assets Other assets include operating lease assets and other long-term prepaid assets. The determination of whether an arrangement is a lease, and the related lease classification, is made at inception of a contract. Our leases are classified as operating leases. Operating lease assets and liabilities are recorded at inception based on the present value of the future minimum lease payments over the lease term at commencement date. When an implicit rate for the lease is not available, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of future payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Most of our lease contracts contain lease and non-lease components. Non-lease components are expensed as incurred. Operating lease assets are included in other assets, and the current and noncurrent portions of the operating lease liabilities are included in accounts payable and accrued expenses and other long-term liabilities, respectively.

Revenue

Revenue	9 Months Ended
	Sep. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue	Revenue The majority of our revenue is derived from the subscriber’s agreement between us and the subscribers (policyholders) at the Exchange. Pursuant to the subscriber’s agreement, we earn a management fee calculated as a percentage, not to exceed 25%, of all direct and affiliated assumed written premiums of the Exchange. We allocate a portion of our management fee revenue, currently 25% of the direct and affiliated assumed written premiums of the Exchange, between the two performance obligations we have under the subscriber’s agreement. The first performance obligation is to provide policy issuance and renewal services to the subscribers (policyholders) at the Exchange, and the second is to act as attorney-in-fact on behalf of the Exchange, as well as the service provider for its insurance subsidiaries, with respect to all administrative services. The transaction price, including management fee revenue and administrative service reimbursement revenue, is allocated based on the estimated standalone selling prices developed using industry information and other available information for similar services. We update the transaction price allocation annually based upon the most recent information available or more frequently if there have been significant changes in any components considered in the transaction price. In 2020, we are reviewing our transaction price allocation quarterly to consider the most current economic conditions related to the COVID-19 pandemic. These reviews have resulted in no material change to the allocation. The first performance obligation is to provide policy issuance and renewal services that result in executed insurance policies between the Exchange or one of its insurance subsidiaries and the subscriber (policyholder). Our customer, the subscriber (policyholder), receives economic benefits when substantially all the policy issuance or renewal services are complete and an insurance policy is issued or renewed by the Exchange or one of its insurance subsidiaries. It is at the time of policy issuance or renewal that the allocated portion of revenue is recognized. The Exchange, by virtue of its legal structure as a reciprocal insurer, does not have any employees or officers. Therefore, it enters into contractual relationships by and through an attorney-in-fact. Indemnity serves as the attorney-in-fact on behalf of the Exchange with respect to its administrative services in accordance with the subscriber's agreement. The Exchange's insurance subsidiaries also utilize Indemnity for these services in accordance with the service agreements between each of the subsidiaries and Indemnity. Collectively, these services represent a second performance obligation under the subscriber’s agreement and the service agreements. The revenue allocated to this performance obligation is recognized over time as these services are provided. The portion of revenue not yet earned is recorded as a contract liability in the Statements of Financial Position. The administrative services expenses we incur and the related reimbursements we receive are recorded gross in the Statements of Operations. Indemnity records a receivable from the Exchange for management fee revenue when the premium is written or assumed by the Exchange. Indemnity collects the management fee from the Exchange when the Exchange collects the premiums from the subscribers (policyholders). As the Exchange issues policies with annual terms only, cash collections generally occur within one year. A constraining estimate exists around the management fee received as consideration related to the potential for management fee to be returned if a policy were to be cancelled mid-term. Management fees are returned to the Exchange when policyholders cancel their insurance coverage mid-term and unearned premiums are refunded to them. We maintain an estimated allowance to reduce the management fee to its estimated net realizable value to account for the potential of mid-term policy cancellations based on historical cancellation rates. In 2020, our historical cancellation rates were adjusted to include the potential for increased cancellations given the current economic conditions related to the COVID-19 pandemic. The result was a decrease to the allowance of $0.8 million for the three months ended September 30, 2020 and an increase to the allowance of $3.6 million for the nine months ended September 30, 2020. There was no change to the allowance for the three months ended September 30, 2019 and an increase of $2.9 million for the nine months ended September 30, 2019 primarily driven by premium growth. This estimated allowance has been allocated between the two performance obligations consistent with the revenue allocation proportions. The following table disaggregates revenue by our two performance obligations: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Management fee revenue - policy issuance and renewal services, net $ 484,551 $ 474,427 $ 1,412,096 $ 1,385,923 Management fee revenue - administrative services, net 14,910 14,430 44,494 42,576 Administrative services reimbursement revenue 147,710 142,730 451,229 431,305 Total administrative services $ 162,620 $ 157,160 $ 495,723 $ 473,881

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Class A and Class B basic earnings per share and Class B diluted earnings per share are calculated under the two-class method. The two-class method allocates earnings to each class of stock based upon its dividend rights. Class B shares are convertible into Class A shares at a conversion ratio of 2,400 to 1. See Note 11, "Capital Stock". Class A diluted earnings per share are calculated under the if-converted method, which reflects the conversion of Class B shares to Class A shares. Diluted earnings per share calculations include the dilutive effect of assumed issuance of stock-based awards under compensation plans that have the option to be paid in stock using the treasury stock method. A reconciliation of the numerators and denominators used in the basic and diluted per-share computations is presented as follows for each class of common stock: Three months ended September 30, 2020 2019 (dollars in thousands, except per share data) Allocated net income (numerator) Weighted shares (denominator) Per-share amount Allocated net income (numerator) Weighted shares (denominator) Per-share amount Class A – Basic EPS: Income available to Class A stockholders $ 88,486 46,189,030 $ 1.92 $ 93,398 46,189,006 $ 2.02 Dilutive effect of stock-based awards 0 20,599 — 0 35,319 — Assumed conversion of Class B shares 730 6,100,800 — 771 6,100,800 — Class A – Diluted EPS: Income available to Class A stockholders on Class A equivalent shares $ 89,216 52,310,429 $ 1.71 $ 94,169 52,325,125 $ 1.80 Class B – Basic EPS: Income available to Class B stockholders $ 730 2,542 $ 287 $ 771 2,542 $ 303 Class B – Diluted EPS: Income available to Class B stockholders $ 730 2,542 $ 287 $ 770 2,542 $ 303 Nine months ended September 30, 2020 2019 (dollars in thousands, except per share data) Allocated net income (numerator) Weighted shares (denominator) Per-share amount Allocated net income (numerator) Weighted shares (denominator) Per-share amount Class A – Basic EPS: Income available to Class A stockholders $ 228,632 46,188,544 $ 4.95 $ 255,128 46,188,767 $ 5.52 Dilutive effect of stock-based awards 0 23,244 — 0 27,708 — Assumed conversion of Class B shares 1,887 6,100,800 — 2,106 6,100,800 — Class A – Diluted EPS: Income available to Class A stockholders on Class A equivalent shares $ 230,519 52,312,588 $ 4.41 $ 257,234 52,317,275 $ 4.92 Class B – Basic EPS: Income available to Class B stockholders $ 1,887 2,542 $ 742 $ 2,106 2,542 $ 829 Class B – Diluted EPS: Income available to Class B stockholders $ 1,887 2,542 $ 742 $ 2,105 2,542 $ 828

Fair Value

Fair Value	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value	Fair Value Financial instruments carried at fair value Our available-for-sale and equity securities are recorded at fair value, which is the price that would be received to sell the asset in an orderly transaction between willing market participants as of the measurement date. Valuation techniques used to derive the fair value of our available-for-sale and equity securities are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources. Unobservable inputs reflect our own assumptions regarding fair market value for these securities. Financial instruments are categorized based upon the following characteristics or inputs to the valuation techniques: • Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3 – Unobservable inputs for the asset or liability. Estimates of fair values for our investment portfolio are obtained primarily from a nationally recognized pricing service. Our Level 1 securities are valued using an exchange traded price provided by the pricing service. Pricing service valuations for Level 2 securities include multiple verifiable, observable inputs including benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, and reference data. Pricing service valuations for Level 3 securities are based upon proprietary models and are used when observable inputs are not available or in illiquid markets. Although virtually all of our prices are obtained from third party sources, we also perform internal pricing reviews, including evaluating the methodology and inputs used to ensure that we determine the proper classification level of the financial instrument and reviewing securities with price changes that vary significantly from current market conditions or independent price sources. Price variances are investigated and corroborated by market data and transaction volumes. We have reviewed the pricing methodologies of our pricing service as well as other observable inputs and believe that the prices adequately consider market activity in determining fair value. In limited circumstances we adjust the price received from the pricing service when, in our judgment, a better reflection of fair value is available based upon corroborating information and our knowledge and monitoring of market conditions such as a disparity in price of comparable securities and/or non-binding broker quotes. In other circumstances, certain securities are internally priced because prices are not provided by the pricing service. When a price from the pricing service is not available, values are determined by obtaining broker/dealer quotes and/or market comparables. When available, we obtain multiple quotes for the same security. The ultimate value for these securities is determined based upon our best estimate of fair value using corroborating market information. As of September 30, 2020, nearly all of our available-for-sale and equity securities were priced using a third party pricing service. The following tables present our fair value measurements on a recurring basis by asset class and level of input as of: September 30, 2020 (in thousands) Total Level 1 Level 2 Level 3 Available-for-sale securities: Corporate debt securities $ 547,877 $ 2,689 $ 538,158 $ 7,030 Residential mortgage-backed securities 123,726 0 112,880 10,846 Commercial mortgage-backed securities 113,214 0 62,981 50,233 Collateralized debt obligations 106,921 0 106,921 0 Other debt securities 16,316 0 16,316 0 Total available-for-sale securities 908,054 2,689 837,256 68,109 Equity securities - nonredeemable preferred stock: Financial services sector 78,453 23,770 52,543 2,140 Utilities sector 9,250 4,639 4,611 0 Communications sector 2,623 2,623 0 0 Consumer sector 2,269 419 985 865 Energy sector 1,067 0 1,067 0 Industrial sector 773 773 0 0 Total equity securities 94,435 32,224 59,206 3,005 Total $ 1,002,489 $ 34,913 $ 896,462 $ 71,114 December 31, 2019 (in thousands) Total Level 1 Level 2 Level 3 Available-for-sale securities: Corporate debt securities $ 454,880 $ 2,683 $ 443,873 $ 8,324 Residential mortgage-backed securities 125,343 0 125,343 0 Commercial mortgage-backed securities 67,541 0 64,220 3,321 Collateralized debt obligations 77,856 0 77,856 0 Other debt securities 5,081 0 5,081 0 Total available-for-sale securities 730,701 2,683 716,373 11,645 Equity securities - nonredeemable preferred and common stock: Financial services sector 53,513 14,927 38,586 0 Utilities sector 6,818 3,190 3,628 0 Communications sector 3,433 3,433 0 0 Energy sector 1,881 0 1,881 0 Industrial sector 980 0 980 0 Consumer sector 508 0 508 0 Total equity securities 67,133 21,550 45,583 0 Total $ 797,834 $ 24,233 $ 761,956 $ 11,645 We review the fair value hierarchy classifications each reporting period. Transfers between hierarchy levels may occur due to changes in available market observable inputs. Level 3 Assets – 2020 Quarterly Change: Beginning balance at June 30, 2020 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2020 Available-for-sale securities: Corporate debt securities $ 4,916 $ 4 $ 157 $ 2,258 $ (198) $ 1,644 $ (1,751) $ 7,030 Residential mortgage-backed securities 0 0 0 287 0 10,559 0 10,846 Commercial mortgage-backed securities 18,066 (47) 351 2,077 0 29,786 0 50,233 Collateralized debt obligations 259 0 (9) 0 0 0 (250) 0 Total available-for-sale securities 23,241 (43) 499 4,622 (198) 41,989 (2,001) 68,109 Nonredeemable preferred stock 795 194 0 2,016 0 0 0 3,005 Total Level 3 securities $ 24,036 $ 151 $ 499 $ 6,638 $ (198) $ 41,989 $ (2,001) $ 71,114 Level 3 Assets – 2020 Year-to-Date Change: (in thousands) Beginning balance at December 31, 2019 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2020 Available-for-sale securities: Corporate debt securities $ 8,324 $ 9 $ (354) $ 4,759 $ (740) $ 9,681 $ (14,649) $ 7,030 Residential mortgage-backed securities 0 0 0 287 0 10,559 0 10,846 Commercial mortgage-backed securities 3,321 (89) 471 9,281 (287) 38,677 (1,141) 50,233 Collateralized debt obligations 0 0 3 247 0 0 (250) 0 Total available-for-sale securities 11,645 (80) 120 14,574 (1,027) 58,917 (16,040) 68,109 Nonredeemable preferred stock 0 169 0 2,836 0 0 0 3,005 Total Level 3 securities $ 11,645 $ 89 $ 120 $ 17,410 $ (1,027) $ 58,917 $ (16,040) $ 71,114 Level 3 Assets – 2019 Quarterly Change: (in thousands) Beginning balance at June 30, 2019 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2019 Available-for-sale securities: Corporate debt securities $ 6,373 $ 16 $ (92) $ 549 $ (507) $ 1,850 $ (1,131) $ 7,058 Commercial mortgage-backed securities 2,551 (6) 2 0 (3) 2,846 (683) 4,707 Collateralized debt obligations 0 0 0 2,300 0 0 0 2,300 Total Level 3 available-for-sale securities $ 8,924 $ 10 $ (90) $ 2,849 $ (510) $ 4,696 $ (1,814) $ 14,065 Level 3 Assets – 2019 Year-to-Date Change: (in thousands) Beginning balance at December 31, 2018 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2019 Available-for-sale securities: Corporate debt securities $ 12,577 $ 7 $ 199 $ 1,283 $ (6,779) $ 9,244 $ (9,473) $ 7,058 Residential mortgage-backed securities 0 4 15 921 (32) 0 (908) 0 Commercial mortgage-backed securities 0 7 (6) 478 (1,068) 6,103 (807) 4,707 Collateralized debt obligations 0 0 0 2,300 0 0 0 2,300 Total Level 3 available-for-sale securities $ 12,577 $ 18 $ 208 $ 4,982 $ (7,879) $ 15,347 $ (11,188) $ 14,065 (1) These amounts are reported as net investment income and net realized investment gains (losses) for each of the periods presented above. (2) Transfers into and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs. Quantitative and Qualitative Disclosures about Unobservable Inputs Investments totaling $12.0 million and $1.3 million at September 30, 2020 and December 31, 2019, respectively, were priced using a non-binding broker quote as the only pricing input and were classified within Level 3. The quantitative detail of the unobservable inputs supporting these quotes is neither provided nor reasonably available to us. Financial instruments not carried at fair value The following table presents the carrying values and fair values of financial instruments categorized as Level 3 in the fair value hierarchy that are recorded at carrying value as of: September 30, 2020 December 31, 2019 (in thousands) Carrying value Fair value Carrying value Fair value Agent loans (1) $ 64,852 $ 66,345 $ 67,696 $ 71,602 Long-term borrowings (2) 96,610 116,865 98,080 101,888 (1) The discount rate used to calculate fair value at September 30, 2020 is reflective of an increase in the BB+ financial yield curve due to the market volatility resulting from the COVID-19 pandemic. (2) The discount rate used to calculate fair value at September 30, 2020 is reflective of a decline in U.S. Treasury bond yields due to the market volatility resulting from the COVID-19 pandemic.

