Segment Information

6 Months Ended

Jun. 30, 2019

Segment Reporting [Abstract]

Segment Information

6 - Segment Information

We evaluate the performance of our personal lines and commercial lines segments based upon the underwriting results of our insurance subsidiaries using statutory accounting principles (“SAP”) that various state insurance departments prescribe or permit. Our management uses SAP to measure the performance of our insurance subsidiaries instead of United States generally accepted accounting principles (“GAAP”). SAP financial measures are considered non-GAAP financial measures under applicable SEC rules because they include or exclude certain items that the most comparable GAAP financial measures do not ordinarily include or exclude.

Financial data by segment for the three and six months ended June 30, 2019 and 2018 is as follows:

	Three Months Ended June 30,
	2019			2018
	(in thousands)
Revenues:
Premiums earned:
Commercial lines	$	94,788		$	84,552
Personal lines		93,975			101,162
Premiums earned		188,763			185,714
Net investment income		7,290			6,342
Investment gains		1,566			1,517
Equity in earnings of DFSC		—			788
Other		1,170			1,429
Total revenues	$	198,789		$	195,790
Income (loss) before income tax expense (benefit):
Underwriting income (loss):
Commercial lines	$	4,113		$	150
Personal lines		(9,238	)		(12,881	)
SAP underwriting loss		(5,125	)		(12,731	)
GAAP adjustments		1,278			2,406
GAAP underwriting loss		(3,847	)		(10,325	)
Net investment income		7,290			6,342
Investment gains		1,566			1,517
Equity in earnings of DFSC		—			788
Other		529			345
Income (loss) before income tax expense (benefit)	$	5,538		$	(1,333	)

	Six Months Ended June 30,
	2019			2018
	(in thousands)
Revenues:
Premiums earned:
Commercial lines	$	186,269		$	166,778
Personal lines		190,568			200,701
Premiums earned		376,837			367,479
Net investment income		14,338			12,721
Investment gains		19,663			599
Equity in earnings of DFSC		295			1,420
Other		2,370			2,899
Total revenues	$	413,503		$	385,118
Income (loss) before income tax expense (benefit):
Underwriting income (loss):
Commercial lines	$	2,425		$	(20,060	)
Personal lines		(6,765	)		(30,148	)
SAP underwriting loss		(4,340	)		(50,208	)
GAAP adjustments		1,829			4,775
GAAP underwriting loss		(2,511	)		(45,433	)
Net investment income		14,338			12,721
Investment gains		19,663			599
Equity in earnings of DFSC		295			1,420
Other		598			825
Income (loss) before income tax expense (benefit)	$	32,383		$	(29,868	)