Investments (Tables)

6 Months Ended

Jun. 30, 2013

Investments [Abstract]

Summary of available for sale securities

The following is a summary of available-for-sale securities at June 30, 2013 and December 31, 2012:

										Net
			Cost or		Gross		Gross			Unrealized
	Fair		Amortized		Unrealized		Unrealized			Gains
	Value		Cost		Gains		Losses			(Losses)
June 30, 2013
Fixed maturities
U.S. government obligations	$	68,021	$	68,049	$	21	$	(49	)	$	(28	)
Residential mortgage-backed securities		16,535		15,367		1,376		(208	)		1,168
Commercial mortgage-backed securities		25,391		25,706		156		(471	)		(315	)
States and municipal obligations		113,251		113,368		269		(386	)		(117	)
Corporate securities		133,963		134,637		2,043		(2,717	)		(674	)
Foreign government obligations		21,942		22,334		86		(478	)		(392	)
Total fixed maturities		379,103		379,461		3,951		(4,309	)		(358	)
Equity securities:
Financial institutions		13,664		5,638		8,028		(2	)		8,026
Industrial & miscellaneous		107,282		62,585		46,364		(1,667	)		44,697
Total equity securities		120,946		68,223		54,392		(1,669	)		52,723
Total	$	500,049	$	447,684	$	58,343	$	(5,978	)		52,365
							Applicable federal income taxes				(18,327	)
							Net unrealized gains - net of tax			$	34,038
December 31, 2012
Fixed maturities
U.S. government obligations	$	70,742	$	70,720	$	43	$	(21	)	$	22
Residential mortgage-backed securities		25,040		23,954		1,218		(132	)		1,086
Commercial mortgage-backed securities		11,828		11,006		849		(27	)		822
State and municipal obligations		194,865		194,258		757		(150	)		607
Corporate securities		120,596		118,574		2,923		(901	)		2,022
Foreign government obligations		22,598		22,047		602		(51	)		551
Total fixed maturities		445,669		440,559		6,392		(1,282	)		5,110
Equity securities:
Financial institutions		12,394		5,925		6,542		(73	)		6,469
Industrial & miscellaneous		95,188		52,202		44,568		(1,582	)		42,986
Total equity securities		107,582		58,127		51,110		(1,655	)		49,455
Total	$	553,251	$	498,686	$	57,502	$	(2,937	)		54,565
							Applicable federal income taxes				(19,098	)
							Net unrealized gains - net of tax			$	35,467

Fixed maturity and equity security investments in unrealized loss position

The following table summarizes, for fixed maturity and equity security investments in an unrealized loss position at June 30, 2013 and December 31, 2012, respectively, the aggregate fair value and gross unrealized loss categorized by the duration those securities have been continuously in an unrealized loss position.

	June 30, 2013							December 31, 2012
	Number of Securities		Fair Value		Gross Unrealized Loss			Number of Securities		Fair Value		Gross Unrealized Loss
Fixed maturity securities:
12 months or less		489	$	151,419	$	(3,655	)		170	$	90,607	$	(483	)
Greater than 12 months		47		19,545		(654	)		58		19,283		(799	)
Total fixed maturities		536		170,964		(4,309	)		228		109,890		(1,282	)
Equity securities:
12 months or less		23		7,516		(1,272	)		20		6,955		(842	)
Greater than 12 months		4		2,541		(397	)		11		6,640		(813	)
Total equity securities		27		10,057		(1,669	)		31		13,595		(1,655	)
Total fixed maturity and equity securities		563	$	181,021	$	(5,978	)		259	$	123,485	$	(2,937	)

Fair value and cost or amortized cost of fixed maturity investments by contractual maturity

The fair value and the cost or amortized cost of fixed maturity investments at June 30, 2013, by contractual maturity, are shown below.  Actual maturities may ultimately differ from contractual maturities because borrowers have, in some cases, the right to call or prepay obligations with or without call or prepayment penalties. Pre-refunded municipal bonds are classified based on their pre-refunded call dates.

	Fair Value		Cost or Amortized Cost
One year or less	$	95,838	$	95,614
Excess of one year to five years		186,069		187,129
Excess of five years to ten years		28,815		29,173
Excess of ten years		2,803		2,561
Contractual maturities		313,525		314,477
Asset-backed securities		65,578		64,984
Total	$	379,103	$	379,461

Realized gains (losses) on investments

Following is a summary of the components of net realized gains (losses) on investments for the periods presented in the accompanying consolidated statements of operations.

	Three Months Ended						Six Months Ended
	June 30						June 30
	2013			2012			2013			2012
Fixed maturities:
Gross gains	$	2,233		$	792		$	3,652		$	1,342
Gross losses		(883	)		(1,181	)		(2,220	)		(2,152	)
Net realized gains (losses)		1,350			(389	)		1,432			(810	)
Equity securities:
Gross gains		893			152			12,605			675
Gross losses		(249	)		(333	)		(1,409	)		(475	)
Net realized gains (losses)		644			(181	)		11,196			200
Limited partnerships - net gain (loss)		(1,275	)		(4,883	)		2,438			537
Totals	$	719		$	(5,453	)	$	15,066		$	(73	)

Schedule of realized gains

Net realized gains activity for investments, as shown in the previous table, are further detailed as follows:

	Three Months Ended						Six Months Ended
	June 30						June 30
	2013			2012			2013			2012
Realized net gains (losses) on the disposal of securities	$	1,554		$	(109	)	$	10,798		$	(205	)
Mark-to-market adjustment		195			(369	)		405			(313	)
Equity in gains (losses) of limited partnership
investments - realized and unrealized		(1,275	)		(4,883	)		2,438			537
Impairment:
Write-downs based upon objective criteria		(68	)		(345	)		(74	)		(345	)
Recovery of prior write-downs
upon sale or disposal		313			253			1,499			253
Totals	$	719		$	(5,453	)	$	15,066		$	(73	)