Investments

Investments	9 Months Ended
	Sep. 30, 2020
Investments [Abstract]
Investments	Investments Available-for-sale securities See Note 5, "Fair Value" for additional fair value disclosures. The following tables summarize the cost and fair value, net of credit loss allowance, of our available-for-sale securities as of: September 30, 2020 (in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Estimated fair value Corporate debt securities $ 534,902 $ 16,904 $ 3,929 $ 547,877 Residential mortgage-backed securities 120,268 3,470 12 123,726 Commercial mortgage-backed securities 109,187 4,420 393 113,214 Collateralized debt obligations 107,787 373 1,239 106,921 Other debt securities 15,792 542 18 16,316 Total available-for-sale securities, net $ 887,936 $ 25,709 $ 5,591 $ 908,054 December 31, 2019 (in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Estimated fair value Corporate debt securities $ 450,295 $ 6,289 $ 1,704 $ 454,880 Residential mortgage-backed securities 124,337 1,056 50 125,343 Commercial mortgage-backed securities 67,210 479 148 67,541 Collateralized debt obligations 78,059 44 247 77,856 Other debt securities 5,049 71 39 5,081 Total available-for-sale securities, net $ 724,950 $ 7,939 $ 2,188 $ 730,701 The amortized cost and estimated fair value of available-for-sale securities at September 30, 2020 are shown below by remaining contractual term to maturity. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2020 Amortized Estimated (in thousands) cost fair value Due in one year or less $ 13,157 $ 13,229 Due after one year through five years 419,336 431,758 Due after five years through ten years 160,245 161,148 Due after ten years 295,198 301,919 Total available-for-sale securities (1) $ 887,936 $ 908,054 (1) The contractual maturities of our available-for-sale securities are included in the table. However, given our intent to sell certain impaired securities, these securities are classified as current assets in our Statements of Financial Position at September 30, 2020. The below securities have been evaluated and determined to be temporary declines in fair value for which we expect to recover our entire principal plus interest. The following table presents available-for-sale securities based on length of time in a gross unrealized loss position as of: September 30, 2020 Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized No. of Corporate debt securities $ 116,649 $ 2,493 $ 8,236 $ 1,436 $ 124,885 $ 3,929 437 Residential mortgage-backed securities 17,274 12 0 0 17,274 12 11 Commercial mortgage-backed securities 19,076 393 0 0 19,076 393 29 Collateralized debt obligations 78,166 998 11,992 241 90,158 1,239 97 Other debt securities 1,057 18 0 0 1,057 18 4 Total available-for-sale securities $ 232,222 $ 3,914 $ 20,228 $ 1,677 $ 252,450 $ 5,591 578 Quality breakdown of available-for-sale securities: Investment grade $ 184,738 $ 1,916 $ 11,992 $ 241 $ 196,730 $ 2,157 178 Non-investment grade 47,484 1,998 8,236 1,436 55,720 3,434 400 Total available-for-sale securities $ 232,222 $ 3,914 $ 20,228 $ 1,677 $ 252,450 $ 5,591 578 December 31, 2019 Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized No. of Corporate debt securities $ 25,804 $ 342 $ 15,699 $ 1,362 $ 41,503 $ 1,704 158 Residential mortgage-backed securities 16,712 50 0 0 16,712 50 7 Commercial mortgage-backed securities 21,981 147 372 1 22,353 148 30 Collateralized debt obligations 20,889 33 41,010 214 61,899 247 49 Other debt securities 2,350 39 0 0 2,350 39 2 Total available-for-sale securities $ 87,736 $ 611 $ 57,081 $ 1,577 $ 144,817 $ 2,188 246 Quality breakdown of available-for-sale securities: Investment grade $ 76,315 $ 287 $ 46,390 $ 218 $ 122,705 $ 505 100 Non-investment grade 11,421 324 10,691 1,359 22,112 1,683 146 Total available-for-sale securities $ 87,736 $ 611 $ 57,081 $ 1,577 $ 144,817 $ 2,188 246 Credit loss allowance on investments As of September 30, 2020, the current expected credit loss allowance on agent loans is $1.0 million and the credit loss allowance on available-for-sale securities is $0.4 million. Net investment income Investment income, net of expenses, was generated from the following portfolios: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for sale securities $ 5,353 $ 5,449 $ 16,811 $ 17,098 Equity securities 1,178 452 2,935 734 Cash equivalents and other 1,009 2,900 4,098 8,025 Total investment income 7,540 8,801 23,844 25,857 Less: investment expenses 510 149 1,072 658 Investment income, net of expenses $ 7,030 $ 8,652 $ 22,772 $ 25,199 Realized investment gains (losses) Realized gains (losses) on investments were as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for-sale securities: Gross realized gains $ 604 $ 1,320 $ 3,399 $ 5,640 Gross realized losses (467) (248) (2,292) (1,411) Net realized gains on available-for-sale securities 137 1,072 1,107 4,229 Equity securities 5,777 624 525 1,272 Miscellaneous 1 0 3 0 Net realized investment gains $ 5,915 $ 1,696 $ 1,635 $ 5,501 The portion of net unrealized gains and losses recognized during the reporting period related to equity securities held at the reporting date is calculated as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Equity securities: Net gains recognized during the period $ 5,777 $ 624 $ 525 $ 1,272 Less: net gains (losses) recognized on securities sold 1,796 47 (1,009) 47 Net unrealized gains recognized on securities held at reporting date $ 3,981 $ 577 $ 1,534 $ 1,225 Net impairment losses recognized in earnings Upon adoption of ASU 2016-13 on January 1, 2020, impairments on available-for-sale securities that are deemed to be credit related are recognized in earnings with a corresponding available-for-sale security allowance. All unrealized losses related to factors other than credit are recorded in other comprehensive income. Prior to January 1, 2020, we had the intent to sell all credit-impaired available-for-sale securities; therefore, the entire amount of the impairment charges was included in earnings and no impairments were recognized in other comprehensive income. See also Note 2, "Significant Accounting Policies". Impairments on available-for-sale securities and agent loans were as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for-sale securities: Intent to sell $ 37 $ 31 $ 2,279 $ 193 Credit impaired 85 — 743 — Total available-for-sale securities 122 31 3,022 193 Agent loans - expected credit losses 0 — 170 — Net impairment losses recognized in earnings $ 122 $ 31 $ 3,192 $ 193

Leases

Leases	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
Leases	Leases The following table summarizes our lease assets and liabilities as of: (in thousands) September 30, 2020 December 31, 2019 Operating lease assets $ 16,844 $ 22,401 Operating lease liabilities - current $ 10,735 $ 11,289 Operating lease liabilities - long-term 5,766 10,665 Total operating lease liabilities $ 16,501 $ 21,954 We currently have leases for real estate, technology equipment, copiers, and vehicles. Our largest operating lease asset at September 30, 2020 of $7.8 million is for office space leased from the Exchange, including the home office. Under this lease, rent is based on rental rates of like property and all operating expenses are the responsibility of the tenant (Indemnity). The lease agreement expires December 31, 2021. Operating lease costs for the three months ended September 30, 2020 and 2019 were $3.2 million and $3.5 million, respectively, and $9.9 million and $10.7 million for the nine months ended September 30, 2020 and 2019, respectively. Of this amount, the Exchange and its subsidiaries reimbursed us $1.3 million and $1.5 million for the three months ended September 30, 2020 and 2019, respectively, and $4.1 million and $4.6 million for the nine months ended September 30, 2020 and 2019, respectively, which represents the allocated share of lease costs supporting administrative services activities.

