Stewart Information Services (STC) 10-Q 3 Aug 21 2021 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2021	Jul. 27, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2021
Document Transition Report	false
Entity File Number	001-02658
Entity Registrant Name	STEWART INFORMATION SERVICES CORP
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	74-1677330
Entity Address, Address Line One	1360 Post Oak Blvd.,
Entity Address, Address Line Two	Suite 100
Entity Address, City or Town	Houston,
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	77056
City Area Code	713
Local Phone Number	625-8100
Title of 12(b) Security	Common Stock, $1 par value per share
Trading Symbol	STC
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		26,884,372
Entity Central Index Key	0000094344
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q2
Amendment Flag	false

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Revenues
Revenues	$ 802,025	$ 506,756	$ 1,483,392	$ 952,529
Investment income	5,130	4,285	9,074	9,503
Net realized and unrealized gains (losses)	11,654	5,064	14,929	(6,027)
Revenues	818,809	516,105	1,507,395	956,005
Expenses
Amounts retained by agencies	322,020	228,720	605,955	428,086
Employee costs	188,467	137,528	357,864	273,180
Other operating expenses	137,796	74,613	263,279	146,473
Title losses and related claims	33,569	21,541	62,342	40,172
Depreciation and amortization	6,819	4,061	13,249	8,292
Interest	682	622	1,248	1,513
Total expenses	689,353	467,085	1,303,937	897,716
Income before taxes and noncontrolling interests	129,456	49,020	203,458	58,289
Income tax expense	(30,616)	(11,340)	(47,496)	(13,235)
Net income	98,840	37,680	155,962	45,054
Less net income attributable to noncontrolling interests	4,021	3,534	6,907	5,731
Net income attributable to Stewart	94,819	34,146	149,055	39,323
Net income	98,840	37,680	155,962	45,054
Other comprehensive income (loss), net of taxes:
Foreign currency translation adjustments	1,379	4,194	3,246	(7,248)
Change in net unrealized gains and losses on investments	1,009	16,715	(8,147)	14,135
Reclassification adjustment for realized gains and losses on investments	(418)	(21)	(563)	(101)
Other comprehensive income (loss), net of taxes:	1,970	20,888	(5,464)	6,786
Comprehensive income	100,810	58,568	150,498	51,840
Less net income attributable to noncontrolling interests	4,021	3,534	6,907	5,731
Comprehensive income attributable to Stewart	$ 96,789	$ 55,034	$ 143,591	$ 46,109
Basic average shares outstanding (in shares)	26,798	23,656	26,767	23,647
Basic earnings per share attributable to Stewart (in usd per share)	$ 3.54	$ 1.44	$ 5.57	$ 1.66
Diluted average shares outstanding (in shares)	27,123	23,756	27,038	23,757
Diluted earnings per share attributable to Stewart (in usd per share)	$ 3.50	$ 1.44	$ 5.51	$ 1.66
Direct operations
Revenues
Revenues	$ 353,502	$ 218,214	$ 633,007	$ 416,496
Agency operations
Revenues
Revenues	390,330	277,387	736,261	519,417
Ancillary services
Revenues
Revenues	58,193	11,155	114,124	16,616
Operating revenues
Revenues
Revenues	$ 802,025	$ 506,756	$ 1,483,392	$ 952,529

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Assets
Cash and cash equivalents	$ 400,542	$ 432,683
Short-term investments	17,628	20,678
Investments in debt and equity securities, at fair value	711,398	684,387
Receivables:
Premiums from agencies	46,449	34,507
Trade and other	72,061	56,054
Income taxes	2,034	501
Notes	1,461	1,557
Allowance for uncollectible amounts	(5,168)	(4,807)
Total receivables	116,837	87,812
Property and equipment:
Land	2,964	2,964
Buildings	16,645	22,598
Furniture and equipment	181,690	168,147
Accumulated depreciation	(146,711)	(142,038)
Total property and equipment, at cost	54,588	51,671
Operating lease assets	112,351	106,479
Title plants, at cost	73,113	72,863
Investments on equity method basis	22,051	6,765
Goodwill	549,991	431,477
Intangible assets, net of amortization	36,798	37,382
Deferred tax assets	4,330	4,330
Other assets	68,707	42,048
Total assets	2,168,334	1,978,575
Liabilities
Notes payable	127,662	101,773
Accounts payable and accrued liabilities	229,054	225,180
Operating lease liabilities	124,038	119,089
Estimated title losses	524,983	496,275
Deferred tax liabilities	26,524	23,852
Total liabilities	1,032,261	966,169
Contingent liabilities and commitments
Stockholders’ equity
Common Stock ($1 par value) and additional paid-in capital	301,251	301,937
Retained earnings	819,834	688,819
Accumulated other comprehensive income (loss):
Foreign currency translation adjustments	(4,992)	(8,238)
Net unrealized gains on debt securities investments	16,550	25,260
Treasury stock – 352,161 common shares, at cost	(2,666)	(2,666)
Stockholders’ equity attributable to Stewart	1,129,977	1,005,112
Noncontrolling interests	6,096	7,294
Total stockholders’ equity (26,825,233 and 26,728,242 shares outstanding)	1,136,073	1,012,406
Total liabilities and stockholders' equity	$ 2,168,334	$ 1,978,575

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Common stock, par value (in usd per share)	$ 1	$ 1
Treasury stock, common shares (in shares)	352,161	352,161
Common stock, shares outstanding (in shares)	26,825,233	26,728,242

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Reconciliation of net income to cash provided by operating activities:
Net income	$ 155,962	$ 45,054
Add (deduct):
Depreciation and amortization	13,249	8,292
Provision for bad debt	846	106
Net realized and unrealized (gains) losses	(14,929)	6,027
Amortization of net premium on debt securities investments	1,904	2,253
Payments for title losses less than provisions	26,222	1,236
Adjustments for insurance recoveries of title losses	0	228
(Increase) decrease in receivables – net	(22,366)	8,792
Increase in other assets – net	(3,327)	(3,743)
Decrease in accounts payable and other liabilities – net	(15,390)	(22,817)
Change in net deferred income taxes	4,122	2,277
Net income from equity method investments	(3,412)	(1,356)
Dividends received from equity method investments	1,739	1,549
Stock-based compensation expense	5,879	2,449
Other – net	(47)	(237)
Cash provided by operating activities	150,452	50,110
Investing activities:
Proceeds from sales of investments in securities	14,744	15,499
Proceeds from matured investments in debt securities	51,034	33,096
Purchases of investments in securities	(89,198)	(50,856)
Net sales of short-term investments	2,747	2,763
Purchases of property and equipment, and real estate	(16,430)	(6,796)
Proceeds from sale of buildings	10,583	0
Cash paid for acquisition of businesses	(131,906)	(33,417)
Cash paid for acquisition of equity method investment	(16,080)	0
Other – net	855	1,278
Cash used by investing activities	(173,651)	(38,433)
Financing activities:
Proceeds from notes payable	181,755	404
Payments on notes payable	(157,662)	(9,334)
Distributions to noncontrolling interests	(7,253)	(5,957)
Repurchases of Common Stock	(2,002)	(468)
Proceeds from stock option exercises	181	0
Cash dividends paid	(17,688)	(14,198)
Payment of contingent consideration related to an acquisition	(75)	0
Purchase of remaining interest in consolidated subsidiaries	(5,616)	0
Other - net	(777)	0
Cash used by financing activities	(9,137)	(29,553)
Effects of changes in foreign currency exchange rates	195	(1,927)
Change in cash and cash equivalents	(32,141)	(19,803)
Cash and cash equivalents at beginning of period	432,683	330,609
Cash and cash equivalents at end of period	$ 400,542	$ 310,806

