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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2020
Sep. 30, 2019
Cash flow from operating activities:    
Net income (loss) $ (40,091) $ 7,904
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:    
Net realized and unrealized investment (gains) losses (8,882) (5,050)
Loss (gain) on early extinguishment of debt 0 3,575
Amortization of investment premium or discount, net 2,353 606
Depreciation and amortization 1,427 1,088
Share-based compensation 1,194 1,960
Changes in operating assets and liabilities:    
Prepaid reinsurance premiums (140,469) (61,717)
Premiums receivable, net (11,331) (10,141)
Reinsurance recoverable, net (242,611) 8,549
Deferred acquisition costs and value of business acquired, net 4,979 (9,103)
Income taxes, net (23,322) (893)
Deferred revenue (61) 1,654
Loss and loss adjustment expense reserves 229,618 (9,282)
Unearned premiums 19,504 35,401
Reinsurance payable and funds withheld liabilities 128,520 59,203
Other 401 2,632
Net cash provided by (used in) operating activities (78,772) 26,386
Cash flow from investing activities:    
Proceeds from sales of equity securities 11,441 7,461
Proceeds from sales of debt securities 346,890 123,415
Purchases of equity securities (4,727) (5,190)
Purchases of debt securities (402,894) (169,933)
Maturities and redemptions of debt securities 60,767 29,158
Purchases of property and equipment (2,585) (1,562)
Net cash provided by (used in) investing activities 8,892 (16,651)
Cash flow from financing activities:    
Proceeds from issuance of long-term debt, net of issuance costs 0 98,390
Payment of long-term debt and prepayment penalties 0 (48,000)
Purchases of FedNat Holding Company common stock (10,418) 0
Issuance of common stock for share-based awards 42 1
Dividends paid (3,819) (3,131)
Net cash provided by (used in) financing activities (14,195) 47,260
Net increase (decrease) in cash and cash equivalents (84,075) 56,995
Cash and cash equivalents at beginning-of-period 133,361 64,423
Cash and cash equivalents at end-of-period 49,286 121,418
Supplemental disclosure of cash flow information:    
Cash paid (received) during the period for interest 7,500 4,860
Cash paid (received) during the period for income taxes (598) 2,729
Noncash Investing and Financing Items [Abstract]    
Right-of-use asset (7,605) (7,860)
Lease liability $ 7,605 $ 7,860