Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2023

Fair value measurements for items measured at fair value

Assets measured at fair value, by hierarchy level, as of September 30, 2023 and December 31, 2022 are shown in tables 8.1a and 8.1b below. The fair value of the assets is estimated using the process described above, and more fully in Note 3 - “Significant Accounting Policies” to the consolidated financial statements in our 2022 Annual Report on Form 10-K.


Assets carried at fair value by hierarchy level as of September 30, 2023
Table	8.1a
(In thousands)		Total Fair Value			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	210,834		$	140,891	$	69,943
Obligations of U.S. states and political subdivisions		1,905,650			—		1,905,650
Corporate debt securities		2,364,665			—		2,364,665
ABS		167,220			—		167,220
RMBS		272,682			—		272,682
CMBS		274,320			—		274,320
CLOs		331,727			—		331,727
Foreign government debt		3,627			—		3,627
Commercial paper		50,812			—		50,812
Total fixed income securities		5,581,537			140,891		5,440,646
Equity securities		13,949			13,949		—
Cash equivalents		271,924		(1)	255,772		16,152
Total		$	5,867,410		$	410,612	$	5,456,798


Assets carried at fair value by hierarchy level as of December 31, 2022
Table	8.1b
(In thousands)		Total Fair Value			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	135,900		$	116,897	$	19,003
Obligations of U.S. states and political subdivisions		2,149,054			—		2,149,054
Corporate debt securities		2,221,141			—		2,221,141
ABS		120,687			—		120,687
RMBS		198,009			—		198,009
CMBS		237,216			—		237,216
CLOs		329,832			—		329,832
Foreign government debt		3,787			—		3,787
Commercial paper		14,072			—		14,072
Total fixed income securities		5,409,698			116,897		5,292,801
Equity securities		14,140			14,140		—
Cash equivalents		328,756		(1)	324,129		4,627
Total		$	5,752,594		$	455,166	$	5,297,428
(1) Includes restricted cash equivalents

Carrying value and fair value of financial assets and liabilities

Table 8.2 presents the carrying value and fair value of our financial assets and liabilities disclosed, but not carried, at fair value at September 30, 2023 and December 31, 2022.


Financial assets and liabilities not measured at fair value
Table	8.2
		September 30, 2023				December 31, 2022
(In thousands)		Carrying Value		Fair Value		Carrying Value		Fair Value
Financial assets
Other invested assets		$	850	$	850	$	850	$	850

Financial liabilities
5.25% Senior Notes		642,828		605,976		641,724		600,938
9% Convertible Junior Subordinated Debentures		—		—		21,086		28,085
Total financial liabilities		$	642,828	$	605,976	$	662,810	$	629,023