10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)
x	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the Quarterly period ended March 31, 2018

OR

o Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from            to            

Commission File Number: 001-33549

Tiptree Inc.

(Exact name of Registrant as Specified in Its Charter)

Maryland	38-3754322
(State or Other Jurisdiction of	(IRS Employer
Incorporation of Organization)	Identification No.)
780 Third Avenue, 21st Floor, New York, New York	10017
(Address of Principal Executive Offices)	(Zip Code)

(212) 446-1400

(Registrant’s Telephone Number, Including Area Code)

Not applicable

(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report)

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes   x No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    

Yes   x     No   ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,”“smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer ¨Accelerated filer x

Non-accelerated filer ¨Smaller reporting company ¨

Emerging growth company ¨

If an emerging company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act.)    Yes  ¨    No  x

As of May 1, 2018, there were 37,862,072 shares, par value $0.001, of the registrant’s Class A common stock outstanding (excluding 153,985 shares of Class A common stock held by a subsidiary of the registrant) and no shares, par value $0.001, of the registrant’s Class B common stock outstanding.

Tiptree Inc.

Quarterly Report on Form 10-Q

March 31, 2018

Table of Contents

ITEM	Page Number
PART I. Financial Information	F- 1
Item 1. Financial Statements (Unaudited)	F- 3
Condensed Consolidated Balance Sheets as of March 31, 2018 and December 31, 2017	F- 3
Condensed Consolidated Statements of Operations for the three months ended March 31, 2018 and 2017	F- 4
Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2018 and 2017	F- 5
Condensed Consolidated Statement of Changes in Stockholders’ Equity for the period ended March 31, 2018 and 2017	F- 6
Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017	F- 8
Notes to Condensed Consolidated Financial Statements	F- 10
(1) Organization	F- 10
(2) Summary of Significant Accounting Policies	F- 10
(3) Dispositions, Assets Held for Sale & Discontinued Operations	F- 15
(4) Operating Segment Data	F- 17
(5) Investments	F- 19
(6) Notes and Accounts Receivable, net	F- 23
(7) Reinsurance Receivable	F- 24
(8) Goodwill and Intangible Assets, net	F- 26
(9) Derivative Financial Instruments and Hedging	F- 27
(10) Debt, net	F- 29
(11) Fair Value of Financial Instruments	F- 30
(12) Liability for Unpaid Claims and Claim Adjustment Expenses	F- 37
(13) Revenue From Contracts with Customers	F- 38
(14) Other Assets and Other Liabilities and Accrued Expenses	F- 39
(15) Other Revenue, Other Expenses and Other Income	F- 40
(16) Stockholders’ Equity	F- 41
(17) Accumulated Other Comprehensive Income (Loss)	F- 43
(18) Stock Based Compensation	F- 43
(19) Income Taxes	F- 46
(20) Commitments and Contingencies	F- 46
(21) Earnings Per Share	F- 47
(22) Subsequent Events	F- 48
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	1
Item 3. Quantitative and Qualitative Disclosures About Market Risk	18
Item 4. Controls and Procedures	18
PART II. Other Information	19
Item 1. Legal Proceedings	19
Item 1A. Risk Factors	19
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	19
Item 3. Defaults Upon Senior Securities	19
Item 4. Mine Safety Disclosures	19
Item 5. Other Information	19
Item 6. Exhibits, Financial Statement Schedules	20
Signatures	21

PART I. FINANCIAL INFORMATION

Forward-Looking Statements

Except for the historical information included and incorporated by reference in this Quarterly Report on Form 10-Q, the information included and incorporated by reference herein are “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. Forward-looking statements provide our current expectations or forecasts of future events and are not statements of historical fact. These forward-looking statements include information about possible or assumed future events, including, among other things, discussion and analysis of our future financial condition, results of operations and our strategic plans and objectives. When we use words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “seek,” “may,” “might,” “plan,” “project,” “should,” “target,” “will,” or similar expressions, we intend to identify forward-looking statements.

Forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, many of which are beyond our control, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including, but not limited to, those described in the section entitled “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2017 and in our other public filings with the SEC.

The factors described herein are not necessarily all of the important factors that could cause actual results or developments to differ materially from those expressed in any of our forward-looking statements.  Other unknown or unpredictable factors also could affect our forward-looking statements. Consequently, our actual performance could be materially different from the results described or anticipated by our forward-looking statements. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Except as required by the applicable law, we undertake no obligation to update any forward-looking statements.

Market and Industry Data

Certain market data and industry data included in this Quarterly Report on Form 10-Q were obtained from reports of governmental agencies and industry publications and surveys. We believe the data from third-party sources to be reliable based upon our management’s knowledge of the industry, but have not independently verified such data and as such, make no guarantees as to its accuracy, completeness or timeliness.

Note to Reader

In reading this Quarterly Report on Form 10-Q, references to:

“AUM” means assets under management.

“Care” means Care Investment Trust LLC.

“CLOs” means collateralized loan obligations.

“Code” means the Internal Revenue Code of 1986, as amended.

“consolidated CLOs” means Telos 5, Telos 6 and Telos 7.

“EBITDA” means earnings before interest, taxes, depreciation and amortization.

“Exchange Act” means the Securities Exchange Act of 1934, as amended.

“Fortress” means Fortress Credit Corp., as administrative agent, collateral agent and lead arranger, and affiliates of Fortress that are lenders under the Credit Agreement among the Company, Fortress and the lenders party thereto.

“Fortegra” means Fortegra Financial Corporation.

“GAAP” means U.S. generally accepted accounting principles.

“Invesque” means Invesque Inc. (f/k/a Mainstreet Health Investments Inc.)

“Luxury” means Luxury Mortgage Corp.

“NAIC” means the National Association of Insurance Commissioners.

“NPL” means nonperforming residential real estate mortgage loans.

“Operating Company” means Tiptree Operating Company, LLC.

“Reliance” means Reliance First Capital, LLC.

“REO” means real estate owned.

“SEC” means the U.S. Securities and Exchange Commission.

“Securities Act” means the Securities Act of 1933, as amended.

“Siena” means Siena Capital Finance LLC.

“TAMCO” means Tiptree Asset Management Company, LLC.

“Tax Act” means Public Law no. 115-97, commonly referred to as the Tax Cuts and Jobs Act

“Telos” means Telos Asset Management, LLC.

“Telos 5” means Telos CLO 2014-5, Ltd.

“Telos 6” means Telos CLO 2014-6, Ltd.

“Telos 7” means Telos CLO 2016-7, Ltd.

F- 1

“TFP” means Tiptree Financial Partners, L.P.

“Tiptree”, the “Company”, “we”, “its”, “us” and “our” means, unless otherwise indicated by the context, Operating Company and its consolidated subsidiaries, together with the standalone net assets held by Tiptree Inc. (formerly known as Tiptree Financial Inc.)

F- 2

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets (Unaudited)

(in thousands, except share data)

Item 1. Financial Statements (Unaudited)

	As of
	March 31, 2018			December 31, 2017
Assets:
Investments:
Available for sale securities, at fair value	$	212,809		$	182,448
Loans, at fair value	239,331			258,173
Equity securities, at fair value	140,238			25,536
Other investments	41,243			59,142
Total investments	633,621			525,299
Cash and cash equivalents	81,219			110,667
Restricted cash	19,336			31,570
Notes and accounts receivable, net	201,157			186,422
Reinsurance receivables	362,411			352,967
Deferred acquisition costs	143,146			147,162
Goodwill	91,562			91,562
Intangible assets, net	59,375			64,017
Other assets	42,122			31,584
Assets held for sale	54,857			448,492
Total assets	$	1,688,806		$	1,989,742
Liabilities and Stockholders’ Equity
Liabilities:
Debt, net	$	320,508		$	346,081
Unearned premiums	521,085			503,446
Policy liabilities and unpaid claims	117,740			112,003
Deferred revenue	58,349			56,745
Reinsurance payable	96,178			90,554
Other liabilities and accrued expenses	117,818			121,321
Liabilities held for sale	49,468			362,818
Total liabilities	$	1,281,146		$	1,592,968
Stockholders’ Equity:
Preferred stock: $0.001 par value, 100,000,000 shares authorized, none issued or outstanding	$	—		$	—
Common stock - Class A: $0.001 par value, 200,000,000 shares authorized, 35,003,004 and 35,003,004 shares issued and outstanding, respectively	35			35
Common stock - Class B: $0.001 par value, 50,000,000 shares authorized, 8,049,029 and 8,049,029 shares issued and outstanding, respectively	8			8
Additional paid-in capital	294,678			295,582
Accumulated other comprehensive income (loss), net of tax	(1,483		)	966
Retained earnings	60,741			38,079
Class A common stock held by subsidiaries, 5,080,943 and 5,197,551 shares, respectively	(33,823		)	(34,585		)
Class B common stock held by subsidiaries, 8,049,029 and 8,049,029 shares, respectively	(8		)	(8		)
Total Tiptree Inc. stockholders’ equity	320,148			300,077
Non-controlling interests - TFP	82,082			77,494
Non-controlling interests - Other	5,430			19,203
Total stockholders’ equity	407,660			396,774
Total liabilities and stockholders’ equity	$	1,688,806		$	1,989,742

See accompanying notes to condensed consolidated financial statements.

F- 3

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Operations (Unaudited)

(in thousands, except share data)

	Three Months Ended March 31,
	2018			2017
Revenues:
Earned premiums, net	$	101,645		$	89,231
Service and administrative fees	24,576			23,776
Ceding commissions	2,283			2,271
Net investment income	4,205			4,505
Net realized and unrealized gains (losses)	6,606			16,212
Other revenue	8,757			10,194
Total revenues	148,072			146,189
Expenses:
Policy and contract benefits	36,626			32,992
Commission expense	62,633			56,793
Employee compensation and benefits	27,788			29,030
Interest expense	5,946			6,078
Depreciation and amortization	2,957			3,554
Other expenses	19,165			17,619
Total expenses	155,115			146,066
Other income:
Income attributable to consolidated CLOs	—			8,867
Expenses attributable to consolidated CLOs	—			4,952
Net income (loss) attributable to consolidated CLOs	—			3,915
Total other income	—			3,915
Income (loss) before taxes from continuing operations	(7,043		)	4,038
Less: provision (benefit) for income taxes	(1,568		)	1,568
Net income (loss) from continuing operations	(5,475		)	2,470
Discontinued operations:
Income (loss) before taxes from discontinued operations	624			(1,530		)
Gain on sale of discontinued operations, net	46,184			—
Less: Provision (benefit) for income taxes	12,327			(402		)
Net income (loss) from discontinued operations	34,481			(1,128		)
Net income (loss) before non-controlling interests	29,006			1,342
Less: net income (loss) attributable to non-controlling interests - TFP	5,392			208
Less: net income (loss) attributable to non-controlling interests - Other	54			34
Net income (loss) attributable to Tiptree Inc. Class A common stockholders	$	23,560		$	1,100
Net income (loss) per Class A common share:
Basic, continuing operations, net	$	(0.15	)	$	0.07
Basic, discontinued operations, net	0.94			(0.03		)
Basic earnings per share	$	0.79		$	0.04
Diluted, continuing operations, net	(0.15		)	0.06
Diluted, discontinued operations, net	0.94			(0.03		)
Diluted earnings per share	$	0.79		$	0.03
Weighted average number of Class A common shares:
Basic	29,861,496			28,424,824
Diluted	29,861,496			36,749,956
Dividends declared per common share	$	0.035		$	0.030

See accompanying notes to condensed consolidated financial statements.

F- 4

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)

(in thousands)

	Three Months Ended March 31,
	2018			2017
Net income (loss) before non-controlling interests	$	29,006		$	1,342
Other comprehensive income (loss), net of tax:
Unrealized gains (losses) on available-for-sale securities:
Unrealized holding gains (losses) arising during the period	(2,293		)	678
Related tax (expense) benefit	504			(243		)
Reclassification of (gains) losses included in net income	531			47
Related tax expense (benefit)	(116		)	(16		)
Unrealized gains (losses) on available-for-sale securities, net of tax	(1,374		)	466
Interest rate swaps (cash flow hedges):
Unrealized gains (losses) on interest rate swaps	1,111			132
Related tax (expense) benefit	(276		)	(48		)
Reclassification of (gains) losses included in net income (1)	(3,845		)	144
Related tax expense (benefit)	936			(45		)
Unrealized (losses) gains on interest rate swaps from cash flow hedges, net of tax	(2,074		)	183
Other comprehensive income (loss), net of tax	(3,448		)	649
Comprehensive income (loss)	25,558			1,991
Less: Comprehensive income (loss) attributable to non-controlling interests - TFP	4,829			324
Less: Comprehensive income (loss) attributable to non-controlling interests - Other	(382		)	60
Comprehensive income (loss) attributable to Tiptree Inc. Class A common stockholders	$	21,111		$	1,607

(1) Deconsolidated as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

See accompanying notes to condensed consolidated financial statements.

F- 5

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Changes in Stockholders’ Equity (Unaudited)

(in thousands, except shares)

	Number of Shares		Par Value												Common Stock held by subsidiaries										Total stockholders’ equity to Tiptree Inc.			Non-controlling interests - TFP			Non-controlling interests - Other			Total stockholders' equity
	Class A	Class B	Class A		Class B		Additional paid in capital			Accumulated other comprehensive income (loss)		Retained earnings			Class A Shares		Class A Amount			Class B Shares		Class B Amount
Balance at December 31, 2016	34,983,616	8,049,029	$	35	$	8	$	297,391		$	555	$	37,974		(6,596,000	)	$	(42,524	)	(8,049,029	)	$	(8	)	$	293,431		$	76,077		$	20,636		$	390,144
Amortization of share based incentive compensation	—	—	—		—		398			—		—			—		—			—		—			398			—			—			398
Vesting of share-based incentive compensation	5,248	—	—		—		(614		)	—		—			99,537		647			—		—			33			—			—			33
Other comprehensive income, net of tax	—	—	—		—		—			507		—			—		—			—		—			507			116			26			649
Non-controlling interest contributions	—	—	—		—		—			—		—			—		—			—		—			—			—			1,318			1,318
Non-controlling interest distributions	—	—	—		—		—			—		—			—		—			—		—			—			(241		)	(286		)	(527		)
Net changes in non-controlling interest	—	—	—		—		93			—		—			—		—			—		—			93			—			1,242			1,335
Dividends declared	—	—	—		—		—			—		(854		)	—		—			—		—			(854		)	—			—			(854		)
Net income	—	—	—		—		—			—		1,100			—		—			—		—			1,100			208			34			1,342
Balance at March 31, 2017	34,988,864	8,049,029	$	35	$	8	$	297,268		$	1,062	$	38,220		(6,496,463	)	$	(41,877	)	(8,049,029	)	$	(8	)	$	294,708		$	76,160		$	22,970		$	393,838

See accompanying notes to condensed consolidated financial statements.

F- 6

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Changes in Stockholders’ Equity (Unaudited)

(in thousands, except shares)

	Number of Shares		Par Value				Additional paid in capital			Accumulated other comprehensive income (loss)			Retained earnings			Common Stock held by subsidiaries										Total stockholders’ equity to Tiptree Inc.			Non-controlling interests - TFP			Non-controlling interests - Other			Total stockholders' equity
	Class A	Class B	Class A		Class B											Class A Shares		Class A Amount			Class B Shares		Class B Amount
Balance at December 31, 2017	35,003,004	8,049,029	$	35	$	8	$	295,582		$	966		$	38,079		(5,197,551	)	$	(34,585	)	(8,049,029	)	$	(8	)	$	300,077		$	77,494		$	19,203		$	396,774
Amortization of share-based incentive compensation	—	—	—		—		585			—			—			—		—			—		—			585			—			648			1,233
Vesting of share-based incentive compensation	—	—	—		—		(1,003		)	—			—			145,973		949			—		—			(54		)	—			—			(54		)
Other comprehensive income, net of tax	—	—	—		—		—			(2,449		)	—			—		—			—		—			(2,449		)	(563		)	(436		)	(3,448		)
Non-controlling interest distributions	—	—	—		—		—			—			—			—		—			—		—			—			(241		)	—			(241		)
Shares purchased under stock purchase plan	—	—	—		—		—			—			—			(29,365	)	(187		)	—		—			(187		)	—			—			(187		)
Net changes in non-controlling interest	—	—	—		—		(486		)	—			—			—		—			—		—			(486		)	—			(14,039		)	(14,525		)
Dividends declared	—	—	—		—		—			—			(898		)	—		—			—		—			(898		)	—			—			(898		)
Net income	—	—	—		—		—			—			23,560			—		—			—		—			23,560			5,392			54			29,006
Balance at March 31, 2018	35,003,004	8,049,029	$	35	$	8	$	294,678		$	(1,483	)	$	60,741		(5,080,943	)	$	(33,823	)	(8,049,029	)	$	(8	)	$	320,148		$	82,082		$	5,430		$	407,660

See accompanying notes to condensed consolidated financial statements.

F- 7

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows (Unaudited)

(in thousands)

	Three months ended March 31,
	2018			2017
Operating Activities:
Net income (loss) available to common stockholders	$	23,560		$	1,100
Net income (loss) attributable to non-controlling interests - TFP	5,392			208
Net income (loss) attributable to non-controlling interests - Other	54			34
Net income (loss)	29,006			1,342
Adjustments to reconcile net income to net cash provided by (used in) operating activities
Net realized and unrealized (gains) losses	(6,606		)	(16,212		)
Net (gain) on sale of subsidiary	(46,184		)	—
Net unrealized loss (gain) on interest rate swaps	—			(343		)
Change in fair value of contingent consideration	—			554
Non cash compensation expense	1,233			1,798
Amortization/accretion of premiums and discounts	169			345
Depreciation and amortization expense	2,958			7,921
Provision for doubtful accounts	64			129
Amortization of deferred financing costs	329			665
Loss on extinguishment of debt	428			—
Deferred tax expense (benefit)	10,759			1,166
Changes in operating assets and liabilities:
Mortgage loans originated for sale	(360,542		)	(347,601		)
Proceeds from the sale of mortgage loans originated for sale	390,747			405,637
(Increase) decrease in notes and accounts receivable	(15,234		)	(10,253		)
(Increase) decrease in reinsurance receivables	(9,444		)	(15,540		)
(Increase) decrease in deferred acquisition costs	4,016			4,896
(Increase) decrease in other assets	(19,139		)	4,027
Increase (decrease) in unearned premiums	17,639			3,146
Increase (decrease) in policy liabilities and unpaid claims	5,737			1,232
Increase (decrease) in deferred revenue	1,604			(1,213		)
Increase (decrease) in reinsurance payable	5,624			19,148
Increase (decrease) in other liabilities and accrued expenses	(9,713		)	(10,347		)
Operating activities from consolidated CLOs	—			(1,333		)
Net cash provided by (used in) operating activities	3,451			49,164
Investing Activities:
Purchases of investments	(103,857		)	(43,024		)
Proceeds from sales and maturities of investments	76,291			51,108
(Increase) decrease in loans owned, at amortized cost, net	—			19,393
Purchases of real estate capital expenditures	(592		)	(500		)
Proceeds from the sale of real estate	4,200			2,028
Purchases of corporate fixed assets	(614		)	(780		)
Proceeds from the sale of subsidiaries	3,561			—
Proceeds from notes receivable	7,803			13,682
Issuance of notes receivable	(7,778		)	(18,701		)
Business and asset acquisitions, net of cash and deposits	—			(16,601		)
Investing activities from consolidated CLOs	—			21,618
Net cash provided by (used in) investing activities	(20,986		)	28,223
Financing Activities:
Non-controlling interest contributions	—			1,318
Non-controlling interest distributions	(241		)	(527		)
Payment of debt issuance costs	(346		)	(88		)

F- 8

TIPTREE INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows (Unaudited)

(in thousands)

	Three months ended March 31,
	2018			2017
Proceeds from borrowings and mortgage notes payable	363,590			384,933
Principal paydowns of borrowings and mortgage notes payable	(395,625		)	(434,435		)
Repurchases of common stock	(187		)	—
Financing activities from consolidated CLOs	—			(21,410		)
Net cash provided by (used in) financing activities	(32,809		)	(70,209		)
Net increase (decrease) in cash, cash equivalents and restricted cash	(50,344		)	7,178
Cash, cash equivalents and restricted cash – beginning of period	142,237			74,258
Cash, cash equivalents and restricted cash – beginning of period - held for sale	10,533			13,224
Cash, cash equivalents and restricted cash – end of period	102,426			94,660
Less: Reclassification of cash to assets held for sale	1,871			15,497
Cash, cash equivalents and restricted cash– end of period	$	100,555		$	79,163
Supplemental Schedule of Non-Cash Investing and Financing Activities:
Assets of consolidated CLOs deconsolidated due to sale and redemption	$	—		$	405,263
Liabilities of consolidated CLOs deconsolidated due to sale and redemption	$	—		$	387,273
Equity securities acquired through the sale of a subsidiary and asset sales	$	134,083		$	—
Real estate acquired through asset acquisition	$	—		$	8,178
Intangible assets related to in-place leases acquired through asset acquisition	$	—		$	2,049
Debt assumed through acquisitions	$	—		$	7,586
Acquired real estate properties through, or in lieu of, foreclosure of the related loan	$	3,435		$	2,968
	As of
Reconciliation of cash, cash equivalents and restricted cash shown in the statement of cash flows	March 31, 2018			December 31, 2017
Cash and cash equivalents	$	81,219		$	110,667
Restricted cash	19,336			31,570
Total cash, cash equivalents and restricted cash shown in the statement of cash flows	$	100,555		142,237

See accompanying notes to condensed consolidated financial statements.

F- 9

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(1) Organization

Tiptree Inc. (together with its consolidated subsidiaries, collectively, Tiptree, the Company, or we) is a Maryland Corporation that was incorporated on March 19, 2007. Tiptree is a holding company that combines specialty insurance operations with investment management expertise. We allocate our capital across our insurance operations and investments in other companies and assets which are managed as part of Tiptree Capital. As of March 31, 2018, Tiptree Capital consists of asset management operations, mortgage operations and other investments. As such, we classify our business into three reportable segments: specialty insurance, asset management and mortgage.

Tiptree’s Class A common stock has been traded on the Nasdaq Capital Market under the symbol “TIPT” beginning in August of 2013. As of March 31, 2018, Tiptree’s primary asset is its ownership of Tiptree Financial Partners, L.P. (TFP) an intermediate holding company through which Tiptree operates its businesses.

As of March 31, 2018, Tiptree directly owned approximately 81% of TFP. The remaining 19% is owned by various limited partners and reported as non-controlling interest. All of Tiptree’s Class B common stock was owned by TFP and accounted for as treasury stock. On April 10, 2018, TFP merged with and into Tiptree Inc. See Note (22) Subsequent Events for more details of the merger and its impact on the organizational structure of the Company.

(2) Summary of Significant Accounting Policies

Basis of Presentation and Principles of Consolidation

The accompanying unaudited condensed consolidated financial statements of Tiptree have been prepared in accordance with generally accepted accounting principles in the United States of America (GAAP) and include the accounts of the Company and its subsidiaries. The condensed consolidated financial statements are presented in U.S. dollars, the main operating currency of the Company. The unaudited condensed consolidated financial statements presented herein should be read in conjunction with the annual audited financial statements included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2017. In the opinion of management, the accompanying unaudited interim financial information reflects all adjustments, including normal recurring adjustments necessary to present fairly the Company’s financial position, results of operations, comprehensive income and cash flows for each of the interim periods presented. The results of operations for the three months ended March 31, 2018 are not necessarily indicative of the results that may be expected for the full year ending on December 31, 2018.

As a result of changes in presentation made in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, certain prior period amounts related to discontinued operations have been reclassified from continuing operations to conform to the current presentation. These reclassifications had no effect on the reported results of operations. The primary difference in the presentation of the condensed consolidated financial statements from the prior year is the reclassification of Care, our senior living business, to discontinued operations in the condensed consolidated statement of operations. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations for additional information.

As a result of the adoption of ASU 2016-01, an immaterial amount of equity securities classified as available for sale as of December 31, 2017 were reclassified to equity securities, at fair value as of March 31, 2018. The net unrealized loss was immaterial. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows for the three months ended March 31, 2018 and 2017.

Tiptree consolidates those entities in which it has an investment of 50% or more of voting rights or has control over significant operating, financial and investing decisions of the entity as well as variable interest entities (VIEs) in which Tiptree is determined to be the primary beneficiary. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity risk for the entity to finance its activities without additional subordinated financial support from other parties.

A VIE is required to be consolidated only by its primary beneficiary, which is defined as the party who has the power to direct the activities of a VIE that most significantly impact its economic performance and who has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. Generally, Tiptree’s consolidated VIEs are entities which Tiptree is considered the primary beneficiary through its controlling financial interests.

F- 10

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Non-controlling interests on the condensed consolidated balance sheets represent the ownership interests in certain consolidated subsidiaries held by entities or persons other than Tiptree. Accounts and transactions between consolidated entities have been eliminated.

Use of Estimates

The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s condensed consolidated financial statements and accompanying notes. Management makes estimates and assumptions that include, but are not limited to, the determination of the following significant items:

• Fair value of financial assets and liabilities, including, but not limited to, securities, loans and derivatives

• Value of acquired assets and liabilities;

• Carrying value of goodwill and other intangibles, including estimated amortization period and useful lives;

• Reserves for unpaid losses and loss adjustment expenses, estimated future claims and losses, potential litigation and other claims;

• Valuation of contingent share issuances for compensation and purchase consideration, including estimates of number of shares and vesting schedules;

• Revenue recognition including, but not limited to, the timing and amount of insurance premiums, service, administration fees, and loan origination fees; and

• Other matters that affect the reported amounts and disclosure of contingencies in the condensed consolidated financial statements.

Although these and other estimates and assumptions are based on the best available estimates, actual results could differ materially from management’s estimates.

Business Combination Accounting

The Company accounts for business combinations by applying the acquisition method of accounting. The acquisition method requires, among other things, that the assets acquired and liabilities assumed in a business combination be measured at fair value as of the closing date of the acquisition. The net assets acquired may consist of tangible and intangible assets and the excess of purchase price over the fair value of identifiable net assets acquired, or goodwill. The determination of estimated useful lives and the allocation of the purchase price to the intangible assets requires significant judgment and affects the amount of future amortization and possible impairment charges. Contingent consideration, if any, is measured at fair value on the date of acquisition. The fair value of any contingent consideration liability is remeasured at each reporting date with any change recorded in other expense in the condensed consolidated statements of operations. Acquisition and transaction costs are expensed as incurred.

In certain instances, the Company may acquire less than 100% ownership of an entity, resulting in the recording of a non-controlling interest. The measurement of assets and liabilities acquired and non-controlling interest is initially established at a preliminary estimate of fair value, which may be adjusted during the measurement period, primarily due to the results of valuation studies applicable to the business combination.

Acquisitions that do not meet the criteria for the acquisition method of accounting are accounted for as acquisitions of assets.

Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. The three levels, from highest to lowest, are defined as follows:

•Level 1 – Unadjusted, quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

•Level 2 – Significant inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly through corroboration with observable market data. Level 2 inputs include quoted prices for similar instruments

F- 11

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

in active markets, and inputs other than quoted prices that are observable for the asset or liability. The types of financial assets and liabilities carried at level 2 are valued based on one or more of the following:

a) Quoted prices for similar assets or liabilities in active markets;

b) Quoted prices for identical or similar assets or liabilities in nonactive markets;

c) Pricing models whose inputs are observable for substantially the full term of the asset or liability;

d) Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.

•Level 3 – Significant inputs that are unobservable inputs for the asset or liability, including the Company’s own data and assumptions that are used in pricing the asset or liability.

Fair Value Option

In addition to the financial instruments the Company is required to measure at fair value, the Company has elected to make an irrevocable election to utilize fair value as the initial and subsequent measurement attribute for certain eligible financial assets and liabilities. Unrealized gains and losses on items for which the fair value option has been elected are reported in Net realized and unrealized gains (losses) within the condensed consolidated statements of operations. The decision to elect the fair value option is determined on an instrument-by-instrument basis and must be applied to an entire instrument and is irrevocable once elected. Assets and liabilities measured at fair value pursuant to this guidance are reported separately in our condensed consolidated balance sheets from those instruments using another accounting method.

Recent Accounting Standards

Recently Adopted Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The amendments in this standard affects any entity that either enters into contracts with customers to transfer goods and services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. On July 9, 2015, the FASB decided to delay the effective date of ASU 2014-09 by one year. Reporting entities may choose to adopt the standard as of the original effective date. The deferral results in ASU 2014-09 being effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. A substantial majority of the Company’s non-investment related revenues are comprised of revenues from insurance contracts that are accounted for under Financial Services-Insurance (Topic 944) or certain financial services products (e.g. gains upon the origination of mortgages) that are not within the scope of the new standard.  The Company’s remaining revenues that are within the scope of Topic 606 are primarily comprised of revenues from contracts with customers for monthly membership dues for motor clubs, monthly administration fees for services provided for premiums, claims and reinsurance processing revenues, vehicle service contracts and warranty coverage revenues for household goods and appliances (collectively, remaining contracts). The Company has chosen the modified-retrospective method of adopting Topic 606, and has assessed these contracts and concluded that changes in accounting and revenue recognition upon adoption of Topic 606 was not material to the Company’s financial position as of January 1, 2018, and did not have a material impact on the Company’s condensed consolidated financial statements. No cumulative effect adjustment was made due to the adoption of this standard. See Note (13) Revenue From Contracts with Customers for disclosures required under ASU 2014-09 and others related to Topic 606.

In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, which makes targeted improvements to the recognition, measurement, presentation and disclosure of certain financial instruments. ASU 2016-01 focuses primarily on the accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for certain financial instruments. Among its provisions for public business entities, ASU 2016-01 eliminates the requirement to disclose the method(s) and significant assumptions used to estimate the fair value of financial instruments measured at amortized cost, requires the use of the exit price notion when measuring the fair value of financial instruments for disclosure purposes, requires the separate presentation in other comprehensive income of the change in fair value of a liability due to instrument-specific credit risk for a liability for which the reporting entity has elected the fair value option, requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) and clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses

F- 12

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

on available-for-sale debt securities. ASU 2016-01 was effective for the Company as of January 1, 2018. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), which clarify the implementation guidance on principal versus net considerations. The effective date and transition requirements for this standard are the same as the effective date and transition requirements of ASU 2014-09. See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, which clarifies guidance related to identifying performance obligations and licensing implementation guidance contained in the new revenue recognition standard. The Update includes targeted improvements based on input the FASB received from the Transition Resource Group for Revenue Recognition and other stakeholders. The Update seeks to proactively address areas in which diversity in practice potentially could arise, as well as to reduce the cost and complexity of applying certain aspects of the guidance both at implementation and on an ongoing basis. The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements in Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In May 2016, the FASB issued ASU 2016-11, Revenue Recognition (Topic 606) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting, which  rescinds SEC paragraphs pursuant to the SEC Staff Announcement, “Rescission of Certain SEC Staff Observer Comments upon Adoption of Topic 606,” and the SEC Staff Announcement, “Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or Equity,” announced at the March 3, 2016 Emerging Issues Task Force (EITF) meeting. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, which provides guidance on collectability, noncash consideration, and completed contracts at transition.  Additionally, the amendments in this Update provide a practical expedient for contract modifications at transition and an accounting policy election related to the presentation of sales taxes and other similar taxes collected from customers.  The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements for Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (COLIs) (including bank-owned life insurance policies (BOLIs)); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. The standard is effective for financial statements issued for fiscal years beginning after December 15, 2017 and interim periods within those annual periods. Early adoption is permitted, including the adoption in an interim period. The amendments in this Update should be applied using a retrospective transition method to each period presented. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18, Restricted Cash (a consensus of the FASB Emerging Issues Task Force), which addresses classification and presentation of changes in restricted cash on the statement of cash flows.ASU 2016-18 requires an entity’s reconciliation of the beginning-of-period and end-of-period total amounts shown on the statement of cash flows to include in cash and cash equivalents amounts generally described as restricted cash and restricted cash equivalents. The ASU does not define restricted cash or restricted cash equivalents, but an entity will need to disclose the nature of the restrictions. ASU 2016-18 is effective for public business entities for annual and interim periods in fiscal years beginning after December 15, 2017. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows in the first quarter of 2018.

In February 2017, the FASB issued ASU 2017-05, Other Income-Gains and Losses from the Derecognition of Nonfinancial

F- 13

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Assets (Subtopic 610-20) Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets. The new guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2016. The guidance may be applied retrospectively for all periods presented or retrospectively with a cumulative-effect adjustment at the date of adoption. The new guidance clarifies the scope and accounting of a financial asset that meets the definition of an “in-substance nonfinancial asset” and defines the term, “in-substance nonfinancial asset.” The ASU also adds guidance for partial sales of nonfinancial assets. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting, which provided clarity as to what changes to the terms or conditions of share-based payment awards require an entity to apply modification accounting in Topic 718. ASU 2017-09 is effective for the Company for interim and annual periods beginning after December 15, 2017, with early adoption permitted, and is applied prospectively to changes in terms or conditions of awards occurring on or after the adoption date. The Company will consider the impact that this standard may have on future stock-based payment award modifications should they occur.

Recently Issued Accounting Pronouncements, Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e., lessees and lessors). The new standard requires lessees to apply a dual approach, classifying leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight-line basis over the term of the lease. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. Leases with a term of 12 months or less will be accounted for similar to existing guidance for operating leases today. The new standard requires lessors to account for leases using an approach that is substantially equivalent to existing guidance for sales-type leases, direct financing leases and operating leases. ASU 2016-02 supersedes the previous leases standard, Leases (Topic 840). The standard is effective on January 1, 2019, with early adoption permitted. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13 Financial Instruments -Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends guidance on reporting credit losses for assets held at amortized cost basis and available for sale debt securities. For assets held at amortized cost basis, Topic 326 eliminates the probable initial recognition threshold in current GAAP and, instead requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available for sale debt securities, credit losses should be measured in a manner similar to current GAAP, however Topic 326 will require that credit losses be presented as an allowance rather than as a write-down. This ASU affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments in ASU 2016-13 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The amendments will affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment. ASU 2017-04 does not change the qualitative assessment; however, it removes “the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test.” Instead, all reporting units, even those with a zero or negative carrying amount will apply the same impairment test. Therefore, as the FASB notes in the ASU’s Basis for Conclusions, the goodwill of reporting units with zero or negative carrying values will not be impaired, even when conditions underlying the reporting unit indicate that goodwill is impaired. Entities will, however, be required to disclose any reporting units with zero or negative carrying amounts and the respective amounts of goodwill allocated to those reporting units. The amendments in ASU 2017-04 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the effect on its condensed consolidated financial statements.

F- 14

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

In March 2017, the FASB issued ASU 2017-08, Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities. The new guidance is effective for fiscal years beginning after December 15, 2018 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2017. The guidance is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The guidance shortens the amortization period for certain callable debt securities held at a premium, requiring the premium to be amortized to the earliest call date. The Company believes that the adoption of ASU 2017-08 will not have a material impact on its condensed consolidated financial statements.

In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, which amends the guidance on hedge accounting. The amendment will make more financial and nonfinancial hedging strategies eligible for hedge accounting and amend the presentation and disclosure requirements. It is intended to more closely align hedge accounting with companies’ risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. ASU 2017-12 can be adopted immediately in any interim or annual period. The mandatory effective date for calendar year-end public companies is January 1, 2019. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which permits companies to reclassify stranded tax effects caused by Public Law no. 115-97, commonly referred to as the Tax Cuts and Jobs Act (Tax Act) from accumulated other comprehensive income (AOCI) to retained earnings. Deferred tax assets (DTA) related to available for sale (AFS) securities unrealized gains and losses that were revalued as of December 31, 2017 created stranded tax effects in accumulated other comprehensive income (AOCI) due to the enactment of the tax act, due to the nature of existing GAAP requiring recognition of tax rate change effects on the DTA revaluation related to AFS securities as an adjustment to provision for income taxes. Specifically, ASU 2018-02 permits a reclassification from AOCI to retained earnings for stranded tax effects resulting from the Tax Act. Additionally, the ASU requires new disclosures by all companies, whether they opt to do the reclassification or not. The amendments in ASU 2018-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company believes that the adoption of ASU 2018-02 will not have a material impact on its consolidated financial statements.

(3) Dispositions, Assets Held for Sale and Discontinued Operations

Dispositions

On January 18, 2017 and November 7, 2017, the Company sold its ownership in the subordinated notes of Telos 5 and Telos 6 (collectively, the Disposed CLOs). As a result of the sales, the Company determined that it no longer had the controlling interest in such entities. The Company, therefore, deconsolidated its ownership in the subordinated notes of the Disposed CLOs and is no longer reporting the assets and liabilities of the Disposed CLOs in its consolidated balance sheet as of December 31, 2017. The operations of the Disposed CLOs were consolidated in the results of the Company through the respective dates.

The operations of the Disposed CLOs were consolidated in the Company’s consolidated financial statements through the respective sale dates. On August 10, 2017, the Company’s ownership in the subordinated notes of Telos 7 was redeemed for cash as part of the complete liquidation of the CLO. The operations of Telos 7 were consolidated in the results of the Company through the redemption date.

The Company sold Siena on October 1, 2017. Consideration consisted of $2,500 in cash and $11,000 of seller provided financing at the time of sale. The financing has an interest rate of 10% and matures on November 18, 2018. The operations of Siena were consolidated in the results of the Company through the sale date.

The Company completed the sale of Care, as well as two senior living properties held in our specialty insurance business on February 1, 2018. The Company received approximately 16.6 million shares of Invesque Inc. (Invesque) with an estimated fair value of $134.1 million at the time of sale, resulting in an ownership of approximately 34% of the acquiring company at the time of sale. The Company has elected to apply the fair value option to the investment in Invesque. As such, these shares are held at fair value within equity securities, at fair value.

The pre-tax comprehensive income on the sale was approximately $44.2 million, which consists of $46.2 million gain on sale of subsidiary, $1.8 million of realized gain on the sale of the specialty insurance properties, offset by the reclassification of the interest rate swap from AOCI of $3.8 million.

F- 15

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The Company has reclassified the income and expenses attributable to Care to net income (loss) from discontinued operations for the three months ended March 31, 2018 and 2017.

The Company has entered into a definitive agreement to sell Luxury and classified Luxury as held for sale as of December 31, 2017. The agreement did not meet the requirements to be classified as a discontinued operation. Assets and liabilities attributable to Luxury have been reclassified to assets held for sale and liabilities held for sale, respectively, as of March 31, 2018 and December 31, 2017.

As of March 31, 2018 and December 31, 2017, the Company did not record any impairments with respect to assets held for sale or discontinued operations.

Assets Held for Sale

The following table represents detail of assets and liabilities held for sale in the condensed consolidated balance sheets for the following periods:

	As of
	March 31, 2018(1)		December 31, 2017
Assets	Luxury		Care		Luxury		Total
Investments:
Loans, at fair value	$	51,113	$	—	$	57,255	$	57,255
Loans at amortized cost, net	—		700		—		700
Real estate, net of accumulated depreciation of $0 and $26,823	—		347,303		—		347,303
Other investments	791		1,853		677		2,530
Total Investments	51,904		349,856		57,932		407,788
Cash and cash equivalents	1,871		8,316		2,217		10,533
Notes and accounts receivable, net	203		5,318		263		5,581
Intangible assets, net of accumulated amortization of $0 and $26,944	—		17,417		—		17,417
Other assets	879		6,508		665		7,173
Assets held for sale	$	54,857	$	387,415	$	61,077	$	448,492
Liabilities
Debt, net	$	47,814	$	296,868	$	53,835	$	350,703
Other liabilities and accrued expenses	1,654		10,693		1,422		12,115
Liabilities held for sale	$	49,468	$	307,561	$	55,257	$	362,818

(1) Reflects the closing of the sale of Care discussed above. The reduction in net assets and liabilities held for sale included approximately $13.4 million related to non-controlling interest.