Borrowing Arrangements

Borrowing Arrangements	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Borrowing Arrangements	Borrowing Arrangements Bank line of credit As of September 30, 2020, we have access to a $100 million bank revolving line of credit with a $25 million letter of credit sublimit that expires on October 30, 2023. As of September 30, 2020, a total of $99.1 million remains available under the facility due to $0.9 million outstanding letters of credit, which reduce the availability for letters of credit to $24.1 million. We had no borrowings outstanding on our line of credit as of September 30, 2020. Investments with a fair value of $124.6 million were pledged as collateral on the line at September 30, 2020. The investments pledged as collateral have no trading restrictions and are reported as available-for-sale securities and cash and cash equivalents as of September 30, 2020. The banks require compliance with certain covenants, which include leverage ratios and debt restrictions, for our line of credit. We are in compliance with all covenants at September 30, 2020. Term loan credit facility In 2016, we entered into a credit agreement for a $100 million senior secured draw term loan credit facility ("Credit Facility") for the acquisition of real property and construction of an office building that will serve as part of our principal headquarters. On January 1, 2019, the Credit Facility converted to a fully-amortized term loan with monthly payments of principal and interest at a fixed rate of 4.35% over a period of 28 years. Investments with a fair value of $126.2 million were pledged as collateral for the facility and are reported as available-for-sale securities and cash and cash equivalents as of September 30, 2020. The bank requires compliance with certain covenants, which include leverage ratios, debt restrictions and minimum net worth, for our Credit Facility. We are in compliance with all covenants at September 30, 2020. The remaining unpaid balance from the Credit Facility is reported at carrying value on our Statements of Financial Position, net of unamortized loan origination and commitment fees. See Note 5, "Fair Value" for the estimated fair value of these borrowings. Annual principal payments The following table sets forth future principal payments: (in thousands) Year Principal payments 2020 $ 520 2021 2,020 2022 2,110 2023 2,226 2024 2,303 Thereafter 87,431

Postretirement Benefits

Postretirement Benefits	9 Months Ended
	Sep. 30, 2020
Retirement Benefits [Abstract]
Postretirement Benefits	Postretirement Benefits Pension plans Our pension plans consist of a noncontributory defined benefit pension plan covering substantially all employees and an unfunded supplemental employee retirement plan for certain members of executive and senior management. Although we are the sponsor of these postretirement plans and record the funded status of these plans, the Exchange and its subsidiaries reimburse us for approximately 58% of the annual benefit expense of these plans, which represents pension benefits for employees performing administrative services and their allocated share of costs for employees in departments that support the administrative functions. The cost of our pension plans are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Service cost for benefits earned $ 10,873 $ 8,463 $ 32,620 $ 25,390 Interest cost on benefits obligation 9,395 9,827 28,184 29,480 Expected return on plan assets (12,353) (11,872) (37,059) (35,614) Prior service cost amortization 336 349 1,007 1,046 Net actuarial loss amortization 3,031 1,279 9,093 3,835 Pension plan cost (1) $ 11,282 $ 8,046 $ 33,845 $ 24,137 (1) The components of pension plan costs other than the service cost component are included in the line item "Other (expense) income" in the Statements of Operations after reimbursements from the Exchange and its subsidiaries.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income tax expense is provided on an interim basis based upon our estimate of the annual effective income tax rate, adjusted each quarter for discrete items. For the three months ended September 30, 2020 and 2019, our effective tax rate was 20.1% and 21.2%, respectively, and for the nine months ended September 30, 2020 and 2019 our effective tax rate was 20.6% and 19.9%, respectively. Impacting our effective tax rate in the nine months ended September 30, 2019 was the settlement of an uncertain tax position, which reduced our effective tax rate by 1.3%.

Capital Stock

Capital Stock	9 Months Ended
	Sep. 30, 2020
Class of Stock Disclosures [Abstract]
Capital Stock	Capital Stock Class A and B common stock Holders of Class B shares may, at their option, convert their shares into Class A shares at the rate of 2,400 Class A shares per Class B share. There were no shares of Class B common stock converted into Class A common stock during the nine months ended September 30, 2020 and the year ended December 31, 2019. There is no provision for conversion of Class A shares to Class B shares, and Class B shares surrendered for conversion cannot be reissued. Stock repurchases In 2011, our Board of Directors approved a continuation of the current stock repurchase program of $150 million, with no time limitation. There were no shares repurchased under this program during the nine months ended September 30, 2020 and the year ended December 31, 2019. We had approximately $17.8 million of repurchase authority remaining under this program at September 30, 2020.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2020
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) Changes in accumulated other comprehensive income ("AOCI") (loss) by component, including amounts reclassified to other comprehensive income ("OCI") (loss) and the related line item in the Statements of Operations where net income is presented, are as follows: Three months ended Three months ended September 30, 2020 September 30, 2019 (in thousands) Before Tax Income Tax Net Before Tax Income Tax Net Investment securities: AOCI, beginning of period $ 12,265 $ 2,575 $ 9,690 $ 1,030 $ 216 $ 814 OCI before reclassifications 7,792 1,636 6,156 3,991 838 3,153 Realized investment gains (137) (28) (109) (1,072) (225) (847) Impairment losses 122 26 96 31 7 24 OCI 7,777 1,634 6,143 2,950 620 2,330 AOCI, end of period $ 20,042 $ 4,209 $ 15,833 $ 3,980 $ 836 $ 3,144 Pension and other postretirement plans: AOCI (loss), beginning of period $ (146,866) $ (30,843) $ (116,023) $ (152,632) $ (32,054) $ (120,578) Amortization of prior service costs 335 70 265 349 74 275 Amortization of net actuarial loss 3,031 637 2,394 1,210 254 956 OCI 3,366 707 2,659 1,559 328 1,231 AOCI (loss), end of period $ (143,500) $ (30,136) $ (113,364) $ (151,073) $ (31,726) $ (119,347) Total AOCI (loss), beginning of period $ (134,601) $ (28,268) $ (106,333) $ (151,602) $ (31,838) $ (119,764) Investment securities 7,777 1,634 6,143 2,950 620 2,330 Pension and other postretirement plans 3,366 707 2,659 1,559 328 1,231 OCI 11,143 2,341 8,802 4,509 948 3,561 AOCI (loss), end of period $ (123,458) $ (25,927) $ (97,531) $ (147,093) $ (30,890) $ (116,203) Nine months ended Nine months ended September 30, 2020 September 30, 2019 (in thousands) Before Tax Income Tax Net Before Tax Income Tax Net Investment securities: AOCI (loss), beginning of period $ 5,664 $ 1,189 $ 4,475 $ (9,169) $ (1,926) $ (7,243) OCI before reclassifications 12,463 2,617 9,846 17,185 3,609 13,576 Realized investment gains (1,107) (232) (875) (4,229) (888) (3,341) Impairment losses 3,022 635 2,387 193 41 152 OCI 14,378 3,020 11,358 13,149 2,762 10,387 AOCI, end of period $ 20,042 $ 4,209 $ 15,833 $ 3,980 $ 836 $ 3,144 Pension and other postretirement plans: AOCI (loss), beginning of period $ (153,600) $ (32,257) $ (121,343) $ (155,749) $ (32,708) $ (123,041) Amortization of prior service costs 1,007 211 796 1,046 220 826 Amortization of net actuarial loss 9,093 1,910 7,183 3,630 762 2,868 OCI 10,100 2,121 7,979 4,676 982 3,694 AOCI (loss), end of period $ (143,500) $ (30,136) $ (113,364) $ (151,073) $ (31,726) $ (119,347) Total AOCI (loss), beginning of period $ (147,936) $ (31,068) $ (116,868) $ (164,918) $ (34,634) $ (130,284) Investment securities 14,378 3,020 11,358 13,149 2,762 10,387 Pension and other postretirement plans 10,100 2,121 7,979 4,676 982 3,694 OCI 24,478 5,141 19,337 17,825 3,744 14,081 AOCI (loss), end of period $ (123,458) $ (25,927) $ (97,531) $ (147,093) $ (30,890) $ (116,203)

