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Investments (Tables)
6 Months Ended
Jun. 30, 2024
Investments [Abstract]  
Debt Securities, Available-for-sale
The amortized cost, gross unrealized gains, gross unrealized losses, and estimated fair value of the Company’s available-for-sale (AFS) investments were as follows:
Amortized
Cost
Allowance for Current Expected Credit LossesGross
Unrealized
Gains
Gross
Unrealized
Losses
Estimated
Fair Value
(in millions)
At June 30, 2024
Fixed maturity securities
U.S. Treasuries$70.4 $— $0.2 $(3.0)$67.6 
U.S. Agencies2.3 — — (0.1)2.2 
States and municipalities189.2 — 1.6 (5.8)185.0 
Corporate securities1,004.1 (0.7)4.0 (65.7)941.7 
Residential mortgage-backed securities424.3 — 0.4 (45.4)379.3 
Commercial mortgage-backed securities70.4 (0.4)— (5.6)64.4 
Asset-backed securities180.7 (0.2)0.9 (4.2)177.2 
Collateralized loan obligations63.6 — — (0.1)63.5 
Foreign government securities12.7 — — (2.9)9.8 
Other securities(1)
118.9 (0.6)0.8 (0.4)118.7 
Total fixed maturity securities$2,136.6 $(1.9)$7.9 $(133.2)$2,009.4 
Short-term investments30.9 — — — 30.9 
Total AFS investments$2,167.5 $(1.9)$7.9 $(133.2)$2,040.3 
At December 31, 2023
Fixed maturity securities
U.S. Treasuries$60.3 $— $0.6 $(2.5)$58.4 
U.S. Agencies2.2 — — (0.1)2.1 
States and municipalities212.3 — 3.1 (5.2)210.2 
Corporate securities952.8 (2.1)8.3 (63.2)895.8 
Residential mortgage-backed securities399.3 — 0.9 (38.0)362.2 
Commercial mortgage-backed securities70.2 — — (6.4)63.8 
Asset-backed securities131.8 — 1.0 (4.8)128.0 
Collateralized loan obligations92.2 — — (0.7)91.5 
Foreign government securities12.7 — — (2.3)10.4 
Other securities(1)
114.2 (0.6)1.0 (0.7)113.9 
Total fixed maturity securities$2,048.0 $(2.7)$14.9 $(123.9)$1,936.3 
Short-term investments33.1 — — — 33.1 
Total AFS investments$2,081.1 $(2.7)$14.9 $(123.9)$1,969.4 
(1)Other securities within fixed maturity securities consist of bank loans, which are classified as AFS and reported at fair value.
Equity securities table
The cost and estimated fair value of the Company’s equity securities recorded at fair value at June 30, 2024 and December 31, 2023 were as follows:
CostEstimated Fair Value
(in millions)
At June 30, 2024
Equity securities at fair value
Industrial and miscellaneous$111.5 $202.5 
Other22.9 30.1 
Total equity securities at fair value$134.4 $232.6 
At December 31, 2023
Equity securities at fair value
Industrial and miscellaneous$104.4 $181.7 
Other21.5 29.5 
Total equity securities at fair value$125.9 $211.2 
Other invested assets The Company had Other invested assets totaling $97.5 million and $91.5 million (initial cost of $86.5 million and $82.5 million) at June 30, 2024 and December 31, 2023, respectively, consisting of private equity limited partnerships, which are carried at NAV based on information provided by the general partner. These investments are non-redeemable until conversion and are periodically evaluated by the Company for impairment based on the ultimate recovery of the investment. Changes in the value of these investments are recorded through Net realized and unrealized gains or losses on the Company’s Consolidated Statements of Comprehensive Income (Loss).
Investments classified by contractual maturity date table
The amortized cost and estimated fair value of the Company’s fixed maturity securities at June 30, 2024, by contractual maturity, are shown below. Expected maturities differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
Amortized CostEstimated Fair Value
(in millions)
Due in one year or less$46.3 $45.6 
Due after one year through five years644.6 622.5 
Due after five years through ten years613.0 571.7 
Due after ten years93.7 85.2 
Mortgage and asset-backed securities739.0 684.4 
Total$2,136.6 $2,009.4 
Unrealized loss on investments table
The following is a summary of AFS investments that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for 12 months or greater in each case as of June 30, 2024 and December 31, 2023.
