þ | QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. |
Delaware | 22-1867895 | |
(State or other jurisdiction of | (I.R.S. Employer | |
incorporation or organization) | Identification No.) | |
475 Steamboat Road, Greenwich, Connecticut | 06830 | |
(Address of principal executive offices) | (Zip Code) |
(203) 629-3000 | ||
(Registrant’s telephone number, including area code) | ||
None | ||
Former name, former address and former fiscal year, if changed since last report. |
Large accelerated filer þ | Accelerated filer o | Non-accelerated filer o | Smaller reporting company o |
(Do not check if a smaller reporting company) |
EX-31.1 | |
EX-31.2 | |
EX-32.1 | |
EX-101 INSTANCE DOCUMENT | |
EX-101 SCHEMA DOCUMENT | |
EX-101 CALCULATION LINKBASE DOCUMENT | |
EX-101 LABELS LINKBASE DOCUMENT | |
EX-101 PRESENTATION LINKBASE DOCUMENT | |
EX-101 DEFINITION LINKBASE DOCUMENT |
Item 1. | Financial Statements |
June 30, 2013 | December 31, 2012 | ||||||
(Unaudited) | |||||||
Assets | |||||||
Investments: | |||||||
Fixed maturity securities | $ | 11,635,178 | $ | 11,943,956 | |||
Equity securities | 434,841 | 376,022 | |||||
Arbitrage trading account | 680,713 | 329,077 | |||||
Investment funds | 858,394 | 809,689 | |||||
Loans receivable | 359,177 | 401,961 | |||||
Real estate | 589,936 | 606,735 | |||||
Total investments | 14,558,239 | 14,467,440 | |||||
Cash and cash equivalents | 658,839 | 905,670 | |||||
Premiums and fees receivable | 1,582,395 | 1,440,752 | |||||
Due from reinsurers | 1,477,381 | 1,450,348 | |||||
Accrued investment income | 126,122 | 127,230 | |||||
Prepaid reinsurance premiums | 382,570 | 316,309 | |||||
Deferred policy acquisition costs | 433,274 | 404,047 | |||||
Real estate, furniture and equipment | 291,831 | 267,227 | |||||
Federal and foreign income taxes - current and deferred | 67,666 | — | |||||
Goodwill | 112,741 | 87,865 | |||||
Trading account receivables from brokers and clearing organizations | 144,150 | 446,873 | |||||
Other assets | 376,334 | 242,135 | |||||
Total assets | $ | 20,211,542 | $ | 20,155,896 | |||
Liabilities and Equity | |||||||
Liabilities: | |||||||
Reserves for losses and loss expenses | $ | 9,921,072 | $ | 9,751,086 | |||
Unearned premiums | 2,721,228 | 2,474,847 | |||||
Due to reinsurers | 337,370 | 316,388 | |||||
Trading account securities sold but not yet purchased | 171,990 | 121,487 | |||||
Federal and foreign income taxes - current and deferred | — | 82,801 | |||||
Other liabilities | 758,627 | 959,080 | |||||
Junior subordinated debentures | 339,614 | 243,206 | |||||
Senior notes and other debt | 1,695,986 | 1,871,535 | |||||
Total liabilities | 15,945,887 | 15,820,430 | |||||
Equity: | |||||||
Preferred stock, par value $.10 per share: | |||||||
Authorized 5,000,000 shares; issued and outstanding - none | — | — | |||||
Common stock, par value $.20 per share: | |||||||
Authorized 500,000,000 shares, issued and outstanding, net of treasury shares, 135,308,430 and 136,017,732 shares, respectively | 47,024 | 47,024 | |||||
Additional paid-in capital | 956,084 | 945,166 | |||||
Retained earnings | 5,024,565 | 4,817,807 | |||||
Accumulated other comprehensive income | 210,225 | 465,631 | |||||
Treasury stock, at cost, 99,809,488 and 99,100,186 shares, respectively | (1,999,294 | ) | (1,969,411 | ) | |||
Total stockholders’ equity | 4,238,604 | 4,306,217 | |||||
Noncontrolling interests | 27,051 | 29,249 | |||||
Total equity | 4,265,655 | 4,335,466 | |||||
Total liabilities and equity | $ | 20,211,542 | $ | 20,155,896 |
For the Three Months Ended | For the Six Months Ended | ||||||||||||||
June 30, | June 30, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
REVENUES: | |||||||||||||||
Net premiums written | $ | 1,341,898 | $ | 1,190,991 | $ | 2,718,864 | $ | 2,394,517 | |||||||
Change in net unearned premiums | (59,383 | ) | (43,634 | ) | (204,230 | ) | (147,509 | ) | |||||||
Net premiums earned | 1,282,515 | 1,147,357 | 2,514,634 | 2,247,008 | |||||||||||
Net investment income | 143,737 | 161,250 | 279,666 | 318,869 | |||||||||||
Insurance service fees | 27,652 | 27,036 | 54,388 | 50,913 | |||||||||||
Net investment gains | 33,058 | 24,286 | 53,027 | 67,763 | |||||||||||
Change in valuation allowance, net of other-than-temporary impairments | — | — | — | 4,014 | |||||||||||
Revenues from wholly-owned investees | 83,775 | 55,434 | 175,510 | 105,109 | |||||||||||
Other income | 225 | 384 | 506 | 776 | |||||||||||
Total revenues | 1,570,962 | 1,415,747 | 3,077,731 | 2,794,452 | |||||||||||
OPERATING COSTS AND EXPENSES: | |||||||||||||||
Losses and loss expenses | 805,470 | 731,202 | 1,550,149 | 1,410,674 | |||||||||||
Other operating costs and expenses | 494,286 | 448,758 | 975,890 | 880,537 | |||||||||||
Expenses from wholly-owned investees | 81,293 | 54,931 | 170,445 | 106,261 | |||||||||||
Interest expense | 31,207 | 32,417 | 62,318 | 61,238 | |||||||||||
Total operating costs and expenses | 1,412,256 | 1,267,308 | 2,758,802 | 2,458,710 | |||||||||||
Income before income taxes | 158,706 | 148,439 | 318,929 | 335,742 | |||||||||||
Income tax expense | (43,579 | ) | (39,535 | ) | (87,204 | ) | (91,606 | ) | |||||||
Net income before noncontrolling interests | 115,127 | 108,904 | 231,725 | 244,136 | |||||||||||
Noncontrolling interests | 830 | (66 | ) | 847 | 20 | ||||||||||
Net income to common stockholders | $ | 115,957 | $ | 108,838 | $ | 232,572 | $ | 244,156 | |||||||
NET INCOME PER SHARE: | |||||||||||||||
Basic | $ | 0.85 | $ | 0.79 | $ | 1.71 | $ | 1.77 | |||||||
Diluted | $ | 0.82 | $ | 0.76 | $ | 1.65 | $ | 1.70 |
For the Three Months Ended | For the Six Months Ended | ||||||||||||||
June 30, | June 30, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
Net income before noncontrolling interests | $ | 115,127 | $ | 108,904 | $ | 231,725 | $ | 244,136 | |||||||
Other comprehensive income (loss): | |||||||||||||||
Change in unrealized translation adjustments | (23,156 | ) | (17,257 | ) | (69,779 | ) | (1,674 | ) | |||||||
Change in unrealized investment gains (losses), net of taxes | (197,060 | ) | 39,535 | (189,250 | ) | 61,559 | |||||||||
Change in net pension asset, net of taxes | 1,814 | 823 | 3,628 | 1,647 | |||||||||||
Other comprehensive income (loss) | (218,402 | ) | 23,101 | (255,401 | ) | 61,532 | |||||||||
Comprehensive income (loss) | (103,275 | ) | 132,005 | (23,676 | ) | 305,668 | |||||||||
Comprehensive (income) loss to the noncontrolling interest | 865 | (71 | ) | 842 | (8 | ) | |||||||||
Comprehensive income (loss) to common stockholders | $ | (102,410 | ) | $ | 131,934 | $ | (22,834 | ) | $ | 305,660 |
For the Six Months Ended | |||||||
June 30, | |||||||
2013 | 2012 | ||||||
COMMON STOCK: | |||||||
Beginning and end of period | $ | 47,024 | $ | 47,024 | |||
ADDITIONAL PAID-IN CAPITAL: | |||||||
Beginning of period | $ | 945,166 | $ | 941,109 | |||
Stock options exercised and restricted stock units issued, net of tax | (311 | ) | (12,092 | ) | |||
Restricted stock units expensed | 10,694 | 14,792 | |||||
Stock issued to directors | 535 | 454 | |||||
End of period | $ | 956,084 | $ | 944,263 | |||
RETAINED EARNINGS: | |||||||
Beginning of period | $ | 4,817,807 | $ | 4,491,162 | |||
Net income to common stockholders | 232,572 | 244,156 | |||||
Dividends | (25,814 | ) | (23,482 | ) | |||
End of period | $ | 5,024,565 | $ | 4,711,836 | |||
ACCUMULATED OTHER COMPREHENSIVE INCOME: | |||||||
Unrealized investment gains: | |||||||
Beginning of period | $ | 517,658 | $ | 430,419 | |||
Unrealized gains (losses) on securities not other-than-temporarily impaired | (189,594 | ) | 60,275 | ||||
Unrealized gains on other-than-temporarily impaired securities | 339 | 1,256 | |||||
End of period | 328,403 | 491,950 | |||||
Currency translation adjustments: | |||||||
Beginning of period | (36,676 | ) | (61,239 | ) | |||
Net change in period | (69,779 | ) | (1,674 | ) | |||
End of period | (106,455 | ) | (62,913 | ) | |||
Net pension asset: | |||||||
Beginning of period | (15,351 | ) | (14,329 | ) | |||
Net change in period | 3,628 | 1,647 | |||||
End of period | (11,723 | ) | (12,682 | ) | |||
Total accumulated other comprehensive income | $ | 210,225 | $ | 416,355 | |||
TREASURY STOCK: | |||||||
Beginning of period | $ | (1,969,411 | ) | $ | (1,880,790 | ) | |
Stock exercised/vested | 882 | 23,393 | |||||
Stock repurchased | (31,362 | ) | (54,878 | ) | |||
Stock issued to directors | 597 | 581 | |||||
End of period | $ | (1,999,294 | ) | $ | (1,911,694 | ) | |
NONCONTROLLING INTERESTS: | |||||||
Beginning of period | $ | 29,249 | $ | 7,526 | |||
Contributions (distributions) | (1,356 | ) | 1,524 | ||||
Net income | (847 | ) | (20 | ) | |||
Other comprehensive income, net of tax | 5 | 28 | |||||
End of period | $ | 27,051 | $ | 9,058 |
For the Six Months Ended | |||||||
June 30, | |||||||
2013 | 2012 | ||||||
CASH FROM OPERATING ACTIVITIES: | |||||||
Net income to common stockholders | $ | 232,572 | $ | 244,156 | |||
Adjustments to reconcile net income to net cash from operating activities: | |||||||
Net investment gains | (53,027 | ) | (71,777 | ) | |||
Depreciation and amortization | 50,617 | 47,147 | |||||
Noncontrolling interests | (847 | ) | (20 | ) | |||
Investment funds | (33,057 | ) | (63,243 | ) | |||
Stock incentive plans | 12,395 | 15,827 | |||||
Change in: | |||||||
Arbitrage trading account | 1,590 | (1,535 | ) | ||||
Premiums and fees receivable | (162,853 | ) | (139,183 | ) | |||
Reinsurance accounts | (67,447 | ) | (46,182 | ) | |||
Deferred policy acquisition costs | (34,039 | ) | (21,637 | ) | |||
Income taxes | (46,642 | ) | 20,963 | ||||
Reserves for losses and loss expenses | 221,525 | 151,975 | |||||
Unearned premiums | 269,931 | 188,902 | |||||
Other | (76,786 | ) | (12,982 | ) | |||
Net cash from operating activities | 313,932 | 312,411 | |||||
CASH FROM (USED IN) INVESTING ACTIVITIES: | |||||||
Proceeds from sale of fixed maturity securities | 555,694 | 370,902 | |||||
Proceeds from sale of equity securities | 66,969 | 70,274 | |||||
Distributions from (contributions to) investment funds | (60,000 | ) | 23,090 | ||||