Concentrations of Credit Risk

Concentrations of Credit Risk	9 Months Ended
	Sep. 30, 2020
Risks and Uncertainties [Abstract]
Concentrations of Credit Risk	Concentrations of Credit RiskFinancial instruments could potentially expose us to concentrations of credit risk, including unsecured receivables from the Exchange. A large majority of our revenue and receivables are from the Exchange and its affiliates. See also Note 1, "Nature of Operations". Net management fee amounts and other reimbursements due from the Exchange and its affiliates were $501.2 million and $468.6 million at September 30, 2020 and December 31, 2019, respectively. Given the financial strength of the Exchange and historical experience of no credit losses, we previously did not record a credit loss allowance to these receivables. Upon adoption of ASU 2016-13, we recorded an allowance for current expected credit losses of $0.6 million related to the receivables from the Exchange and affiliates. See also Note 2, "Significant Accounting Policies". There was no change to this allowance for the three and nine months ended September 30, 2020.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies We are involved in litigation arising in the ordinary course of conducting business. In accordance with current accounting standards for loss contingencies and based upon information currently known to us, we establish reserves for litigation when it is probable that a loss associated with a claim or proceeding has been incurred and the amount of the loss or range of loss can be reasonably estimated. When no amount within the range of loss is a better estimate than any other amount, we accrue the minimum amount of the estimable loss. To the extent that such litigation against us may have an exposure to a loss in excess of the amount we have accrued, we believe that such excess would not be material to our financial condition, results of operations, or cash flows. Legal fees are expensed as incurred. We believe that our accruals for legal proceedings are appropriate and, individually and in the aggregate, are not expected to be material to our financial condition, results of operations, or cash flows. We review all litigation on an ongoing basis when making accrual and disclosure decisions. For certain legal proceedings, we cannot reasonably estimate losses or a range of loss, if any, particularly for proceedings that are in their early stages of development or where the plaintiffs seek indeterminate damages. Various factors, including, but not limited to, the outcome of potentially lengthy discovery and the resolution of important factual questions, may need to be determined before probability can be established or before a loss or range of loss can be reasonably estimated. If the loss contingency in question is not both probable and reasonably estimable, we do not establish an accrual and the matter will continue to be monitored for any developments that would make the loss contingency both probable and reasonably estimable. In the event that a legal proceeding results in a substantial judgment against, or settlement by, us, there can be no assurance that any resulting liability or financial commitment would not have a material adverse effect on the financial condition, results of operations, or cash flows.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2020
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events No items were identified in this period subsequent to the financial statement date that required adjustment or additional disclosure.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Basis of presentation	Basis of presentation The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020. For further information, refer to the financial statements and footnotes included in our Form 10-K for the year ended December 31, 2019 as filed with the Securities and Exchange Commission on February 27, 2020.
Use of estimates	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 contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Recently adopted accounting standards	Recently adopted accounting standards In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update ("ASU") 2016-13 "Financial Instruments-Credit Losses" , which requires financial assets measured at amortized cost to be presented at the net amount expected to be collected through the use of a new forward-looking current expected credit loss model and credit losses relating to available-for-sale debt securities to be recognized through an allowance for credit losses. We adopted this guidance, which applies to our receivable from Erie Insurance Exchange and affiliates, agent loans and investments, on January 1, 2020. For assets measured at amortized cost for which a current expected credit loss allowance was required, we adopted the guidance using the modified-retrospective approach. At January 1, 2020, we recorded current expected credit loss allowances related to agent loans of $0.8 million and receivables from Erie Insurance Exchange and affiliates of $0.6 million. This resulted in the recording of a cumulative effect adjustment, net of taxes, to retained earnings of $1.1 million. Our available-for-sale investments are not measured at amortized cost, and therefore do not require the use of a current expected credit loss model. Any credit losses, however, are required to be recorded as an allowance for credit losses rather than a reduction of the carrying value of the asset. For available-for-sale securities, we adopted the guidance using the prospective approach and recorded an initial allowance for credit losses of $0.6 million at March 31, 2020. The adoption of this standard did not have a material impact on our Statements of Financial Position, net income or net cash flows.
Investments	Investments Available-for-sale securities – Fixed maturity debt securities and redeemable preferred stock are classified as available-for-sale and reported at fair value with unrealized investment gains and losses, net of income taxes, recognized in other comprehensive income. Available-for-sale securities with a remaining maturity of 12 months or less and any security that we intend to sell as of the reporting date are classified as current assets. Available-for-sale securities in an unrealized loss position are evaluated to determine whether the impairment is a result of credit loss or other factors. If we have the intent to sell or it's more likely than not that we would be required to sell the security before recovery of the amortized cost basis, the entire impairment is recognized in earnings. Securities that have experienced a decline in fair value that we do not intend to sell, and that we will not be required to sell before recovery, are evaluated to determine if the decline in fair value is credit related. Impairment resulting from a credit loss is recognized in earnings with a corresponding allowance on the balance sheet. Future recoveries of credit loss result in an adjustment to the allowance and earnings in the period the credit conditions improve. Factors considered in the evaluation of credit loss include the extent to which fair value is less than cost and fundamental factors specific to the issuer such as financial condition, changes in credit ratings, near and long-term business prospects and other factors, as well as the likelihood of recovery of the amortized cost of the security. If the qualitative review indicates credit impairment, the allowance for credit loss is measured as the amount that the security’s amortized cost exceeds the present value of cash flows expected to be collected and is limited to the amount that fair value is below amortized cost. Realized gains and losses and investment income – Realized gains and losses on sales of available-for-sale and equity securities are recognized in income based upon the specific identification method and reported as net realized investment gains (losses). Interest income is recognized as earned and includes amortization of premium and accretion of discount. Income is recognized based on the constant effective yield method, which includes periodically updated prepayment assumptions obtained from third party data sources on our prepaying securities. The effective yield for prepaying securities is recalculated on a retrospective basis. Dividend income is recognized at the ex-dividend date. Both interest and dividend income are reported as net investment income. We do not record an allowance for credit losses on accrued investment income as any amount deemed uncollectible is reversed from interest income in the period the expected payment defaults.
Agent loans	Agent loans Agent loans, the majority of which are senior secured, are carried at unpaid principal balance with interest recorded in investment income as earned. The current portion of agent loans is recorded in prepaid expenses and other current assets. The adoption of ASU 2016-13 on January 1, 2020 requires the recording of a current expected credit loss allowance on these loans. The allowance is estimated using available loss history and/or external loss rates based on comparable loan losses and considers current conditions and forecasted information. When establishing the expected credit loss allowance upon implementation of ASU 2016-13, a cumulative effect adjustment was recorded to beginning retained earnings. Future changes to the allowance will be recognized in earnings as adjustments to net impairment losses. Prior to the adoption of ASU 2016-13, we did not record an allowance for credit losses as the majority of these loans are senior secured and have had insignificant default amounts. In the second quarter of 2020, we entered into an agreement with a bank for the establishment of a loan participation program for agent loans. The maximum amount of loans to be funded through this program is $100 million. We have committed to fund a minimum of 30% of each loan executed through this program. Additionally, we have agreed to guarantee a portion of the funding provided by the other participants in the program upon execution of each loan. In the third quarter of 2020, loans executed under the agreement totaled $3.1 million, of which our portion of the loans is $0.9 million, and the related guarantee is $0.7 million. Our portion of these loans and the related current expected credit loss allowance are recorded in the same manner as our direct agent loans.
Other assets	Other assets Other assets include operating lease assets and other long-term prepaid assets. The determination of whether an arrangement is a lease, and the related lease classification, is made at inception of a contract. Our leases are classified as operating leases. Operating lease assets and liabilities are recorded at inception based on the present value of the future minimum lease payments over the lease term at commencement date. When an implicit rate for the lease is not available, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of future payments. Lease terms include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Most of our lease contracts contain lease and non-lease components. Non-lease components are expensed as incurred. Operating lease assets are included in other assets, and the current and noncurrent portions of the operating lease liabilities are included in accounts payable and accrued expenses and other long-term liabilities, respectively.
Earnings per share	Class A and Class B basic earnings per share and Class B diluted earnings per share are calculated under the two-class method. The two-class method allocates earnings to each class of stock based upon its dividend rights.  Class B shares are convertible into Class A shares at a conversion ratio of 2,400 to 1. See Note 11, "Capital Stock".Class A diluted earnings per share are calculated under the if-converted method, which reflects the conversion of Class B shares to Class A shares. Diluted earnings per share calculations include the dilutive effect of assumed issuance of stock-based awards under compensation plans that have the option to be paid in stock using the treasury stock method.
Fair value of financial instruments	Financial instruments carried at fair value Our available-for-sale and equity securities are recorded at fair value, which is the price that would be received to sell the asset in an orderly transaction between willing market participants as of the measurement date. Valuation techniques used to derive the fair value of our available-for-sale and equity securities are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources. Unobservable inputs reflect our own assumptions regarding fair market value for these securities. Financial instruments are categorized based upon the following characteristics or inputs to the valuation techniques: • Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. • Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3 – Unobservable inputs for the asset or liability. Estimates of fair values for our investment portfolio are obtained primarily from a nationally recognized pricing service. Our Level 1 securities are valued using an exchange traded price provided by the pricing service. Pricing service valuations for Level 2 securities include multiple verifiable, observable inputs including benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, and reference data. Pricing service valuations for Level 3 securities are based upon proprietary models and are used when observable inputs are not available or in illiquid markets. Although virtually all of our prices are obtained from third party sources, we also perform internal pricing reviews, including evaluating the methodology and inputs used to ensure that we determine the proper classification level of the financial instrument and reviewing securities with price changes that vary significantly from current market conditions or independent price sources. Price variances are investigated and corroborated by market data and transaction volumes. We have reviewed the pricing methodologies of our pricing service as well as other observable inputs and believe that the prices adequately consider market activity in determining fair value. In limited circumstances we adjust the price received from the pricing service when, in our judgment, a better reflection of fair value is available based upon corroborating information and our knowledge and monitoring of market conditions such as a disparity in price of comparable securities and/or non-binding broker quotes. In other circumstances, certain securities are internally priced because prices are not provided by the pricing service. When a price from the pricing service is not available, values are determined by obtaining broker/dealer quotes and/or market comparables. When available, we obtain multiple quotes for the same security. The ultimate value for these securities is determined based upon our best estimate of fair value using corroborating market information. As of September 30, 2020, nearly all of our available-for-sale and equity securities were priced using a third party pricing service.
Commitments and contingencies	We are involved in litigation arising in the ordinary course of conducting business. In accordance with current accounting standards for loss contingencies and based upon information currently known to us, we establish reserves for litigation when it is probable that a loss associated with a claim or proceeding has been incurred and the amount of the loss or range of loss can be reasonably estimated. When no amount within the range of loss is a better estimate than any other amount, we accrue the minimum amount of the estimable loss. To the extent that such litigation against us may have an exposure to a loss in excess of the amount we have accrued, we believe that such excess would not be material to our financial condition, results of operations, or cash flows. Legal fees are expensed as incurred. We believe that our accruals for legal proceedings are appropriate and, individually and in the aggregate, are not expected to be material to our financial condition, results of operations, or cash flows. We review all litigation on an ongoing basis when making accrual and disclosure decisions. For certain legal proceedings, we cannot reasonably estimate losses or a range of loss, if any, particularly for proceedings that are in their early stages of development or where the plaintiffs seek indeterminate damages. Various factors, including, but not limited to, the outcome of potentially lengthy discovery and the resolution of important factual questions, may need to be determined before probability can be established or before a loss or range of loss can be reasonably estimated. If the loss contingency in question is not both probable and reasonably estimable, we do not establish an accrual and the matter will continue to be monitored for any developments that would make the loss contingency both probable and reasonably estimable. In the event that a legal proceeding results in a substantial judgment against, or settlement by, us, there can be no assurance that any resulting liability or financial commitment would not have a material adverse effect on the financial condition, results of operations, or cash flows.

Revenue (Tables)

Revenue (Tables)	9 Months Ended
	Sep. 30, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue by Performance Obligation	The following table disaggregates revenue by our two performance obligations: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Management fee revenue - policy issuance and renewal services, net $ 484,551 $ 474,427 $ 1,412,096 $ 1,385,923 Management fee revenue - administrative services, net 14,910 14,430 44,494 42,576 Administrative services reimbursement revenue 147,710 142,730 451,229 431,305 Total administrative services $ 162,620 $ 157,160 $ 495,723 $ 473,881

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Schedule of Reconciliation of the Numerators and Denominators Used in the Basic and Diluted Per-Share Computations	A reconciliation of the numerators and denominators used in the basic and diluted per-share computations is presented as follows for each class of common stock: Three months ended September 30, 2020 2019 (dollars in thousands, except per share data) Allocated net income (numerator) Weighted shares (denominator) Per-share amount Allocated net income (numerator) Weighted shares (denominator) Per-share amount Class A – Basic EPS: Income available to Class A stockholders $ 88,486 46,189,030 $ 1.92 $ 93,398 46,189,006 $ 2.02 Dilutive effect of stock-based awards 0 20,599 — 0 35,319 — Assumed conversion of Class B shares 730 6,100,800 — 771 6,100,800 — Class A – Diluted EPS: Income available to Class A stockholders on Class A equivalent shares $ 89,216 52,310,429 $ 1.71 $ 94,169 52,325,125 $ 1.80 Class B – Basic EPS: Income available to Class B stockholders $ 730 2,542 $ 287 $ 771 2,542 $ 303 Class B – Diluted EPS: Income available to Class B stockholders $ 730 2,542 $ 287 $ 770 2,542 $ 303 Nine months ended September 30, 2020 2019 (dollars in thousands, except per share data) Allocated net income (numerator) Weighted shares (denominator) Per-share amount Allocated net income (numerator) Weighted shares (denominator) Per-share amount Class A – Basic EPS: Income available to Class A stockholders $ 228,632 46,188,544 $ 4.95 $ 255,128 46,188,767 $ 5.52 Dilutive effect of stock-based awards 0 23,244 — 0 27,708 — Assumed conversion of Class B shares 1,887 6,100,800 — 2,106 6,100,800 — Class A – Diluted EPS: Income available to Class A stockholders on Class A equivalent shares $ 230,519 52,312,588 $ 4.41 $ 257,234 52,317,275 $ 4.92 Class B – Basic EPS: Income available to Class B stockholders $ 1,887 2,542 $ 742 $ 2,106 2,542 $ 829 Class B – Diluted EPS: Income available to Class B stockholders $ 1,887 2,542 $ 742 $ 2,105 2,542 $ 828

Fair Value (Tables)