F- 16

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Discontinued Operations

The following table represents detail of revenues and expenses of discontinued operations in the condensed consolidated statements of operations for the following periods:

	Three months ended March 31,
	2018		2017
Revenues:
Rental and related revenue	$	6,476	$	17,403
Other revenue	149		316
Total revenues	6,625		17,719
Expenses:
Employee compensation and benefits	2,788		7,079
Interest expense	1,252		2,701
Depreciation and amortization	—		4,255
Other expenses	1,961		5,214
Total expenses	6,001		19,249
Net income (loss) before taxes from discontinued operations	624		(1,530		)
Gain on sale of discontinued operations, net	46,184		—
Less: provision (benefit) for income taxes	12,327		(402		)
Net income (loss) from discontinued operations	$	34,481	$	(1,128	)

The following table represents a summary of cash flows related to discontinued operation included in the condensed consolidated statements of cash flows for the following periods:

	Three Months Ended March 31,
	2018			2017
Net cash provided by (used in):
Operating activities	$	(2,095	)	$	3,698
Investing activities	(592		)	(17,397		)
Financing activities	(123		)	9,238
Net cash flows provided by discontinued operations	$	(2,810	)	$	(4,461	)

(4) Operating Segment Data

Tiptree is a holding company that combines specialty insurance operations with investment management expertise. We allocate our capital across our insurance operations and investments which are managed as part of Tiptree Capital. Today, Tiptree Capital consists of asset management operations, mortgage operations and other investments. As such, we classify our business into three reportable segments– specialty insurance, asset management and mortgage. Corporate activities include holding company interest expense, employee compensation and benefits, and other expenses.

Each reportable segment’s income (loss) is reported before income taxes, discontinued operations and non-controlling interests. Segment results incorporate the revenues and expenses of these subsidiaries since they commenced operations or were acquired.

Descriptions of each of our reportable segments are as follows:

Insurance:

Specialty Insurance operations are conducted through Fortegra Financial Corporation (Fortegra), an insurance holding company. Fortegra underwrites and provides specialty insurance products, primarily in the United States, and is a leading provider of credit insurance and asset protection products. Fortegra’s range of products and services include credit protection insurance, warranty and service contract products, and insurance programs which underwrite niche personal and commercial lines of insurance. We also offer various other insurance related products and services throughout the U.S. through our non-regulated subsidiaries.

F- 17

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Tiptree Capital:

Asset Management operations are primarily conducted through Telos Asset Management LLC’s (Telos) management of CLOs. Telos is a subsidiary of Tiptree Asset Management Company, LLC (TAMCO), an SEC-registered investment advisor owned by the Company. Results include net income (loss) from consolidated CLOs.

Mortgage operations are conducted through Reliance. The Company’s mortgage origination business originated loans for sale to institutional investors, including GSEs and FHA/VA.

Other includes operations and investments that are not considered reportable segments. This includes the investment in Invesque not held in Specialty Insurance, Siena, which was sold on October 1, 2017, and Luxury which is classified as held for sale.

The tables below present the components of revenue, expense, pre-tax income (loss), and segment assets for each of the operating segments for the following period.

	Three Months Ended March 31, 2018
				Tiptree Capital
	Specialty insurance			Asset management			Mortgage			Other			Total
Total revenue	$	129,998		$	1,855		$	12,998		$	3,221		$	148,072
Total expense	(128,655		)	(963		)	(12,845		)	(5,938		)	(148,401		)
Corporate expense	—			—			—			—			(6,714		)
Income (loss) before taxes from continuing operations	$	1,343		$	892		$	153		$	(2,717	)	$	(7,043	)
Less: provision (benefit) for income taxes													(1,568		)
Net income (loss) from discontinued operations													34,481
Net income (loss) before non-controlling interests													$	29,006
Less: net income (loss) attributable to non-controlling interests													5,446
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	23,560

	Three Months Ended March 31, 2017
				Tiptree Capital
	Specialty insurance(1)			Asset management			Mortgage			Other			Total
Total revenue	$	121,846		$	2,973		$	12,828		$	8,542		$	146,189
Total expense	(117,045		)	(1,307		)	(12,527		)	(8,458		)	(139,337		)
Net income attributable to consolidated CLOs	—			3,915			—			—			3,915
Corporate expense	—			—			—			—			(6,729		)
Income (loss) before taxes from continuing operations	$	4,801		$	5,581		$	301		$	84		$	4,038
Less: provision (benefit) for income taxes													1,568
Net income (loss) from discontinued operations													(1,128		)
Net income (loss) before non-controlling interests													$	1,342
Less: net income (loss) attributable to non-controlling interests													242
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	1,100

F- 18

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following table presents the segment assets for the following periods:
	Segment Assets as of March 31, 2018
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,375,162	$	4,717	$	82,253	$	171,817	$	1,633,949
Assets held for sale	—		—		—		54,857		54,857
Total assets									$	1,688,806
	Segment Assets as of December 31, 2017
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,367,437	$	5,537	$	90,260	$	78,016	$	1,541,250
Assets held for sale	—		—		—		448,492		448,492
Total assets									$	1,989,742

(5) Investments

Investments by Segment

The following table presents investments by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	212,809	$	—	$	—	$	—	$	212,809
Loans, at fair value	186,574		—		52,757		—		239,331
Equity securities, at fair value	34,320		—		—		105,918		140,238
Other investments	33,477		2,796		4,407		563		41,243
Total	$	467,180	$	2,796	$	57,164	$	106,481	$	633,621
	As of December 31, 2017
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	182,448	$	—	$	—	$	—	$	182,448
Loans, at fair value	195,327		—		62,846		—		258,173
Equity securities, at fair value	25,536		—		—		—		25,536
Other investments	50,720		2,846		5,013		563		59,142
Total	$	454,031	$	2,846	$	67,859	$	563	$	525,299

(1) Investment income sourced from these investments is presented in Note (15) Other Revenue, Other Expenses and Other Income.

(2) Does not include items related to assets held for sale. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

F- 19

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Available for Sale Securities, at fair value

All of the Company’s investments in available for sale securities as of March 31, 2018 and December 31, 2017 are held by subsidiaries in the specialty insurance business. The following tables present the Company's investments in available for sale securities:

	As of March 31, 2018
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	38,620	$	9	$	(653	)	$	37,976
Obligations of state and political subdivisions	55,093		44		(610		)	54,527
Corporate securities	72,520		7		(1,046		)	71,481
Asset backed securities	44,667		309		(524		)	44,452
Certificates of deposit	1,966		—		—			1,966
Obligations of foreign governments	2,412		3		(8		)	2,407
Total	$	215,278	$	372	$	(2,841	)	$	212,809
	As of December 31, 2017
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	48,399	$	20	$	(474	)	$	47,945
Obligations of state and political subdivisions	47,211		190		(420		)	46,981
Corporate securities	62,125		195		(345		)	61,975
Asset backed securities	23,369		182		(58		)	23,493
Certificates of deposit	896		—		—			896
Equity securities	595		10		(17		)	588
Obligations of foreign governments	562		9		(1		)	570
Total	$	183,157	$	606	$	(1,315	)	$	182,448

The following tables summarize the gross unrealized losses on available for sale securities in an unrealized loss position:

	As of March 31, 2018
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	27,071	$	(441	)	104	$	7,288	$	(212	)	56
Obligations of state and political subdivisions	38,372		(256		)	140	5,862		(354		)	41
Corporate securities	62,694		(778		)	579	5,593		(268		)	103
Asset-backed securities	6,078		(524		)	20	—		—			—
Obligations of foreign governments	1,661		(8		)	11	—		—			—
Total	$	135,876	$	(2,007	)	854	$	18,743	$	(834	)	200
	As of December 31, 2017
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	37,918	$	(291	)	115	$	7,584	$	(183	)	56
Obligations of state and political subdivisions	24,165		(135		)	96	7,294		(285		)	48
Corporate securities	37,573		(179		)	295	6,568		(166		)	127
Asset-backed securities	1,297		(58		)	2	—		—			—
Equity securities	295		(15		)	3	63		(2		)	2
Obligations of foreign governments	371		(1		)	1	—		—			—
Total	$	101,619	$	(679	)	512	$	21,509	$	(636	)	233

F- 20

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The Company does not intend to sell the investments that were in an unrealized loss position as of March 31, 2018, and management believes that it is more likely than not that the Company will be able to hold these securities until full recovery of their amortized cost basis for fixed maturity securities. The unrealized losses were attributable to changes in interest rates and not credit-related issues. As of March 31, 2018 and December 31, 2017, based on the Company's review, none of the fixed maturity securities were deemed to be other-than-temporarily impaired based on the Company's analysis of the securities and its intent to hold the securities until recovery.

The amortized cost and fair values of investments in debt securities, by contractual maturity date, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Excluded from this table are equity securities since they have no contractual maturity.

	As of
	March 31, 2018				December 31, 2017
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	24,795	$	24,732	$	26,399	$	26,363
Due after one year through five years	104,842		103,666		86,287		85,852
Due after five years through ten years	36,057		35,150		41,442		41,085
Due after ten years	4,917		4,809		5,065		5,067
Asset-backed securities	44,667		44,452		23,369		23,493
Total	$	215,278	$	212,809	$	182,562	$	181,860

Pursuant to certain reinsurance agreements and statutory licensing requirements, the Company has deposited invested assets in custody accounts or insurance department safekeeping accounts. The Company cannot remove invested assets from these accounts without prior approval of the contractual party or regulatory authority, as applicable. The following table presents the Company's restricted investments included in the Company's available for sale securities:

	As of
	March 31, 2018		December 31, 2017
Fair value of restricted investments for special deposits required by state insurance departments	$	5,466	$	6,101
Fair value of restricted investments in trust pursuant to reinsurance agreements	17,646		10,175
Total fair value of restricted investments	$	23,112	$	16,276

The following table presents additional information on the Company’s available for sale securities:

	Three Months Ended March 31,
	2018			2017
Purchases of available for sale securities	$	75,570		$	23,909
Proceeds from maturities, calls and prepayments of available for sale securities	$	10,018		$	4,223
Gains (losses) realized on maturities, calls and prepayments of available for sale securities	$	(26	)	$	(3	)
Gross proceeds from sales of available for sale securities	$	32,032		$	13,494
Gains (losses) realized on sales of available for sale securities	$	(500	)	$	(44	)

F- 21

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Investment in Loans

The following table presents the Company’s investments in loans, measured at fair value:

	As of March 31, 2018							As of December 31, 2017
	Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB			Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB
Loans, at fair value
Corporate loans (1)	$	154,377	$	154,856	$	(479	)	$	157,661	$	157,834	$	(173	)
Mortgage loans held for sale	52,757		51,416		1,341			62,846		60,764		2,082
Non-performing loans (2)	32,197		42,868		(10,671		)	37,666		52,872		(15,206		)
Total loans, at fair value	$	239,331	$	249,140	$	(9,809	)	$	258,173	$	271,470	$	(13,297	)

(1) The UPB of these loans approximates cost basis.

(2) The cost basis of NPLs was approximately $27,077 and $32,398 at March 31, 2018 and December 31, 2017, respectively.

The following table presents the Company’s investments in loans, measured at fair value pledged as collateral:

	As of
	March 31, 2018		December 31, 2017
Corporate loans	$	150,834	$	154,279
Mortgage loans held for sale	51,469		62,212
Non-performing loans	—		30,703
Total fair value of loans pledged as collateral	$	202,303	$	247,194

As of March 31, 2018 and December 31, 2017, there were no mortgage loans held for sale 90 days or more past due.

Other Investments

The following table contains information regarding the Company’s other investments as of the following periods:

	As of
	March 31, 2018		December 31, 2017
Other investments
Real estate, net (1) (2)	$	—	$	19,226
Foreclosed residential real estate property	16,811		16,056
Seller financing (3)	11,550		11,275
Derivative assets	4,407		5,013
Debentures	5,116		4,163
Other	3,359		3,409
Total other investments	$	41,243	$	59,142

(1) Net of accumulated depreciation of $0 and $440, respectively.

(2) Disposed of as part of the sale of Care. See (3) Dispositions, Assets Held for Sale & Discontinued Operations.

(3) Seller provided financing related to the sale of our commercial lending business.

Net Investment Income

Net investment income represents income primarily from the following sources:

• Interest income related to available for sale securities, at fair value;

• Interest income related to loans, at fair value;

F- 22

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

• Dividend income from equity securities, at fair value;

• Earnings from other investments.

The following table presents the components of net investment income related to our specialty insurance business recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net investment income	2018		2017
Available for sale securities, at fair value	$	1,219	$	818
Loans, at fair value	2,472		2,905
Equity securities, at fair value	390		725
Other investments	439		244
Total investment income	4,520		4,692
Less: investment expenses	315		187
Net investment income	$	4,205	$	4,505

The following table presents the components of net realized and unrealized gains (losses) recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net realized and unrealized gains (losses)	2018			2017
Net realized gains (losses)	$	20,157		$	10,878
Net unrealized gains (losses)	(13,551		)	5,334
Net realized and unrealized gains (losses)	$	6,606		$	16,212

The following table presents the net gain on the sale of mortgage loans and the cumulative net unrealized gains (losses) on equity securities, at fair value recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Net realized gain on sale of mortgage loans (1)	$	11,394		$	14,881
Net unrealized gains (losses) on equity securities, at fair value held at the reporting date	$	(11,270	)	$	(1,740	)

⁽¹⁾ Related to the Company’s mortgage business.

(6) Notes and Accounts Receivable, net

The following table summarizes the total notes and accounts receivable, net:

	As of
	March 31, 2018		December 31, 2017
Notes receivable, net - premium financing program (1)	$	12,146	$	12,225
Accounts and premiums receivable, net	67,785		59,946
Retrospective commissions receivable	72,052		68,064
Trust receivables	33,106		29,060
Other receivables	16,068		17,127
Total	$	201,157	$	186,422

(1) Related to the Company’s specialty insurance business.

F- 23

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Notes Receivable, net

The Company has established an allowance for uncollectible amounts against its notes receivable of $74 and $66 as of March 31, 2018 and December 31, 2017, respectively. As of March 31, 2018 and December 31, 2017, there were $376 and $416 in balances classified as 90 days plus past due, respectively.

Accounts and premiums receivable, net, Retrospective commissions receivable, Trust receivables and Other receivables

Accounts and premiums receivable, net, retrospective commissions receivable, trust receivables and other receivables are primarily trade receivables from the specialty insurance business that are carried at their approximate fair value. The Company has established a valuation allowance against its accounts and premiums receivable of $312 and $196 as of March 31, 2018 and December 31, 2017, respectively.

(7) Reinsurance Receivables

The following table presents the effect of reinsurance on premiums written and earned by our specialty insurance business for the following periods:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Premiums written:
Life insurance	$	13,762	$	7,176	$	427	$	7,013	6.1	%
Accident and health insurance	26,626		17,433		769		9,962		7.7	%
Property and liability insurance	141,742		66,827		17,328		92,243		18.8	%
Total premiums written	182,130		91,436		18,524		109,218		17.0	%
Premiums earned:
Life insurance	15,614		7,822		453		8,245		5.5	%
Accident and health insurance	28,902		19,617		818		10,103		8.1	%
Property and liability insurance	129,609		53,931		7,619		83,297		9.1	%
Total premiums earned	$	174,125	$	81,370	$	8,890	$	101,645	8.7	%
For the Three Months Ended March 31, 2017
Premiums written:
Life insurance	$	12,296	$	5,730	$	437	$	7,003	6.2	%
Accident and health insurance	25,170		16,306		710		9,574		7.4	%
Property and liability insurance	121,757		56,968		4,982		69,771		7.1	%
Total premiums written	159,223		79,004		6,129		86,348		7.1	%
Premiums earned:
Life insurance	15,188		7,412		493		8,269		6.0	%
Accident and health insurance	27,369		19,058		775		9,086		8.5	%
Property and liability insurance	114,064		46,506		4,318		71,876		6.0	%
Total premiums earned	$	156,621	$	72,976	$	5,586	$	89,231	6.3	%

F- 24

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following table presents the components of policy and contract benefits, including the effect of reinsurance on losses and loss adjustment expenses (LAE) incurred:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Losses Incurred
Life insurance	$	10,353	$	5,672	$	162	$	4,843	3.3	%
Accident and health insurance	4,577		3,544		246		1,279		19.2	%
Property and liability insurance	53,557		32,930		5,963		26,590		22.4	%
Total losses incurred	68,487		42,146		6,371		32,712		19.5	%
	Member benefit claims (1)						3,914
	Total policy and contract benefits						$	36,626
For the Three Months Ended March 31, 2017
Losses Incurred
Life insurance	$	8,202	$	4,418	$	295	$	4,079	7.2	%
Accident and health insurance	3,832		3,377		256		711		36.0	%
Property and liability insurance	47,608		24,108		865		24,365		3.6	%
Total losses incurred	59,642		31,903		1,416		29,155		4.9	%
	Member benefit claims (1)						3,837
	Total policy and contract benefits						$	32,992

⁽¹⁾ - Member benefit claims are not covered by reinsurance.

The following table presents the components of the reinsurance receivables:

	As of
	March 31, 2018		December 31, 2017
Prepaid reinsurance premiums:
Life (1)	$	64,231	$	65,218
Accident and health (1)	54,544		56,729
Property	144,632		131,735
Total	263,407		253,682
Ceded claim reserves:
Life	2,833		2,988
Accident and health	9,474		9,575
Property	64,451		61,406
Total ceded claim reserves recoverable	76,758		73,969
Other reinsurance settlements recoverable	22,246		25,316
Reinsurance receivables	$	362,411	$	352,967

^{(1) -} Including policyholder account balances ceded.

The following table presents the aggregate amount included in reinsurance receivables that is comprised of the three largest receivable balances from non-affiliated reinsurers:

	As of
	March 31, 2018
Total of the three largest receivable balances from non-affiliated reinsurers	$	78,779

As of March 31, 2018, the non-affiliated reinsurers from whom our specialty insurance business has the largest receivable balances were: London Life Reinsurance Corporation (A. M. Best Rating: A rated), MFI Insurance Company, LTD (A. M. Best Rating: Not rated) and Frandisco Property and Casualty Insurance Company (A. M. Best Rating: Not rated). The related receivables of these reinsurers are collateralized by assets on hand, assets held in trust accounts and letters of credit. As of

F- 25

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

March 31, 2018, the Company does not believe there is a risk of loss due to the concentration of credit risk in the reinsurance program given the collateralization.

(8) Goodwill and Intangible Assets, net

The following table presents identifiable finite and indefinite-lived intangible assets, accumulated amortization, and goodwill by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018											As of December 31, 2017
				Tiptree Capital											Tiptree Capital
	Specialty insurance			Mortgage			Other		Total			Specialty insurance			Mortgage			Other		Total
Customer relationships	$	50,500		$	—		$	—	$	50,500		$	50,500		$	—		$	—	$	50,500
Accumulated amortization	(13,789		)	—			—		(13,789		)	(12,081		)	—			—		(12,081		)
Trade names	6,500			800			—		7,300			6,500			800			—		7,300
Accumulated amortization	(2,318		)	(220		)	—		(2,538		)	(2,182		)	(200		)	—		(2,382		)
Software licensing	8,500			640			—		9,140			8,500			640			—		9,140
Accumulated amortization	(5,667		)	(251		)	—		(5,918		)	(5,242		)	(228		)	—		(5,470		)
Insurance policies and contracts acquired	36,500			—			—		36,500			36,500			—			—		36,500
Accumulated amortization	(35,581		)	—			—		(35,581		)	(35,433		)	—			—		(35,433		)
Insurance licensing agreements(1)	13,761			—			—		13,761			13,761			—			—		13,761
Leases in place (2)	—			—			—		—			2,324			—			—		2,324
Accumulated amortization	—			—			—		—			(142		)	—			—		(142		)
Intangible assets, net	58,406			969			—		59,375			63,005			1,012			—		64,017
Goodwill	89,854			1,708			—		91,562			89,854			1,708			—		91,562
Total goodwill and intangible assets, net	$	148,260		$	2,677		$	—	$	150,937		$	152,859		$	2,720		$	—	$	155,579

(1) Represents intangible assets with an indefinite useful life. Impairment tests are performed at least annually on these assets.

(2) Disposed of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Goodwill

The following table presents the activity in goodwill, by operating segment and/or reporting unit, as appropriate, and includes the adjustments made to the balance of goodwill to reflect the effect of the final valuation adjustments made for acquisitions, as well as the reduction to any goodwill attributable to discontinued operations or impairment related charges:

			Tiptree Capital
	Specialty insurance		Mortgage		Other		Total
Balance at December 31, 2017	$	89,854	$	1,708	$	—	$	91,562
Balance at March 31, 2018	$	89,854	$	1,708	$	—	$	91,562
Accumulated impairments	$	—	$	—	$	699	$	699

The Company conducts annual impairment tests of its goodwill as of October 1. For the three months ended March 31, 2018 and 2017, respectively, no impairment was recorded on the Company’s goodwill or intangibles.

Intangible Assets, net

The following table presents the activity, by operating segment and/or reporting unit, as appropriate, in finite and indefinite-lived other intangible assets and includes the adjustments made to the balance to reflect the effect of any final valuation adjustments made for acquisitions, as well as any reduction attributable to discontinued operations or impairment-related charges:

F- 26

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

	Specialty insurance			Mortgage			Total
Balance at December 31, 2017	$	63,005		$	1,012		$	64,017
Intangible assets divested	(2,167		)	—			(2,167		)
Less: amortization expense	(2,432		)	(43		)	(2,475		)
Balance at March 31, 2018	$	58,406		$	969		$	59,375

The following table presents the amortization expense on finite-lived intangible assets for the following periods:

	Three Months Ended March 31,
	2018		2017
Amortization expense on intangible assets	$	2,475	$	2,997

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the amortization expense on finite-lived intangible assets for the next five years by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance (VOBA)		Specialty insurance (other)		Mortgage		Total
Remainder of 2018	$	317	$	6,808	$	128	$	7,253
2019	217		7,509		171		7,897
2020	123		5,027		171		5,321
2021	82		4,251		171		4,504
2022	54		3,595		126		3,775
2023 and thereafter	126		16,536		202		16,864
Total	$	919	$	43,726	$	969	$	45,614

(9) Derivative Financial Instruments and Hedging

The Company utilizes derivative financial instruments as part of its overall investment and hedging activities. Derivative contracts are subject to additional risk that can result in a loss of all or part of an investment. The Company’s derivative activities are primarily classified by underlying credit risk and interest rate risk. In addition, the Company is also subject to additional counterparty risk should it’s counterparties fail to meet the contract terms. The derivative financial instruments are located within derivative assets at fair value and are reported in other investments. Derivative liabilities are reported within other liabilities and accrued expenses.

Derivatives, at fair value

Interest Rate Lock Commitments

The Company enters into interest rate lock commitments (IRLCs) with customers in connection with its mortgage banking activities to fund residential mortgage loans with certain terms at specified times in the future. IRLCs that relate to the origination of mortgage loans that will be classified as held-for-sale are considered derivative instruments under applicable accounting guidance. As such, these IRLCs are recorded at fair value with changes in fair value typically resulting in recognition of a gain when the Company enters into IRLCs. In estimating the fair value of an IRLC, the Company assigns a probability that the loan commitment will be exercised and the loan will be funded (“pull through”). The fair value of the commitments is derived from the fair value of related mortgage loans, net of estimated costs to complete. Outstanding IRLCs expose the Company to the risk that the price of the loans underlying the commitments might decline from inception of the rate lock to funding of the loan. To manage this risk, the Company utilizes forward delivery contracts and TBA mortgage backed securities to economically hedge the risk of potential changes in the value of the loans that would result from the commitments.

F- 27

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Forward Delivery Contracts and TBA Mortgage Backed Securities

The Company enters into forward delivery contracts with loan aggregators and other investors as one of the tools to manage the interest rate risk associated with IRLCs and loans held for sale. In addition, the Company enters into to be announced (TBA) mortgage backed securities which facilitate hedging and funding by allowing the Company to prearrange prices for mortgages that are in the process of originating. The Company utilizes these hedging instruments for Agency (Fannie Mae and Freddie Mac) and FHA/VA (Ginnie Mae) eligible IRLCs.

The following table summarizes the gross notional and fair value amounts of derivatives (on a gross basis) categorized by underlying risk:

	As of March 31, 2018						As of December 31, 2017
	Notional values		Asset derivatives		Liability derivatives		Notional values		Asset derivatives		Liability derivatives
Interest rate risk:
Interest rate lock commitments	$	168,602	$	4,118	$	—	$	190,645	$	4,808	$	—
Forward delivery contracts	61,809		21		—		71,152		30		—
TBA mortgage backed securities	184,000		268		389		197,000		175		117
Total	$	414,411	$	4,407	$	389	$	458,797	$	5,013	$	117

Derivatives Designated as Cash Flow Hedging Instruments

The following table presents the fair value and the related outstanding notional amounts of the Company's cash flow hedging derivative instruments and indicates where the Company records each amount in its condensed consolidated balance sheets:

		As of
	Balance Sheet Location	March 31, 2018 (1)		December 31, 2017
Unrealized gain (loss), net of tax, on the fair value of interest rate swaps	AOCI	$	—	$	2,074

(1) Deconsolidated of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the pretax impact of the cash flow hedging derivative instruments on the condensed consolidated financial statements for the following periods:

	Three Months Ended March 31,
	2018		2017
Gains (losses) recognized in AOCI on the derivative-effective portion	$	1,111	$	(229	)
(Gains) losses reclassified from AOCI into income-effective portion	$	—	$	144
Gains (losses) recognized in income on the derivative-ineffective portion	$	—	$	(1	)

F- 28

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(10) Debt, net

The following table summarizes the balance of the Company’s debt obligations, net of discounts and deferred financing costs.

			Maximum borrowing capacity as of		As of
Debt Type	Stated maturity date	Stated interest rate or range of rates	March 31, 2018		March 31, 2018			December 31, 2017
Corporate debt
Secured corporate credit agreements	September 2018 - December 2018	LIBOR + 1.00% to 6.50%	$	155,000	$	28,000		$	28,500
Junior subordinated notes	October 2057	8.50%	125,000		125,000			125,000
Preferred trust securities	June 2037	LIBOR + 4.10%	35,000		35,000			35,000
Total corporate debt					188,000			188,500
Asset based debt
Asset based revolving financing (1) (2)	April 2019 - August 2022	LIBOR + 2.25% - 2.60%	175,000		103,417			118,794
Residential mortgage warehouse borrowings (3)	May 2018 - August 2018	LIBOR + 2.50% to 3.25%	76,000		38,795			48,810
Total asset based debt					142,212			167,604
Total debt, face value					330,212			356,104
Unamortized discount, net					(211		)	(191		)
Unamortized deferred financing costs					(9,493		)	(9,832		)
Total debt, net					$	320,508		$	346,081

(1) Asset based revolving financing is generally recourse only to specific assets and related cash flows.

(2) The weighted average coupon rate for asset based revolving financing was 4.16% and 3.73% at March 31, 2018 and December 31, 2017, respectively.

(3) The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

The table below presents the amount of interest expense the Company incurred on its debt for the following periods:

	Three Months Ended March 31,
	2018		2017
Interest expense on debt	$	5,941	$	6,078

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the future maturities of the unpaid principal balance on the Company’s debt as of:

	March 31, 2018
Remainder of 2018	$	66,795
2019	5,489
2020	—
2021	—
2022	97,928
Thereafter	160,000
Total	$	330,212

The following narrative is a summary of certain of the terms of our debt agreements for the period ended March 31, 2018:

Asset Based Debt

Asset Backed Revolving Financing

F- 29

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

As of March 31, 2018 and December 31, 2017, a total of $97,928 and $101,428, respectively, was outstanding under the corporate loan financing agreement in our specialty insurance business.

During the three months ended March 31, 2018, the $11,917 balance of the NPL financing in our specialty insurance business was paid off and the borrowing was extinguished.

As of March 31, 2018 and December 31, 2017, a total of $5,489 and $5,449, respectively, was outstanding under the borrowing related to our premium finance business within a subsidiary in our specialty insurance business.

Residential Mortgage Warehouse Borrowings

The maturity date for a warehouse line of credit through a subsidiary in our mortgage business was extended during the three months ended March 31, 2018. A borrowing extended its maturity from March 2018 to May 2018.

As of March 31, 2018, the Company is in compliance with the representations and covenants for outstanding borrowings or has obtained waivers for any events of non-compliance, other than a waiver of non-compliance with a warehouse line of Luxury with approximately $11.3 million outstanding which the Company has classified as liabilities held for sale. The Company is taking action to obtain a waiver or cause Luxury to be in compliance.

(11) Fair Value of Financial Instruments

The Company maximizes the use of observable inputs and minimizes the use of unobservable inputs to the extent possible to measure a financial instrument’s fair value. Observable inputs reflect the assumptions market participants would use in pricing an asset or liability, and are affected by the type of product, whether the product is traded on an active exchange or in the secondary market, as well as current market conditions. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Fair value is estimated by applying the hierarchy discussed in Note (2) Summary of Significant Accounting Policies which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized within Level 3 of the fair value hierarchy.

The Company’s fair value measurement is based primarily on a market approach, which utilizes prices and other relevant information generated by market transactions involving identical or comparable financial instruments. Sources of inputs to the market approach include third-party pricing services, independent broker quotations and pricing matrices. Management analyzes the third party valuation methodologies and its related inputs to perform assessments to determine the appropriate level within the fair value hierarchy and to assess reliability of values. Further, management has a process in place to review all changes in fair value that occurred during each measurement period. Any discrepancies or unusual observations are followed through to resolution through the source of the pricing as well as utilizing comparisons, if applicable, to alternate pricing sources. In addition, the Company utilizes an income approach to measure the fair value of NPLs, as discussed below.

The Company utilizes observable and unobservable inputs within its valuation methodologies. Observable inputs may include: benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids, offers and reference data. In addition, specific issuer information and other market data is used. Broker quotes are obtained from sources recognized to be market participants. Unobservable inputs may include: expected cash flow streams, default rates, supply and demand considerations and market volatility.

Available for Sale Securities

Available for sale securities are generally classified within either Level 1 or Level 2 of the fair value hierarchy and are based on prices provided by an independent pricing service and a third party investment manager who provide a single price or quote per security.

F- 30

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following details the methods and assumptions used to estimate the fair value of each class of available for sale securities and the applicable level each security falls within the fair value hierarchy:

U.S Treasury Securities, Obligations of U.S. Government Authorities and Agencies, Obligations of State and Political Subdivisions, Corporate Securities, Asset-Backed Securities, and Obligations of Foreign Governments: Fair values were obtained from an independent pricing service and a third party investment manager. The prices provided by the independent pricing service are based on quoted market prices, when available, non-binding broker quotes, or matrix pricing and fall under Level 2 of the fair value hierarchy.

Certificates of Deposit: The estimated fair value of certificates of deposit approximate carrying value and fall under Level 1 of the fair value hierarchy.

Equity securities, at fair value

The fair values of publicly traded common and preferred stocks were obtained from market value quotations provided by an independent pricing service and fall under Level 1 of the fair value hierarchy. The fair values of non-publicly traded common and preferred stocks were based on prices obtained from an independent pricing service using unobservable inputs and fall under Level 3 of the fair value hierarchy.

The Company’s investment in Invesque is subject to certain contractual restrictions on registration and sale. The fair value of the Invesque shares is based on the market price adjusted for the impact of such restrictions. As of March 31, 2018 the weighted average estimated restriction period was 11 months. As a result of the discount on the Invesque investment, the fair value measurement falls under Level 2 of the fair value hierarchy.

Loans, at fair value

Corporate Loans: These loans are comprised of a diversified portfolio of middle market and broadly syndicated leveraged loans and are generally classified within either Level 2 or Level 3 in the fair value hierarchy. The Company has evaluated each loan’s respective liquidity and has additionally performed valuation benchmarking. The key characteristics which were evaluated as part of this determination were liquidity ratings, price changes to index benchmarks, depth of quotes, credit ratings and industry trends.

Mortgage Loans Held for Sale: Mortgage loans held for sale are generally classified as Level 2 in the fair value hierarchy and fair value is based upon forward sales contracts with third party investors, including estimated loan costs, and reserves.

Nonperforming Loans and REO: The Company determines the purchase price for NPLs at the time of acquisition and for each subsequent valuation by using a discounted cash flow valuation model and considering alternate loan resolution probabilities, including modification, liquidation, or conversion to REO. The significant unobservable inputs used in the fair value measurement of our NPLs are discount rates, loan resolution timeline, and the value of underlying properties. The fair values of NPLs which are making payments (generally based on a modification or a workout plan) are primarily based upon secondary market transaction prices, which are expressed as a percentage of unpaid principal balance (UPB). Observable inputs to the model include loan amounts, payment history, and property types. Our NPLs are on nonaccrual status at the time of purchase as it is probable that principal or interest is not fully collectible. NPLs are included in loans, at fair value and fall under Level 3 of the fair value hierarchy.

NPLs that have become REOs were measured at fair value on a non-recurring basis during the three months ended March 31, 2018 and the year ended December 31, 2017. The carrying value of REOs at March 31, 2018 and December 31, 2017 was $16,811 and $16,056, respectively. Upon conversion to REO, the fair value is estimated using broker price opinion (BPO). BPOs are subject to judgments of a particular broker formed by visiting a property, assessing general home values in an area, reviewing comparable listings, and reviewing comparable completed sales. These judgments may vary among brokers and may fluctuate over time based on housing market activities and the influx of additional comparable listings and sales. REO is included in other investments. Subsequent to conversion, REOs are carried at lower of cost or market.

Derivative Assets and Liabilities

Derivatives are comprised of interest rate lock commitments (IRLC) and to be announced mortgage backed securities (TBA) . The fair value of these instruments is based upon valuation pricing models, which represent the amount the Company would

F- 31

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

expect to receive or pay at the balance sheet date to exit the position. Our mortgage origination subsidiaries issue IRLCs to its customers, which are carried at estimated fair value on the Company’s condensed consolidated balance sheet. The estimated fair values of these commitments are generally calculated by reference to the value of the underlying loan associated with the IRLC net of costs to produce and an expected fall out assumption. The fair values of these commitments generally result in a Level 3 classification. Our mortgage origination subsidiaries manage their exposure by entering into forward delivery commitments with loan investors. For loans not locked with investors under a forward delivery commitment, the Company enters into hedge instruments, primarily TBAs, to protect against movements in interest rates. The fair values of TBA mortgage backed securities and forward delivery contracts generally result in a Level 2 classification.

The following tables present the Company’s fair value hierarchies for financial assets and liabilities, measured on a recurring basis:

	As of March 31, 2018
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	—	$	37,976	$	—	$	37,976
Obligations of state and political subdivisions	—		54,527		—		54,527
Obligations of foreign governments	—		2,407		—		2,407
Certificates of deposit	1,966		—		—		1,966
Asset backed securities	—		41,007		3,445		44,452
Corporate securities	—		71,481		—		71,481
Total available for sale securities, at fair value	1,966		207,398		3,445		212,809
Loans, at fair value:
Corporate loans	—		37,026		117,351		154,377
Mortgage loans held for sale	—		52,757		—		52,757
Non-performing loans	—		—		32,197		32,197
Total loans, at fair value	—		89,783		149,548		239,331
Equity securities, at fair value	11,760		128,431		47		140,238
Other investments:
Derivative assets:
Forward delivery contracts	—		21		—		21
Interest rate lock commitments	—		—		4,118		4,118
TBA mortgage backed securities	—		268		—		268
Total derivative assets	—		289		4,118		4,407
CLOs	—		—		3,359		3,359
Debentures	—		5,116		—		5,116
Total other investments, at fair value	—		5,405		7,477		12,882
Total	$	13,726	$	431,017	$	160,517	$	605,260
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	389	$	—	$	389
Total derivative liabilities (included in other liabilities and accrued expenses)	—		389		—		389
Contingent consideration payable	—		—		—		—
Total	$	—	$	389	$	—	$	389

F- 32

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

	As of December 31, 2017
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
Equity securities	$	541	$	—	$	47	$	588
U.S. Treasury securities and obligations of U.S. government authorities and agencies	—		47,945		—		47,945
Obligations of state and political subdivisions	—		46,981		—		46,981
Obligations of foreign governments	—		570		—		570
Certificates of deposit	896		—		—		896
Asset backed securities	—		23,493		—		23,493
Corporate bonds	—		61,975		—		61,975
Total available for sale securities, at fair value	1,437		180,964		47		182,448
Loans, at fair value:
Corporate loans	—		40,925		116,736		157,661
Mortgage loans held for sale	—		62,846		—		62,846
Non-performing loans	—		—		37,666		37,666
Total loans, at fair value	—		103,771		154,402		258,173
Equity securities, at fair value	25,536		—		—		25,536
Other investments:
Derivative assets:
Forward delivery contracts	—		30		—		30
Interest rate lock commitments	—		—		4,808		4,808
TBA mortgage backed securities	—		175		—		175
Total derivative assets	—		205		4,808		5,013
CLOs	—		—		3,409		3,409
Debentures	—		4,163		—		4,163
Total other investments, at fair value	—		4,368		8,217		12,585
Total	$	26,973	$	289,103	$	162,666	$	478,742
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	117	$	—	$	117
Total derivative liabilities (included in other liabilities and accrued expenses)	—		117		—		117
Contingent consideration payable	—		—		—		—
Total	$	—	$	117	$	—	$	117

F- 33

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following table represents additional information about assets that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:    

	Three Months Ended March 31,
	2018 (1)			2017 (1)
	Non-CLO assets			Non-CLO assets			CLO assets
Balance at January 1,	$	162,666		$	211,192		$	585,870
Net realized gains (losses)	(77		)	850			(332		)
Net unrealized gains (losses)	1,106			1,802			1,427
Origination of IRLC	11,372			14,478			—
Purchases	23,298			10,514			30,896
Sales (1)	(22,633		)	(14,377		)	(37,037		)
Issuances	77			219			272
Transfer into Level 3 (1)	7,624			9,960			26,990
Transfer adjustments (out of) Level 3 (1)	(7,420		)	(11,229		)	(64,120		)
Deconsolidation of CLOs due to sale	—			1,342			(251,300		)
Conversion to real estate owned	(3,435		)	(2,968		)	—
Conversion to mortgage held for sale	(12,061		)	(14,361		)	—
Other	—			(32		)	—
Balance at March 31,	$	160,517		$	207,390		$	292,666
Changes in unrealized gains (losses) included in earnings related to assets still held at period end	$	1,105		$	1,727		$	1,366

(1) All transfers are deemed to occur at end of period. Transfers between Level 2 and 3 were a result of subjecting third-party pricing on both CLO and Non-CLO assets to various liquidity, depth, bid-ask spread and benchmarking criteria as well as assessing the availability of observable inputs affecting their fair valuation.

