Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Schedule of Company's Deferred Income Tax Assets and Liabilities

The Company’s deferred income tax assets and liabilities are as follows:

	December 31,
	2014			2013
	(in thousands)
Deferred income tax assets:
Discounting of net unpaid loss and loss adjustment expenses	$	17,952		$	17,493
Unearned premiums		14,788			14,008
Accrued expenses and other		4,306			4,336
State income tax		591			—
Accrued policyholder dividends		438			684
Impaired securities		80			874
Accrued insurance-related assessments		4,804			3,989
Total deferred tax assets		42,959			41,384
Deferred income tax liabilities:
Deferred policy acquisition costs		(8,815	)		(7,937	)
Unrealized gain (loss) on securities available-for-sale		(1,513	)		2,313
Property and equipment and other		(331	)		(266	)
Salvage and subrogation		(289	)		(288	)
Guaranty fund related items		(780	)		(1,561	)
Total deferred income tax liabilities		(11,728	)		(7,739	)
Net deferred income taxes	$	31,231		$	33,645

Components of Consolidated Income Tax Expense (Benefit)

The components of consolidated income tax expense (benefit) are as follows:

	Year Ended December 31,
	2014			2013			2012
	(in thousands)
Current:
Federal	$	20,811		$	15,270		$	7,373
State		684			504			302
		21,495			15,774			7,675
Deferred:
Federal		(821	)		(207	)		115
State		(591	)		—			—
		(1,412	)		(207	)		115
Total	$	20,083		$	15,567		$	7,790

Income Tax Expense from Operations from the Amount Computed by Applying the U.S. Federal Income Tax Statutory Rate of 35% to Income Before Income Taxes

Income tax expense from operations is different from the amount computed by applying the U.S. federal income tax statutory rate of 35% to income before income taxes as follows:

	Year Ended December 31,
	2014			2013			2012
	(in thousands)
Income tax computed at federal statutory tax rate	$	25,812		$	20,721		$	13,000
Tax-exempt interest, net		(5,620	)		(5,458	)		(5,333	)
State income tax		(146	)		504			302
Dividends received deduction		(60	)		(113	)		(79	)
Other		97			(87	)		(100	)
	$	20,083		$	15,567		$	7,790