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Derivative Instruments (Tables)
 9 Months Ended
Sep. 30, 2015
Derivative Instruments [Abstract]  
Summary of Interest Rate Swaps

A summary of Pinnacle Financial's interest rate swaps related to customers as of September 30, 2015 and December 31, 2014 is included in the following table (in thousands):

  
September 30, 2015
  
December 31, 2014
 
  
Notional
Amount
  
Estimated
Fair Value
  
Notional
Amount
  
Estimated
 Fair Value
 
Interest rate swap agreements:
        
Pay fixed / receive variable swaps
 
$
343,742
  
$
18,572
  
$
251,321
  
$
13,030
 
Pay variable / receive fixed swaps
  
343,742
   
(19,181
)
  
251,321
   
(13,435
)
Total
 
$
687,484
  
$
(609
)
 
$
502,642
  
$
(405
)
Schedule of Derivative Instruments
Pinnacle Financial has forward cash flow hedge relationships to manage future interest rate exposure. The hedging strategy converts the LIBOR based variable interest rate on forecasted borrowings to a fixed interest rate and protects Pinnacle Financial from floating interest rate variability.  The initial hedge relationships were entered into during the second quarter of 2013. During the third quarter of 2014, Pinnacle Financial terminated three individual contracts of the initial hedge relationships based on changes in internal forecasts for future interest rates. As a result of terminating these contracts, Pinnacle Financial will recognize a gain of $64,000 over the original terms of these agreements which were scheduled to begin in April 2015. Pinnacle Financial entered into additional forward cash flow hedge relationships for interest rate risk management purposes given the aforementioned changes in forecasted interest rates. The terms of the individual contracts within the relationship are as follows (in thousands):

            
September 30, 2015
  
December 31, 2014
 
  
Forecasted
Notional
Amount
 
Receive Rate
 
Pay
Rate
 
Term(1)
 
Asset/
(Liabilities)
  
Unrealized Loss in Accumulated Other Comprehensive Income
  
Asset/ (Liabilities)
  
Unrealized Loss in Accumulated Other Comprehensive Income
 
Interest Rate Swap
  
33,000
 
3 month LIBOR
  
2.265
%
April 2016- April 2020
  
(1,131
)
  
(687
)
  
(96
)
  
(58
)
Interest Rate Swap
  
33,000
 
3 month LIBOR
  
2.646
%
April 2016- April 2022
  
(1,840
)
  
(1,118
)
  
(531
)
  
(323
)
Interest Rate Swap
  
33,000
 
3 month LIBOR
  
2.523
%
Oct. 2016- Oct. 2020
  
(1,235
)
  
(751
)
  
(210
)
  
(128
)
Interest Rate Swap
  
33,000
 
3 month LIBOR
  
2.992
%
Oct. 2017- Oct. 2021
  
(1,326
)
  
(806
)
  
(517
)
  
(314
)
Interest Rate Swap
  
34,000
 
3 month LIBOR
  
3.118
%
April 2018- July 2022
  
(1,320
)
  
(802
)
  
(590
)
  
(359
)
Interest Rate Swap
  
34,000
 
3 month LIBOR
  
3.158
%
July 2018- Oct. 2022
  
(1,281
)
  
(778
)
  
(602
)
  
(366
)
  
$
200,000
         
(8,133
)
  
(4,942
)
  
(2,546
)
  
(1,548
)
                           
(1)
No cash will be exchanged prior to the beginning of the term.

Pinnacle Financial has seven interest rate swap agreements designated as cash flow hedges intended to protect against the variability of cash flows on selected LIBOR based loans. The swaps hedge the interest rate risk, wherein Pinnacle Financial receives a fixed rate of interest from a counterparty and pays a variable rate, based on one month LIBOR. The terms of the respective swaps range from three to ten years and started on various dates between July 2014 and August 2015. The swaps were entered into with a counterparty that met Pinnacle Financial's credit standards and the agreements contain collateral provisions protecting the at-risk party. Pinnacle Financial believes that the credit risk inherent in the contract is not significant.

            
September 30, 2015
  
December 31, 2014
 
  
Forecasted
Notional
Amount
  
Receive
Rate
 
Pay
Rate
Term(2)
 
Asset/
(Liabilities)
  
Unrealized Gain in Accumulated Other Comprehensive Income
  
Asset/ (Liabilities)
  
Unrealized Gain in Accumulated Other Comprehensive Income
 
Interest Rate Swap
 
$
27,500
   
2.090
%
1 month LIBOR
July 2014 - July 2021
  
1,012
   
615
   
941
   
572
 
Interest Rate Swap
  
25,000
   
2.270
%
1 month LIBOR
July 2014 - July 2022
  
1,350
   
820
   
409
   
249
 
Interest Rate Swap
  
27,500
   
2.420
%
1 month LIBOR
July 2014 - July 2023
  
1,732
   
1,053
   
651
   
396
 
Interest Rate Swap
  
30,000
   
2.500
%
1 month LIBOR
July 2014 - July 2024
  
1,701
   
1,034
   
956
   
581
 
Interest Rate Swap
  
15,000
   
1.048
%
1 month LIBOR
August 2015 - August 2018
  
88
   
53
   
-
   
-
 
Interest Rate Swap
  
15,000
   
1.281
%
1 month LIBOR
August 2015 - August 2019
  
135
   
82
   
-
   
-
 
Interest Rate Swap
  
15,000
   
1.470
%
1 month LIBOR
August 2015 - August 2020
  
173
   
105
   
-
   
-
 
  
$
155,000
         
6,191
   
3,762
   
2,957
   
1,798
 
(1)
No cash will be exchanged prior to the beginning of the term.