Investments (Tables)

3 Months Ended

Mar. 31, 2013

Investments [Abstract]

Schedule of Amortized Cost and Aggregate Fair Values of Investments in Available-for-Sale Securities

The amortized cost and aggregate fair values of investments in available-for-sale securities as of December 31, 2012 are as follows:

Available-for-sale securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Corporate debt securities	$	31,387	$	2,430	$	80	$	33,737
Trust preferred securities	537		50		—		587
Mortgage backed securities	8,595		175		85		8,685
Private label mortgage backed securities	7,679		294		9		7,964
Obligations of states and political subdivisions	16,160		1,359		3		17,516
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	7,320		487		2		7,805
Total fixed maturities	71,678		4,795		179		76,294
Equity securities	3,191		2,398		457		5,132
Total	$	74,869	$	7,193	$	636	$	81,426

The amortized cost and aggregate fair values of investments in available-for-sale securities as of March 31, 2013 are as follows:

Available-for-sale securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Corporate debt securities	$	34,097	$	2,604	$	86	$	36,615
Trust preferred securities	538		52		—		590
Mortgage backed securities	8,619		141		117		8,643
Private label mortgage backed securities	6,828		321		—		7,149
Obligations of states and political subdivisions	17,024		1,369		14		18,379
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	7,937		460		14		8,383
Total fixed maturities	75,043		4,947		231		79,759
Equity securities	3,190		3,081		442		5,829
Total	$	78,233	$	8,028	$	673	$	85,588

Schedule of Amortized Cost and Aggregate Fair Values of Investments in Held-to-Maturity Securities

The amortized cost and aggregate fair values of investments in held-to-maturity securities as of March 31, 2013 are as follows:

Held-to-maturity securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Mortgage backed securities	$	1,014	$	85	$	—	$	1,099
Obligations of states and political subdivisions	145		1		—		146
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	155		13		—		168
Total	$	1,314	$	99	$	—	$	1,413

The amortized cost and aggregate fair values of investments in held-to-maturity securities as of December 31, 2012 are as follows:

Held-to-maturity securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Mortgage backed securities	$	1,194	$	91	$	—	$	1,285
Obligations of states and political subdivisions	145		2		—		147
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	163		14		—		177
Total	$	1,502	$	107	$	—	$	1,609

Schedule of Amortized Cost and Aggregate Fair Value of Debt Securities, by Contractual Maturity

The amortized cost and aggregate fair value of debt securities at March 31, 2013, by contractual maturity, are presented in the following table.  Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

	(Dollars in Thousands)
	Amortized Cost		Fair Value
Available-for-sale securities:
Due in one year or less	$	581	$	596
Due after one year through five years	16,278		17,785
Due after five years through ten years	24,896		26,427
Due after ten years	33,288		34,951
Total	$	75,043	$	79,759
Held-to-maturity securities:
Due in one year or less	$	—	$	—
Due after one year through five years	384		402
Due after five years through ten years	109		117
Due after ten years	821		894
Total	$	1,314	$	1,413

Schedule of Securities Available-for-Sale with Unrealized Losses

A summary of securities available-for-sale with unrealized losses as of March 31, 2013, along with the related fair value, aggregated by the length of time that investments have been in a continuous unrealized loss position, is as

follows:

	Less than 12 months				12 months or longer				Total
March 31, 2013	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Total Securities in a Loss Position
Fixed maturities
Corporate debt securities	$	2,430	$	58	$	984	$	28	$	3,414	$	86	7
Mortgage backed securities	4,160		88		130		29		4,290		117		12
Obligations of state and political subdivisions	1,241		14		—		—		1,241		14		3
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	1,169		14		—		—		1,169		14		2
Equity securities	—		—		844		442		844		442		1
	$	9,000	$	174	$	1,958	$	499	$	10,958	$	673	25

A summary of securities available-for-sale with unrealized losses as of December 31, 2012, along with the related fair value, aggregated by the length of time that investments have been in a continuous unrealized loss position, is as follows:

	Less than 12 months				12 months or longer				Total
December 31, 2012	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Total Securities in a Loss Position
Fixed maturities
Corporate debt securities	$	2,226	$	31	$	963	$	49	$	3,189	$	80	7
Mortgage backed securities	2,904		77		165		8		3,069		85		8
Private label mortgage backed securities	206		8		65		1		271		9		2
Obligations of state and political subdivisions	356		3		—		—		356		3		1
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	495		2		—		—		495		2		1
Equity securities	—		—		829		457		829		457		1
	$	6,187	$	121	$	2,022	$	515	$	8,209	$	636	20

Summary of Major Categories of Investment Income

Major categories of investment income are summarized as follows (dollars in thousands):

	Three months ended March 31,
	2013		2012
Fixed maturities	$	825	$	883
Equity securities	28		58
Mortgage loans on real estate	7		6
Investment real estate	40		10
Policy loans	24		25
Company owned life insurance	50		117
Other, principally short-term investments	158		88
	1,132		1,187
Less: Investment expenses	48		52
Net investment income	$	1,084	$	1,135

Schedule of Realized Investments Gains (Losses)

Major categories of investment gains and losses are summarized as follows (dollars in thousands):

	Three months ended March 31,
	2013		2012
Fixed maturities	$	23	$	73
Equity securities	—		—
Trading securities	—		2
Other, principally real estate	4		131
Other-than-temporary impairments	—		—
Net realized investment gains	$	27	$	206

Schedule of Net Change in Unrealized Appreciation

An analysis of the net change in unrealized appreciation on available-for-sale securities follows (dollars in thousands):

	Three months ended March 31, 2013			Year ended December 31, 2012
	(UNAUDITED)
Net change in unrealized appreciation on available-for-sale securities before deferred tax	$	798		$	(153	)
Deferred income tax	(272		)	52
Net change in unrealized appreciation on available-for-sale securities	$	526		$	(101	)