The following table represents additional information about liabilities that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:

	Three Months Ended March 31,
	2018		2017
	Non-CLO liabilities		Non-CLO liabilities		CLO liabilities
Balance at January 1,	$	—	$	3,084	$	912,034
Net unrealized (gains) losses	—		—		(48		)
Dispositions	—		—		(21,410		)
FV adjustment	—		554		—
Deconsolidation of CLOs due to sale	—		—		(378,043		)
Balance at March 31,	$	—	$	3,638	$	512,533
Changes in unrealized (gains) losses included in earnings related to liabilities still held at period end	$	—	$	—	$	(48	)

F- 34

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following is quantitative information about Level 3 significant unobservable inputs used in fair valuation.

	Fair Value as of						Actual or Range (Weighted average)
Assets	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Interest rate lock commitments	$	4,118	$	4,808	Internal model	Pull through rate	50% - 95%	50% - 95%
NPLs	32,197		37,666		Discounted cash flow	See table below (1)	See table below	See table below
Total	$	36,315	$	42,474

(1) Significant changes in any of these inputs in isolation could result in a significant change to the fair value measurement. A decline in the discount rate in isolation would increase the fair value. A decrease in the housing pricing index in isolation would decrease the fair value. Individual loan characteristics, such as location and value of underlying collateral, affect the loan resolution timeline. An increase in the loan resolution timeline in isolation would decrease the fair value. A decrease in the value of underlying properties in isolation would decrease the fair value.

The following table sets forth quantitative information about the significant unobservable inputs used to measure the fair value of our NPLs. For NPLs that are not making payments, discount rate, loan resolution time-line, value of underlying properties, holdings costs and liquidation costs are the primary inputs used to measure fair value. For NPLs that are making payments, note rate and secondary market transaction prices/UPB are the primary inputs used to measure fair value.

	As of March 31, 2018			As of December 31, 2017
Unobservable inputs	High	Low	Average(1)	High	Low	Average(1)
Discount rate	30.0%	16.0%	23.8%	30.0%	16.0%	23.5%
Loan resolution time-line (Years)	2.0	0.4	1.3	2.3	0.5	1.3
Value of underlying properties	$1,775	$45	$335	$1,775	$40	$306
Holding costs	21.1%	4.8%	7.2%	22.0%	5.3%	7.6%
Liquidation costs	15.9%	8.4%	9.3%	16.8%	8.4%	9.4%
Note rate	6.0%	3.0%	4.9%	6.0%	3.0%	4.8%
Secondary market transaction prices/UPB	88.5%	75.5%	83.8%	88.5%	75.5%	83.4%

(1) Weighted based on value of underlying properties (excluding the value of underlying properties line item).

	Fair Value as of						Actual or Range (Weighted average)
Liabilities	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Contingent consideration payable - Reliance	$	—	$	—	Cash Flow model (1)	Forecast EBITDA	$1,300 - $6,400	$1,300 - $6,400
						Book value growth rate	N/A	N/A
						Asset volatility	N/A	N/A
Total	$	—	$	—

(1) Monte Carlo simulation is run, as needed.

F- 35

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The following table presents the carrying amounts and estimated fair values of financial assets and liabilities that are not recorded at fair value and their respective levels within the fair value hierarchy:

	As of March 31, 2018					As of December 31, 2017
	Level within fair value hierarchy	Fair value		Carrying value		Level within fair value hierarchy	Fair value		Carrying value
Assets:
Notes and accounts receivable, net	2	$	12,146	$	12,146	2	$	12,225	$	12,225
Total assets		$	12,146	$	12,146		$	12,225	$	12,225
Liabilities:
Debt, net	3	$	330,782	$	330,001	3	$	356,537	$	355,913
Total liabilities		$	330,782	$	330,001		$	356,537	$	355,913

Notes and Accounts Receivable: To the extent that carrying amounts differ from fair value, fair value is determined based on contractual cash flows discounted at market rates for similar credits. Categorized as Level 2 of the fair value hierarchy.

Debt: The carrying value represents the total debt balance at face value excluding the unamortized discount. The fair value of notes payable is determined based on contractual cash flows discounted at market rates for mortgage notes payable and either dealer quotes or contractual cash flows discounted at market rates for other notes payable. Categorized as Level 3 of the fair value hierarchy.

Additionally, the following financial assets and liabilities on the condensed consolidated balance sheets are not carried at fair value, but whose carrying amounts approximate their fair value:

Cash and Cash Equivalents: The carrying amounts of cash and cash equivalents are carried at cost which approximates fair value. Categorized as Level 1 of the fair value hierarchy.

Accounts and Premiums Receivable, net, retrospective commissions receivable and other receivables: The carrying amounts approximate fair value since no interest rate is charged on these short duration assets. Categorized as Level 2 of the fair value hierarchy. See Note (6) Notes and Accounts Receivable, net.

Due from Brokers, Dealers, and Trustees and Due to Brokers, Dealers and Trustees: The carrying amounts are included in other assets and other liabilities and accrued expenses and approximate their fair value due to their short‑term nature. Categorized as Level 2 of the fair value hierarchy.

F- 36

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(12) Liability for Unpaid Claims and Claim Adjustment Expenses

Roll forward of Claim Liability

The following table presents the activity in the net liability for unpaid losses and allocated loss adjustment expenses of short-duration contracts for the following periods:

	Three Months Ended March 31,
	2018			2017
Policy liabilities and unpaid claims balance as of January 1	$	112,003		$	103,391
Less : liabilities of policy-holder accounts balances, gross	(15,474		)	(17,417		)
Less : non-insurance warranty benefit claim liabilities	(58		)	(91		)
Gross liabilities for unpaid losses and loss adjustment expenses	96,471			85,883
Less : reinsurance recoverable on unpaid losses - short duration	(73,778		)	(63,112		)
Less : other lines, gross	(224		)	(208		)
Net balance as of January 1, short duration	22,469			22,563
Incurred (short duration) related to:
Current year	25,002			26,004
Prior years	6,966			2,684
Total incurred	31,968			28,688
Paid (short duration) related to:
Current year	14,434			14,035
Prior years	14,179			13,546
Total paid	28,613			27,581
Net balance as of March 31, short duration	25,824			23,670
Plus : reinsurance recoverable on unpaid losses - short duration	76,619			63,708
Plus : other lines, gross	172			199
Gross liabilities for unpaid losses and loss adjustment expenses	102,615			87,577
Plus : liabilities of policy-holder accounts balances, gross	15,048			16,928
Plus : non-insurance warranty benefit claim liabilities	77			118
Policy liabilities and unpaid claims balance as of March 31,	$	117,740		$	104,623

The following schedule reconciles the total on short duration contracts per the table above to the amount of total losses incurred as presented in the condensed consolidated statement of operations, excluding the amount for member benefit claims:

	Three Months Ended March 31,
	2018		2017
Total incurred	$	31,968	$	28,688
Other lines incurred	46		(2		)
Unallocated loss adjustment expense	698		469
Total losses incurred	$	32,712	$	29,155

For the three months ended March 31, 2018, the Company’s specialty insurance business experienced an increase in prior year case development of $6,966. This included $3,295 in non-standard auto and $3,831 in credit. This development was partially offset by favorable development in its warranty business. The warranty and credit lines of business are primarily in retrospective commission arrangements that cause loss development to minimally impact the operating income of the Company.

For the three months ended March 31, 2017, the Company’s specialty insurance business experienced an increase in prior year case development of $2,684. This included $707 in its non-standard auto business with the remaining change primarily in warranty and credit lines of business. The warranty and credit lines of business are primarily in retrospective commission arrangements that minimally impact the operating income of the Company.

F- 37

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(13) Revenue From Contracts with Customers

As discussed in Note (2) Summary of Significant Accounting Policies, the Company adopted ASU 2014-09 and other ASUs related to Topic 606 as of January 1, 2018. A substantial majority of the Company’s non-investment related revenues are comprised of revenues from insurance contracts that are accounted for under Financial Services-Insurance (Topic 944) or certain financial services products (e.g. gains upon the origination of mortgages) that are not within the scope of the new standard. There was no impact to any prior period amounts or transition adjustment recorded as a result of the adoption of the new standard.

Revenue from contracts with customers is primarily comprised of asset management fee income included as a part of other revenue, and warranty coverage, car club and other revenues included as a part of service and administrative fees in our specialty insurance business. The table below presents the disaggregated amounts of revenue from contracts with customers by product type for the following periods:

	Three Months Ended March 31,
	2018		2017
Asset management fee income	$	1,577	$	1,707
Warranty coverage revenue	6,123		3,705
Car club revenue	7,829		7,722
Other	2,097		1,896
Revenue from contracts with customers	$	17,626	$	15,030

Management Fees

The Company earns asset management fee income in the form of base management fees and incentives from the CLOs it manages. These base management fees are billed as the services are provided and paid periodically in accordance with the terms of the individual management agreements for as long as the Company manages the funds. Base management fees typically consist of fees based on the amount of assets held in the CLOs. Base management fees are recognized as revenue when earned. The Company does not recognize incentive fees until all contractual contingencies have been removed.

Service and Administrative Fees

Service fee revenue is recognized as the services are performed. These services include fulfillment, software development, and claims handling for our customers. Management reviews the financial results under each significant contract on a monthly basis. Any losses that may occur due to a specific contract would be recognized in the period in which the loss is determined probable.

Administrative fee revenue includes the administration of premium associated with our producers and their PORCs. In addition, we also earn fee revenue from debt cancellation programs, motor club programs, and warranty programs. Related administrative fee revenue is recognized consistent with the earnings recognition pattern of the underlying insurance policies, debt cancellation contracts and motor club memberships being administered, using Rule of 78's, modified Rule of 78's, pro rata, or other methods as appropriate for the contract. Management selects the appropriate method based on available information, and periodically reviews the selections as additional information becomes available.

Information on Remaining Performance Obligations

We do not disclose information about remaining performance obligations pertaining to contracts that have an original expected duration of one year or less. The transaction price allocated to remaining unsatisfied or partially unsatisfied performance obligations with an original expected duration exceeding one year was not material at March 31, 2018.

Contract Balances

The timing of our revenue recognition may differ from the timing of payment by our customers. We record a receivable when revenue is recognized prior to payment and we have an unconditional right to payment. Alternatively, when payment precedes the provision of the related services, we record deferred revenue until the performance obligations are satisfied.

F- 38

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

The table below presents the activity in the significant deferred assets and liabilities related to revenue from contracts with customers for the three month period ended March 31, 2018.

	January 1, 2018						March 31, 2018
	Beginning balance		Additions		Amortizations		Ending balance
Deferred costs
Warranty coverage revenue	$	2,249	$	96	$	373	$	1,972
Car club revenue	11,144		4,357		5,916		9,585
Total	$	13,393	$	4,453	$	6,289	$	11,557

Deferred revenue
Warranty coverage revenue	$	28,324	$	9,329	$	6,123	$	31,530
Car club revenue	14,861		5,677		7,829		12,709
Total	$	43,185	$	15,006	$	13,952	$	44,239

Bad debt expense was not material for any period presented.

(14) Other Assets and Other Liabilities and Accrued Expenses

Other Assets

The following table presents the components of other assets as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Due from brokers	$	3,468	$	261
Furniture, fixtures and equipment, net	4,453		4,304
Prepaid expenses	6,867		7,297
Accrued interest receivable	3,239		2,248
Management fee receivable	1,583		2,247
Income tax receivable	9,588		9,588
Other	12,924		5,639
Total other assets	$	42,122	$	31,584

The following table presents the depreciation expense related to furniture, fixtures and equipment for the following periods:

	Three Months Ended March 31,
	2018		2017
Depreciation expense related to furniture, fixtures and equipment	$	497	$	584

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

F- 39

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Other Liabilities and Accrued Expenses

The following table presents the components of other liabilities and accrued expenses as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Accounts payable and accrued expenses	$	42,047	$	52,032
Deferred tax liabilities, net	31,962		22,744
Due to brokers	4,352		8,669
Commissions payable	9,681		14,185
Accrued interest payable	6,061		3,393
Escrow payable	8,955		6,753
Other	14,760		13,545
Total other liabilities and accrued expenses	$	117,818	$	121,321

(15) Other Revenue, Other Expenses and Other Income

Other Revenue

The following table presents the components of other revenue as reported in the condensed consolidated statement of operations, primarily comprised of interest income and loan fee income related to loans at fair value, and management fees from our asset management business:

	Three Months Ended March 31,
	2018		2017
Interest income	$	1,877	$	4,706
Dividend income	1,663		—
Loan fee income	1,998		3,216
Management fee income	1,577		1,707
Other	1,642		565
Total other revenue	$	8,757	$	10,194

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Other Expenses

The following table presents the components of other expenses as reported in the condensed consolidated statement of operations:

	Three Months Ended March 31,
	2018		2017
Professional fees	$	5,072	$	3,691
General and administrative	3,752		3,821
Premium taxes	3,622		3,147
Mortgage origination expenses	2,183		2,035
Rent and related	2,396		2,555
Other	2,140		2,370
Total other expense	$	19,165	$	17,619

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

F- 40

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Other Income

The CLOs are considered variable interest entities (VIE) and the Company consolidates entities when it is determined to be the primary beneficiary under current VIE accounting guidance.

During 2017 the Company exited all consolidated CLOs. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table represents revenue and expenses of the consolidated CLOs included in the Company’s consolidated statements of operations for the periods indicated:

	Three Months Ended March 31,
	2018		2017
Income:
Net realized and unrealized gains (losses)	$	—	$	1,253
Interest income	—		7,614
Total income	—		8,867
Expenses:
Interest expense	—		4,775
Other expense	—		177
Total expense	—		4,952
Net income (loss) attributable to consolidated CLOs	$	—	$	3,915

As summarized in the table below, the application of the measurement alternative results in the consolidated net income summarized above to be equivalent to the Company’s own economic interests in the CLOs which are eliminated upon consolidation:

Economic interests:	Three Months Ended March 31,
	2018		2017
Distributions received	$	—	$	2,167
Realized and unrealized gains (losses) on subordinated notes held by the Company, net	—		1,381
Total	—		3,548
Management fee income	—		367
Total economic interests	$	—	$	3,915

(16) Stockholders’ Equity

TFP owns a warrant to purchase 652,500 shares of Class A common stock at $11.33 per share which is immediately exercisable and expires on September 30, 2018. Such an exercise would be accounted for as treasury stock held at TFP and would have no impact on the Company’s financial statements. See Note (22) Subsequent Events for the impact of the reorganization merger on the terms of this warrant.

In connection with the June 30, 2012 internalization of TFP’s management, TFP issued warrants to acquire 750,000 TFP LP units at $23.73 per unit, subject to an anti-dilution provision, which is immediately exercisable and expires on June 30, 2022. As of March 31, 2018 warrant holders had the right to acquire 805,986 TFP LP Units at $21.232 per unit. If the warrant is exercised, an aggregate of 2,255,149 shares of Class A common stock would be issuable upon exchange of the TFP units. See Note (22) Subsequent Events for the impact of the reorganization merger on the terms of this warrant.

On March 19, 2018 the Company’s Board of Directors approved a daily stock repurchase program for the repurchase of up to $10.0 million of shares of the Company’s outstanding Class A common stock. The Company’s Board of Directors extended the Company’s authorization to make additional block repurchases of up to $10.0 million of shares in the aggregate, at the discretion of the Company's Executive Committee.

F- 41

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

	Three Months Ended March 31, 2018			As of March 31, 2018
	Number of shares purchased	Average price per share		Remaining repurchase authorization
Share repurchase program	29,365	$	6.36	$	9,813
Block repurchase program	—	—		10,000
Total	29,365	$	6.36	$	19,813

The Company declared cash dividends per share for the following periods presented below:

	Dividends per share for
	Three Months Ended March 31,
	2018		2017
First Quarter	$	0.035	$	0.030
Total cash dividends declared	$	0.035	$	0.030

Statutory Reporting and Insurance Company Subsidiaries Dividend Restrictions

The Company's regulated insurance company subsidiaries may pay dividends to our insurance holding company, subject to statutory restrictions. Payments in excess of statutory restrictions (extraordinary dividends) to our insurance holding company are permitted only with prior approval of the insurance department of the applicable state of domicile. The Company eliminated all dividends from its subsidiaries in the condensed consolidated financial statements. For the three months ended March 31, 2018 and March 31, 2017, respectively, the Company's insurance company subsidiaries did not pay any ordinary or extra ordinary dividends.

The following table presents the combined statutory capital and surplus of the Company's insurance company subsidiaries, the required minimum statutory capital and surplus, as required by the laws of the states in which they are domiciled, and the combined amount available for ordinary dividends of the Company's insurance company subsidiaries for the following periods:

	As of
	March 31, 2018		December 31, 2017
Combined statutory capital and surplus of the Company's insurance company subsidiaries	$	107,902	$	105,989
Required minimum statutory capital and surplus	$	19,200	$	19,200
Amount available for ordinary dividends of the Company's insurance company subsidiaries	$	10,115	$	10,115

At March 31, 2018, the maximum amount of dividends that our regulated insurance company subsidiaries could pay under applicable laws and regulations without regulatory approval was approximately $10,115. The Company may seek regulatory approval to pay dividends in excess of this permitted amount, but there can be no assurance that the Company would receive regulatory approval if sought.

Under the National Association of Insurance Commissioners (NAIC) Risk-Based Capital Act of 1995, a company's Risk-Based Capital (RBC) is calculated by applying certain risk factors to various asset, claim and reserve items. If a company's adjusted surplus falls below calculated RBC thresholds, regulatory intervention or oversight is required. The Company's insurance company subsidiaries' RBC levels, as calculated in accordance with the NAIC’s RBC instructions, exceeded all RBC thresholds as of March 31, 2018.

The following table presents the net income of the Company’s statutory insurance companies for the following periods:

	Three Months Ended March 31,
	2018		2017
Net income of statutory insurance companies	$	6,172	$	3,047

F- 42

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(17) Accumulated Other Comprehensive Income (Loss)

The following table presents the activity in accumulated other comprehensive income (loss) (AOCI), net of tax, for the following periods:

	Unrealized gains (losses) on									Amount attributable to noncontrolling interests
	Available for sale securities			Interest rate swaps			Total AOCI			TFP			Other			Total AOCI to Tiptree Inc.
Balance at December 31, 2016	$	(700	)	$	1,759		$	1,059		$	(128	)	$	(376	)	$	555
Other comprehensive income (losses) before reclassifications	435			84			519			(116		)	(26		)	377
Amounts reclassified from AOCI	31			99			130			—			—			130
Period change	466			183			649			(116		)	(26		)	507
Balance at March 31, 2017	$	(234	)	$	1,942		$	1,708		$	(244	)	$	(402	)	$	1,062
Balance at December 31, 2017	$	(460	)	$	2,074		$	1,614		$	(222	)	$	(426	)	$	966
Other comprehensive income (losses) before reclassifications	(1,789		)	835			(954		)	61			210			(683		)
Amounts reclassified from AOCI	415			—			415			—			—			415
Reclassification of AOCI - interest rate swaps (1)	—			(2,909		)	(2,909		)	502			226			(2,181		)
Period change	(1,374		)	(2,074		)	(3,448		)	563			436			(2,449		)
Balance at March 31, 2018	$	(1,834	)	$	—		$	(1,834	)	$	341		$	10		$	(1,483	)

(1) Relates to the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

The following table presents the reclassification adjustments out of AOCI included in net income and the impacted line items on the condensed consolidated statement of operations for the following periods:

	Three Months Ended March 31,						Affected line item in consolidated statement of operations
Components of AOCI	2018			2017
Unrealized gains (losses) on available for sale securities	$	(531	)	$	(47	)	Net realized and unrealized gains (losses)
Related tax (expense) benefit	116			16			Provision for income tax
Net of tax	$	(415	)	$	(31	)
Unrealized gains (losses) on interest rate swaps	$	—		$	(144	)	Interest expense
Reclassification of AOCI - interest rate swaps (1)	3,845			—			Gain on sale of discontinued operations
Related tax (expense) benefit	(936		)	45			Provision for income tax
Net of tax	$	2,909		$	(99	)

(1) Relates to the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

(18) Stock Based Compensation

Equity Plans

2017 Omnibus Incentive Plan

The Company adopted the Tiptree 2017 Omnibus Incentive Plan (2017 Equity Plan) on June 6, 2017, which permits the grant of stock units, stock, and stock options up to a maximum of 6,100,000 shares of Class A common stock. The general purpose of the 2017 Equity Plan is to attract, motivate and retain selected employees and directors for the Company and its subsidiaries, to provide them with incentives and rewards for performance and to better align their interests with the interests of the Company’s stockholders. Unless otherwise extended, the 2017 Equity Plan terminates automatically on June 6, 2027. The table below summarizes changes to the issuances under the Company’s 2013 and 2017 Equity Plan for the periods indicated:

F- 43

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

2017 Equity Plan	Number of shares (1)
Available for issuance as of December 31, 2017	6,017,012
RSU and option awards granted	(523,654	)
Available for issuance as of March 31, 2018	5,493,358

(1) Excludes awards granted under the Company’s subsidiary incentive plans that are exchangeable for Tiptree Class A common stock.

Restricted Stock Units (RSUs)

Generally, the Tiptree RSUs vest and become nonforfeitable with respect to one-third of Tiptree shares granted on each of the first, second and third anniversaries of the date of the grant, and expensed using the straight-line method over the requisite service period.

The following table summarizes changes to the issuances of RSUs under the 2017 Equity Plan for the periods indicated:

	Number of shares issuable		Weighted average grant date fair value
Unvested units as of December 31, 2017	598,882		$	6.48
Granted (1)	280,991		5.87
Vested	(168,700	)	6.05
Unvested units as of March 31, 2018	711,173		$	6.34

⁽¹⁾ Includes grants of 12,192 shares of Class A common stock to directors.

The Company values RSUs at their grant-date fair value as measured by Tiptree’s common stock price. Included in vested shares for 2018 are 22,727 shares surrendered to pay taxes on behalf of the employees with shares vesting. During the three months ended March 31, 2018, the Company granted 268,799 RSUs to employees of the Company. 147,467 shares vest ratably over a period of three years that began in February 2018 and the remaining 121,332 shares will cliff vest in February 2021.

Subsidiary Incentive Plans

Certain of the Company’s subsidiaries have established RSU programs under which they are authorized to issue RSUs or their equivalents, representing equity of such subsidiaries to certain of their employees. Such awards are accounted for as equity. These RSUs are subject to performance-vesting criteria based on the performance of the subsidiary (performance vesting RSUs) and time-vesting subject to continued employment (time vesting RSUs). Following the service period, such vested RSUs may be exchanged at fair market value, at the option of the holder, for Tiptree Class A common stock under the 2017 Equity Plan. The Company has the option, but not the obligation to settle the exchange right in cash.

The following table summarizes changes to the issuances of subsidiary RSU’s under the subsidiary incentive plans for the periods indicated:

	Grant date fair value of equity shares issuable
Unvested balance as of December 31, 2017	$	8,792
Vested	(1,466		)
Unvested balance as of March 31, 2018	$	7,326

The vested and unvested balance (assuming full vesting) translates to 1,854,846 shares of Class A common stock if converted as of March 31, 2018.

Stock Options

Option awards have been granted to the Executive Committee with an exercise price equal to the fair market value of our common stock on the date of grant. The option awards have a 10-year term and are subject the recipient’s continuous service, a market requirement, and vest one third on each of the third, fourth and fifth anniversary of the grant date. The market requirement is a book value per share target that can be met at any time before the option expires and it only needs to be met once for the option to remain exercisable for the remainder of its term. If the service condition is met, the full amount of the compensation expense

F- 44

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

will be recognized over the appropriate vesting period whether the market requirement is met or not. The options granted in 2018 include a retirement provision and are amortized over the lessor of the service condition or expected retirement date.

The fair value option grants are estimated on the date of grant using a Black-Scholes-Merton option pricing formula embedded within a Monte Carlo model used to simulate the future stock prices of the Company, which assumes that the market requirement is achieved. Historical volatility was computed based on historical daily returns of the Company’s stock between the grant date and July 1, 2013, the date of the business combination through which Tiptree became a public company. The valuation is done under a risk-neutral framework using the 10-year zero-coupon risk-free interest rate derived from the Treasury Constant Maturities yield curve on the grant date. The current quarterly dividend rates in effect as of the date of the grant are used to calculate a spot dividend yield as of the date of grant for use in the model.

The following table presents the assumptions used to estimate the fair values of the stock options granted for the following period:

Valuation Input	Three Months Ended March 31, 2018
	Assumption		Average
Historical volatility	30.63	%	N/A
Risk-free rate	2.85	%	N/A
Dividend yield	2.03	%	N/A
Expected term (years)			6.5

The following table presents the Company's stock option activity for the current period:

	Options outstanding	Weighted average exercise price (in dollars per stock option)		Weighted average grant date value (in dollars per stock option)		Options exercisable
Balance, December 31, 2017	821,864	$	6.36	$	2.82	—
Granted	242,663	5.85		1.88		—
Balance, March 31, 2018 (1)	1,064,527	$	6.24	$	2.61	—
Weighted average remaining contractual term at March 31, 2018 (in years)	8.9

(1) Book value targets for grants in 2018, 2017, and 2016 are $9.97, $10.14, and $8.96, respectively.

Stock-based Compensation Expense

The following table presents total stock-based compensation expense and the related income tax benefit recognized on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Employee compensation and benefits	$	1,233		$	1,798
Income tax benefit	(259		)	(634		)
Net stock-based compensation expense	$	974		$	1,164

Additional information on total non-vested stock-based compensation is as follows:

	As of
	March 31, 2018
	Stock options		Restricted stock awards and RSUs
Unrecognized compensation cost related to non-vested awards	$	1,927	$	8,381
Weighted - average recognition period (in years)	2.85		1.70

F- 45

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(19) Income Taxes

The following table represents the income tax expense (benefit):

	Three Months Ended March 31,
	2018					2017
Total income tax expense (benefit) from continuing operations	$	(1,568			)	$	1,568
Effective tax rate (ETR)	22.3		%	(1)		40.6		%	(2)
Income tax expense (benefit) from discontinued operations	$	12,327				$	(402			)

(1) Higher than the U.S. federal statutory income tax rate of 21% due to the effect of state income taxes and the dividends received deduction, partially offset by the impact of valuation allowance and other discrete items.

(2) Higher than the previous U.S. federal statutory income tax rate of 35% primarily due to state income taxes and other discrete items.

(20) Commitments and Contingencies

Contractual Obligations

The table below summarizes the Company’s contractual obligations by period that payments are due:

	As of March 31, 2018
	Less than one year		1-3 years		3-5 years		More than 5 years		Total
Total - operating lease obligations (1)	$	5,045	$	11,600	$	9,704	$	19,705	$	46,054

(1) Minimum rental obligations for Tiptree, Luxury, Reliance and Fortegra office leases.

The following table presents rent expense for the Company’s office leases recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018		2017
Rent expense for office leases	$	1,495	$	1,698

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

Litigation

The Company is a defendant in Mullins v. Southern Financial Life Insurance Co., which was filed in February 2006, in the Pike Circuit Court, in the Commonwealth of Kentucky. A class was certified in June 2010. At issue is the duration or term of coverage under certain disability and life credit insurance policies. The action alleges violations of the Consumer Protection Act and certain insurance statutes, as well as common law fraud and seeks compensatory and punitive damages, attorney fees and interest. To date, the court has not awarded sanctions in connection with Plaintiffs’ April 2012 Motion for Sanctions. In January 2015, the trial court issued an Order denying the Company’s motion to decertify the class, which was upheld on appeal. Following a February 2017 hearing, the court denied the Company’s Motion for Summary Judgment as to certain disability insurance policies. In January 2018, the court vacated its November 2017 order granting Company’s Motion for Summary Judgment as to the life certificates at issue with leave to refile. No trial or additional hearings are currently scheduled.

The Company considers such litigation customary in the insurance industry. In management's opinion, based on information available at this time, the ultimate resolution of such litigation, which it is vigorously defending, should not be materially adverse to the financial position of the Company. It should be noted that large punitive damage awards, bearing little relation to actual damages sustained by plaintiffs, have been awarded in certain states against other companies in the credit insurance business. At this time, the Company cannot estimate a range of loss that is reasonably possible.

The Company and its subsidiaries are parties to other legal proceedings in the ordinary course of business. Although the Company’s legal and financial liability with respect to such proceedings cannot be estimated with certainty, the Company does not believe that these proceedings, either individually or in the aggregate, are likely to have a material adverse effect on the

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

Company’s financial position.

(21) Earnings Per Share

The Company calculates basic net income per Class A common share based on the weighted average number of Class A common shares outstanding (inclusive of vested restricted share units). The unvested restricted share units have the non-forfeitable right to participate in dividends declared and paid on the Company’s common stock on an as vested basis and are therefore considered a participating security. The Company calculates basic earnings per share using the “two-class” method, and for the three months ended March 31, 2018 and 2017, the income available to common stockholders was allocated to the unvested restricted stock units.

Diluted net income per Class A common shares for the period includes the effect of potential equity of subsidiaries as well as potential Class A common stock, if dilutive. For the three months ended March 30, 2018 the assumed exercise of all dilutive instruments were anti-dilutive to continuing operations and not included in diluted net income per Class A common share calculation.

The following table presents a reconciliation of basic and diluted net income per common share for the following periods:

	Three Months Ended March 31,
	2018			2017
Net income (loss) from continuing operations	$	(5,475	)	$	2,470
Less:
Net income (loss) attributable to non-controlling interests	(1,116		)	577
Net income allocated to participating securities	—			28
Net income (loss) from continuing operations attributable to Tiptree Inc. Class A common shares	(4,359		)	1,865
Net income (loss) from discontinued operations	34,481			(1,128		)
Less:
Net income (loss) from discontinued operations attributable to non-controlling interests	6,562			(335		)
Net income allocated to participating securities	—			(12		)
Net income (loss) from discontinued operations attributable to Tiptree Inc. Class A common shares	27,919			(781		)
Net income (loss) attributable to Tiptree Inc. Class A common shares - basic	$	23,560		$	1,084
Effect of Dilutive Securities:
Securities of subsidiaries	—			(17		)
Adjustments to income relating to exchangeable interests, net of tax	—			205
Net income (loss) attributable to Tiptree Inc. Class A common shares - diluted	$	23,560		$	1,272
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - basic	29,861,496			28,424,824
Weighted average number of incremental shares of Tiptree Inc. Class A common stock issuable from exchangeable interests and contingent considerations	—			8,325,132
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - diluted	29,861,496			36,749,956
Basic:
Net income (loss) from continuing operations	$	(0.15	)	$	0.07
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.04
Diluted:
Net income (loss) from continuing operations	$	(0.15	)	$	0.06
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.03

F- 47

TIPTREE INC. AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

March 31, 2018

(in thousands, except share data)

(22) Subsequent Events

On April 3, 2018, the Company issued, through a subsidiary, 1,187,468 shares of Class A common stock to a limited partner of TFP in exchange for an aggregate of 424,399 TFP partnership units. TFP delivered to the Company for cancellation one share of Class B common stock of Tiptree for each share of Class A common stock issued. After the exchange, Tiptree directly owned approximately 84% of TFP.

On April 10, 2018, the Company completed a reorganization merger whereby TFP merged with and into the Company with the Company continuing as the surviving company (Reorganization Merger). Prior to the Reorganization Merger, Tiptree owned approximately 84% of TFP and TFP owned 100% of Tiptree Operating Company, LLC (OpCo), the operating subsidiary that holds all of the Company’s consolidated subsidiaries. After the Reorganization Merger, TFP ceased to exist and the Company owned 100% of OpCo.

In connection with the Reorganization Merger, each TFP limited partner other than TFI received 2.798 shares of Class A common stock for each partnership unit. Outstanding warrants to acquire 652,500 Class A shares at an exercise price of $11.33 per share owned by TFP were canceled. Warrants to acquire 103,994 shares of Class A common stock at an exercise price of $11.33 per share were issued to partners of TFP other than TFI. The warrants to acquire 805,986 TFP LP units at $21.232 per unit were canceled and TFI issued warrants for 2,255,149 Tiptree Class A shares at an exercise price of $7.59 per share to holders of the canceled warrants. In addition, TFI canceled all of the outstanding Class B common stock.

On April 16, 2018, the Company canceled 5,035,977 shares of Class A common stock held by a subsidiary of the Company.

In April 2018, a subsidiary in our mortgage business extended the maturity date of a $50,000 warehouse line of credit from May 2018 to May 2019.

On May 3, 2018, the Company’s board of directors declared a quarterly cash dividend of $0.035 per share to Class A stockholders with a record date of May 21, 2018, and a payment date of May 29, 2018.

On May 4, 2018 (the Effective Date), Operating Company entered into a Fifth Amendment to the Credit Agreement with Fortress providing for an additional $47,000 borrowing for a total principal amount outstanding of $75,000 as of the Effective Date. The Fifth Amendment extends the maturity date of all term loans under the Credit Agreement from September 18, 2018 to September 18, 2020. The amended facility also has a new interest rate at a variable rate of equal to one-month LIBOR with a LIBOR floor of 1.25%, plus a margin of 5.50% per annum and has a pre-payment fee of 1% for six months.

F- 48

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Our Management’s Discussion and Analysis of Financial Conditions and Results of Operations is presented in this section as follows:

• Overview

• Results of Operations

• Non-GAAP Reconciliations

• Liquidity and Capital Resources

• Critical Accounting Policies and Estimates

• Off-Balance Sheet Arrangements

OVERVIEW

Tiptree is a holding company that combines insurance operations with investment management expertise. Our principal operating subsidiary is a leading provider of specialty insurance products and related services, including credit protection insurance, warranty products, and insurance programs which underwrite niche personal and commercial lines of insurance. We also allocate capital across a broad spectrum of investments, which we refer to as Tiptree Capital. Today, Tiptree Capital consists of asset management operations, mortgage operations and other investments, which include our minority interest in Invesque. When considering capital allocation decisions, we take a diversified approach, looking across sectors, geographies and asset classes, all with a longer-term horizon. We evaluate our performance primarily by the comparison of our shareholder’s long-term total return on capital, as measured by Adjusted EBITDA and growth in book value per share plus dividends.

Year-to-date 2018, we have executed on several strategic objectives:

Insurance:

• Specialty Insurance operations continued to grow as gross written premiums were $201 million, up 21.3%, driven by growth in warranty and credit products. Net written premiums were $109 million, up 26.5%, driven by increase in retention of credit products and growth in warranty products.

• On March 28, 2018, we expanded our insurance operations into Europe with the creation of Fortegra Europe Insurance Company Limited (“FEIC”).

Tiptree Capital:

• On February 1, 2018, we sold our senior living operations to Invesque in exchange for a net 16.4 million shares of Invesque common stock. Tiptree’s increase to book value was $0.91 per share, or a 9.1% increase over our December 31, 2017 book value per share, as exchanged.

Corporate:

• On March 23, 2018, we initiated an up to $20 million share buy-back plan split evenly between open market and opportunistic large block purchases.

• On April 10, 2018, we completed a corporate reorganization that eliminates Tiptree’s dual class stock structure.

• On May 4, 2018, we extended our Fortress credit agreement to September 2020 and up-sized to $75 million while reducing the interest rate by 100 basis points.

Our results of operations are affected by a variety of factors including, but not limited to, general economic conditions and GDP growth, market liquidity and volatility, consumer confidence, U.S. demographics, employment and wage growth, business confidence and investment, inflation, interest rates and spreads, the impact of the regulatory environment, and the other factors set forth in Item 1A. “Risk Factors” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2017. Generally, our businesses are positively affected by a healthy U.S. consumer, stable to gradually rising interest rates, stable markets and business conditions and the aging U.S. population. Conversely, rising unemployment, volatile markets, rapidly rising interest rates, changing regulatory requirements and slowing business conditions can have a material adverse effect on our results of operations or financial condition.

Our specialty insurance business generally focuses on products which have low severity but high frequency loss experiences and are short-duration in nature. Our insurance business has historically also generated a significant proportion of fee based revenues. In general, the types of products we offer tend to have limited aggregation risk, and thus, limited exposure to catastrophic and residual risk. We mitigate our underwriting risk through a combination of reinsurance and retrospective commission structures with our distribution partners and/or third-party reinsurers. Our insurance results primarily depend on our pricing, underwriting, risk retention and the accuracy of reserves, reinsurance arrangements, returns on invested assets, and policy and contract renewals and run-off. While our insurance operations have historically maintained a relatively stable combined ratio which support steady earnings, our initiatives to change our business mix along with economic factors could generate different results than we have historically

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experienced. We believe there are additional growth opportunities to expand our warranty and programs insurance business model to other niche products and markets.

Our insurance company investment portfolio primarily serves as a source to pay claims and secondarily as a source of income for our operations. Our investments include fixed maturity securities, loans, credit investment funds, equity securities and CLOs. Many of our investments are held at fair value. Changes in fair value for loans, credit investment funds, equity securities and CLO assets and liabilities are reported quarterly as unrealized gains or losses in revenues and can be impacted by changes in interest rates, credit risk, or market risk, including specific company or industry factors. When credit markets are performing well, loans held in our CLOs and credit fund investments may prepay, subjecting those investments to reinvestment risk. In deteriorating credit environments, default risk can impact the performance of our investments, as well as flowing through income as unrealized losses. Our equity holdings are relatively concentrated. General equity market trends, along with company and industry specific factors, can impact the fair value of our holdings and can result in unrealized gains and losses affecting our results. In addition, both as part of our insurance company investments and separately in Tiptree Capital, as of February 1, 2018, our common shares of Invesque represent a significant asset on our balance sheet. Any change in the fair value of Invesque’s common stock or Invesque’s dividend policy could have a significant impact on our financial condition and results of operations.

Our business can also be impacted in various ways by changes in interest rates which can result in fluctuations in fair value of our investments, revenues associated with floating rate loans, volume and revenues in our mortgage business and interest expense associated with floating rate debt used to fund many of our operations.

On December 22, 2017, the U.S. government enacted the Tax Act, which, among other things, reduces the corporate federal income tax rate from 35% to 21% effective January 1, 2018. As a result of the Tax Act, we estimate that our 2018 consolidated effective tax rate will be between 24% and 26%. We do not expect a significant near-term impact on cash used to pay taxes.

RESULTS OF OPERATIONS

The following is a summary of our consolidated financial results for the three months ended March 31, 2018 and 2017. Management uses Adjusted EBITDA and book value per share, as exchanged, as measurements of operating performance which are non-GAAP measures. Management believes the use of Adjusted EBITDA provides supplemental information useful to investors as it is frequently used by the financial community to analyze financial performance, and to analyze a company’s ability to service its debt and to facilitate comparison among companies. Adjusted EBITDA is also used in determining incentive compensation for the Company’s executive officers. Adjusted EBITDA is not a measurement of financial performance or liquidity under GAAP and should not be considered as an alternative or substitute for GAAP net income. Book value per share, as exchanged assumes full exchange of the limited partners units of TFP for Tiptree Class A common stock. Management believes the use of this financial measure provides supplemental information useful to investors as it is frequently used by the financial community to analyze company growth on a relative per share basis.

