Comprehensive Income

3 Months Ended

Mar. 31, 2017

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Comprehensive Income

Comprehensive Income

The components of comprehensive income, both gross and net of tax, for First Quarter 2017 and First Quarter 2016 are as follows:

First Quarter 2017
($ in thousands)	Gross			Tax		Net
Net income	$	67,574		17,134		50,440
Components of OCI:
Unrealized gains on investment securities:
Unrealized holding gains during period	25,785			9,024		16,761
Amounts reclassified into net income:
HTM securities	(49		)	(17	)	(32	)
Realized losses on AFS securities	1,510			529		981
Total unrealized gains on investment securities	27,246			9,536		17,710
Defined benefit pension and post-retirement plans:
Amounts reclassified into net income:
Net actuarial loss	507			177		330
Total defined benefit pension and post-retirement plans	507			177		330
Other comprehensive income	27,753			9,713		18,040
Comprehensive income	$	95,327		26,847		68,480

First Quarter 2016
($ in thousands)	Gross			Tax		Net
Net income	$	51,875		14,843		37,032
Components of OCI:
Unrealized gains on investment securities:
Unrealized holding gains during period	65,737			23,008		42,729
Amounts reclassified into net income:
HTM securities	(72		)	(25	)	(47	)
Realized losses on AFS securities	2,699			945		1,754
Total unrealized gains on investment securities	68,364			23,928		44,436
Defined benefit pension and post-retirement plans:
Amounts reclassified into net income:
Net actuarial loss	1,516			530		986
Total defined benefit pension and post-retirement plans	1,516			530		986
Other comprehensive income	69,880			24,458		45,422
Comprehensive income	$	121,755		39,301		82,454

The balances of, and changes in, each component of AOCI (net of taxes) as of March 31, 2017 were as follows:

March 31, 2017								Defined Benefit Pension and Post-Retirement Plans
	Net Unrealized Gain on Investment Securities									Total AOCI
($ in thousands)	OTTI Related			HTM Related		All Other	Investments Subtotal
Balance, December 31, 2016	$	(150	)	102		42,170	42,122	(58,072	)	(15,950	)
OCI before reclassifications	—			—		16,761	16,761	—		16,761
Amounts reclassified from AOCI	—			(32	)	981	949	330		1,279
Net current period OCI	—			(32	)	17,742	17,710	330		18,040
Balance, March 31, 2017	$	(150	)	70		59,912	59,832	(57,742	)	2,090

The reclassifications out of AOCI were as follows:

	Quarter ended March 31,					Affected Line Item in the Unaudited Consolidated Statement of Income
($ in thousands)	2017			2016
HTM related
Unrealized losses on HTM disposals	13			28		Net realized losses
Amortization of net unrealized gains on HTM securities	(62		)	(100	)	Net investment income earned
	(49		)	(72	)	Income before federal income tax
	17			25		Total federal income tax expense
	(32		)	(47	)	Net income
Realized losses (gains) on AFS and OTTI
Realized losses (gains) on AFS disposals and OTTI	1,510			2,699		Net realized losses
	1,510			2,699		Income before federal income tax
	(529		)	(945	)	Total federal income tax expense
	981			1,754		Net income
Defined benefit pension and post-retirement life plans
Net actuarial loss	110			329		Losses and loss expenses incurred
	397			1,187		Policy acquisition costs
Total defined benefit pension and post-retirement life	507			1,516		Income before federal income tax
	(177		)	(530	)	Total federal income tax expense
	330			986		Net income
Total reclassifications for the period	$	1,279		2,693		Net income