
September 30, 2025
Type of Investment	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Allowance for Credit Losses		Fair Value
AVAILABLE-FOR-SALE
US Treasury and government agencies	$	109,416	$	468	$	6,252	$	—	$	103,632

States, municipalities and political subdivisions	249,977		1,653		1,914		—		249,716
Corporate	743,936		8,964		24,450		—		728,450
Residential mortgage-backed	649,677		7,308		26,613		—		630,372
Commercial mortgage-backed	143,857		2,407		10		—		146,254
Other asset-backed	157,264		1,212		534		—		157,942
Total Available-for-Sale Fixed Maturities	$	2,054,127	$	22,012	$	59,773	$	—	$	2,016,366


December 31, 2024
Type of Investment	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Allowance for Credit Losses		Fair Value
AVAILABLE-FOR-SALE
US Treasury and government agencies	$	126,402	$	153	$	9,255	$	—	$	117,301

States, municipalities and political subdivisions	252,936		52		5,084		—		247,904
Corporate	728,662		1,354		40,633		—		689,382
Residential mortgage-backed	623,431		864		40,884		—		583,411
Commercial mortgage-backed	102,975		624		44		—		103,554
Other asset-backed	127,125		593		940		—		126,779
Total Available-for-Sale Fixed Maturities	$	1,961,531	$	3,640	$	96,840	$	—	$	1,868,331

The amortized cost and fair value of available-for-sale fixed maturity securities at September 30, 2025, by contractual maturity, are shown in the following table. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Asset-backed securities, mortgage-backed securities and collateralized mortgage obligations may be subject to prepayment risk and are therefore not categorized by contractual maturity.



	Available-For-Sale
September 30, 2025	Amortized Cost		Fair Value
Due in one year or less	$	70,764	$	70,531
Due after one year through five years	288,363		287,062
Due after five years through 10 years	483,535		476,760
Due after 10 years	260,667		247,445
Asset-backed securities	950,798		934,568


	$	2,054,127	$	2,016,366

We regularly review available-for-sale securities for declines in fair value that we determine to be credit-related. For our fixed maturity securities, we generally consider the following in determining whether our unrealized losses are credit-related, and if so, the magnitude of the credit loss:

We recognize an allowance for credit losses on fixed maturity securities in an unrealized loss position when it is determined, using the factors discussed above, a component of the unrealized loss is related to credit. We recognize the credit loss in net investment gains (losses) in the Consolidated Statements of Income, with an offset for the amount of non-credit impairments recognized in accumulated other comprehensive income. We do not measure an allowance for credit losses on accrued investment income because we write-off accrued interest through net investment income when collectability concerns arise.

If we intend to sell a fixed maturity security or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis and the fair value of the security is below amortized cost, we will write down the security to current fair value, with a corresponding charge, net of any amount previously recognized as an allowance for credit losses, to net investment gains (losses) in the Consolidated Statements of Income. If we do not intend to sell a fixed maturity security or it is more likely than not that we will not be required to sell a fixed maturity security before recovery of its amortized cost basis but believe amounts related to a security are uncollectible, an impairment is deemed to have occurred and the amortized cost is written down to the estimated recovery value with a corresponding charge, net of any amount previously recognized as an allowance for credit losses, to net investment gains (losses) in the Consolidated Statements of Income. The remainder of unrealized loss is held in other comprehensive income in the Consolidated Statements of Stockholders' Equity.

Changes in unrealized gains and losses on available-for-sale fixed maturity securities do not affect net income and earnings per share but do impact comprehensive income, stockholders' equity and book value per share. A summary of changes in net unrealized investment gain (loss), net of taxes, during the reporting period is as follows:


	Nine months ended September 30,
	2025		2024
Change in net unrealized investment gain (loss)
Available-for-sale fixed maturities(1)	$	55,356	$	39,468
Income tax effect	(11,629)		(8,288)
Total change in net unrealized investment gain (loss), net of tax	$	43,727	$	31,180

(1) As a member of Lloyd's, the Company participates in the syndicate results which include unrealized gains and losses on investments. The change in net unrealized gains and losses on Lloyd's syndicate investments included above was $0.1 million as of September 30, 2025.