Selected Key Metrics

($ in thousands)	Three Months Ended March 31,
GAAP:	2018		2017
Total revenues	$	148,072	$	146,189
Net income before non-controlling interests	29,006		1,342
Net income attributable to Tiptree Inc. Class A common stockholders	23,560		1,100
Diluted earnings per share	0.79		0.03
Cash dividends paid per common share	—		—
Non-GAAP:(1)
Adjusted EBITDA	5,344		11,786
Book value per share, as exchanged	10.59		10.15

(1) For further information relating to the Company’s Adjusted EBITDA and book value per share, as exchanged, including a reconciliation to GAAP financials, see “—Non-GAAP Reconciliations.”

Revenues

For the three months ended March 31, 2018, revenues were $148.1 million, which increased $1.9 million, or 1.3%, over prior year period driven by growth in earned premiums and service and administrative fees, partially offset by reduced other income, and unrealized losses on equity securities. Earned premiums were $101.6 million for the three months ended March 31, 2018, up from $89.2 million in the comparable 2017 period. This was consistent with our strategy to grow written premiums of our insurance business which contributes to increased investable assets and investment income. In addition to the growth in revenues, the combination of

2

unearned premiums and deferred revenues on the balance sheet grew by $110.0 million or 23.4%, from March 31, 2017 to March 31, 2018 as we continue to grow credit protection and warranty written premiums, which are earned over multiple years.

Income (loss) before taxes (from continuing and discontinued operations)

The table below highlights certain key drivers impacting our consolidated results presented on a pre-tax basis. Our investments are focused on a longer term investment horizon. In addition, our equity securities holdings are relatively concentrated, and are carried at fair value and marked to market through unrealized gains and losses. As a result, we expect our earnings relating to these securities to be relatively volatile between periods in contrast to our fixed income securities, which are marked to market through accumulated other comprehensive income (“AOCI”) in stockholders equity. On February 1, 2018, we sold our senior living operations to Invesque in exchange for net 16.4 million shares of Invesque common stock which resulted in a gain on sale. During 2017, we made a strategic decision to decrease our overall exposure to CLO subordinated notes, which resulted in deconsolidation and decreased our earnings from CLO distributions and gains on sales of investments when comparing the three months ended March 31, 2018 versus March 31, 2017.

($ in thousands)	Three Months Ended March 31,
	2018			2017
Unrealized & realized gains (losses) on equity securities(1)	$	(8,697	)	$	(1,740	)
Discontinued operations (Care) (2)	$	46,808		$	(1,530	)
Asset management - credit investments	$	277		$	5,168

(1) Includes $3.9 million attributable to Invesque shares from the date of the sale (February 1, 2018).

(2) Includes pre-tax Gain on sale of Discontinued Operations of $46.2 million.

Net Income (Loss) before non-controlling interests

For the three months ended March 31, 2018, net income before non-controlling interests was $29.0 million compared to net income of $1.3 million in the 2017 period, an increase of $27.7 million. The increase was driven by $34.5 million of income from discontinued operations including the net gain on sale of Care, which was partially offset by unrealized losses on equity securities (including the Invesque common stock), and lower asset management income as we reduced our exposure to CLO subordinated notes which resulted in less distributions and gains compared to 2017.

Net Income (Loss) Available to Class A Common Stockholders

For the three months ended March 31, 2018, net income available to Class A common stockholders was $23.6 million, an increase of $22.5 million from the prior year period. The key drivers of net income available to Class A common stockholders were the same factors which impacted the net income before non-controlling interests.

Adjusted EBITDA - Non-GAAP

Total Adjusted EBITDA for the three months ended March 31, 2018 was $5.3 million compared to $11.8 million for the 2017 period, a decrease of $6.5 million, or 55.1%. The key drivers of the change in Adjusted EBITDA were the same as those which impacted our net income before non-controlling interests, excluding add-backs associated with the Care gain and non-recurring expenses. For Care, the reduction in EBITDA is related to accumulated depreciation and amortization, and certain operating expenses, which were previously included in Adjusted EBITDA in prior periods. See “— Non-GAAP Reconciliations” for a reconciliation to GAAP net income.

Book Value per share, as exchanged - Non-GAAP

Total stockholders’ equity was $407.7 million as of March 31, 2018 compared to $393.8 million as of March 31, 2017, primarily driven by net income over the last four quarters and the net increase in equity outstanding as a result of an option exercise, net of share re-purchases.

As exchanged book value per share for the period ended March 31, 2018 was $10.59, an increase from $10.15 as of March 31, 2017. The key drivers of the period-over-period impact were earnings per share of $0.87 over the last four quarters and the purchase of 1.0 million shares at an average 28% discount to book value. Those increases were partially offset by dividends paid of $0.12 per share, officer and director compensation share issuances, and the exercise of a 2007 founders’ option in June 2017, the latter of which resulted in 1.5 million shares being issued for $5.36 per share in cash paid to the Company which resulted in a $0.19 decrease in book value per share. Over the past twelve months, Tiptree returned $12.0 million to shareholders through share repurchases and dividends paid.

Results by Segment

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Tiptree is a holding company that combines insurance operations with investment management expertise. In addition to our specialty insurance operations, we allocate our capital across our investments in other companies and assets which we refer to as Tiptree Capital. As of March 31, 2018, Tiptree Capital consists of asset management operations, mortgage operations and other investments (including Invesque common shares). As such, we classify our business into three reportable segments– specialty insurance, asset management and mortgage. Corporate activities include holding company interest expense, employee compensation and benefits, and other expenses. The following table presents the components of total pre-tax income including continuing and discontinued operations.

Pre-tax Income

($ in thousands)	Three Months Ended March 31,
	2018			2017
Specialty Insurance	$	1,343		$	4,801
Tiptree Capital:
Asset management	892			5,581
Mortgage	153			301
Other	(2,717		)	84
Corporate	(6,714		)	(6,729		)
Pre-tax income (loss) from continuing operations	$	(7,043	)	$	4,038
Pre-tax income (loss) from discontinued operations (1)	$	46,808		$	(1,530	)

(1) Includes Care for 2017 and 2018. Includes $46.2 million pre-tax gain on sale of Care in 2018.

Total Capital and Adjusted EBITDA - Non-GAAP ⁽¹⁾ 

Management evaluates the return on Invested Capital and Total Capital, which are non-GAAP financial measures, when making capital investment decisions. Invested Capital represents its total cash investment, including any re-investment of earnings, and acquisition costs, net of tax. Total Capital represents Invested Capital plus Corporate Debt. Management believes the use of these financial measures provide supplemental information useful to investors as they are frequently used by the financial community to analyze how the Company has allocated capital over-time and provide a basis for determining the return on capital to shareholders. Management uses both of these measures when making capital investment decisions, including reinvesting cash, and evaluating the relative performance of its businesses and investments. The following table presents the components of Total Capital and Adjusted EBITDA.

($ in thousands)	Three Months Ended March 31,
	Total Capital				Adjusted EBITDA
	2018		2017		2018			2017
Specialty Insurance	$	441,518	$	402,252	$	8,193		$	9,379
Tiptree Capital	147,244		190,752		5,505			9,530
Asset management	4,164		38,474		892			5,581
Mortgage	30,890		25,291		289			839
Other (2)	112,190		126,987		4,324			3,110
Corporate	43,228		45,507		(8,354		)	(7,123		)
Total Tiptree	$	631,990	$	638,511	$	5,344		$	11,786

(1) For further information relating to the Company’s Total Capital and Adjusted EBITDA, including a reconciliation to GAAP total stockholders equity and pre-tax income, see “—Non-GAAP Reconciliations.”

(2) Includes discontinued operations related to Care. As of February 1, 2018, invested capital from Care discontinued operations is represented by our investment in Invesque common shares. For more information, see “Note—(3) Dispositions, Assets Held for Sale & Discontinued Operations.”

Specialty Insurance

Our principal operating subsidiary is a provider of specialty insurance products and related services, including credit protection insurance, warranty products, and insurance programs which underwrite niche personal and commercial lines of insurance. We also offer fee-based administration and fronting services for our self-insured clients who own captive producer owned reinsurance companies (“PORCs”). We generate income from insurance underwriting operations and our investment portfolio. Insurance underwriting operations revenues are primarily generated from net earned premiums, service and administrative fees and ceding commissions. We measure insurance underwriting operations performance by adjusted underwriting margin, combined ratio and Adjusted EBITDA. The investment portfolio income consists of investment income, gains and losses and is measured by net portfolio income which is the equivalent of Adjusted EBITDA.

The following tables present the specialty insurance segment results for the three months ended March 31, 2018 and 2017.

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Operating Results

($ in thousands)	Three Months Ended March 31,
	2018			2017
Gross written premiums	$	200,654		$	165,352
Net written premiums	109,218			86,348
Revenues:
Net earned premiums	$	101,645		$	89,231
Service and administrative fees	24,576			23,776
Ceding commissions	2,283			2,271
Net investment income	4,205			4,505
Net realized and unrealized gains (losses)	(3,407		)	998
Other income	696			1,065
Total revenues	$	129,998		$	121,846
Expenses:
Policy and contract benefits	36,626			32,992
Commission expense	62,633			56,793
Employee compensation and benefits	10,949			11,009
Interest expense	4,533			3,445
Depreciation and amortization expenses	2,722			3,294
Other expenses	11,192			9,512
Total expenses	$	128,655		$	117,045
Pre-tax income (loss)	$	1,343		$	4,801

Results

Our specialty insurance operations are currently expanding product lines in an effort to increase written premiums. As part of this process, the business is investing to grow warranty and programs, while maintaining a leading position in our credit protection markets. That, combined with the earnings performance of the investment portfolio, are key drivers in comparing 2018 versus 2017 results. The growth in written premiums, combined with higher retention in select products, has resulted in an increase of unearned premiums and deferred revenue on the balance sheet of 23.4% from $469.4 million as of March 31, 2017 to $579.4 million as of March 31, 2018.

Pre-tax income was $1.3 million for the three months ended March 31, 2018, a decrease of $3.5 million, over the prior year period. The primary drivers of the decline were period-over-period reductions in net realized and unrealized gains and losses of $4.4 million related to equities held in the portfolio and decreases in net investment income of $0.3 million related to lower dividend income. Insurance operations results increased versus the prior year period driven primarily by increased underwriting margin of $3.4 million, which was partially offset by increased other expenses of $1.7 million primarily from a combination of expenses of pursuing acquisition opportunities, asset-based debt extinguishment expenses, and premium taxes, the latter of which increased consistent with growth in written premiums. Interest expense increased by $1.1 million from the prior year period, primarily associated with the issuance of the Junior Subordinated Notes in late 2017.

Revenues

Revenues are generated by the sale of the following products: credit protection, warranty, programs, services and other. Credit protection products include credit life, credit disability, credit property, involuntary unemployment, and accidental death and dismemberment. Warranty products include auto service contracts, furniture and appliance service contracts and mobile device protection. Programs are primarily personal and commercial lines and other property-casualty products.

For the three months ended March 31, 2018, total revenues were $130.0 million, up $8.2 million, or 6.7%, over the prior year period. The increase was primarily driven by an increase in earned premiums of $12.4 million and increases in service and administrative fees of $0.8 million. The increase in earned premiums was driven by growth in all product lines.

For the three months ended March 31, 2018, revenues on the investment portfolio, including net investment income and realized and unrealized gains, contributed income of $0.8 million compared to $5.5 million of income in the 2017 period, a decrease of $4.7 million. This was driven by realized and unrealized losses of $3.4 million, primarily related to investments in equities, compared to realized and unrealized gains of $1.0 million in 2017. See “—Specialty Insurance Investment Portfolio” for further discussion of the investment results.

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Expenses

Total expenses include policy and contract benefits, commissions expense and operating expenses. For the three months ended March 31, 2018, total expenses were $128.7 million compared to $117.0 million in the 2017 period. The primary drivers of the increase were policy and contract benefits and commission expense as net written premiums increased over the 2017 period.

There are two types of expenses for claims under insurance and warranty service contracts which are included in policy and contract benefits- member benefit claims and net losses and loss adjustment expenses. Member benefit claims represent the costs of services and replacement devices incurred in warranty protection and car club service contracts. Net losses and loss adjustment expenses represent actual insurance claims paid, changes in unpaid claim reserves, net of amounts ceded, and the costs of administering claims for credit life and other insurance lines. Incurred claims are impacted by loss frequency, which is a measure of the number of claims per unit of insured exposure, and loss severity, which is based on the average size of claims. Loss occurrences in our insurance products are characterized by low severity and high frequency. Factors affecting loss frequency and loss severity include changes in claims reporting patterns, claims settlement patterns, judicial decisions, economic conditions, morbidity patterns and the attitudes of claimants towards settlements. For the three months ended March 31, 2018, policy and contract benefits were $36.6 million, up $3.6 million from the prior year primarily as a result of increased retention in our credit protection and program products. The increase in net losses over the prior year period was a function of growth in earned premiums, partially offset by lower claims in mobile devices consistent with the decline in written premiums in that product line.

Commission expense is incurred on most product lines, the majority of which are retrospective commissions paid to distributors and retailers selling our products, including credit insurance policies, warranty and mobile device protection service contracts, and motor club memberships. Credit insurance commission rates are, in many cases, set by state regulators and are also impacted by market conditions and retention levels. Total commission expense for three months ended March 31, 2018 was $62.6 million compared to $56.8 million in the 2017 period. The primary drivers of the increase were the commission expense associated with the higher retention rate on our credit protection products.

Operating expenses include employee compensation and benefits, interest expense, depreciation and amortization expenses and other expenses. For the three months ended March 31, 2018, total employee compensation and benefits were $10.9 million, down $0.1 million from the 2017 period primarily as a result of a one-time catch-up accrual for stock-based compensation expense in 2017. Interest expense of $4.5 million in 2017 increased by $1.1 million versus the prior year, primarily from interest expense related to the Junior Subordinated Notes partially offset by reduced asset based borrowings on certain investments within the investment portfolio. Other expenses for the three months ended March 31, 2018 were $11.2 million, up $1.7 million from 2017 primarily from a combination of expenses of pursuing acquisition opportunities, asset-based debt extinguishment expenses, and premium taxes, the latter of which increased consistent with growth in written premiums.

Key Operating Metrics and Non-GAAP Operating Results

Gross & Net Written Premiums

Gross written premiums represents total premiums from insurance policies and warranty service contracts that we write during a reporting period based on the effective date of the individual policy. Net written premiums are gross written premiums less that portion of premiums that we cede to third-party reinsurers or the PORCs under reinsurance agreements. The amount ceded to each reinsurer is based on the contractual formula contained in the individual reinsurance agreements. Net earned premiums are the earned portion of our net written premiums. At the end of each reporting period, premiums written that are not earned are classified as unearned premiums, which are earned in subsequent periods over the remaining term of the policy.

Written Premium Metrics

	Three Months Ended March 31,
	Gross Written Premiums				Net Written Premiums
Specialty Insurance Products:	2018		2017		2018		2017
Credit protection	$	116,883	$	101,785	$	76,682	$	65,010
Warranty	25,665		21,770		15,528		12,521
Programs	58,106		41,789		17,008		8,817
Services and Other	—		8		—		—
Total Specialty Insurance	$	200,654	$	165,352	$	109,218	$	86,348

Total gross written premiums for the three months ended March 31, 2018 were $200.7 million, which represented an increase of $35.3

6

million, or 21.3%, from the prior year period. The amount of business retained was 54.4%, up from 52.2% in the prior year period. Total net premiums written for 2017 were $109.2 million, up $22.9 million, or 26.5%. Warranty and service contract net written premiums were $15.5 million, up $3.0 million from the 2017 period and specialty programs were $17.0 million, up $8.2 million from the 2017 period. Warranty increases were driven by increases in our furniture, appliances and auto products. We believe our warranty service contracts and light commercial programs provide opportunity for growth through expanded product offerings, new clients and geographic expansion.

Product Underwriting Margin - Non-GAAP

The following table presents product specific revenue and expenses within the specialty insurance operations. We generally limit the underwriting risk we assume using both reinsurance (e.g., quota share and excess of loss) and retrospective commission agreements with our partners (e.g., commissions paid are adjusted based on the actual underlying losses incurred), which manage and mitigate our risk. Period-over-period comparisons of revenues are often impacted by the PORCs and distribution partners choice as to whether to retain risk, specifically with respect to the relationship between service and administration expenses and ceding commissions, both components of revenue, and the offsetting policy and contract benefits and commissions paid to our partners and reinsurers. Generally, when losses are incurred, the risk which is retained by our partners and reinsurers is reflected in a reduction in commissions paid. In order to better explain to investors the net financial impact of the risk retained by the Company of the insurance contracts written and the impact on profitability, we use the Non-GAAP metric - Underwriting Margin.

Underwriting Revenues and Underwriting Margin - Non-GAAP

	Three Months Ended March 31,
	Underwriting Revenues				Underwriting Margin
Specialty Insurance Products:	2018		2017		2018		2017
Credit protection	$	92,737	$	84,709	$	18,123	$	14,962
Warranty	22,168		19,103		6,360		6,299
Programs	11,995		10,079		3,014		2,574
Services and Other	2,300		2,452		2,444		2,723
Total Specialty Insurance	$	129,200	$	116,343	$	29,941	$	26,558

(1) For further information relating to the Company’s underwriting margin, including a reconciliation to GAAP financials, see “—Non-GAAP Reconciliations.”

Underwriting margin for the three months ended March 31, 2018 was $29.9 million, up from $26.6 million in 2017. Credit protection underwriting margin was $18.1 million, an increase from 2017 results by $3.2 million, or 21.0%. Credit protection products continue to provide opportunities for steady growth through a combination of expanded product offerings and new clients. Underwriting margin for warranty products was $6.4 million for the 2018 period, up $0.1 million, or 1.0%, from the 2017 period. The effects experienced in previous periods from our mobile protection products has slowed, and was more than offset by growth in furniture, appliances, and auto warranty business. Programs underwriting margin for the 2018 period was $3.0 million, up 17.1% from 2017, as new programs take hold. Services and other contributed $2.4 million in 2018, down $0.3 million from 2017 as certain business processing services are in run-off.

Invested Capital, Total Capital, Adjusted EBITDA and Insurance Operating Ratios

We use the combined ratio as an operating metric to evaluate our insurance underwriting performance, both overall and relative to peers. Expressed as a percentage, it represents the relationship of policy and contract benefits, commission expense (net of ceding commissions), employee compensation and benefits, and other expenses to net earned premiums, service and administrative fees, and other income. Investors use this ratio to evaluate our ability to profitably underwrite the risks we assume over time and manage our operating costs. A combined ratio less than 100% indicates an underwriting profit, while a combined ratio greater than 100% reflects an underwriting loss. The below table outlines the insurance operating ratios, capital invested and the drivers of Adjusted EBITDA split between underwriting and investments as management evaluates the return on the investment portfolio separately from the returns from underwriting activities.

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Invested Capital, Total Capital, Adjusted EBITDA and Operating Ratios - Non-GAAP⁽¹⁾ 

($ in thousands)	Three Months Ended March 31,
	2018			2017
Invested Capital(1)	$	281,518		$	254,626
Total Capital(1)	$	441,518		$	402,252
Adjusted EBITDA drivers:
Underwriting	$	8,621		$	5,577
Investments - Net Portfolio Income (Loss)	(428		)	3,802
Specialty Insurance Adjusted EBITDA(1)	$	8,193		$	9,379
Key drivers of Adjusted EBITDA:
Unrealized gains (losses)	$	(8,546	)	$	(78	)
Stock-based compensation expense	$	627		$	1,351
Insurance operating ratios:
Combined ratio	93.9		%	94.7		%

(1) For further information relating to the Company’s Adjusted EBITDA, Invested and Total Capital, adjusted combined ratio, and Net Portfolio Income (Loss), including a reconciliation to GAAP financials, see “—Non-GAAP Reconciliations.”

The combined ratio was 93.9% for the three months ended March 31, 2018, compared to 94.7% for the prior year period. The decrease was driven primarily by improved underwriting margins and lower stock-based compensation expense in the 2018 period versus the 2107 period. Decreased stock-based compensation expense, which is a result of time and performance based stock grants, contributed to 0.6% of the combined ratio decline from the 2017 period to the 2018 period. The combined ratio from 2015-2017 averaged 90.3%. The increase from our three-year average in recent quarters has been driven primarily by our investment in new products and geographies which we believe will result in premium growth in future periods.

Underwriting Adjusted EBITDA increased by $3.0 million from the 2017 to the 2018 period, driven by the same factors discussed above under “Results.” See “—Specialty Insurance Investment Portfolio” for further discussion of the investment results and “—Non-GAAP Reconciliations” for a reconciliation to GAAP pre-tax income.

Insurance Investment Portfolio

Our investment portfolio is subject to different regulatory considerations, including with respect to types of assets, concentration limits, affiliate transactions and the use of leverage. Our investment strategy is designed to achieve attractive risk-adjusted returns over the entire investment horizon across select asset classes, sectors and geographies while maintaining adequate liquidity to meet our claims payment obligations. As such, volatility from realized and unrealized gains and losses may impact period-over-period performance. Unrealized gains and losses on equity securities and loans impact current period net income, while unrealized gains and losses on available for sale securities impact AOCI.

In managing our investment portfolio, we analyze net investments and net portfolio income, which are non-GAAP measures. Our presentation of net investments equals total investments plus cash and cash equivalents minus asset based financing related to certain investments. Our presentation of net portfolio income equals net investment income plus realized and unrealized gains and losses, excluding unrealized gains and losses on securities which are taken to AOCI, and minus interest expense associated with asset based financing of investments. Net investments and net portfolio income are used to calculate average annualized yield, which is one of the measures management uses to analyze the profitability of our investment portfolio. Management believes this information on a cumulative basis is useful since it allows investors to evaluate the performance of our investment portfolio based on the capital at risk and on a non-consolidated basis. Our calculation of net investments and net portfolio income may differ from similarly titled non-GAAP financial measures used by other companies. Net investments and net portfolio income are not measures of financial performance or liquidity under GAAP and should not be considered a substitute for total investments or net investment income. See “—Non-GAAP Reconciliations” for a reconciliation to GAAP total investments and investment income.

Specialty Insurance Investment Portfolio - Non-GAAP

8

($ in thousands)	Three Months Ended March 31,
	2018			2017
Cash and cash equivalents (1)	$	29,104		$	22,467
Available for sale securities, at fair value	212,808			152,529
Equity securities, at fair value	34,320			46,872
Loans, at fair value (2)	89,980			96,801
Real estate, net	16,811			24,379
Other investments	16,666			4,036
Net investments	$	399,689		$	347,084
(1) Cash and cash equivalents, plus restricted cash, net of due from/due to brokers on consolidated loan funds, see “—Non-GAAP Reconciliations”, for a reconciliation to GAAP financials.
(2) Loans, at fair value, net of asset based debt, see “—Non-GAAP Reconciliations”, for a reconciliation to GAAP financials.
Specialty Insurance Net Investment Portfolio Income - Non-GAAP
($ in thousands)	Three Months Ended March 31,
	2018			2017
Net investment income	$	4,205		$	4,505
Realized gains (losses)	5,139			1,076
Unrealized gains (losses)	(8,546		)	(78		)
Interest expense	(1,226		)	(1,701		)
Net portfolio income (loss)	$	(428	)	$	3,802
Average Annualized Yield % (1)	(0.4		)%	4.2		%

(1) Average Annualized Yield % represents the ratio of annualized net investment income, realized and unrealized gains (losses) less investment portfolio interest expense to the average of the prior two quarters total investments less investment portfolio debt plus cash, but does not reflect the cumulative return on the portfolio.

Net investments of $399.7 million have grown 15.2% from March 31, 2017 through a combination of internal growth and increased retention of premiums written.

Our net investment income includes interest, dividends and rental income, net of investment expenses, on our invested assets. Our loans, at fair value, are generally floating rate and therefore earn LIBOR plus a spread. Generally, our interest income on those loans will increase in a rising interest rate environment, or decrease in a declining rate environment, subject to any LIBOR floors. Our held to maturity investments generally carry fixed coupons, which can impact our returns on investment. We report net realized gains and losses on our investments separately from our net investment income. Net realized gains occur when we sell our investment securities for more than their costs or amortized costs, as applicable. Net realized losses occur when we sell our investment securities for less than their costs or amortized costs, as applicable, or we write down the investment securities as a result of other-than-temporary impairment. We report net unrealized gains (losses) on securities classified as available-for-sale separately within accumulated other comprehensive income on our balance sheet. For loans, at fair value, and equity securities, we report unrealized gains (losses) within net realized gains (losses) on investment on the consolidated statement of income.

For the three months ended March 31, 2018, the net investment portfolio loss was $0.4 million compared to $3.8 million of income in the comparable 2017 period. The average annualized yield declined from 4.2% in 2017 to (0.4)% in 2018 as a result of realized and unrealized losses of $3.4 million, primarily related to investments in equities, compared to realized and unrealized gains of $1.0 million in 2017. For the three months ended March 31, 2018, fair market value changes on equities resulted in $5.5 million of losses compared to $1.7 million of losses in 2017. Partially offsetting the marks, interest expense decreased by $0.5 million as a result of reduced borrowings on credit asset investments and non-performing loans.

Tiptree Capital

We allocate capital across a broad spectrum of investments, which we refer to as Tiptree Capital. As of March 31, 2018, Tiptree Capital includes our asset management operations and mortgage operations, which are both reportable segments, and other investments (including our Invesque shares). We manage Tiptree Capital on a total return basis balancing current cash flow and long term value appreciation.

In the fourth quarter 2017, we sold our interest in our commercial lending business and signed a definitive agreement to sell our interest in our jumbo mortgage business. We have re-balanced our exposure to subordinated notes by retaining vertical tranches of our newly issued CLOs in the insurance company investment portfolio including Telos 3 (August 2017) and Telos 4 (January 2018). On February 1, 2018, we completed the sale of Care to Invesque. We received consideration of 16.6 million shares of which 13.5 million shares are held in other investments as part of Tiptree Capital, 2.9 million shares are held in the insurance investment portfolio and 0.2 million shares were paid as compensation to former Care employees. Care was classified as held for sale and a discontinued

9

operation as of December 31, 2017.

Operating Results

($ in thousands)	Three Months Ended March 31,
Revenues:	2018			2017
Asset Management	$	1,855		$	2,973
Mortgage	12,998			12,828
Other	3,221			8,542
Expenses:
Asset Management	$	(963	)	$	(1,307	)
Mortgage	(12,845		)	(12,527		)
Other	(5,938		)	(8,458		)
Asset Management - Net income attributable to consolidated CLOs	$	—		$	3,915
Pre-tax income:
Asset Management	$	892		$	5,581
Mortgage	153			301
Other	(2,717		)	84
Discontinued operations (Care)	46,808			(1,530		)

Tiptree Capital earns revenues from net interest income, fees and gain on sale of mortgages originated and sold to investors; management fees from CLOs under management; distributions from investments; realized and unrealized gains on the Company’s investment holdings (historically, primarily CLO subordinated notes and related CLO warehouses); and rental and related income from senior housing triple net lease properties and Managed Properties (now classified as discontinued operations).

Asset Management Results

The decline in pre-tax income from 2017 to 2018 was driven by reduced income from consolidated CLOs, primarily related to reductions in distributions on the subordinated notes as a result of our sales of those notes, and reduced management and incentive fees as discussed below. Total investment in CLO subordinated notes, management fee participation rights, and related derivatives, at fair market value, as of March 31, 2018 was $2.6 million, down from $34.1 million as of March 31, 2017. The sale of CLO subordinated notes resulted in decreased distributions which were $0.3 million in the three months ended March 31, 2018 compared to $2.5 million in the 2017 period. Realized and unrealized gains associated with the CLO subordinated notes were $2.6 million in 2017 and did not repeat in the 2018 period.

Management and incentive fee income was $1.6 million for the 2018 period compared to $2.1 million for the 2017 period. The decline was driven by reduced fee-earning AUM and lower incentive fees on older CLOs (Telos 1 & 2). As of March 31, 2018, total fee earning AUM was $1.6 billion, which declined from $1.8 billion as of March 31, 2017 as the run-off in our older CLOs have not been replaced with new AUM.

Mortgage Results

Pre-tax income for the three months ended March 31, 2018 was $0.2 million compared to $0.3 million in 2017. Revenues on mortgages held for sale in 2018 were $13.0 million compared to $12.8 million in 2017. The slight increase was driven by expanding gain on sale margins and interest income which was substantially offset by reduced volumes which were $207.4 million for the 2018 period, compared to $225.3 million for the 2017 period. Expenses were $12.8 million for the 2018 period, which was up $0.3 million as compared to the prior year period.

Other Results

Pre-tax income from other investments includes our investment in Invesque shares, our held for sale jumbo mortgage business, our commercial lending operations through its sale date in December 2017, and other principal investments. In the 2018 period, the results from our investment in Invesque shares include dividends received and unrealized gains and losses impacting our financial results. For the three months ended March 31, 2018, we received $1.7 million of dividends from Invesque. This was partially offset by unrealized losses of $3.2 million, which were a result of a lower Invesque stock price at March 31, 2018 versus the sale date.

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Discontinued Operations Results - Care

Discontinued Operations includes the results from Care, previously reported in the Senior Living segment. For the three months ended March 31, 2018, the pre-tax income was $46.8 million compared to a loss of $1.5 million in the 2017 period. The increase was driven by a $46.2 million pre-tax gain on sale of Care.

Tiptree Capital Operating Results - Non-GAAP ⁽¹⁾ 

	Three Months Ended March 31,
($ in thousands)	Invested Capital (1)				Adjusted EBITDA (1)
	2018		2017		2018			2017
Asset management - fees, net(2)	$	1,584	$	4,376	$	615		$	413
Asset management - credit investments	2,580		34,098		277			5,168
Mortgage	30,890		25,291		289			839
Other	112,190		16,128		(1,812		)	144
Care - Discontinued Operations(3)	—		110,859		6,136			2,966
Tiptree Capital	$	147,244	$	190,752	$	5,505		$	9,530

(1) For further information relating to Invested Capital and Adjusted EBITDA, including a reconciliation to GAAP financials, see “—Non-GAAP Reconciliations.”

(2) Includes management and incentive fees net of operating expenses including compensation.

(3) Includes discontinued operations related to Care. For more information, see “Note—(3) Dispositions, Assets Held for Sale & Discontinued Operations.”

Invested Capital

Invested Capital declined from $190.8 million as of March 31, 2017 to $147.2 million as of March 31, 2018. As a result of the asset sales in 2017, cash held at Tiptree corporate increased from $13.2 million as of March 31, 2017 to $47.8 million as of March 31, 2018.

Adjusted EBITDA

Adjusted EBITDA for Tiptree Capital declined from $9.5 million in the 2017 period to $5.5 million in the 2018 period. The decline was primarily driven by a $4.7 million reduction in asset management income as a result of reduced CLO distributions, gains on CLO investments and lower incentive fees on older CLOs. Mortgage Adjusted EBITDA also declined period-over-period by $0.6 million as volume declined from the 2017 period.

Adjusted EBITDA for our senior housing investments that are carried in discontinued operations was $6.1 million, up period-over-period driven by the impact of the gain on sale (net of accumulated depreciation and amortization). This was partially offset by unrealized losses on the Invesque shares of $3.2 million.

Corporate

($ in thousands)	Three Months Ended March 31,
	2018		2017
Employee compensation and benefits	$	1,440	$	1,498
Employee incentive compensation expense	2,249		1,702
Interest expense	628		1,280
Depreciation and amortization expenses	62		63
Other expenses	2,335		2,186
Total expenses	$	6,714	$	6,729

Results

Corporate expenses include expenses of the holding company for interest, employee compensation and benefits, and other costs. Corporate employee compensation and benefits includes the expense of management, legal and accounting staff. Other expenses primarily consisted of audit and professional fees, insurance, office rent and other related expenses.

Employee compensation and benefits increased $0.5 million from the 2017 period to the 2018 period driven by increased incentive compensation expense primarily associated with stock-based compensation. Interest expense for the three months ended March 31, 2018 was $0.6 million, a reduction of $0.7 million, which decreased in the 2018 period compared to 2017 as a result of decreased borrowings. As of March 31, 2018 the outstanding borrowings were $28.0 million compared to $58.0 million at March 31, 2017. Other expenses were $2.3 million for 2018 as compared to $2.2 million in 2017. The modest period-over-period increase was driven by audit fees and expenses associated with the tax law changes.

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Provision for income taxes

Provision for income taxes - Total Operations

The total income tax expense of $10.8 million for the three months ended March 31, 2018 and total income tax expense of $1.2 million for the three months ended March 31, 2017 is reflected as a component of net income (loss). For the three months ended March 31, 2018, the Company’s effective tax rate was equal to 27.1%, which does not bear a customary relationship to the U.S. federal statutory income tax rate. The effective rate for the three months ended March 31, 2018 is higher than the U.S. federal statutory income tax rate of 21%, primarily from state taxes on the gain on sale of Care.

Provision for income taxes - Continuing Operations

The Company had a tax benefit from continuing operations of $1.6 million for the three months ended March 31, 2018 as compared to a tax expense of $1.2 million for the three months ended March 31, 2017. The effective tax rate on income from continuing operations for the three months ended March 31, 2018 was approximately 22.3% compared to 40.6% for the three months ended March 31, 2017. Differences from the U.S. federal statutory income tax rate for the three months ended March 31, 2018 are primarily the result of the dividends received deduction offset by other discrete items.

For the three months ended March 31, 2017, the Company’s effective tax rate on income from continuing operations was equal to 40.6%, which does not bear a customary relationship to the U.S. federal statutory income tax rate. The effective tax rate for the three months ended March 31, 2017 was higher than the U.S. federal statutory income tax rate of 35.0%, primarily from state taxes and other discrete items.

Balance Sheet Information - as of March 31, 2018 compared to the year ended December 31, 2017

Tiptree’s total assets were $1.7 billion as of March 31, 2018, compared to $2.0 billion as of December 31, 2017. The $300.8 million decrease in assets is primarily attributable to the sale of Care in the three months ended March 31, 2018. Additionally, loans at fair value and amortized cost and assets held for sale decreased, partially offset by increases in equity securities, notes and accounts receivable and reinsurance receivable. In addition, the combination of unearned premiums and deferred revenues increased as a result of growth in written premiums and extending contract durations in the insurance business.

Total Tiptree Inc. stockholders’ equity was $320.1 million as of March 31, 2018 compared to $300.1 million as of December 31, 2017, primarily driven by net income in the three months ended March 31, 2018. As of March 31, 2018 there were 29,805,453 shares of Tiptree Class A common stock outstanding, net of Treasury shares held at a subsidiary, as compared to 28,387,616 as of December 31, 2017.

NON-GAAP RECONCILIATIONS

EBITDA and Adjusted EBITDA - Non-GAAP

The Company defines EBITDA as GAAP net income of the Company adjusted to add consolidated interest expense, consolidated income taxes and consolidated depreciation and amortization expense as presented in its financial statements and Adjusted EBITDA as EBITDA adjusted to (i) subtract interest expense on asset-specific debt incurred in the ordinary course of its subsidiaries’ business operations, (ii) adjust for the effect of purchase accounting, (iii) adjust for non-cash fair value adjustments, and (iv) any significant non-recurring expenses.

($ in thousands)	Three Months Ended March 31,
	2018			2017
Net income (loss) available to Class A common stockholders	$	23,560		$	1,100
Add: net (loss) income attributable to noncontrolling interests	5,446			242
Less: net income from discontinued operations	34,481			(1,128		)
Income (loss) from continuing operations	$	(5,475	)	$	2,470
Consolidated interest expense	5,946			6,078
Consolidated income tax expense (benefit)	(1,568		)	1,568
Consolidated depreciation and amortization expense	2,957			3,554
EBITDA from Continuing Operations	$	1,860		$	13,670
Asset-based interest expense(1)	(2,094		)	(3,163		)
Effects of purchase accounting (2)	(248		)	(464		)
Non-cash fair value adjustments (3)	66			513
Non-recurring expenses (4)	(376		)	(1,736		)
Adjusted EBITDA from Continuing Operations	$	(792	)	$	8,820

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($ in thousands)	Three Months Ended March 31,
	2018			2017
Income (loss) from discontinued operations	$	34,481		$	(1,128	)
Consolidated interest expense	1,252			2,701
Consolidated income tax expense (benefit)	12,327			(402		)
Consolidated depreciation and amortization expense	—			4,255
EBITDA from discontinued operations	$	48,060		$	5,426
Asset based interest expense(1)	(1,252		)	(2,701		)
Non-cash fair value adjustments (3)	(40,672		)	—
Non-recurring expenses (4)	—			241
Adjusted EBITDA from discontinued operations	$	6,136		$	2,966
Total Adjusted EBITDA	$	5,344		$	11,786

(1)	The consolidated asset-based interest expense is subtracted from EBITDA to arrive at Adjusted EBITDA. This includes interest expense associated with asset-specific debt at subsidiaries in the specialty insurance, asset management, mortgage and other operations.
(2)	Following the purchase accounting adjustments, current period expenses associated with deferred costs were more favorably stated and current period income associated with deferred revenues were less favorably stated. Thus, the purchase accounting effect related to Fortegra increased EBITDA above what the historical basis of accounting would have generated. The impact of this purchase accounting adjustments have been reversed to reflect an adjusted EBITDA without such purchase accounting effect.
(3)	For Reliance, within our mortgage operations, Adjusted EBITDA excludes the impact of changes in contingent earn-outs. For our specialty insurance operations, depreciation and amortization on senior living real estate that is within net investment income is added back to Adjusted EBITDA. For Care (Discontinued Operations), the reduction in EBITDA is related to accumulated depreciation and amortization, and certain operating expenses, which were previously included in Adjusted EBITDA in prior periods.
(4)	Acquisition, start-up and disposition costs including legal, taxes, banker fees and other costs. Also includes payments pursuant to a separation agreement, dated as of November 10, 2015.

EBITDA and Adjusted EBITDA - Non-GAAP

The tables below present EBITDA and Adjusted EBITDA by business component.

	Three Months Ended March 31, 2018
				Tiptree Capital
($ in thousands)	Specialty insurance			Asset Management		Mortgage			Other			Discontinued Operations(1)			Tiptree Capital			Corporate Expenses			Total
Pre-tax income/(loss) from continuing ops	$	1,343		$	892	$	153		$	(2,717	)	$	—		$	(1,672	)	$	(6,714	)	$	(7,043	)
Pre-tax income/(loss) from discontinued ops	—			—		—			—			46,808			46,808			—			46,808
Add back:
Interest expense	4,533			—		300			485			1,252			2,037			629			7,199
Depreciation and amortization expenses	2,722			—		136			37						173			62			2,957
EBITDA	$	8,598		$	892	$	589		$	(2,195	)	$	48,060		$	47,346		$	(6,023	)	$	49,921
EBITDA adjustments:
Asset-specific debt interest	(1,309		)	—		(300		)	(485		)	(1,252		)	(2,037		)	—			(3,346		)
Effects of purchase accounting	(248		)	—		—			—			—			—			—			(248		)
Non-cash fair value adjustments	66			—		—			—			(40,672		)	(40,672		)	—			(40,606		)
Non-recurring expenses	1,086			—		—			868			—			868			(2,331		)	(377		)
Adjusted EBITDA	$	8,193		$	892	$	289		$	(1,812	)	$	6,136		$	5,505		$	(8,354	)	$	5,344

(1) Includes discontinued operations related to Care. For more information, see “Note—(3) Dispositions, Assets Held for Sale & Discontinued Operations.”

