Investments (Tables)

6 Months Ended

Jun. 30, 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 June 30, 2013 are as follows:

Available-for-sale securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Corporate debt securities	$	34,281	$	1,704	$	417	$	35,568
Trust preferred securities	538		6		—		544
Mortgage backed securities	8,765		94		318		8,541
Private label mortgage backed securities	6,206		180		10		6,376
Obligations of states and political subdivisions	16,908		742		128		17,522
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	7,877		159		227		7,809
Total fixed maturities	74,575		2,885		1,100		76,360
Equity securities	2,466		2,238		429		4,275
Total	$	77,041	$	5,123	$	1,529	$	80,635

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 June 30, 2013 are as follows:

Held-to-maturity securities:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Mortgage backed securities	$	870	$	53	$	—	$	923
Obligations of states and political subdivisions	145		1		—		146
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	122		8		—		130
Total	$	1,137	$	62	$	—	$	1,199

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 June 30, 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	$	1,695	$	1,737
Due after one year through five years	14,867		15,990
Due after five years through ten years	24,381		24,823
Due after ten years	33,632		33,810
Total	$	74,575	$	76,360
Held-to-maturity securities:
Due in one year or less	$	—	$	—
Due after one year through five years	445		465
Due after five years through ten years	27		28
Due after ten years	665		706
Total	$	1,137	$	1,199

Schedule of Securities Available-for-Sale with Unrealized Losses

A summary of securities available-for-sale with unrealized losses as of June 30, 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
June 30, 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	$	10,246	$	380	$	974	$	37	$	11,220	$	417	25
Mortgage backed securities	4,608		287		856		31		5,464		318		16
Private label mortgage backed securities	498		10		—		—		498		10		3
Obligations of state and political subdivisions	2,824		113		342		15		3,166		128		9
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	3,925		178		449		49		4,374		227		8
Equity securities	—		—		857		429		857		429		1
	$	22,101	$	968	$	3,478	$	561	$	25,579	$	1,529	62

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 June 30,					Six months ended June 30,
	2013			2012		2013			2012
Fixed maturities	$	815		$	879	$	1,640		$	1,762
Equity securities	45			54		73			112
Mortgage loans on real estate	6			8		13			13
Investment real estate	41			11		81			22
Policy loans	26			21		50			46
Company owned life insurance change in surrender value	(198		)	54		(148		)	171
Other, principally short-term investments	50			89		208			177
	785			1,116		1,917			2,303
Less: Investment expenses	57			50		105			102
Net investment income	$	728		$	1,066	$	1,812		$	2,201

Schedule of Realized Investments Gains (Losses)

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

	Three months ended June 30,				Six months ended June 30,
	2013		2012		2013		2012
Fixed maturities	$	102	$	55	$	127	$	128
Equity securities	928		734		928		734
Trading securities	—		—		—		2
Other, principally real estate	—		76		2		207
Other-than-temporary impairments	—		—		—		—
Net realized investment gains	$	1,030	$	865	$	1,057	$	1,071

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):

	June 30, 2013			December 31, 2012
	(UNAUDITED)
Net change in unrealized appreciation on available-for-sale securities before deferred tax	$	(2,963	)	$	(153	)
Deferred income tax	1,007			52
Net change in unrealized appreciation on available-for-sale securities	$	(1,956	)	$	(101	)