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FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)
 12 Months Ended
Dec. 31, 2017
Fair Value Disclosures [Abstract]  
Carrying Value and Estimated Fair Value of Financial Instruments
A summary of the carrying value and estimated fair value of our financial instruments from continuing operations at December 31, 2017 and 2016 is as follows:
 
December 31, 2017
 
December 31, 2016
 
Fair Value
 
Carrying Value
 
Fair Value
 
Carrying Value
Assets
 
 
 
 
 
 
 
Investments
 
 
 
 
 
 
 
Fixed maturities:
 
 
 
 
 
 
 
Held-to-maturity securities
$
150

 
$
150

 
$
150

 
$
150

Available-for-sale securities
1,535,070

 
1,535,070

 
1,453,286

 
1,453,286

Trading securities
16,842

 
16,842

 
14,390

 
14,390

Equity securities:
 
 
 
 
 
 
 
Available-for-sale securities
280,913

 
280,913

 
246,370

 
246,370

Trading securities
6,431

 
6,431

 
5,644

 
5,644

Other long-term investments
49,352

 
49,352

 
51,769

 
51,769

Short-term investments
175

 
175

 
175

 
175

Cash and cash equivalents
95,562

 
95,562

 
89,194

 
89,194

Corporate-owned life insurance
4,029

 
4,029

 
2,592

 
2,592




A summary of the carrying value and estimated fair value of our financial instruments from discontinued operations at December 31, 2017 and 2016 is as follows:
 
December 31, 2017
 
December 31, 2016
 
Fair Value
 
Carrying Value
 
Fair Value
 
Carrying Value
Assets
 
 
 
 
 
 
 
Investments
 
 
 
 
 
 
 
Fixed maturities:
 
 
 
 
 
 
 
Held-to-maturity securities
$
34

 
$
34

 
$
49

 
$
48

Available-for-sale securities
1,430,025

 
1,430,025

 
1,444,840

 
1,444,840

Equity securities:
 
 
 
 
 
 
 
Available-for-sale securities
23,653

 
23,653

 
24,046

 
24,046

Mortgage loans
3,594

 
3,435

 
3,895

 
3,706

Policy loans
5,815

 
5,815

 
5,366

 
5,366

Other long-term investments
16,437

 
16,437

 
15,870

 
15,870

Cash and cash equivalents
15,851

 
15,851

 
21,659

 
21,659

Liabilities
 
 
 
 
 
 
 
Policy reserves
 
 
 
 
 
 
 
Annuity (accumulations) (1)
$
591,702

 
$
611,866

 
$
646,764

 
$
666,711

Annuity (benefit payments)
147,038

 
93,560

 
144,283

 
95,129
Financial Instruments Measured at Fair Value on Recurring Basis
The following tables present the categorization for our financial instruments measured at fair value on a recurring basis. The table include financial instruments from both continuing and discontinued operations at December 31, 2017 and 2016:
 
 
 
Fair Value Measurements
Description
December 31, 2017
 
Level 1
 
Level 2
 
Level 3
AVAILABLE-FOR-SALE
 
 
 
 
 
 
 
Fixed maturities
 
 
 
 
 
 
 
Bonds
 
 
 
 
 
 
 
U.S. Treasury
$
16,891

 
$
—

 
$
16,891

 
$
—

U.S. government agency
122,168

 
—

 
122,168

 
—

States, municipalities and political subdivisions
 
 
 
 
 
 
 
General obligations
 
 
 
 
 
 
 
   Midwest
109,696

 
—

 
109,696

 
—

   Northeast
48,641

 
—

 
48,641

 
—

   South
141,519

 
—

 
141,519

 
—

   West
113,011

 
—

 
113,011

 
—

Special revenue
 
 
 
 
 
 
 
   Midwest
158,744

 
—

 
158,744

 
—

   Northeast
79,760

 
—

 
79,760

 
—

   South
263,512

 
—

 
263,512

 
—

   West
158,307

 
—

 
158,307

 
—

Foreign bonds
52,753

 
—

 
52,753

 
—

Public utilities
209,144

 
—

 
209,144

 
—

Corporate bonds
 
 
 
 
 
 
 
Energy
95,053

 
—

 
95,053

 
—

Industrials
221,707

 
—

 
221,707

 
—

Consumer goods and services
186,257

 
—

 
185,589

 
668

Health care
75,408

 
—

 
75,408

 
—

Technology, media and telecommunications
148,979

 
—

 
148,979

 
—

Financial services
283,151

 
—

 
275,474

 
7,677

Mortgage-backed securities
13,691

 
—

 
13,691

 
—

Collateralized mortgage obligations
 
 
 
 
 
 
 