	Three Months Ended March 31, 2017
				Tiptree Capital
($ in thousands)	Specialty insurance			Asset Management		Mortgage			Other			Discontinued Operations(1)			Tiptree Capital			Corporate Expenses			Total
Pre-tax income/(loss) from continuing ops	$	4,801		$	5,581	$	301		$	84		$	—		$	5,966		$	(6,729	)	$	4,038
Pre-tax income/(loss) from discontinued ops	—			—		—			—			(1,530		)	(1,530		)	—			(1,530		)
Add back:
Interest expense	3,445			—		216			1,137			2,701			4,054			1,280			8,779
Depreciation and amortization expenses	3,294			—		138			60			4,255			4,453			62			7,809
EBITDA	$	11,540		$	5,581	$	655		$	1,281		$	5,426		$	12,943		$	(5,387	)	$	19,096
EBITDA adjustments:
Asset-specific debt interest	(1,810		)	—		(216		)	(1,137		)	(2,701		)	(4,054		)	—			(5,864		)
Effects of purchase accounting	(464		)	—		—			—			—			—			—			(464		)
Non-cash fair value adjustments	113			—		400			—			—			400			—			513
Non-recurring expenses	—			—		—			—			241			241			(1,736		)	(1,495		)
Adjusted EBITDA	$	9,379		$	5,581	$	839		$	144		$	2,966		$	9,530		$	(7,123	)	$	11,786

(1) Includes discontinued operations related to Care. For more information, see “Note—(3) Dispositions, Assets Held for Sale & Discontinued Operations.”

Book Value per share, as exchanged - Non-GAAP

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Book value per share, as exchanged assumes full exchange of the limited partners units of TFP for Tiptree Class A common stock. Management believes the use of this financial measure provides supplemental information useful to investors as book value is frequently used by the financial community to analyze company growth on a relative per share basis. The following table provides a reconciliation between total stockholders’ equity and total shares outstanding, net of treasury shares.

($ in thousands, except per share information)	Three Months Ended March 31,
	2018		2017
Total stockholders’ equity	$	407,660	$	393,838
Less non-controlling interest - other	5,430		22,970
Total stockholders’ equity, net of non-controlling interests - other	$	402,230	$	370,868
Total Class A shares outstanding (1)	29,922		28,492
Total Class B shares outstanding	8,049		8,049
Total shares outstanding	37,971		36,541
Book value per share, as exchanged	$	10.59	$	10.15

(1) As of March 31, 2018, excludes 5,197,551 shares of Class A common stock held by a consolidated subsidiary of the Company. See Note—(21) Earnings Per Share, for further discussion of potential dilution from warrants.

Invested & Total Capital - Non-GAAP

Invested Capital represents its total cash investment, including any re-investment of earnings, and acquisition costs, net of tax. Total Capital represents Invested Capital plus Corporate Debt.

($ in thousands)	Three Months Ended March 31,
	2018		2017
Total stockholders’ equity	$	407,660	$	393,838
Less non-controlling interest - other	5,430		22,970
Total stockholders’ equity, net of non-controlling interests - other	$	402,230	$	370,868
Plus Specialty Insurance accumulated depreciation and amortization, net of tax	37,599		30,491
Plus Care accumulated depreciation and amortization - discontinued operations, net of tax and NCI	—		23,965
Plus acquisition costs	4,161		7,563
Invested Capital	$	443,990	$	432,887
Plus corporate debt	$	188,000	$	205,626
Total Capital	$	631,990	$	638,513

Specialty Insurance - Underwriting Margin - Non-GAAP

Underwriting margin is a measure of the underwriting profitability of our specialty insurance operations. It represents net earned premiums, service and administrative fees, ceding commissions and other income less policy and contract benefits and commission expense. We use the combined ratio as an insurance operating metric to evaluate our underwriting performance, both overall and relative to peers. Expressed as a percentage, it represents the relationship of policy and contract benefits, commission expense (net of ceding commissions), employee compensation and benefits, and other expenses to net earned premiums, service and administrative fees, and other income. The following table provides a reconciliation between underwriting margin and pre-tax income for the following periods:

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($ in thousands)	Three Months Ended March 31,
Revenues:	2018			2017
Net earned premiums	$	101,645		$	89,231
Service and administrative fees	24,576			23,776
Ceding commissions	2,283			2,271
Other income	696			1,065
Underwriting Revenues - Non-GAAP	$	129,200		$	116,343
Less underwriting expenses:
Policy and contract benefits	36,626			32,992
Commission expense	62,633			56,793
Underwriting Margin - Non-GAAP	$	29,941		$	26,558
Less operating expenses:
Employee compensation and benefits	10,949			11,009
Other expenses	11,192			9,512
Combined Ratio	93.9		%	94.7		%
Plus investment revenues:
Net investment income	4,205			4,505
Net realized and unrealized gains	(3,407		)	998
Less other expenses:
Interest expense	4,533			3,445
Depreciation and amortization expenses	2,722			3,294
Pre-tax income (loss)	$	1,343		$	4,801

Specialty Insurance Investment Portfolio - Non-GAAP

The following table provides a reconciliation between total investments and net investments for the following periods:

($ in thousands)	Three Months Ended March 31,
	2018			2017
Total Investments	$	467,180		$	474,174
Investment portfolio debt (1)	(96,594		)	(149,557		)
Cash and cash equivalents	27,230			22,467
Restricted cash (2)	3,108			14,290
Receivable due from brokers (3)	2,929			4,037
Liability due to brokers (3)	(4,164		)	(4,698		)
Net investments - Non-GAAP	$	399,689		$	360,713

(1) Consists of asset-based financing on loans, at fair value including certain credit investments and NPLs, net of deferred financing costs, see Note—(10) Debt, net for further details.

(2) Restricted cash available to invest within certain credit investment funds which are consolidated under GAAP.

(3) Receivable due from and Liability due to brokers for unsettled trades within certain credit investment funds which are consolidated under GAAP.

LIQUIDITY AND CAPITAL RESOURCES

Our principal sources of liquidity are unrestricted cash, cash equivalents and other liquid investments and distributions from operating subsidiaries, including income from our investment portfolio and sales of investments. We intend to use our cash resources to continue to fund our operations and grow our businesses. We may seek additional sources of cash to fund acquisitions or investments. These additional sources of cash may take the form of debt or equity and may be at the parent, subsidiary or asset level. We are a holding company and our liquidity needs are primarily for interest payments on the Fortress credit facility, compensation, professional fees, office rent and insurance costs.

Our subsidiaries’ ability to generate sufficient net income and cash flows to make cash distributions will be subject to numerous business and other factors, including restrictions contained in our subsidiaries’ financing agreements, regulatory restrictions, availability of sufficient funds at such subsidiaries, general economic and business conditions, tax considerations, strategic plans, financial results and other factors such as target capital ratios and ratio levels anticipated by rating agencies to maintain or improve current ratings. We expect our cash and cash equivalents and distributions from operating subsidiaries and our subsidiaries’ access to financing to be adequate to fund our operations for at least the next 12 months.

As of March 31, 2018, we had cash and cash equivalents, excluding restricted cash, of $81.2 million, compared to $110.7 million at December 31, 2017, a decrease of $29.4 million.

Our mortgage businesses rely on short term uncommitted sources of financing as a part of their normal course of operations.  To date, we have been able to obtain and renew uncommitted warehouse credit facilities. If we were not able to obtain financing, then we may need to draw on other sources of liquidity to fund our mortgage business. See Note—(10) Debt, net for additional information regarding our mortgage warehouse borrowings.

15

For purposes of determining enterprise value and Adjusted EBITDA, we consider corporate credit agreements and preferred trust securities, which we refer to as corporate debt, as corporate financing and associated interest expense is added back. The below table outlines this amount by debt outstanding and interest expense at the insurance company and corporate level.

Corporate Debt

($ in thousands)	Corporate Debt outstanding as of March 31,				Interest expense for the three months ended March 31,
	2018		2017		2018		2017
Specialty insurance	$	160,000	$	147,626	$	3,222	$	1,635
Corporate	28,000		58,000		629		1,280
Total	$	188,000	$	205,626	$	3,851	$	2,915

Our intermediate holding company has a credit facility with Fortress which carries a rate of LIBOR (with a minimum LIBOR rate of 1.25%), plus a margin of 6.50% per annum. We are required to make quarterly principal payments of $0.5 million, subject to adjustment based on the Net Leverage Ratio (as defined in the credit agreement) at the end of each fiscal quarter. The outstanding debt under the Fortress credit agreement was $28.0 million as of March 31, 2018 compared to $28.5 million as of December 31, 2017. On May 4, 2018, we amended the Fortress credit agreement to increase the amount outstanding to $75 million, subject to a six month make whole on prepayments, extend the maturity date to September 18, 2020 and lower the interest rate margin to 5.50%. See Note (22) Subsequent Events for additional information.

On October 16, 2017, Fortegra completed an offering of $125 million Junior Subordinated Notes due 2057. The Notes contain customary financial covenants that require, among other items, maximum leverage and limitations on restricted payments under certain circumstances.  As a result, in certain adverse circumstances, such limitations could restrict our ability to grow, or limit the dividends to the holding company to pay our obligations. Substantially all of the net proceeds from the Notes were used to repay existing indebtedness. We believe these funds will reposition Fortegra’s balance sheet, strengthen the Company’s positioning with industry rating agencies, and generate a source of long term capital. See Note (10) Debt, net for additional information of our debt and that of our subsidiaries.

Consolidated Comparison of Cash Flows

Summary Consolidated Statements of Cash Flows - Three Months Ended March 31, 2018 and March 31, 2017

($ in thousands)	Three months ended March 31,
	2018			2017
Operating activities
Operating activities - (excluding VIEs)	$	3,451		$	50,497
Operating activities - VIEs	—			(1,333		)
Total cash provided by (used in) operating activities	3,451			49,164
Investing activities
Investing activities - (excluding VIEs)	(20,986		)	6,605
Investing activities - VIEs	—			21,618
Total cash provided by (used in) investing activities	(20,986		)	28,223
Financing activities
Financing activities - (excluding VIEs)	(32,809		)	(48,799		)
Financing activities - VIEs	—			(21,410		)
Total cash provided by (used in) financing activities	(32,809		)	(70,209		)
Net increase (decrease) in cash	$	(50,344	)	$	7,178

16

Three Months Ended March 31, 2018

Operating Activities

Cash provided by operating activities (excluding VIEs) was $3.5 million for the three months ended March 31, 2018. The primary sources of cash from operating activities included mortgage sales outpacing originations in our loan origination business and increases in unearned premiums, reinsurance payable and policy liabilities in our specialty insurance segment. The primary uses of cash from operating activities including increases in reinsurance receivables and notes and account receivable in our specialty insurance segment.

Investing Activities

Cash used in investing activities (excluding VIEs) was $21.0 million for the three months ended March 31, 2018. The primary uses of cash from investing activities were purchases of investments exceeding proceeds from sales and maturities of investments in our specialty insurance segment. The primary sources of cash from investing activities were proceeds from the sale of Care and proceeds from the sale of REO properties in our specialty insurance segment.

Financing Activities

Cash used in financing activities (excluding VIEs) was $32.8 million for the three months ended March 31, 2018. The primary uses of cash from financing activities were principal paydowns on asset backed financing in our specialty insurance segment and principal paydowns exceeding new borrowings on debt facilities in our mortgage business.

Three Months Ended March 31, 2017

Operating Activities

Cash provided by operating activities (excluding VIEs) was $50.5 million for the three months ended March 31, 2017. The primary sources of cash from operating activities included mortgage loan sales outpacing originations in our mortgage business, and increases in reinsurance payable in our specialty insurance business. The primary uses of cash from operating activities included an increase in reinsurance receivables and accounts and premiums receivables in our specialty insurance business.

Cash used in operating activities - VIEs was $1.3 million for the three months ended March 31, 2017.

Investing Activities

Cash provided by investing activities (excluding VIEs) was $6.6 million for the three months ended March 31, 2017. The primary sources of cash from investing activities included a net decrease in asset backed loans, and sales and maturities of investments outpacing purchases. The primary uses of cash from investing activities included investments in real estate properties in our senior living business and net increases in notes receivable in our specialty insurance business.

Cash provided by investing activities - VIEs was $21.6 million for the three months ended March 31, 2017 driven primarily by loan payments and sales in Telos 7.

Financing Activities

Cash used in financing activities (excluding VIEs) was $48.8 million for the three months ended March 31, 2017. The primary uses of cash from financing activities were from from principal payments on mortgage warehouse facilities exceeding new borrowings, partially offset by new borrowings in our senior living business to fund investments in real estate.

Cash used in financing activities - VIEs was $21.4 million for the three months ended March 31, 2017 driven primarily by payments on debt in Telos 7.

Contractual Obligations

The table below summarizes Tiptree’s consolidated contractual obligations by period for payments that are due as of March 31, 2018:

($ in thousands)	Less than 1 year		1-3 years		3-5 years		More than 5 years		Total
Corporate Debt	$	28,000	$	—	$	—	$	160,000	$	188,000
Asset Based	38,795		5,489		97,928		—		142,212
Total Debt	$	66,795	$	5,489	$	97,928	$	160,000	$	330,212

17

($ in thousands)	Less than 1 year		1-3 years		3-5 years		More than 5 years		Total
Operating lease obligations (2)	5,045		11,600		9,704		19,705		46,054
Total	$	71,840	$	17,089	$	107,632	$	179,705	$	376,266

(1) See Note (10) Debt, net, in the accompanying consolidated financial statements for additional information.

(2) Minimum rental obligation for Tiptree, Reliance, Luxury and Fortegra office leases. The total rent expense for the Company for the three months ended March 31, 2018 and 2017 was $1.5 million and $1.7 million, respectively.

Critical Accounting Policies and Estimates

The preparation of our financial statements in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect the amounts reported in our financial statements and accompanying notes. Actual results could differ materially from those estimates. There have been no material changes to the critical accounting policies and estimates as discussed in our 2017 Annual Report on Form 10-K.

Recently Adopted and Issued Accounting Standards

For a discussion of recently adopted and issued accounting standards see the section “Recent Accounting Standards” in Note (2) Summary of Significant Accounting Policies of the notes to the accompanying consolidated financial statements.

OFF-BALANCE SHEET ARRANGEMENTS

In the normal course of business, we enter into various off-balance sheet arrangements including entering into derivative financial instruments and hedging transactions, operating leases and sponsoring and owning interests in consolidated and non-consolidated variable interest entities.

Further disclosure on our off-balance sheet arrangements as of March 31, 2018 is presented in the “Notes to Consolidated Financial Statements” in “Part II. Item 8. Financial Statements and Supplementary Data” of this filing as follows:

• Note (9) Derivative Financial Instruments and Hedging

• Note (20) Commitments and Contingencies

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Our 2017 Annual Report on Form 10-K described our Quantitative and Qualitative Disclosures About Market Risk. Other than the below, there were no material changes to the assumptions or risks during the three months ended March 31, 2018.

As of March 31, 2018, we owned 16.43 million shares of common stock, or approximately 34%, of Invesque, a real estate investment company that specializes in health care real estate and senior living property investment throughout North America. Pursuant to the Investor Rights Agreement, we have agreed to restrictions on the sale of our Invesque shares for a period ranging from 6 months to 18 months. The value of our Invesque shares will be reported at fair market value on a quarterly basis and may fluctuate. Invesque has historically paid monthly dividends but there can be no assurance that Invesque will continue to pay dividends in the same frequency or amount. A loss in the fair market value of our Invesque shares or a reduction or discontinuation in the dividends paid on our Invesque shares could have a material adverse effect on our financial condition and results of operations.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

The Company’s management, with the participation of the Company’s Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the Company’s disclosure controls and procedures (as such term defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (Exchange Act) as of the end of the period covered by this report. The Company’s disclosure controls and procedures are designed to provide reasonable assurance that information is recorded, processed, summarized and reported accurately and on a timely basis. Based on such evaluation, the Company’s Chief Executive Officer and Chief Financial Officer have concluded that, as of the end of such period, the Company’s disclosure controls and procedures are effective.

Changes in Internal Control over Financial Reporting

18

There have not been any changes in the Company’s internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d- 15(f) under the Exchange Act) during the fiscal quarter to which this report relates that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

Fortegra is a defendant in Mullins v. Southern Financial Life Insurance Co., which was filed in February 2006, in the Pike Circuit Court, in the Commonwealth of Kentucky. A class was certified in June 2010. At issue is the duration or term of coverage under certain disability and life credit insurance policies. The action alleges violations of the Consumer Protection Act and certain insurance statutes, as well as common law fraud and seeks compensatory and punitive damages, attorney fees and interest. To date, the court has not awarded sanctions in connection with Plaintiffs’ April 2012 Motion for Sanctions. In January 2015, the trial court issued an Order denying Fortegra’s motion to decertify the class, which was upheld on appeal. Following a February 2017 hearing, the court denied Fortegra’s Motion for Summary Judgment as to certain disability insurance policies. In January 2018, in response to a Plaintiffs’ motion, the court vacated its November 2017 order granting Fortegra’s Motion for Summary Judgment as to the life certificates at issue with leave to refile. No trial or additional hearings are currently scheduled.

In management’s opinion, based on information available at this time, the ultimate resolution of such litigation, which it is vigorously defending, should not be materially adverse to the financial position of Tiptree. It should be noted that large punitive damage awards, bearing little relation to actual damages sustained by plaintiffs, have been awarded in certain states against other companies in the credit insurance business. At this time, the Company cannot reasonably estimate a range of loss.

Tiptree and its subsidiaries are parties to other legal proceedings in the ordinary course of business. Although Tiptree’s legal and financial liability with respect to such proceedings cannot be estimated with certainty, Tiptree does not believe that these proceedings, either individually or in the aggregate, are likely to have a material adverse effect on Tiptree’s financial position or results of operations.

Item 1A. Risk Factors

For information regarding factors that could affect our Company, results of operations and financial condition, see the risk factors discussed under Part I, Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. There have been no material change in those risk factors.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Purchases of Equity Securities by the Issuer and Affiliated Purchasers

Share repurchase activity for the three months ended March 31, 2018 was as follows:

Period	Purchaser	Total Number of Shares Purchased(1)	Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs
January 1, 2018 to March 31, 2018: Open Market Purchases	Tiptree Inc.	29,365	$	6.36	29,365	$	9,813,267
	Total	29,365	$	6.36	29,365	$	9,813,267

(1) On March 19, 2018, Tiptree engaged a broker in connection with a share repurchase program for the repurchase, by a subsidiary of the company, of up to $10 million of its outstanding Class A common stock. The Company expects the share purchases to be made from time to time in the open market or through privately negotiated transactions, or otherwise, subject to applicable laws and regulations. Unless otherwise completed or terminated earlier, the repurchase program will expire on March 19, 2019. The Board of Directors of Tiptree also authorized Tiptree to make additional block repurchases of $10 million in the aggregate from time to time in the open market or through privately negotiated transactions, or otherwise, subject to Tiptree’s Executive Committee’s discretion.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

19

Item 5. Other Information

None.

Item 6. Exhibits, Financial Statement Schedules

The following documents are filed as a part of this Form 10-Q:
Financial Statements (Unaudited):
Condensed Consolidated Balance Sheets as of March 31, 2018 and December 31, 2017	F- 3
Condensed Consolidated Statements of Operations for the three months ended March 31, 2018 and 2017	F- 4
Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2018 and 2017	F- 5
Condensed Consolidated Statement of Changes in Stockholders’ Equity for the period ended March 31, 2018 and 2017	F- 6
Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017	F- 8
Notes to Condensed Consolidated Financial Statements	F- 10
Exhibits:
The Exhibits listed in the Index of Exhibits, which appears immediately following the signature page, is incorporated herein by reference and is filed as part of this Form 10-Q.

20

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, Tiptree Inc. has duly caused this report to be signed on its behalf by the undersigned, there unto duly authorized.

		Tiptree Inc.
Date:	May 7, 2018	By:/s/ Michael Barnes
		Michael Barnes
		Executive Chairman
Date:	May 7, 2018	By:/s/ Jonathan Ilany
		Jonathan Ilany
		Chief Executive Officer
Date:	May 7, 2018	By:/s/ Sandra Bell
		Sandra Bell
		Chief Financial Officer

21

EXHIBIT INDEX

Exhibit No.	Description
10.1	Governance and Investor Rights Agreement, dated as of February 1, 2018, by and between Invesque Inc. and Tiptree Operating Company, LLC (previously filed as Exhibit 10.1 to the Registrant’s Current Report on Form 8-K (File No. 001-33549), filed on February 7, 2018 and herein incorporated by reference).
31.1	Certification of Executive Chairman pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).
31.2	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).
31.3	Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith).
32.1	Certification of Executive Chairman pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).
32.2	Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).
32.3	Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith).
101.INS	XBRL Instance Document*
101.SCH	XBRL Taxonomy Extension Schema Document*
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document*
101.LAB	XBRL Taxonomy Extension Label Linkbase Document*
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document*
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document*

* Attached as Exhibit 101 to this Quarterly Report on Form 10-Q are the following materials, formatted in XBRL (eXtensible Business Reporting Language): (i) the Condensed Consolidated Balance Sheets for March 31, 2018 and December 31, 2017, (ii) the Condensed Consolidated Statements of Operations for the three months ended March 31, 2018 and 2017, (iii) the Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2018 and 2017, (iv) the Condensed Consolidated Statements of Changes in Stockholders’ Equity for the period ended March 31, 2018, (v) the Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017 and (vi) the Notes to the Condensed Consolidated Financial Statements.

22

EX-31.1

EXHIBIT 31.1

CERTIFICATIONS

I, Michael Barnes, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Tiptree Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:	May 7, 2018	/s/ Michael Barnes
		Michael Barnes
		Executive Chairman

EX-31.2

EXHIBIT 31.2

CERTIFICATIONS

I, Jonathan Ilany, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Tiptree Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:	May 7, 2018	/s/ Jonathan Ilany
		Jonathan Ilany
		Chief Executive Officer

EX-31.3

EXHIBIT 31.3

CERTIFICATIONS

I, Sandra Bell, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Tiptree Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:	May 7, 2018	/s/ Sandra Bell
		Sandra Bell
		Chief Financial Officer

EX-32.1

EXHIBIT 32.1

Certification Pursuant to Section 18 U.S.C. Section 1350,

As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Annual Report of Tiptree Inc. (the “Company”) on Form 10-Q for the quarter ended March 31, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Michael Barnes, the Executive Chairman of the Company, certify pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that;

(i) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(ii) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Michael Barnes

Michael Barnes

Executive Chairman

Date: May 7, 2018

EX-32.2

EXHIBIT 32.2

Certification Pursuant to Section 18 U.S.C. Section 1350,

As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Annual Report of Tiptree Inc. (the “Company”) on Form 10-Q for the quarter ended March 31, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Jonathan Ilany, the Chief Executive Officer of the Company, certify pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that;

(i) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(ii) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Jonathan Ilany

Jonathan Ilany

Chief Executive Officer

Date: May 7, 2018

EX-32.3

EXHIBIT 32.3

Certification Pursuant to Section 18 U.S.C. Section 1350,

As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Annual Report of Tiptree Inc. (the “Company”) on Form 10-Q for the quarter ended March 31, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Sandra Bell, the Chief Financial Officer of the Company, certify pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that;

(i) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(ii) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Sandra Bell

Sandra Bell

Chief Financial Officer

Date: May 7, 2018

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Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 01, 2018
Entity Registrant Name	Tiptree Inc.
Entity Central Index Key	0001393726
Current Fiscal Year End Date	--12-31
Document Period End Date	Mar. 31, 2018
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Common Stock - Class A
Entity Common Stock, Shares Outstanding		37,862,072
Common Stock - Class B
Entity Common Stock, Shares Outstanding		0

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Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Assets:
Available for sale securities, at fair value	$ 212,809	$ 182,448
Loans, at fair value	239,331	258,173
Equity securities, at fair value	140,238	25,536
Other Investments	41,243	59,142
Total investments	633,621	525,299
Cash and cash equivalents	81,219	110,667
Restricted cash	19,336	31,570
Notes and accounts receivable, net	201,157	186,422
Reinsurance receivables	362,411	352,967
Deferred acquisition costs	143,146	147,162
Goodwill	91,562	91,562
Intangible assets, net	59,375	64,017
Other assets	42,122	31,584
Disposal Group, Including Discontinued Operation, Assets	54,857	448,492
Total assets	1,688,806	1,989,742
Liabilities:
Debt, net	320,508	346,081
Unearned premiums	521,085	503,446
Policy liabilities and unpaid claims	117,740	112,003
Deferred revenue	58,349	56,745
Reinsurance payable	96,178	90,554
Other liabilities and accrued expenses	117,818	121,321
Disposal Group, Including Discontinued Operation, Liabilities	49,468	362,818
Total liabilities	1,281,146	1,592,968
Stockholders’ Equity:
Preferred stock: $0.001 par value, 100,000,000 shares authorized, none issued or outstanding	0	0
Additional paid-in capital	294,678	295,582
Accumulated other comprehensive income (loss), net of tax	(1,483)	966
Retained earnings	60,741	38,079
Total Tiptree Inc. stockholders’ equity	320,148	300,077
Total stockholders’ equity	407,660	396,774
Total liabilities and stockholders’ equity	1,688,806	1,989,742
Common stock - Class A: $0.001 par value, 200,000,000 shares authorized, 35,003,004 and 35,003,004 shares issued and outstanding, respectively
Stockholders’ Equity:
Common stock	35	35
Class A and B Common stock held by subsidiaries	(33,823)	(34,585)
Common stock - Class B: $0.001 par value, 50,000,000 shares authorized, 8,049,029 and 8,049,029 shares issued and outstanding, respectively
Stockholders’ Equity:
Common stock	8	8
Class A and B Common stock held by subsidiaries	(8)	(8)
Tiptree Financial Partners, L.P.
Stockholders’ Equity:
Non-controlling interests	82,082	77,494
Noncontrolling interests - other
Stockholders’ Equity:
Non-controlling interests	$ 5,430	$ 19,203

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Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Total stockholders’ equity	$ 407,660	$ 396,774
Common stock - Class A: $0.001 par value, 200,000,000 shares authorized, 35,003,004 and 35,003,004 shares issued and outstanding, respectively
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	35,003,004	35,003,004
Common stock, shares outstanding	35,003,004	35,003,004
Treasury stock, shares	5,080,943	5,197,551
Common stock - Class B: $0.001 par value, 50,000,000 shares authorized, 8,049,029 and 8,049,029 shares issued and outstanding, respectively
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	8,049,029	8,049,029
Common stock, shares outstanding	8,049,029	8,049,029
Treasury stock, shares	8,049,029	8,049,029

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Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenues:
Earned premiums, net	$ 101,645	$ 89,231
Service and administrative fees	24,576	23,776
Ceding commissions	2,283	2,271
Net investment income	4,205	4,505
Net realized and unrealized gains (losses)	6,606	16,212
Other revenue	8,757	10,194
Total revenues	148,072	146,189
Expenses:
Policy and contract benefits	36,626	32,992
Commission expense	62,633	56,793
Employee compensation and benefits	27,788	29,030
Interest expense	5,946	6,078
Depreciation and amortization	2,957	3,554
Other expenses	19,165	17,619
Total expenses	155,115	146,066
Other Income and Expenses [Abstract]
Income attributable to consolidated CLOs	0	8,867
Expenses attributable to consolidated CLOs	0	4,952
Net income (loss) attributable to consolidated CLOs	0	3,915
Other Income	0	3,915
Net income (loss) before taxes from continuing operations	(7,043)	4,038
Less: provision (benefit) for income taxes	(1,568)	1,568
Net income (loss) from continuing operations	(5,475)	2,470
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operation, Income (Loss) from Discontinued Operation During Phase-out Period, before Income Tax	624	(1,530)
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax	46,184	0
Discontinued Operation, Tax Effect of Discontinued Operation	12,327	(402)
Less: Provision (benefit) for income taxes	12,327	(402)
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest	34,481	(1,128)
Net Income (Loss) Attributable to Parent [Abstract]
Net income (loss) before non-controlling interests	29,006	1,342
Net income (loss) attributable to Tiptree Inc. Class A common stockholders	23,560	1,100
Noncontrolling interest
Net Income (Loss) Attributable to Parent [Abstract]
Less: net (loss) income attributable to non-controlling interests	5,446	242
Tiptree Financial Partners, L.P. | Noncontrolling interest
Net Income (Loss) Attributable to Parent [Abstract]
Net income (loss) before non-controlling interests		208
Less: net (loss) income attributable to non-controlling interests	5,392	208
Noncontrolling interests - other | Noncontrolling interest
Net Income (Loss) Attributable to Parent [Abstract]
Net income (loss) before non-controlling interests		34
Less: net (loss) income attributable to non-controlling interests	$ 54	$ 34
Common Stock - Class A
Basic:
Basic, continuing operations, net	$ (0.15)	$ 0.07
Basic, discontinued operations, net	0.94	(0.03)
Basic earnings per share	0.79	0.04
Diluted:
Diluted, continuing operations, net	(0.15)	0.06
Diluted, discontinued operations, net	0.94	(0.03)
Diluted earnings per share	$ 0.79	$ 0.03
Weighted average number of Class A common shares:
Basic	29,861,496	28,424,824
Diluted	29,861,496	36,749,956
Dividends [Abstract]
Dividends declared per common share	$ 0.035	$ 0.030

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Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Other comprehensive income (loss), net of tax:
Net income (loss) before non-controlling interests	$ 29,006	$ 1,342
Unrealized gains (losses) on available-for-sale securities:
Unrealized holding gains (losses) arising during the period	(2,293)	678
Related tax (expense) benefit	504	(243)
Reclassification of (gains) losses included in net income	531	47
Related tax expense (benefit)	(116)	(16)
Unrealized gains (losses) on available-for-sale securities, net of tax	(1,374)	466
Interest rate swaps (cash flow hedges):
Unrealized gains (losses) on interest rate swaps	1,111	132
Related tax (expense) benefit	(276)	(48)
Reclassification of (gains) losses included in net income (1)	(3,845)	144
Related tax expense (benefit)	936	(45)
Unrealized (losses) gains on interest rate swaps from cash flow hedges, net of tax	(2,074)	183
Other comprehensive income (loss), net of tax	(3,448)	649
Comprehensive income (loss)	25,558	1,991
Comprehensive income (loss) attributable to Tiptree Inc. Class A common stockholders	21,111	1,607
Tiptree Financial Partners, L.P. | Noncontrolling interest
Other comprehensive income (loss), net of tax:
Net income (loss) before non-controlling interests		208
Interest rate swaps (cash flow hedges):
Less: comprehensive (loss) income attributable to non-controlling interests	4,829	324
Noncontrolling interests - other | Noncontrolling interest
Other comprehensive income (loss), net of tax:
Net income (loss) before non-controlling interests		34
Interest rate swaps (cash flow hedges):
Less: comprehensive (loss) income attributable to non-controlling interests	$ (382)	$ 60

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Consolidated Statement of Changes in Stockholders' Equity - USD ($) $ in Thousands	Total	Common stock Common Stock - Class A	Common stock Common Stock - Class B	Additional paid-in capital	Accumulated other comprehensive income (loss)	Retained earnings	Treasury Stock Common Stock - Class A	Treasury Stock Common Stock - Class B	Total stockholders’ equity to Tiptree Inc.	Tiptree Financial Partners, L.P.	Tiptree Financial Partners, L.P. Noncontrolling interest	Noncontrolling interests - other	Noncontrolling interests - other Noncontrolling interest
Capital, beginning of period at Dec. 31, 2016	$ 390,144	$ 35	$ 8	$ 297,391	$ 555	$ 37,974	$ (42,524)	$ (8)			$ 76,077		$ 20,636
Capital, beginning of period, shares at Dec. 31, 2016		(34,983,616)	(8,049,029)				6,596,000	8,049,029
Total stockholders’ equity to Tiptree Financial Inc. at Dec. 31, 2016	293,431
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Amortization of share-based incentive compensation	398			398					$ 398
Vesting of share-based incentive compensation		5,248					99,537
Vesting of share-based incentive compensation	33			(614)			$ 647		33
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent					507				507
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest											116		26
Other comprehensive income (loss), net of tax	649				649
Non-controlling interest contributions	1,318												1,318
Non-controlling interest distributions	(527)										(241)		(286)
Net changes in non-controlling interest	1,335			93					93		0		1,242
Dividends declared	(854)					(854)			(854)
Net income (loss) before non-controlling interests	1,342					1,100			1,100		208		34
Capital, end of period at Mar. 31, 2017	393,838	$ 35	$ 8	297,268	1,062	38,220	$ (41,877)	$ (8)			76,160		22,970
Capital, end of period, shares at Mar. 31, 2017		(34,988,864)	(8,049,029)				(6,496,463)	(8,049,029)
Total stockholders’ equity to Tiptree Financial Inc. at Mar. 31, 2017									294,708
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Non-controlling interests										$ 77,494		$ 19,203
Capital, beginning of period at Dec. 31, 2017	396,774	$ 35	$ 8	295,582	966	38,079	$ (34,585)	$ (8)
Capital, beginning of period, shares at Dec. 31, 2017		(35,003,004)	(8,049,029)				(5,197,551)	(8,049,029)
Total stockholders’ equity to Tiptree Financial Inc. at Dec. 31, 2017	300,077								300,077
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Amortization of share-based incentive compensation	1,233			585					585				648
Vesting of share-based incentive compensation							145,973
Vesting of share-based incentive compensation	(54)			(1,003)			$ 949		(54)
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent					(2,449)				(2,449)
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest											(563)		(436)
Other comprehensive income (loss), net of tax	$ (3,448)				(3,448)
Treasury Stock, Shares, Acquired	(29,365)						(29,365)
Treasury Stock, Value, Acquired, Cost Method	$ (187)						$ (187)		(187)
Non-controlling interest distributions	(241)										$ (241)		0
Net changes in non-controlling interest	(14,525)			(486)					(486)				$ (14,039)
Dividends declared	(898)					(898)			(898)
Net income (loss) before non-controlling interests	29,006								23,560
Capital, end of period at Mar. 31, 2018	407,660	$ 35	$ 8	$ 294,678	$ (1,483)	$ 60,741	$ (33,823)	$ (8)
Capital, end of period, shares at Mar. 31, 2018		(35,003,004)	(8,049,029)				(5,080,943)	(8,049,029)
Total stockholders’ equity to Tiptree Financial Inc. at Mar. 31, 2018	$ 320,148								$ 320,148
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Non-controlling interests										$ 82,082		$ 5,430

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Consolidated Statements of Cash Flow - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Operating Activities:
Net income (loss) available to common stockholders	$ 23,560	$ 1,100
Net income (loss)	29,006	1,342
Adjustments to reconcile net income to net cash provided by (used in) operating activities
Net realized and unrealized gains (losses)	6,606	16,212
Gain (Loss) on Disposition of Stock in Subsidiary	(46,184)	0
Net unrealized loss (gain) on interest rate swaps	0	(343)
Change in fair value of contingent consideration	0	554
Non cash compensation expense	1,233	1,798
Amortization/accretion of premiums and discounts	169	345
Depreciation and amortization expense	2,958	7,921
Provision for doubtful accounts	64	129
Amortization of deferred financing costs	329	665
Loss on extinguishment of debt	428	0
Deferred tax expense (benefit)	10,759	1,166
Mortgage loans originated for sale	(360,542)	(347,601)
Proceeds from the sale of mortgage loans originated for sale	390,747	405,637
(Increase) decrease in notes and accounts receivable	(15,234)	(10,253)
(Increase) decrease in reinsurance receivables	(9,444)	(15,540)
(Increase) decrease in deferred acquisition costs	4,016	4,896
(Increase) decrease in other assets	(19,139)	4,027
Increase (decrease) in unearned premiums	17,639	3,146
Increase (decrease) in policy liabilities and unpaid claims	5,737	1,232
Increase (decrease) in deferred revenue	1,604	(1,213)
Increase (Decrease) in Reinsurance Payables	5,624	19,148
Increase (decrease) in other liabilities and accrued expenses	(9,713)	(10,347)
Operating activities from consolidated CLOs	0	(1,333)
Net cash provided by (used in) operating activities	3,451	49,164
Investing Activities:
Purchases of investments	(103,857)	(43,024)
Proceeds from sales and maturities of investments	76,291	51,108
(Increase) decrease in loans owned, at amortized cost, net	0	19,393
Purchases of real estate capital expenditures	(592)	(500)
Proceeds from Sale of Real Estate Held-for-investment	4,200	2,028
Purchases of corporate fixed assets	(614)	(780)
Proceeds from Divestiture of Interest in Consolidated Subsidiaries	3,561	0
Proceeds from notes receivable	7,803	13,682
Issuance of notes receivable	(7,778)	(18,701)
Business and asset acquisitions, net of cash and deposits	0	(16,601)
Investing activities from consolidated CLOs	0	21,618
Net cash provided by (used in) investing activities	(20,986)	28,223
Financing Activities:
Non-controlling interest contributions	0	1,318
Non-controlling interest distributions	(241)	(527)
Payment of debt issuance costs	(346)	(88)
Proceeds from borrowings and mortgage notes payable	363,590	384,933
Principal paydowns of borrowings and mortgage notes payable	(395,625)	(434,435)
Repurchase of common stock	(187)	0
Financing activities from CLOs	0	(21,410)
Net cash provided by financing activities	(32,809)	(70,209)
Net increase (decrease) in cash, cash equivalents and restricted cash	(50,344)	7,178
Cash, cash equivalents and restricted cash – beginning of period	142,237	74,258
Cash, cash equivalents and restricted cash – end of period	102,426	94,660
Less: Reclassification of cash to assets held for sale	1,871	15,497
Cash, cash equivalents and restricted cash– end of period	100,555	79,163
Supplemental Schedule of Non-Cash Investing and Financing Activities:
Assets of consolidated CLOs deconsolidated due to sale and redemption	0	405,263
Liabilities of consolidated CLOs deconsolidated due to sale and redemption	0	387,273
Equity securities acquired through the sale of a subsidiary and asset sales	134,083	0
Real estate acquired through asset acquisition	0	8,178
Intangible assets related to in-place leases acquired through asset acquisition	0	2,049
Debt assumed through acquisitions	0	7,586
Acquired real estate properties through, or in lieu of, foreclosure of the related loan	3,435	2,968
Additional Cash Flow Elements and Supplemental Cash Flow Information [Abstract]
Cash and cash equivalents	81,219
Restricted cash	19,336
Noncontrolling interest
Operating Activities:
Net income (loss) attributable to noncontrolling interests	5,446	242
Tiptree Financial Partners, L.P. | Noncontrolling interest
Operating Activities:
Net income (loss) attributable to noncontrolling interests	5,392	208
Net income (loss)		208
Noncontrolling interests - other | Noncontrolling interest
Operating Activities:
Net income (loss) attributable to noncontrolling interests	$ 54	34
Net income (loss)		$ 34

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Organization

3 Months Ended

Mar. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

Organization

Tiptree Inc. (together with its consolidated subsidiaries, collectively, Tiptree, the Company, or we) is a Maryland Corporation that was incorporated on March 19, 2007. Tiptree is a holding company that combines specialty insurance operations with investment management expertise. We allocate our capital across our insurance operations and investments in other companies and assets which are managed as part of Tiptree Capital. As of March 31, 2018, Tiptree Capital consists of asset management operations, mortgage operations and other investments. As such, we classify our business into three reportable segments: specialty insurance, asset management and mortgage.