Fair Value (Tables)	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Fair Value Measurements on a Recurring Basis by Asset Class and Level of Input	The following tables present our fair value measurements on a recurring basis by asset class and level of input as of: September 30, 2020 (in thousands) Total Level 1 Level 2 Level 3 Available-for-sale securities: Corporate debt securities $ 547,877 $ 2,689 $ 538,158 $ 7,030 Residential mortgage-backed securities 123,726 0 112,880 10,846 Commercial mortgage-backed securities 113,214 0 62,981 50,233 Collateralized debt obligations 106,921 0 106,921 0 Other debt securities 16,316 0 16,316 0 Total available-for-sale securities 908,054 2,689 837,256 68,109 Equity securities - nonredeemable preferred stock: Financial services sector 78,453 23,770 52,543 2,140 Utilities sector 9,250 4,639 4,611 0 Communications sector 2,623 2,623 0 0 Consumer sector 2,269 419 985 865 Energy sector 1,067 0 1,067 0 Industrial sector 773 773 0 0 Total equity securities 94,435 32,224 59,206 3,005 Total $ 1,002,489 $ 34,913 $ 896,462 $ 71,114 December 31, 2019 (in thousands) Total Level 1 Level 2 Level 3 Available-for-sale securities: Corporate debt securities $ 454,880 $ 2,683 $ 443,873 $ 8,324 Residential mortgage-backed securities 125,343 0 125,343 0 Commercial mortgage-backed securities 67,541 0 64,220 3,321 Collateralized debt obligations 77,856 0 77,856 0 Other debt securities 5,081 0 5,081 0 Total available-for-sale securities 730,701 2,683 716,373 11,645 Equity securities - nonredeemable preferred and common stock: Financial services sector 53,513 14,927 38,586 0 Utilities sector 6,818 3,190 3,628 0 Communications sector 3,433 3,433 0 0 Energy sector 1,881 0 1,881 0 Industrial sector 980 0 980 0 Consumer sector 508 0 508 0 Total equity securities 67,133 21,550 45,583 0 Total $ 797,834 $ 24,233 $ 761,956 $ 11,645
Schedule of Roll Forward of Level 3 Fair Value Measurements on a Recurring Basis	Level 3 Assets – 2020 Quarterly Change: Beginning balance at June 30, 2020 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2020 Available-for-sale securities: Corporate debt securities $ 4,916 $ 4 $ 157 $ 2,258 $ (198) $ 1,644 $ (1,751) $ 7,030 Residential mortgage-backed securities 0 0 0 287 0 10,559 0 10,846 Commercial mortgage-backed securities 18,066 (47) 351 2,077 0 29,786 0 50,233 Collateralized debt obligations 259 0 (9) 0 0 0 (250) 0 Total available-for-sale securities 23,241 (43) 499 4,622 (198) 41,989 (2,001) 68,109 Nonredeemable preferred stock 795 194 0 2,016 0 0 0 3,005 Total Level 3 securities $ 24,036 $ 151 $ 499 $ 6,638 $ (198) $ 41,989 $ (2,001) $ 71,114 Level 3 Assets – 2020 Year-to-Date Change: (in thousands) Beginning balance at December 31, 2019 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2020 Available-for-sale securities: Corporate debt securities $ 8,324 $ 9 $ (354) $ 4,759 $ (740) $ 9,681 $ (14,649) $ 7,030 Residential mortgage-backed securities 0 0 0 287 0 10,559 0 10,846 Commercial mortgage-backed securities 3,321 (89) 471 9,281 (287) 38,677 (1,141) 50,233 Collateralized debt obligations 0 0 3 247 0 0 (250) 0 Total available-for-sale securities 11,645 (80) 120 14,574 (1,027) 58,917 (16,040) 68,109 Nonredeemable preferred stock 0 169 0 2,836 0 0 0 3,005 Total Level 3 securities $ 11,645 $ 89 $ 120 $ 17,410 $ (1,027) $ 58,917 $ (16,040) $ 71,114 Level 3 Assets – 2019 Quarterly Change: (in thousands) Beginning balance at June 30, 2019 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2019 Available-for-sale securities: Corporate debt securities $ 6,373 $ 16 $ (92) $ 549 $ (507) $ 1,850 $ (1,131) $ 7,058 Commercial mortgage-backed securities 2,551 (6) 2 0 (3) 2,846 (683) 4,707 Collateralized debt obligations 0 0 0 2,300 0 0 0 2,300 Total Level 3 available-for-sale securities $ 8,924 $ 10 $ (90) $ 2,849 $ (510) $ 4,696 $ (1,814) $ 14,065 Level 3 Assets – 2019 Year-to-Date Change: (in thousands) Beginning balance at December 31, 2018 Included in earnings (1) Included Purchases Sales Transfers into Level 3 (2) Transfers out of Level 3 (2) Ending balance at September 30, 2019 Available-for-sale securities: Corporate debt securities $ 12,577 $ 7 $ 199 $ 1,283 $ (6,779) $ 9,244 $ (9,473) $ 7,058 Residential mortgage-backed securities 0 4 15 921 (32) 0 (908) 0 Commercial mortgage-backed securities 0 7 (6) 478 (1,068) 6,103 (807) 4,707 Collateralized debt obligations 0 0 0 2,300 0 0 0 2,300 Total Level 3 available-for-sale securities $ 12,577 $ 18 $ 208 $ 4,982 $ (7,879) $ 15,347 $ (11,188) $ 14,065 (1) These amounts are reported as net investment income and net realized investment gains (losses) for each of the periods presented above. (2) Transfers into and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs.
Schedule of Financial Instruments Not Carried at Fair Value	The following table presents the carrying values and fair values of financial instruments categorized as Level 3 in the fair value hierarchy that are recorded at carrying value as of: September 30, 2020 December 31, 2019 (in thousands) Carrying value Fair value Carrying value Fair value Agent loans (1) $ 64,852 $ 66,345 $ 67,696 $ 71,602 Long-term borrowings (2) 96,610 116,865 98,080 101,888 (1) The discount rate used to calculate fair value at September 30, 2020 is reflective of an increase in the BB+ financial yield curve due to the market volatility resulting from the COVID-19 pandemic. (2) The discount rate used to calculate fair value at September 30, 2020 is reflective of a decline in U.S. Treasury bond yields due to the market volatility resulting from the COVID-19 pandemic.

Investments (Tables)

Investments (Tables)	9 Months Ended
	Sep. 30, 2020
Investments [Abstract]
Schedule of Reconciliation of Cost to Fair Value, Net of Credit Loss Allowance, of Available-For-Sale Securities	The following tables summarize the cost and fair value, net of credit loss allowance, of our available-for-sale securities as of: September 30, 2020 (in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Estimated fair value Corporate debt securities $ 534,902 $ 16,904 $ 3,929 $ 547,877 Residential mortgage-backed securities 120,268 3,470 12 123,726 Commercial mortgage-backed securities 109,187 4,420 393 113,214 Collateralized debt obligations 107,787 373 1,239 106,921 Other debt securities 15,792 542 18 16,316 Total available-for-sale securities, net $ 887,936 $ 25,709 $ 5,591 $ 908,054 December 31, 2019 (in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Estimated fair value Corporate debt securities $ 450,295 $ 6,289 $ 1,704 $ 454,880 Residential mortgage-backed securities 124,337 1,056 50 125,343 Commercial mortgage-backed securities 67,210 479 148 67,541 Collateralized debt obligations 78,059 44 247 77,856 Other debt securities 5,049 71 39 5,081 Total available-for-sale securities, net $ 724,950 $ 7,939 $ 2,188 $ 730,701
Schedule of Amortized Cost and Estimated Fair Value of Available-For-Sale Securities by Remaining Contractual Term to Maturity	The amortized cost and estimated fair value of available-for-sale securities at September 30, 2020 are shown below by remaining contractual term to maturity. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2020 Amortized Estimated (in thousands) cost fair value Due in one year or less $ 13,157 $ 13,229 Due after one year through five years 419,336 431,758 Due after five years through ten years 160,245 161,148 Due after ten years 295,198 301,919 Total available-for-sale securities (1) $ 887,936 $ 908,054 (1) The contractual maturities of our available-for-sale securities are included in the table. However, given our intent to sell certain impaired securities, these securities are classified as current assets in our Statements of Financial Position at September 30, 2020.
Schedule of Available-For-Sale Securities in a Gross Unrealized Loss Position by Length of Time	The below securities have been evaluated and determined to be temporary declines in fair value for which we expect to recover our entire principal plus interest. The following table presents available-for-sale securities based on length of time in a gross unrealized loss position as of: September 30, 2020 Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized No. of Corporate debt securities $ 116,649 $ 2,493 $ 8,236 $ 1,436 $ 124,885 $ 3,929 437 Residential mortgage-backed securities 17,274 12 0 0 17,274 12 11 Commercial mortgage-backed securities 19,076 393 0 0 19,076 393 29 Collateralized debt obligations 78,166 998 11,992 241 90,158 1,239 97 Other debt securities 1,057 18 0 0 1,057 18 4 Total available-for-sale securities $ 232,222 $ 3,914 $ 20,228 $ 1,677 $ 252,450 $ 5,591 578 Quality breakdown of available-for-sale securities: Investment grade $ 184,738 $ 1,916 $ 11,992 $ 241 $ 196,730 $ 2,157 178 Non-investment grade 47,484 1,998 8,236 1,436 55,720 3,434 400 Total available-for-sale securities $ 232,222 $ 3,914 $ 20,228 $ 1,677 $ 252,450 $ 5,591 578 December 31, 2019 Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized No. of Corporate debt securities $ 25,804 $ 342 $ 15,699 $ 1,362 $ 41,503 $ 1,704 158 Residential mortgage-backed securities 16,712 50 0 0 16,712 50 7 Commercial mortgage-backed securities 21,981 147 372 1 22,353 148 30 Collateralized debt obligations 20,889 33 41,010 214 61,899 247 49 Other debt securities 2,350 39 0 0 2,350 39 2 Total available-for-sale securities $ 87,736 $ 611 $ 57,081 $ 1,577 $ 144,817 $ 2,188 246 Quality breakdown of available-for-sale securities: Investment grade $ 76,315 $ 287 $ 46,390 $ 218 $ 122,705 $ 505 100 Non-investment grade 11,421 324 10,691 1,359 22,112 1,683 146 Total available-for-sale securities $ 87,736 $ 611 $ 57,081 $ 1,577 $ 144,817 $ 2,188 246
Schedule of Investment Income, Net of Expenses, from Portfolios	Investment income, net of expenses, was generated from the following portfolios: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for sale securities $ 5,353 $ 5,449 $ 16,811 $ 17,098 Equity securities 1,178 452 2,935 734 Cash equivalents and other 1,009 2,900 4,098 8,025 Total investment income 7,540 8,801 23,844 25,857 Less: investment expenses 510 149 1,072 658 Investment income, net of expenses $ 7,030 $ 8,652 $ 22,772 $ 25,199
Schedule of Realized Gains and Losses on Investments and Net Unrealized Gains and Losses Recognized during the Reporting Period Related to Equity Securities Held at the Reporting Date	Realized gains (losses) on investments were as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for-sale securities: Gross realized gains $ 604 $ 1,320 $ 3,399 $ 5,640 Gross realized losses (467) (248) (2,292) (1,411) Net realized gains on available-for-sale securities 137 1,072 1,107 4,229 Equity securities 5,777 624 525 1,272 Miscellaneous 1 0 3 0 Net realized investment gains $ 5,915 $ 1,696 $ 1,635 $ 5,501 The portion of net unrealized gains and losses recognized during the reporting period related to equity securities held at the reporting date is calculated as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Equity securities: Net gains recognized during the period $ 5,777 $ 624 $ 525 $ 1,272 Less: net gains (losses) recognized on securities sold 1,796 47 (1,009) 47 Net unrealized gains recognized on securities held at reporting date $ 3,981 $ 577 $ 1,534 $ 1,225
Schedule of Impairments on Available-For-Sale Securities and Agent Loans	Impairments on available-for-sale securities and agent loans were as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for-sale securities: Intent to sell $ 37 $ 31 $ 2,279 $ 193 Credit impaired 85 — 743 — Total available-for-sale securities 122 31 3,022 193 Agent loans - expected credit losses 0 — 170 — Net impairment losses recognized in earnings $ 122 $ 31 $ 3,192 $ 193
Schedule of Impairments on Available-For-Sale Securities and Agent Loans	Impairments on available-for-sale securities and agent loans were as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Available-for-sale securities: Intent to sell $ 37 $ 31 $ 2,279 $ 193 Credit impaired 85 — 743 — Total available-for-sale securities 122 31 3,022 193 Agent loans - expected credit losses 0 — 170 — Net impairment losses recognized in earnings $ 122 $ 31 $ 3,192 $ 193

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
Schedule of Lease Assets and Liabilities Recorded in Statements of Financial Position	The following table summarizes our lease assets and liabilities as of: (in thousands) September 30, 2020 December 31, 2019 Operating lease assets $ 16,844 $ 22,401 Operating lease liabilities - current $ 10,735 $ 11,289 Operating lease liabilities - long-term 5,766 10,665 Total operating lease liabilities $ 16,501 $ 21,954

Borrowing Arrangements (Tables)

Borrowing Arrangements (Tables)	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Schedule of Future Principal Payments	The following table sets forth future principal payments: (in thousands) Year Principal payments 2020 $ 520 2021 2,020 2022 2,110 2023 2,226 2024 2,303 Thereafter 87,431

Postretirement Benefits (Tables

Postretirement Benefits (Tables)	9 Months Ended
	Sep. 30, 2020
Retirement Benefits [Abstract]
Schedule of Cost of Pension Plans	The cost of our pension plans are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2020 2019 2020 2019 Service cost for benefits earned $ 10,873 $ 8,463 $ 32,620 $ 25,390 Interest cost on benefits obligation 9,395 9,827 28,184 29,480 Expected return on plan assets (12,353) (11,872) (37,059) (35,614) Prior service cost amortization 336 349 1,007 1,046 Net actuarial loss amortization 3,031 1,279 9,093 3,835 Pension plan cost (1) $ 11,282 $ 8,046 $ 33,845 $ 24,137 (1) The components of pension plan costs other than the service cost component are included in the line item "Other (expense) income" in the Statements of Operations after reimbursements from the Exchange and its subsidiaries.

