Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes [Abstract]

The provision for income taxes

	Year Ended December 31,			Six Months Ended December 31,		Year Ended June 30,
	2012			2011		2011			2010
Federal:
Current	$	—		$	—	$	—		$	—
Deferred		—			—		—			—
		—			—		—			—
State:
Current		(8	)		146		296			441
Deferred		3			2		(98	)		—
		(5	)		148		198			441
	$	(5	)	$	148	$	198		$	441

The provision for income taxes differs from the amounts computed by applying the statutory federal corporate tax rate

	Year Ended December 31,			Six Months Ended December 31,			Year Ended June 30,
	2012			2011			2011			2010
Provision (benefit) for income taxes at statutory rate	$	(3,166	)	$	(10,251	)	$	(19,804	)	$	2,618
Tax effect of:
Tax-exempt investment income		(18	)		(2	)		(15	)		(16	)
Change in the beginning of the period balance of the valuation allowance for deferred tax assets allocated to federal income taxes		580			4,670			4,761			(5,278	)
Net operating loss carryforward expirations		1			—			735			2,483
Goodwill and identifiable intangible assets		—			5,545			14,084			—
Stock-based compensation		2,552			30			248			240
State income taxes, net of federal income tax benefit and valuation allowance		(5	)		148			198			441
Other		51			8			(9	)		(47	)
	$	(5	)	$	148		$	198		$	441

Summary of net deferred tax assets and liabilities

	December 31,
	2012			2011
Deferred tax assets:
Net operating loss carryforwards	$	13,091		$	8,924
Stock option compensation		1,704			4,334
Unearned premiums and loss and loss adjustment expense reserves		4,980			4,700
Goodwill and identifiable intangible assets		7,341			8,412
Alternative minimum tax (“AMT”) credit carryforwards		1,612			1,612
Accrued expenses and other nondeductible items		495			752
Other		3,456			3,304
		32,679			32,038
Deferred tax liabilities:
Deferred acquisition costs		(1,127	)		(1,135	)
Identifiable intangible assets		(1,872	)		(1,872	)
Net unrealized change on investments		(3,046	)		(3,588	)
		(6,045	)		(6,595	)
Total net deferred tax asset		26,634			25,443
Less: Valuation allowance		(28,413	)		(27,220	)
Net deferred tax liability	$	(1,779	)	$	(1,777	)