Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense consists of:

(In thousands)	Current Expense		Deferred Expense		Total
December 31, 2013
Domestic	$	116,802	$	47,370	$	164,172
Foreign	22,362		7,053		29,415
Total expense	$	139,164	$	54,423	$	193,587
December 31, 2012
Domestic	$	156,339	$	11,448	$	167,787
Foreign	23,029		469		23,498
Total expense	$	179,368	$	11,917	$	191,285
December 31, 2011
Domestic	$	60,420	$	37,176	$	97,596
Foreign	22,011		2,338		24,349
Total expense	$	82,431	$	39,514	$	121,945

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the income tax expense and the amounts computed by applying the Federal and foreign income tax rate of 35% to pre-tax income are as follows:

(In thousands)	2013			2012			2011
Computed “expected” tax expense	$	244,611		$	245,675		$	179,580
Tax-exempt investment income	(40,679		)	(50,665		)	(57,246		)
Change in valuation allowance	—			—			(2,328		)
Impact of lower foreign tax rates	(4,851		)	(5,234		)	(3,199		)
State and local taxes	2,906			(753		)	2,355
Other, net	(8,400		)	2,262			2,783
Total expense	$	193,587		$	191,285		$	121,945

Schedule of Deferred Tax Assets and Liabilities

(In thousands)	2013			2012			2011
Computed “expected” tax expense	$	244,611		$	245,675		$	179,580
Tax-exempt investment income	(40,679		)	(50,665		)	(57,246		)
Change in valuation allowance	—			—			(2,328		)
Impact of lower foreign tax rates	(4,851		)	(5,234		)	(3,199		)
State and local taxes	2,906			(753		)	2,355
Other, net	(8,400		)	2,262			2,783
Total expense	$	193,587		$	191,285		$	121,945

At December 31, 2013 and 2012, the tax effects of differences that give rise to significant portions of the deferred tax asset and deferred tax liability are as follows:

(In thousands)	2013		2012
Deferred tax asset:
Loss reserve discounting	$	87,394	$	119,547
Unearned premiums	149,107		132,014
Other-than-temporary impairments	49,483		62,187
Restricted stock units	52,671		49,553
Other	92,698		83,740
Gross deferred tax asset	431,353		447,041
Less valuation allowance	—		—
Deferred tax asset	431,353		447,041
Deferred tax liability:
Amortization of intangibles	11,886		12,458
Deferred policy acquisition costs	136,635		120,532
Unrealized investment gains	148,215		274,497
Other	114,497		99,809
Deferred tax liability	411,233		507,296
Net deferred tax asset (liability)	$	20,120	$	(60,255	)