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED) - USD ($) $ in Thousands	Total	Common Stock	Additional paid-in capital	Retained earnings	Accumulated other comprehensive income (loss)	Treasury stock	Noncontrolling interests
Balances at beginning of period at Dec. 31, 2019	$ 753,759	$ 24,062	$ 164,217	$ 564,392	$ (2,699)	$ (2,666)	$ 6,453
Increase (Decrease) in Stockholders' Equity
Net income attributable to Stewart	39,323			39,323
Dividends on Common Stock	(14,291)			(14,291)
Stock-based compensation	2,449	2	2,447
Stock repurchases	(468)	(12)	(456)
Change in net unrealized gains and losses on investments, net of taxes	14,135				14,135
Reclassification adjustment for realized gains and losses on investments, net of taxes	(101)				(101)
Foreign currency translation adjustments, net of taxes	(7,248)				(7,248)
Net income attributable to noncontrolling interests	5,731						5,731
Distributions to noncontrolling interests	(5,957)						(5,957)
Balances at end of period at Jun. 30, 2020	787,332	24,052	166,208	589,424	4,087	(2,666)	6,227
Balances at beginning of period at Mar. 31, 2020	737,075	24,032	164,741	562,445	(16,801)	(2,666)	5,324
Increase (Decrease) in Stockholders' Equity
Net income attributable to Stewart	34,146			34,146
Dividends on Common Stock	(7,167)			(7,167)
Stock-based compensation	1,562	22	1,540
Stock repurchases	(75)	(2)	(73)
Change in net unrealized gains and losses on investments, net of taxes	16,715				16,715
Reclassification adjustment for realized gains and losses on investments, net of taxes	(21)				(21)
Foreign currency translation adjustments, net of taxes	4,194				4,194
Net income attributable to noncontrolling interests	3,534						3,534
Distributions to noncontrolling interests	(2,631)						(2,631)
Balances at end of period at Jun. 30, 2020	787,332	24,052	166,208	589,424	4,087	(2,666)	6,227
Balances at beginning of period at Dec. 31, 2020	1,012,406	27,080	274,857	688,819	17,022	(2,666)	7,294
Increase (Decrease) in Stockholders' Equity
Net income attributable to Stewart	149,055			149,055
Dividends on Common Stock	(18,040)			(18,040)
Stock-based compensation	5,879	131	5,748
Stock repurchases	(2,002)	(39)	(1,963)
Stock option exercises	181	5	176
Purchase of remaining interest in consolidated subsidiaries	(5,616)		(4,744)				(872)
Change in net unrealized gains and losses on investments, net of taxes	(8,147)				(8,147)
Reclassification adjustment for realized gains and losses on investments, net of taxes	(563)				(563)
Foreign currency translation adjustments, net of taxes	3,246				3,246
Net income attributable to noncontrolling interests	6,907						6,907
Distributions to noncontrolling interests	(7,253)						(7,253)
Net effect of other changes in ownership	20						20
Balances at end of period at Jun. 30, 2021	1,136,073	27,177	274,074	819,834	11,558	(2,666)	6,096
Balances at beginning of period at Mar. 31, 2021	1,047,898	27,158	273,820	733,973	9,588	(2,666)	6,025
Increase (Decrease) in Stockholders' Equity
Net income attributable to Stewart	94,819			94,819
Dividends on Common Stock	(8,958)			(8,958)
Stock-based compensation	2,705	18	2,687
Stock repurchases	(67)	(2)	(65)
Stock option exercises	120	3	117
Purchase of remaining interest in consolidated subsidiaries	(3,046)		(2,485)				(561)
Change in net unrealized gains and losses on investments, net of taxes	1,009				1,009
Reclassification adjustment for realized gains and losses on investments, net of taxes	(418)				(418)
Foreign currency translation adjustments, net of taxes	1,379				1,379
Net income attributable to noncontrolling interests	4,021						4,021
Distributions to noncontrolling interests	(3,409)						(3,409)
Net effect of other changes in ownership	20						20
Balances at end of period at Jun. 30, 2021	$ 1,136,073	$ 27,177	$ 274,074	$ 819,834	$ 11,558	$ (2,666)	$ 6,096

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Statement of Stockholders' Equity [Abstract]
Cash dividends on common stock (in usd per share)	$ 0.33	$ 0.30	$ 0.66	$ 0.60

Interim financial statements

Interim financial statements	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Interim financial statements	Interim financial statements. The financial information contained in this report for the three and six months ended June 30, 2021 and 2020, and as of June 30, 2021, is unaudited. This report should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 filed with the Securities and Exchange Commission on March 1, 2021 (2020 Form 10-K). A. Management’s responsibility. The accompanying interim financial statements were prepared by management, who is responsible for their integrity and objectivity. These financial statements have been prepared in conformity with the United States (U.S.) generally accepted accounting principles (GAAP), including management’s best judgments and estimates. In the opinion of management, all adjustments necessary for a fair presentation of this information for all interim periods, consisting only of normal recurring accruals, have been made. The Company’s results of operations for interim periods are not necessarily indicative of results for a full year and actual results could differ. B. Consolidation. The condensed consolidated financial statements include all subsidiaries in which the Company owns more than 50% voting rights in electing directors. All significant intercompany amounts and transactions have been eliminated and provisions have been made for noncontrolling interests. Unconsolidated investees, in which the Company typically owns from 20% to 50% of the voting stock, are accounted for using the equity method. C. Restrictions on cash and investments. The Company maintains investments in accordance with certain statutory requirements for the funding of statutory premium reserves. Statutory reserve funds are required to be fully funded and invested in high-quality securities and short-term investments. Statutory reserve funds are not available for current claim payments, which must be funded from current operating cash flow. Included in investments in debt and equity securities are statutory reserve funds of approximately $517.8 million and $496.6 million at June 30, 2021 and December 31, 2020, respectively. In addition, included within cash and cash equivalents are statutory reserve funds of approximately $16.6 million and $20.0 million at June 30, 2021 and December 31, 2020, respectively. Although these cash statutory reserve funds are not restricted or segregated in depository accounts, they are required to be held pursuant to state statutes. If the Company fails to maintain minimum investments or cash and cash equivalents sufficient to meet statutory requirements, the Company may be subject to fines or other penalties, including potential revocation of its business license. These funds are not available for any other purpose. In the event that insurance regulators adjust the determination of the statutory premium reserves of the Company’s title insurers, these restricted funds as well as statutory surplus would correspondingly increase or decrease.

