Investments (Tables)

6 Months Ended

Jun. 30, 2024

Investments

Gross unrealized gains and losses on investments in securities

	As of June 30, 2024
	Cost or		Allowance for		Gross Unrealized				Estimated
	Amortized		Expected Credit						Fair
	Cost		Losses		Gains		Losses (3)		Value
U.S. Treasury securities	$	2,419	$	—	$	1	$	(114)	$	2,306
Obligations of states and political subdivisions		38,470		—		189		(2,674)		35,985
Residential mortgage-backed securities (1)		279,750		—		698		(26,690)		253,758
Commercial mortgage-backed securities		144,908		—		70		(13,814)		131,164
Other asset-backed securities		52,265		—		159		(2,369)		50,055
Corporate and other securities		602,423		(1,387)		2,807		(34,014)		569,829
Subtotal, fixed maturity securities		1,120,235		(1,387)		3,924		(79,675)		1,043,097
Equity securities (2)		196,039		—		28,192		(7,797)		216,434
Other invested assets (4)		154,195		—		—		—		154,195
Totals	$	1,470,469	$	(1,387)	$	32,116	$	(87,472)	$	1,413,726

	As of December 31, 2023
	Cost or		Allowance for		Gross Unrealized				Estimated
	Amortized		Expected Credit						Fair
	Cost		Losses		Gains		Losses (3)		Value
U.S. Treasury securities	$	2,420	$	—	$	15	$	(115)	$	2,320
Obligations of states and political subdivisions		38,682		—		262		(2,421)		36,523
Residential mortgage-backed securities (1)		267,271		—		1,945		(21,979)		247,237
Commercial mortgage-backed securities		153,923		—		200		(14,273)		139,850
Other asset-backed securities		64,043		—		217		(2,927)		61,333
Corporate and other securities		594,343		(1,208)		3,785		(32,038)		564,882
Subtotal, fixed maturity securities		1,120,682		(1,208)		6,424		(73,753)		1,052,145
Equity securities (2)		221,809		—		25,707		(9,494)		238,022
Other invested assets (4)		133,946		—		—		—		133,946
Totals	$	1,476,437	$	(1,208)	$	32,131	$	(83,247)	$	1,424,113

(1) Residential mortgage-backed securities consist primarily of obligations of U.S. Government agencies including collateralized mortgage obligations issued, guaranteed and/or insured by the following issuers: Government National Mortgage Association (GNMA), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA) and the Federal Home Loan Bank (FHLB).

(2) Equity securities include common stock, preferred stock, mutual funds and interests in mutual funds held to fund the Company’s executive deferred compensation plan.

(3) The Company’s investment portfolio included 887 and 861 securities in an unrealized loss position at June 30, 2024 and December 31, 2023, respectively.

(4) Other invested assets are accounted for under the equity method which approximated fair value.

Amortized cost and the estimated fair value of fixed maturity securities, by maturity

	As of June 30, 2024
	Amortized		Estimated
	Cost		Fair Value
Due in one year or less	$	49,547	$	48,009
Due after one year through five years		341,408		324,956
Due after five years through ten years		231,402		215,777
Due after ten years through twenty years		20,706		19,088
Due after twenty years		249		290
Asset-backed securities		476,923		434,977
Totals	$	1,120,235	$	1,043,097

Gross realized gains and losses on sales of investments

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Gross realized gains
Fixed maturity securities	$	76	$	300	$	306	$	839
Equity securities		3,125		1,843		6,262		3,366
Gross realized losses
Fixed maturity securities		(331)		(300)		(694)		(922)
Equity securities		(155)		(1,735)		(2,667)		(2,442)
Net realized gains on investments	$	2,715	$	108	$	3,207	$	841

Gross unrealized losses included in the Company's investment portfolio and the fair value of those securities

	As of June 30, 2024
	Less than 12 Months				12 Months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury securities	$	—	$	—	$	1,706	$	114	$	1,706	$	114
Obligations of states and political subdivisions		3,623		71		28,676		2,603		32,299		2,674
Residential mortgage-backed securities		36,371		538		175,123		26,152		211,494		26,690
Commercial mortgage-backed securities		632		14		125,375		13,800		126,007		13,814
Other asset-backed securities		9,481		185		23,496		2,184		32,977		2,369
Corporate and other securities		53,157		1,412		361,811		32,602		414,968		34,014
Subtotal, fixed maturity securities		103,264		2,220		716,187		77,455		819,451		79,675
Equity securities		25,271		2,789		28,096		5,008		53,367		7,797
Total temporarily impaired securities	$	128,535	$	5,009	$	744,283	$	82,463	$	872,818	$	87,472

