XML 23 R14.htm IDEA: XBRL DOCUMENT v3.22.2
Investments In Fixed Maturity Securities
 6 Months Ended
Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]  
Investments In Fixed Maturity Securities Investments in Fixed Maturity Securities
    At June 30, 2022 and December 31, 2021, investments in fixed maturity securities were as follows:
 
(In thousands)Amortized
Cost		Allowance for Expected Credit Losses (1)Gross UnrealizedFair
Value		Carrying
Value
GainsLosses
June 30, 2022
Held to maturity:
State and municipal$46,486 $(127)$5,347 $— $51,706 $46,359 
Residential mortgage-backed4,155 — 170 — 4,325 4,155 
Total held to maturity50,641 (127)5,517 — 56,031 50,514 
Available for sale:
U.S. government and government agency762,615 — 1,213 (42,914)720,914 720,914 
State and municipal:
Special revenue1,937,329 — 6,636 (76,329)1,867,636 1,867,636 
State general obligation378,081 — 3,957 (13,458)368,580 368,580 
Pre-refunded200,716 — 3,232 (49)203,899 203,899 
Corporate backed166,591 — 453 (6,836)160,208 160,208 
Local general obligation418,962 — 6,593 (8,615)416,940 416,940 
Total state and municipal3,101,679 — 20,871 (105,287)3,017,263 3,017,263 
Mortgage-backed:
Residential1,181,482 — 794 (110,774)1,071,502 1,071,502 
Commercial413,090 — 552 (8,045)405,597 405,597 
Total mortgage-backed1,594,572 — 1,346 (118,819)1,477,099 1,477,099 
Asset-backed4,421,553 — 484 (129,549)4,292,488 4,292,488 
Corporate:
Industrial3,412,383 (164)2,643 (199,225)3,215,637 3,215,637 
Financial1,909,682 (18)341 (98,344)1,811,661 1,811,661 
Utilities448,342 — 249 (26,490)422,101 422,101 
Other247,531 — 29 (7,834)239,726 239,726 
Total corporate6,017,938 (182)3,262 (331,893)5,689,125 5,689,125 
Foreign government1,748,422 (33,096)528 (111,743)1,604,111 1,604,111 
Total available for sale17,646,779 (33,278)27,704 (840,205)16,801,000 16,801,000 
Total investments in fixed maturity securities$17,697,420 $(33,405)$33,221 $(840,205)$16,857,031 $16,851,514 
____________
(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.
(In thousands)Amortized
Cost		Allowance for Expected Credit Losses (1)Gross UnrealizedFair
Value		Carrying
Value
GainsLosses
December 31, 2021
Held to maturity:
State and municipal$69,539 $(387)$10,813 $— $79,965 $69,152 
Residential mortgage-backed4,829 — 632 — 5,461 4,829 
Total held to maturity74,368 (387)11,445 — 85,426 73,981 
Available for sale:
U.S. government and government agency851,128 — 8,509 (4,294)855,343 855,343 
State and municipal:
Special revenue2,016,382 — 62,961 (5,706)2,073,637 2,073,637 
State general obligation388,110 — 23,152 (1,015)410,247 410,247 
Pre-refunded202,633 — 14,891 (574)216,950 216,950 
Corporate backed166,943 — 7,191 (1,532)172,602 172,602 
Local general obligation401,974 — 29,455 (732)430,697 430,697 
Total state and municipal3,176,042 — 137,650 (9,559)3,304,133 3,304,133 
Mortgage-backed:
Residential 940,744 — 9,896 (11,321)939,319 939,319 
Commercial125,709 — 3,388 (341)128,756 128,756 
Total mortgage-backed securities1,066,453 — 13,284 (11,662)1,068,075 1,068,075 
Asset-backed4,504,950 — 4,409 (18,794)4,490,565 4,490,565 
Corporate:
Industrial3,231,520 (16)62,751 (21,092)3,273,163 3,273,163 
Financial1,739,282 — 30,709 (6,591)1,763,400 1,763,400 
Utilities396,242 — 13,262 (3,202)406,302 406,302 
Other154,210 — 125 (1,525)152,810 152,810 
Total corporate5,521,254 (16)106,847 (32,410)5,595,675 5,595,675 
Foreign government1,277,109 (22,222)7,508 (47,494)1,214,901 1,214,901 
Total available for sale16,396,936 (22,238)278,207 (124,213)16,528,692 16,528,692 
Total investments in fixed maturity securities$16,471,304 $(22,625)$289,652 $(124,213)$16,614,118 $16,602,673 
____________
(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.
The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the six months ended June 30, 2022 and 2021:
(In thousands)20222021
Allowance for expected credit losses, beginning of period$387 $798 
Provision for expected credit losses(260)(345)
Allowance for expected credit losses, end of period$127 $453 
The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended June 30, 2022 and 2021:
(In thousands)20222021
Allowance for expected credit losses, beginning of period$378 $730 
Provision for expected credit losses(251)(277)
Allowance for expected credit losses, end of period$127 $453 
The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the six months ended June 30, 2022 and 2021:
20222021
(In thousands)Foreign GovernmentCorporateTotalForeign GovernmentCorporateTotal
Allowance for expected credit losses, beginning of period$22,222 $16 22,238 $1,264 $518 $1,782 
Expected credit losses on securities for which credit losses were not previously recorded1,897 182 2,079 18,990 16 19,006 
Expected credit losses (gains) on securities for which credit losses were previously recorded9,010 (16)8,994 (861)(517)(1,378)
Reduction due to disposals(33)— (33)(494)(5)(499)
Allowance for expected credit losses, end of period$33,096 $182 $33,278 $18,899 $12 $18,911 

During the six months ended June 30, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to an increase in unrealized losses primarily associated with foreign government securities. During the six months ended June 30, 2021, the Company increased the allowance for expected credit losses for available for sale securities, mainly due to foreign government securities that had no reserve in prior periods.
The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended June 30, 2022 and 2021:

20222021
(In thousands)Foreign GovernmentCorporateTotalForeign GovernmentCorporateTotal
Allowance for expected credit losses, beginning of period$26,153 $— $26,153 $19,993 $16 $20,009 
Expected credit losses on securities for which credit losses were not previously recorded1,413 182 1,595 — — — 
Expected credit losses (gains) on securities for which credit losses were previously recorded5,563 — 5,563 (600)(4)(604)
Reduction due to disposals(33)— (33)(494)— (494)
Allowance for expected credit losses, end of period$33,096 $182 $33,278 $18,899 $12 $18,911 
The amortized cost and fair value of fixed maturity securities at June 30, 2022, 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 (1)		Fair
Value
Due in one year or less$1,859,431 $1,829,253 
Due after one year through five years8,188,520 7,879,921 
Due after five years through ten years3,970,551 3,716,098 
Due after ten years2,080,064 1,950,335 
Mortgage-backed securities1,598,727 1,481,424 
Total$17,697,293 $16,857,031 
________________
(1) Amortized cost is reduced by the allowance for expected credit losses of $127 thousand related to held to maturity securities.    
At June 30, 2022 and December 31, 2021, there were no investments that exceeded 10% of common stockholders' equity, other than investments in United States government and government agency securities.