Revenues

Revenues	6 Months Ended
	Jun. 30, 2021
Revenue from Contract with Customer [Abstract]
Revenues	Revenues. The Company's operating revenues, summarized by type, are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Title insurance premiums: Direct 243,638 149,745 438,631 288,028 Agency 390,330 277,387 736,261 519,417 Escrow fees 63,534 41,433 120,183 74,519 Appraisal management, abstract and other ancillary services 80,712 22,829 149,332 38,906 Other revenues 23,811 15,362 38,985 31,659 802,025 506,756 1,483,392 952,529

Investments in debt and equity

Investments in debt and equity securities	6 Months Ended
	Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Investments in debt and equity securities	Investments in debt and equity securities. The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 As of June 30, 2021 and December 31, 2020, the net unrealized investment gains relating to investments in equity securities held we re $13.6 million and $4.4 million, respectively (refer to Note 5). The amortized costs and fair values of investments in debt securities are as follows: June 30, 2021 December 31, 2020 Amortized costs Fair values Amortized costs Fair values ($000 omitted) Municipal 40,466 42,462 45,138 47,603 Corporate 291,413 305,229 285,962 305,450 Foreign 275,764 280,861 261,748 271,711 U.S. Treasury Bonds 6,570 6,610 6,564 6,622 614,213 635,162 599,412 631,386 Foreign debt securities consist of Canadian government, provincial and corporate bonds, United Kingdom treasury and corporate bonds, and Mexican government bonds. Gross unrealized gains and losses on investments in debt securities are as follows: June 30, 2021 December 31, 2020 Gains Losses Gains Losses ($000 omitted) Municipal 1,997 1 2,465 — Corporate 14,320 504 19,594 106 Foreign 5,767 670 10,024 61 U.S. Treasury Bonds 65 25 82 24 22,149 1,200 32,165 191 Debt securities as of June 30, 2021 mature, according to their contractual terms, as follows (actual maturities may differ due to call or prepayment rights): Amortized costs Fair values ($000 omitted) In one year or less 59,019 59,695 After one year through five years 375,721 385,551 After five years through ten years 148,716 156,299 After ten years 30,757 33,617 614,213 635,162 Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2021, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal 1 96 — — 1 96 Corporate 504 31,489 — — 504 31,489 Foreign 645 74,153 25 254 670 74,407 U.S. Treasury Bonds 1 109 24 1,022 25 1,131 1,151 105,847 49 1,276 1,200 107,123 The number of specific debt investment holdings held in an unrealized loss position as of June 30, 2021 was 51. Of these securities, 3 were in unrealized loss positions for more than 12 months. Since the Company does not intend to sell and will more likely than not maintain each investment security until its maturity or anticipated recovery in value, and no significant credit risk is deemed to exist, these investments are not considered as credit-impaired. The Company believes its investment portfolio is diversified and expects no material loss to result from the failure to perform by issuers of the debt securities it holds. Investments made by the Company are not collateralized. Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2020, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal — — — — — — Corporate 106 13,518 — — 106 13,518 Foreign 40 2,912 21 254 61 3,166 U.S. Treasury Bonds — — 24 1,022 24 1,022 146 16,430 45 1,276 191 17,706 Net realized and unrealized gains (losses). Realized and unrealized gains and losses are detailed as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Realized gains 7,909 1,355 8,080 1,508 Realized losses — (657) (2,469) (1,347) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188) 11,654 5,064 14,929 (6,027) Realized gains and losses during the second quarter 2021 included $7.3 million of gains on sales of buildings, while realized gains and losses during the second quarter 2020 included $1.1 million of gains from settlements of equity investments with no previously readily determinable fair values. Additionally, realized gains and losses for the first six months of 2021 included a $2.5 million loss related to a disposal of an equity method investment. Investment gains and losses recognized related to investments in equity securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Net investment gains (losses) recognized on equity securities during the period 3,780 3,966 9,361 (7,095) Less: Net realized gains (losses) on equity securities sold during the period 35 (400) 43 (907) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188) Proceeds from sales of investments in securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Proceeds from sales of debt securities 11,634 3,270 14,571 14,773 Proceeds from sales of equity securities 59 433 173 726 Total proceeds from sales of investments in securities 11,693 3,703 14,744 15,499

Fair value measurements

Fair value measurements	6 Months Ended
	Jun. 30, 2021
Fair Value Disclosures [Abstract]
Fair value measurements	Fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal, or most advantageous, market for the asset or liability in an orderly transaction between market participants at the measurement date. Under U.S. GAAP, there is a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs when possible. The three levels of inputs used to measure fair value are as follows: • Level 1 – quoted prices in active markets for identical assets or liabilities; • Level 2 – observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and • Level 3 – unobservable inputs that are supported by little or no market activity and that are significant to the fair values of the assets or liabilities, including certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. As of June 30, 2021, financial instruments measured at fair value on a recurring basis are summarized below: Level 1 Level 2 Fair value measurements ($000 omitted) Investments in securities: Debt securities: Municipal — 42,462 42,462 Corporate — 305,229 305,229 Foreign — 280,861 280,861 U.S. Treasury Bonds — 6,610 6,610 Equity securities 76,236 — 76,236 76,236 635,162 711,398 As of December 31, 2020, financial instruments measured at fair value on a recurring basis are summarized below: Level 1 Level 2 Fair value measurements ($000 omitted) Investments in securities: Debt securities: Municipal — 47,603 47,603 Corporate — 305,450 305,450 Foreign — 271,711 271,711 U.S. Treasury Bonds — 6,622 6,622 Equity securities 53,001 — 53,001 53,001 631,386 684,387 As of June 30, 2021 and December 31, 2020, Level 1 financial instruments consist of equity securities. Level 2 financial instruments consist of municipal, governmental, and corporate bonds, both U.S. and foreign. In accordance with the Company’s policies and guidelines which incorporate relevant statutory requirements, the Company’s third-party registered investment manager invests only in securities rated as investment grade or higher by the major rating services, where observable valuation inputs are significant. The fair value of the Company's investments in debt and equity securities is primarily determined using a third-party pricing service provider. The third-party pricing service provider calculates the fair values using both market approach and model valuation methods, as well as pricing information obtained from brokers, dealers and custodians. Management ensures the reasonableness of the third-party service valuations by comparing them with pricing information from the Company's investment manager.