Proceeds from maturities and prepayments of fixed maturity securities | 1,561,236 | 922,961 | |||||
Purchase of fixed maturity securities | (2,214,201 | ) | (1,658,418 | ) | |||
Purchase of equity securities | (111,540 | ) | (184,751 | ) | |||
Real estate purchased | (13,390 | ) | (15,475 | ) | |||
Change in loans receivable | (46,854 | ) | (61,886 | ) | |||
Net additions to real estate, furniture and equipment | (43,446 | ) | (20,376 | ) | |||
Change in balances due to (from) security brokers | (6,167 | ) | 38,700 | ||||
Cash distributed in connection with business disposition | (21,408 | ) | |||||
Payment for business purchased, net of cash acquired | (38,556 | ) | — | ||||
Net cash from (used in) investing activities | (371,663 | ) | (514,979 | ) | |||
CASH FROM (USED IN) FINANCING ACTIVITIES: | |||||||
Repayment of senior notes and other debt | (486,297 | ) | — | ||||
Net proceeds from issuance of debt | 371,923 | 364,044 | |||||
Net proceeds from stock options exercised | 51 | 4,776 | |||||
Cash dividends to common stockholders | (12,243 | ) | (11,042 | ) | |||
Purchase of common treasury shares | (31,362 | ) | (48,346 | ) | |||
Other, net | 7,273 | 19,500 | |||||
Net cash from (used in) financing activities | (150,655 | ) | 328,932 | ||||
Net impact on cash due to change in foreign exchange rates | (38,445 | ) | (25,886 | ) | |||
Net change in cash and cash equivalents | (246,831 | ) | 100,478 | ||||
Cash and cash equivalents at beginning of year | 905,670 | 911,742 | |||||
Cash and cash equivalents at end of period | $ | 658,839 | $ | 1,012,220 |
(In thousands) | For the Three Months Ended | For the Six Months Ended | |||||||||
June 30, | June 30, | ||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||
Basic | 135,894 | 138,181 | 135,959 | 137,997 | |||||||
Diluted | 141,274 | 143,528 | 141,257 | 143,506 |
(In thousands) | Acquired in 2013 | ||
Cash and cash equivalents | $ | 3,911 | |
Real estate, furniture and equipment | 898 | ||
Goodwill | 19,664 | ||
Intangible assets | 44,800 | ||
Other assets | 60,661 | ||
Total assets acquired | 129,934 | ||
Debt | (27,612 | ) | |
Other liabilities assumed | (17,076 | ) | |
Net assets acquired | $ | 85,246 |
Unrealized Investment Gains | Currency Translation Adjustments | Net Pension Asset | Accumulated Other Comprehensive Income (Loss) | ||||||||||||
As of and for the six months ended June 30, 2013: | |||||||||||||||
(In thousands) | |||||||||||||||
Changes in AOCI | |||||||||||||||
Beginning of period | $ | 517,658 | $ | (36,676 | ) | $ | (15,351 | ) | $ | 465,631 | |||||
Other comprehensive income (loss) before reclassifications | (161,945 | ) | (69,779 | ) | — | (231,724 | ) | ||||||||
Amounts reclassified from AOCI | (27,305 | ) | — | 3,628 | (23,677 | ) | |||||||||
Other comprehensive income (loss) | (189,250 | ) | (69,779 | ) | 3,628 | (255,401 | ) | ||||||||
Unrealized investment gain related to non-controlling interest | (5 | ) | — | — | (5 | ) | |||||||||
End of period | $ | 328,403 | $ | (106,455 | ) | $ | (11,723 | ) | $ | 210,225 | |||||
Amounts reclassified from AOCI | |||||||||||||||
Pre-tax | $ | (42,008 | ) | (1) | $ | — | $ | 5,582 | (2) | $ | (36,426 | ) | |||
Tax effect (3) | 14,703 | — | (1,954 | ) | 12,749 | ||||||||||
After-tax amounts reclassified | $ | (27,305 | ) | $ | — | $ | 3,628 | $ | (23,677 | ) | |||||
Other comprehensive income (loss) | |||||||||||||||
Pre-tax | $ | (291,154 | ) | $ | (69,779 | ) | $ | 5,582 | $ | (355,351 | ) | ||||
Tax effect | 101,904 | — | (1,954 | ) | 99,950 | ||||||||||
Other comprehensive income (loss) | $ | (189,250 | ) | $ | (69,779 | ) | $ | 3,628 | $ | (255,401 | ) | ||||
As of and for the three months ended June 30, 2013: | |||||||||||||||
Changes in AOCI | |||||||||||||||
Beginning of period | $ | 525,428 | $ | (83,299 | ) | $ | (13,537 | ) | $ | 428,592 | |||||
Other comprehensive income (loss) before reclassifications | (182,934 | ) | (23,156 | ) | — | (206,090 | ) | ||||||||
Amounts reclassified from AOCI | (14,126 | ) | — | 1,814 | (12,312 | ) | |||||||||
Other comprehensive income (loss) | (197,060 | ) | (23,156 | ) | 1,814 | (218,402 | ) | ||||||||
Unrealized investment gain related to non-controlling interest | 35 | — | 35 | ||||||||||||
End of period | $ | 328,403 | $ | (106,455 | ) | $ | (11,723 | ) | $ | 210,225 | |||||
Amounts reclassified from AOCI | |||||||||||||||
Pre-tax | $ | (21,933 | ) | $ | — | $ | 2,790 | $ | (19,143 | ) | |||||
Tax effect (3) | 7,807 | — | (976 | ) | 6,831 | ||||||||||
After-tax amounts reclassified | $ | (14,126 | ) | $ | — | $ | 1,814 | $ | (12,312 | ) | |||||
Other comprehensive income (loss) | |||||||||||||||
Pre-tax | $ | (303,169 | ) | $ | (23,156 | ) | $ | 2,790 | $ | (323,535 | ) | ||||
Tax effect | 106,109 | — | (976 | ) | 105,133 | ||||||||||
Other comprehensive income (loss) | $ | (197,060 | ) | $ | (23,156 | ) | $ | 1,814 | $ | (218,402 | ) |
(In thousands) | Amortized Cost | Gross Unrealized | Fair Value | Carrying Value | |||||||||||||||
Gains | Losses | ||||||||||||||||||
June 30, 2013 | |||||||||||||||||||
Held to maturity: | |||||||||||||||||||
State and municipal | $ | 67,092 | $ | 12,680 | $ | — | $ | 79,772 | $ | 67,092 | |||||||||
Residential mortgage-backed | 29,661 | 4,010 | — | 33,671 | 29,661 | ||||||||||||||
Corporate | 4,997 | 514 | — | 5,511 | 4,997 | ||||||||||||||
Total held to maturity | 101,750 | 17,204 | — | 118,954 | 101,750 | ||||||||||||||
Available for sale: | |||||||||||||||||||
U.S. government and government agency | 799,530 | 46,703 | (2,131 | ) | 844,102 | 844,102 | |||||||||||||
State and municipal | 3,961,116 | 203,398 | (17,262 | ) | 4,147,252 | 4,147,252 | |||||||||||||
Mortgage-backed securities: | |||||||||||||||||||
Residential (1) | 1,361,874 | 35,711 | (18,885 | ) | 1,378,700 | 1,378,700 | |||||||||||||
Commercial | 177,325 | 4,915 | (1,187 | ) | 181,053 | 181,053 | |||||||||||||
Corporate | 3,749,727 | 134,148 | (23,013 | ) | 3,860,862 | 3,860,862 | |||||||||||||
Foreign | 1,050,712 | 77,600 | (6,853 | ) | 1,121,459 | 1,121,459 | |||||||||||||
Total available for sale | 11,100,284 | 502,475 | (69,331 | ) | 11,533,428 | 11,533,428 | |||||||||||||
Total investments in fixed maturity securities | $ | 11,202,034 | $ | 519,679 | $ | (69,331 | ) | $ | 11,652,382 | $ | 11,635,178 | ||||||||
December 31, 2012 | |||||||||||||||||||
Held to maturity: | |||||||||||||||||||
State and municipal | $ | 65,190 | $ | 18,529 | $ | — | $ | 83,719 | $ | 65,190 | |||||||||
Residential mortgage-backed | 32,764 | 5,286 | — | 38,050 | 32,764 | ||||||||||||||
Corporate | 4,997 | 605 | — | 5,602 | 4,997 | ||||||||||||||
Total held to maturity | 102,951 | 24,420 | — | 127,371 | 102,951 | ||||||||||||||
Available for sale: | |||||||||||||||||||
U.S. government and government agency | 827,591 | 72,532 | (1,660 | ) | 898,463 | 898,463 | |||||||||||||
State and municipal | 4,449,238 | 328,974 | (9,693 | ) | 4,768,519 | 4,768,519 | |||||||||||||
Mortgage-backed securities: | |||||||||||||||||||
Residential (1) | 1,395,739 | 53,846 | (7,456 | ) | 1,442,129 | 1,442,129 | |||||||||||||
Commercial | 268,671 | 5,641 | (744 | ) | 273,568 | 273,568 | |||||||||||||
Corporate | 3,144,480 | 214,322 | (12,083 | ) | 3,346,719 | 3,346,719 | |||||||||||||
Foreign | 1,029,284 | 83,347 | (1,024 | ) | 1,111,607 | 1,111,607 | |||||||||||||
Total available for sale | 11,115,003 | 758,662 | (32,660 | ) | 11,841,005 | 11,841,005 | |||||||||||||
Total investments in fixed maturity securities | $ | 11,217,954 | $ | 783,082 | $ | (32,660 | ) | $ | 11,968,376 | $ | 11,943,956 |
(1) | Gross unrealized losses for residential mortgage-backed securities include $2,515,000 and $3,037,000 as of June 30, 2013 and December 31, 2012, respectively, related to the non-credit portion of other-than-temporary impairments (“OTTI”) recognized in other comprehensive income. |
(In thousands) | Amortized Cost | Fair Value | |||||
Due in one year or less | $ | 900,989 | $ | 925,233 | |||
Due after one year through five years | 3,555,283 | 3,697,764 | |||||
Due after five years through ten years | 2,686,863 | 2,853,103 | |||||
Due after ten years | 2,490,039 | 2,582,858 | |||||
Mortgage-backed securities | 1,568,860 | 1,593,424 | |||||
Total | $ | 11,202,034 | $ | 11,652,382 |
(In thousands) | Cost | Gross Unrealized | Fair Value | Carrying Value | |||||||||||||||
Gains | Losses | ||||||||||||||||||
June 30, 2013 | |||||||||||||||||||
Common stocks | $ | 275,719 | $ | 60,277 | $ | (5,360 | ) | $ | 330,636 | $ | 330,636 | ||||||||
Preferred stocks | 82,905 | 25,684 | (4,384 | ) | 104,205 | 104,205 | |||||||||||||
Total | $ | 358,624 | $ | 85,961 | $ | (9,744 | ) | $ | 434,841 | $ | 434,841 | ||||||||
December 31, 2012 | |||||||||||||||||||
Common stocks | $ | 222,671 | $ | 60,102 | $ | (707 | ) | $ | 282,066 | $ | 282,066 | ||||||||
Preferred stocks | 85,504 | 10,103 | (1,651 | ) | 93,956 | 93,956 | |||||||||||||
Total | $ | 308,175 | $ | 70,205 | $ | (2,358 | ) | $ | 376,022 | $ | 376,022 |
For the Three Months Ended | For the Six Months Ended | ||||||||||||||
June 30, | June 30, | ||||||||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||||||||
Investment income earned on: | |||||||||||||||
Fixed maturity securities, including cash and cash equivalents and loans receivable | $ | 111,203 | $ | 119,835 | $ | 229,039 | $ | 239,123 | |||||||
Investment funds | 22,576 | 35,619 | 33,510 | 63,242 | |||||||||||
Arbitrage trading account | 4,990 | 60 | 8,773 | 6,541 | |||||||||||
Equity securities available for sale | 3,634 | 3,829 | 5,881 | 6,979 | |||||||||||
Real estate | 3,116 | 3,348 | 6,257 | 5,524 | |||||||||||
Gross investment income | 145,519 | 162,691 | 283,460 | 321,409 | |||||||||||
Investment expense | (1,782 | ) | (1,441 | ) | (3,794 | ) | (2,540 | ) | |||||||
Net investment income | $ | 143,737 | $ | 161,250 | $ | 279,666 | $ | 318,869 |
Carrying Value as of | Income (Losses) from Investment Funds | ||||||||||||||
June 30, | December 31, | For the Six Months Ended June 30, | |||||||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||||||||
Real estate | $ | 381,855 | $ | 373,259 | $ | 1,260 | $ | 11,290 | |||||||
Energy | 146,966 | 146,325 | 25,199 | 49,780 | |||||||||||