Tiptree’s Class A common stock has been traded on the Nasdaq Capital Market under the symbol “TIPT” beginning in August of 2013. As of March 31, 2018, Tiptree’s primary asset is its ownership of Tiptree Financial Partners, L.P. (TFP) an intermediate holding company through which Tiptree operates its businesses.

As of March 31, 2018, Tiptree directly owned approximately 81% of TFP. The remaining 19% is owned by various limited partners and reported as non-controlling interest. All of Tiptree’s Class B common stock was owned by TFP and accounted for as treasury stock. On April 10, 2018, TFP merged with and into Tiptree Inc. See Note (22) Subsequent Events for more details of the merger and its impact on the organizational structure of the Company.

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Summary of Significant Accounting Policies (Notes)

3 Months Ended

Mar. 31, 2018

Accounting Policies [Abstract]

Significant Accounting Policies

Summary of Significant Accounting Policies

Basis of Presentation and Principles of Consolidation

The accompanying unaudited condensed consolidated financial statements of Tiptree have been prepared in accordance with generally accepted accounting principles in the United States of America (GAAP) and include the accounts of the Company and its subsidiaries. The condensed consolidated financial statements are presented in U.S. dollars, the main operating currency of the Company. The unaudited condensed consolidated financial statements presented herein should be read in conjunction with the annual audited financial statements included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2017. In the opinion of management, the accompanying unaudited interim financial information reflects all adjustments, including normal recurring adjustments necessary to present fairly the Company’s financial position, results of operations, comprehensive income and cash flows for each of the interim periods presented. The results of operations for the three months ended March 31, 2018 are not necessarily indicative of the results that may be expected for the full year ending on December 31, 2018.

As a result of changes in presentation made in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, certain prior period amounts related to discontinued operations have been reclassified from continuing operations to conform to the current presentation. These reclassifications had no effect on the reported results of operations. The primary difference in the presentation of the condensed consolidated financial statements from the prior year is the reclassification of Care, our senior living business, to discontinued operations in the condensed consolidated statement of operations. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations for additional information.

As a result of the adoption of ASU 2016-01, an immaterial amount of equity securities classified as available for sale as of December 31, 2017 were reclassified to equity securities, at fair value as of March 31, 2018. The net unrealized loss was immaterial. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows for the three months ended March 31, 2018 and 2017.

Tiptree consolidates those entities in which it has an investment of 50% or more of voting rights or has control over significant operating, financial and investing decisions of the entity as well as variable interest entities (VIEs) in which Tiptree is determined to be the primary beneficiary. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity risk for the entity to finance its activities without additional subordinated financial support from other parties.

A VIE is required to be consolidated only by its primary beneficiary, which is defined as the party who has the power to direct the activities of a VIE that most significantly impact its economic performance and who has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. Generally, Tiptree’s consolidated VIEs are entities which Tiptree is considered the primary beneficiary through its controlling financial interests.

Non-controlling interests on the condensed consolidated balance sheets represent the ownership interests in certain consolidated subsidiaries held by entities or persons other than Tiptree. Accounts and transactions between consolidated entities have been eliminated.

Use of Estimates

The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s condensed consolidated financial statements and accompanying notes. Management makes estimates and assumptions that include, but are not limited to, the determination of the following significant items:

• Fair value of financial assets and liabilities, including, but not limited to, securities, loans and derivatives

• Value of acquired assets and liabilities;

• Carrying value of goodwill and other intangibles, including estimated amortization period and useful lives;

• Reserves for unpaid losses and loss adjustment expenses, estimated future claims and losses, potential litigation and other claims;

• Valuation of contingent share issuances for compensation and purchase consideration, including estimates of number of shares and vesting schedules;

• Revenue recognition including, but not limited to, the timing and amount of insurance premiums, service, administration fees, and loan origination fees; and

• Other matters that affect the reported amounts and disclosure of contingencies in the condensed consolidated financial statements.

Although these and other estimates and assumptions are based on the best available estimates, actual results could differ materially from management’s estimates.

Business Combination Accounting

The Company accounts for business combinations by applying the acquisition method of accounting. The acquisition method requires, among other things, that the assets acquired and liabilities assumed in a business combination be measured at fair value as of the closing date of the acquisition. The net assets acquired may consist of tangible and intangible assets and the excess of purchase price over the fair value of identifiable net assets acquired, or goodwill. The determination of estimated useful lives and the allocation of the purchase price to the intangible assets requires significant judgment and affects the amount of future amortization and possible impairment charges. Contingent consideration, if any, is measured at fair value on the date of acquisition. The fair value of any contingent consideration liability is remeasured at each reporting date with any change recorded in other expense in the condensed consolidated statements of operations. Acquisition and transaction costs are expensed as incurred.

In certain instances, the Company may acquire less than 100% ownership of an entity, resulting in the recording of a non-controlling interest. The measurement of assets and liabilities acquired and non-controlling interest is initially established at a preliminary estimate of fair value, which may be adjusted during the measurement period, primarily due to the results of valuation studies applicable to the business combination.

Acquisitions that do not meet the criteria for the acquisition method of accounting are accounted for as acquisitions of assets.

Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. The three levels, from highest to lowest, are defined as follows:

•Level 1 – Unadjusted, quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

•Level 2 – Significant inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly through corroboration with observable market data. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability. The types of financial assets and liabilities carried at level 2 are valued based on one or more of the following:

a) Quoted prices for similar assets or liabilities in active markets;

b) Quoted prices for identical or similar assets or liabilities in nonactive markets;

c) Pricing models whose inputs are observable for substantially the full term of the asset or liability;

d) Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.

•Level 3 – Significant inputs that are unobservable inputs for the asset or liability, including the Company’s own data and assumptions that are used in pricing the asset or liability.

Fair Value Option

In addition to the financial instruments the Company is required to measure at fair value, the Company has elected to make an irrevocable election to utilize fair value as the initial and subsequent measurement attribute for certain eligible financial assets and liabilities. Unrealized gains and losses on items for which the fair value option has been elected are reported in Net realized and unrealized gains (losses) within the condensed consolidated statements of operations. The decision to elect the fair value option is determined on an instrument-by-instrument basis and must be applied to an entire instrument and is irrevocable once elected. Assets and liabilities measured at fair value pursuant to this guidance are reported separately in our condensed consolidated balance sheets from those instruments using another accounting method.

Recent Accounting Standards

Recently Adopted Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The amendments in this standard affects any entity that either enters into contracts with customers to transfer goods and services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. On July 9, 2015, the FASB decided to delay the effective date of ASU 2014-09 by one year. Reporting entities may choose to adopt the standard as of the original effective date. The deferral results in ASU 2014-09 being effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. A substantial majority of the Company’s non-investment related revenues are comprised of revenues from insurance contracts that are accounted for under Financial Services-Insurance (Topic 944) or certain financial services products (e.g. gains upon the origination of mortgages) that are not within the scope of the new standard.  The Company’s remaining revenues that are within the scope of Topic 606 are primarily comprised of revenues from contracts with customers for monthly membership dues for motor clubs, monthly administration fees for services provided for premiums, claims and reinsurance processing revenues, vehicle service contracts and warranty coverage revenues for household goods and appliances (collectively, remaining contracts). The Company has chosen the modified-retrospective method of adopting Topic 606, and has assessed these contracts and concluded that changes in accounting and revenue recognition upon adoption of Topic 606 was not material to the Company’s financial position as of January 1, 2018, and did not have a material impact on the Company’s condensed consolidated financial statements. No cumulative effect adjustment was made due to the adoption of this standard. See Note (13) Revenue From Contracts with Customers for disclosures required under ASU 2014-09 and others related to Topic 606.

In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, which makes targeted improvements to the recognition, measurement, presentation and disclosure of certain financial instruments. ASU 2016-01 focuses primarily on the accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for certain financial instruments. Among its provisions for public business entities, ASU 2016-01 eliminates the requirement to disclose the method(s) and significant assumptions used to estimate the fair value of financial instruments measured at amortized cost, requires the use of the exit price notion when measuring the fair value of financial instruments for disclosure purposes, requires the separate presentation in other comprehensive income of the change in fair value of a liability due to instrument-specific credit risk for a liability for which the reporting entity has elected the fair value option, requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) and clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. ASU 2016-01 was effective for the Company as of January 1, 2018. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), which clarify the implementation guidance on principal versus net considerations. The effective date and transition requirements for this standard are the same as the effective date and transition requirements of ASU 2014-09. See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, which clarifies guidance related to identifying performance obligations and licensing implementation guidance contained in the new revenue recognition standard. The Update includes targeted improvements based on input the FASB received from the Transition Resource Group for Revenue Recognition and other stakeholders. The Update seeks to proactively address areas in which diversity in practice potentially could arise, as well as to reduce the cost and complexity of applying certain aspects of the guidance both at implementation and on an ongoing basis. The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements in Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In May 2016, the FASB issued ASU 2016-11, Revenue Recognition (Topic 606) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting, which  rescinds SEC paragraphs pursuant to the SEC Staff Announcement, “Rescission of Certain SEC Staff Observer Comments upon Adoption of Topic 606,” and the SEC Staff Announcement, “Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or Equity,” announced at the March 3, 2016 Emerging Issues Task Force (EITF) meeting. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, which provides guidance on collectability, noncash consideration, and completed contracts at transition.  Additionally, the amendments in this Update provide a practical expedient for contract modifications at transition and an accounting policy election related to the presentation of sales taxes and other similar taxes collected from customers.  The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements for Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (COLIs) (including bank-owned life insurance policies (BOLIs)); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. The standard is effective for financial statements issued for fiscal years beginning after December 15, 2017 and interim periods within those annual periods. Early adoption is permitted, including the adoption in an interim period. The amendments in this Update should be applied using a retrospective transition method to each period presented. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18, Restricted Cash (a consensus of the FASB Emerging Issues Task Force), which addresses classification and presentation of changes in restricted cash on the statement of cash flows.ASU 2016-18 requires an entity’s reconciliation of the beginning-of-period and end-of-period total amounts shown on the statement of cash flows to include in cash and cash equivalents amounts generally described as restricted cash and restricted cash equivalents. The ASU does not define restricted cash or restricted cash equivalents, but an entity will need to disclose the nature of the restrictions. ASU 2016-18 is effective for public business entities for annual and interim periods in fiscal years beginning after December 15, 2017. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows in the first quarter of 2018.

In February 2017, the FASB issued ASU 2017-05, Other Income-Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets. The new guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2016. The guidance may be applied retrospectively for all periods presented or retrospectively with a cumulative-effect adjustment at the date of adoption. The new guidance clarifies the scope and accounting of a financial asset that meets the definition of an “in-substance nonfinancial asset” and defines the term, “in-substance nonfinancial asset.” The ASU also adds guidance for partial sales of nonfinancial assets. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting, which provided clarity as to what changes to the terms or conditions of share-based payment awards require an entity to apply modification accounting in Topic 718. ASU 2017-09 is effective for the Company for interim and annual periods beginning after December 15, 2017, with early adoption permitted, and is applied prospectively to changes in terms or conditions of awards occurring on or after the adoption date. The Company will consider the impact that this standard may have on future stock-based payment award modifications should they occur.

Recently Issued Accounting Pronouncements, Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e., lessees and lessors). The new standard requires lessees to apply a dual approach, classifying leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight-line basis over the term of the lease. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. Leases with a term of 12 months or less will be accounted for similar to existing guidance for operating leases today. The new standard requires lessors to account for leases using an approach that is substantially equivalent to existing guidance for sales-type leases, direct financing leases and operating leases. ASU 2016-02 supersedes the previous leases standard, Leases (Topic 840). The standard is effective on January 1, 2019, with early adoption permitted. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13 Financial Instruments -Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends guidance on reporting credit losses for assets held at amortized cost basis and available for sale debt securities. For assets held at amortized cost basis, Topic 326 eliminates the probable initial recognition threshold in current GAAP and, instead requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available for sale debt securities, credit losses should be measured in a manner similar to current GAAP, however Topic 326 will require that credit losses be presented as an allowance rather than as a write-down. This ASU affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments in ASU 2016-13 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The amendments will affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment. ASU 2017-04 does not change the qualitative assessment; however, it removes “the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test.” Instead, all reporting units, even those with a zero or negative carrying amount will apply the same impairment test. Therefore, as the FASB notes in the ASU’s Basis for Conclusions, the goodwill of reporting units with zero or negative carrying values will not be impaired, even when conditions underlying the reporting unit indicate that goodwill is impaired. Entities will, however, be required to disclose any reporting units with zero or negative carrying amounts and the respective amounts of goodwill allocated to those reporting units. The amendments in ASU 2017-04 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In March 2017, the FASB issued ASU 2017-08, Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities. The new guidance is effective for fiscal years beginning after December 15, 2018 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2017. The guidance is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The guidance shortens the amortization period for certain callable debt securities held at a premium, requiring the premium to be amortized to the earliest call date. The Company believes that the adoption of ASU 2017-08 will not have a material impact on its condensed consolidated financial statements.

In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, which amends the guidance on hedge accounting. The amendment will make more financial and nonfinancial hedging strategies eligible for hedge accounting and amend the presentation and disclosure requirements. It is intended to more closely align hedge accounting with companies’ risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. ASU 2017-12 can be adopted immediately in any interim or annual period. The mandatory effective date for calendar year-end public companies is January 1, 2019. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which permits companies to reclassify stranded tax effects caused by Public Law no. 115-97, commonly referred to as the Tax Cuts and Jobs Act (Tax Act) from accumulated other comprehensive income (AOCI) to retained earnings. Deferred tax assets (DTA) related to available for sale (AFS) securities unrealized gains and losses that were revalued as of December 31, 2017 created stranded tax effects in accumulated other comprehensive income (AOCI) due to the enactment of the tax act, due to the nature of existing GAAP requiring recognition of tax rate change effects on the DTA revaluation related to AFS securities as an adjustment to provision for income taxes. Specifically, ASU 2018-02 permits a reclassification from AOCI to retained earnings for stranded tax effects resulting from the Tax Act. Additionally, the ASU requires new disclosures by all companies, whether they opt to do the reclassification or not. The amendments in ASU 2018-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company believes that the adoption of ASU 2018-02 will not have a material impact on its consolidated financial statements.

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Dispositions, Assets Held for Sale and Discontinued Operations

3 Months Ended

Mar. 31, 2018

Discontinued Operations and Disposal Groups [Abstract]

Dispositions, Assets Held for Sale and Discontinued Operations

Dispositions, Assets Held for Sale and Discontinued Operations

Dispositions

On January 18, 2017 and November 7, 2017, the Company sold its ownership in the subordinated notes of Telos 5 and Telos 6 (collectively, the Disposed CLOs). As a result of the sales, the Company determined that it no longer had the controlling interest in such entities. The Company, therefore, deconsolidated its ownership in the subordinated notes of the Disposed CLOs and is no longer reporting the assets and liabilities of the Disposed CLOs in its consolidated balance sheet as of December 31, 2017. The operations of the Disposed CLOs were consolidated in the results of the Company through the respective dates.

The operations of the Disposed CLOs were consolidated in the Company’s consolidated financial statements through the respective sale dates. On August 10, 2017, the Company’s ownership in the subordinated notes of Telos 7 was redeemed for cash as part of the complete liquidation of the CLO. The operations of Telos 7 were consolidated in the results of the Company through the redemption date.

The Company sold Siena on October 1, 2017. Consideration consisted of $2,500 in cash and $11,000 of seller provided financing at the time of sale. The financing has an interest rate of 10% and matures on November 18, 2018. The operations of Siena were consolidated in the results of the Company through the sale date.

The Company completed the sale of Care, as well as two senior living properties held in our specialty insurance business on February 1, 2018. The Company received approximately 16.6 million shares of Invesque Inc. (Invesque) with an estimated fair value of $134.1 million at the time of sale, resulting in an ownership of approximately 34% of the acquiring company at the time of sale. The Company has elected to apply the fair value option to the investment in Invesque. As such, these shares are held at fair value within equity securities, at fair value.

The pre-tax comprehensive income on the sale was approximately $44.2 million, which consists of $46.2 million gain on sale of subsidiary, $1.8 million of realized gain on the sale of the specialty insurance properties, offset by the reclassification of the interest rate swap from AOCI of $3.8 million.

The Company has reclassified the income and expenses attributable to Care to net income (loss) from discontinued operations for the three months ended March 31, 2018 and 2017.

The Company has entered into a definitive agreement to sell Luxury and classified Luxury as held for sale as of December 31, 2017. The agreement did not meet the requirements to be classified as a discontinued operation. Assets and liabilities attributable to Luxury have been reclassified to assets held for sale and liabilities held for sale, respectively, as of March 31, 2018 and December 31, 2017.

As of March 31, 2018 and December 31, 2017, the Company did not record any impairments with respect to assets held for sale or discontinued operations.

Assets Held for Sale

The following table represents detail of assets and liabilities held for sale in the condensed consolidated balance sheets for the following periods:

	As of
	March 31, 2018(1)		December 31, 2017
Assets	Luxury		Care		Luxury		Total
Investments:
Loans, at fair value	$	51,113	$	—	$	57,255	$	57,255
Loans at amortized cost, net	—		700		—		700
Real estate, net of accumulated depreciation of $0 and $26,823	—		347,303		—		347,303
Other investments	791		1,853		677		2,530
Total Investments	51,904		349,856		57,932		407,788
Cash and cash equivalents	1,871		8,316		2,217		10,533
Notes and accounts receivable, net	203		5,318		263		5,581
Intangible assets, net of accumulated amortization of $0 and $26,944	—		17,417		—		17,417
Other assets	879		6,508		665		7,173
Assets held for sale	$	54,857	$	387,415	$	61,077	$	448,492
Liabilities
Debt, net	$	47,814	$	296,868	$	53,835	$	350,703
Other liabilities and accrued expenses	1,654		10,693		1,422		12,115
Liabilities held for sale	$	49,468	$	307,561	$	55,257	$	362,818

(1) Reflects the closing of the sale of Care discussed above. The reduction in net assets and liabilities held for sale included approximately $13.4 million related to non-controlling interest.

Discontinued Operations

The following table represents detail of revenues and expenses of discontinued operations in the condensed consolidated statements of operations for the following periods:

	Three months ended March 31,
	2018		2017
Revenues:
Rental and related revenue	$	6,476	$	17,403
Other revenue	149		316
Total revenues	6,625		17,719
Expenses:
Employee compensation and benefits	2,788		7,079
Interest expense	1,252		2,701
Depreciation and amortization	—		4,255
Other expenses	1,961		5,214
Total expenses	6,001		19,249
Net income (loss) before taxes from discontinued operations	624		(1,530		)
Gain on sale of discontinued operations, net	46,184		—
Less: provision (benefit) for income taxes	12,327		(402		)
Net income (loss) from discontinued operations	$	34,481	$	(1,128	)

The following table represents a summary of cash flows related to discontinued operation included in the condensed consolidated statements of cash flows for the following periods:

	Three Months Ended March 31,
	2018			2017
Net cash provided by (used in):
Operating activities	$	(2,095	)	$	3,698
Investing activities	(592		)	(17,397		)
Financing activities	(123		)	9,238
Net cash flows provided by discontinued operations	$	(2,810	)	$	(4,461	)

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Operating Segment Data

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Operating Segment Data

Operating Segment Data

Tiptree is a holding company that combines specialty insurance operations with investment management expertise. We allocate our capital across our insurance operations and investments which are managed as part of Tiptree Capital. Today, Tiptree Capital consists of asset management operations, mortgage operations and other investments. As such, we classify our business into three reportable segments– specialty insurance, asset management and mortgage. Corporate activities include holding company interest expense, employee compensation and benefits, and other expenses.

Each reportable segment’s income (loss) is reported before income taxes, discontinued operations and non-controlling interests. Segment results incorporate the revenues and expenses of these subsidiaries since they commenced operations or were acquired.

Descriptions of each of our reportable segments are as follows:

Insurance:

Specialty Insurance operations are conducted through Fortegra Financial Corporation (Fortegra), an insurance holding company. Fortegra underwrites and provides specialty insurance products, primarily in the United States, and is a leading provider of credit insurance and asset protection products. Fortegra’s range of products and services include credit protection insurance, warranty and service contract products, and insurance programs which underwrite niche personal and commercial lines of insurance. We also offer various other insurance related products and services throughout the U.S. through our non-regulated subsidiaries.

Tiptree Capital:

Asset Management operations are primarily conducted through Telos Asset Management LLC’s (Telos) management of CLOs. Telos is a subsidiary of Tiptree Asset Management Company, LLC (TAMCO), an SEC-registered investment advisor owned by the Company. Results include net income (loss) from consolidated CLOs.

Mortgage operations are conducted through Reliance. The Company’s mortgage origination business originated loans for sale to institutional investors, including GSEs and FHA/VA.

Other includes operations and investments that are not considered reportable segments. This includes the investment in Invesque not held in Specialty Insurance, Siena, which was sold on October 1, 2017, and Luxury which is classified as held for sale.

The tables below present the components of revenue, expense, pre-tax income (loss), and segment assets for each of the operating segments for the following period.

	Three Months Ended March 31, 2018
				Tiptree Capital
	Specialty insurance			Asset management			Mortgage			Other			Total
Total revenue	$	129,998		$	1,855		$	12,998		$	3,221		$	148,072
Total expense	(128,655		)	(963		)	(12,845		)	(5,938		)	(148,401		)
Corporate expense	—			—			—			—			(6,714		)
Income (loss) before taxes from continuing operations	$	1,343		$	892		$	153		$	(2,717	)	$	(7,043	)
Less: provision (benefit) for income taxes													(1,568		)
Net income (loss) from discontinued operations													34,481
Net income (loss) before non-controlling interests													$	29,006
Less: net income (loss) attributable to non-controlling interests													5,446
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	23,560

	Three Months Ended March 31, 2017
				Tiptree Capital
	Specialty insurance(1)			Asset management			Mortgage			Other			Total
Total revenue	$	121,846		$	2,973		$	12,828		$	8,542		$	146,189
Total expense	(117,045		)	(1,307		)	(12,527		)	(8,458		)	(139,337		)
Net income attributable to consolidated CLOs	—			3,915			—			—			3,915
Corporate expense	—			—			—			—			(6,729		)
Income (loss) before taxes from continuing operations	$	4,801		$	5,581		$	301		$	84		$	4,038
Less: provision (benefit) for income taxes													1,568
Net income (loss) from discontinued operations													(1,128		)
Net income (loss) before non-controlling interests													$	1,342
Less: net income (loss) attributable to non-controlling interests													242
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	1,100

The following table presents the segment assets for the following periods:
	Segment Assets as of March 31, 2018
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,375,162	$	4,717	$	82,253	$	171,817	$	1,633,949
Assets held for sale	—		—		—		54,857		54,857
Total assets									$	1,688,806
	Segment Assets as of December 31, 2017
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,367,437	$	5,537	$	90,260	$	78,016	$	1,541,250
Assets held for sale	—		—		—		448,492		448,492
Total assets									$	1,989,742

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Available for Sale Securities, at fair value

3 Months Ended

Mar. 31, 2018

Investments, Debt and Equity Securities [Abstract]

Investments in Available for Sale Securities

Investments

Investments by Segment

The following table presents investments by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	212,809	$	—	$	—	$	—	$	212,809
Loans, at fair value	186,574		—		52,757		—		239,331
Equity securities, at fair value	34,320		—		—		105,918		140,238
Other investments	33,477		2,796		4,407		563		41,243
Total	$	467,180	$	2,796	$	57,164	$	106,481	$	633,621
	As of December 31, 2017
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	182,448	$	—	$	—	$	—	$	182,448
Loans, at fair value	195,327		—		62,846		—		258,173
Equity securities, at fair value	25,536		—		—		—		25,536
Other investments	50,720		2,846		5,013		563		59,142
Total	$	454,031	$	2,846	$	67,859	$	563	$	525,299

(1) Investment income sourced from these investments is presented in Note (15) Other Revenue, Other Expenses and Other Income.

(2) Does not include items related to assets held for sale. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Available for Sale Securities, at fair value

All of the Company’s investments in available for sale securities as of March 31, 2018 and December 31, 2017 are held by subsidiaries in the specialty insurance business. The following tables present the Company's investments in available for sale securities:

	As of March 31, 2018
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	38,620	$	9	$	(653	)	$	37,976
Obligations of state and political subdivisions	55,093		44		(610		)	54,527
Corporate securities	72,520		7		(1,046		)	71,481
Asset backed securities	44,667		309		(524		)	44,452
Certificates of deposit	1,966		—		—			1,966
Obligations of foreign governments	2,412		3		(8		)	2,407
Total	$	215,278	$	372	$	(2,841	)	$	212,809
	As of December 31, 2017
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	48,399	$	20	$	(474	)	$	47,945
Obligations of state and political subdivisions	47,211		190		(420		)	46,981
Corporate securities	62,125		195		(345		)	61,975
Asset backed securities	23,369		182		(58		)	23,493
Certificates of deposit	896		—		—			896
Equity securities	595		10		(17		)	588
Obligations of foreign governments	562		9		(1		)	570
Total	$	183,157	$	606	$	(1,315	)	$	182,448

The following tables summarize the gross unrealized losses on available for sale securities in an unrealized loss position:

	As of March 31, 2018
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	27,071	$	(441	)	104	$	7,288	$	(212	)	56
Obligations of state and political subdivisions	38,372		(256		)	140	5,862		(354		)	41
Corporate securities	62,694		(778		)	579	5,593		(268		)	103
Asset-backed securities	6,078		(524		)	20	—		—			—
Obligations of foreign governments	1,661		(8		)	11	—		—			—
Total	$	135,876	$	(2,007	)	854	$	18,743	$	(834	)	200
	As of December 31, 2017
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	37,918	$	(291	)	115	$	7,584	$	(183	)	56
Obligations of state and political subdivisions	24,165		(135		)	96	7,294		(285		)	48
Corporate securities	37,573		(179		)	295	6,568		(166		)	127
Asset-backed securities	1,297		(58		)	2	—		—			—
Equity securities	295		(15		)	3	63		(2		)	2
Obligations of foreign governments	371		(1		)	1	—		—			—
Total	$	101,619	$	(679	)	512	$	21,509	$	(636	)	233

The Company does not intend to sell the investments that were in an unrealized loss position as of March 31, 2018, and management believes that it is more likely than not that the Company will be able to hold these securities until full recovery of their amortized cost basis for fixed maturity securities. The unrealized losses were attributable to changes in interest rates and not credit-related issues. As of March 31, 2018 and December 31, 2017, based on the Company's review, none of the fixed maturity securities were deemed to be other-than-temporarily impaired based on the Company's analysis of the securities and its intent to hold the securities until recovery.

The amortized cost and fair values of investments in debt securities, by contractual maturity date, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Excluded from this table are equity securities since they have no contractual maturity.

	As of
	March 31, 2018				December 31, 2017
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	24,795	$	24,732	$	26,399	$	26,363
Due after one year through five years	104,842		103,666		86,287		85,852
Due after five years through ten years	36,057		35,150		41,442		41,085
Due after ten years	4,917		4,809		5,065		5,067
Asset-backed securities	44,667		44,452		23,369		23,493
Total	$	215,278	$	212,809	$	182,562	$	181,860

Pursuant to certain reinsurance agreements and statutory licensing requirements, the Company has deposited invested assets in custody accounts or insurance department safekeeping accounts. The Company cannot remove invested assets from these accounts without prior approval of the contractual party or regulatory authority, as applicable. The following table presents the Company's restricted investments included in the Company's available for sale securities:

	As of
	March 31, 2018		December 31, 2017
Fair value of restricted investments for special deposits required by state insurance departments	$	5,466	$	6,101
Fair value of restricted investments in trust pursuant to reinsurance agreements	17,646		10,175
Total fair value of restricted investments	$	23,112	$	16,276

The following table presents additional information on the Company’s available for sale securities:

	Three Months Ended March 31,
	2018			2017
Purchases of available for sale securities	$	75,570		$	23,909
Proceeds from maturities, calls and prepayments of available for sale securities	$	10,018		$	4,223
Gains (losses) realized on maturities, calls and prepayments of available for sale securities	$	(26	)	$	(3	)
Gross proceeds from sales of available for sale securities	$	32,032		$	13,494
Gains (losses) realized on sales of available for sale securities	$	(500	)	$	(44	)

Net Investment Income

Net investment income represents income primarily from the following sources:

• Interest income related to available for sale securities, at fair value;

• Interest income related to loans, at fair value;

• Dividend income from equity securities, at fair value;

• Earnings from other investments.

The following table presents the components of net investment income related to our specialty insurance business recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net investment income	2018		2017
Available for sale securities, at fair value	$	1,219	$	818
Loans, at fair value	2,472		2,905
Equity securities, at fair value	390		725
Other investments	439		244
Total investment income	4,520		4,692
Less: investment expenses	315		187
Net investment income	$	4,205	$	4,505

The following table presents the components of net realized and unrealized gains (losses) recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net realized and unrealized gains (losses)	2018			2017
Net realized gains (losses)	$	20,157		$	10,878
Net unrealized gains (losses)	(13,551		)	5,334
Net realized and unrealized gains (losses)	$	6,606		$	16,212

The following table presents the net gain on the sale of mortgage loans and the cumulative net unrealized gains (losses) on equity securities, at fair value recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Net realized gain on sale of mortgage loans (1)	$	11,394		$	14,881
Net unrealized gains (losses) on equity securities, at fair value held at the reporting date	$	(11,270	)	$	(1,740	)

⁽¹⁾ Related to the Company’s mortgage business.

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Investment in Loans

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Investment in Loans

Investment in Loans

The following table presents the Company’s investments in loans, measured at fair value:

	As of March 31, 2018							As of December 31, 2017
	Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB			Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB
Loans, at fair value
Corporate loans (1)	$	154,377	$	154,856	$	(479	)	$	157,661	$	157,834	$	(173	)
Mortgage loans held for sale	52,757		51,416		1,341			62,846		60,764		2,082
Non-performing loans (2)	32,197		42,868		(10,671		)	37,666		52,872		(15,206		)
Total loans, at fair value	$	239,331	$	249,140	$	(9,809	)	$	258,173	$	271,470	$	(13,297	)

(1) The UPB of these loans approximates cost basis.

(2) The cost basis of NPLs was approximately $27,077 and $32,398 at March 31, 2018 and December 31, 2017, respectively.

The following table presents the Company’s investments in loans, measured at fair value pledged as collateral:

	As of
	March 31, 2018		December 31, 2017
Corporate loans	$	150,834	$	154,279
Mortgage loans held for sale	51,469		62,212
Non-performing loans	—		30,703
Total fair value of loans pledged as collateral	$	202,303	$	247,194

As of March 31, 2018 and December 31, 2017, there were no mortgage loans held for sale 90 days or more past due.

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Other Investments

3 Months Ended

Mar. 31, 2018

Other Investments [Abstract]

Other Investments [Text Block]

Other Investments

The following table contains information regarding the Company’s other investments as of the following periods:

	As of
	March 31, 2018		December 31, 2017
Other investments
Real estate, net (1) (2)	$	—	$	19,226
Foreclosed residential real estate property	16,811		16,056
Seller financing (3)	11,550		11,275
Derivative assets	4,407		5,013
Debentures	5,116		4,163
Other	3,359		3,409
Total other investments	$	41,243	$	59,142

(1) Net of accumulated depreciation of $0 and $440, respectively.

(2) Disposed of as part of the sale of Care. See (3) Dispositions, Assets Held for Sale & Discontinued Operations.

(3) Seller provided financing related to the sale of our commercial lending business.

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Net Investment Income (Notes)

3 Months Ended

Mar. 31, 2018

Income Statement [Abstract]

Net Investment Income [Text Block]

Investments

Investments by Segment

The following table presents investments by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	212,809	$	—	$	—	$	—	$	212,809
Loans, at fair value	186,574		—		52,757		—		239,331
Equity securities, at fair value	34,320		—		—		105,918		140,238
Other investments	33,477		2,796		4,407		563		41,243
Total	$	467,180	$	2,796	$	57,164	$	106,481	$	633,621
	As of December 31, 2017
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	182,448	$	—	$	—	$	—	$	182,448
Loans, at fair value	195,327		—		62,846		—		258,173
Equity securities, at fair value	25,536		—		—		—		25,536
Other investments	50,720		2,846		5,013		563		59,142
Total	$	454,031	$	2,846	$	67,859	$	563	$	525,299

(1) Investment income sourced from these investments is presented in Note (15) Other Revenue, Other Expenses and Other Income.

(2) Does not include items related to assets held for sale. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Available for Sale Securities, at fair value

All of the Company’s investments in available for sale securities as of March 31, 2018 and December 31, 2017 are held by subsidiaries in the specialty insurance business. The following tables present the Company's investments in available for sale securities:

	As of March 31, 2018
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	38,620	$	9	$	(653	)	$	37,976
Obligations of state and political subdivisions	55,093		44		(610		)	54,527
Corporate securities	72,520		7		(1,046		)	71,481
Asset backed securities	44,667		309		(524		)	44,452
Certificates of deposit	1,966		—		—			1,966
Obligations of foreign governments	2,412		3		(8		)	2,407
Total	$	215,278	$	372	$	(2,841	)	$	212,809
	As of December 31, 2017
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	48,399	$	20	$	(474	)	$	47,945
Obligations of state and political subdivisions	47,211		190		(420		)	46,981
Corporate securities	62,125		195		(345		)	61,975
Asset backed securities	23,369		182		(58		)	23,493
Certificates of deposit	896		—		—			896
Equity securities	595		10		(17		)	588
Obligations of foreign governments	562		9		(1		)	570
Total	$	183,157	$	606	$	(1,315	)	$	182,448

The following tables summarize the gross unrealized losses on available for sale securities in an unrealized loss position:

	As of March 31, 2018
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	27,071	$	(441	)	104	$	7,288	$	(212	)	56
Obligations of state and political subdivisions	38,372		(256		)	140	5,862		(354		)	41
Corporate securities	62,694		(778		)	579	5,593		(268		)	103
Asset-backed securities	6,078		(524		)	20	—		—			—
Obligations of foreign governments	1,661		(8		)	11	—		—			—
Total	$	135,876	$	(2,007	)	854	$	18,743	$	(834	)	200
	As of December 31, 2017
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	37,918	$	(291	)	115	$	7,584	$	(183	)	56
Obligations of state and political subdivisions	24,165		(135		)	96	7,294		(285		)	48
Corporate securities	37,573		(179		)	295	6,568		(166		)	127
Asset-backed securities	1,297		(58		)	2	—		—			—
Equity securities	295		(15		)	3	63		(2		)	2
Obligations of foreign governments	371		(1		)	1	—		—			—
Total	$	101,619	$	(679	)	512	$	21,509	$	(636	)	233

The Company does not intend to sell the investments that were in an unrealized loss position as of March 31, 2018, and management believes that it is more likely than not that the Company will be able to hold these securities until full recovery of their amortized cost basis for fixed maturity securities. The unrealized losses were attributable to changes in interest rates and not credit-related issues. As of March 31, 2018 and December 31, 2017, based on the Company's review, none of the fixed maturity securities were deemed to be other-than-temporarily impaired based on the Company's analysis of the securities and its intent to hold the securities until recovery.

The amortized cost and fair values of investments in debt securities, by contractual maturity date, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Excluded from this table are equity securities since they have no contractual maturity.

	As of
	March 31, 2018				December 31, 2017
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	24,795	$	24,732	$	26,399	$	26,363
Due after one year through five years	104,842		103,666		86,287		85,852
Due after five years through ten years	36,057		35,150		41,442		41,085
Due after ten years	4,917		4,809		5,065		5,067
Asset-backed securities	44,667		44,452		23,369		23,493
Total	$	215,278	$	212,809	$	182,562	$	181,860

Pursuant to certain reinsurance agreements and statutory licensing requirements, the Company has deposited invested assets in custody accounts or insurance department safekeeping accounts. The Company cannot remove invested assets from these accounts without prior approval of the contractual party or regulatory authority, as applicable. The following table presents the Company's restricted investments included in the Company's available for sale securities:

	As of
	March 31, 2018		December 31, 2017
Fair value of restricted investments for special deposits required by state insurance departments	$	5,466	$	6,101
Fair value of restricted investments in trust pursuant to reinsurance agreements	17,646		10,175
Total fair value of restricted investments	$	23,112	$	16,276

The following table presents additional information on the Company’s available for sale securities:

	Three Months Ended March 31,
	2018			2017
Purchases of available for sale securities	$	75,570		$	23,909
Proceeds from maturities, calls and prepayments of available for sale securities	$	10,018		$	4,223
Gains (losses) realized on maturities, calls and prepayments of available for sale securities	$	(26	)	$	(3	)
Gross proceeds from sales of available for sale securities	$	32,032		$	13,494
Gains (losses) realized on sales of available for sale securities	$	(500	)	$	(44	)

Net Investment Income

Net investment income represents income primarily from the following sources:

• Interest income related to available for sale securities, at fair value;

• Interest income related to loans, at fair value;

• Dividend income from equity securities, at fair value;

• Earnings from other investments.

The following table presents the components of net investment income related to our specialty insurance business recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net investment income	2018		2017
Available for sale securities, at fair value	$	1,219	$	818
Loans, at fair value	2,472		2,905
Equity securities, at fair value	390		725
Other investments	439		244
Total investment income	4,520		4,692
Less: investment expenses	315		187
Net investment income	$	4,205	$	4,505

The following table presents the components of net realized and unrealized gains (losses) recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net realized and unrealized gains (losses)	2018			2017
Net realized gains (losses)	$	20,157		$	10,878
Net unrealized gains (losses)	(13,551		)	5,334
Net realized and unrealized gains (losses)	$	6,606		$	16,212

The following table presents the net gain on the sale of mortgage loans and the cumulative net unrealized gains (losses) on equity securities, at fair value recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Net realized gain on sale of mortgage loans (1)	$	11,394		$	14,881
Net unrealized gains (losses) on equity securities, at fair value held at the reporting date	$	(11,270	)	$	(1,740	)

⁽¹⁾ Related to the Company’s mortgage business.

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Notes Receivable

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

Notes and Accounts Receivable, net

The following table summarizes the total notes and accounts receivable, net:

	As of
	March 31, 2018		December 31, 2017
Notes receivable, net - premium financing program (1)	$	12,146	$	12,225
Accounts and premiums receivable, net	67,785		59,946
Retrospective commissions receivable	72,052		68,064
Trust receivables	33,106		29,060
Other receivables	16,068		17,127
Total	$	201,157	$	186,422

(1) Related to the Company’s specialty insurance business.

Notes Receivable, net

The Company has established an allowance for uncollectible amounts against its notes receivable of $74 and $66 as of March 31, 2018 and December 31, 2017, respectively. As of March 31, 2018 and December 31, 2017, there were $376 and $416 in balances classified as 90 days plus past due, respectively.

Accounts and premiums receivable, net, Retrospective commissions receivable, Trust receivables and Other receivables

Accounts and premiums receivable, net, retrospective commissions receivable, trust receivables and other receivables are primarily trade receivables from the specialty insurance business that are carried at their approximate fair value. The Company has established a valuation allowance against its accounts and premiums receivable of $312 and $196 as of March 31, 2018 and December 31, 2017, respectively.

