4.	Reinsurance

Total premiums written and earned are summarized as follows (in thousands).

	Year Ended December 31,
	2016						2015						2014
	Written			Earned			Written			Earned			Written			Earned
Direct	$	262,110		$	265,256		$	247,498		$	233,652		$	200,983		$	191,093
Assumed		37,381			38,522			35,500			33,707			29,311			27,487
Ceded		(450	)		(450	)		(372	)		(372	)		(265	)		(265	)
Total	$	299,041		$	303,328		$	282,626		$	266,987		$	230,029		$	218,315

Assumed business represents private-passenger non-standard automobile insurance premiums in Texas written through a program with a county mutual insurance company and assumed by the Company through 100% quota-share reinsurance. The percentages of premiums assumed to net premiums written was 13% for each of the years ended December 31, 2016, 2015 and 2014, respectively.

The Insurance Companies utilize excess-of-loss reinsurance with an unaffiliated reinsurer to limit their exposure to losses under liability coverages for automobile policies issued with limits greater than the minimum statutory requirements and for tenant homeowner policies with higher liability limits. Although the reinsurance agreements contractually obligate the reinsurer to reimburse the Company for their share of losses, they do not discharge the primary liability of the Company, which remains contingently liable in the event the reinsurer is unable to meet their contractual obligations.

At December 31, 2016, the Insurance Companies had unsecured aggregate reinsurance receivables of $0.8 million.

Ceded premiums earned and reinsurance recoveries on losses and loss adjustment expenses were as follows (in thousands):

	Year Ended December 31,
	2016		2015		2014
Ceded premiums earned	$	450	$	372	$	265
Reinsurance recoveries on losses and loss adjustment expenses	$	589	$	239	$	137