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2020
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of Changes in Accumulated Other Comprehensive Income (Loss) by Component, Including Amounts Reclassified to Other Comprehensive Income (Loss) and the Related Line Item in the Statements of Operations Where Net Income is Presented	Changes in accumulated other comprehensive income ("AOCI") (loss) by component, including amounts reclassified to other comprehensive income ("OCI") (loss) and the related line item in the Statements of Operations where net income is presented, are as follows: Three months ended Three months ended September 30, 2020 September 30, 2019 (in thousands) Before Tax Income Tax Net Before Tax Income Tax Net Investment securities: AOCI, beginning of period $ 12,265 $ 2,575 $ 9,690 $ 1,030 $ 216 $ 814 OCI before reclassifications 7,792 1,636 6,156 3,991 838 3,153 Realized investment gains (137) (28) (109) (1,072) (225) (847) Impairment losses 122 26 96 31 7 24 OCI 7,777 1,634 6,143 2,950 620 2,330 AOCI, end of period $ 20,042 $ 4,209 $ 15,833 $ 3,980 $ 836 $ 3,144 Pension and other postretirement plans: AOCI (loss), beginning of period $ (146,866) $ (30,843) $ (116,023) $ (152,632) $ (32,054) $ (120,578) Amortization of prior service costs 335 70 265 349 74 275 Amortization of net actuarial loss 3,031 637 2,394 1,210 254 956 OCI 3,366 707 2,659 1,559 328 1,231 AOCI (loss), end of period $ (143,500) $ (30,136) $ (113,364) $ (151,073) $ (31,726) $ (119,347) Total AOCI (loss), beginning of period $ (134,601) $ (28,268) $ (106,333) $ (151,602) $ (31,838) $ (119,764) Investment securities 7,777 1,634 6,143 2,950 620 2,330 Pension and other postretirement plans 3,366 707 2,659 1,559 328 1,231 OCI 11,143 2,341 8,802 4,509 948 3,561 AOCI (loss), end of period $ (123,458) $ (25,927) $ (97,531) $ (147,093) $ (30,890) $ (116,203) Nine months ended Nine months ended September 30, 2020 September 30, 2019 (in thousands) Before Tax Income Tax Net Before Tax Income Tax Net Investment securities: AOCI (loss), beginning of period $ 5,664 $ 1,189 $ 4,475 $ (9,169) $ (1,926) $ (7,243) OCI before reclassifications 12,463 2,617 9,846 17,185 3,609 13,576 Realized investment gains (1,107) (232) (875) (4,229) (888) (3,341) Impairment losses 3,022 635 2,387 193 41 152 OCI 14,378 3,020 11,358 13,149 2,762 10,387 AOCI, end of period $ 20,042 $ 4,209 $ 15,833 $ 3,980 $ 836 $ 3,144 Pension and other postretirement plans: AOCI (loss), beginning of period $ (153,600) $ (32,257) $ (121,343) $ (155,749) $ (32,708) $ (123,041) Amortization of prior service costs 1,007 211 796 1,046 220 826 Amortization of net actuarial loss 9,093 1,910 7,183 3,630 762 2,868 OCI 10,100 2,121 7,979 4,676 982 3,694 AOCI (loss), end of period $ (143,500) $ (30,136) $ (113,364) $ (151,073) $ (31,726) $ (119,347) Total AOCI (loss), beginning of period $ (147,936) $ (31,068) $ (116,868) $ (164,918) $ (34,634) $ (130,284) Investment securities 14,378 3,020 11,358 13,149 2,762 10,387 Pension and other postretirement plans 10,100 2,121 7,979 4,676 982 3,694 OCI 24,478 5,141 19,337 17,825 3,744 14,081 AOCI (loss), end of period $ (123,458) $ (25,927) $ (97,531) $ (147,093) $ (30,890) $ (116,203)

Nature of Operations (Details)

Nature of Operations (Details)	9 Months Ended
	Sep. 30, 2020Obligations
Revenue, Performance Obligation [Abstract]
Performance obligations under subscriber's agreement	2

Significant Accounting Polici_3

Significant Accounting Policies (Details) - USD ($)		9 Months Ended	12 Months Ended
		Sep. 30, 2020	Dec. 31, 2019	Jun. 30, 2020	Mar. 31, 2020	Jan. 01, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accounting standards update			us-gaap:AccountingStandardsUpdate201613Member
Agent loans, allowance for credit loss		$ 1,000,000
Cumulative effect adjustment		1,247,217,000	$ 1,133,253,000	$ 1,194,139,000	$ 1,116,992,000		$ 1,119,271,000	$ 1,063,454,000	$ 1,013,804,000	$ 973,672,000
Available-for-sale securities, allowance for credit loss		400,000			$ 600,000
Loan Purchase Commitments
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Participation amount in loan program		900,000
Loan program, guaranteed amount		$ 700,000
Loan Purchase Commitments | Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Minimum funding percentage of each loan		30.00%
Third-Party Bank | Loan Purchase Commitments
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Amount of loan participation program		$ 3,100,000
Third-Party Bank | Loan Purchase Commitments | Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Amount of loan participation program		$ 100,000,000
Cumulative effect adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment	[1]		(1,075,000)
Cumulative effect adjustment | Accounting Standards Update 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Agent loans, allowance for credit loss						$ 800,000
Cumulative effect adjustment			$ 1,100,000
Erie Insurance Exchange | Cumulative effect adjustment | Accounting Standards Update 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Receivables from Erie Insurance Exchange, allowance for credit loss						$ 600,000
[1]	The cumulative effect adjustment is related to the implementation of new credit loss allowance accounting guidance effective January 1, 2020. See Note 2. "Significant Accounting Policies".

Revenue - Narrative (Details)

Revenue - Narrative (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)Obligations	Sep. 30, 2019USD ($)
Revenue from Contract with Customer [Abstract]
Indemnity's management fee rate as a percent of direct and affiliated assumed written premiums of the Exchange (percentage)			25.00%
Performance obligations under subscriber's agreement | Obligations			2
(Decrease) increase in allowance for cancellations | $	$ (800,000)	$ 0	$ 3,600,000	$ 2,900,000

Revenue - Disaggregation of Rev

Revenue - Disaggregation of Revenues By Performance Obligations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Disaggregation of revenue by performance obligation
Revenue	$ 653,481	$ 638,742	$ 1,927,237	$ 1,880,558
Management fee revenue - policy issuance and renewal services, net
Disaggregation of revenue by performance obligation
Revenue	484,551	474,427	1,412,096	1,385,923
Management fee revenue - policy issuance and renewal services, net | Transferred at point in time
Disaggregation of revenue by performance obligation
Revenue	484,551	474,427	1,412,096	1,385,923
Management fee revenue - administrative services, net
Disaggregation of revenue by performance obligation
Revenue	14,910	14,430	44,494	42,576
Management fee revenue - administrative services, net | Transferred over time
Disaggregation of revenue by performance obligation
Revenue	14,910	14,430	44,494	42,576
Administrative services reimbursement revenue
Disaggregation of revenue by performance obligation
Revenue	147,710	142,730	451,229	431,305
Administrative services reimbursement revenue | Transferred over time
Disaggregation of revenue by performance obligation
Revenue	147,710	142,730	451,229	431,305
Administrative services | Transferred over time
Disaggregation of revenue by performance obligation
Revenue	$ 162,620	$ 157,160	$ 495,723	$ 473,881

Earnings Per Share (Details)

Earnings Per Share (Details) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)$ / sharesshares	Sep. 30, 2019USD ($)$ / sharesshares	Sep. 30, 2020USD ($)$ / sharesshares	Sep. 30, 2019USD ($)$ / sharesshares	Dec. 31, 2019
Class A common stock
Income available to stockholders (Basic EPS:)
Allocated net income (numerator) | $	$ 88,486	$ 93,398	$ 228,632	$ 255,128
Weighted shares (denominator) (in shares) | shares	46,189,030	46,189,006	46,188,544	46,188,767
Per-share amount (in dollars per share) | $ / shares	$ 1.92	$ 2.02	$ 4.95	$ 5.52
Dilutive effect of stock-based awards
Allocated net income (numerator) | $	$ 0	$ 0	$ 0	$ 0
Weighted shares (denominator) (in shares) | shares	20,599	35,319	23,244	27,708
Assumed conversion of Class B shares
Allocated net income (numerator) | $	$ 730	$ 771	$ 1,887	$ 2,106
Weighted shares (denominator) (in shares) | shares	6,100,800	6,100,800	6,100,800	6,100,800
Income available to stockholders on equivalent shares (Diluted EPS:)
Allocated net income (numerator) | $	$ 89,216	$ 94,169	$ 230,519	$ 257,234
Weighted shares (denominator) (in shares) | shares	52,310,429	52,325,125	52,312,588	52,317,275
Per-share amount (in dollars per share) | $ / shares	$ 1.71	$ 1.80	$ 4.41	$ 4.92
Class B common stock
Reconciliation of the numerators and denominators used in the basic and diluted per-share computations
Ratio for converting shares of Class B common stock into shares of Class A common stock	2,400		2,400		2,400
Income available to stockholders (Basic EPS:)
Allocated net income (numerator) | $	$ 730	$ 771	$ 1,887	$ 2,106
Weighted shares (denominator) (in shares) | shares	2,542	2,542	2,542	2,542
Per-share amount (in dollars per share) | $ / shares	$ 287	$ 303	$ 742	$ 829
Income available to stockholders on equivalent shares (Diluted EPS:)
Allocated net income (numerator) | $	$ 730	$ 770	$ 1,887	$ 2,105
Weighted shares (denominator) (in shares) | shares	2,542	2,542	2,542	2,542
Per-share amount (in dollars per share) | $ / shares	$ 287	$ 303	$ 742	$ 828

