Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2013

Accounting Policies [Abstract]

Significant Accounting Policies [Text Block]

Summary of Significant Accounting Policies

Fortegra's interim Consolidated Financial Statements as of September 30, 2013 and 2012 are unaudited and have been prepared following the significant accounting policies disclosed in Note 2 of the Notes to Consolidated Financial Statements of the Company's 2012 Form 10-K.

Principles of Consolidation

The Consolidated Financial Statements include the accounts of Fortegra Financial Corporation and its majority-owned and controlled subsidiaries. All material intercompany account balances and transactions have been eliminated. The third-party ownership of 15% of the common stock of SFLAC and 37.6% of the ownership interests of ProtectCELL, LLC, which is treated as a partnership for income tax purposes, have been reflected as non-controlling interests on the Consolidated Balance Sheets. At September 30, 2013, the non-controlling interests for ProtectCELL and SFLAC were $4.9 million and $0.6 million, respectively.

Income (loss) attributable to these non-controlling interests has been reflected on the Consolidated Statements of Income as income (loss) attributable to non-controlling interests and on the Consolidated Statements of Comprehensive Income as comprehensive income (loss) attributable to non-controlling interests.

Certain changes to the Consolidated Balance Sheet amounts for December 31, 2012 have been made in accordance with accounting for business combinations, to reflect the retrospective adjustments made during the measurement period, to the preliminary amounts recorded for the estimated fair value of acquired net assets. Please see the note, "Business Acquisitions and Dispositions," for more information on the measurement period adjustments.

Comprehensive Income (Loss)

Comprehensive income (loss) includes both net income and other items of comprehensive income (loss) comprised of unrealized gains and losses on investment securities classified as available-for-sale and unrealized gains and losses on the interest rate swap, net of the related tax effects, and net of amounts attributable to non-controlling interests.

Use of Estimates

Preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Reclassifications

Certain items in prior period financial statements have been reclassified to conform to the current presentation, which had no material impact on net income, comprehensive income or loss, net cash provided by operating activities or stockholders' equity.  The table below shows costs previously reported as components of other operating expenses that have been reclassified into member benefit claims for the three months ended March 31, 2013 and June 30, 2013.

	For the Three Months Ended
	March 31, 2013							June 30, 2013
Income Statement Line Item	As Previously Reported		Amount Reclassified			As Restated		As Previously Reported		Amount Reclassified			As Restated
Member benefit claims	$	8,978	$	388		$	9,366	$	11,114	$	310		$	11,424
Other operating expenses	9,805		(388		)	9,417		10,481		(310		)	10,171
Net Income	$	2,493	$	—		$	2,493	$	4,442	$	—		$	4,442

Subsequent Events

The Company reviewed material events subsequent to September 30, 2013 that occurred up to the date the Company's Consolidated Financial Statements were issued, and determined that no events required recognition or disclosure in these Consolidated Financial Statements and/or the notes thereto.