Net realized and unrealized gai

Net realized and unrealized gains (losses)	6 Months Ended
	Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Net realized and unrealized gains (losses)	Investments in debt and equity securities. The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 As of June 30, 2021 and December 31, 2020, the net unrealized investment gains relating to investments in equity securities held we re $13.6 million and $4.4 million, respectively (refer to Note 5). The amortized costs and fair values of investments in debt securities are as follows: June 30, 2021 December 31, 2020 Amortized costs Fair values Amortized costs Fair values ($000 omitted) Municipal 40,466 42,462 45,138 47,603 Corporate 291,413 305,229 285,962 305,450 Foreign 275,764 280,861 261,748 271,711 U.S. Treasury Bonds 6,570 6,610 6,564 6,622 614,213 635,162 599,412 631,386 Foreign debt securities consist of Canadian government, provincial and corporate bonds, United Kingdom treasury and corporate bonds, and Mexican government bonds. Gross unrealized gains and losses on investments in debt securities are as follows: June 30, 2021 December 31, 2020 Gains Losses Gains Losses ($000 omitted) Municipal 1,997 1 2,465 — Corporate 14,320 504 19,594 106 Foreign 5,767 670 10,024 61 U.S. Treasury Bonds 65 25 82 24 22,149 1,200 32,165 191 Debt securities as of June 30, 2021 mature, according to their contractual terms, as follows (actual maturities may differ due to call or prepayment rights): Amortized costs Fair values ($000 omitted) In one year or less 59,019 59,695 After one year through five years 375,721 385,551 After five years through ten years 148,716 156,299 After ten years 30,757 33,617 614,213 635,162 Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2021, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal 1 96 — — 1 96 Corporate 504 31,489 — — 504 31,489 Foreign 645 74,153 25 254 670 74,407 U.S. Treasury Bonds 1 109 24 1,022 25 1,131 1,151 105,847 49 1,276 1,200 107,123 The number of specific debt investment holdings held in an unrealized loss position as of June 30, 2021 was 51. Of these securities, 3 were in unrealized loss positions for more than 12 months. Since the Company does not intend to sell and will more likely than not maintain each investment security until its maturity or anticipated recovery in value, and no significant credit risk is deemed to exist, these investments are not considered as credit-impaired. The Company believes its investment portfolio is diversified and expects no material loss to result from the failure to perform by issuers of the debt securities it holds. Investments made by the Company are not collateralized. Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2020, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal — — — — — — Corporate 106 13,518 — — 106 13,518 Foreign 40 2,912 21 254 61 3,166 U.S. Treasury Bonds — — 24 1,022 24 1,022 146 16,430 45 1,276 191 17,706 Net realized and unrealized gains (losses). Realized and unrealized gains and losses are detailed as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Realized gains 7,909 1,355 8,080 1,508 Realized losses — (657) (2,469) (1,347) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188) 11,654 5,064 14,929 (6,027) Realized gains and losses during the second quarter 2021 included $7.3 million of gains on sales of buildings, while realized gains and losses during the second quarter 2020 included $1.1 million of gains from settlements of equity investments with no previously readily determinable fair values. Additionally, realized gains and losses for the first six months of 2021 included a $2.5 million loss related to a disposal of an equity method investment. Investment gains and losses recognized related to investments in equity securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Net investment gains (losses) recognized on equity securities during the period 3,780 3,966 9,361 (7,095) Less: Net realized gains (losses) on equity securities sold during the period 35 (400) 43 (907) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188) Proceeds from sales of investments in securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Proceeds from sales of debt securities 11,634 3,270 14,571 14,773 Proceeds from sales of equity securities 59 433 173 726 Total proceeds from sales of investments in securities 11,693 3,703 14,744 15,499

Goodwill

Goodwill	6 Months Ended
	Jun. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill. The summary of changes in goodwill is as follows. Title Ancillary Services and Corporate Consolidated Total ($000 omitted) Balances at December 31, 2020 361,433 70,044 431,477 Acquisitions 102,546 20,202 122,748 Purchase accounting adjustments (4,492) 258 (4,234) Balances at June 30, 2021 459,487 90,504 549,991

Estimated title losses

Estimated title losses	6 Months Ended
	Jun. 30, 2021
Insurance [Abstract]
Estimated title losses	Estimated title losses. A summary of estimated title losses for the six months ended June 30 is as follows: 2021 2020 ($000 omitted) Balances at January 1 496,275 459,053 Provisions: Current year 61,147 39,811 Previous policy years 1,195 361 Total provisions 62,342 40,172 Payments, net of recoveries: Current year (7,682) (5,420) Previous policy years (28,438) (33,516) Total payments, net of recoveries (36,120) (38,936) Effects of changes in foreign currency exchange rates 2,486 (4,264) Balances at June 30 524,983 456,025 Loss ratios as a percentage of title operating revenues: Current year provisions 4.5 % 4.3 % Total provisions 4.6 % 4.3 % Provisions in the first six months of 2021 increased compared to the same period in 2020, primarily as a result of increased title revenues, while the effect of changes in foreign currency exchange rates for the first six months of 2021 and 2020 were primarily influenced by the appreciation and depreciation, respectively, of the Canadian dollar against the U.S. dollar during those periods.

Share-based payments

Share-based payments	6 Months Ended
	Jun. 30, 2021
Share-based Payment Arrangement [Abstract]
Share-based payments	Share-based payments. As part of its incentive compensation program for executives and senior management employees, the Company provides share-based awards, which include time-based restricted units, performance-based restricted stock units, and stock options. Each restricted stock unit represents a contractual right to receive a share of the Company's common stock. The time-based units vest on each of the first three The stock options vest on each of the first three anniversaries of the grant date at a rate of 20%, 30% and 50%, chronologically, and expire 10 years after the grant date. Each vested stock option can be exercised to purchase a share of the Company's common stock at the strike price set by the Company at the grant date. The compensation expense associated with the share-based awards is calculated based on the fair value of the related award and recognized over the corresponding vesting period.

Earnings per share

Earnings per share	6 Months Ended
	Jun. 30, 2021
Earnings Per Share [Abstract]
Earnings per share	Earnings per share. Basic earnings per share (EPS) attributable to Stewart is calculated by dividing net income attributable to Stewart by the weighted-average number of shares of Common Stock outstanding during the reporting periods. Outstanding shares of Common Stock granted to employees that are not yet vested (restricted shares) are excluded from the calculation of the weighted-average number of shares outstanding for calculating basic EPS. To calculate diluted EPS, the number of shares is adjusted to include the number of additional shares that would have been outstanding if restricted units and shares were vested and stock options were exercised. In periods of loss, dilutive shares are excluded from the calculation of the diluted EPS and diluted EPS is computed in the same manner as basic EPS. The calculation of the basic and diluted EPS is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted, except per share) Numerator: Net income attributable to Stewart 94,819 34,146 149,055 39,322 Denominator (000): Basic average shares outstanding 26,798 23,656 26,767 23,647 Average number of dilutive shares relating to options 189 — 154 — Average number of dilutive shares relating to grants of restricted units and shares 136 100 117 110 Diluted average shares outstanding 27,123 23,756 27,038 23,757 Basic earnings per share attributable to Stewart 3.54 1.44 5.57 1.66 Diluted earnings per share attributable to Stewart 3.50 1.44 5.51 1.66

Contingent liabilities and comm

Contingent liabilities and commitments	6 Months Ended
	Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Contingent liabilities and commitments	Contingent liabilities and commitments. In the ordinary course of business, the Company guarantees the third-party indebtedness of certain of its consolidated subsidiaries. As of June 30, 2021, the maximum potential future payments on the guarantees are not more than the related notes payable recorded in the condensed consolidated balance sheets. The Company also guarantees the indebtedness related to lease obligations of certain of its consolidated subsidiaries. The maximum future obligations arising from these lease-related guarantees are not more than the Company’s future lease obligations, as presented on the condensed consolidated balance sheets, plus lease operating expenses. As of June 30, 2021, the Company also had unused letters of credit aggregating $4.9 million related to workers’ compensation and other insurance. The Company does not expect to make any payments on these guarantees.

Regulatory and legal developmen

Regulatory and legal developments	6 Months Ended
	Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Regulatory and legal developments	Regulatory and legal developments. The Company is subject to claims and lawsuits arising in the ordinary course of its business, most of which involve disputed policy claims. In some of these lawsuits, the plaintiffs seek exemplary or treble damages in excess of policy limits. The Company does not expect that any of these ordinary course proceedings will have a material adverse effect on its consolidated financial condition or results of operations. The Company believes that it has adequate reserves for the various litigation matters and contingencies referred to in this paragraph and that the likely resolution of these matters will not materially affect its consolidated financial condition or results of operations. The Company is subject to non-ordinary course of business claims or lawsuits from time to time. To the extent the Company is currently the subject of these types of lawsuits, the Company has determined either that a loss is not reasonably possible or that the estimated loss or range of loss, if any, will not have a material adverse effect on the Company’s financial condition, results of operations or cash flows. Additionally, the Company occasionally receives various inquiries from governmental regulators concerning practices in the insurance industry. Many of these practices do not concern title insurance. To the extent the Company is in receipt of such inquiries, it believes that, where appropriate, it has adequately reserved for these matters and does not anticipate that the outcome of these inquiries will materially affect its consolidated financial condition or results of operations.

