Investments (Tables)

12 Months Ended

Dec. 31, 2012

Schedule for Fixed Income Securities at Amortized Cost, Gross Unrealized Gains and Losses and Fair Value

The amortized cost, gross unrealized gains and losses and fair value for fixed income securities are as follows:

	Amortized		Gross unrealized					Fair
($ in thousands)	cost		Gains		Losses			value
December 31, 2012
U.S. government and agencies	$	86,428	$	5,659	$	—		$	92,087
Municipal		2,499		401		—			2,900
Corporate		178,824		13,173		(29	)		191,968
Foreign government		4,999		265		—			5,264
RMBS		28,239		1,498		—			29,737
CMBS		8,335		268		—			8,603
Total fixed income securities	$	309,324	$	21,264	$	(29	)	$	330,559
December 31, 2011
U.S. government and agencies	$	84,059	$	5,943	$	—		$	90,002
Municipal		2,499		399		—			2,898
Corporate		169,820		12,105		(99	)		181,826
Foreign government		4,998		239		—			5,237
RMBS		40,089		2,427		(9	)		42,507
CMBS		8,514		360		(518	)		8,356
ABS		2,806		8		—			2,814
Total fixed income securities	$	312,785	$	21,481	$	(626	)	$	333,640

Schedule for Fixed Income Securities Based on Contractual Maturities

The scheduled maturities for fixed income securities are as follows as of December 31, 2012:

($ in thousands)	Amortized cost		Fair value
Due in one year or less	$	33,429	$	34,027
Due after one year through five years		132,690		141,438
Due after five years through ten years		93,657		103,296
Due after ten years		12,974		13,458
		272,750		292,219
RMBS and CMBS		36,574		38,340
Total	$	309,324	$	330,559

Schedule of Net Investment Income

Net investment income for the years ended December 31 is as follows:

($ in thousands)	2012			2011			2010
Fixed income securities	$	12,138		$	12,133		$	12,480
Short-term and other investments		20			11			21
Investment income, before expense		12,158			12,144			12,501
Investment expense		(568	)		(308	)		(434	)
Net investment income	$	11,590		$	11,836		$	12,067

Schedule of Unrealized Net Capital Gains and Losses Included in Accumulated Other Comprehensive Income

	Fair value		Gross unrealized					Unrealized net gains (losses)
($ in thousands)			Gains		Losses
December 31, 2012
Fixed income securities	$	330,559	$	21,264	$	(29	)	$	21,235
Short-term investments		24,203		1		—			1
Unrealized net capital gains and losses, pre-tax									21,236
Deferred income taxes									(7,433	)
Unrealized net capital gains and losses, after-tax								$	13,803
	Fair value		Gross unrealized					Unrealized net gains (losses)
			Gains		Losses
December 31, 2011
Fixed income securities	$	333,640	$	21,481	$	(626	)	$	20,855
Short-term investments		12,974		—		—			—
Unrealized net capital gains and losses, pre-tax									20,855
Deferred income taxes									(7,299	)
Unrealized net capital gains and losses, after-tax								$	13,556

Schedule of Change in Unrealized net Capital Gains and Losses

The change in unrealized net capital gains and losses for the years ended December 31 is as follows:

($ in thousands)	2012			2011			2010
Fixed income securities	$	380		$	5,247		$	7,052
Short-term investments		1			—			—
Total		381			5,247			7,052
Deferred income taxes		(134	)		(1,836	)		(2,468	)
Increase in unrealized net capital gains and losses	$	247		$	3,411		$	4,584

Summary of Gross Unrealized Losses and Fair Value of Fixed Income by Length of Time

The following table summarizes the gross unrealized losses and fair value of fixed income securities that have been in a continuous unrealized loss position for less than twelve months. No securities have been in a continuous unrealized loss position for more than twelve months as of December 31, 2012 or 2011.

($ in thousands)	Number of issues		Fair value		Unrealized losses
December 31, 2012
Corporate		1	$	1,936	$	(29	)
Total		1	$	1,936	$	(29	)
December 31, 2011
Corporate		1	$	5,161	$	(99	)
RMBS		1		1,075		(9	)
CMBS		1		1,484		(518	)
Total		3	$	7,720	$	(626	)