XML 50 R36.htm IDEA: XBRL DOCUMENT v3.20.4
Investments (Tables)
 12 Months Ended
Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]  
Schedule of Components of Net Investment Income
The major components of net investment income are as follows:
 Years Ended December 31,
 202020192018
 (In thousands)
Gross investment income:   
Debt and equity securities$373,479 403,372 399,645 
Mortgage loans13,162 12,595 12,066 
Policy loans3,361 3,539 3,185 
Derivative gains (losses)14,754 123,207 (80,004)
Short term investments2,160 2,974 2,249 
Other investment income12,698 13,057 13,289 
Total investment income419,614 558,744 350,430 
Less investment expenses2,412 3,252 1,353 
Net investment income$417,202 555,492 349,077 
Schedule of Mortgage Loans by Geographic Region The diversification of the portfolio by geographic region, property type, and loan-to-value ratio was as follows:
 December 31, 2020December 31, 2019
Amount%Amount%
 (In thousands) (In thousands) 
Mortgage Loans by Geographic Region:
West South Central$201,501 60.1 $191,089 70.0 
East North Central16,478 4.9 17,248 6.3 
South Atlantic51,857 15.5 35,698 13.1 
East South Central27,590 8.2 8,063 2.9 
West North Central12,423 3.7 12,505 4.6 
Pacific6,228 1.9 6,436 2.4 
Middle Atlantic1,975 0.6 2,058 0.7 
Mountain16,955 5.1 — — 
Gross balance335,007 100.0 273,097 100.0 
Allowance for credit losses(2,486)(0.7)(675)(0.2)
Totals$332,521 99.3 $272,422 99.8 
Schedule of Mortgage Loans by Property Type
 December 31, 2020December 31, 2019
Amount%Amount%
 (In thousands) (In thousands) 
Mortgage Loans by Property Type:
Retail$92,173 27.5 $91,790 33.6 
Office111,735 33.3 95,362 34.9 
Storage facility53,591 16.0 30,619 11.2 
Industrial29,131 8.7 5,733 2.1 
Hotel8,372 2.5 8,997 3.3 
Land/lots4,680 1.4 4,829 1.8 
Apartments29,743 8.9 30,000 11.0 
All other5,582 1.7 5,767 2.1 
Gross balance335,007 100.0 273,097 100.0 
Allowance for credit losses(2,486)(0.7)(675)(0.2)
Totals$332,521 99.3 $272,422 99.8 
Schedule of Mortgage Loans by Loan-to-Value Ratio
 December 31, 2020December 31, 2019
Amount%Amount%
 (In thousands) (In thousands) 
Mortgage Loans by Loan-to-Value Ratio (1):
Less than 50%$66,635 19.9 $52,778 19.3 
50% to 60%64,536 19.3 56,929 20.8 
60% to 70%153,414 45.8 117,377 43.0 
70% to 80%50,422 15.0 46,013 16.9 
80% to 90%— — — — 
Gross balance335,007 100.0 273,097 100.0 
Allowance for credit losses(2,486)(0.7)(675)(0.2)
Totals$332,521 99.3 $272,422 99.8 

(1)  Loan-to-Value Ratio is determined using the most recent appraised value. Appraisals are required at the time of funding and may be updated if a material change occurs from the original loan agreement.
Schedule of Allowance for Mortgage Loan
The following table represents the mortgage loan allowance for credit losses.

Years Ended December 31,
 20202019
 (In thousands)
Mortgage Loans Allowance for Credit Losses:
Balance, beginning of the period$675 675 
Impact of adoption of new accounting guidance504 — 
Provision during the period1,307 — 
Releases— — 
Balance, end of period$2,486 675 
Schedule of Contractual Maturities of Mortgage Loan Principal Balances
The contractual maturities of mortgage loan principal balances at December 31, 2020 and 2019 were as follows:

 December 31, 2020December 31, 2019
Amount%Amount%
 (In thousands) (In thousands) 
Principal Balance by Contractual Maturity:
Due in one year or less$4,208 1.3 $497 0.2 
Due after one year through five years60,826 18.1 34,306 12.5 
Due after five years through ten years154,787 46.1 142,477 52.1 
Due after ten years through fifteen years107,662 32.1 96,359 35.2 
Due after fifteen years7,977 2.4 — — 
Totals$335,460 100.0 $273,639 100.0 
Schedule of Amortized Costs and Fair Values of Securities Available for Sale
The table below presents amortized costs and fair values of debt securities available-for-sale at December 31, 2020.