Segment information

Segment information	6 Months Ended
	Jun. 30, 2021
Segment Reporting [Abstract]
Segment information	Segment information. The Company reports two operating segments: title and ancillary services and corporate . The title segment provides services needed to transfer title to property in a real estate transaction and includes services such as searching, examining, closing and insuring the condition of the title to the property. In addition, the title segment includes home and personal insurance services, Internal Revenue Code Section 1031 tax-deferred exchanges, and digital customer engagement platform services. The ancillary services and corporate segment includes appraisal management services, search and valuation services, and online notarization and closing solutions, which are the principal offerings of ancillary services, expenses of the parent holding company, and certain other enterprise-wide overhead costs (net of centralized administrative services costs allocated to respective operating businesses). Selected statement of income information related to these segments is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Title segment: Revenues 753,119 504,436 1,385,704 938,875 Depreciation and amortization 4,709 3,733 9,022 7,554 Income before taxes and noncontrolling interest 125,671 54,795 202,761 69,629 Ancillary services and corporate segment: Revenues 65,690 11,669 121,691 17,130 Depreciation and amortization 2,110 328 4,227 738 Income (loss) before taxes 3,785 (5,775) 697 (11,340) Consolidated Stewart: Revenues 818,809 516,105 1,507,395 956,005 Depreciation and amortization 6,819 4,061 13,249 8,292 Income before taxes and noncontrolling interest 129,456 49,020 203,458 58,289 The Company does not provide asset information by reportable operating segment as it does not routinely evaluate the asset position by segment. Revenues generated in the United States and all international operations are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) United States 762,344 489,945 1,414,926 904,072 International 56,465 26,160 92,469 51,933 818,809 516,105 1,507,395 956,005

Other comprehensive income (los

Other comprehensive income (loss)	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
Other comprehensive income (loss)	Other comprehensive income (loss). Changes in the balances of each component of other comprehensive income (loss) and the related tax effects are as follows: Three Months Ended Three Months Ended Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount ($000 omitted) Net unrealized gains and losses on investments: Change in net unrealized gains and losses on investments 1,277 268 1,009 21,159 4,444 16,715 Reclassification adjustment for realized gains and losses on investments (529) (111) (418) (27) (6) (21) 748 157 591 21,132 4,438 16,694 Foreign currency translation adjustments 1,760 381 1,379 5,174 980 4,194 Other comprehensive income 2,508 538 1,970 26,306 5,418 20,888 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount ($000 omitted) Net unrealized gains and losses on investments: Change in net unrealized gains and losses on investments (10,312) (2,165) (8,147) 17,892 3,757 14,135 Reclassification adjustment for realized gains and losses on investments (713) (150) (563) (128) (27) (101) (11,025) (2,315) (8,710) 17,764 3,730 14,034 Foreign currency translation adjustments 4,111 865 3,246 (8,485) (1,237) (7,248) Other comprehensive income (loss) (6,914) (1,450) (5,464) 9,279 2,493 6,786

Interim financial statements (P

Interim financial statements (Policies)	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Management's responsibility	Management’s responsibility. The accompanying interim financial statements were prepared by management, who is responsible for their integrity and objectivity. These financial statements have been prepared in conformity with the United States (U.S.) generally accepted accounting principles (GAAP), including management’s best judgments and estimates. In the opinion of management, all adjustments necessary for a fair presentation of this information for all interim periods, consisting only of normal recurring accruals, have been made. The Company’s results of operations for interim periods are not necessarily indicative of results for a full year and actual results could differ.
Consolidation	Consolidation. The condensed consolidated financial statements include all subsidiaries in which the Company owns more than 50% voting rights in electing directors. All significant intercompany amounts and transactions have been eliminated and provisions have been made for noncontrolling interests. Unconsolidated investees, in which the Company typically owns from 20% to 50% of the voting stock, are accounted for using the equity method.
Restrictions on cash and investments	Restrictions on cash and investments. The Company maintains investments in accordance with certain statutory requirements for the funding of statutory premium reserves. Statutory reserve funds are required to be fully funded and invested in high-quality securities and short-term investments. Statutory reserve funds are not available for current claim payments, which must be funded from current operating cash flow.Although these cash statutory reserve funds are not restricted or segregated in depository accounts, they are required to be held pursuant to state statutes. If the Company fails to maintain minimum investments or cash and cash equivalents sufficient to meet statutory requirements, the Company may be subject to fines or other penalties, including potential revocation of its business license. These funds are not available for any other purpose. In the event that insurance regulators adjust the determination of the statutory premium reserves of the Company’s title insurers, these restricted funds as well as statutory surplus would correspondingly increase or decrease.
Fair value measurement	Fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal, or most advantageous, market for the asset or liability in an orderly transaction between market participants at the measurement date. Under U.S. GAAP, there is a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs when possible. The three levels of inputs used to measure fair value are as follows: • Level 1 – quoted prices in active markets for identical assets or liabilities; • Level 2 – observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and • Level 3 – unobservable inputs that are supported by little or no market activity and that are significant to the fair values of the assets or liabilities, including certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs.

Revenues (Tables)

Revenues (Tables)	6 Months Ended
	Jun. 30, 2021
Revenue from Contract with Customer [Abstract]
Summary of operating revenues	The Company's operating revenues, summarized by type, are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Title insurance premiums: Direct 243,638 149,745 438,631 288,028 Agency 390,330 277,387 736,261 519,417 Escrow fees 63,534 41,433 120,183 74,519 Appraisal management, abstract and other ancillary services 80,712 22,829 149,332 38,906 Other revenues 23,811 15,362 38,985 31,659 802,025 506,756 1,483,392 952,529