Arbitrage | 65,651 | 63,920 | 1,731 | (662 | ) | ||||||||||
Other | 263,922 | 226,185 | 5,320 | 2,834 | |||||||||||
Total | $ | 858,394 | $ | 809,689 | $ | 33,510 | $ | 63,242 |
Carrying Value | |||||||
June 30, | December 31, | ||||||
(In thousands) | 2013 | 2012 | |||||
Properties in operation | $ | 265,884 | $ | 282,899 | |||
Properties under development | 324,052 | 323,836 | |||||
Total | $ | 589,936 | $ | 606,735 |
(In thousands) | June 30, 2013 | December 31, 2012 | |||||
Loans receivable | $ | 359,177 | $ | 401,961 | |||
Valuation allowance: | |||||||
Specific | $ | — | $ | 3,000 | |||
General | 1,844 | 2,620 | |||||
Total | $ | 1,844 | $ | 5,620 | |||
Impaired loans: | |||||||
With a specific valuation allowance | $ | — | $ | 1,775 | |||
Without a valuation allowance | 30,000 | 31,023 | |||||
Unpaid principal balance | 30,000 | 35,872 | |||||
For the six months ended June 30: | 2013 | 2012 | |||||
Increase in valuation allowance | $ | 65 | $ | 6,773 | |||
Loans receivable charged off | — | 85 | |||||
For the three months ended June 30: | |||||||
Increase (decrease) in valuation allowance | (30 | ) | 123 | ||||
Loans receivable charged off | — | — |
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||||||||
Realized investment gains and losses: | |||||||||||||||
Fixed maturity securities: | |||||||||||||||
Gains | $ | 9,147 | $ | 5,652 | $ | 20,143 | $ | 20,607 | |||||||
Losses | (5,500 | ) | (1,763 | ) | (11,466 | ) | (2,306 | ) | |||||||
Equity securities available for sale | 18,086 | 18,188 | 33,331 | 44,426 | |||||||||||
Investment funds | 10,843 | 2,191 | 11,037 | 3,501 | |||||||||||
Other | 482 | 18 | (18 | ) | 1,535 | ||||||||||
Total | 33,058 | 24,286 | 53,027 | 67,763 | |||||||||||
Change in valuation allowance, net other-than-temporary impairments: | |||||||||||||||
Decrease in valuation allowance | — | — | — | 6,998 | |||||||||||
Other-than-temporary impairments | — | — | — | (2,984 | ) | ||||||||||
Total | — | — | — | 4,014 | |||||||||||
Net investment gains | 33,058 | 24,286 | 53,027 | 71,777 | |||||||||||
Income tax expense | (11,570 | ) | (8,436 | ) | (18,559 | ) | (24,845 | ) | |||||||
Total after-tax investment gains | $ | 21,488 | $ | 15,850 | $ | 34,468 | $ | 46,932 |
Change in unrealized investment gains and losses: | |||||||||||||||
Fixed maturity securities | $ | (277,791 | ) | $ | 71,138 | $ | (293,380 | ) | $ | 90,560 | |||||
Previously impaired fixed maturity securities | (590 | ) | 190 | 522 | 1,933 | ||||||||||
Equity securities available for sale | (16,191 | ) | (8,518 | ) | 8,370 | 3,077 | |||||||||
Investment funds | (5,906 | ) | (2,651 | ) | (9,174 | ) | (974 | ) | |||||||
Total change in unrealized investment gains and losses | (300,478 | ) | 60,159 | (293,662 | ) | 94,596 | |||||||||
Income tax benefit (expense) | 103,418 | (20,624 | ) | 104,412 | (33,037 | ) | |||||||||
Noncontrolling interests | 35 | (5 | ) | (5 | ) | (28 | ) | ||||||||
Total after-tax unrealized gains and losses | $ | (197,025 | ) | $ | 39,530 | $ | (189,255 | ) | $ | 61,531 |
Less Than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||
(In thousands) | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||
U.S. government and agency | $ | 109,891 | $ | 2,131 | $ | — | $ | — | $ | 109,891 | $ | 2,131 | |||||||||||
State and municipal | 528,045 | 14,077 | 67,266 | 3,185 | 595,311 | 17,262 | |||||||||||||||||
Mortgage-backed securities | 612,369 | 16,308 | 54,843 | 3,764 | 667,212 | 20,072 | |||||||||||||||||
Corporate | 1,166,097 | 13,102 | 67,142 | 9,911 | 1,233,239 | 23,013 | |||||||||||||||||
Foreign | 249,199 | 6,853 | — | — | 249,199 | 6,853 | |||||||||||||||||
Fixed maturity securities | 2,665,601 | 52,471 | 189,251 | 16,860 | 2,854,852 | 69,331 | |||||||||||||||||
Common stocks | 77,610 | 5,360 | — | — | 77,610 | 5,360 | |||||||||||||||||
Preferred stocks | 17,702 | 346 | 21,636 | 4,038 | 39,338 | 4,384 | |||||||||||||||||
Equity securities | 95,312 | 5,706 | 21,636 | 4,038 | 116,948 | 9,744 | |||||||||||||||||
Total | $ | 2,760,913 | $ | 58,177 | $ | 210,887 | $ | 20,898 | $ | 2,971,800 | $ | 79,075 | |||||||||||
December 31, 2012 | |||||||||||||||||||||||
U.S. government and agency | $ | 69,551 | $ | 1,660 | $ | — | $ | — | $ | 69,551 | $ | 1,660 | |||||||||||
State and municipal | 152,694 | 1,639 | 135,967 | 8,054 | 288,661 | 9,693 | |||||||||||||||||
Mortgage-backed securities | 484,731 | 3,629 | 58,292 | 4,571 | 543,023 | 8,200 | |||||||||||||||||
Corporate | 371,781 | 2,964 | 70,537 | 9,119 | 442,318 | 12,083 | |||||||||||||||||
Foreign | 95,623 | 996 | 11,210 | 28 | 106,833 | 1,024 | |||||||||||||||||
Fixed maturity securities | 1,174,380 | 10,888 | 276,006 | 21,772 | 1,450,386 | 32,660 | |||||||||||||||||
Common stocks | 46,725 | 707 | — | — | 46,725 | 707 | |||||||||||||||||
Preferred stocks | — | — | 39,812 | 1,651 | 39,812 | 1,651 | |||||||||||||||||
Equity securities | 46,725 | 707 | 39,812 | 1,651 | 86,537 | 2,358 | |||||||||||||||||
Total | $ | 1,221,105 | $ | 11,595 | $ | 315,818 | $ | 23,423 | $ | 1,536,923 | $ | 35,018 |
($ in thousands) | Number of Securities | Aggregate Fair Value | Gross Unrealized Loss | |||||||
Mortgage-backed securities | 18 | $ | 106,405 | $ | 5,246 | |||||
Corporate | 9 | 26,685 | 4,067 | |||||||
State and municipal | 2 | 18,361 | 47 | |||||||
Foreign | 2 | 19,337 | 240 | |||||||
Total | 31 | $ | 170,788 | $ | 9,600 |
(In thousands) | Total | Level 1 | Level 2 | Level 3 | |||||||||||
June 30, 2013 | |||||||||||||||
Assets: | |||||||||||||||
Fixed maturity securities available for sale: | |||||||||||||||
U.S. government and agency | $ | 844,102 | $ | — | $ | 844,102 | $ | — | |||||||
State and municipal | 4,147,252 | — | 4,147,252 | — | |||||||||||
Mortgage-backed securities | 1,559,753 | — | 1,559,753 | — | |||||||||||
Corporate | 3,860,862 | — | 3,809,941 | 50,921 | |||||||||||
Foreign | 1,121,459 | — | 1,121,459 | — | |||||||||||
Total fixed maturity securities available for sale | 11,533,428 | — | 11,482,507 | 50,921 | |||||||||||
Equity securities: | |||||||||||||||
Common stocks | 330,636 | 329,398 | — | 1,238 | |||||||||||
Preferred stocks | 104,205 | — | 100,428 | 3,777 | |||||||||||
Total equity securities | 434,841 | 329,398 | 100,428 | 5,015 | |||||||||||
Arbitrage trading account | 680,713 | 179,841 | 500,789 | 83 | |||||||||||
Total | $ | 12,648,982 | $ | 509,239 | $ | 12,083,724 | $ | 56,019 | |||||||
Liabilities: | |||||||||||||||
Securities sold but not yet purchased | $ | 171,990 | $ | 117,636 | $ | 54,354 | $ | — | |||||||
December 31, 2012 | |||||||||||||||
Assets: | |||||||||||||||
Fixed maturity securities available for sale: | |||||||||||||||
U.S. government and agency | $ | 898,463 | $ | — | $ | 898,463 | $ | — | |||||||
State and municipal | 4,768,519 | — | 4,768,519 | — | |||||||||||
Mortgage-backed securities | 1,715,697 | — | 1,715,697 | — | |||||||||||
Corporate | 3,346,719 | — | 3,287,654 | 59,065 | |||||||||||
Foreign | 1,111,607 | — | 1,111,607 | — | |||||||||||
Total fixed maturity securities available for sale | 11,841,005 | — | 11,781,940 | 59,065 | |||||||||||
Equity securities: | |||||||||||||||
Common stocks | 282,066 | 280,658 | — | 1,408 | |||||||||||
Preferred stocks | 93,956 | — | 93,335 | 621 | |||||||||||
Total equity securities | 376,022 | 280,658 | 93,335 | 2,029 | |||||||||||
Arbitrage trading account | 329,077 | 233,603 | 94,546 | 928 | |||||||||||
Total | $ | 12,546,104 | $ | 514,261 | $ | 11,969,821 | $ | 62,022 | |||||||
Liabilities: | |||||||||||||||
Securities sold but not yet purchased | $ | 121,487 | $ | 114,909 | $ | 6,558 | $ | 20 |
Gains (Losses) Included in | |||||||||||||||||||||||||||||||
(In thousands) | Beginning Balance | Earnings | Other Comprehensive Income | Purchases | (Sales) | Maturities | Transfer in | Ending Balance | |||||||||||||||||||||||
Six months ended June 30, 2013: | |||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||
Corporate | $ | 59,065 | $ | (64 | ) | $ | (867 | ) | $ | 84 | $ | (2,577 | ) | $ | (4,720 | ) | $ | — | $ | 50,921 | |||||||||||
Total | 59,065 | (64 | ) | (867 | ) | 84 | (2,577 | ) | (4,720 | ) | — | 50,921 | |||||||||||||||||||
Equity securities available for sale: | |||||||||||||||||||||||||||||||
Common stocks | 1,408 | — | — | — | (170 | ) | — | — | 1,238 | ||||||||||||||||||||||
Preferred stocks | 621 | (274 | ) | — | 3,430 | — | — | — | 3,777 | ||||||||||||||||||||||
Total | 2,029 | (274 | ) | — | 3,430 | (170 | ) | — | — | 5,015 | |||||||||||||||||||||
Arbitrage trading account | 928 | (815 | ) | — | 824 | (854 | ) | — | — | 83 | |||||||||||||||||||||
Total | $ | 62,022 | $ | (1,153 | ) | $ | (867 | ) | $ | 4,338 | $ | (3,601 | ) | $ | (4,720 | ) | $ | — | $ | 56,019 | |||||||||||
Liabilities: | |||||||||||||||||||||||||||||||
Securities sold but not yet purchased | $ | 20 | $ | (4 | ) | $ | — | $ | 4 | $ | (20 | ) | $ | — | $ | — | $ | — | |||||||||||||
Year ended December 31, 2012: | |||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||
Corporate | $ | 67,828 | $ | (1,497 | ) | $ | 9,622 | $ | 283 | $ | — | $ | (17,171 | ) | $ | — | $ | 59,065 | |||||||||||||
Total | 67,828 | (1,497 | ) | 9,622 | 283 | — | (17,171 | ) | — | 59,065 | |||||||||||||||||||||
Equity securities available for sale: | |||||||||||||||||||||||||||||||
Common stocks | 1,559 | — | — | — | (151 | ) | — | — | 1,408 | ||||||||||||||||||||||
Preferred stocks | 12,303 | 1,126 | (1,737 | ) | — | (11,071 | ) | — | — | 621 | |||||||||||||||||||||
Total | 13,862 | 1,126 | (1,737 | ) | — | (11,222 | ) | — | — | 2,029 | |||||||||||||||||||||
Arbitrage trading account | 851 | (3,534 | ) | 3,570 | — | (52 | ) | — | 93 | 928 | |||||||||||||||||||||
Total | $ | 82,541 | $ | (3,905 | ) | $ | 11,455 | $ | 283 | $ | (11,274 | ) | $ | (17,171 | ) | $ | 93 | $ | 62,022 | ||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||
Securities sold but not yet purchased | $ | 21 | $ | (1 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 20 |
For the Three Months Ended | For the Six Months Ended | ||||||||||||||
June 30, | June 30, | ||||||||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||||||||
