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Dividend Restrictions
12 Months Ended
Dec. 31, 2011
Dividend Restrictions, Common Stock and Class B Common Stock, and Changes In Stockholders' Equity [Abstract]  
Dividend restrictions NOTE 3 Dividend restrictions

NOTE 3

Dividend restrictions. Substantially all of the consolidated retained earnings at each year end were represented by Guaranty, which owns directly or indirectly all of the subsidiaries included in the consolidation.

Guaranty cannot pay a dividend to its parent in excess of certain limits without the approval of the Texas Insurance Commissioner. The maximum dividend that can be paid after such approval in 2012 is $74.4 million. Guaranty did not pay a dividend in 2011, 2010 or 2009.

Dividends from Guaranty are also voluntarily restricted primarily to maintain statutory surplus and liquidity at competitive levels and to demonstrate significant claims payment ability. The ability of a title insurer to pay claims can significantly affect the decision of lenders and other customers when buying a policy from a particular insurer.

Surplus as regards policyholders for Guaranty was $371.8 million and $369.5 million at December 31, 2011 and 2010, respectively. Statutory net loss for Guaranty was $4.2 million, $2.0 million and $85.1 million in 2011, 2010 and 2009, respectively.