Fair Value - Fair Value Measure

Fair Value - Fair Value Measurements on a Recurring Basis by Asset Class and Level of Input (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	$ 908,054
Corporate debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	547,877	$ 454,880
Residential mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	123,726	125,343
Commercial mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	113,214	67,541
Collateralized debt obligations
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	106,921	77,856
Other debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	16,316	5,081
Available-for-sale securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	908,054	730,701
Fair Value, Measurements, Recurring Basis
Fair value measurements on a recurring basis by asset class and level of input
Total	1,002,489	797,834
Fair Value, Measurements, Recurring Basis | Corporate debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	547,877	454,880
Fair Value, Measurements, Recurring Basis | Residential mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	123,726	125,343
Fair Value, Measurements, Recurring Basis | Commercial mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	113,214	67,541
Fair Value, Measurements, Recurring Basis | Collateralized debt obligations
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	106,921	77,856
Fair Value, Measurements, Recurring Basis | Other debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	16,316	5,081
Fair Value, Measurements, Recurring Basis | Available-for-sale securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	908,054	730,701
Fair Value, Measurements, Recurring Basis | Equity securities
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	94,435	67,133
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Financial services sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	78,453	53,513
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Utilities sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	9,250	6,818
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	2,623
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Consumer sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	2,269	508
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Energy sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	1,067	1,881
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred stock | Industrial sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	773	980
Fair Value, Measurements, Recurring Basis | Nonredeemable preferred and common stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities		3,433
Fair Value, Measurements, Recurring Basis | Level 1
Fair value measurements on a recurring basis by asset class and level of input
Total	34,913	24,233
Fair Value, Measurements, Recurring Basis | Level 1 | Corporate debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	2,689	2,683
Fair Value, Measurements, Recurring Basis | Level 1 | Residential mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 1 | Commercial mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 1 | Collateralized debt obligations
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 1 | Other debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 1 | Available-for-sale securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	2,689	2,683
Fair Value, Measurements, Recurring Basis | Level 1 | Equity securities
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	32,224	21,550
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Financial services sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	23,770	14,927
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Utilities sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	4,639	3,190
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	2,623
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Consumer sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	419	0
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Energy sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0	0
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred stock | Industrial sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	773	0
Fair Value, Measurements, Recurring Basis | Level 1 | Nonredeemable preferred and common stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities		3,433
Fair Value, Measurements, Recurring Basis | Level 2
Fair value measurements on a recurring basis by asset class and level of input
Total	896,462	761,956
Fair Value, Measurements, Recurring Basis | Level 2 | Corporate debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	538,158	443,873
Fair Value, Measurements, Recurring Basis | Level 2 | Residential mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	112,880	125,343
Fair Value, Measurements, Recurring Basis | Level 2 | Commercial mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	62,981	64,220
Fair Value, Measurements, Recurring Basis | Level 2 | Collateralized debt obligations
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	106,921	77,856
Fair Value, Measurements, Recurring Basis | Level 2 | Other debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	16,316	5,081
Fair Value, Measurements, Recurring Basis | Level 2 | Available-for-sale securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	837,256	716,373
Fair Value, Measurements, Recurring Basis | Level 2 | Equity securities
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	59,206	45,583
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Financial services sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	52,543	38,586
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Utilities sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	4,611	3,628
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Consumer sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	985	508
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Energy sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	1,067	1,881
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred stock | Industrial sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0	980
Fair Value, Measurements, Recurring Basis | Level 2 | Nonredeemable preferred and common stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities		0
Fair Value, Measurements, Recurring Basis | Level 3
Fair value measurements on a recurring basis by asset class and level of input
Total	71,114	11,645
Fair Value, Measurements, Recurring Basis | Level 3 | Corporate debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	7,030	8,324
Fair Value, Measurements, Recurring Basis | Level 3 | Residential mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	10,846	0
Fair Value, Measurements, Recurring Basis | Level 3 | Commercial mortgage-backed securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	50,233	3,321
Fair Value, Measurements, Recurring Basis | Level 3 | Collateralized debt obligations
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 3 | Other debt securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	0	0
Fair Value, Measurements, Recurring Basis | Level 3 | Available-for-sale securities
Fair value measurements on a recurring basis by asset class and level of input
Available-for-sale securities	68,109	11,645
Fair Value, Measurements, Recurring Basis | Level 3 | Equity securities
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	3,005	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Financial services sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	2,140	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Utilities sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Consumer sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	865	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Energy sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	0	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred stock | Industrial sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities	$ 0	0
Fair Value, Measurements, Recurring Basis | Level 3 | Nonredeemable preferred and common stock | Communications sector
Fair value measurements on a recurring basis by asset class and level of input
Equity securities		$ 0

Fair Value - Level 3 Assets (De

Fair Value - Level 3 Assets (Details) - Level 3 - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	$ 24,036		$ 11,645
Included in earnings	151		89
Included in other comprehensive income	499		120
Purchases	6,638		17,410
Sales	(198)		(1,027)
Transfers into Level 3	41,989		58,917
Transfers out of Level 3	(2,001)		(16,040)
Ending balance	71,114		71,114
Available-for-sale securities
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	23,241	$ 8,924	11,645	$ 12,577
Included in earnings	(43)	10	(80)	18
Included in other comprehensive income	499	(90)	120	208
Purchases	4,622	2,849	14,574	4,982
Sales	(198)	(510)	(1,027)	(7,879)
Transfers into Level 3	41,989	4,696	58,917	15,347
Transfers out of Level 3	(2,001)	(1,814)	(16,040)	(11,188)
Ending balance	68,109	14,065	68,109	14,065
Corporate debt securities | Available-for-sale securities
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	4,916	6,373	8,324	12,577
Included in earnings	4	16	9	7
Included in other comprehensive income	157	(92)	(354)	199
Purchases	2,258	549	4,759	1,283
Sales	(198)	(507)	(740)	(6,779)
Transfers into Level 3	1,644	1,850	9,681	9,244
Transfers out of Level 3	(1,751)	(1,131)	(14,649)	(9,473)
Ending balance	7,030	7,058	7,030	7,058
Residential mortgage-backed securities | Available-for-sale securities
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	0		0	0
Included in earnings	0		0	4
Included in other comprehensive income	0		0	15
Purchases	287		287	921
Sales	0		0	(32)
Transfers into Level 3	10,559		10,559	0
Transfers out of Level 3	0		0	(908)
Ending balance	10,846	0	10,846	0
Commercial mortgage-backed securities | Available-for-sale securities
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	18,066	2,551	3,321	0
Included in earnings	(47)	(6)	(89)	7
Included in other comprehensive income	351	2	471	(6)
Purchases	2,077	0	9,281	478
Sales	0	(3)	(287)	(1,068)
Transfers into Level 3	29,786	2,846	38,677	6,103
Transfers out of Level 3	0	(683)	(1,141)	(807)
Ending balance	50,233	4,707	50,233	4,707
Collateralized debt obligations | Available-for-sale securities
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	259	0	0	0
Included in earnings	0	0	0	0
Included in other comprehensive income	(9)	0	3	0
Purchases	0	2,300	247	2,300
Sales	0	0	0	0
Transfers into Level 3	0	0	0	0
Transfers out of Level 3	(250)	0	(250)	0
Ending balance	0	$ 2,300	0	$ 2,300
Nonredeemable preferred stock | Nonredeemable preferred stock
Roll forward of level 3 fair value measurements on a recurring basis
Beginning balance	795		0
Included in earnings	194		169
Included in other comprehensive income	0		0
Purchases	2,016		2,836
Sales	0		0
Transfers into Level 3	0		0
Transfers out of Level 3	0		0
Ending balance	$ 3,005		$ 3,005

Fair Value - Quantitative and Q

Fair Value - Quantitative and Qualitative Disclosures about Unobservable Inputs (Details) - Level 3 - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Fair value measurements on a recurring basis, valuation techniques
Fair value, measurement with unobservable inputs	$ 71,114	$ 24,036	$ 11,645
Available-for-sale securities
Fair value measurements on a recurring basis, valuation techniques
Fair value, measurement with unobservable inputs	68,109	$ 23,241	11,645	$ 14,065	$ 8,924	$ 12,577
Fair Value, Measurements, Recurring Basis | Non-Binding Broker Quote
Fair value measurements on a recurring basis, valuation techniques
Fair value, measurement with unobservable inputs	$ 12,000
Fair Value, Measurements, Recurring Basis | Non-Binding Broker Quote | Available-for-sale securities
Fair value measurements on a recurring basis, valuation techniques
Fair value, measurement with unobservable inputs			$ 1,300

Fair Value - Financial Instrume

Fair Value - Financial Instruments Not Carried at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Carrying value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Agent loans	$ 64,852	$ 67,696
Long-term borrowings	96,610	98,080
Level 3 | Fair value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Agent loans	66,345	71,602
Long-term borrowings	$ 116,865	$ 101,888

Investments - Cost and Fair Val

Investments - Cost and Fair Value, Net of Credit Loss Allowance, of Available-For-Sale Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Available-for-sale securities
Amortized cost	$ 887,936
Estimated fair value	908,054
Corporate debt securities
Available-for-sale securities
Amortized cost	534,902	$ 450,295
Gross unrealized gains	16,904	6,289
Gross unrealized losses	3,929	1,704
Estimated fair value	547,877	454,880
Residential mortgage-backed securities
Available-for-sale securities
Amortized cost	120,268	124,337
Gross unrealized gains	3,470	1,056
Gross unrealized losses	12	50
Estimated fair value	123,726	125,343
Commercial mortgage-backed securities
Available-for-sale securities
Amortized cost	109,187	67,210
Gross unrealized gains	4,420	479
Gross unrealized losses	393	148
Estimated fair value	113,214	67,541
Collateralized debt obligations
Available-for-sale securities
Amortized cost	107,787	78,059
Gross unrealized gains	373	44
Gross unrealized losses	1,239	247
Estimated fair value	106,921	77,856
Other debt securities
Available-for-sale securities
Amortized cost	15,792	5,049
Gross unrealized gains	542	71
Gross unrealized losses	18	39
Estimated fair value	16,316	5,081
Available-for-sale securities
Available-for-sale securities
Amortized cost	887,936	724,950
Gross unrealized gains	25,709	7,939
Gross unrealized losses	5,591	2,188
Estimated fair value	$ 908,054	$ 730,701

Investments - Amortized Cost an

Investments - Amortized Cost and Estimated Fair Value of Available-For-Sale Securities by Contractual Maturity (Details) $ in Thousands	Sep. 30, 2020USD ($)
Amortized cost
Due in one year or less	$ 13,157
Due after one year through five years	419,336
Due after five years through ten years	160,245
Due after ten years	295,198
Amortized cost	887,936
Estimated fair value
Due in one year or less	13,229
Due after one year through five years	431,758
Due after five years through ten years	161,148
Due after ten years	301,919
Estimated fair value	$ 908,054

Investments - Available-For-Sal

Investments - Available-For-Sale Securities in a Gross Unrealized Loss Position (Details) $ in Thousands	Sep. 30, 2020USD ($)Holdings	Dec. 31, 2019USD ($)Holdings
Investment grade
Fair value
Less than 12 months	$ 184,738	$ 76,315
12 months or longer	11,992	46,390
Total	196,730	122,705
Unrealized losses
Less than 12 months	1,916	287
12 months or longer	241	218
Total	$ 2,157	$ 505
No. of holdings | Holdings	178	100
Non-investment grade
Fair value
Less than 12 months	$ 47,484	$ 11,421
12 months or longer	8,236	10,691
Total	55,720	22,112
Unrealized losses
Less than 12 months	1,998	324
12 months or longer	1,436	1,359
Total	$ 3,434	$ 1,683
No. of holdings | Holdings	400	146
Available-for-sale securities
Fair value
Less than 12 months	$ 232,222	$ 87,736
12 months or longer	20,228	57,081
Total	252,450	144,817
Unrealized losses
Less than 12 months	3,914	611
12 months or longer	1,677	1,577
Total	$ 5,591	$ 2,188
No. of holdings | Holdings	578	246
Corporate debt securities
Fair value
Less than 12 months	$ 116,649	$ 25,804
12 months or longer	8,236	15,699
Total	124,885	41,503
Unrealized losses
Less than 12 months	2,493	342
12 months or longer	1,436	1,362
Total	$ 3,929	$ 1,704
No. of holdings | Holdings	437	158
Residential mortgage-backed securities
Fair value
Less than 12 months	$ 17,274	$ 16,712
12 months or longer	0	0
Total	17,274	16,712
Unrealized losses
Less than 12 months	12	50
12 months or longer	0	0
Total	$ 12	$ 50
No. of holdings | Holdings	11	7
Commercial mortgage-backed securities
Fair value
Less than 12 months	$ 19,076	$ 21,981
12 months or longer	0	372
Total	19,076	22,353
Unrealized losses
Less than 12 months	393	147
12 months or longer	0	1
Total	$ 393	$ 148
No. of holdings | Holdings	29	30
Collateralized debt obligations
Fair value
Less than 12 months	$ 78,166	$ 20,889
12 months or longer	11,992	41,010
Total	90,158	61,899
Unrealized losses
Less than 12 months	998	33
12 months or longer	241	214
Total	$ 1,239	$ 247
No. of holdings | Holdings	97	49
Other debt securities
Fair value
Less than 12 months	$ 1,057	$ 2,350
12 months or longer	0	0
Total	1,057	2,350
Unrealized losses
Less than 12 months	18	39
12 months or longer	0	0
Total	$ 18	$ 39
No. of holdings | Holdings	4	2

Investments - Credit Loss Allow

Investments - Credit Loss Allowance on Investments (Details) - USD ($) $ in Millions	Sep. 30, 2020	Mar. 31, 2020
Investments [Abstract]
Agent loans, allowance for credit loss	$ 1
Available-for-sale securities, allowance for credit loss	$ 0.4	$ 0.6

Investments - Net Investment In

Investments - Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Investment income from portfolios
Total investment income	$ 7,540	$ 8,801	$ 23,844	$ 25,857
Less: investment expenses	510	149	1,072	658
Investment income, net of expenses	7,030	8,652	22,772	25,199
Available-for-sale securities
Investment income from portfolios
Total investment income	5,353	5,449	16,811	17,098
Equity securities
Investment income from portfolios
Total investment income	1,178	452	2,935	734
Cash equivalents and other
Investment income from portfolios
Total investment income	$ 1,009	$ 2,900	$ 4,098	$ 8,025

