Investments In Fixed Maturity Securities |
Investments in Fixed Maturity Securities At December 31, 2013 and 2012, investments in fixed maturity securities were as follows: | | | | | | | | | | | | | | | | | | | | | (In thousands) | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | | Carrying Value | December 31, 2013 | |
| | |
| | |
| | |
| | |
| Held to maturity: | |
| | |
| | |
| | |
| | |
| State and municipal | $ | 68,929 |
| | $ | 11,172 |
| | $ | — |
| | $ | 80,101 |
| | $ | 68,929 |
| Residential mortgage-backed securities | 27,393 |
| | 3,311 |
| | — |
| | 30,704 |
| | 27,393 |
| Corporate | 4,998 |
| | 417 |
| | — |
| | 5,415 |
| | 4,998 |
| Total held to maturity | 101,320 |
| | 14,900 |
| | — |
| | 116,220 |
| | 101,320 |
| Available for sale: | | | | | | | | | | U.S. government and government agency | 858,319 |
| | 34,522 |
| | (7,982 | ) | | 884,859 |
| | 884,859 |
| State and municipal | 4,085,791 |
| | 162,330 |
| | (29,837 | ) | | 4,218,284 |
| | 4,218,284 |
| Mortgage-backed securities: | | | | | | | | | | Residential(1) | 1,248,693 |
| | 25,895 |
| | (25,941 | ) | | 1,248,647 |
| | 1,248,647 |
| Commercial | 76,454 |
| | 5,670 |
| | (988 | ) | | 81,136 |
| | 81,136 |
| Corporate | 4,076,585 |
| | 156,256 |
| | (30,100 | ) | | 4,202,741 |
| | 4,202,741 |
| Foreign government | 844,469 |
| | 51,674 |
| | (16,286 | ) | | 879,857 |
| | 879,857 |
| Total available for sale | 11,190,311 |
| | 436,347 |
| | (111,134 | ) | | 11,515,524 |
| | 11,515,524 |
| Total investment in fixed maturity securities | $ | 11,291,631 |
| | $ | 451,247 |
| | $ | (111,134 | ) | | $ | 11,631,744 |
| | $ | 11,616,844 |
|
| | | | | | | | | | | | | | | | | | | | | December 31, 2012 | |
| | |
| | |
| | |
| | |
| Held to maturity: | |
| | |
| | |
| | |
| | |
| State and municipal | $ | 65,190 |
| | $ | 18,529 |
| | $ | — |
| | $ | 83,719 |
| | $ | 65,190 |
| Residential mortgage-backed securities | 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 | 3,378,884 |
| | 235,289 |
| | (12,525 | ) | | 3,601,648 |
| | 3,601,648 |
| Foreign government | 794,880 |
| | 62,380 |
| | (582 | ) | | 856,678 |
| | 856,678 |
| Total available for sale | 11,115,003 |
| | 758,662 |
| | (32,660 | ) | | 11,841,005 |
| | 11,841,005 |
| Total investment in fixed maturity securities | $ | 11,217,954 |
| | $ | 783,082 |
| | $ | (32,660 | ) | | $ | 11,968,376 |
| | $ | 11,943,956 |
|
_______________________________________ | | (1) | Gross unrealized losses for mortgage-backed securities include $1,961,247 and $3,037,000, as of December 31, 2013 and 2012, respectively, related to the non-credit portion of OTTI recognized in other comprehensive income. |
The amortized cost and fair value of fixed maturity securities at December 31, 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. | | | | | | | | | (In thousands) | Amortized Cost | | Fair Value | Due in one year or less | $ | 926,865 |
| | $ | 935,322 |
| Due after one year through five years | 3,411,033 |
| | 3,548,043 |
| Due after five years through ten years | 3,046,756 |
| | 3,191,387 |
| Due after ten years | 2,554,437 |
| | 2,596,505 |
| Mortgage-backed securities | 1,352,540 |
| | 1,360,487 |
| Total | $ | 11,291,631 |
| | $ | 11,631,744 |
|
At December 31, 2013 and 2012, there were no investments, other than investments in United States government and government agency securities, which exceeded 10% of common stockholders’ equity. At December 31, 2013, investments with a carrying value of $1,017 million were on deposit in custodial or trust accounts, of which $745 million was on deposit with state insurance departments, $211 million was on deposit in support of the Company’s underwriting activities at Lloyd’s, $48 million was on deposit as security for reinsurance clients and $13 million was on deposit as security for letters of credit issued in support of the Company’s reinsurance operations. |