Government national mortgage association
157,483

 
—

 
157,483

 
—

Federal home loan mortgage corporation
199,152

 
—

 
199,152

 
—

Federal national mortgage association
105,432

 
—

 
105,432

 
—

Asset-backed securities
4,636

 
—

 
3,989

 
647

Total Available-For-Sale Fixed Maturities
$
2,965,095

 
$
—

 
$
2,956,103

 
$
8,992

Equity securities
 
 
 
 
 
 
 
Common stocks
 
 
 
 
 
 
 
Public utilities
$
22,439

 
$
22,439

 
$
—

 
$
—

Energy
14,565

 
14,565

 
—

 
—

Industrials
66,519

 
66,517

 
2

 
—

Consumer goods and services
25,688

 
25,688

 
—

 
—

Health care
40,103

 
40,103

 
—

 
—

Technology, media and telecommunications
17,508

 
17,508

 
—

 
—

Financial services
116,447

 
116,447

 
—

 
—

Nonredeemable preferred stocks
1,297

 
415

 
—

 
882

Total Available-for-Sale Equity Securities
$
304,566

 
$
303,682

 
$
2

 
$
882

Total Available-for-Sale Securities
$
3,269,661

 
$
303,682

 
$
2,956,105

 
$
9,874

TRADING
 
 
 
 
 
 
 
Fixed maturities
 
 
 
 
 
 
 
Bonds
 
 
 
 
 
 
 
Corporate bonds
 
 
 
 
 
 
 
Industrials
$
2,220

 
$
—

 
$
2,220

 
$
—

Consumer goods and services
1,535

 
—

 
1,535

 
—

Health care
3,741

 
—

 
3,741

 
—

Technology, media and telecommunications
1,221

 
—

 
1,221

 
—

Financial services
5,566

 
—

 
5,566

 
—

Redeemable preferred stocks
2,559

 
2,559

 
—

 
—

Equity securities
 
 
 
 
 
 
 
Public utilities
874

 
874

 
—

 
—

Energy
190

 
190

 
—

 
—

Industrials
989

 
989

 
—

 
—

Consumer goods and services
1,314

 
1,314

 
—

 
—

Health care
325

 
325

 
—

 
—

     Financial Services
198

 
198

 
—

 
—

Nonredeemable preferred stocks
2,541

 
2,541

 
—

 
—

Total Trading Securities
$
23,273

 
$
8,990

 
$
14,283

 
$
—

Short-Term Investments
$
175

 
$
175

 
$
—

 
$
—

Money Market Accounts
$
16,824

 
$
16,824

 
$
—

 
$
—

Corporate-Owned Life Insurance
$
4,029

 
$
—

 
$
4,029

 
$
—

Total Assets Measured at Fair Value
$
3,313,962

 
$
329,671

 
$
2,974,417

 
$
9,874


 
 
 
Fair Value Measurements
Description
December 31, 2016
 
Level 1
 
Level 2
 
Level 3
AVAILABLE-FOR-SALE
 
 
 
 
 
 
 
Fixed maturities
 
 
 
 
 
 
 
Bonds
 
 
 
 
 
 
 
U.S. Treasury
$
23,195

 
$
—

 
$
23,195

 
$
—

U.S. government agency
77,597

 
—

 
77,597

 
—

States, municipalities and political subdivisions
 
 
 
 
 
 
 
General obligations
 
 
 
 
 
 
 
   Midwest
144,143

 
—

 
144,143

 
—

   Northeast
58,409

 
—

 
58,409

 
—

   South
128,369

 
—

 
128,369

 
—

   West
113,731

 
—

 
113,731

 
—

Special revenue
 
 
 
 
 
 
 
   Midwest
168,310

 
—

 
168,142

 
168

   Northeast
68,065

 
—

 
68,065

 
—

   South
239,187

 
—

 
239,187

 
—

   West
131,744

 
—

 
131,744

 
—

Foreign bonds
65,234

 
—

 
65,234

 
—

Public utilities
215,674

 
—

 
215,674

 
—

Corporate bonds
 
 
 
 
 
 
 
Energy
108,860

 
—

 
108,860

 
—

Industrials
229,903

 
—

 
229,903

 
—

Consumer goods and services
181,687

 
—

 
180,590

 
1,097

Health care
83,123

 
—

 
83,123

 
—

Technology, media and telecommunications
144,612

 
—

 
144,612

 
—

Financial services
273,951

 
—

 
265,154

 
8,797

Mortgage-backed securities
17,248

 
—

 
17,248

 
—

Collateralized mortgage obligations
 
 
 
 
 
 
 
