Fair Value Measurements (Tables)
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6 Months Ended |
Jun. 30, 2017 |
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| Fair Value Disclosures [Abstract] |
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| Fair value measurements for items measured at fair value |
Fair value measurements for assets measured at fair value included the following as of June 30, 2017 and December 31, 2016: June 30, 2017 | | | | | | | | | | | | | | | | | | (In thousands) | | Total Fair Value | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | U.S. Treasury securities and obligations of U.S. government corporations and agencies | | $ | 63,929 |
| | $ | 13,342 |
| | $ | 50,587 |
| | $ | — |
| Obligations of U.S. states and political subdivisions | | 2,165,289 |
| | — |
| | 2,164,712 |
| | 577 |
| Corporate debt securities | | 1,827,625 |
| | — |
| | 1,827,625 |
| | — |
| ABS | | 21,987 |
| | — |
| | 21,987 |
| | — |
| RMBS | | 202,340 |
| | — |
| | 202,340 |
| | — |
| CMBS | | 307,078 |
| | — |
| | 307,078 |
| | — |
| CLOs | | 112,963 |
| | — |
| | 112,963 |
| | — |
| Total debt securities | | 4,701,211 |
| | 13,342 |
| | 4,687,292 |
| | 577 |
| Equity securities (1) | | 7,209 |
| | 2,941 |
| | — |
| | 4,268 |
| Total investment portfolio | | $ | 4,708,420 |
| | $ | 16,283 |
| | $ | 4,687,292 |
| | $ | 4,845 |
| Real estate acquired (2) | | $ | 10,271 |
| | $ | — |
| | $ | — |
| | $ | 10,271 |
|
| | (1) | Equity securities in Level 3 are carried at cost, which approximates fair value. |
| | (2) | Real estate acquired through claim settlement, which is held for sale, is reported in Other assets on the consolidated balance sheets. |
December 31, 2016 | | | | | | | | | | | | | | | | | | (In thousands) | | Total Fair Value | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | U.S. Treasury securities and obligations of U.S. government corporations and agencies | | $ | 73,530 |
| | $ | 30,690 |
| | $ | 42,840 |
| | $ | — |
| Obligations of U.S. states and political subdivisions | | 2,143,016 |
| | — |
| | 2,142,325 |
| | 691 |
| Corporate debt securities | | 1,743,910 |
| | — |
| | 1,743,910 |
| | — |
| ABS | | 59,565 |
| | — |
| | 59,565 |
| | — |
| RMBS | | 224,209 |
| | — |
| | 224,209 |
| | — |
| CMBS | | 319,817 |
| | — |
| | 319,817 |
| | — |
| CLOs | | 121,175 |
| | — |
| | 121,175 |
| | — |
| Total debt securities | | 4,685,222 |
| | 30,690 |
| | 4,653,841 |
| | 691 |
| Equity securities (1) | | 7,128 |
| | 2,860 |
| | — |
| | 4,268 |
| Total investment portfolio | | $ | 4,692,350 |
| | $ | 33,550 |
| | $ | 4,653,841 |
| | $ | 4,959 |
| Real estate acquired (2) | | $ | 11,748 |
| | $ | — |
| | $ | — |
| | $ | 11,748 |
|
| | (1) | Equity securities in Level 3 are carried at cost, which approximates fair value. |
| | (2) | Real estate acquired through claim settlement, which is held for sale, is reported in Other assets on the consolidated balance sheets. |
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| Reconciliation of beginning and ending balance for assets and liabilities measured at fair value with significant unobservable inputs (level 3) |
For assets measured at fair value using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances for the three and six months ended June 30, 2017 and 2016 is shown in the following tables. There were no transfers into or out of Level 3 in those periods and there were no losses included in earnings for those periods attributable to the change in unrealized losses on assets still held at the end of the applicable period. | | | | | | | | | | | | | | | | | | Three Months Ended June 30, 2017 | (In thousands) | | Debt Securities | | Equity Securities | | Total Investments | | Real Estate Acquired | Balance at March 31, 2017 | | $ | 683 |
| | $ | 4,268 |
| | $ | 4,951 |
| | $ | 10,730 |
| Total realized/unrealized gains (losses): | | |