The following tables summarize our fixed maturity securities that were in an unrealized loss position at September 30, 2025 and December 31, 2024. The securities are presented by the length of time they have been continuously in an unrealized loss position.


September 30, 2025	Less than 12 months					12 months or longer						Total
Type of Investment	Number of Issues	Fair Value		Gross Unrealized Loss		Number of Issues		Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
AVAILABLE-FOR-SALE
US Treasury and government agencies	1	$	900	$	1	24		$	74,062	$	6,251	$	74,962	$	6,252

States, municipalities and political subdivisions	30	39,700		241		56		111,261		1,673		150,961		1,914
Corporate	44	125,943		580		92		248,875		23,870		374,818		24,450
Residential mortgage-backed	29	83,281		463		103		153,709		26,150		236,990		26,613
Commercial mortgage-backed	1	5,481		10		—		—		—		5,481		10
Other asset-backed	6	20,819		104		3		3,389		430		24,208		534
Total Available-for-Sale	111	$	276,124	$	1,399	$	278	$	591,296	$	58,374	$	867,420	$	59,773


December 31, 2024	Less than 12 months					12 months or longer					Total
Type of Investment	Number of Issues	Fair Value		Gross Unrealized Loss		Number of Issues	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
AVAILABLE-FOR-SALE
US Treasury and government agencies	5	$	16,006	$	67	28	$	83,386	$	9,188	$	99,392	$	9,255

States, municipalities and political subdivisions	67	92,003		1,159		72	135,350		3,925		227,353		5,084
Corporate	73	203,142		4,474		154	370,211		36,159		573,352		40,633
Residential mortgage-backed	79	318,810		4,549		131	151,879		36,335		470,689		40,884
Commercial mortgage-backed	4	8,198		44		—	—		—		8,198		44
Other asset-backed	14	32,645		804		2	3,915		136		36,560		940
Total Available-for-Sale	242	$	670,804	$	11,097	387	$	744,741	$	85,743	$	1,415,544	$	96,840

We believe that any unrealized losses on our available-for-sale fixed maturity securities at September 30, 2025 are temporary based upon our current analysis of the issuers of the securities we hold and current market conditions. We invest in high quality assets to provide protection from future credit quality issues. Non-credit related unrealized losses are recognized as a component of other comprehensive income and represent other market movements that are not credit related, for example, interest rate changes. We have no intent to sell, and it is more likely than not that we will not be required to sell these securities until the fair value recovers to at least equal our cost basis or the securities mature.

The mortgage loan portfolio consists entirely of commercial mortgage loans. We did not acquire new loans during the nine months ended September 30, 2025 or the year ended December 31, 2024. The following tables present the carrying value of our commercial mortgage loans and additional information at September 30, 2025 and December 31, 2024:


Commercial Mortgage Loans
	September 30, 2025		December 31, 2024
Loan-to-value	Carrying Value		Carrying Value
Less than 65%	$	32,160	$	32,499
65%-75%	8,320		8,468
Total amortized cost	$	40,480	$	40,967
Allowance for mortgage loan losses	(1,147)		(45)
Mortgage loans, net	$	39,333	$	40,922


Commercial Mortgage Loans by Region
	September 30, 2025				December 31, 2024
	Carrying Value		Percent of Total		Carrying Value		Percent of Total
East North Central	$	3,176	7.8	%	$	3,218	7.9	%
Southern Atlantic	16,868		41.8		17,021		41.4
East South Central	7,048		17.4		7,257		17.7
New England	6,588		16.3		6,588		16.1
Middle Atlantic	2,041		5.0		2,078		5.1
Mountain	1,992		4.9		1,992		4.9
West North Central	2,767		6.8		2,813		6.9
Total mortgage loans at amortized cost	$	40,480	100.0	%	$	40,967	100.0	%


