Comprehensive Income and Accumulated Other Comprehensive Income

12 Months Ended

Dec. 31, 2019

Equity [Abstract]

Comprehensive Income and Accumulated Other Comprehensive Income

14.Comprehensive Income and Accumulated Other Comprehensive Income

Comprehensive income includes net income plus unrealized gains/losses on our available-for-sale investment securities, net of tax.  The following table illustrates the changes in the balance of each component of accumulated other comprehensive income (loss) for each period presented in the financial statements.

	Year Ended December 31,
	2019			2018			2017
	(in thousands)
Balance, beginning of period	$	(832	)	$	3,612		$	(492	)
Impact of adoption of ASU 2016-01		—			(615	)		—
Impact of adoption of ASU 2018-02		—			414			—
Adjusted beginning balance		(832	)		3,411			(492	)
Other comprehensive income (loss) before    reclassification		12,379			(4,551	)		4,823
Amounts reclassified from accumulated other    comprehensive income (loss)		664			308			(719	)
Net current period other comprehensive income (loss)		13,043			(4,243	)		4,104
Balance, end of period	$	12,211		$	(832	)	$	3,612

The sale or other-than-temporary impairment (“OTTI”) of an available-for-sale security results in amounts being reclassified from accumulated other comprehensive income to current period net income.  The effects of reclassifications out of accumulated other comprehensive income by the respective line items of net income are presented in the following table.

Component of Accumulated Other Comprehensive Income (Loss)	Year Ended December 31,									Affected line item in the statement of income
	2019			2018			2017
	(in thousands)
Unrealized gains (losses) on available-for-    sale securities	$	(841	)	$	(390	)	$	1,106		Net realized losses on    investments
		(841	)		(390	)		1,106		Income before income taxes
		177			82			(387	)	Income tax expense
	$	(664	)	$	(308	)	$	719		Net income

	Pre-Tax Amount			Tax Expense (Benefit)			Net-of-Tax Amount
	(in thousands)
December 31, 2019
Unrealized gain on securities:
Unrealized gain on available-for-sale securities	$	15,670		$	3,291		$	12,379
Reclassification adjustment for gains realized     in net income		841			177			664
Net unrealized gain		16,511			3,468			13,043
Other comprehensive income	$	16,511		$	3,468		$	13,043
December 31, 2018
Unrealized loss on securities:
Unrealized loss on available-for-sale securities	$	(5,760	)	$	(1,209	)	$	(4,551	)
Reclassification adjustment for losses realized     in net income		390			82			308
Net unrealized loss		(5,370	)		(1,127	)		(4,243	)
Other comprehensive loss	$	(5,370	)	$	(1,127	)	$	(4,243	)
December 31, 2017
Unrealized gain on securities:
Unrealized gain on available-for-sale securities	$	6,960		$	2,137		$	4,823
Reclassification adjustment for gains realized     in net income		(1,106	)		(387	)		(719	)
Net unrealized gain		5,854			1,750			4,104
Other comprehensive income	$	5,854		$	1,750		$	4,104