| | |
| | |
| | |
| Included in earnings and reported as losses incurred, net | | — |
| | — |
| | — |
| | (63 | ) | Purchases | | — |
| | — |
| | — |
| | 9,421 |
| Sales | | (106 | ) | | — |
| | (106 | ) | | (9,817 | ) | Balance at June 30, 2017 | | $ | 577 |
| | $ | 4,268 |
| | $ | 4,845 |
| | $ | 10,271 |
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| | | | | | | | | | | | | | | | | | Three Months Ended June 30, 2016 | (In thousands) | | Debt
Securities | | Equity
Securities | | Total
Investments | | Real Estate
Acquired | Balance at March 31, 2016 | | $ | 1,192 |
| | $ | 3,421 |
| | $ | 4,613 |
| | $ | 12,849 |
| Total realized/unrealized gains (losses): | | |
| | |
| | |
| | |
| Included in other comprehensive income | | — |
| | 3,519 |
| | 3,519 |
| | — |
| Included in earnings and reported as losses incurred, net | | — |
| | — |
| | — |
| | 651 |
| Purchases | | — |
| | — |
| | — |
| | 6,748 |
| Sales | | (136 | ) | | — |
| | (136 | ) | | (10,606 | ) | Balance at June 30, 2016 | | $ | 1,056 |
| | $ | 6,940 |
| | $ | 7,996 |
| | $ | 9,642 |
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| | | | | | | | | | | | | | | | | | Six Months Ended June 30, 2017 | (In thousands) | | Debt Securities | | Equity Securities | | Total Investments | | Real Estate Acquired | Balance at December 31, 2016 | | $ | 691 |
| | $ | 4,268 |
| | $ | 4,959 |
| | $ | 11,748 |
| Total realized/unrealized gains (losses): | | |
| | |
| | |
| | |
| Included in earnings and reported as losses incurred, net | | — |
| | — |
| | — |
| | (226 | ) | Purchases | | — |
| | — |
| | — |
| | 18,104 |
| Sales | | (114 | ) | | — |
| | (114 | ) | | (19,355 | ) | Balance at June 30, 2017 | | $ | 577 |
| | $ | 4,268 |
| | $ | 4,845 |
| | $ | 10,271 |
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| | | | | | | | | | | | | | | | | | Six Months Ended June 30, 2016 | (In thousands) | | Debt
Securities | | Equity
Securities | | Total
Investments | | Real Estate
Acquired | Balance at December 31, 2015 | | $ | 1,228 |
| | $ | 2,855 |
| | $ | 4,083 |
| | $ | 12,149 |
| Total realized/unrealized gains (losses): | | |
| | |
| | |
| | |
| Included in other comprehensive income | | — |
| | 3,519 |
| | 3,519 |
| | — |
| Included in earnings and reported as losses incurred, net | | — |
| | — |
| | — |
| | 358 |
| Purchases | | — |
| | 3,091 |
| | 3,091 |
| | 19,015 |
| Sales | | (172 | ) | | (2,525 | ) | | (2,697 | ) | | (21,880 | ) | Balance at June 30, 2016 | | $ | 1,056 |
| | $ | 6,940 |
| | $ | 7,996 |
| | $ | 9,642 |
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| Carrying value and fair value of debt |
The following table presents the carrying value and fair value of our financial liabilities disclosed, but not carried, at fair value at June 30, 2017 and December 31, 2016. The fair values of our 5% Notes, 2% Notes, 5.75% Notes, and 9% Debentures were based on observable market prices. The fair value of the FHLB Advance was estimated using discounted cash flows on current incremental borrowing rates for similar borrowing arrangements. In all cases the fair values of the financial liabilities below are categorized as Level 2. | | | | | | | | | | | | | | | | | | | | June 30, 2017 | | December 31, 2016 | (In thousands) | | Carrying Value | | Fair Value | | Carrying Value | | Fair Value | Financial liabilities: | | | | | | | | | FHLB Advance | | 155,000 |
| | 154,140 |
| | $ | 155,000 |
| | $ | 151,905 |
| 5% Notes | | — |
| | — |
| | 144,789 |
| | 147,679 |
| 2% Notes | | — |
| | — |
| | 204,672 |
| | 308,605 |
| 5.75% Notes | | 417,983 |
| | 457,878 |
| | 417,406 |
| | 445,987 |
| 9% Debentures | | 256,872 |
| | 338,190 |
| | 256,872 |
| | 323,040 |
| Total financial liabilities | | $ | 829,855 |
| | $ | 950,208 |
| | $ | 1,178,739 |
| | $ | 1,377,216 |
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