Written premiums: | |||||||||||||||
Direct | $ | 1,405,183 | $ | 1,249,576 | $ | 2,805,595 | $ | 2,450,595 | |||||||
Assumed | 212,753 | 181,344 | 443,962 | 381,851 | |||||||||||
Ceded | (276,038 | ) | (239,929 | ) | (530,693 | ) | (437,929 | ) | |||||||
Total net premiums written | $ | 1,341,898 | $ | 1,190,991 | $ | 2,718,864 | $ | 2,394,517 | |||||||
Earned premiums: | |||||||||||||||
Direct | $ | 1,301,702 | $ | 1,163,162 | $ | 2,542,264 | $ | 2,267,118 | |||||||
Assumed | 217,517 | 186,762 | 431,533 | 366,280 | |||||||||||
Ceded | (236,704 | ) | (202,567 | ) | (459,163 | ) | (386,390 | ) | |||||||
Total net premiums earned | $ | 1,282,515 | $ | 1,147,357 | $ | 2,514,634 | $ | 2,247,008 | |||||||
Ceded losses incurred | $ | 142,360 | $ | 109,142 | $ | 252,911 | $ | 194,419 |
June 30, 2013 | December 31, 2012 | ||||||||||||||
(In thousands) | Carrying Value | Fair Value | Carrying Value | Fair Value | |||||||||||
Assets: | |||||||||||||||
Fixed maturity securities | $ | 11,635,178 | $ | 11,652,382 | $ | 11,943,956 | $ | 11,968,376 | |||||||
Equity securities available for sale | 434,841 | 434,841 | 376,022 | 376,022 | |||||||||||
Arbitrage trading account | 680,713 | 680,713 | 329,077 | 329,077 | |||||||||||
Loans receivable | 359,177 | 363,942 | 401,961 | 406,443 | |||||||||||
Cash and cash equivalents | 658,839 | 658,839 | 905,670 | 905,670 | |||||||||||
Trading account receivables from brokers and clearing organizations | 144,150 | 144,150 | 446,873 | 446,873 | |||||||||||
Due from broker | 8,901 | 8,901 | 14,449 | 14,449 | |||||||||||
Liabilities: | |||||||||||||||
Trading account securities sold but not yet purchased | 171,990 | 171,990 | 121,487 | 121,487 | |||||||||||
Junior subordinated debentures | 339,614 | 327,040 | 243,206 | 252,000 | |||||||||||
Senior notes and other debt | 1,695,986 | 1,889,098 | 1,871,535 | 2,190,173 |
($ in thousands) | Units | Fair Value | ||||
Six months ended June 30: | ||||||
2013 | 55,150 | $ | 2,312 | |||
2012 | 99,050 | $ | 3,633 |
• | Insurance-Domestic - commercial insurance business, including excess and surplus lines and admitted lines, throughout the United States; |
• | Insurance-International - insurance business primarily in the United Kingdom, Continental Europe, South America, Canada, Scandinavia, and Australia; and |
• | Reinsurance-Global - reinsurance business on a facultative and treaty basis, primarily in the United States, United Kingdom, Europe, Australia, and the Asia-Pacific Region. |
Revenues | |||||||||||||||||||||||
(In thousands) | Earned Premiums | Investment Income | Other | Total | Pre-Tax Income (Loss) | Net Income (Loss) | |||||||||||||||||
Three months ended June 30, 2013: | |||||||||||||||||||||||
Insurance-Domestic | $ | 925,997 | $ | 107,562 | $ | 27,652 | $ | 1,061,211 | $ | 152,334 | $ | 106,478 | |||||||||||
Insurance-International | 180,192 | 13,171 | — | 193,363 | 12,583 | 9,092 | |||||||||||||||||
Reinsurance-Global | 176,326 | 23,036 | — | 199,362 | 24,752 | 17,681 | |||||||||||||||||
Corporate and eliminations (1) | — | (32 | ) | 84,000 | 83,968 | (64,021 | ) | (38,782 | ) | ||||||||||||||
Net investment gains | — | — | 33,058 | 33,058 | 33,058 | 21,488 | |||||||||||||||||
Total | $ | 1,282,515 | $ | 143,737 | $ | 144,710 | $ | 1,570,962 | $ | 158,706 | $ | 115,957 | |||||||||||
Three months ended June 30, 2012: | |||||||||||||||||||||||
Insurance-Domestic | $ | 846,734 | $ | 120,656 | $ | 27,036 | $ | 994,426 | $ | 144,640 | $ | 103,435 | |||||||||||
Insurance-International | 154,501 | 11,194 | — | 165,695 | 13,782 | 9,833 | |||||||||||||||||
Reinsurance-Global | 146,122 | 28,451 | — | 174,573 | 27,454 | 20,055 | |||||||||||||||||
Corporate and eliminations (1) | — | 949 | 55,818 | 56,767 | (61,723 | ) | (40,335 | ) | |||||||||||||||
Net investment gains | — | — | 24,286 | 24,286 | 24,286 | 15,850 | |||||||||||||||||
Total | $ | 1,147,357 | $ | 161,250 | $ | 107,140 | $ | 1,415,747 | $ | 148,439 | $ | 108,838 | |||||||||||
Six months ended June 30, 2013: | |||||||||||||||||||||||
Insurance-Domestic | $ | 1,810,375 | $ | 205,359 | $ | 54,388 | $ | 2,070,122 | $ | 293,684 | $ | 205,886 | |||||||||||
Insurance-International | 351,311 | 25,232 | — | 376,543 | 34,965 | 24,569 | |||||||||||||||||
Reinsurance-Global | 352,948 | 45,535 | — | 398,483 | 62,693 | 44,075 | |||||||||||||||||
Corporate and eliminations (1) | — | 3,540 | 176,016 | 179,556 | (125,440 | ) | (76,426 | ) | |||||||||||||||
Net investment gains | — | — | 53,027 | 53,027 | 53,027 | 34,468 | |||||||||||||||||
Total | $ | 2,514,634 | $ | 279,666 | $ | 283,431 | $ | 3,077,731 | $ | 318,929 | $ | 232,572 | |||||||||||
Six months ended June 30, 2012: | |||||||||||||||||||||||
Insurance-Domestic | $ | 1,656,803 | $ | 232,742 | $ | 50,913 | $ | 1,940,458 | $ | 292,375 | $ | 209,315 | |||||||||||
Insurance-International | 298,386 | 21,525 | — | 319,911 | 29,481 | 20,945 | |||||||||||||||||
Reinsurance-Global | 291,819 | 57,138 | — | 348,957 | 59,092 | 43,141 | |||||||||||||||||
Corporate and eliminations (1) | — | 7,464 | 105,885 | 113,349 | (116,983 | ) | (76,177 | ) | |||||||||||||||
Net investment gains | — | — | 71,777 | 71,777 | 71,777 | 46,932 | |||||||||||||||||
Total | $ | 2,247,008 | $ | 318,869 | $ | 228,575 | $ | 2,794,452 | $ | 335,742 | $ | 244,156 |
(In thousands) | June 30, 2013 | December 31, 2012 | |||||
Insurance-Domestic | $ | 14,849,126 | $ | 14,661,476 | |||
Insurance-International | 1,449,188 | 1,541,365 | |||||
Reinsurance-Global | 2,965,565 | 3,337,937 | |||||
Corporate and eliminations | 947,663 | 615,118 | |||||
Total | $ | 20,211,542 | $ | 20,155,896 |
For the Three Months Ended | For the Six Months Ended | ||||||||||||||
June 30, | June 30, | ||||||||||||||
(In thousands) | 2013 | 2012 | 2013 | 2012 | |||||||||||
Insurance-Domestic | |||||||||||||||
Other liability | $ | 307,444 | $ | 257,781 | $ | 603,032 | $ | 531,345 | |||||||
Workers’ compensation | 241,191 | 224,562 | 470,202 | 414,106 | |||||||||||
Short-tail lines (1) | 192,938 | 189,390 | 371,687 | 363,292 | |||||||||||
Commercial automobile | 119,900 | 112,532 | 236,022 | 222,899 | |||||||||||
Products liability | 64,524 | 62,469 | 129,432 | 125,161 | |||||||||||
Total | 925,997 | 846,734 | 1,810,375 | 1,656,803 | |||||||||||
Insurance-International | |||||||||||||||
Other liability | 15,070 | 17,745 | 30,288 | 33,279 | |||||||||||
Workers’ compensation | 21,746 | 19,898 | 44,635 | 38,516 | |||||||||||
Short-tail lines (1) | 84,301 | 63,831 | 156,424 | 116,309 | |||||||||||
Commercial automobile | 32,392 | 29,606 | 67,031 | 60,274 | |||||||||||
Products liability | 26,683 | 23,421 | 52,933 | 50,008 | |||||||||||
Total | 180,192 | 154,501 | 351,311 | 298,386 | |||||||||||
Reinsurance-Global | |||||||||||||||
Casualty | 122,117 | 103,274 | 243,444 | 208,363 | |||||||||||
Property | 54,209 | 42,848 | 109,504 | 83,456 | |||||||||||
Total | 176,326 | 146,122 | 352,948 | 291,819 | |||||||||||
Total | $ | 1,282,515 | $ | 1,147,357 | $ | 2,514,634 | $ | 2,247,008 |
Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
Frequency (+/-) | |||||||||||
Severity (+/-) | 1% | 5% | 10% | ||||||||
1% | $ | 60,260 | $ | 181,379 | $ | 332,777 | |||||
5% | 181,379 | 307,294 | 464,689 | ||||||||
10% | 332,777 | 464,689 | 629,579 |
(In thousands) | June 30, | December 31, | |||||
2013 | 2012 | ||||||
Insurance-Domestic | $ | 6,408,972 | $ | 6,297,773 | |||
Insurance-International | 536,821 | 540,769 | |||||
Reinsurance-Global | 1,591,449 | 1,573,309 | |||||
Net reserves for losses and loss expenses | 8,537,242 | 8,411,851 | |||||
Ceded reserves for losses and loss expenses | 1,383,830 | 1,339,235 | |||||
Gross reserves for losses and loss expenses | $ | 9,921,072 | $ | 9,751,086 |
(In thousands) | Reported Case Reserves | Incurred But Not Reported | Total | ||||||||
June 30, 2013 | |||||||||||
Other liability | $ | 921,019 | $ | 1,846,058 | $ | 2,767,077 | |||||
Workers’ compensation | 1,464,543 | 1,143,743 | 2,608,286 | ||||||||
Professional liability | 299,348 | 323,602 | 622,950 | ||||||||
Commercial automobile | 269,163 | 202,436 | 471,599 | ||||||||
Short-tail lines | 235,770 | 240,111 | 475,881 | ||||||||
Total primary | 3,189,843 | 3,755,950 | 6,945,793 | ||||||||
Reinsurance | 647,585 | 943,864 | 1,591,449 | ||||||||
Total | $ | 3,837,428 | $ | 4,699,814 | $ | 8,537,242 | |||||
December 31, 2012 | |||||||||||
Other liability | $ | 922,568 | $ | 1,863,465 | $ | 2,786,033 | |||||
Workers’ compensation | 1,427,599 | 1,114,340 | 2,541,939 | ||||||||
Professional liability | 271,854 | 312,811 | 584,665 | ||||||||
Commercial automobile | 275,322 | 204,900 | 480,222 | ||||||||
Short-tail lines | 240,411 | 205,272 | 445,683 | ||||||||
Total primary | 3,137,754 | 3,700,788 | 6,838,542 | ||||||||
Reinsurance | 626,962 | 946,347 | 1,573,309 | ||||||||
Total | $ | 3,764,716 | $ | 4,647,135 | $ | 8,411,851 |
For the Six Months Ended | |||||||
June 30, | |||||||
(In thousands) | 2013 | 2012 | |||||
Favorable (unfavorable) reserve development: | |||||||
Insurance-Domestic | $ | 27,511 | $ | 34,883 | |||
Insurance-International | (1,796 | ) | 2,566 | ||||
Reinsurance-Global | 16,300 | 17,312 | |||||
Total favorable reserve development | $ | 42,015 | $ | 54,761 |
($ in thousands) | Number of Securities | Aggregate Fair Value | Unrealized Loss | |||||||
Unrealized loss less than 20% of amortized cost | 340 | $ | 2,853,129 | $ | 68,252 | |||||
Unrealized loss of 20% or greater of amortized cost: | ||||||||||
Less than twelve months | — | — | — | |||||||
Twelve months and longer | 6 | 1,723 | 1,079 | |||||||
Total | 346 | $ | 2,854,852 | $ | 69,331 |
($ in thousands) | Number of Securities | Aggregate Fair Value | Gross Unrealized Loss | |||||||
Mortgage-backed securities | 18 | $ | 106,405 | $ | 5,246 | |||||
Corporate | 9 | 26,685 | 4,067 | |||||||
State and municipal | 2 | 18,361 | 47 | |||||||
Foreign | 2 | 19,337 | 240 | |||||||
Total | 31 | $ | 170,788 | $ | 9,600 |
($ in thousands) | Carrying Value | Percent of Total | ||||
Pricing source: | ||||||
Independent pricing services | $ | 10,369,655 | 90.0 | % | ||
Syndicate manager | 97,590 | 0.8 | % | |||