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Reinsurance

3 Months Ended

Mar. 31, 2018

Reinsurance Disclosures [Abstract]

Reinsurance [Text Block]

Reinsurance Receivables

The following table presents the effect of reinsurance on premiums written and earned by our specialty insurance business for the following periods:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Premiums written:
Life insurance	$	13,762	$	7,176	$	427	$	7,013	6.1	%
Accident and health insurance	26,626		17,433		769		9,962		7.7	%
Property and liability insurance	141,742		66,827		17,328		92,243		18.8	%
Total premiums written	182,130		91,436		18,524		109,218		17.0	%
Premiums earned:
Life insurance	15,614		7,822		453		8,245		5.5	%
Accident and health insurance	28,902		19,617		818		10,103		8.1	%
Property and liability insurance	129,609		53,931		7,619		83,297		9.1	%
Total premiums earned	$	174,125	$	81,370	$	8,890	$	101,645	8.7	%
For the Three Months Ended March 31, 2017
Premiums written:
Life insurance	$	12,296	$	5,730	$	437	$	7,003	6.2	%
Accident and health insurance	25,170		16,306		710		9,574		7.4	%
Property and liability insurance	121,757		56,968		4,982		69,771		7.1	%
Total premiums written	159,223		79,004		6,129		86,348		7.1	%
Premiums earned:
Life insurance	15,188		7,412		493		8,269		6.0	%
Accident and health insurance	27,369		19,058		775		9,086		8.5	%
Property and liability insurance	114,064		46,506		4,318		71,876		6.0	%
Total premiums earned	$	156,621	$	72,976	$	5,586	$	89,231	6.3	%

The following table presents the components of policy and contract benefits, including the effect of reinsurance on losses and loss adjustment expenses (LAE) incurred:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Losses Incurred
Life insurance	$	10,353	$	5,672	$	162	$	4,843	3.3	%
Accident and health insurance	4,577		3,544		246		1,279		19.2	%
Property and liability insurance	53,557		32,930		5,963		26,590		22.4	%
Total losses incurred	68,487		42,146		6,371		32,712		19.5	%
	Member benefit claims (1)						3,914
	Total policy and contract benefits						$	36,626
For the Three Months Ended March 31, 2017
Losses Incurred
Life insurance	$	8,202	$	4,418	$	295	$	4,079	7.2	%
Accident and health insurance	3,832		3,377		256		711		36.0	%
Property and liability insurance	47,608		24,108		865		24,365		3.6	%
Total losses incurred	59,642		31,903		1,416		29,155		4.9	%
	Member benefit claims (1)						3,837
	Total policy and contract benefits						$	32,992

⁽¹⁾ - Member benefit claims are not covered by reinsurance.

The following table presents the components of the reinsurance receivables:

	As of
	March 31, 2018		December 31, 2017
Prepaid reinsurance premiums:
Life (1)	$	64,231	$	65,218
Accident and health (1)	54,544		56,729
Property	144,632		131,735
Total	263,407		253,682
Ceded claim reserves:
Life	2,833		2,988
Accident and health	9,474		9,575
Property	64,451		61,406
Total ceded claim reserves recoverable	76,758		73,969
Other reinsurance settlements recoverable	22,246		25,316
Reinsurance receivables	$	362,411	$	352,967

^{(1) -} Including policyholder account balances ceded.

The following table presents the aggregate amount included in reinsurance receivables that is comprised of the three largest receivable balances from non-affiliated reinsurers:

	As of
	March 31, 2018
Total of the three largest receivable balances from non-affiliated reinsurers	$	78,779

As of March 31, 2018, the non-affiliated reinsurers from whom our specialty insurance business has the largest receivable balances were: London Life Reinsurance Corporation (A. M. Best Rating: A rated), MFI Insurance Company, LTD (A. M. Best Rating: Not rated) and Frandisco Property and Casualty Insurance Company (A. M. Best Rating: Not rated). The related receivables of these reinsurers are collateralized by assets on hand, assets held in trust accounts and letters of credit. As of March 31, 2018, the Company does not believe there is a risk of loss due to the concentration of credit risk in the reinsurance program given the collateralization.

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Goodwill and Intangible Assets, Net

3 Months Ended

Mar. 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets, net

The following table presents identifiable finite and indefinite-lived intangible assets, accumulated amortization, and goodwill by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018											As of December 31, 2017
				Tiptree Capital											Tiptree Capital
	Specialty insurance			Mortgage			Other		Total			Specialty insurance			Mortgage			Other		Total
Customer relationships	$	50,500		$	—		$	—	$	50,500		$	50,500		$	—		$	—	$	50,500
Accumulated amortization	(13,789		)	—			—		(13,789		)	(12,081		)	—			—		(12,081		)
Trade names	6,500			800			—		7,300			6,500			800			—		7,300
Accumulated amortization	(2,318		)	(220		)	—		(2,538		)	(2,182		)	(200		)	—		(2,382		)
Software licensing	8,500			640			—		9,140			8,500			640			—		9,140
Accumulated amortization	(5,667		)	(251		)	—		(5,918		)	(5,242		)	(228		)	—		(5,470		)
Insurance policies and contracts acquired	36,500			—			—		36,500			36,500			—			—		36,500
Accumulated amortization	(35,581		)	—			—		(35,581		)	(35,433		)	—			—		(35,433		)
Insurance licensing agreements(1)	13,761			—			—		13,761			13,761			—			—		13,761
Leases in place (2)	—			—			—		—			2,324			—			—		2,324
Accumulated amortization	—			—			—		—			(142		)	—			—		(142		)
Intangible assets, net	58,406			969			—		59,375			63,005			1,012			—		64,017
Goodwill	89,854			1,708			—		91,562			89,854			1,708			—		91,562
Total goodwill and intangible assets, net	$	148,260		$	2,677		$	—	$	150,937		$	152,859		$	2,720		$	—	$	155,579

(1) Represents intangible assets with an indefinite useful life. Impairment tests are performed at least annually on these assets.

(2) Disposed of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Goodwill

The following table presents the activity in goodwill, by operating segment and/or reporting unit, as appropriate, and includes the adjustments made to the balance of goodwill to reflect the effect of the final valuation adjustments made for acquisitions, as well as the reduction to any goodwill attributable to discontinued operations or impairment related charges:

			Tiptree Capital
	Specialty insurance		Mortgage		Other		Total
Balance at December 31, 2017	$	89,854	$	1,708	$	—	$	91,562
Balance at March 31, 2018	$	89,854	$	1,708	$	—	$	91,562
Accumulated impairments	$	—	$	—	$	699	$	699

The Company conducts annual impairment tests of its goodwill as of October 1. For the three months ended March 31, 2018 and 2017, respectively, no impairment was recorded on the Company’s goodwill or intangibles.

Intangible Assets, net

The following table presents the activity, by operating segment and/or reporting unit, as appropriate, in finite and indefinite-lived other intangible assets and includes the adjustments made to the balance to reflect the effect of any final valuation adjustments made for acquisitions, as well as any reduction attributable to discontinued operations or impairment-related charges:

	Specialty insurance			Mortgage			Total
Balance at December 31, 2017	$	63,005		$	1,012		$	64,017
Intangible assets divested	(2,167		)	—			(2,167		)
Less: amortization expense	(2,432		)	(43		)	(2,475		)
Balance at March 31, 2018	$	58,406		$	969		$	59,375

The following table presents the amortization expense on finite-lived intangible assets for the following periods:

	Three Months Ended March 31,
	2018		2017
Amortization expense on intangible assets	$	2,475	$	2,997

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the amortization expense on finite-lived intangible assets for the next five years by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance (VOBA)		Specialty insurance (other)		Mortgage		Total
Remainder of 2018	$	317	$	6,808	$	128	$	7,253
2019	217		7,509		171		7,897
2020	123		5,027		171		5,321
2021	82		4,251		171		4,504
2022	54		3,595		126		3,775
2023 and thereafter	126		16,536		202		16,864
Total	$	919	$	43,726	$	969	$	45,614

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Derivative Financial Instruments and Hedging

3 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments and Hedging

Derivative Financial Instruments and Hedging

The Company utilizes derivative financial instruments as part of its overall investment and hedging activities. Derivative contracts are subject to additional risk that can result in a loss of all or part of an investment. The Company’s derivative activities are primarily classified by underlying credit risk and interest rate risk. In addition, the Company is also subject to additional counterparty risk should it’s counterparties fail to meet the contract terms. The derivative financial instruments are located within derivative assets at fair value and are reported in other investments. Derivative liabilities are reported within other liabilities and accrued expenses.

Derivatives, at fair value

Interest Rate Lock Commitments

The Company enters into interest rate lock commitments (IRLCs) with customers in connection with its mortgage banking activities to fund residential mortgage loans with certain terms at specified times in the future. IRLCs that relate to the origination of mortgage loans that will be classified as held-for-sale are considered derivative instruments under applicable accounting guidance. As such, these IRLCs are recorded at fair value with changes in fair value typically resulting in recognition of a gain when the Company enters into IRLCs. In estimating the fair value of an IRLC, the Company assigns a probability that the loan commitment will be exercised and the loan will be funded (“pull through”). The fair value of the commitments is derived from the fair value of related mortgage loans, net of estimated costs to complete. Outstanding IRLCs expose the Company to the risk that the price of the loans underlying the commitments might decline from inception of the rate lock to funding of the loan. To manage this risk, the Company utilizes forward delivery contracts and TBA mortgage backed securities to economically hedge the risk of potential changes in the value of the loans that would result from the commitments.

Forward Delivery Contracts and TBA Mortgage Backed Securities

The Company enters into forward delivery contracts with loan aggregators and other investors as one of the tools to manage the interest rate risk associated with IRLCs and loans held for sale. In addition, the Company enters into to be announced (TBA) mortgage backed securities which facilitate hedging and funding by allowing the Company to prearrange prices for mortgages that are in the process of originating. The Company utilizes these hedging instruments for Agency (Fannie Mae and Freddie Mac) and FHA/VA (Ginnie Mae) eligible IRLCs.

The following table summarizes the gross notional and fair value amounts of derivatives (on a gross basis) categorized by underlying risk:

	As of March 31, 2018						As of December 31, 2017
	Notional values		Asset derivatives		Liability derivatives		Notional values		Asset derivatives		Liability derivatives
Interest rate risk:
Interest rate lock commitments	$	168,602	$	4,118	$	—	$	190,645	$	4,808	$	—
Forward delivery contracts	61,809		21		—		71,152		30		—
TBA mortgage backed securities	184,000		268		389		197,000		175		117
Total	$	414,411	$	4,407	$	389	$	458,797	$	5,013	$	117

Derivatives Designated as Cash Flow Hedging Instruments

The following table presents the fair value and the related outstanding notional amounts of the Company's cash flow hedging derivative instruments and indicates where the Company records each amount in its condensed consolidated balance sheets:

		As of
	Balance Sheet Location	March 31, 2018 (1)		December 31, 2017
Unrealized gain (loss), net of tax, on the fair value of interest rate swaps	AOCI	$	—	$	2,074

(1) Deconsolidated of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the pretax impact of the cash flow hedging derivative instruments on the condensed consolidated financial statements for the following periods:

	Three Months Ended March 31,
	2018		2017
Gains (losses) recognized in AOCI on the derivative-effective portion	$	1,111	$	(229	)
(Gains) losses reclassified from AOCI into income-effective portion	$	—	$	144
Gains (losses) recognized in income on the derivative-ineffective portion	$	—	$	(1	)

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Debt, net (Notes)

3 Months Ended

Mar. 31, 2018

Debt Disclosure [Abstract]

Debt, Net

Debt, net

The following table summarizes the balance of the Company’s debt obligations, net of discounts and deferred financing costs.

			Maximum borrowing capacity as of		As of
Debt Type	Stated maturity date	Stated interest rate or range of rates	March 31, 2018		March 31, 2018			December 31, 2017
Corporate debt
Secured corporate credit agreements	September 2018 - December 2018	LIBOR + 1.00% to 6.50%	$	155,000	$	28,000		$	28,500
Junior subordinated notes	October 2057	8.50%	125,000		125,000			125,000
Preferred trust securities	June 2037	LIBOR + 4.10%	35,000		35,000			35,000
Total corporate debt					188,000			188,500
Asset based debt
Asset based revolving financing (1) (2)	April 2019 - August 2022	LIBOR + 2.25% - 2.60%	175,000		103,417			118,794
Residential mortgage warehouse borrowings (3)	May 2018 - August 2018	LIBOR + 2.50% to 3.25%	76,000		38,795			48,810
Total asset based debt					142,212			167,604
Total debt, face value					330,212			356,104
Unamortized discount, net					(211		)	(191		)
Unamortized deferred financing costs					(9,493		)	(9,832		)
Total debt, net					$	320,508		$	346,081

(1) Asset based revolving financing is generally recourse only to specific assets and related cash flows.

(2) The weighted average coupon rate for asset based revolving financing was 4.16% and 3.73% at March 31, 2018 and December 31, 2017, respectively.

(3) The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

The table below presents the amount of interest expense the Company incurred on its debt for the following periods:

	Three Months Ended March 31,
	2018		2017
Interest expense on debt	$	5,941	$	6,078

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table presents the future maturities of the unpaid principal balance on the Company’s debt as of:

	March 31, 2018
Remainder of 2018	$	66,795
2019	5,489
2020	—
2021	—
2022	97,928
Thereafter	160,000
Total	$	330,212

The following narrative is a summary of certain of the terms of our debt agreements for the period ended March 31, 2018:

Asset Based Debt

Asset Backed Revolving Financing

As of March 31, 2018 and December 31, 2017, a total of $97,928 and $101,428, respectively, was outstanding under the corporate loan financing agreement in our specialty insurance business.

During the three months ended March 31, 2018, the $11,917 balance of the NPL financing in our specialty insurance business was paid off and the borrowing was extinguished.

As of March 31, 2018 and December 31, 2017, a total of $5,489 and $5,449, respectively, was outstanding under the borrowing related to our premium finance business within a subsidiary in our specialty insurance business.

Residential Mortgage Warehouse Borrowings

The maturity date for a warehouse line of credit through a subsidiary in our mortgage business was extended during the three months ended March 31, 2018. A borrowing extended its maturity from March 2018 to May 2018.

As of March 31, 2018, the Company is in compliance with the representations and covenants for outstanding borrowings or has obtained waivers for any events of non-compliance, other than a waiver of non-compliance with a warehouse line of Luxury with approximately $11.3 million outstanding which the Company has classified as liabilities held for sale. The Company is taking action to obtain a waiver or cause Luxury to be in compliance.

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Fair Value of Financial Instruments

3 Months Ended

Mar. 31, 2018

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

Fair Value of Financial Instruments

The Company maximizes the use of observable inputs and minimizes the use of unobservable inputs to the extent possible to measure a financial instrument’s fair value. Observable inputs reflect the assumptions market participants would use in pricing an asset or liability, and are affected by the type of product, whether the product is traded on an active exchange or in the secondary market, as well as current market conditions. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Fair value is estimated by applying the hierarchy discussed in Note (2) Summary of Significant Accounting Policies which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized within Level 3 of the fair value hierarchy.

The Company’s fair value measurement is based primarily on a market approach, which utilizes prices and other relevant information generated by market transactions involving identical or comparable financial instruments. Sources of inputs to the market approach include third-party pricing services, independent broker quotations and pricing matrices. Management analyzes the third party valuation methodologies and its related inputs to perform assessments to determine the appropriate level within the fair value hierarchy and to assess reliability of values. Further, management has a process in place to review all changes in fair value that occurred during each measurement period. Any discrepancies or unusual observations are followed through to resolution through the source of the pricing as well as utilizing comparisons, if applicable, to alternate pricing sources. In addition, the Company utilizes an income approach to measure the fair value of NPLs, as discussed below.

The Company utilizes observable and unobservable inputs within its valuation methodologies. Observable inputs may include: benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids, offers and reference data. In addition, specific issuer information and other market data is used. Broker quotes are obtained from sources recognized to be market participants. Unobservable inputs may include: expected cash flow streams, default rates, supply and demand considerations and market volatility.

Available for Sale Securities

Available for sale securities are generally classified within either Level 1 or Level 2 of the fair value hierarchy and are based on prices provided by an independent pricing service and a third party investment manager who provide a single price or quote per security.

The following details the methods and assumptions used to estimate the fair value of each class of available for sale securities and the applicable level each security falls within the fair value hierarchy:

U.S Treasury Securities, Obligations of U.S. Government Authorities and Agencies, Obligations of State and Political Subdivisions, Corporate Securities, Asset-Backed Securities, and Obligations of Foreign Governments: Fair values were obtained from an independent pricing service and a third party investment manager. The prices provided by the independent pricing service are based on quoted market prices, when available, non-binding broker quotes, or matrix pricing and fall under Level 2 of the fair value hierarchy.

Certificates of Deposit: The estimated fair value of certificates of deposit approximate carrying value and fall under Level 1 of the fair value hierarchy.

Equity securities, at fair value

The fair values of publicly traded common and preferred stocks were obtained from market value quotations provided by an independent pricing service and fall under Level 1 of the fair value hierarchy. The fair values of non-publicly traded common and preferred stocks were based on prices obtained from an independent pricing service using unobservable inputs and fall under Level 3 of the fair value hierarchy.

The Company’s investment in Invesque is subject to certain contractual restrictions on registration and sale. The fair value of the Invesque shares is based on the market price adjusted for the impact of such restrictions. As of March 31, 2018 the weighted average estimated restriction period was 11 months. As a result of the discount on the Invesque investment, the fair value measurement falls under Level 2 of the fair value hierarchy.

Loans, at fair value

Corporate Loans: These loans are comprised of a diversified portfolio of middle market and broadly syndicated leveraged loans and are generally classified within either Level 2 or Level 3 in the fair value hierarchy. The Company has evaluated each loan’s respective liquidity and has additionally performed valuation benchmarking. The key characteristics which were evaluated as part of this determination were liquidity ratings, price changes to index benchmarks, depth of quotes, credit ratings and industry trends.

Mortgage Loans Held for Sale: Mortgage loans held for sale are generally classified as Level 2 in the fair value hierarchy and fair value is based upon forward sales contracts with third party investors, including estimated loan costs, and reserves.

Nonperforming Loans and REO: The Company determines the purchase price for NPLs at the time of acquisition and for each subsequent valuation by using a discounted cash flow valuation model and considering alternate loan resolution probabilities, including modification, liquidation, or conversion to REO. The significant unobservable inputs used in the fair value measurement of our NPLs are discount rates, loan resolution timeline, and the value of underlying properties. The fair values of NPLs which are making payments (generally based on a modification or a workout plan) are primarily based upon secondary market transaction prices, which are expressed as a percentage of unpaid principal balance (UPB). Observable inputs to the model include loan amounts, payment history, and property types. Our NPLs are on nonaccrual status at the time of purchase as it is probable that principal or interest is not fully collectible. NPLs are included in loans, at fair value and fall under Level 3 of the fair value hierarchy.

NPLs that have become REOs were measured at fair value on a non-recurring basis during the three months ended March 31, 2018 and the year ended December 31, 2017. The carrying value of REOs at March 31, 2018 and December 31, 2017 was $16,811 and $16,056, respectively. Upon conversion to REO, the fair value is estimated using broker price opinion (BPO). BPOs are subject to judgments of a particular broker formed by visiting a property, assessing general home values in an area, reviewing comparable listings, and reviewing comparable completed sales. These judgments may vary among brokers and may fluctuate over time based on housing market activities and the influx of additional comparable listings and sales. REO is included in other investments. Subsequent to conversion, REOs are carried at lower of cost or market.

Derivative Assets and Liabilities

Derivatives are comprised of interest rate lock commitments (IRLC) and to be announced mortgage backed securities (TBA) . The fair value of these instruments is based upon valuation pricing models, which represent the amount the Company would expect to receive or pay at the balance sheet date to exit the position. Our mortgage origination subsidiaries issue IRLCs to its customers, which are carried at estimated fair value on the Company’s condensed consolidated balance sheet. The estimated fair values of these commitments are generally calculated by reference to the value of the underlying loan associated with the IRLC net of costs to produce and an expected fall out assumption. The fair values of these commitments generally result in a Level 3 classification. Our mortgage origination subsidiaries manage their exposure by entering into forward delivery commitments with loan investors. For loans not locked with investors under a forward delivery commitment, the Company enters into hedge instruments, primarily TBAs, to protect against movements in interest rates. The fair values of TBA mortgage backed securities and forward delivery contracts generally result in a Level 2 classification.

The following tables present the Company’s fair value hierarchies for financial assets and liabilities, measured on a recurring basis:

	As of March 31, 2018
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	—	$	37,976	$	—	$	37,976
Obligations of state and political subdivisions	—		54,527		—		54,527
Obligations of foreign governments	—		2,407		—		2,407
Certificates of deposit	1,966		—		—		1,966
Asset backed securities	—		41,007		3,445		44,452
Corporate securities	—		71,481		—		71,481
Total available for sale securities, at fair value	1,966		207,398		3,445		212,809
Loans, at fair value:
Corporate loans	—		37,026		117,351		154,377
Mortgage loans held for sale	—		52,757		—		52,757
Non-performing loans	—		—		32,197		32,197
Total loans, at fair value	—		89,783		149,548		239,331
Equity securities, at fair value	11,760		128,431		47		140,238
Other investments:
Derivative assets:
Forward delivery contracts	—		21		—		21
Interest rate lock commitments	—		—		4,118		4,118
TBA mortgage backed securities	—		268		—		268
Total derivative assets	—		289		4,118		4,407
CLOs	—		—		3,359		3,359
Debentures	—		5,116		—		5,116
Total other investments, at fair value	—		5,405		7,477		12,882
Total	$	13,726	$	431,017	$	160,517	$	605,260
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	389	$	—	$	389
Total derivative liabilities (included in other liabilities and accrued expenses)	—		389		—		389
Contingent consideration payable	—		—		—		—
Total	$	—	$	389	$	—	$	389

	As of December 31, 2017
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
Equity securities	$	541	$	—	$	47	$	588
U.S. Treasury securities and obligations of U.S. government authorities and agencies	—		47,945		—		47,945
Obligations of state and political subdivisions	—		46,981		—		46,981
Obligations of foreign governments	—		570		—		570
Certificates of deposit	896		—		—		896
Asset backed securities	—		23,493		—		23,493
Corporate bonds	—		61,975		—		61,975
Total available for sale securities, at fair value	1,437		180,964		47		182,448
Loans, at fair value:
Corporate loans	—		40,925		116,736		157,661
Mortgage loans held for sale	—		62,846		—		62,846
Non-performing loans	—		—		37,666		37,666
Total loans, at fair value	—		103,771		154,402		258,173
Equity securities, at fair value	25,536		—		—		25,536
Other investments:
Derivative assets:
Forward delivery contracts	—		30		—		30
Interest rate lock commitments	—		—		4,808		4,808
TBA mortgage backed securities	—		175		—		175
Total derivative assets	—		205		4,808		5,013
CLOs	—		—		3,409		3,409
Debentures	—		4,163		—		4,163
Total other investments, at fair value	—		4,368		8,217		12,585
Total	$	26,973	$	289,103	$	162,666	$	478,742
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	117	$	—	$	117
Total derivative liabilities (included in other liabilities and accrued expenses)	—		117		—		117
Contingent consideration payable	—		—		—		—
Total	$	—	$	117	$	—	$	117

The following table represents additional information about assets that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:    

	Three Months Ended March 31,
	2018 (1)			2017 (1)
	Non-CLO assets			Non-CLO assets			CLO assets
Balance at January 1,	$	162,666		$	211,192		$	585,870
Net realized gains (losses)	(77		)	850			(332		)
Net unrealized gains (losses)	1,106			1,802			1,427
Origination of IRLC	11,372			14,478			—
Purchases	23,298			10,514			30,896
Sales (1)	(22,633		)	(14,377		)	(37,037		)
Issuances	77			219			272
Transfer into Level 3 (1)	7,624			9,960			26,990
Transfer adjustments (out of) Level 3 (1)	(7,420		)	(11,229		)	(64,120		)
Deconsolidation of CLOs due to sale	—			1,342			(251,300		)
Conversion to real estate owned	(3,435		)	(2,968		)	—
Conversion to mortgage held for sale	(12,061		)	(14,361		)	—
Other	—			(32		)	—
Balance at March 31,	$	160,517		$	207,390		$	292,666
Changes in unrealized gains (losses) included in earnings related to assets still held at period end	$	1,105		$	1,727		$	1,366

(1) All transfers are deemed to occur at end of period. Transfers between Level 2 and 3 were a result of subjecting third-party pricing on both CLO and Non-CLO assets to various liquidity, depth, bid-ask spread and benchmarking criteria as well as assessing the availability of observable inputs affecting their fair valuation.

The following table represents additional information about liabilities that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:

	Three Months Ended March 31,
	2018		2017
	Non-CLO liabilities		Non-CLO liabilities		CLO liabilities
Balance at January 1,	$	—	$	3,084	$	912,034
Net unrealized (gains) losses	—		—		(48		)
Dispositions	—		—		(21,410		)
FV adjustment	—		554		—
Deconsolidation of CLOs due to sale	—		—		(378,043		)
Balance at March 31,	$	—	$	3,638	$	512,533
Changes in unrealized (gains) losses included in earnings related to liabilities still held at period end	$	—	$	—	$	(48	)

The following is quantitative information about Level 3 significant unobservable inputs used in fair valuation.

	Fair Value as of						Actual or Range (Weighted average)
Assets	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Interest rate lock commitments	$	4,118	$	4,808	Internal model	Pull through rate	50% - 95%	50% - 95%
NPLs	32,197		37,666		Discounted cash flow	See table below (1)	See table below	See table below
Total	$	36,315	$	42,474

(1) Significant changes in any of these inputs in isolation could result in a significant change to the fair value measurement. A decline in the discount rate in isolation would increase the fair value. A decrease in the housing pricing index in isolation would decrease the fair value. Individual loan characteristics, such as location and value of underlying collateral, affect the loan resolution timeline. An increase in the loan resolution timeline in isolation would decrease the fair value. A decrease in the value of underlying properties in isolation would decrease the fair value.

The following table sets forth quantitative information about the significant unobservable inputs used to measure the fair value of our NPLs. For NPLs that are not making payments, discount rate, loan resolution time-line, value of underlying properties, holdings costs and liquidation costs are the primary inputs used to measure fair value. For NPLs that are making payments, note rate and secondary market transaction prices/UPB are the primary inputs used to measure fair value.

	As of March 31, 2018			As of December 31, 2017
Unobservable inputs	High	Low	Average(1)	High	Low	Average(1)
Discount rate	30.0%	16.0%	23.8%	30.0%	16.0%	23.5%
Loan resolution time-line (Years)	2.0	0.4	1.3	2.3	0.5	1.3
Value of underlying properties	$1,775	$45	$335	$1,775	$40	$306
Holding costs	21.1%	4.8%	7.2%	22.0%	5.3%	7.6%
Liquidation costs	15.9%	8.4%	9.3%	16.8%	8.4%	9.4%
Note rate	6.0%	3.0%	4.9%	6.0%	3.0%	4.8%
Secondary market transaction prices/UPB	88.5%	75.5%	83.8%	88.5%	75.5%	83.4%

(1) Weighted based on value of underlying properties (excluding the value of underlying properties line item).

	Fair Value as of						Actual or Range (Weighted average)
Liabilities	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Contingent consideration payable - Reliance	$	—	$	—	Cash Flow model (1)	Forecast EBITDA	$1,300 - $6,400	$1,300 - $6,400
						Book value growth rate	N/A	N/A
						Asset volatility	N/A	N/A
Total	$	—	$	—

(1) Monte Carlo simulation is run, as needed.

The following table presents the carrying amounts and estimated fair values of financial assets and liabilities that are not recorded at fair value and their respective levels within the fair value hierarchy:

	As of March 31, 2018					As of December 31, 2017
	Level within fair value hierarchy	Fair value		Carrying value		Level within fair value hierarchy	Fair value		Carrying value
Assets:
Notes and accounts receivable, net	2	$	12,146	$	12,146	2	$	12,225	$	12,225
Total assets		$	12,146	$	12,146		$	12,225	$	12,225
Liabilities:
Debt, net	3	$	330,782	$	330,001	3	$	356,537	$	355,913
Total liabilities		$	330,782	$	330,001		$	356,537	$	355,913

Notes and Accounts Receivable: To the extent that carrying amounts differ from fair value, fair value is determined based on contractual cash flows discounted at market rates for similar credits. Categorized as Level 2 of the fair value hierarchy.

Debt: The carrying value represents the total debt balance at face value excluding the unamortized discount. The fair value of notes payable is determined based on contractual cash flows discounted at market rates for mortgage notes payable and either dealer quotes or contractual cash flows discounted at market rates for other notes payable. Categorized as Level 3 of the fair value hierarchy.

Additionally, the following financial assets and liabilities on the condensed consolidated balance sheets are not carried at fair value, but whose carrying amounts approximate their fair value:

Cash and Cash Equivalents: The carrying amounts of cash and cash equivalents are carried at cost which approximates fair value. Categorized as Level 1 of the fair value hierarchy.

Accounts and Premiums Receivable, net, retrospective commissions receivable and other receivables: The carrying amounts approximate fair value since no interest rate is charged on these short duration assets. Categorized as Level 2 of the fair value hierarchy. See Note (6) Notes and Accounts Receivable, net.

Due from Brokers, Dealers, and Trustees and Due to Brokers, Dealers and Trustees: The carrying amounts are included in other assets and other liabilities and accrued expenses and approximate their fair value due to their short‑term nature. Categorized as Level 2 of the fair value hierarchy.

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Liability for Unpaid Claims and Claim Adjustment Expenses (Notes)

3 Months Ended

Mar. 31, 2018

Insurance [Abstract]

Liability for Future Policy Benefits and Unpaid Claims Disclosure [Text Block]

Liability for Unpaid Claims and Claim Adjustment Expenses

Roll forward of Claim Liability

The following table presents the activity in the net liability for unpaid losses and allocated loss adjustment expenses of short-duration contracts for the following periods:

	Three Months Ended March 31,
	2018			2017
Policy liabilities and unpaid claims balance as of January 1	$	112,003		$	103,391
Less : liabilities of policy-holder accounts balances, gross	(15,474		)	(17,417		)
Less : non-insurance warranty benefit claim liabilities	(58		)	(91		)
Gross liabilities for unpaid losses and loss adjustment expenses	96,471			85,883
Less : reinsurance recoverable on unpaid losses - short duration	(73,778		)	(63,112		)
Less : other lines, gross	(224		)	(208		)
Net balance as of January 1, short duration	22,469			22,563
Incurred (short duration) related to:
Current year	25,002			26,004
Prior years	6,966			2,684
Total incurred	31,968			28,688
Paid (short duration) related to:
Current year	14,434			14,035
Prior years	14,179			13,546
Total paid	28,613			27,581
Net balance as of March 31, short duration	25,824			23,670
Plus : reinsurance recoverable on unpaid losses - short duration	76,619			63,708
Plus : other lines, gross	172			199
Gross liabilities for unpaid losses and loss adjustment expenses	102,615			87,577
Plus : liabilities of policy-holder accounts balances, gross	15,048			16,928
Plus : non-insurance warranty benefit claim liabilities	77			118
Policy liabilities and unpaid claims balance as of March 31,	$	117,740		$	104,623

The following schedule reconciles the total on short duration contracts per the table above to the amount of total losses incurred as presented in the condensed consolidated statement of operations, excluding the amount for member benefit claims:

	Three Months Ended March 31,
	2018		2017
Total incurred	$	31,968	$	28,688
Other lines incurred	46		(2		)
Unallocated loss adjustment expense	698		469
Total losses incurred	$	32,712	$	29,155

For the three months ended March 31, 2018, the Company’s specialty insurance business experienced an increase in prior year case development of $6,966. This included $3,295 in non-standard auto and $3,831 in credit. This development was partially offset by favorable development in its warranty business. The warranty and credit lines of business are primarily in retrospective commission arrangements that cause loss development to minimally impact the operating income of the Company.

For the three months ended March 31, 2017, the Company’s specialty insurance business experienced an increase in prior year case development of $2,684. This included $707 in its non-standard auto business with the remaining change primarily in warranty and credit lines of business. The warranty and credit lines of business are primarily in retrospective commission arrangements that minimally impact the operating income of the Company.

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Revenue From Contracts with Customers (Notes)

3 Months Ended

Mar. 31, 2018

Revenue Recognition [Abstract]

Revenue Recognition [Text Block]

Revenue From Contracts with Customers

As discussed in Note (2) Summary of Significant Accounting Policies, the Company adopted ASU 2014-09 and other ASUs related to Topic 606 as of January 1, 2018. A substantial majority of the Company’s non-investment related revenues are comprised of revenues from insurance contracts that are accounted for under Financial Services-Insurance (Topic 944) or certain financial services products (e.g. gains upon the origination of mortgages) that are not within the scope of the new standard. There was no impact to any prior period amounts or transition adjustment recorded as a result of the adoption of the new standard.

Revenue from contracts with customers is primarily comprised of asset management fee income included as a part of other revenue, and warranty coverage, car club and other revenues included as a part of service and administrative fees in our specialty insurance business. The table below presents the disaggregated amounts of revenue from contracts with customers by product type for the following periods:

	Three Months Ended March 31,
	2018		2017
Asset management fee income	$	1,577	$	1,707
Warranty coverage revenue	6,123		3,705
Car club revenue	7,829		7,722
Other	2,097		1,896
Revenue from contracts with customers	$	17,626	$	15,030

Management Fees

The Company earns asset management fee income in the form of base management fees and incentives from the CLOs it manages. These base management fees are billed as the services are provided and paid periodically in accordance with the terms of the individual management agreements for as long as the Company manages the funds. Base management fees typically consist of fees based on the amount of assets held in the CLOs. Base management fees are recognized as revenue when earned. The Company does not recognize incentive fees until all contractual contingencies have been removed.

Service and Administrative Fees

Service fee revenue is recognized as the services are performed. These services include fulfillment, software development, and claims handling for our customers. Management reviews the financial results under each significant contract on a monthly basis. Any losses that may occur due to a specific contract would be recognized in the period in which the loss is determined probable.

Administrative fee revenue includes the administration of premium associated with our producers and their PORCs. In addition, we also earn fee revenue from debt cancellation programs, motor club programs, and warranty programs. Related administrative fee revenue is recognized consistent with the earnings recognition pattern of the underlying insurance policies, debt cancellation contracts and motor club memberships being administered, using Rule of 78's, modified Rule of 78's, pro rata, or other methods as appropriate for the contract. Management selects the appropriate method based on available information, and periodically reviews the selections as additional information becomes available.

Information on Remaining Performance Obligations

We do not disclose information about remaining performance obligations pertaining to contracts that have an original expected duration of one year or less. The transaction price allocated to remaining unsatisfied or partially unsatisfied performance obligations with an original expected duration exceeding one year was not material at March 31, 2018.

Contract Balances

The timing of our revenue recognition may differ from the timing of payment by our customers. We record a receivable when revenue is recognized prior to payment and we have an unconditional right to payment. Alternatively, when payment precedes the provision of the related services, we record deferred revenue until the performance obligations are satisfied.

The table below presents the activity in the significant deferred assets and liabilities related to revenue from contracts with customers for the three month period ended March 31, 2018.

	January 1, 2018						March 31, 2018
	Beginning balance		Additions		Amortizations		Ending balance
Deferred costs
Warranty coverage revenue	$	2,249	$	96	$	373	$	1,972
Car club revenue	11,144		4,357		5,916		9,585
Total	$	13,393	$	4,453	$	6,289	$	11,557

Deferred revenue
Warranty coverage revenue	$	28,324	$	9,329	$	6,123	$	31,530
Car club revenue	14,861		5,677		7,829		12,709
Total	$	43,185	$	15,006	$	13,952	$	44,239

Bad debt expense was not material for any period presented.

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Other Assets (Notes)

3 Months Ended

Mar. 31, 2018

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Other assets

Other Assets and Other Liabilities and Accrued Expenses

Other Assets

The following table presents the components of other assets as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Due from brokers	$	3,468	$	261
Furniture, fixtures and equipment, net	4,453		4,304
Prepaid expenses	6,867		7,297
Accrued interest receivable	3,239		2,248
Management fee receivable	1,583		2,247
Income tax receivable	9,588		9,588
Other	12,924		5,639
Total other assets	$	42,122	$	31,584

The following table presents the depreciation expense related to furniture, fixtures and equipment for the following periods:

	Three Months Ended March 31,
	2018		2017
Depreciation expense related to furniture, fixtures and equipment	$	497	$	584

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

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Other Liabilities and Accrued Expenses (Notes)

3 Months Ended

Mar. 31, 2018

Other Liabilities Disclosure [Abstract]

Other Liabilities Disclosure [Text Block]

Other Liabilities and Accrued Expenses

The following table presents the components of other liabilities and accrued expenses as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Accounts payable and accrued expenses	$	42,047	$	52,032
Deferred tax liabilities, net	31,962		22,744
Due to brokers	4,352		8,669
Commissions payable	9,681		14,185
Accrued interest payable	6,061		3,393
Escrow payable	8,955		6,753
Other	14,760		13,545
Total other liabilities and accrued expenses	$	117,818	$	121,321

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Other Revenue and Other Expenses (Notes)

3 Months Ended

Mar. 31, 2018

Other Income and Expenses [Abstract]

Other Income and Other Expense Disclosure [Text Block]

Other Revenue, Other Expenses and Other Income

Other Revenue

The following table presents the components of other revenue as reported in the condensed consolidated statement of operations, primarily comprised of interest income and loan fee income related to loans at fair value, and management fees from our asset management business:

	Three Months Ended March 31,
	2018		2017
Interest income	$	1,877	$	4,706
Dividend income	1,663		—
Loan fee income	1,998		3,216
Management fee income	1,577		1,707
Other	1,642		565
Total other revenue	$	8,757	$	10,194

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Other Expenses

The following table presents the components of other expenses as reported in the condensed consolidated statement of operations:

	Three Months Ended March 31,
	2018		2017
Professional fees	$	5,072	$	3,691
General and administrative	3,752		3,821
Premium taxes	3,622		3,147
Mortgage origination expenses	2,183		2,035
Rent and related	2,396		2,555
Other	2,140		2,370
Total other expense	$	19,165	$	17,619

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

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Assets and Liabilities of Consolidated CLOs

3 Months Ended

Mar. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Assets and Liabilities of Consolidated CLOs

Other Income

The CLOs are considered variable interest entities (VIE) and the Company consolidates entities when it is determined to be the primary beneficiary under current VIE accounting guidance.

During 2017 the Company exited all consolidated CLOs. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

The following table represents revenue and expenses of the consolidated CLOs included in the Company’s consolidated statements of operations for the periods indicated:

	Three Months Ended March 31,
	2018		2017
Income:
Net realized and unrealized gains (losses)	$	—	$	1,253
Interest income	—		7,614
Total income	—		8,867
Expenses:
Interest expense	—		4,775
Other expense	—		177
Total expense	—		4,952
Net income (loss) attributable to consolidated CLOs	$	—	$	3,915

As summarized in the table below, the application of the measurement alternative results in the consolidated net income summarized above to be equivalent to the Company’s own economic interests in the CLOs which are eliminated upon consolidation:

Economic interests:	Three Months Ended March 31,
	2018		2017
Distributions received	$	—	$	2,167
Realized and unrealized gains (losses) on subordinated notes held by the Company, net	—		1,381
Total	—		3,548
Management fee income	—		367
Total economic interests	$	—	$	3,915

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Stockholders' Equity

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity

TFP owns a warrant to purchase 652,500 shares of Class A common stock at $11.33 per share which is immediately exercisable and expires on September 30, 2018. Such an exercise would be accounted for as treasury stock held at TFP and would have no impact on the Company’s financial statements. See Note (22) Subsequent Events for the impact of the reorganization merger on the terms of this warrant.

