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Supplementary Data on Cash Flows
 12 Months Ended
Dec. 31, 2013
Supplemental Cash Flow Information [Abstract]  
Supplementary Data on Cash Flows
Note 20.   Supplementary Data on Cash Flows
 
Indirect method of cash flows
A reconciliation of net income to net cash provided by operating activities as presented in the Consolidated Statements of Cash Flows is as follows for the years ended December 31:
 
(in millions)
 
Erie Insurance Group
 
 
2013
 
2012
 
2011
Cash flows from operating activities:
 
 
 
 
 
 
Net income
 
$
1,048

 
$
619

 
$
268

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
 
Depreciation
 
21

 
17

 
4

Amortization of deferred policy acquisition costs
 
778

 
715

 
680

Deferred income tax expense (benefit)
 
198

 
118

 
(105
)
Realized (gains) losses and impairments on investments
 
(758
)
 
(418
)
 
6

Equity in earnings of limited partnerships
 
(161
)
 
(131
)
 
(149
)
Net amortization of bond premium
 
36

 
28

 
26

Increase in deferred compensation
 
8

 
2

 
4

Limited partnership distributions
 
176

 
164

 
166

(Increase) decrease in receivables, reinsurance recoverables, and reserve credits
 
(112
)
 
(166
)
 
91

Decrease (increase) in prepaid expenses
 
24

 
63

 
(56
)
Increase in deferred policy acquisition costs
 
(816
)
 
(743
)
 
(701
)
Increase (decrease) in accounts payable and accrued expenses
 
18

 
(28
)
 
83

Increase in accrued commissions and agent bonuses
 
28

 
20

 
4

Increase (decrease) in loss reserves
 
148

 
99

 
(85
)
Increase in future life policy benefits and claims reserves
 
34

 
31

 
28

Increase in unearned premiums
 
233

 
187

 
96

Net cash provided by operating activities
 
$
903

 
$
577

 
$
360