Directly by the Company based on: | ||||||
Observable data | 1,015,261 | 8.8 | % | |||
Cash flow model | 50,922 | 0.4 | % | |||
Total | $ | 11,533,428 | 100.0 | % |
($ in thousands) | 2013 | 2012 | |||||
Insurance-Domestic: | |||||||
Gross premiums written | $ | 2,365,908 | $ | 2,089,572 | |||
Net premiums written | 1,953,964 | 1,752,262 | |||||
Net premiums earned | 1,810,375 | 1,656,803 | |||||
Loss ratio | 62.7 | % | 64.0 | % | |||
Expense ratio | 32.8 | % | 33.0 | % | |||
GAAP combined ratio | 95.5 | % | 97.0 | % | |||
Insurance-International: | |||||||
Gross premiums written | $ | 493,313 | $ | 417,566 | |||
Net premiums written | 406,580 | 342,970 | |||||
Net premiums earned | 351,311 | 298,386 | |||||
Loss ratio | 58.5 | % | 57.8 | % | |||
Expense ratio | 38.4 | % | 40.4 | % | |||
GAAP combined ratio | 96.9 | % | 98.2 | % | |||
Reinsurance-Global: | |||||||
Gross premiums written | $ | 390,336 | $ | 325,308 | |||
Net premiums written | 358,320 | 299,285 | |||||
Net premiums earned | 352,948 | 291,819 | |||||
Loss ratio | 59.4 | % | 60.9 | % | |||
Expense ratio | 35.7 | % | 38.1 | % | |||
GAAP combined ratio | 95.1 | % | 99.0 | % | |||
Consolidated: | |||||||
Gross premiums written | $ | 3,249,557 | $ | 2,832,446 | |||
Net premiums written | 2,718,864 | 2,394,517 | |||||
Net premiums earned | 2,514,634 | 2,247,008 | |||||
Loss ratio | 61.6 | % | 62.8 | % | |||
Expense ratio | 34.0 | % | 34.6 | % | |||
GAAP combined ratio | 95.6 | % | 97.4 | % |
(In thousands, except per share data) | 2013 | 2012 | |||||
Net income to common stockholders | $ | 232,572 | $ | 244,156 | |||
Weighted average diluted shares | 141,257 | 143,506 | |||||
Net income per diluted share | $ | 1.65 | $ | 1.70 |
• | Insurance-Domestic gross premiums increased 13% to $2,366 million in 2013 from $2,090 million in 2012. Gross premiums increased $75 million (13%) for workers' compensation, $125 million (20%) for other liability, $33 million (7%) for short-tail lines, $24 million (16%) for professional liability and $19 million (8%) for commercial automobile. |
• | Insurance-International gross premiums increased 18% to $493 million in 2013 from $418 million in 2012. Gross premiums increased $64 million (31%) for short-tail lines, $6 million (15%) for workers' compensation and $6 million (9%) for professional liability. |
• | Reinsurance-Global gross premiums increased 20% to $390 million in 2013 from $325 million in 2012. Gross premiums increased $45 million (22%) for casualty business and $20 million (17%) for property business. |
($ in thousands) | Amount | Average Annualized Yield | |||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
Fixed maturity securities, including cash and cash equivalents and loans receivable | $ | 229,039 | $ | 239,123 | 3.7 | % | 3.8 | % | |||||
Arbitrage trading account | 8,773 | 6,541 | 3.6 | 4.2 | |||||||||
Investment funds | 33,510 | 63,242 | 8.5 | 19.8 | |||||||||
Equity securities available for sale | 5,881 | 6,979 | 3.7 | 3.6 | |||||||||
Real estate | 6,257 | 5,524 | 2.1 | 3.1 | |||||||||
Gross investment income | 283,460 | 321,409 | 3.9 | % | 4.5 | % | |||||||
Investment expenses | (3,794 | ) | (2,540 | ) | |||||||||
Total | $ | 279,666 | $ | 318,869 | 3.8 | % | 4.4 | % |
• | Insurance-Domestic - The loss ratio of 62.7% in 2013 was 1.3 points lower than the loss ratio of 64.0% in 2012. Catastrophe losses were $30 million in 2013, the same as in 2012. Favorable prior year reserve development was $28 million in 2013 compared with $35 million in 2012, a difference of 0.6 loss ratio points. The loss ratio excluding catastrophe losses and prior year reserve development decreased 1.8 points to 62.5% in 2013 from 64.3% in 2012. |
• | Insurance-International - The loss ratio of 58.5% in 2013 was 0.7 points higher than the loss ratio of 57.8% in 2012. Prior year reserves increased by $2 million in 2013 compared with favorable prior year development of $3 million in |
• | Reinsurance-Global - The loss ratio of 59.4% in 2013 was 1.5 points lower than the loss ratio of 60.9% in 2012. There were $6 million in catastrophe losses in 2013 compared with $1 million in 2012, an increase of 1.4 loss ratio points. Favorable prior year reserve development was $16 million in 2013 and $17 million in 2012. The loss ratio excluding catastrophe losses and prior year reserve development decreased 4.2 points to 62.5% in 2013 from 66.7% in 2012 due to lower property losses. |
(In thousands) | 2013 | 2012 | |||||
Underwriting expenses | $ | 855,484 | $ | 777,943 | |||
Service expenses | 45,441 | 41,227 | |||||
Debt extinguishment costs | 6,709 | — | |||||
Net foreign currency gains | (4,771 | ) | (1,297 | ) | |||
Other costs and expenses | 73,027 | 62,664 | |||||
Total | $ | 975,890 | $ | 880,537 |
($ in thousands) | 2013 | 2012 | |||||
Insurance-Domestic: | |||||||
Gross premiums written | $ | 1,186,186 | $ | 1,051,138 | |||
Net premiums written | 967,784 | 869,319 | |||||
Net premiums earned | 925,997 | 846,734 | |||||
Loss ratio | 62.9 | % | 65.1 | % | |||
Expense ratio | 32.5 | % | 32.7 | % | |||
GAAP combined ratio | 95.4 | % | 97.8 | % | |||
Insurance-International: | |||||||
Gross premiums written | $ | 241,738 | $ | 217,062 | |||
Net premiums written | 201,445 | 174,976 | |||||
Net premiums earned | 180,192 | 154,501 | |||||
Loss ratio | 61.0 | % | 58.3 | % | |||
Expense ratio | 38.9 | % | 40.5 | % | |||
GAAP combined ratio | 99.9 | % | 98.8 | % | |||
Reinsurance-Global: | |||||||
Gross premiums written | $ | 190,012 | $ | 162,720 | |||
Net premiums written | 172,669 | 146,696 | |||||
Net premiums earned | 176,326 | 146,122 | |||||
Loss ratio | 63.9 | % | 61.6 | % | |||
Expense ratio | 35.1 | % | 38.6 | % | |||
GAAP combined ratio | 99.0 | % | 100.2 | % | |||
Consolidated: | |||||||
Gross premiums written | $ | 1,617,936 | $ | 1,430,920 | |||
Net premiums written | 1,341,898 | 1,190,991 | |||||
Net premiums earned | 1,282,515 | 1,147,357 | |||||
Loss ratio | 62.8 | % | 63.7 | % | |||
Expense ratio | 33.8 | % | 34.5 | % | |||
GAAP combined ratio | 96.6 | % | 98.2 | % |
(In thousands, except per share data) | 2013 | 2012 | |||||
Net income to common stockholders | $ | 115,957 | $ | 108,838 | |||
Weighted average diluted shares | 141,274 | 143,528 | |||||
Net income per diluted share | $ | 0.82 | $ | 0.76 |
• | Insurance-Domestic gross premiums increased 13% to $1,186 million in 2013 from $1,051 million in 2012. Gross premiums increased $85 million (27%) for other liability, $16 million (15%) for commercial automobile, $14 million (5%) for short-tail lines, $12 million (14%) for professional liability and $8 million (3%) for workers' compensation. |
• | Insurance-International gross premiums increased 11% to $242 million in 2013 from $217 million in 2012. Gross premiums increased $22 million (20%) for short-tail lines, $3 million (10%) for professional liability and $2 million (9%) for workers' compensation and decreased $2 million (7%) for other liability. |
• | Reinsurance-Global gross premiums increased 17% to $190 million in 2013 from $163 million in 2012. Gross premiums increased $25 million (26%) for casualty business and $2 million (3%) for property business. |
($ in thousands) | Amount | Average Annualized Yield | |||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||
Fixed maturity securities, including cash and cash equivalents and loans receivable | $ | 111,203 | $ | 119,835 | 3.6 | % | 3.8 | % | |||||
Arbitrage trading account | 4,990 | 60 | 3.5 | 0.1 | |||||||||
Investment funds | 22,576 | 35,619 | 11.2 | 21.8 | |||||||||
Equity securities available for sale | 3,634 | 3,829 | 4.4 | 3.7 | |||||||||
Real estate | 3,116 | 3,348 | 2.1 | 3.7 | |||||||||
Gross investment income | 145,519 | 162,691 | 4.0 | % | 4.5 | % | |||||||
Investment expenses | (1,782 | ) | (1,441 | ) | |||||||||
Total | $ | 143,737 | $ | 161,250 | 3.9 | % | 4.4 | % |
• | Insurance-Domestic - The loss ratio of 62.9% in 2013 was 2.2 points lower than the loss ratio of 65.1% in 2012. Catastrophe losses were $26 million in both 2013 and 2012. Favorable prior year reserve development was $24 million in 2013 compared with $21 million in 2012. The loss ratio excluding catastrophe losses and prior year reserve development decreased 2.0 points to 62.5% in 2013 from 64.5% in 2012. |
• | Insurance-International - The loss ratio of 61.0% in 2013 was 2.7 points higher than the loss ratio of 58.3% in 2012. Prior year reserves increased $6 million in 2013 compared with none in 2012. The loss ratio excluding catastrophe losses and prior year reserve development decreased 1.9 points to 56.4% in 2013 from 58.3% in 2012. |
• | Reinsurance-Global - The loss ratio of 63.9% in 2013 was 2.3 points higher than the loss ratio of 61.6% in 2012. There were $5 million in catastrophe losses in 2013 compared with $1 million in 2012, an increase of 2.1 loss ratio points. Prior year reserves were unchanged in 2013 compared with favorable reserve development of $9 million in 2012, a difference of 5.9 loss ratio points. The loss ratio excluding catastrophe losses and prior year reserve development decreased 5.7 points to 61.6% in 2013 from 67.3% in 2012 due to lower property losses. |
(In thousands) | 2013 | 2012 | |||||
Underwriting expenses | $ | 433,271 | $ | 395,920 | |||
Service expenses | 23,136 | 21,635 | |||||
Debt extinguishment costs | 6,709 | — | |||||
Net foreign currency losses (gains) | (6,718 | ) | 137 | ||||
Other costs and expenses | 37,888 | 31,066 | |||||
Total | $ | 494,286 | $ | 448,758 |
($ in thousands) | Carrying Value | Percent of Total | ||||
Fixed maturity securities: | ||||||
U.S. government and government agencies | $ | 844,102 | 5.8 | % | ||
State and municipal: | ||||||
Special revenue | 1,987,799 | 13.7 | % | |||
Pre-refunded (1) | 670,987 | 4.6 | % | |||
State general obligation | 801,134 | 5.5 | % | |||
Local general obligation | 359,835 | 2.5 | % | |||
Corporate backed | 394,589 | 2.7 | % | |||
Total state and municipal | 4,214,344 | 28.9 | % | |||
Mortgage-backed securities: | ||||||
Agency | 1,096,535 | 7.5 | % | |||
Residential-Prime | 219,235 | 1.5 | % | |||