 Debt Securities Available-for-Sale
 Amortized CostGross Unrealized GainsGross Unrealized LossesFair ValueAllowance for Credit Losses
 (In thousands)
Debt securities:    
US government agencies$72,945 2,496 — 75,441 — 
US treasury3,152 126 — 3,278 — 
States and political subdivisions528,266 37,909 (86)566,089 — 
Foreign governments11,115 334 — 11,449 — 
Public utilities831,990 77,920 — 909,910 — 
Corporate7,376,104 727,470 (4,601)8,098,973 — 
Commercial mortgage-backed30,108 1,363 — 31,471 — 
Residential mortgage-backed902,974 50,970 (156)953,788 — 
Asset-backed117,889 2,635 — 120,524 — 
Totals$9,874,543 901,223 (4,843)10,770,923 — 
The table below presents amortized costs and fair values of debt securities available-for-sale at December 31, 2019.

 Debt Securities Available-for-Sale
 Amortized CostGross Unrealized GainsGross Unrealized LossesFair Value
 (In thousands)
Debt securities:    
States and political subdivisions$98,037 4,495 (3)102,529 
Foreign governments9,983 203 — 10,186 
Public utilities67,895 3,476 — 71,371 
Corporate2,921,431 141,705 (2,479)3,060,657 
Commercial mortgage-backed28,871 1,071 — 29,942 
Residential mortgage-backed12,815 1,077 (117)13,775 
Asset-backed67,088 1,397 — 68,485 
Totals$3,206,120 153,424 (2,599)3,356,945 
Schedule of Amortized Costs and Fair Values of Securities Held to Maturity
The table below presents amortized costs and fair values of debt securities held-to-maturity at December 31, 2019.

 Debt Securities Held-to-Maturity
 Amortized CostGross Unrealized GainsGross Unrealized LossesFair Value
 (In thousands)
Debt securities:    
U.S. agencies $100,910 1,686 — 102,596 
U.S. Treasury3,782 140 — 3,922 
States and political subdivisions431,433 19,440 (84)450,789 
Foreign governments 1,144 55 — 1,199 
Public utilities888,444 36,638 (83)924,999 
Corporate4,607,826 212,281 (718)4,819,389 
Commercial mortgage-backed3,032 52 — 3,084 
Residential mortgage-backed1,066,899 32,706 (716)1,098,889 
Asset-backed2,775 62 (1)2,836 
Totals$7,106,245 303,060 (1,602)7,407,703 
Schedule of Gross Unrealized Losses and Fair Values of Available-for-Sale Investments, Continuous Unrealized Loss Position
The following table shows the gross unrealized losses and fair values of the Company's available-for-sale investments by investment category and length of time the individual securities have been in a continuous unrealized loss position at December 31, 2020.

 Debt Securities Available-For-Sale
 Less than 12 Months12 Months or GreaterTotal
 Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
 (In thousands)
Debt securities:      
States and political subdivisions$— — 1,762 (86)1,762 (86)
Public utilities— — — — — — 
Corporate bonds174,252 (3,836)36,152 (765)210,404 (4,601)
Residential mortgage-backed— — 500 (156)500 (156)
Total$174,252 (3,836)38,414 (1,007)212,666 (4,843)
The following table shows the gross unrealized losses and fair values of the Company's available-for-sale investments by investment category, and length of time the individual securities have been in a continuous unrealized loss position at December 31, 2019.