Investments in debt and equit_2

Investments in debt and equity securities (Tables)	6 Months Ended
	Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Investments in debt securities	The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 The amortized costs and fair values of investments in debt securities are as follows: June 30, 2021 December 31, 2020 Amortized costs Fair values Amortized costs Fair values ($000 omitted) Municipal 40,466 42,462 45,138 47,603 Corporate 291,413 305,229 285,962 305,450 Foreign 275,764 280,861 261,748 271,711 U.S. Treasury Bonds 6,570 6,610 6,564 6,622 614,213 635,162 599,412 631,386 Proceeds from sales of investments in securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Proceeds from sales of debt securities 11,634 3,270 14,571 14,773 Proceeds from sales of equity securities 59 433 173 726 Total proceeds from sales of investments in securities 11,693 3,703 14,744 15,499
Investments in equity securities	The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 Investment gains and losses recognized related to investments in equity securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Net investment gains (losses) recognized on equity securities during the period 3,780 3,966 9,361 (7,095) Less: Net realized gains (losses) on equity securities sold during the period 35 (400) 43 (907) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188)
Gross unrealized gains and losses	Gross unrealized gains and losses on investments in debt securities are as follows: June 30, 2021 December 31, 2020 Gains Losses Gains Losses ($000 omitted) Municipal 1,997 1 2,465 — Corporate 14,320 504 19,594 106 Foreign 5,767 670 10,024 61 U.S. Treasury Bonds 65 25 82 24 22,149 1,200 32,165 191
Debt securities according to contractual terms	Debt securities as of June 30, 2021 mature, according to their contractual terms, as follows (actual maturities may differ due to call or prepayment rights): Amortized costs Fair values ($000 omitted) In one year or less 59,019 59,695 After one year through five years 375,721 385,551 After five years through ten years 148,716 156,299 After ten years 30,757 33,617 614,213 635,162
Gross unrealized losses on investments and fair values of related securities	Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2021, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal 1 96 — — 1 96 Corporate 504 31,489 — — 504 31,489 Foreign 645 74,153 25 254 670 74,407 U.S. Treasury Bonds 1 109 24 1,022 25 1,131 1,151 105,847 49 1,276 1,200 107,123 Gross unrealized losses on investments in debt securities and the fair values of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2020, were: Less than 12 months More than 12 months Total Losses Fair values Losses Fair values Losses Fair values ($000 omitted) Municipal — — — — — — Corporate 106 13,518 — — 106 13,518 Foreign 40 2,912 21 254 61 3,166 U.S. Treasury Bonds — — 24 1,022 24 1,022 146 16,430 45 1,276 191 17,706

Fair value measurements (Tables

Fair value measurements (Tables)	6 Months Ended
	Jun. 30, 2021
Fair Value Disclosures [Abstract]
Financial instruments measured at fair value on recurring basis	As of June 30, 2021, financial instruments measured at fair value on a recurring basis are summarized below: Level 1 Level 2 Fair value measurements ($000 omitted) Investments in securities: Debt securities: Municipal — 42,462 42,462 Corporate — 305,229 305,229 Foreign — 280,861 280,861 U.S. Treasury Bonds — 6,610 6,610 Equity securities 76,236 — 76,236 76,236 635,162 711,398 As of December 31, 2020, financial instruments measured at fair value on a recurring basis are summarized below: Level 1 Level 2 Fair value measurements ($000 omitted) Investments in securities: Debt securities: Municipal — 47,603 47,603 Corporate — 305,450 305,450 Foreign — 271,711 271,711 U.S. Treasury Bonds — 6,622 6,622 Equity securities 53,001 — 53,001 53,001 631,386 684,387

Net realized and unrealized g_2

Net realized and unrealized gains (losses) (Tables)	6 Months Ended
	Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Gross realized investment and other gains and losses	Realized and unrealized gains and losses are detailed as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Realized gains 7,909 1,355 8,080 1,508 Realized losses — (657) (2,469) (1,347) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188) 11,654 5,064 14,929 (6,027)
Investments in equity securities still held	The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 Investment gains and losses recognized related to investments in equity securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Net investment gains (losses) recognized on equity securities during the period 3,780 3,966 9,361 (7,095) Less: Net realized gains (losses) on equity securities sold during the period 35 (400) 43 (907) Net unrealized investment gains (losses) recognized on equity securities still held at end of period 3,745 4,366 9,318 (6,188)
Proceeds from sale of investments in securities	The total fair values of the Company's investments in debt and equity securities are as follows: June 30, 2021 December 31, 2020 ($000 omitted) Investments in: Debt securities 635,162 631,386 Equity securities 76,236 53,001 711,398 684,387 The amortized costs and fair values of investments in debt securities are as follows: June 30, 2021 December 31, 2020 Amortized costs Fair values Amortized costs Fair values ($000 omitted) Municipal 40,466 42,462 45,138 47,603 Corporate 291,413 305,229 285,962 305,450 Foreign 275,764 280,861 261,748 271,711 U.S. Treasury Bonds 6,570 6,610 6,564 6,622 614,213 635,162 599,412 631,386 Proceeds from sales of investments in securities are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Proceeds from sales of debt securities 11,634 3,270 14,571 14,773 Proceeds from sales of equity securities 59 433 173 726 Total proceeds from sales of investments in securities 11,693 3,703 14,744 15,499

Goodwill (Tables)

Goodwill (Tables)	6 Months Ended
	Jun. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of goodwill	The summary of changes in goodwill is as follows. Title Ancillary Services and Corporate Consolidated Total ($000 omitted) Balances at December 31, 2020 361,433 70,044 431,477 Acquisitions 102,546 20,202 122,748 Purchase accounting adjustments (4,492) 258 (4,234) Balances at June 30, 2021 459,487 90,504 549,991

Estimated title losses (Tables)

Estimated title losses (Tables)	6 Months Ended
	Jun. 30, 2021
Insurance [Abstract]
Summary of estimated title losses	A summary of estimated title losses for the six months ended June 30 is as follows: 2021 2020 ($000 omitted) Balances at January 1 496,275 459,053 Provisions: Current year 61,147 39,811 Previous policy years 1,195 361 Total provisions 62,342 40,172 Payments, net of recoveries: Current year (7,682) (5,420) Previous policy years (28,438) (33,516) Total payments, net of recoveries (36,120) (38,936) Effects of changes in foreign currency exchange rates 2,486 (4,264) Balances at June 30 524,983 456,025 Loss ratios as a percentage of title operating revenues: Current year provisions 4.5 % 4.3 % Total provisions 4.6 % 4.3 %

Earnings per share (Tables)

Earnings per share (Tables)	6 Months Ended
	Jun. 30, 2021
Earnings Per Share [Abstract]
Schedule of earnings per share, basic and diluted	The calculation of the basic and diluted EPS is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted, except per share) Numerator: Net income attributable to Stewart 94,819 34,146 149,055 39,322 Denominator (000): Basic average shares outstanding 26,798 23,656 26,767 23,647 Average number of dilutive shares relating to options 189 — 154 — Average number of dilutive shares relating to grants of restricted units and shares 136 100 117 110 Diluted average shares outstanding 27,123 23,756 27,038 23,757 Basic earnings per share attributable to Stewart 3.54 1.44 5.57 1.66 Diluted earnings per share attributable to Stewart 3.50 1.44 5.51 1.66

Segment information (Tables)

Segment information (Tables)	6 Months Ended
	Jun. 30, 2021
Segment Reporting [Abstract]
Selected statement of operations and income (loss) information related to segments	Selected statement of income information related to these segments is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) Title segment: Revenues 753,119 504,436 1,385,704 938,875 Depreciation and amortization 4,709 3,733 9,022 7,554 Income before taxes and noncontrolling interest 125,671 54,795 202,761 69,629 Ancillary services and corporate segment: Revenues 65,690 11,669 121,691 17,130 Depreciation and amortization 2,110 328 4,227 738 Income (loss) before taxes 3,785 (5,775) 697 (11,340) Consolidated Stewart: Revenues 818,809 516,105 1,507,395 956,005 Depreciation and amortization 6,819 4,061 13,249 8,292 Income before taxes and noncontrolling interest 129,456 49,020 203,458 58,289
Revenues generated in domestic and all international operations	Revenues generated in the United States and all international operations are as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 ($000 omitted) United States 762,344 489,945 1,414,926 904,072 International 56,465 26,160 92,469 51,933 818,809 516,105 1,507,395 956,005

