Reportable Segments

9 Months Ended

Sep. 30, 2014

Reportable Segments [Abstract]

Reportable Segments

(4) Reportable Segments:

The Company has two reportable business segments in its operations:  Property and Casualty Insurance and Reinsurance.

The Property and Casualty Insurance segment provides multiple line insurance coverage primarily to fleet transportation companies as well as to independent contractors who contract with fleet transportation companies.  In addition, the Company provides private passenger automobile products to individuals, workers’ compensation coverage to small businesses and professional liability products on a selective basis.

The Reinsurance segment accepts professional liability cessions from other insurance companies.  In addition, the Reinsurance segment accepts property cessions from other insurance companies and, prior to January 1, 2014, retrocessions from carefully chosen reinsurance companies, principally reinsuring against catastrophes.

The following table provides certain revenue and profit and loss information for each reportable segment.  All amounts presented are computed based upon U.S. generally accepted accounting principles.  Segment profit for Property and Casualty Insurance includes the direct marketing agency operations conducted by the parent company for this segment and is computed after elimination of inter-company commissions.

	2014							2013
	Direct and Assumed Premium Written		Net Premium Earned		Segment Profit (Loss)			Direct and Assumed Premium Written		Net Premium Earned		Segment Profit
Three months ended September 30:
Property and Casualty Insurance	$	84,644	$	57,097	$	9,520		$	82,272	$	52,036	$	9,712
Reinsurance		9,947		8,850		(906	)		14,278		12,412		1,846
Totals	$	94,591	$	65,947	$	8,614		$	96,550	$	64,448	$	11,558
Nine months ended September 30:
Property and Casualty Insurance	$	253,394	$	163,613	$	23,726		$	233,217	$	149,699	$	20,353
Reinsurance		31,049		29,081		196			40,054		37,622		9,525
Totals	$	284,443	$	192,694	$	23,922		$	273,271	$	187,321	$	29,878

The following table reconciles reportable segment income to the Company’s consolidated income before federal income taxes.

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2014			2013			2014			2013
Profit:
Segment profit	$	8,614		$	11,558		$	23,922		$	29,878
Net investment income		2,073			2,192			6,456			6,587
Net gains on investments		658			1,430			12,817			16,496
Corporate expenses and other		(2,797	)		(3,488	)		(11,171	)		(11,328	)
Income before federal income taxes	$	8,548		$	11,692		$	32,024		$	41,633

Segment profit includes both net premiums earned and fees and other income associated with the business conducted by the segment.

Management does not identify or allocate assets to reportable segments when evaluating segment performance and depreciation expense is not material for any of the reportable segments.