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Segments
 12 Months Ended
Dec. 31, 2015
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]  
Segments
SEGMENTS

The Company’s property and casualty insurance operations comprise one business segment. The property and casualty insurance segment primarily underwrites home insurance coverage with primary lines of business consisting of:  dwelling fire and extended coverage, homeowners (including mobile homeowners) and other liability. The Company has ceased writing ocean marine coverages and no policies were in-force in this line of business during 2015.  

Management organizes the business utilizing a niche strategy focusing on lower valued dwellings.  Our chief decision makers (Chief Executive Officer, Chief Financial Officer and President) review results and operating plans making decisions on resource allocations on a company-wide basis.  The Company’s products are primarily produced through agents within the states in which we operate.  

The Company’s life and accident and health operations comprise the second business segment.  The life and accident and health insurance segment consists of two lines of business: traditional life insurance and accident and health insurance.

Total assets by industry segment at December 31, 2015 and at December 31, 2014 are summarized below (dollars in thousands):

 
 
Total
 
P&C Insurance Operations
 
Life Insurance Operations
 
Non-Insurance Operations
 
 
 
 
 
 
 
 
 
December 31, 2015
 
$
148,099

 
$
84,435

 
$
57,067

 
$
6,597

 
 


 
 
 
 
 
 
December 31, 2014
 
$
144,865

 
$
81,648

 
$
56,541

 
$
6,676


Premium revenues and operating income by business segment for the years ended December 31, 2015 and 2014 are summarized below (dollars in thousands):

Year ended December 31, 2015
Total
 
P&C Insurance Operations
 
Life Insurance Operations
 
Non-Insurance Operations
REVENUE
 
 
 
 
 
 
 
Net premiums earned
$
59,462

 
$
53,162

 
$
6,300

 
$
—

Net investment income
3,462

 
1,473

 
1,913

 
76

Net realized investment gains (losses)
503

 
190

 
313

 
—

Other income
623

 
620

 
3

 
—

 
64,050

 
55,445

 
8,529

 
76

BENEFITS AND EXPENSES
 

 
 

 
 

 
 

Policyholder benefits paid
34,148

 
29,461

 
4,687

 
—

Amortization of deferred policy acquisition costs
3,510

 
2,701

 
809

 
—

Commissions
7,952

 
7,572

 
380

 
—

General and administrative expenses
8,628

 
6,735

 
1,525

 
368

Taxes, licenses and fees
2,086

 
1,906

 
180

 
—

Interest expense
1,379

 
—

 
61

 
1,318

 
57,703

 
48,375

 
7,642

 
1,686

Income (Loss) Before Income Taxes
$
6,347

 
$
7,070

 
$
887

 
$
(1,610
)



Year ended December 31, 2014
Total
 
P&C Insurance Operations
 
Life Insurance Operations
 
Non-Insurance Operations
REVENUE
 
 
 
 
 
 
 
Net premiums earned
$
56,653

 
$
50,279

 
$
6,374

 
$
—

Net investment income
3,823

 
1,737

 
2,010

 
76

Net realized investment gains
100

 
(356
)
 
455

 
1

Gain on company owned life insurance
3,256

 
3,256

 
—

 
—

Other income
560

 
550

 
10

 
—

 
64,392

 
55,466

 
8,849

 
77

BENEFITS AND EXPENSES
 

 
 

 
 

 
 

Policyholder benefits paid
30,882

 
25,479

 
5,403

 
—

Amortization of deferred policy acquisition costs
3,590

 
2,565

 
1,025

 
—

Commissions
7,459

 
7,103

 
356

 
—

General and administrative expenses
9,428

 
6,966

 
1,978

 
484

Taxes, licenses and fees
2,137

 
1,826

 
311

 
—

Interest expense
1,521

 
—

 
66

 
1,455

 
55,017

 
43,939

 
9,139

 
1,939

Income (Loss) Before Income Taxes
$
9,375

 
$
11,527

 
$
(290
)
 
$
(1,862
)


The following table presents the Company’s gross and net premiums written for the property and casualty segment and the life and accident and health segment for the years ended December 31, 2015 and 2014, respectively:
 
 
 
Year ended December 31,
 
 
2015
 
2014
Life, accident and health operations premiums written:
 
 

 
 

Traditional life insurance
 
$
4,519

 
$
4,606

Accident and health insurance
 
1,867

 
1,921

Gross life, accident and health
 
6,386

 
6,527

Reinsurance premium ceded
 
(64
)
 
(72
)
Net life, accident and health premiums written
 
$
6,322

 
$
6,455

Property and Casualty operations premiums written:
 
 

 
 

Dwelling fire & extended coverage
 
$
34,737

 
$
33,184

Homeowners (Including mobile homeowners)
 
23,698

 
23,869

Other liability
 
1,988

 
1,873

Gross property and casualty
 
60,423

 
58,926

Reinsurance premium ceded
 
(6,356
)
 
(7,177
)
Net property and casualty written
 
$
54,067

 
$
51,749

Consolidated gross premiums written
 
$
66,809

 
$
65,453

Reinsurance premium ceded
 
(6,420
)
 
(7,249
)
Consolidated net premiums written
 
$
60,389

 
$
58,204



The following table presents the Company’s gross and net premiums earned for the property and casualty segment and the life and accident and health segment for the years ended December 31, 2015 and 2014, respectively:


Year ended December 31,
 

2015

2014
Life, accident and health operations premiums earned:

 

 
Traditional life insurance

$
4,487

 
$
4,555

Accident and health insurance

1,877

 
1,891

Gross life, accident and health

6,364

 
6,446

Reinsurance premium ceded

(64
)
 
(72
)
Net life, accident and health premiums earned

$
6,300

 
$
6,374

Property and Casualty operations premiums earned:






Dwelling fire & extended coverage

$
33,789

 
$
31,993

Homeowners (Including mobile homeowners)

23,800

 
23,669

Other liability

1,929

 
1,794

Gross property and casualty

59,518

 
57,456

Reinsurance premium ceded

(6,356
)
 
(7,177
)
Net property and casualty earned

$
53,162

 
$
50,279

Consolidated gross premiums earned

$
65,882

 
$
63,902

Reinsurance premium ceded

(6,420
)
 
(7,249
)
Consolidated net premiums earned

$
59,462

 
$
56,653