Segment Information

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Segment Information

SEGMENT INFORMATION

We have two reportable business segments in our operations: property and casualty insurance and life insurance. The property and casualty insurance segment has seven domestic locations from which it conducts its business. The life insurance segment operates from our home office in Cedar Rapids, Iowa. Because all of our insurance is sold domestically, we have no revenues from foreign operations.

We evaluate the two segments on the basis of both statutory accounting principles prescribed or permitted by our states of domicile and GAAP. We analyze results based on profitability (i.e., loss ratios), expenses, and return on equity. The basis we use to determine and analyze segments and to measure segment profit or loss have not changed from that reported in our Annual Report on Form 10-K for the year ended December 31, 2015.

We have reconciled the amounts in the following table for the three-month periods ended September 30, 2016 and 2015 to the amounts reported in our unaudited Consolidated Financial Statements, adjusting for intersegment eliminations.

	Property and Casualty Insurance			Life Insurance			Total
As of and for the Three Months Ended September 30, 2016
Net premiums earned	$	239,469		$	20,600		$	260,069
Investment income, net of investment expenses	14,065			12,663			26,728
Net realized investment gains	2,129			461			2,590
Other income	—			145			145
Total reportable segment	$	255,663		$	33,869		$	289,532
Intersegment eliminations	(38		)	—			(38		)
Total revenues	$	255,625		$	33,869		$	289,494
Net income	$	11,628		$	740		$	12,368
Assets	$	2,468,258		$	1,638,779		$	4,107,037
Invested assets	$	1,735,153		$	1,517,996		$	3,253,149
As of and for the Three Months Ended September 30, 2015
Net premiums earned	$	218,993		$	20,627		$	239,620
Investment income, net of investment expenses	10,741			13,334			24,075
Net realized investment gains	732			234			966
Other income	—			123			123
Total reportable segment	$	230,466		$	34,318		$	264,784
Intersegment eliminations	(25		)	(199		)	(224		)
Total revenues	$	230,441		$	34,119		$	264,560
Net income	$	18,020		$	1,514		$	19,534
Assets	$	2,231,851		$	1,644,165		$	3,876,016
Invested assets	$	1,572,222		$	1,524,232		$	3,096,454

We have reconciled the amounts in the following table for the nine-month periods ended September 30, 2016 and 2015 to the amounts reported in our unaudited Consolidated Financial Statements, adjusting for intersegment eliminations.

	Property and Casualty Insurance			Life Insurance			Total
As of and for the Nine Months Ended September 30, 2016
Net premiums earned	$	691,976		$	62,878		$	754,854
Investment income, net of investment expenses	35,129			38,404			73,533
Net realized investment gains	4,832			1,409			6,241
Other income	—			436			436
Total reportable segment	$	731,937		$	103,127		$	835,064
Intersegment eliminations	(112		)	—			(112		)
Total revenues	$	731,825		$	103,127		$	834,952
Net income	$	37,083		$	826		$	37,909
Assets	$	2,468,258		$	1,638,779		$	4,107,037
Invested assets	$	1,735,153		$	1,517,996		$	3,253,149
As of and for the Nine Months Ended September 30, 2015
Net premiums earned	$	628,396		$	54,009		$	682,405
Investment income, net of investment expenses	33,610			40,623			74,233
Net realized investment gains	316			2,306			2,622
Other income	—			318			318
Total reportable segment	$	662,322		$	97,256		$	759,578
Intersegment eliminations	(28		)	(588		)	(616		)
Total revenues	$	662,294		$	96,668		$	758,962
Net income	$	54,420		$	3,811		$	58,231
Assets	$	2,231,851		$	1,644,165		$	3,876,016
Invested assets	$	1,572,222		$	1,524,232		$	3,096,454