 Debt Securities Available-For-Sale
 Less than 12 Months12 Months or GreaterTotal
Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
 (In thousands)
Debt securities:      
States and political subdivisions$470 (3)— — 470 (3)
Public utilities— — — — — — 
Corporate bonds40,080 (105)28,582 (2,374)68,662 (2,479)
Residential mortgage-backed— — 710 (117)710 (117)
Total$40,550 (108)29,292 (2,491)69,842 (2,599)
Schedule of Gross Unrealized Losses and Fair Values of Held-to-Maturity Investments, Continuous Unrealized Loss Position
The following table shows the gross unrealized losses and fair values of the Company's held-to-maturity investments by investment category and length of time the individual securities have been in a continuous unrealized loss position at December 31, 2019.

 Debt Securities Held-to-Maturity
 Less than 12 Months12 Months or GreaterTotal
 Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
 (In thousands)
Debt securities:      
States and political subdivisions$5,013 (33)1,712 (51)6,725 (84)
Public utilities2,345 (83)— — 2,345 (83)
Corporate bonds31,419 (337)17,191 (381)48,610 (718)
Residential mortgage-backed25,859 (63)43,498 (653)69,357 (716)
Asset-backed1,349 (1)— — 1,349 (1)
Total$65,985 (517)62,401 (1,085)128,386 (1,602)
Schedule of Amortized Cost and Fair Value of Investments In Debt Securities
The amortized cost and fair value of investments in debt securities at December 31, 2020, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
 Debt Securities Available-for-Sale
 Amortized CostFair Value
 (In thousands)
Due in 1 year or less$686,634 695,720 
Due after 1 year through 5 years4,357,824 4,683,122 
Due after 5 years through 10 years2,441,991 2,755,827 
Due after 10 years1,337,123 1,530,471 
 8,823,572 9,665,140 
Mortgage and asset-backed securities1,050,971 1,105,783 
Total before allowance for credit losses 9,874,54310,770,923
Allowance for credit losses— — 
Total$9,874,543 10,770,923 
Schedule of Realized Gains (Losses) Excluding Impairments The table below details the nature of realized gains and losses, excluding impairments, during the year.
 Years Ended December 31,
 202020192018
 (In thousands)
Available-for-sale debt securities:   
Realized gains on disposal$5,677 3,798 3,447 
Realized losses on disposal— (1,011)(6)
Held-to-maturity debt securities:
   Realized gains on redemption12,734 4,390 3,208 
   Realized losses on redemption(1)— — 
Real estate2,661 6,911 1,799 
Mortgage loans— — (25)
Other— — — 
Totals$21,071 14,088 8,423 
Allowance for Debt Securities Held to Maturity The following table presents the allowance for credit losses for December 31, 2020.
December 31, 2020
 Debt Securities Held-to-MaturityDebt Securities Available-for- Sale
 (In thousands)
Balance, beginning of period$— — 
Impact of adoption of new accounting guidance3,334 — 
(Releases)/provision during period(3,334)— 
 
Balance, end of period$— — 
Allowance for Debt Securities Available for Sale The following table presents the allowance for credit losses for December 31, 2020.
December 31, 2020
 Debt Securities Held-to-MaturityDebt Securities Available-for- Sale
 (In thousands)
Balance, beginning of period$— — 
Impact of adoption of new accounting guidance3,334 — 
(Releases)/provision during period(3,334)— 
 
Balance, end of period$— — 
Schedule of Net Unrealized Gains (Losses) on Investment Securities
Net unrealized gains (losses) on investment securities included in stockholders' equity at December 31, 2020 and 2019, are as follows:

 December 31,
 20202019
 (In thousands)
Gross unrealized gains$901,222 153,417 
Gross unrealized losses(4,843)(2,603)
Adjustments for: 
Deferred policy acquisition costs and sales inducements(366,327)(61,372)
Deferred Federal income tax expense(111,311)(18,783)
 418,741 70,659 
Net unrealized gains related to securities transferred to held-to-maturity— — 
Net unrealized gains (losses) on investment securities$418,741 70,659