Indebtedness

3 Months Ended

Mar. 31, 2020

The table below provides a summary of our outstanding debt at March 31, 2020, and December 31, 2019:



Outstanding Debt	Issuance Date	Maturity Date	Interest Rate		Original Amount	2020		Carry Value
($ in thousands)	Issuance Date	Maturity Date	Interest Rate		Original Amount	Unamortized Issuance Costs	Debt Discount	March 31, 2020	December 31, 2019
Description
Short-term
Issuance:
FHLBNY	3/12/2020	9/14/2020	0.78	%	100,000	—	—	100,000	—
FHLBNY	3/18/2020	9/18/2020	0.68	%	85,000	—	—	85,000	—
FHLBI	3/19/2020	12/14/2020	0.58	%	67,000	—	—	67,000	—
Line of Credit	3/24/2020	9/24/2020	2.244	%	50,000	—	—	50,000	—
Total short-term debt						—	—	302,000	—

Other Outstanding:
FHLBI	12/16/2016	12/16/2026	3.03	%	60,000	—	—	60,000	60,000
FHLBNY	8/15/2016	8/16/2021	1.56	%	25,000	—	—	25,000	25,000
FHLBNY	7/21/2016	7/21/2021	1.61	%	25,000	—	—	25,000	25,000
Senior Notes	11/3/2005	11/1/2035	6.70	%	100,000	346	515	99,139	99,125
Senior Notes	11/16/2004	11/15/2034	7.25	%	50,000	180	89	49,731	49,725
Senior Notes	3/1/2019	3/1/2049	5.375	%	300,000	3,092	5,823	291,085	291,010

Finance lease obligations								622	737
Total long-term debt						3,618	6,427	550,577	550,597

Total debt						3,618	6,427	852,577	550,597

Our long-term debt balance did not materially change from December 31, 2019. However, we increased our short-term debt by $302 million during the First Quarter 2020 as a contingency in light of the COVID-19-related volatility and uncertainty in the financial markets. The proceeds from these short-term borrowings were invested in high-quality money market funds, and for the most part, were to increase liquidity and operating flexibility in the next few quarters.

Our short-term borrowings in First Quarter 2020 consisted of the following:


•	On February 18, 2020, Selective Insurance Company of America (“SICA”) borrowed short-term funds of $85 million from the FHLBNY at an interest rate of 1.81%. This borrowing was refinanced upon its maturity on March 18, 2020, at a lower interest rate of 0.68%. This borrowing matures on September 18, 2020.


•	On March 12, 2020, SICA borrowed $100 million from the FHLBNY at an interest rate of 0.78%. This borrowing matures on September 14, 2020.


•	On March 19, 2020 Selective Insurance Company of South Carolina ("SISC") and Selective Insurance Company of the Southeast ("SISE") borrowed $39 million and $28 million, respectively, from the FHLBI at an interest rate of 0.58%. These borrowings mature on December 14, 2020.

•

On March 24, 2020, Selective Insurance Group ("SIGI") borrowed $50 million on its line of credit issued by the Bank of Montreal at an interest rate of 2.244%. The borrowings can be repaid at anytime, without a prepayment penalty, through the December 20, 2022 maturity of the line of credit. The interest rate is based on a spread over 180 LIBOR and will reset on September 24, 2020 if the borrowings under the line of credit remain outstanding at that time.

As of March 31, 2020, we were compliant with our required financial debt covenants under the line of credit.

For additional information on our indebtedness and debt covenants, see Note 10. "Indebtedness" in Item 8. "Financial Statements and Supplementary Data." of our 2019 Annual Report.