Residential-Alt A | 92,591 | 0.6 | % | |||
Commercial | 181,053 | 1.2 | % | |||
Total mortgage-backed securities | 1,589,414 | 10.9 | % | |||
Corporate: | ||||||
Industrial | 1,540,555 | 10.6 | % | |||
Financial | 929,279 | 6.4 | % | |||
Asset-backed | 1,049,126 | 7.2 | % | |||
Utilities | 229,827 | 1.6 | % | |||
Other | 117,072 | 0.8 | % | |||
Total corporate | 3,865,859 | 26.6 | % | |||
Foreign government and foreign government agencies | 1,121,459 | 7.7 | % | |||
Total fixed maturity securities | 11,635,178 | 79.9 | % | |||
Equity securities | ||||||
Common stocks | 330,636 | 2.3 | % | |||
Preferred stocks | 104,205 | 0.7 | % | |||
Total equity securities | 434,841 | 3.0 | % | |||
Investment funds | 858,394 | 5.9 | % | |||
Real estate | 589,936 | 4.1 | % | |||
Arbitrage trading account | 680,713 | 4.7 | % | |||
Loans receivable | 359,177 | 2.5 | % | |||
Total investments | $ | 14,558,239 | 100.0 | % |
(1) | Pre-refunded securities are securities for which an escrow account has been established to fund the remaining payments of principal and interest through maturity. Such escrow accounts are funded almost exclusively with U.S. Treasury and U.S. government agency securities. |
$ in thousands) | Government | Corporate | Total | ||||||||
Australia | $ | 231,716 | $ | 119,102 | $ | 350,818 | |||||
Canada | 133,684 | 52,800 | 186,484 | ||||||||
United Kingdom | 116,187 | 56,605 | 172,792 | ||||||||
Argentina | 117,520 | 39,981 | 157,501 | ||||||||
Germany | 74,471 | — | 74,471 | ||||||||
Norway | 61,123 | 61,123 | |||||||||
Brazil | 46,726 | — | 46,726 | ||||||||
Supranational (1) | 37,652 | — | 37,652 | ||||||||
Netherlands | — | 12,965 | 12,965 | ||||||||
Switzerland | — | 10,721 | 10,721 | ||||||||
Singapore | 6,805 | — | 6,805 | ||||||||
Uruguay | 3,401 | — | 3,401 | ||||||||
Total | $ | 829,285 | $ | 292,174 | $ | 1,121,459 |
Item 3. | Quantitative and Qualitative Disclosure About Market Risk |
Item 4. | Controls and Procedures |
Total number of shares purchased | Average price paid per share | Total number of shares purchased as part of publicly announced plans or programs | Maximum number of shares that may yet be purchased under the plans or programs | |||||||||||
April 2013 | — | $ | — | — | 9,068,093 | |||||||||
May 2013 | 178,864 | 40.80 | 178,864 | 8,889,229 | ||||||||||
June 2013 | 597,373 | $ | 40.28 | 597,373 | 8,291,856 |
Number | ||
(31.1) | Certification of the Chief Executive Officer pursuant to Rule 13a-14(a)/ 15d-14(a). | |
(31.2) | Certification of the Chief Financial Officer pursuant to Rule 13a-14(a)/ 15d-14(a). | |
(32.1) | Certification of the Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. |
W. R. BERKLEY CORPORATION | ||
Date: | August 6, 2013 | /s/ William R. Berkley |
William R. Berkley | ||
Chairman of the Board and Chief Executive Officer | ||
Date: | August 6, 2013 | /s/ Eugene G. Ballard |
Eugene G. Ballard | ||
Senior Vice President - Chief Financial Officer |
/s/ William R. Berkley | |
William R. Berkley | |
Chairman of the Board and Chief Executive Officer |
/s/ Eugene G. Ballard | |
Eugene G. Ballard | |
Senior Vice President - Chief Financial Officer |
(1) | The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ William R. Berkley |
William R. Berkley |
Chairman of the Board and Chief Executive Officer |
/s/ Eugene G. Ballard |
Eugene G. Ballard |
Senior Vice President — Chief Financial Officer |
Net Investment Income
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Investment Income [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Investment Income | Net Investment Income Net investment income consists of the following:
|
Arbitrage Trading Account (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
---|---|---|
Trading Securities [Abstract] | ||
Arbitrage trading account | $ 680,713 | $ 329,077 |
Consolidated Statements of Operations (USD $)
In Thousands, except Per Share data, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
Jun. 30, 2013
|
Jun. 30, 2012
|
|
REVENUES: | ||||
Net premiums written | $ 1,341,898 | $ 1,190,991 | $ 2,718,864 | $ 2,394,517 |
Change in net unearned premiums | (59,383) | (43,634) | (204,230) | (147,509) |
Net premiums earned | 1,282,515 | 1,147,357 | 2,514,634 | 2,247,008 |
Net investment income | 143,737 | 161,250 | 279,666 | 318,869 |
Insurance service fees | 27,652 | 27,036 | 54,388 | 50,913 |
Net investment gains | 33,058 | 24,286 | 53,027 | 67,763 |
Change in valuation allowance, net of other-than-temporary impairments | 0 | 0 | 0 | 4,014 |
Revenues from wholly-owned investees | 83,775 | 55,434 | 175,510 | 105,109 |
Other income | 225 | 384 | 506 | 776 |
Total revenues | 1,570,962 | 1,415,747 | 3,077,731 | 2,794,452 |
OPERATING COSTS AND EXPENSES: | ||||
Losses and loss expenses | 805,470 | 731,202 | 1,550,149 | 1,410,674 |
Other operating costs and expenses | 494,286 | 448,758 | 975,890 | 880,537 |
Expenses from wholly-owned investees | 81,293 | 54,931 | 170,445 | 106,261 |
Interest expense | 31,207 | 32,417 | 62,318 | 61,238 |
Total operating costs and expenses | 1,412,256 | 1,267,308 | 2,758,802 | 2,458,710 |
Income before income taxes | 158,706 | 148,439 | 318,929 | 335,742 |
Income tax expense | (43,579) | (39,535) | (87,204) | (91,606) |
Net income before noncontrolling interests | 115,127 | 108,904 | 231,725 | 244,136 |
Noncontrolling interests | 830 | (66) | 847 | 20 |
Net income to common stockholders | $ 115,957 | $ 108,838 | $ 232,572 | $ 244,156 |
NET INCOME PER SHARE: | ||||
Basic | $ 0.85 | $ 0.79 | $ 1.71 | $ 1.77 |
Diluted | $ 0.82 | $ 0.76 | $ 1.65 | $ 1.7 |
Recent Accounting Pronouncements
|
6 Months Ended |
---|---|
Jun. 30, 2013
|
|
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2013, the Financial Accounting Standards Board issued ASU 2013-02 relating to disclosures about items reclassified out of accumulated other comprehensive income ("AOCI"). The Company’s adoption of the updated guidance effective January 1, 2013 resulted in a change in the disclosures for AOCI in the Company’s consolidated financial statements but did not have any impact on the Company’s results of operations, financial position or liquidity. All recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company. |
Reinsurance
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reinsurance Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reinsurance | Reinsurance The following is a summary of reinsurance financial information:
The Company reinsures a portion of its exposures principally to reduce its net liability on individual risks and to protect against catastrophic losses. The Company also cedes premiums to state assigned risk plans and captive insurance companies. Estimated amounts due from reinsurers are reported net of reserves for uncollectible reinsurance of $2 million as of June 30, 2013 and December 31, 2012. |
Real Estate Real Estate (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
---|---|---|
Real Estate [Abstract] | ||
Properties in operation | $ 265,884 | $ 282,899 |
Properties under development | 324,052 | 323,836 |
Total | $ 589,936 | $ 606,735 |
Investment Funds
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Funds [Text Block] | Investment Funds Investment funds consist of the following:
The Company's share of the earnings or losses of investment funds is generally reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements. |
Statements of Cash Flow (Details) (USD $)
|
6 Months Ended | |
---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
|
Supplemental Cash Flow Information [Abstract] | ||
Interest payments | $ 65,365,000 | $ 55,616,000 |
Income taxes paid | $ 137,618,000 | $ 68,118,000 |
Real Estate Real Estate (Details 1) (USD $)
In Thousands, unless otherwise specified |
6 Months Ended | ||
---|---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
Dec. 31, 2012
|
|
Real Estate [Abstract] | |||
Accumulated depreciation and amortization on properties | $ 13,027 | $ 10,354 | |
Real estate depreciation expense | 3,420 | 3,781 | |
Lease future minimum payments 2013 | 737 | ||
Lease future minimum payments 2014 | 1,504 | ||
Lease future minimum payments 2015 | 1,549 | ||
Lease future minimum payments 2016 | 1,596 | ||
Lease future minimum payments 2017 | 1,644 | ||
Lease future minimum payments after 2017 | $ 329,013 |
Securities In An Unrealized Loss Position (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities In An Unrealized Loss Position | The following table summarizes all securities in an unrealized loss position at June 30, 2013 and December 31, 2012 by the length of time those securities have been continuously in an unrealized loss position:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-Investment Grade Fixed Maturity Securities | Fixed Maturity Securities – A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at June 30, 2013 is presented in the table below.
|
Industry Segments
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Industry Segments | Business Segments The Company’s financial results are presented for the following reportable business segments:
During the first quarter of 2013, the Company changed the aggregation of its business segments. All domestic insurance operating companies, previously included in the Specialty, Regional and Alternative Markets segments, were aggregated into the Insurance-Domestic segment; all reinsurance operating companies were aggregated into the Reinsurance-Global segment; and all international insurance companies were aggregated into the Insurance-International segment. The segment disclosures for prior periods have been revised to be consistent with the new reportable business segment presentation. The segment disclosures for the years ended December 31, 2012, 2011 and 2010, and as of December 31, 2012 and 2011, have also been included herein, revised for the new reportable business segment presentation. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Income tax expense and benefits are calculated based upon the Company’s overall effective tax rate. Summary financial information about the Company's business segments is presented in the following tables.