Government national mortgage association
144,460

 
—

 
144,460

 
—

Federal home loan mortgage corporation
174,458

 
—

 
174,458

 
—

Federal national mortgage association
101,896

 
—

 
101,896

 
—

Asset-backed securities
4,270

 
—

 
3,821

 
449

Total Available-For-Sale Fixed Maturities
$
2,898,126

 
$
—

 
$
2,887,615

 
$
10,511

Equity securities
 
 
 
 
 
 
 
Common stocks
 
 
 
 
 
 
 
Public utilities
$
19,671

 
$
19,671

 
$
—

 
$
—

Energy
15,047

 
15,047

 
—

 
—

Industrials
51,794

 
51,794

 
—

 
—

Consumer goods and services
24,117

 
24,117

 
—

 
—

Health care
27,420

 
27,420

 
—

 
—

Technology, media and telecommunications
15,369

 
15,369

 
—

 
—

Financial services
115,950

 
111,958

 
—

 
3,992

Nonredeemable preferred stocks
1,048

 
453

 
—

 
595

Total Available-for-Sale Equity Securities
$
270,416

 
$
265,829

 
$
—

 
$
4,587

Total Available-for-Sale Securities
$
3,168,542

 
$
265,829

 
$
2,887,615

 
$
15,098

TRADING
 
 
 
 
 
 
 
Fixed maturities
 
 
 
 
 
 
 
Bonds
 
 
 
 
 
 
 
Corporate bonds
 
 
 
 
 
 
 
Industrials
$
3,919

 
$
—

 
$
3,919

 
$
—

Consumer goods and services
127

 
—

 
127

 
—

Health care
3,410

 
—

 
3,410

 
—

Technology, media and telecommunications
787

 
—

 
787

 
—

Financial services
4,842

 
—

 
4,842

 
—

Redeemable preferred stocks
1,305

 
1,305

 
—

 
—

Equity securities
 
 
 
 
 
 
 
Public utilities
613

 
613

 
—

 
—

Energy
286

 
286

 
—

 
—

Industrials
877

 
877

 
—

 
—

Consumer goods and services
1,202

 
1,202

 
—

 
—

Health care
339

 
339

 
—

 
—

     Financial Services
206

 
206

 
—

 
—

Nonredeemable preferred stocks
2,121

 
2,121

 
—

 
—

Total Trading Securities
$
20,034

 
$
6,949

 
$
13,085

 
$
—

Short-Term Investments
$
175

 
$
175

 
$
—

 
$
—

Money Market Accounts
$
16,802

 
$
16,802

 
$
—

 
$
—

Corporate-Owned Life Insurance
$
2,592

 
$
—

 
$
2,592

 
$
—

Total Assets Measured at Fair Value
$
3,208,145

 
$
289,755

 
$
2,903,292

 
$
15,098






































The following tables are a reconciliation for both continuing and discontinued operations of the presentation of the categorization for our financial instruments measured at fair value on a recurring basis at December 31, 2017 and 2016:
December 31, 2017
 
 
Fair Value Measurements
Description
Total
 
Level 1
 
Level 2
 
Level 3
AVAILABLE-FOR-SALE
 
 
 
 
 
 
 
Fixed maturities:
 
 
 
 
 
 
 
Continuing operations
$
1,535,070

 
$
—

 
$
1,534,323

 
$
747

Discontinued operations
1,430,025

 
—

 
1,421,780

 
8,245

Total Available-for-Sale Fixed Maturities
$
2,965,095

 
$
—


$
2,956,103


$
8,992

Equity securities:

 
 
 
 
 
 
Continuing operations
$
280,913

 
$
280,031

 
$
—

 
$
882

Discontinued operations
23,653

 
23,651

 
2

 
—

Total Available-for-Sale Equity Securities
$
304,566

 
$
303,682


$
2


$
882

Total Available-for-Sale Securities
$
3,269,661

 
$
303,682


$
2,956,105


$
9,874

TRADING

 
 
 
 
 
 
Fixed maturities:

 
 
 
 
 
 
Continuing operations
$
16,842

 
$
2,559

 
$
14,283

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Equity securities:

 
 
 
 
 
 
Continuing operations
6,431

 
6,431

 
—

 
—

Discontinued operations
—

 
—

 
—

 
—

Total Trading Securities
$
23,273

 
$
8,990


$
14,283


$
—

SHORT-TERM INVESTMENTS

 
 
 
 
 
 
Continuing operations
$
175

 
$
175

 
$
—

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Short-Term Investments
$
175

 
$
175


$
—


$
—

MONEY MARKET ACCOUNTS

 
 
 
 
 
 