Commercial Mortgage Loans by Property Type
	September 30, 2025				December 31, 2024
	Carrying Value		Percent of Total		Carrying Value		Percent of Total
Commercial
Multifamily	$	8,229	20.3	%	$	8,362	20.4	%
Office	10,378		25.7		10,615		25.9
Industrial	9,855		24.4		9,912		24.2
Retail	9,977		24.6		10,000		24.4
Mixed use/Other	2,041		5.0		2,078		5.1
Total mortgage loans at amortized cost	$	40,480	100.0	%	$	40,967	100.0	%

Mortgage loans are evaluated on a quarterly basis for impairment on an individual basis through a monitoring process and review of key credit indicators, such as economic trends, delinquency rates, property valuations, occupancy and rental rates and loan-to-value ratios. A loan is considered impaired when the Company believes it will not collect the principal and interest set forth in the contractual terms of the loan. An internal grade is assigned to each mortgage loan, with a grade of 1 being the highest and least likely for an impairment and a grade of 7 being the lowest and most likely for an impairment. An allowance for mortgage loan losses is established on each loan for those amounts we believe will not be collected according to the contractual terms of the respective loan agreement. The table below shows mortgage loans by year of origination as of September 30, 2025.


Amortized Cost Basis by Year of Origination and Credit Quality Indicator
	2023		2022		2020		2019		2018		Total
Commercial mortgage loans:
Risk Rating:
1-2 internal grade	$	8,109	$	97	5,053		$	7,639	$	12,994	$	33,892
3-4 internal grade	—		—		—		—		6,588		6,588



Total commercial mortgage loans	$	8,109	$	97	$	5,053	$	7,639	$	19,582	$	40,480





Beginning balance, January 1, 2025	$	45
Current-period provision for expected credit losses	1,102
Write-off charged against the allowance, if any	—
Recoveries of amounts previously written off, if any	—
Ending balance, September 30, 2025	$	1,147

The increase in the credit loss allowance relates to a mortgage loan collateralized by commercial office property with declining occupancy rates. There were no other material changes in the expected credit loss reserve for the nine months ended September 30, 2025. The carrying value of commercial mortgage loans excludes accrued interest of $153.


	Three months ended September 30,				Nine months ended September 30,
	2025		2024		2025		2024
Net investment gains (losses):
Fixed maturities:
Available-for-sale	$	(609)	$	(1,731)	$	(1,406)	$	(5,776)
Allowance for credit losses	—		—		—		1



Equity securities
Net gains (losses) recognized on equity securities sold during the period	—		—		—		1,362
Unrealized gains (losses) recognized during the period on equity securities held at reporting date	—		—		—		—
Net gains (losses) recognized during the reporting period on equity securities	—		—		—		1,362
Mortgage loans allowance for credit losses	—		—		(1,102)		10
Other long-term investments	204		51		347		292





Total net investment gains (losses)	$	(405)	$	(1,680)	$	(2,161)	$	(4,111)


	Three months ended September 30,				Nine months ended September 30,
	2025		2024		2025		2024
Proceeds from sales	$	95,625	$	163,380	$	119,943	$	397,379
Gross realized gains	76		362		100		1,859
Gross realized losses	(685)		(2,093)		(1,506)		(7,635)


Investment Results
	Three months ended September 30,				Nine months ended September 30,
(In thousands)	2025		2024			2025		2024
Investment income:
Interest on fixed maturities	$	21,874	$	18,719		$	64,300	$	49,826
Dividends on equity securities	—		—			—		341
Income on other long-term investments	2,655		5,408			4,584		5,789
Other	4,381		3,173			11,415		11,259
Total investment income	$	28,910	$	27,300		$	80,299	$	67,215
Less investment expenses	2,918		2,841			9,176		8,385
Net investment income	$	25,992	$	24,459		$	71,123	$	58,830

Pursuant to agreements with our limited liability partnership investments, we are contractually committed through 2030 to make capital contributions upon the request of certain of the partnerships. Our remaining potential contractual obligation was $17.7 million at September 30, 2025.