___________ (1) Corporate and eliminations represent corporate revenues and expenses that are not allocated to business segments. Identifiable assets by segment are as follows:
Net premiums earned by major line of business are as follows:
_____________________ (1) Short-tail lines includes commercial multi-peril (non-liability), inland and ocean marine, accident and health, fidelity and surety, boiler and machinery and other lines. |
Restricted Stock Units
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||
Restricted Stock Units | Restricted Stock Units Pursuant to its stock incentive plan, the Company may issue restricted stock units (RSUs) to employees of the Company and its subsidiaries. The RSUs generally vest five years from the award date and are subject to other vesting and forfeiture provisions contained in the award agreement. RSUs are expensed pro-ratably over the vesting period. RSU expenses were $11 million and $15 million for the six months ended June 30, 2013 and 2012, respectively. Grants of RSUs are made periodically, generally every other year. A summary of RSUs issued in the six months ended June 30, 2013 and 2012 follows:
|
Acquistions (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
---|---|---|
Business Acquisition [Line Items] | ||
Goodwill | $ 112,741 | $ 87,865 |
After Market Original Equipment Manufacturer
|
||
Business Acquisition [Line Items] | ||
Cash and cash equivalents | 3,911 | |
Real estate, furniture and equipment | 898 | |
Goodwill | 19,664 | |
Intangible assets | 44,800 | |
Other assets | 60,661 | |
Total assets acquired | 129,934 | |
Debt | (27,612) | |
Other liabilities assumed | (17,076) | |
Net assets acquired | $ 85,246 |
Investment Funds Investment Funds (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Investment Funds | Investment funds consist of the following:
|
Reinsurance (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reinsurance Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reinsurance Financial Information | The following is a summary of reinsurance financial information:
|
Investments In Fixed Maturity Securities (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Marketable Securities [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortized cost and fair value of fixed maturity securities by contractual maturity | The amortized cost and fair value of fixed maturity securities at June 30, 2013, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Securities [Member]
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Marketable Securities [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of investments in fixed maturity securities | At June 30, 2013 and December 31, 2012, investments in fixed maturity securities were as follows:
|
Fair Value Measurements (Assets and Liabilities Measured At Fair Value, On a Recurring Basis) (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
---|---|---|
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | $ 11,533,428 | $ 11,841,005 |
Equity securities | 434,841 | 376,022 |
Arbitrage trading account | 680,713 | 329,077 |
Level 1 | Fair Value, Measurements, Recurring [Member]
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Equity securities | 329,398 | 280,658 |
Assets, fair value disclosure | 509,239 | 514,261 |
Arbitrage trading account | 179,841 | 233,603 |
Securities sold but not yet purchased | 117,636 | 114,909 |
Level 1 | Fair Value, Measurements, Recurring [Member] | U.S. government and agency
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring [Member] | State and municipal
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring [Member] | Corporate
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring [Member] | Foreign
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 1 | Fair Value, Measurements, Recurring [Member] | Common stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 329,398 | 280,658 |
Level 1 | Fair Value, Measurements, Recurring [Member] | Preferred stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Level 2 | Fair Value, Measurements, Recurring [Member]
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 11,482,507 | 11,781,940 |
Equity securities | 100,428 | 93,335 |
Assets, fair value disclosure | 12,083,724 | 11,969,821 |
Arbitrage trading account | 500,789 | 94,546 |
Securities sold but not yet purchased | 54,354 | 6,558 |
Level 2 | Fair Value, Measurements, Recurring [Member] | U.S. government and agency
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 844,102 | 898,463 |
Level 2 | Fair Value, Measurements, Recurring [Member] | State and municipal
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 4,147,252 | 4,768,519 |
Level 2 | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 1,559,753 | 1,715,697 |
Level 2 | Fair Value, Measurements, Recurring [Member] | Corporate
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 3,809,941 | 3,287,654 |
Level 2 | Fair Value, Measurements, Recurring [Member] | Foreign
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 1,121,459 | 1,111,607 |
Level 2 | Fair Value, Measurements, Recurring [Member] | Common stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Level 2 | Fair Value, Measurements, Recurring [Member] | Preferred stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 100,428 | 93,335 |
Level 3 | Fair Value, Measurements, Recurring [Member]
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 50,921 | 59,065 |
Equity securities | 5,015 | 2,029 |
Assets, fair value disclosure | 56,019 | 62,022 |
Arbitrage trading account | 83 | 928 |
Securities sold but not yet purchased | 0 | 20 |
Level 3 | Fair Value, Measurements, Recurring [Member] | U.S. government and agency
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring [Member] | State and municipal
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring [Member] | Corporate
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 50,921 | 59,065 |
Level 3 | Fair Value, Measurements, Recurring [Member] | Foreign
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring [Member] | Common stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 1,238 | 1,408 |
Level 3 | Fair Value, Measurements, Recurring [Member] | Preferred stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 3,777 | 621 |
Fair Value | Fair Value, Measurements, Recurring [Member]
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 11,533,428 | 11,841,005 |
Equity securities | 434,841 | 376,022 |
Assets, fair value disclosure | 12,648,982 | 12,546,104 |
Arbitrage trading account | 680,713 | 329,077 |
Securities sold but not yet purchased | 171,990 | 121,487 |
Fair Value | Fair Value, Measurements, Recurring [Member] | U.S. government and agency
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 844,102 | 898,463 |
Fair Value | Fair Value, Measurements, Recurring [Member] | State and municipal
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 4,147,252 | 4,768,519 |
Fair Value | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 1,559,753 | 1,715,697 |
Fair Value | Fair Value, Measurements, Recurring [Member] | Corporate
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 3,860,862 | 3,346,719 |
Fair Value | Fair Value, Measurements, Recurring [Member] | Foreign
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities | 1,121,459 | 1,111,607 |
Fair Value | Fair Value, Measurements, Recurring [Member] | Common stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 330,636 | 282,066 |
Fair Value | Fair Value, Measurements, Recurring [Member] | Preferred stocks
|
||
Fair Value Measurements, Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | $ 104,205 | $ 93,956 |
Securities In An Unrealized Loss Position Securities In An Unrealized Loss Position (Narrative) (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
---|---|---|
Schedule of Available-for-sale Securities [Line Items] | ||
Aggregate fair value of securities in a continuous unrealized loss position | $ 2,971,800 | $ 1,536,923 |
Gross Unrealized Losses | 79,075 | 35,018 |
Preferred stocks
|
||
Schedule of Available-for-sale Securities [Line Items] | ||
Aggregate fair value of securities in a continuous unrealized loss position | 39,338 | 39,812 |
Gross Unrealized Losses | 4,384 | 1,651 |
Preferred stocks | Noninvestment Grade Investments [Member]
|
||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of securities | 3 | |
Aggregate fair value of securities in a continuous unrealized loss position | 39,000 | |
Gross Unrealized Losses | 4,000 | |
Common stocks
|
||
Schedule of Available-for-sale Securities [Line Items] | ||
Aggregate fair value of securities in a continuous unrealized loss position | 77,610 | 46,725 |
Gross Unrealized Losses | 5,360 | 707 |
Common stocks | Noninvestment Grade Investments [Member]
|
||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of securities | 6 | |
Aggregate fair value of securities in a continuous unrealized loss position | 78,000 | |
Gross Unrealized Losses | $ 5,000 |
Industry Segments (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial Information Of Company Operating Segments |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Identifiable Assets By Segment | ___________ (1) Corporate and eliminations represent corporate revenues and expenses that are not allocated to business segments. Identifiable assets by segment are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Premiums Earned By Major Line Of Business | Net premiums earned by major line of business are as follows:
|
Industry Segments (Financial Information of Company Operating Segments) (Details) (USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||||||||
---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
Jun. 30, 2013
|
Jun. 30, 2012
|
|||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | $ 1,282,515 | $ 1,147,357 | $ 2,514,634 | $ 2,247,008 | ||||||
Investment Income and Funds | 143,737 | 161,250 | 279,666 | 318,869 | ||||||
Other Revenues | 144,710 | 107,140 | 283,431 | 228,575 | ||||||
Total revenues | 1,570,962 | 1,415,747 | 3,077,731 | 2,794,452 | ||||||
Pre-Tax Income (Loss) | 158,706 | 148,439 | 318,929 | 335,742 | ||||||
Net Income (Loss) | 115,957 | 108,838 | 232,572 | 244,156 | ||||||
Net investment gains, before tax | 33,058 | 24,286 | 53,027 | 71,777 | ||||||
Net investment gains, net of tax | 21,488 | 15,850 | 34,468 | 46,932 | ||||||
Intersegment Eliminations and Corporate, Non-Segment [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 0 | 0 | 0 | [1] | 0 | [1] | ||||
Investment Income and Funds | (32) | 949 | 3,540 | [1] | 7,464 | [1] | ||||
Other Revenues | 84,000 | 55,818 | 176,016 | [1] | 105,885 | [1] | ||||
Total revenues | 83,968 | [1] | 56,767 | [1] | 179,556 | [1] | 113,349 | [1] | ||
Pre-Tax Income (Loss) | (64,021) | (61,723) | (125,440) | [1] | (116,983) | [1] | ||||
Net Income (Loss) | (38,782) | (40,335) | (76,426) | [1] | (76,177) | [1] | ||||
Insurance-Domestic Segment [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 925,997 | 846,734 | 1,810,375 | 1,656,803 | ||||||
Insurance-Domestic Segment [Member] | Operating Segments [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 925,997 | 846,734 | 1,810,375 | 1,656,803 | ||||||
Investment Income and Funds | 107,562 | 120,656 | 205,359 | 232,742 | ||||||
Other Revenues | 27,652 | 27,036 | 54,388 | 50,913 | ||||||
Total revenues | 1,061,211 | 994,426 | 2,070,122 | 1,940,458 | ||||||
Pre-Tax Income (Loss) | 152,334 | 144,640 | 293,684 | 292,375 | ||||||
Net Income (Loss) | 106,478 | 103,435 | 205,886 | 209,315 | ||||||
Insurance-International Segment [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 180,192 | 154,501 | 351,311 | 298,386 | ||||||
Insurance-International Segment [Member] | Operating Segments [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 180,192 | 154,501 | 351,311 | 298,386 | ||||||
Investment Income and Funds | 13,171 | 11,194 | 25,232 | 21,525 | ||||||
Other Revenues | 0 | 0 | 0 | 0 | ||||||
Total revenues | 193,363 | 165,695 | 376,543 | 319,911 | ||||||
Pre-Tax Income (Loss) | 12,583 | 13,782 | 34,965 | 29,481 | ||||||
Net Income (Loss) | 9,092 | 9,833 | 24,569 | 20,945 | ||||||
Reinsurance-Global Segment [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 176,326 | 146,122 | 352,948 | 291,819 | ||||||
Reinsurance-Global Segment [Member] | Operating Segments [Member]
|
||||||||||
Segment Reporting Information [Line Items] | ||||||||||
Earned Premiums | 176,326 | 146,122 | 352,948 | 291,819 | ||||||
Investment Income and Funds | 23,036 | 28,451 | 45,535 | 57,138 | ||||||
Other Revenues | 0 | 0 | 0 | 0 | ||||||
Total revenues | 199,362 | 174,573 | 398,483 | 348,957 | ||||||
Pre-Tax Income (Loss) | 24,752 | 27,454 | 62,693 | 59,092 | ||||||
Net Income (Loss) | $ 17,681 | $ 20,055 | $ 44,075 | $ 43,141 | ||||||
|
Fair Value Of Financial Instruments
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Of Financial Instruments | Fair Value Measurements The Company’s fixed maturity and equity securities available for sale and its arbitrage trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for similar assets in active markets. Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs may only be used to measure fair value to the extent that observable inputs are not available. Because many fixed maturity securities do not trade on a daily basis, the Company utilizes pricing models and processes, which may include benchmark curves, benchmarking of like securities, sector groupings and matrix pricing. Market inputs used to evaluate securities include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data. Quoted prices are often unavailable for recently issued securities, securities that are infrequently traded or securities that are only traded in private transactions. For publicly traded securities for which quoted prices are unavailable, the Company determines fair value based on independent broker quotations and other observable market data. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information. The following tables present the assets and liabilities measured at fair value, on a recurring basis, as of June 30, 2013 and December 31, 2012 by Level:
There were no significant transfers between Levels 1 and 2 during the six months ended June 30, 2013 or during the year ended December 31, 2012. The following tables summarize changes in Level 3 assets and liabilities for the six months ended June 30, 2013 and for the year ended December 31, 2012:
There were no significant transfers in or out of Level 3 during the six months ended June 30, 2013 or during the year ended December 31, 2012. Fair Value of Financial Instruments The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:
The estimated fair values of the Company’s fixed maturity securities, equity securities available for sale and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 16 above. The fair value of loans receivable are estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the junior subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input. |
Consolidated Statements of Stockholders' Equity (USD $)
In Thousands |
Total
|
Common stocks
|
Additional Paid-In Capital [Member]
|
Retained Earnings [Member]
|
Accumulated Other Comprehensive Income (Loss) [Member]
|
Unrealized Investment Gains (Losses) [Member]
|
Currency Translation Adjustments [Member]
|
Net Pension Asset [Member]
|
Treasury Stock [Member]
|
Noncontrolling Interest [Member]
|
---|---|---|---|---|---|---|---|---|---|---|
Stockholders' Equity, beginning of period at Dec. 31, 2011 | $ 47,024 | $ 941,109 | $ 4,491,162 | $ 430,419 | $ (61,239) | $ (14,329) | $ (1,880,790) | $ 7,526 | ||
Adjustments to Additional Paid in Capital Stock Issued During Period, Value, Stock Options Exercised, Value, Restricted Stock Issued Net of Tax Benefit Expense | (12,092) | |||||||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Restricted Stock Unit or Restricted Stock Award, Requisite Service Period Recognition | 14,792 | |||||||||
Stock issued to directors | 454 | 581 | ||||||||
Net income before noncontrolling interests | (244,136) | (244,156) | (20) | |||||||
Dividends | (23,482) | |||||||||
Unrealized investment gain related to non-controlling interest | 61,559 | 60,275 | ||||||||
Unrealized gains on other-than-temporarily impaired securities | 1,256 | |||||||||
Net change in period | (1,674) | (1,674) | ||||||||
Change in net pension asset, net of taxes | 1,647 | 1,647 | ||||||||
Stock exercised/vested | 23,393 | |||||||||
Stock repurchased | (54,878) | |||||||||
Contributions (distributions) | 1,524 | |||||||||
Net income (loss) | 20 | |||||||||
Other comprehensive income (loss), net of tax | 61,532 | 28 | ||||||||
Stockholders' Equity, end of period at Jun. 30, 2012 | 944,263 | 4,711,836 | 416,355 | 491,950 | (62,913) | (12,682) | (1,911,694) | 9,058 | ||
Stockholders' Equity, beginning of period at Dec. 31, 2012 | 4,335,466 | 47,024 | 945,166 | 4,817,807 | 517,658 | (36,676) | (15,351) | (1,969,411) | 29,249 | |
Adjustments to Additional Paid in Capital Stock Issued During Period, Value, Stock Options Exercised, Value, Restricted Stock Issued Net of Tax Benefit Expense | (311) | |||||||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Restricted Stock Unit or Restricted Stock Award, Requisite Service Period Recognition | 10,694 | |||||||||
Stock issued to directors | 535 | 597 | ||||||||
Net income before noncontrolling interests | (231,725) | (232,572) | (847) | |||||||
Dividends | (25,814) | |||||||||
Unrealized investment gain related to non-controlling interest | (189,250) | (189,594) | ||||||||
Unrealized gains on other-than-temporarily impaired securities | 339 | |||||||||
Net change in period | (69,779) | (69,779) | ||||||||
Change in net pension asset, net of taxes | 3,628 | 3,628 | ||||||||
Stock exercised/vested | 882 | |||||||||
Stock repurchased | (31,362) | |||||||||
Contributions (distributions) | (1,356) | |||||||||
Net income (loss) | 847 | |||||||||
Other comprehensive income (loss), net of tax | (255,401) | (255,401) | (69,779) | 3,628 | 5 | |||||
Stockholders' Equity, end of period at Jun. 30, 2013 | 4,265,655 | 956,084 | 5,024,565 | 210,225 | 328,403 | (106,455) | (11,723) | (1,999,294) | 27,051 | |
Stockholders' Equity, beginning of period at Mar. 31, 2013 | ||||||||||
Net income before noncontrolling interests | (115,127) | |||||||||
Unrealized investment gain related to non-controlling interest | (197,060) | |||||||||
Net change in period | (23,156) | |||||||||
Change in net pension asset, net of taxes | 1,814 | |||||||||
Net income (loss) | 830 | |||||||||
Other comprehensive income (loss), net of tax | (218,402) | (218,402) | (23,156) | 1,814 | ||||||
Stockholders' Equity, end of period at Jun. 30, 2013 | $ 4,265,655 | $ 210,225 | $ (106,455) | $ (11,723) |
General
|
6 Months Ended |
---|---|
Jun. 30, 2013
|
|
General Policies Disclosure [Abstract] | |
General | General The accompanying unaudited consolidated financial statements of W. R. Berkley Corporation and its subsidiaries (the “Company”) have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information. Accordingly, they do not include all the information and notes required by GAAP for annual financial statements. The unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring items, which are necessary to present fairly the Company’s financial position and results of operations on a basis consistent with the prior audited consolidated financial statements. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year. All significant intercompany accounts and transactions have been eliminated. The preparation of financial statements requires the use of management estimates. For further information related to a description of areas of judgment and estimates and other information necessary to understand the Company’s financial position and results of operations, refer to the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012. Reclassifications have been made in the 2012 financial statements as originally reported to conform to the presentation of the 2013 financial statements. The income tax provision has been computed based on the Company’s estimated annual effective tax rate. The effective tax rate for the quarter differs from the federal income tax rate of 35% principally because of tax-exempt investment income. |
Acquistions (Notes)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Combinations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions | Acquisitions In 2012, the Company acquired a 49% interest in a worldwide supplier of after-market original equipment manufacturer (OEM) parts, systems and custom logistic support services for military aircraft operations for $43 million. In January 2013, the Company acquired the remaining 51% of this business for $43 million. The estimated useful lives of the intangible assets acquired range from 2 years to 15 years, with approximately $3 million having an indefinite life. The following table summarizes the estimated fair value of net assets acquired and liabilities assumed at the date of acquisition:
|
Per Share Data
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Per Share Data | Per Share Data The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding during the period. Diluted EPS is based upon the weighted average number of common and common equivalent shares outstanding during the period and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect. Stock options for which the exercise price exceeds the average market price over the period have an anti-dilutive effect on EPS and, accordingly, are excluded from the calculation. The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:
|
Fair Value of Financial Instruments (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Carrying Amounts And Estimated Fair Values Of Financial Instruments | The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:
|
Per Share Data (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Weighted average number of common shares used in computation of basic and diluted earnings per share | The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:
|
Investments in Equity Securities (Tables) (Equity Securities [Member])
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Securities [Member]
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Available-for-sale Securities [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Investments in Equity Securities | At June 30, 2013 and December 31, 2012, investments in equity securities were as follows:
|
Industry Segments (Net Premiums Earned By Major Line of Business) (Details) (USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||||||||
---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
Jun. 30, 2013
|
Jun. 30, 2012
|
|||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | $ 1,282,515 | $ 1,147,357 | $ 2,514,634 | $ 2,247,008 | ||||||
Insurance-Domestic Segment [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 925,997 | 846,734 | 1,810,375 | 1,656,803 | ||||||
Insurance-Domestic Segment [Member] | Other Liability [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 307,444 | 257,781 | 603,032 | 531,345 | ||||||
Insurance-Domestic Segment [Member] | Workers' Compensation [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 241,191 | 224,562 | 470,202 | 414,106 | ||||||
Insurance-Domestic Segment [Member] | Short-tail lines [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 192,938 | [1] | 189,390 | [1] | 371,687 | [1] | 363,292 | [1] | ||
Insurance-Domestic Segment [Member] | Commercial Automobile [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 119,900 | 112,532 | 236,022 | 222,899 | ||||||
Insurance-Domestic Segment [Member] | Products Liability [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 64,524 | 62,469 | 129,432 | 125,161 | ||||||
Insurance-International Segment [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 180,192 | 154,501 | 351,311 | 298,386 | ||||||
Insurance-International Segment [Member] | Other Liability [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 15,070 | 17,745 | 30,288 | 33,279 | ||||||
Insurance-International Segment [Member] | Workers' Compensation [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 21,746 | 19,898 | 44,635 | 38,516 | ||||||
Insurance-International Segment [Member] | Short-tail lines [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 84,301 | [1] | 63,831 | [1] | 156,424 | [1] | 116,309 | [1] | ||
Insurance-International Segment [Member] | Commercial Automobile [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 32,392 | 29,606 | 67,031 | 60,274 | ||||||
Insurance-International Segment [Member] | Products Liability [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 26,683 | 23,421 | 52,933 | 50,008 | ||||||
Reinsurance-Global Segment [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 176,326 | 146,122 | 352,948 | 291,819 | ||||||
Reinsurance-Global Segment [Member] | Short-tail lines [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | 54,209 | 42,848 | 109,504 | 83,456 | ||||||
Reinsurance-Global Segment [Member] | Casualty [Member]
|
||||||||||
Revenue from External Customer [Line Items] | ||||||||||
Net premiums earned | $ 122,117 | $ 103,274 | $ 243,444 | $ 208,363 | ||||||
|
Realized And Unrealized Investment Gains (Losses) (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2013
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized Investment Gains (Losses) [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Realized and Unrealized Investment Gains (Losses) | Realized and unrealized investment gains and losses are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized Gain (Loss) on Investments |
|
Industry Segments (Identifiable Assets by Segment) (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2013
|
Dec. 31, 2012
|
||||
---|---|---|---|---|---|---|
Segment Reporting, Asset Reconciling Item [Line Items] | ||||||
Consolidated Assets | $ 20,211,542 | $ 20,155,896 | ||||
Operating Segments [Member] | Reinsurance-Global Segment [Member]
|
||||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||||
Consolidated Assets | 2,965,565 | 3,337,937 | ||||
Operating Segments [Member] | Insurance-International Segment [Member]
|
||||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||||
Consolidated Assets | 1,449,188 | 1,541,365 | ||||
Operating Segments [Member] | Insurance-Domestic Segment [Member]
|
||||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||||
Consolidated Assets | 14,849,126 | 14,661,476 | ||||
Intersegment Eliminations and Corporate, Non-Segment [Member]
|
||||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||||
Consolidated Assets | $ 947,663 | [1] | $ 615,118 | [1] | ||
|
Investment Funds Investment Funds (Details) (USD $)
In Thousands, unless otherwise specified |
6 Months Ended | ||
---|---|---|---|
Jun. 30, 2013
|
Jun. 30, 2012
|
Dec. 31, 2012
|
|
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | $ 858,394 | $ 809,689 | |
Income (Losses) from Investment Funds | 33,510 | 63,242 | |
Real estate
|
|||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 381,855 | 373,259 | |
Income (Losses) from Investment Funds | 1,260 | 11,290 | |
Energy
|
|||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 146,966 | 146,325 | |
Income (Losses) from Investment Funds | 25,199 | 49,780 | |
Arbitrage
|
|||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 65,651 | 63,920 | |
Income (Losses) from Investment Funds | 1,731 | (662) | |
Other
|
|||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 263,922 | 226,185 | |
Income (Losses) from Investment Funds | $ 5,320 | $ 2,834 |