Other comprehensive income (l_2

Other comprehensive income (loss) (Tables)	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
Schedule of changes in the balances of each component of other comprehensive income (loss)	Changes in the balances of each component of other comprehensive income (loss) and the related tax effects are as follows: Three Months Ended Three Months Ended Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount ($000 omitted) Net unrealized gains and losses on investments: Change in net unrealized gains and losses on investments 1,277 268 1,009 21,159 4,444 16,715 Reclassification adjustment for realized gains and losses on investments (529) (111) (418) (27) (6) (21) 748 157 591 21,132 4,438 16,694 Foreign currency translation adjustments 1,760 381 1,379 5,174 980 4,194 Other comprehensive income 2,508 538 1,970 26,306 5,418 20,888 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount Before-Tax Amount Tax Expense (Benefit) Net-of-Tax Amount ($000 omitted) Net unrealized gains and losses on investments: Change in net unrealized gains and losses on investments (10,312) (2,165) (8,147) 17,892 3,757 14,135 Reclassification adjustment for realized gains and losses on investments (713) (150) (563) (128) (27) (101) (11,025) (2,315) (8,710) 17,764 3,730 14,034 Foreign currency translation adjustments 4,111 865 3,246 (8,485) (1,237) (7,248) Other comprehensive income (loss) (6,914) (1,450) (5,464) 9,279 2,493 6,786

Interim financial statements -

Interim financial statements - Additional Information (Details) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Accounting Policies [Abstract]
Investments restricted for statutory reserve funds	$ 517.8	$ 496.6
Restricted cash and cash equivalent	$ 16.6	$ 20

Revenues (Details)

Revenues (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Disaggregation of Revenue [Line Items]
Revenues	$ 802,025	$ 506,756	$ 1,483,392	$ 952,529
Direct
Disaggregation of Revenue [Line Items]
Revenues	243,638	149,745	438,631	288,028
Agency
Disaggregation of Revenue [Line Items]
Revenues	390,330	277,387	736,261	519,417
Escrow fees
Disaggregation of Revenue [Line Items]
Revenues	63,534	41,433	120,183	74,519
Appraisal management, abstract and other ancillary services
Disaggregation of Revenue [Line Items]
Revenues	80,712	22,829	149,332	38,906
Other revenues
Disaggregation of Revenue [Line Items]
Revenues	$ 23,811	$ 15,362	$ 38,985	$ 31,659

Investments in debt and equit_3

Investments in debt and equity securities - Investments in Debt and Equity Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Debt securities	$ 635,162	$ 631,386
Equity securities	76,236	53,001
Investments in debt and equity securities	$ 711,398	$ 684,387

Investments in debt and equit_4

Investments in debt and equity securities - Additional Information (Details) $ in Millions	Jun. 30, 2021USD ($)investment	Dec. 31, 2020USD ($)
Investments, Debt and Equity Securities [Abstract]
Net unrealized investment (losses) gains on equity securities held | $	$ 13.6	$ 4.4
Number of investments in an unrealized loss position	51
Number of investments in an unrealized loss positions for more than 12 months	3

Investments in debt and equit_5

Investments in debt and equity securities - Amortized Costs and Fair Values (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Debt Securities, Available-for-sale [Line Items]
Amortized costs	$ 614,213	$ 599,412
Fair values	635,162	631,386
Municipal
Debt Securities, Available-for-sale [Line Items]
Amortized costs	40,466	45,138
Fair values	42,462	47,603
Corporate
Debt Securities, Available-for-sale [Line Items]
Amortized costs	291,413	285,962
Fair values	305,229	305,450
Foreign
Debt Securities, Available-for-sale [Line Items]
Amortized costs	275,764	261,748
Fair values	280,861	271,711
U.S. Treasury Bonds
Debt Securities, Available-for-sale [Line Items]
Amortized costs	6,570	6,564
Fair values	$ 6,610	$ 6,622

Investments in debt and equit_6

Investments in debt and equity securities - Gross Unrealized Gains and Losses (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Debt Securities, Available-for-sale [Line Items]
Gains	$ 22,149	$ 32,165
Losses	1,200	191
Municipal
Debt Securities, Available-for-sale [Line Items]
Gains	1,997	2,465
Losses	1	0
Corporate
Debt Securities, Available-for-sale [Line Items]
Gains	14,320	19,594
Losses	504	106
Foreign
Debt Securities, Available-for-sale [Line Items]
Gains	5,767	10,024
Losses	670	61
U.S. Treasury Bonds
Debt Securities, Available-for-sale [Line Items]
Gains	65	82
Losses	$ 25	$ 24

Investments in debt and equit_7

Investments in debt and equity securities - Debt Securities According to Contractual Terms (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Amortized costs
In one year or less	$ 59,019
After one year through five years	375,721
After five years through ten years	148,716
After ten years	30,757
Amortized costs, total	614,213	$ 599,412
Fair values
In one year or less	59,695
After one year through five years	385,551
After five years through ten years	156,299
After ten years	33,617
Fair values, total	$ 635,162	$ 631,386

Investments in debt and equit_8

Investments in debt and equity securities - Gross Unrealized Losses on Investments and Fair Values of Related Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Losses
Less than 12 months	$ 1,151	$ 146
More than 12 months	49	45
Total	1,200	191
Fair values
Less than 12 months	105,847	16,430
More than 12 months	1,276	1,276
Total	107,123	17,706
Municipal
Losses
Less than 12 months	1	0
More than 12 months	0	0
Total	1	0
Fair values
Less than 12 months	96	0
More than 12 months	0	0
Total	96	0
Corporate
Losses
Less than 12 months	504	106
More than 12 months	0	0
Total	504	106
Fair values
Less than 12 months	31,489	13,518
More than 12 months	0	0
Total	31,489	13,518
Foreign
Losses
Less than 12 months	645	40
More than 12 months	25	21
Total	670	61
Fair values
Less than 12 months	74,153	2,912
More than 12 months	254	254
Total	74,407	3,166
U.S. Treasury Bonds
Losses
Less than 12 months	1	0
More than 12 months	24	24
Total	25	24
Fair values
Less than 12 months	109	0
More than 12 months	1,022	1,022
Total	$ 1,131	$ 1,022

Fair value measurements (Detail

Fair value measurements (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	$ 635,162	$ 631,386
Equity securities	76,236	53,001
Investments in debt and equity securities	711,398	684,387
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities	76,236	53,001
Investments in debt and equity securities	76,236	53,001
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity securities	0	0
Investments in debt and equity securities	635,162	631,386
Municipal
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	42,462	47,603
Municipal | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	0	0
Municipal | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	42,462	47,603
Corporate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	305,229	305,450
Corporate | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	0	0
Corporate | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	305,229	305,450
Foreign
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	280,861	271,711
Foreign | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	0	0
Foreign | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	280,861	271,711
U.S. Treasury Bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	6,610	6,622
U.S. Treasury Bonds | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	0	0
U.S. Treasury Bonds | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt securities	$ 6,610	$ 6,622

Net realized and unrealized g_3

Net realized and unrealized gains (losses) - Gross Realized and Unrealized Gains and Losses (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Realized gains	$ 7,909	$ 1,355	$ 8,080	$ 1,508
Realized losses	0	(657)	(2,469)	(1,347)
Net unrealized investment gains (losses) recognized on equity securities still held at end of period	3,745	4,366	9,318	(6,188)
Investment and other gains (losses) – net	$ 11,654	$ 5,064	$ 14,929	$ (6,027)