Investments - Realized Investme

Investments - Realized Investment Gains (Losses) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Available-for-sale securities:
Net realized investment gains	$ 5,915	$ 1,696	$ 1,635	$ 5,501
Available-for-sale securities
Available-for-sale securities:
Gross realized gains	604	1,320	3,399	5,640
Gross realized losses	(467)	(248)	(2,292)	(1,411)
Net realized gains on available-for-sale securities	137	1,072	1,107	4,229
Equity securities
Available-for-sale securities:
Equity securities	5,777	624	525	1,272
Miscellaneous
Available-for-sale securities:
Miscellaneous	$ 1	$ 0	$ 3	$ 0

Investments - Portion of Net Un

Investments - Portion of Net Unrealized Gains and Losses Recognized During the Reporting Period Related To Equity Securities (Details) - Equity securities - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Equity securities:
Net gains (losses) recognized during the period	$ 5,777	$ 624	$ 525	$ 1,272
Less: net gains (losses) recognized on securities sold	1,796	47	(1,009)	47
Net unrealized gains recognized on securities held at reporting date	$ 3,981	$ 577	$ 1,534	$ 1,225

Investments - Impairments on Av

Investments - Impairments on Available-For-Sale Securities and Agent Loans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Available-for-sale securities:
Intent to sell	$ 37	$ 31	$ 2,279	$ 193
Credit impaired	85	0	743	0
Total available-for-sale securities	122	31	3,022	193
Agent loans - expected credit losses	0	0	170	0
Net impairment losses recognized in earnings	$ 122	$ 31	$ 3,192	$ 193

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Lessee, Lease, Description [Line Items]
Operating lease, right-of-use asset, statement of financial position	us-gaap:OtherAssetsNoncurrent		us-gaap:OtherAssetsNoncurrent
Operating lease, liability, current, statement of financial position	us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent		us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent
Operating lease, liability, noncurrent, statement of financial position	us-gaap:OtherLiabilitiesNoncurrent		us-gaap:OtherLiabilitiesNoncurrent
Operating lease costs	$ 3,200	$ 3,500	$ 9,900	$ 10,700
Erie Insurance Exchange
Lessee, Lease, Description [Line Items]
Operating lease costs, amount reimbursed from Exchange and its subsidiaries	1,300	$ 1,500	4,100	$ 4,600
Erie Insurance Exchange | Office Space
Lessee, Lease, Description [Line Items]
Operating lease assets	7,800		7,800
Operating lease assets
Lessee, Lease, Description [Line Items]
Operating lease assets	16,844		16,844		$ 22,401
Operating lease liabilities - current
Lessee, Lease, Description [Line Items]
Operating lease liabilities - current	10,735		10,735		11,289
Operating lease liabilities - long-term
Lessee, Lease, Description [Line Items]
Operating lease liabilities - long-term	5,766		5,766		10,665
Operating lease liabilities
Lessee, Lease, Description [Line Items]
Total operating lease liabilities	$ 16,501		$ 16,501		$ 21,954

Borrowing Arrangements - Bank L

Borrowing Arrangements - Bank Line of Credit (Details) - Revolving line of credit	Sep. 30, 2020USD ($)
Bank line of credit
Maximum borrowing capacity under the bank revolving line of credit	$ 100,000,000
Maximum letter of credit sublimit under the bank revolving line of credit	25,000,000
Available borrowing capacity under the bank revolving line of credit, due to outstanding letters of credit	99,100,000
Outstanding amount of letters of credit under the bank revolving line of credit	900,000
Available amount of letters of credit under the bank revolving line of credit	24,100,000
Borrowings outstanding under the bank revolving line of credit	0
Fair value of investments pledged as collateral on the bank revolving line of credit	$ 124,600,000

Borrowing Arrangements - Term L

Borrowing Arrangements - Term Loan Credit Facility (Details) - Secured debt - USD ($)	Jan. 01, 2019	Sep. 30, 2020	Dec. 31, 2016
Term loan credit facility
Amount of senior secured draw term loan credit facility			$ 100,000,000
Fixed interest rate of credit facility (as a percent)	4.35%
Repayment period of credit facility	28 years
Fair value of investments pledged as collateral on the credit facility		$ 126,200,000

Borrowing Arrangements - Annual

Borrowing Arrangements - Annual Principal Payments (Details) - Secured debt $ in Thousands	Sep. 30, 2020USD ($)
Future principal payments:
2020	$ 520
2021	2,020
2022	2,110
2023	2,226
2024	2,303
Thereafter	$ 87,431

Postretirement Benefits (Detail

Postretirement Benefits (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Cost of pension plans:
Service cost for benefits earned	$ 10,873	$ 8,463	$ 32,620	$ 25,390
Interest cost on benefits obligation	9,395	9,827	28,184	29,480
Expected return on plan assets	(12,353)	(11,872)	(37,059)	(35,614)
Prior service cost amortization	336	349	1,007	1,046
Net actuarial loss amortization	3,031	1,279	9,093	3,835
Pension plan cost	$ 11,282	$ 8,046	$ 33,845	$ 24,137
Erie Insurance Exchange
Postretirement Benefits
Postretirement annual benefit expense reimbursed to Indemnity from the Exchange and its subsidiaries (as a percent)			58.00%

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Effective income tax rate (as a percent)	20.10%	21.20%	20.60%	19.90%
Effective income tax rate, settlement of uncertain tax position (percent)				1.30%

Capital Stock - Class A and B C

Capital Stock - Class A and B Common Stock (Details) - Class B common stock	9 Months Ended	12 Months Ended
	Sep. 30, 2020shares	Dec. 31, 2019shares
Common Stock
Ratio for converting shares of Class B common stock into shares of Class A common stock	2,400	2,400
Class B common stock shares converted into Class A common stock shares (in shares)	0	0

Capital Stock - Stock Repurchas

Capital Stock - Stock Repurchases (Details) - Class A common stock - Stock repurchase program - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019	Dec. 31, 2011
Stock repurchases
Amount of authorized stock repurchases approved for continuation under the current program			$ 150,000,000
Shares repurchased under stock repurchase program (in shares)	0	0
Approximate amount of repurchase authority remaining under the current stock repurchase program	$ 17,800,000

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2020	Sep. 30, 2019
Accumulated other comprehensive income (loss), net of tax
AOCI (loss), beginning of period			$ (116,868)				$ (116,868)
Change in unrealized holding gains on available-for-sale securities	$ 6,143			$ 2,330			11,358	$ 10,387
Pension and other postretirement plans, OCI (loss)	2,659			1,231			7,979	3,694
OCI	8,802	$ 40,111	(29,576)	3,561	$ 3,810	$ 6,710	19,337	14,081
AOCI (loss), end of period	(97,531)						(97,531)
Investment securities:
Accumulated other comprehensive income (loss), before tax
AOCI (loss), beginning of period	12,265		5,664	1,030		(9,169)	5,664	(9,169)
OCI before reclassifications	7,792			3,991			12,463	17,185
Realized investment gains	(137)			(1,072)			(1,107)	(4,229)
Impairment losses	122			31			3,022	193
Investment securities, OCI (loss)	7,777			2,950			14,378	13,149
AOCI (loss), end of period	20,042	12,265		3,980	1,030		20,042	3,980
Accumulated other comprehensive income (loss), tax
AOCI (loss), beginning of period	2,575		1,189	216		(1,926)	1,189	(1,926)
OCI (loss) before reclassifications	1,636			838			2,617	3,609
Realized investment gains	(28)			(225)			(232)	(888)
Impairment losses	26			7			635	41
Investment securities, OCI (loss)	1,634			620			3,020	2,762
AOCI (loss), end of period	4,209	2,575		836	216		4,209	836
Accumulated other comprehensive income (loss), net of tax
AOCI (loss), beginning of period	9,690		4,475	814		(7,243)	4,475	(7,243)
OCI (loss) before reclassifications	6,156			3,153			9,846	13,576
Realized investment gains	(109)			(847)			(875)	(3,341)
Impairment losses	96			24			2,387	152
Change in unrealized holding gains on available-for-sale securities	6,143			2,330			11,358	10,387
AOCI (loss), end of period	15,833	9,690		3,144	814		15,833	3,144
Pension and other postretirement plans:
Accumulated other comprehensive income (loss), before tax
AOCI (loss), beginning of period	(146,866)		(153,600)	(152,632)		(155,749)	(153,600)	(155,749)
Amortization of prior service costs	335			349			1,007	1,046
Amortization of net actuarial loss	3,031			1,210			9,093	3,630
Pension and other postretirement plans, OCI (loss)	3,366			1,559			10,100	4,676
AOCI (loss), end of period	(143,500)	(146,866)		(151,073)	(152,632)		(143,500)	(151,073)
Accumulated other comprehensive income (loss), tax
AOCI (loss), beginning of period	(30,843)		(32,257)	(32,054)		(32,708)	(32,257)	(32,708)
Amortization of prior service costs	70			74			211	220
Amortization of net actuarial loss	637			254			1,910	762
Pension and other postretirement plans, OCI (loss)	707			328			2,121	982
AOCI (loss), end of period	(30,136)	(30,843)		(31,726)	(32,054)		(30,136)	(31,726)
Accumulated other comprehensive income (loss), net of tax
AOCI (loss), beginning of period	(116,023)		(121,343)	(120,578)		(123,041)	(121,343)	(123,041)
Amortization of prior service costs	265			275			796	826
Amortization of net actuarial loss	2,394			956			7,183	2,868
Pension and other postretirement plans, OCI (loss)	2,659			1,231			7,979	3,694
AOCI (loss), end of period	(113,364)	(116,023)		(119,347)	(120,578)		(113,364)	(119,347)
Total
Accumulated other comprehensive income (loss), before tax
AOCI (loss), beginning of period	(134,601)		(147,936)	(151,602)		(164,918)	(147,936)	(164,918)
Investment securities, OCI (loss)	7,777			2,950			14,378	13,149
Pension and other postretirement plans, OCI (loss)	3,366			1,559			10,100	4,676
OCI	11,143			4,509			24,478	17,825
AOCI (loss), end of period	(123,458)	(134,601)		(147,093)	(151,602)		(123,458)	(147,093)
Accumulated other comprehensive income (loss), tax
AOCI (loss), beginning of period	(28,268)		(31,068)	(31,838)		(34,634)	(31,068)	(34,634)
Investment securities, OCI (loss)	1,634			620			3,020	2,762
Pension and other postretirement plans, OCI (loss)	707			328			2,121	982
OCI	2,341			948			5,141	3,744
AOCI (loss), end of period	(25,927)	(28,268)		(30,890)	(31,838)		(25,927)	(30,890)
Accumulated other comprehensive income (loss), net of tax
AOCI (loss), beginning of period	(106,333)		(116,868)	(119,764)		(130,284)	(116,868)	(130,284)
Change in unrealized holding gains on available-for-sale securities	6,143			2,330			11,358	10,387
Pension and other postretirement plans, OCI (loss)	2,659			1,231			7,979	3,694
OCI	8,802	40,111	$ (29,576)	3,561	3,810	$ 6,710	19,337	14,081
AOCI (loss), end of period	$ (97,531)	$ (106,333)		$ (116,203)	$ (119,764)		$ (97,531)	$ (116,203)

Concentrations of Credit Risk (

Concentrations of Credit Risk (Details) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020	Jan. 01, 2020	Dec. 31, 2019
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Receivables from Erie Insurance Exchange and its affiliates	$ 501,192,000	$ 501,192,000		$ 468,636,000
Erie Insurance Exchange
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Change in allowance for credit loss	$ 0	$ 0
Erie Insurance Exchange | Cumulative effect adjustment | Accounting Standards Update 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Receivables from Erie Insurance Exchange, allowance for credit loss			$ 600,000