June 30, 2024December 31, 2023
Estimated Fair ValueGross
Unrealized
Losses
Number of IssuesEstimated Fair ValueGross
Unrealized
Losses
Number of Issues
(dollars in millions)
Less than 12 months:
Fixed maturity securities
U.S. Treasuries$20.1 $(0.1)$11.9 $(0.1)
States and municipalities33.0 (0.5)13 39.5 (0.3)15 
Corporate securities134.6 (1.4)36 26.1 (0.8)13 
Residential mortgage-backed securities
42.4 (0.3)25 15.8 (0.2)15 
Asset-backed securities66.3 (0.4)22 24.0 (0.1)15 
Collateralized loan obligations— — — — — — 
Other securities
23.3 (0.3)117 12.6 (0.1)70 
Total fixed maturity securities319.7 (3.0)220 129.9 (1.6)133 
Total less than 12 months$319.7 $(3.0)220 $129.9 $(1.6)133 
12 months or greater:
Fixed maturity securities
U.S. Treasuries$34.8 $(2.9)11 $23.7 $(2.4)
U.S. Agencies
2.2 (0.1)2.2 (0.1)
States and municipalities83.6 (5.3)36 73.5 (4.9)32 
Corporate securities666.7 (64.3)282 684.5 (62.4)331 
Residential mortgage-backed securities
293.6 (45.1)234 306.6 (37.8)228 
Commercial mortgage-backed securities
52.5 (5.6)23 53.0 (6.4)24 
Asset-backed securities48.6 (3.8)36 47.0 (4.7)29 
Collateralized loan obligations5.4 (0.1)80.5 (0.7)21 
Foreign government securities9.8 (2.9)10.4 (2.3)
Other securities3.0 (0.1)22 10.2 (0.6)58 
Total fixed maturity securities1,200.2 (130.2)650 1,291.6 (122.3)733 
Total 12 months or greater$1,200.2 $(130.2)650 $1,291.6 $(122.3)733 
Unrealized gain (loss) on investments
Net realized gains and losses on investments and the change in unrealized gains and losses on the Company’s investments recorded at fair value are determined on a specific-identification basis and were as follows:
Gross Realized GainsGross Realized Losses
Net Decrease
 in CECL Allowance
Change in Net Unrealized Gains (Losses)Changes in Fair Value Reflected in Earnings
Changes in Fair Value Reflected in AOCI (1), before tax
(in millions)
Three Months Ended June 30, 2024
Fixed maturity securities$0.2 $(5.0)$1.3 $(2.7)$(3.5)$(2.7)
Equity securities4.1 (0.4)— (0.3)3.4 — 
Other invested assets— — — 2.3 2.3 — 
Total investments$4.3 $(5.4)$1.3 $(0.7)$2.2 $(2.7)
Six Months Ended June 30, 2024
Fixed maturity securities$0.3 $(5.5)$0.8 $(16.4)$(4.4)$(16.4)
Equity securities4.2 (0.9)— 12.7 16.0 — 
Other invested assets— — — 2.0 2.0 — 
Total investments$4.5 $(6.4)$0.8 $(1.7)$13.6 $(16.4)
Three Months Ended June 30, 2023
Fixed maturity securities$0.3 $(2.0)$1.6 $(19.4)$(0.1)$(19.4)
Equity securities— (2.1)— 11.8 9.7 — 
Other invested assets— — — 1.7 1.7 — 
Total investments$0.3 $(4.1)$1.6 $(5.9)$11.3 $(19.4)
Six Months Ended June 30, 2023
Fixed maturity securities$0.7 $(2.6)$0.2 $10.7 $(1.7)$10.7 
Equity securities0.1 (3.4)— 19.6 16.3 — 
Other invested assets— — — 3.1 3.1 — 
Total investments$0.8 $(6.0)$0.2 $33.4 $17.7 $10.7 
Investment income table
Net investment income was as follows:
Three Months EndedSix Months Ended
June 30,June 30,
 2024202320242023
 (in millions)
Fixed maturity securities$23.1 $23.4 $45.4 $47.1 
Equity securities1.7 1.8 3.3 3.6 
Other invested assets1.4 0.9 2.6 1.8 
Short-term investments0.4 0.5 0.9 1.7 
Cash equivalents and restricted cash1.2 0.9 3.5 1.8 
Gross investment income27.8 27.5 55.7 56.0 
Investment expenses(0.9)(0.7)(1.9)(1.6)
Net investment income$26.9 $26.8 $53.8 $54.4