Net realized and unrealized g_4

Net realized and unrealized gains (losses) - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Gains on sales of buildings	$ 7.3
Gains from settlements of equity investments with no previously readily determinable fair values		$ 1.1
Loss on disposal of equity method investment			$ (2.5)

Net realized and unrealized g_5

Net realized and unrealized gains (losses) - Net Gains on Investments in Equity Securities Still Held (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Net investment gains (losses) recognized on equity securities during the period	$ 3,780	$ 3,966	$ 9,361	$ (7,095)
Less: Net realized gains (losses) on equity securities sold during the period	35	(400)	43	(907)
Net unrealized investment gains (losses) recognized on equity securities still held at end of period	$ 3,745	$ 4,366	$ 9,318	$ (6,188)

Net realized and unrealized g_6

Net realized and unrealized gains (losses) - Proceeds from the Sale of Investments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Proceeds from sales of debt securities	$ 11,634	$ 3,270	$ 14,571	$ 14,773
Proceeds from sales of equity securities	59	433	173	726
Total proceeds from sales of investments in securities	$ 11,693	$ 3,703	$ 14,744	$ 15,499

Goodwill (Details)

Goodwill (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2021USD ($)
Goodwill [Roll Forward]
Beginning balances	$ 431,477
Acquisitions	122,748
Purchase accounting adjustments	(4,234)
Ending balance	549,991
Title
Goodwill [Roll Forward]
Beginning balances	361,433
Acquisitions	102,546
Purchase accounting adjustments	(4,492)
Ending balance	459,487
Ancillary Services and Corporate
Goodwill [Roll Forward]
Beginning balances	70,044
Acquisitions	20,202
Purchase accounting adjustments	258
Ending balance	$ 90,504

Estimated title losses (Details

Estimated title losses (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Balances at beginning of period	$ 496,275	$ 459,053
Provisions:
Current year	61,147	39,811
Previous policy years	1,195	361
Total provisions	62,342	40,172
Payments, net of recoveries:
Current year	(7,682)	(5,420)
Previous policy years	(28,438)	(33,516)
Total payments, net of recoveries	(36,120)	(38,936)
Effects of changes in foreign currency exchange rates	2,486	(4,264)
Balances at end of period	$ 524,983	$ 456,025
Loss ratios as a percentage of title operating revenues:
Current year provisions	4.50%	4.30%
Total provisions	4.60%	4.30%

Share-based payments (Details)

Share-based payments (Details) - USD ($) $ / shares in Units, $ in Millions	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of options granted in the period	$ 1.3	$ 3.4
Number of options granted in the period (in shares)	139,000	650,000
Average grant price (in usd per share)	$ 9.24	$ 5.32
Strike price (USD per share)	$ 53.24	$ 39.76
Time-based shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years
Performance-based shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award service period	3 years
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expiration period	10 years
Stock options | Tranche one
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage	20.00%
Stock options | Tranche two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage	30.00%
Stock options | Tranche three
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage	50.00%
Restricted stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate fair value at grant date	$ 8.9	$ 2.4
Share-based incentives, shares issued	166,000	60,000
Average grant price (in usd per share)	$ 53.71	$ 39.76

Earnings per share (Details)

Earnings per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Numerator:
Net income attributable to Stewart	$ 94,819	$ 34,146	$ 149,055	$ 39,322
Denominator
Basic average shares outstanding (in shares)	26,798	23,656	26,767	23,647
Average number of dilutive shares relating to options (in shares)	189	0	154	0
Average number of dilutive shares relating to grants of restricted units and shares (in shares)	136	100	117	110
Diluted average shares outstanding (in shares)	27,123	23,756	27,038	23,757
Basic earnings per share attributable to Stewart (in usd per share)	$ 3.54	$ 1.44	$ 5.57	$ 1.66
Diluted earnings per share attributable to Stewart (in usd per share)	$ 3.50	$ 1.44	$ 5.51	$ 1.66

Contingent liabilities and co_2

Contingent liabilities and commitments (Details) $ in Millions	Jun. 30, 2021USD ($)
Commitments and Contingencies Disclosure [Abstract]
Guarantee of indebtedness, relating to unused letters of credit	$ 4.9

Segment information - Additiona

Segment information - Additional Information (Details)	3 Months Ended
	Jun. 30, 2021segment
Segment Reporting [Abstract]
Number of operating segments	2

Segment information - Selected

Segment information - Selected Statement of Operations and Income (Loss) Information Related to Segments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Segment Reporting Information [Line Items]
Revenues	$ 818,809	$ 516,105	$ 1,507,395	$ 956,005
Depreciation and amortization	6,819	4,061	13,249	8,292
Income (loss) before taxes	129,456	49,020	203,458	58,289
Title segment
Segment Reporting Information [Line Items]
Revenues	753,119	504,436	1,385,704	938,875
Depreciation and amortization	4,709	3,733	9,022	7,554
Income (loss) before taxes	125,671	54,795	202,761	69,629
Ancillary services and corporate segment
Segment Reporting Information [Line Items]
Revenues	65,690	11,669	121,691	17,130
Depreciation and amortization	2,110	328	4,227	738
Income (loss) before taxes	$ 3,785	$ (5,775)	$ 697	$ (11,340)

Segment information - Revenues

Segment information - Revenues Generated in United States and All International Operations (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Segment Reporting Information [Line Items]
Revenues	$ 818,809	$ 516,105	$ 1,507,395	$ 956,005
United States
Segment Reporting Information [Line Items]
Revenues	762,344	489,945	1,414,926	904,072
International
Segment Reporting Information [Line Items]
Revenues	$ 56,465	$ 26,160	$ 92,469	$ 51,933

Other comprehensive income (l_3

Other comprehensive income (loss) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Before-Tax Amount
Other comprehensive income (loss)	$ 2,508	$ 26,306	$ (6,914)	$ 9,279
Tax Expense (Benefit)
Other comprehensive income (loss)	538	5,418	(1,450)	2,493
Net-of-Tax Amount
Other comprehensive income (loss), net of taxes:	1,970	20,888	(5,464)	6,786
Net unrealized gains and losses on investments
Before-Tax Amount
Change in net unrealized gains and losses on investments	1,277	21,159	(10,312)	17,892
Reclassification adjustment for realized gains and losses on investments	(529)	(27)	(713)	(128)
Other comprehensive income (loss)	748	21,132	(11,025)	17,764
Tax Expense (Benefit)
Change in net unrealized gains and losses on investments	268	4,444	(2,165)	3,757
Reclassification adjustment for realized gains and losses on investments	(111)	(6)	(150)	(27)
Other comprehensive income (loss)	157	4,438	(2,315)	3,730
Net-of-Tax Amount
Change in net unrealized gains and losses on investments	1,009	16,715	(8,147)	14,135
Reclassification adjustment for realized gains and losses on investments	(418)	(21)	(563)	(101)
Other comprehensive income (loss), net of taxes:	591	16,694	(8,710)	14,034
Foreign currency translation adjustments
Before-Tax Amount
Other comprehensive income (loss)	1,760	5,174	4,111	(8,485)
Tax Expense (Benefit)
Other comprehensive income (loss)	381	980	865	(1,237)
Net-of-Tax Amount
Other comprehensive income (loss), net of taxes:	$ 1,379	$ 4,194	$ 3,246	$ (7,248)