	As of December 31, 2023
	Less than 12 Months				12 Months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury securities	$	—	$	—	$	1,708	$	115	$	1,708	$	115
Obligations of states and political subdivisions		403		17		28,893		2,404		29,296		2,421
Residential mortgage-backed securities		11,248		167		182,794		21,812		194,042		21,979
Commercial mortgage-backed securities		4,067		108		130,493		14,165		134,560		14,273
Other asset-backed securities		5,973		224		46,600		2,703		52,573		2,927
Corporate and other securities		39,453		1,338		369,163		30,700		408,616		32,038
Subtotal, fixed maturity securities		61,144		1,854		759,651		71,899		820,795		73,753
Equity securities		34,272		3,079		45,797		6,415		80,069		9,494
Total temporarily impaired securities	$	95,416	$	4,933	$	805,448	$	78,314	$	900,864	$	83,247

Reconciliation of beginning and ending balances of allowance for expected credit losses on fixed maturities classified as available for sale

	Three Months Ended June 30,				Six Months Ended June 30,
		2024		2023	2024		2023
Beginning of period	$	1,349	$	1,600	$	1,208	$	678
Credit losses on securities with no previously recorded credit losses		41		363		41		717
Net increases (decreases) in allowance on previously impaired securities		11		(246)		152		322
Reduction due to sales		(14)		(82)		(14)		(82)
Writeoffs charged against allowance		—		—		—		—
Recoveries of amounts previously written off		—		—		—		—
Ending balance of period	$	1,387	$	1,635	$	1,387	$	1,635

Components of net investment income

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Interest on fixed maturity securities	$	11,154	$	11,960	$	24,102	$	23,704
Dividends on equity securities		1,480		1,484		3,147		3,094
Equity in earnings of other invested assets		1,650		1,194		3,057		2,280
Interest on other assets		79		34		161		65
Total investment income		14,363		14,672		30,467		29,143
Investment expenses		863		836		1,736		1,653
Net investment income	$	13,500	$	13,836	$	28,731	$	27,490

Fair value measurements for investments

	As of June 30, 2024
	Total		Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
U.S. Treasury securities	$	2,306	$	—	$	2,306	$	—
Obligations of states and political subdivisions		35,985		—		35,985		—
Residential mortgage-backed securities		253,758		—		253,758		—
Commercial mortgage-backed securities		131,164		—		131,164		—
Other asset-backed securities		50,055		—		50,055		—
Corporate and other securities		569,829		—		569,829		—
Equity securities		184,002		181,882		—		2,120
Total investment securities	$	1,227,099	$	181,882	$	1,043,097	$	2,120

	As of December 31, 2023
	Total		Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
U.S. Treasury securities	$	2,320	$	—	$	2,320	$	—
Obligations of states and political subdivisions		36,523		—		36,523		—
Residential mortgage-backed securities		247,237		—		247,237		—
Commercial mortgage-backed securities		139,850		—		139,850		—
Other asset-backed securities		61,333		—		61,333		—
Corporate and other securities		564,882		—		564,882		—
Equity securities		204,849		202,763		—		2,086
Total investment securities	$	1,256,994	$	202,763	$	1,052,145	$	2,086

Changes in the Company's Level 3 fair value securities

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
	Level 3		Level 3		Level 3		Level 3
	Fair Value		Fair Value		Fair Value		Fair Value
	Securities		Securities		Securities		Securities
Balance at beginning of period	$	2,086	$	2,935	$	2,086	$	2,255
Net gains and losses included in earnings		—		—		—		—
Net gains included in other comprehensive income		—		—		—		—
Purchases		372		—		372		680
Sales		(338)		(643)		(338)		(643)
Transfers into Level 3		—		—		—		—
Transfers out of Level 3		—		—		—		—
Balance at end of period	$	2,120	$	2,292	$	2,120	$	2,292
Amount of total losses included in earnings attributable to the change in unrealized losses related to assets still held at end of period	$	—	$	—	$	—	$	—