Continuing operations
$
6,147

 
$
6,147

 
$
—

 
$
—

Discontinued operations
10,677

 
10,677

 
—

 
—

Money Market Accounts
$
16,824

 
$
16,824


$
—


$
—

CORPORATE-OWNED LIFE INSURANCE

 
 
 
 
 
 
Continuing operations
$
4,029

 
$
—

 
$
4,029

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Corporate-Owned Life Insurance
$
4,029

 
$
—


$
4,029


$
—

Total Assets Measured at Fair Value
$
3,313,962

 
$
329,671


$
2,974,417


$
9,874

December 31, 2016
 
 
Fair Value Measurements
Description
Total
 
Level 1
 
Level 2
 
Level 3
AVAILABLE-FOR-SALE
 
 
 
 
 
 
 
Fixed maturities:
 
 
 
 
 
 
 
Continuing operations
$
1,453,286

 
$
—

 
$
1,452,737

 
$
549

Discontinued operations
1,444,840

 
—

 
1,434,878

 
9,962

Total Available-for-Sale Fixed Maturities
$
2,898,126

 
$
—


$
2,887,615


$
10,511

Equity securities:

 
 
 
 
 
 
Continuing operations
$
246,370

 
$
243,627

 
$
—

 
$
2,743

Discontinued operations
24,046

 
22,202

 
—

 
1,844

Total Available-for-Sale Equity Securities
$
270,416

 
$
265,829


$
—


$
4,587

Total Available-for-Sale Securities
$
3,168,542

 
$
265,829


$
2,887,615


$
15,098

TRADING

 
 
 
 
 
 
Fixed maturities:

 
 
 
 
 
 
Continuing operations
$
14,390

 
$
1,305

 
$
13,085

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Equity securities:

 
 
 
 
 
 
Continuing operations
5,644

 
5,644

 
—

 
—

Discontinued operations
—

 
—

 
—

 
—

Total Trading Securities
$
20,034

 
$
6,949


$
13,085


$
—

SHORT-TERM INVESTMENTS

 
 
 
 
 
 
Continuing operations
$
175

 
$
175

 
$
—

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Short-Term Investments
$
175

 
$
175


$
—


$
—

MONEY MARKET ACCOUNTS

 
 
 
 
 
 
Continuing operations
$
4,810

 
$
4,810

 
$
—

 
$
—

Discontinued operations
11,992

 
11,992

 
—

 
—

Money Market Accounts
$
16,802

 
$
16,802


$
—


$
—

CORPORATE-OWNED LIFE INSURANCE

 
 
 
 
 
 
Continuing operations
$
2,592

 
$
—

 
$
2,592

 
$
—

Discontinued operations
—

 
—

 
—

 
—

Corporate-Owned Life Insurance
$
2,592

 
$
—


$
2,592


$
—

Total Assets Measured at Fair Value
$
3,208,145

 
$
289,755


$
2,903,292


$
15,098
Summary of Changes in Fair Value of Level 3 Securities
The following table provides a summary of the changes in fair value of our Level 3 securities, from both continuing and discontinued operations for 2017:
 
States, municipalities and political subdivisions
 
Corporate bonds
 
Asset-backed securities
 
Equities
 
Total
Balance at January 1, 2017
$
168

 
$
9,894

 
$
449

 
$
4,587

 
$
15,098

Unrealized gains (losses) (1)
(8
)
 
(129
)
 
198

 
287

 
348

Purchases
—

 
100

 
—

 
145

 
245

Disposals
(160
)
 
(1,520
)
 
—

 
(4,137
)
 
(5,817
)
Balance at December 31, 2017
$
—

 
$
8,345

 
$
647

 
$
882

 
$
9,874


(1) Realized gains (losses) are recorded as a component of earnings, whereas unrealized gains (losses) are recorded as a component of comprehensive income.









The following table provides a summary of the changes in fair value of our Level 3 securities, from both continuing and discontinued operations for 2016:
 
States, municipalities and political subdivisions
 
Corporate bonds
 
Asset-backed securities
 
Equities
 
Total
Balance at January 1, 2016
$
343

 
$
10,895

 
$
1,036

 
$
3,978

 
$
16,252

Realized gains (losses) (1)
—

 
—

 
—

 
—

 
—

Unrealized gains (losses) (1)
(15
)
 
134

 
(39
)
 
—

 
80

Purchases
—

 
—

 
—

 
727

 
727

Disposals
(160
)
 
(1,135
)
 
(548
)
 
(118
)
 
(1,961
)
Balance at December 31, 2016
$
168

 
$
9,894

 
$
449

 
$
4,587

 
$
15,098

(1) Realized gains (losses) are recorded as a component of earnings, whereas unrealized gains (losses) are recorded as a component of comprehensive income.