In connection with the June 30, 2012 internalization of TFP’s management, TFP issued warrants to acquire 750,000 TFP LP units at $23.73 per unit, subject to an anti-dilution provision, which is immediately exercisable and expires on June 30, 2022. As of March 31, 2018 warrant holders had the right to acquire 805,986 TFP LP Units at $21.232 per unit. If the warrant is exercised, an aggregate of 2,255,149 shares of Class A common stock would be issuable upon exchange of the TFP units. See Note (22) Subsequent Events for the impact of the reorganization merger on the terms of this warrant.

On March 19, 2018 the Company’s Board of Directors approved a daily stock repurchase program for the repurchase of up to $10.0 million of shares of the Company’s outstanding Class A common stock. The Company’s Board of Directors extended the Company’s authorization to make additional block repurchases of up to $10.0 million of shares in the aggregate, at the discretion of the Company's Executive Committee.

	Three Months Ended March 31, 2018			As of March 31, 2018
	Number of shares purchased	Average price per share		Remaining repurchase authorization
Share repurchase program	29,365	$	6.36	$	9,813
Block repurchase program	—	—		10,000
Total	29,365	$	6.36	$	19,813

The Company declared cash dividends per share for the following periods presented below:

	Dividends per share for
	Three Months Ended March 31,
	2018		2017
First Quarter	$	0.035	$	0.030
Total cash dividends declared	$	0.035	$	0.030

Statutory Reporting and Insurance Company Subsidiaries Dividend Restrictions

The Company's regulated insurance company subsidiaries may pay dividends to our insurance holding company, subject to statutory restrictions. Payments in excess of statutory restrictions (extraordinary dividends) to our insurance holding company are permitted only with prior approval of the insurance department of the applicable state of domicile. The Company eliminated all dividends from its subsidiaries in the condensed consolidated financial statements. For the three months ended March 31, 2018 and March 31, 2017, respectively, the Company's insurance company subsidiaries did not pay any ordinary or extra ordinary dividends.

The following table presents the combined statutory capital and surplus of the Company's insurance company subsidiaries, the required minimum statutory capital and surplus, as required by the laws of the states in which they are domiciled, and the combined amount available for ordinary dividends of the Company's insurance company subsidiaries for the following periods:

	As of
	March 31, 2018		December 31, 2017
Combined statutory capital and surplus of the Company's insurance company subsidiaries	$	107,902	$	105,989
Required minimum statutory capital and surplus	$	19,200	$	19,200
Amount available for ordinary dividends of the Company's insurance company subsidiaries	$	10,115	$	10,115

At March 31, 2018, the maximum amount of dividends that our regulated insurance company subsidiaries could pay under applicable laws and regulations without regulatory approval was approximately $10,115. The Company may seek regulatory approval to pay dividends in excess of this permitted amount, but there can be no assurance that the Company would receive regulatory approval if sought.

Under the National Association of Insurance Commissioners (NAIC) Risk-Based Capital Act of 1995, a company's Risk-Based Capital (RBC) is calculated by applying certain risk factors to various asset, claim and reserve items. If a company's adjusted surplus falls below calculated RBC thresholds, regulatory intervention or oversight is required. The Company's insurance company subsidiaries' RBC levels, as calculated in accordance with the NAIC’s RBC instructions, exceeded all RBC thresholds as of March 31, 2018.

The following table presents the net income of the Company’s statutory insurance companies for the following periods:

	Three Months Ended March 31,
	2018		2017
Net income of statutory insurance companies	$	6,172	$	3,047

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Accumulated Other Comprehensive Income (Loss)

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

Accumulated Other Comprehensive Income (Loss)

The following table presents the activity in accumulated other comprehensive income (loss) (AOCI), net of tax, for the following periods:

	Unrealized gains (losses) on									Amount attributable to noncontrolling interests
	Available for sale securities			Interest rate swaps			Total AOCI			TFP			Other			Total AOCI to Tiptree Inc.
Balance at December 31, 2016	$	(700	)	$	1,759		$	1,059		$	(128	)	$	(376	)	$	555
Other comprehensive income (losses) before reclassifications	435			84			519			(116		)	(26		)	377
Amounts reclassified from AOCI	31			99			130			—			—			130
Period change	466			183			649			(116		)	(26		)	507
Balance at March 31, 2017	$	(234	)	$	1,942		$	1,708		$	(244	)	$	(402	)	$	1,062
Balance at December 31, 2017	$	(460	)	$	2,074		$	1,614		$	(222	)	$	(426	)	$	966
Other comprehensive income (losses) before reclassifications	(1,789		)	835			(954		)	61			210			(683		)
Amounts reclassified from AOCI	415			—			415			—			—			415
Reclassification of AOCI - interest rate swaps (1)	—			(2,909		)	(2,909		)	502			226			(2,181		)
Period change	(1,374		)	(2,074		)	(3,448		)	563			436			(2,449		)
Balance at March 31, 2018	$	(1,834	)	$	—		$	(1,834	)	$	341		$	10		$	(1,483	)

(1) Relates to the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

The following table presents the reclassification adjustments out of AOCI included in net income and the impacted line items on the condensed consolidated statement of operations for the following periods:

	Three Months Ended March 31,						Affected line item in consolidated statement of operations
Components of AOCI	2018			2017
Unrealized gains (losses) on available for sale securities	$	(531	)	$	(47	)	Net realized and unrealized gains (losses)
Related tax (expense) benefit	116			16			Provision for income tax
Net of tax	$	(415	)	$	(31	)
Unrealized gains (losses) on interest rate swaps	$	—		$	(144	)	Interest expense
Reclassification of AOCI - interest rate swaps (1)	3,845			—			Gain on sale of discontinued operations
Related tax (expense) benefit	(936		)	45			Provision for income tax
Net of tax	$	2,909		$	(99	)

(1) Relates to the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

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Stock Based Compensation

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock Based Compensation

Stock Based Compensation

Equity Plans

2017 Omnibus Incentive Plan

The Company adopted the Tiptree 2017 Omnibus Incentive Plan (2017 Equity Plan) on June 6, 2017, which permits the grant of stock units, stock, and stock options up to a maximum of 6,100,000 shares of Class A common stock. The general purpose of the 2017 Equity Plan is to attract, motivate and retain selected employees and directors for the Company and its subsidiaries, to provide them with incentives and rewards for performance and to better align their interests with the interests of the Company’s stockholders. Unless otherwise extended, the 2017 Equity Plan terminates automatically on June 6, 2027. The table below summarizes changes to the issuances under the Company’s 2013 and 2017 Equity Plan for the periods indicated:

2017 Equity Plan	Number of shares (1)
Available for issuance as of December 31, 2017	6,017,012
RSU and option awards granted	(523,654	)
Available for issuance as of March 31, 2018	5,493,358

(1) Excludes awards granted under the Company’s subsidiary incentive plans that are exchangeable for Tiptree Class A common stock.

Restricted Stock Units (RSUs)

Generally, the Tiptree RSUs vest and become nonforfeitable with respect to one-third of Tiptree shares granted on each of the first, second and third anniversaries of the date of the grant, and expensed using the straight-line method over the requisite service period.

The following table summarizes changes to the issuances of RSUs under the 2017 Equity Plan for the periods indicated:

	Number of shares issuable		Weighted average grant date fair value
Unvested units as of December 31, 2017	598,882		$	6.48
Granted (1)	280,991		5.87
Vested	(168,700	)	6.05
Unvested units as of March 31, 2018	711,173		$	6.34

⁽¹⁾ Includes grants of 12,192 shares of Class A common stock to directors.

The Company values RSUs at their grant-date fair value as measured by Tiptree’s common stock price. Included in vested shares for 2018 are 22,727 shares surrendered to pay taxes on behalf of the employees with shares vesting. During the three months ended March 31, 2018, the Company granted 268,799 RSUs to employees of the Company. 147,467 shares vest ratably over a period of three years that began in February 2018 and the remaining 121,332 shares will cliff vest in February 2021.

Subsidiary Incentive Plans

Certain of the Company’s subsidiaries have established RSU programs under which they are authorized to issue RSUs or their equivalents, representing equity of such subsidiaries to certain of their employees. Such awards are accounted for as equity. These RSUs are subject to performance-vesting criteria based on the performance of the subsidiary (performance vesting RSUs) and time-vesting subject to continued employment (time vesting RSUs). Following the service period, such vested RSUs may be exchanged at fair market value, at the option of the holder, for Tiptree Class A common stock under the 2017 Equity Plan. The Company has the option, but not the obligation to settle the exchange right in cash.

The following table summarizes changes to the issuances of subsidiary RSU’s under the subsidiary incentive plans for the periods indicated:

	Grant date fair value of equity shares issuable
Unvested balance as of December 31, 2017	$	8,792
Vested	(1,466		)
Unvested balance as of March 31, 2018	$	7,326

The vested and unvested balance (assuming full vesting) translates to 1,854,846 shares of Class A common stock if converted as of March 31, 2018.

Stock Options

Option awards have been granted to the Executive Committee with an exercise price equal to the fair market value of our common stock on the date of grant. The option awards have a 10-year term and are subject the recipient’s continuous service, a market requirement, and vest one third on each of the third, fourth and fifth anniversary of the grant date. The market requirement is a book value per share target that can be met at any time before the option expires and it only needs to be met once for the option to remain exercisable for the remainder of its term. If the service condition is met, the full amount of the compensation expense will be recognized over the appropriate vesting period whether the market requirement is met or not. The options granted in 2018 include a retirement provision and are amortized over the lessor of the service condition or expected retirement date.

The fair value option grants are estimated on the date of grant using a Black-Scholes-Merton option pricing formula embedded within a Monte Carlo model used to simulate the future stock prices of the Company, which assumes that the market requirement is achieved. Historical volatility was computed based on historical daily returns of the Company’s stock between the grant date and July 1, 2013, the date of the business combination through which Tiptree became a public company. The valuation is done under a risk-neutral framework using the 10-year zero-coupon risk-free interest rate derived from the Treasury Constant Maturities yield curve on the grant date. The current quarterly dividend rates in effect as of the date of the grant are used to calculate a spot dividend yield as of the date of grant for use in the model.

The following table presents the assumptions used to estimate the fair values of the stock options granted for the following period:

Valuation Input	Three Months Ended March 31, 2018
	Assumption		Average
Historical volatility	30.63	%	N/A
Risk-free rate	2.85	%	N/A
Dividend yield	2.03	%	N/A
Expected term (years)			6.5

The following table presents the Company's stock option activity for the current period:

	Options outstanding	Weighted average exercise price (in dollars per stock option)		Weighted average grant date value (in dollars per stock option)		Options exercisable
Balance, December 31, 2017	821,864	$	6.36	$	2.82	—
Granted	242,663	5.85		1.88		—
Balance, March 31, 2018 (1)	1,064,527	$	6.24	$	2.61	—
Weighted average remaining contractual term at March 31, 2018 (in years)	8.9

(1) Book value targets for grants in 2018, 2017, and 2016 are $9.97, $10.14, and $8.96, respectively.

Stock-based Compensation Expense

The following table presents total stock-based compensation expense and the related income tax benefit recognized on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Employee compensation and benefits	$	1,233		$	1,798
Income tax benefit	(259		)	(634		)
Net stock-based compensation expense	$	974		$	1,164

Additional information on total non-vested stock-based compensation is as follows:

	As of
	March 31, 2018
	Stock options		Restricted stock awards and RSUs
Unrecognized compensation cost related to non-vested awards	$	1,927	$	8,381
Weighted - average recognition period (in years)	2.85		1.70

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Income Taxes (Notes)

3 Months Ended

Mar. 31, 2018

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

Income Taxes

The following table represents the income tax expense (benefit):

	Three Months Ended March 31,
	2018					2017
Total income tax expense (benefit) from continuing operations	$	(1,568			)	$	1,568
Effective tax rate (ETR)	22.3		%	(1)		40.6		%	(2)
Income tax expense (benefit) from discontinued operations	$	12,327				$	(402			)

(1) Higher than the U.S. federal statutory income tax rate of 21% due to the effect of state income taxes and the dividends received deduction, partially offset by the impact of valuation allowance and other discrete items.

(2) Higher than the previous U.S. federal statutory income tax rate of 35% primarily due to state income taxes and other discrete items.

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Contractual Obligations

The table below summarizes the Company’s contractual obligations by period that payments are due:

	As of March 31, 2018
	Less than one year		1-3 years		3-5 years		More than 5 years		Total
Total - operating lease obligations (1)	$	5,045	$	11,600	$	9,704	$	19,705	$	46,054

(1) Minimum rental obligations for Tiptree, Luxury, Reliance and Fortegra office leases.

The following table presents rent expense for the Company’s office leases recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018		2017
Rent expense for office leases	$	1,495	$	1,698

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

Litigation

The Company is a defendant in Mullins v. Southern Financial Life Insurance Co., which was filed in February 2006, in the Pike Circuit Court, in the Commonwealth of Kentucky. A class was certified in June 2010. At issue is the duration or term of coverage under certain disability and life credit insurance policies. The action alleges violations of the Consumer Protection Act and certain insurance statutes, as well as common law fraud and seeks compensatory and punitive damages, attorney fees and interest. To date, the court has not awarded sanctions in connection with Plaintiffs’ April 2012 Motion for Sanctions. In January 2015, the trial court issued an Order denying the Company’s motion to decertify the class, which was upheld on appeal. Following a February 2017 hearing, the court denied the Company’s Motion for Summary Judgment as to certain disability insurance policies. In January 2018, the court vacated its November 2017 order granting Company’s Motion for Summary Judgment as to the life certificates at issue with leave to refile. No trial or additional hearings are currently scheduled.

The Company considers such litigation customary in the insurance industry. In management's opinion, based on information available at this time, the ultimate resolution of such litigation, which it is vigorously defending, should not be materially adverse to the financial position of the Company. It should be noted that large punitive damage awards, bearing little relation to actual damages sustained by plaintiffs, have been awarded in certain states against other companies in the credit insurance business. At this time, the Company cannot estimate a range of loss that is reasonably possible.

The Company and its subsidiaries are parties to other legal proceedings in the ordinary course of business. Although the Company’s legal and financial liability with respect to such proceedings cannot be estimated with certainty, the Company does not believe that these proceedings, either individually or in the aggregate, are likely to have a material adverse effect on the Company’s financial position.

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Earnings Per Share

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

The Company calculates basic net income per Class A common share based on the weighted average number of Class A common shares outstanding (inclusive of vested restricted share units). The unvested restricted share units have the non-forfeitable right to participate in dividends declared and paid on the Company’s common stock on an as vested basis and are therefore considered a participating security. The Company calculates basic earnings per share using the “two-class” method, and for the three months ended March 31, 2018 and 2017, the income available to common stockholders was allocated to the unvested restricted stock units.

Diluted net income per Class A common shares for the period includes the effect of potential equity of subsidiaries as well as potential Class A common stock, if dilutive. For the three months ended March 30, 2018 the assumed exercise of all dilutive instruments were anti-dilutive to continuing operations and not included in diluted net income per Class A common share calculation.

The following table presents a reconciliation of basic and diluted net income per common share for the following periods:

	Three Months Ended March 31,
	2018			2017
Net income (loss) from continuing operations	$	(5,475	)	$	2,470
Less:
Net income (loss) attributable to non-controlling interests	(1,116		)	577
Net income allocated to participating securities	—			28
Net income (loss) from continuing operations attributable to Tiptree Inc. Class A common shares	(4,359		)	1,865
Net income (loss) from discontinued operations	34,481			(1,128		)
Less:
Net income (loss) from discontinued operations attributable to non-controlling interests	6,562			(335		)
Net income allocated to participating securities	—			(12		)
Net income (loss) from discontinued operations attributable to Tiptree Inc. Class A common shares	27,919			(781		)
Net income (loss) attributable to Tiptree Inc. Class A common shares - basic	$	23,560		$	1,084
Effect of Dilutive Securities:
Securities of subsidiaries	—			(17		)
Adjustments to income relating to exchangeable interests, net of tax	—			205
Net income (loss) attributable to Tiptree Inc. Class A common shares - diluted	$	23,560		$	1,272
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - basic	29,861,496			28,424,824
Weighted average number of incremental shares of Tiptree Inc. Class A common stock issuable from exchangeable interests and contingent considerations	—			8,325,132
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - diluted	29,861,496			36,749,956
Basic:
Net income (loss) from continuing operations	$	(0.15	)	$	0.07
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.04
Diluted:
Net income (loss) from continuing operations	$	(0.15	)	$	0.06
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.03

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Subsequent Events

3 Months Ended

Mar. 31, 2018

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

On April 3, 2018, the Company issued, through a subsidiary, 1,187,468 shares of Class A common stock to a limited partner of TFP in exchange for an aggregate of 424,399 TFP partnership units. TFP delivered to the Company for cancellation one share of Class B common stock of Tiptree for each share of Class A common stock issued. After the exchange, Tiptree directly owned approximately 84% of TFP.

On April 10, 2018, the Company completed a reorganization merger whereby TFP merged with and into the Company with the Company continuing as the surviving company (Reorganization Merger). Prior to the Reorganization Merger, Tiptree owned approximately 84% of TFP and TFP owned 100% of Tiptree Operating Company, LLC (OpCo), the operating subsidiary that holds all of the Company’s consolidated subsidiaries. After the Reorganization Merger, TFP ceased to exist and the Company owned 100% of OpCo.

In connection with the Reorganization Merger, each TFP limited partner other than TFI received 2.798 shares of Class A common stock for each partnership unit. Outstanding warrants to acquire 652,500 Class A shares at an exercise price of $11.33 per share owned by TFP were canceled. Warrants to acquire 103,994 shares of Class A common stock at an exercise price of $11.33 per share were issued to partners of TFP other than TFI. The warrants to acquire 805,986 TFP LP units at $21.232 per unit were canceled and TFI issued warrants for 2,255,149 Tiptree Class A shares at an exercise price of $7.59 per share to holders of the canceled warrants. In addition, TFI canceled all of the outstanding Class B common stock.

On April 16, 2018, the Company canceled 5,035,977 shares of Class A common stock held by a subsidiary of the Company.

In April 2018, a subsidiary in our mortgage business extended the maturity date of a $50,000 warehouse line of credit from May 2018 to May 2019.

On May 3, 2018, the Company’s board of directors declared a quarterly cash dividend of $0.035 per share to Class A stockholders with a record date of May 21, 2018, and a payment date of May 29, 2018.

On May 4, 2018 (the Effective Date), Operating Company entered into a Fifth Amendment to the Credit Agreement with Fortress providing for an additional $47,000 borrowing for a total principal amount outstanding of $75,000 as of the Effective Date. The Fifth Amendment extends the maturity date of all term loans under the Credit Agreement from September 18, 2018 to September 18, 2020. The amended facility also has a new interest rate at a variable rate of equal to one-month LIBOR with a LIBOR floor of 1.25%, plus a margin of 5.50% per annum and has a pre-payment fee of 1% for six months.

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2018

Accounting Policies [Abstract]

Revenue Recognition, Policy

Management Fees

The Company earns asset management fee income in the form of base management fees and incentives from the CLOs it manages. These base management fees are billed as the services are provided and paid periodically in accordance with the terms of the individual management agreements for as long as the Company manages the funds. Base management fees typically consist of fees based on the amount of assets held in the CLOs. Base management fees are recognized as revenue when earned. The Company does not recognize incentive fees until all contractual contingencies have been removed.

Service and Administrative Fees

Service fee revenue is recognized as the services are performed. These services include fulfillment, software development, and claims handling for our customers. Management reviews the financial results under each significant contract on a monthly basis. Any losses that may occur due to a specific contract would be recognized in the period in which the loss is determined probable.

Administrative fee revenue includes the administration of premium associated with our producers and their PORCs. In addition, we also earn fee revenue from debt cancellation programs, motor club programs, and warranty programs. Related administrative fee revenue is recognized consistent with the earnings recognition pattern of the underlying insurance policies, debt cancellation contracts and motor club memberships being administered, using Rule of 78's, modified Rule of 78's, pro rata, or other methods as appropriate for the contract. Management selects the appropriate method based on available information, and periodically reviews the selections as additional information becomes available.

Information on Remaining Performance Obligations

We do not disclose information about remaining performance obligations pertaining to contracts that have an original expected duration of one year or less. The transaction price allocated to remaining unsatisfied or partially unsatisfied performance obligations with an original expected duration exceeding one year was not material at March 31, 2018.

Contract Balances

The timing of our revenue recognition may differ from the timing of payment by our customers. We record a receivable when revenue is recognized prior to payment and we have an unconditional right to payment. Alternatively, when payment precedes the provision of the related services, we record deferred revenue until the performance obligations are satisfied.

Basis of Presentation

Basis of Presentation and Principles of Consolidation

The accompanying unaudited condensed consolidated financial statements of Tiptree have been prepared in accordance with generally accepted accounting principles in the United States of America (GAAP) and include the accounts of the Company and its subsidiaries. The condensed consolidated financial statements are presented in U.S. dollars, the main operating currency of the Company. The unaudited condensed consolidated financial statements presented herein should be read in conjunction with the annual audited financial statements included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2017. In the opinion of management, the accompanying unaudited interim financial information reflects all adjustments, including normal recurring adjustments necessary to present fairly the Company’s financial position, results of operations, comprehensive income and cash flows for each of the interim periods presented. The results of operations for the three months ended March 31, 2018 are not necessarily indicative of the results that may be expected for the full year ending on December 31, 2018.

As a result of changes in presentation made in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, certain prior period amounts related to discontinued operations have been reclassified from continuing operations to conform to the current presentation. These reclassifications had no effect on the reported results of operations. The primary difference in the presentation of the condensed consolidated financial statements from the prior year is the reclassification of Care, our senior living business, to discontinued operations in the condensed consolidated statement of operations. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations for additional information.

As a result of the adoption of ASU 2016-01, an immaterial amount of equity securities classified as available for sale as of December 31, 2017 were reclassified to equity securities, at fair value as of March 31, 2018. The net unrealized loss was immaterial. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows for the three months ended March 31, 2018 and 2017.

Principles of Consolidation

Tiptree consolidates those entities in which it has an investment of 50% or more of voting rights or has control over significant operating, financial and investing decisions of the entity as well as variable interest entities (VIEs) in which Tiptree is determined to be the primary beneficiary. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity risk for the entity to finance its activities without additional subordinated financial support from other parties.

A VIE is required to be consolidated only by its primary beneficiary, which is defined as the party who has the power to direct the activities of a VIE that most significantly impact its economic performance and who has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. Generally, Tiptree’s consolidated VIEs are entities which Tiptree is considered the primary beneficiary through its controlling financial interests.

Non-controlling interests on the condensed consolidated balance sheets represent the ownership interests in certain consolidated subsidiaries held by entities or persons other than Tiptree. Accounts and transactions between consolidated entities have been eliminated.

Use of Estimates

Use of Estimates

The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s condensed consolidated financial statements and accompanying notes. Management makes estimates and assumptions that include, but are not limited to, the determination of the following significant items:

• Fair value of financial assets and liabilities, including, but not limited to, securities, loans and derivatives

• Value of acquired assets and liabilities;

• Carrying value of goodwill and other intangibles, including estimated amortization period and useful lives;

• Reserves for unpaid losses and loss adjustment expenses, estimated future claims and losses, potential litigation and other claims;

• Valuation of contingent share issuances for compensation and purchase consideration, including estimates of number of shares and vesting schedules;

• Revenue recognition including, but not limited to, the timing and amount of insurance premiums, service, administration fees, and loan origination fees; and

• Other matters that affect the reported amounts and disclosure of contingencies in the condensed consolidated financial statements.

Although these and other estimates and assumptions are based on the best available estimates, actual results could differ materially from management’s estimates.

Business Combination Accounting

Business Combination Accounting

The Company accounts for business combinations by applying the acquisition method of accounting. The acquisition method requires, among other things, that the assets acquired and liabilities assumed in a business combination be measured at fair value as of the closing date of the acquisition. The net assets acquired may consist of tangible and intangible assets and the excess of purchase price over the fair value of identifiable net assets acquired, or goodwill. The determination of estimated useful lives and the allocation of the purchase price to the intangible assets requires significant judgment and affects the amount of future amortization and possible impairment charges. Contingent consideration, if any, is measured at fair value on the date of acquisition. The fair value of any contingent consideration liability is remeasured at each reporting date with any change recorded in other expense in the condensed consolidated statements of operations. Acquisition and transaction costs are expensed as incurred.

In certain instances, the Company may acquire less than 100% ownership of an entity, resulting in the recording of a non-controlling interest. The measurement of assets and liabilities acquired and non-controlling interest is initially established at a preliminary estimate of fair value, which may be adjusted during the measurement period, primarily due to the results of valuation studies applicable to the business combination.

Acquisitions that do not meet the criteria for the acquisition method of accounting are accounted for as acquisitions of assets.

Fair Value Measurement

Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. The three levels, from highest to lowest, are defined as follows:

•Level 1 – Unadjusted, quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

•Level 2 – Significant inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly through corroboration with observable market data. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability. The types of financial assets and liabilities carried at level 2 are valued based on one or more of the following:

a) Quoted prices for similar assets or liabilities in active markets;

b) Quoted prices for identical or similar assets or liabilities in nonactive markets;

c) Pricing models whose inputs are observable for substantially the full term of the asset or liability;

d) Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.

•Level 3 – Significant inputs that are unobservable inputs for the asset or liability, including the Company’s own data and assumptions that are used in pricing the asset or liability.

Fair Value Option

In addition to the financial instruments the Company is required to measure at fair value, the Company has elected to make an irrevocable election to utilize fair value as the initial and subsequent measurement attribute for certain eligible financial assets and liabilities. Unrealized gains and losses on items for which the fair value option has been elected are reported in Net realized and unrealized gains (losses) within the condensed consolidated statements of operations. The decision to elect the fair value option is determined on an instrument-by-instrument basis and must be applied to an entire instrument and is irrevocable once elected. Assets and liabilities measured at fair value pursuant to this guidance are reported separately in our condensed consolidated balance sheets from those instruments using another accounting method.

Recent Accounting Pronouncements

Recent Accounting Standards

Recently Adopted Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The amendments in this standard affects any entity that either enters into contracts with customers to transfer goods and services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. On July 9, 2015, the FASB decided to delay the effective date of ASU 2014-09 by one year. Reporting entities may choose to adopt the standard as of the original effective date. The deferral results in ASU 2014-09 being effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. A substantial majority of the Company’s non-investment related revenues are comprised of revenues from insurance contracts that are accounted for under Financial Services-Insurance (Topic 944) or certain financial services products (e.g. gains upon the origination of mortgages) that are not within the scope of the new standard.  The Company’s remaining revenues that are within the scope of Topic 606 are primarily comprised of revenues from contracts with customers for monthly membership dues for motor clubs, monthly administration fees for services provided for premiums, claims and reinsurance processing revenues, vehicle service contracts and warranty coverage revenues for household goods and appliances (collectively, remaining contracts). The Company has chosen the modified-retrospective method of adopting Topic 606, and has assessed these contracts and concluded that changes in accounting and revenue recognition upon adoption of Topic 606 was not material to the Company’s financial position as of January 1, 2018, and did not have a material impact on the Company’s condensed consolidated financial statements. No cumulative effect adjustment was made due to the adoption of this standard. See Note (13) Revenue From Contracts with Customers for disclosures required under ASU 2014-09 and others related to Topic 606.

In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, which makes targeted improvements to the recognition, measurement, presentation and disclosure of certain financial instruments. ASU 2016-01 focuses primarily on the accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for certain financial instruments. Among its provisions for public business entities, ASU 2016-01 eliminates the requirement to disclose the method(s) and significant assumptions used to estimate the fair value of financial instruments measured at amortized cost, requires the use of the exit price notion when measuring the fair value of financial instruments for disclosure purposes, requires the separate presentation in other comprehensive income of the change in fair value of a liability due to instrument-specific credit risk for a liability for which the reporting entity has elected the fair value option, requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) and clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. ASU 2016-01 was effective for the Company as of January 1, 2018. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), which clarify the implementation guidance on principal versus net considerations. The effective date and transition requirements for this standard are the same as the effective date and transition requirements of ASU 2014-09. See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, which clarifies guidance related to identifying performance obligations and licensing implementation guidance contained in the new revenue recognition standard. The Update includes targeted improvements based on input the FASB received from the Transition Resource Group for Revenue Recognition and other stakeholders. The Update seeks to proactively address areas in which diversity in practice potentially could arise, as well as to reduce the cost and complexity of applying certain aspects of the guidance both at implementation and on an ongoing basis. The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements in Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In May 2016, the FASB issued ASU 2016-11, Revenue Recognition (Topic 606) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting, which  rescinds SEC paragraphs pursuant to the SEC Staff Announcement, “Rescission of Certain SEC Staff Observer Comments upon Adoption of Topic 606,” and the SEC Staff Announcement, “Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or Equity,” announced at the March 3, 2016 Emerging Issues Task Force (EITF) meeting. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, which provides guidance on collectability, noncash consideration, and completed contracts at transition.  Additionally, the amendments in this Update provide a practical expedient for contract modifications at transition and an accounting policy election related to the presentation of sales taxes and other similar taxes collected from customers.  The effective date and transition requirements for the amendments in this Update are the same as the effective date and transition requirements for Topic 606 (and any other Topic amended by Update 2014-09). See discussion of the impact of ASU 2014-09 above which addresses the total impact of Topic 606.

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which addresses the following eight specific cash flow issues: Debt prepayment or debt extinguishment costs; settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; contingent consideration payments made after a business combination; proceeds from the settlement of insurance claims; proceeds from the settlement of corporate-owned life insurance policies (COLIs) (including bank-owned life insurance policies (BOLIs)); distributions received from equity method investees; beneficial interests in securitization transactions; and separately identifiable cash flows and application of the predominance principle. The standard is effective for financial statements issued for fiscal years beginning after December 15, 2017 and interim periods within those annual periods. Early adoption is permitted, including the adoption in an interim period. The amendments in this Update should be applied using a retrospective transition method to each period presented. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18, Restricted Cash (a consensus of the FASB Emerging Issues Task Force), which addresses classification and presentation of changes in restricted cash on the statement of cash flows.ASU 2016-18 requires an entity’s reconciliation of the beginning-of-period and end-of-period total amounts shown on the statement of cash flows to include in cash and cash equivalents amounts generally described as restricted cash and restricted cash equivalents. The ASU does not define restricted cash or restricted cash equivalents, but an entity will need to disclose the nature of the restrictions. ASU 2016-18 is effective for public business entities for annual and interim periods in fiscal years beginning after December 15, 2017. The adoption of ASU 2016-18 resulted in reclassification of restricted cash balances into cash, cash equivalents and restricted cash on the condensed consolidated statements of cash flows in the first quarter of 2018.

In February 2017, the FASB issued ASU 2017-05, Other Income-Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets. The new guidance is effective for fiscal years beginning after December 15, 2017 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2016. The guidance may be applied retrospectively for all periods presented or retrospectively with a cumulative-effect adjustment at the date of adoption. The new guidance clarifies the scope and accounting of a financial asset that meets the definition of an “in-substance nonfinancial asset” and defines the term, “in-substance nonfinancial asset.” The ASU also adds guidance for partial sales of nonfinancial assets. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements.

In May 2017, the FASB issued ASU 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting, which provided clarity as to what changes to the terms or conditions of share-based payment awards require an entity to apply modification accounting in Topic 718. ASU 2017-09 is effective for the Company for interim and annual periods beginning after December 15, 2017, with early adoption permitted, and is applied prospectively to changes in terms or conditions of awards occurring on or after the adoption date. The Company will consider the impact that this standard may have on future stock-based payment award modifications should they occur.

Recently Issued Accounting Pronouncements, Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e., lessees and lessors). The new standard requires lessees to apply a dual approach, classifying leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification will determine whether lease expense is recognized based on an effective interest method or on a straight-line basis over the term of the lease. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. Leases with a term of 12 months or less will be accounted for similar to existing guidance for operating leases today. The new standard requires lessors to account for leases using an approach that is substantially equivalent to existing guidance for sales-type leases, direct financing leases and operating leases. ASU 2016-02 supersedes the previous leases standard, Leases (Topic 840). The standard is effective on January 1, 2019, with early adoption permitted. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13 Financial Instruments -Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends guidance on reporting credit losses for assets held at amortized cost basis and available for sale debt securities. For assets held at amortized cost basis, Topic 326 eliminates the probable initial recognition threshold in current GAAP and, instead requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available for sale debt securities, credit losses should be measured in a manner similar to current GAAP, however Topic 326 will require that credit losses be presented as an allowance rather than as a write-down. This ASU affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments in ASU 2016-13 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The amendments will affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment. ASU 2017-04 does not change the qualitative assessment; however, it removes “the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test.” Instead, all reporting units, even those with a zero or negative carrying amount will apply the same impairment test. Therefore, as the FASB notes in the ASU’s Basis for Conclusions, the goodwill of reporting units with zero or negative carrying values will not be impaired, even when conditions underlying the reporting unit indicate that goodwill is impaired. Entities will, however, be required to disclose any reporting units with zero or negative carrying amounts and the respective amounts of goodwill allocated to those reporting units. The amendments in ASU 2017-04 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early adoption permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In March 2017, the FASB issued ASU 2017-08, Receivables-Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities. The new guidance is effective for fiscal years beginning after December 15, 2018 and interim periods within those years. Early adoption is permitted for interim or annual reporting periods beginning after December 15, 2017. The guidance is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The guidance shortens the amortization period for certain callable debt securities held at a premium, requiring the premium to be amortized to the earliest call date. The Company believes that the adoption of ASU 2017-08 will not have a material impact on its condensed consolidated financial statements.

In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, which amends the guidance on hedge accounting. The amendment will make more financial and nonfinancial hedging strategies eligible for hedge accounting and amend the presentation and disclosure requirements. It is intended to more closely align hedge accounting with companies’ risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. ASU 2017-12 can be adopted immediately in any interim or annual period. The mandatory effective date for calendar year-end public companies is January 1, 2019. The Company is currently evaluating the effect on its condensed consolidated financial statements.

In February 2018, the FASB issued ASU 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which permits companies to reclassify stranded tax effects caused by Public Law no. 115-97, commonly referred to as the Tax Cuts and Jobs Act (Tax Act) from accumulated other comprehensive income (AOCI) to retained earnings. Deferred tax assets (DTA) related to available for sale (AFS) securities unrealized gains and losses that were revalued as of December 31, 2017 created stranded tax effects in accumulated other comprehensive income (AOCI) due to the enactment of the tax act, due to the nature of existing GAAP requiring recognition of tax rate change effects on the DTA revaluation related to AFS securities as an adjustment to provision for income taxes. Specifically, ASU 2018-02 permits a reclassification from AOCI to retained earnings for stranded tax effects resulting from the Tax Act. Additionally, the ASU requires new disclosures by all companies, whether they opt to do the reclassification or not. The amendments in ASU 2018-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company believes that the adoption of ASU 2018-02 will not have a material impact on its consolidated financial statements.

Derivative Financial Instruments and Hedging

The Company utilizes derivative financial instruments as part of its overall investment and hedging activities. Derivative contracts are subject to additional risk that can result in a loss of all or part of an investment. The Company’s derivative activities are primarily classified by underlying credit risk and interest rate risk. In addition, the Company is also subject to additional counterparty risk should it’s counterparties fail to meet the contract terms. The derivative financial instruments are located within derivative assets at fair value and are reported in other investments. Derivative liabilities are reported within other liabilities and accrued expenses.

Derivatives, at fair value

Interest Rate Lock Commitments

The Company enters into interest rate lock commitments (IRLCs) with customers in connection with its mortgage banking activities to fund residential mortgage loans with certain terms at specified times in the future. IRLCs that relate to the origination of mortgage loans that will be classified as held-for-sale are considered derivative instruments under applicable accounting guidance. As such, these IRLCs are recorded at fair value with changes in fair value typically resulting in recognition of a gain when the Company enters into IRLCs. In estimating the fair value of an IRLC, the Company assigns a probability that the loan commitment will be exercised and the loan will be funded (“pull through”). The fair value of the commitments is derived from the fair value of related mortgage loans, net of estimated costs to complete. Outstanding IRLCs expose the Company to the risk that the price of the loans underlying the commitments might decline from inception of the rate lock to funding of the loan. To manage this risk, the Company utilizes forward delivery contracts and TBA mortgage backed securities to economically hedge the risk of potential changes in the value of the loans that would result from the commitments.

Forward Delivery Contracts and TBA Mortgage Backed Securities

The Company enters into forward delivery contracts with loan aggregators and other investors as one of the tools to manage the interest rate risk associated with IRLCs and loans held for sale. In addition, the Company enters into to be announced (TBA) mortgage backed securities which facilitate hedging and funding by allowing the Company to prearrange prices for mortgages that are in the process of originating. The Company utilizes these hedging instruments for Agency (Fannie Mae and Freddie Mac) and FHA/VA (Ginnie Mae) eligible IRLCs.

Fair Value of Financial Instruments, Policy

The Company maximizes the use of observable inputs and minimizes the use of unobservable inputs to the extent possible to measure a financial instrument’s fair value. Observable inputs reflect the assumptions market participants would use in pricing an asset or liability, and are affected by the type of product, whether the product is traded on an active exchange or in the secondary market, as well as current market conditions. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Fair value is estimated by applying the hierarchy discussed in Note (2) Summary of Significant Accounting Policies which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized within Level 3 of the fair value hierarchy.

The Company’s fair value measurement is based primarily on a market approach, which utilizes prices and other relevant information generated by market transactions involving identical or comparable financial instruments. Sources of inputs to the market approach include third-party pricing services, independent broker quotations and pricing matrices. Management analyzes the third party valuation methodologies and its related inputs to perform assessments to determine the appropriate level within the fair value hierarchy and to assess reliability of values. Further, management has a process in place to review all changes in fair value that occurred during each measurement period. Any discrepancies or unusual observations are followed through to resolution through the source of the pricing as well as utilizing comparisons, if applicable, to alternate pricing sources. In addition, the Company utilizes an income approach to measure the fair value of NPLs, as discussed below.

The Company utilizes observable and unobservable inputs within its valuation methodologies. Observable inputs may include: benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids, offers and reference data. In addition, specific issuer information and other market data is used. Broker quotes are obtained from sources recognized to be market participants. Unobservable inputs may include: expected cash flow streams, default rates, supply and demand considerations and market volatility.

Available for Sale Securities

Available for sale securities are generally classified within either Level 1 or Level 2 of the fair value hierarchy and are based on prices provided by an independent pricing service and a third party investment manager who provide a single price or quote per security.

The following details the methods and assumptions used to estimate the fair value of each class of available for sale securities and the applicable level each security falls within the fair value hierarchy:

U.S Treasury Securities, Obligations of U.S. Government Authorities and Agencies, Obligations of State and Political Subdivisions, Corporate Securities, Asset-Backed Securities, and Obligations of Foreign Governments: Fair values were obtained from an independent pricing service and a third party investment manager. The prices provided by the independent pricing service are based on quoted market prices, when available, non-binding broker quotes, or matrix pricing and fall under Level 2 of the fair value hierarchy.

Certificates of Deposit: The estimated fair value of certificates of deposit approximate carrying value and fall under Level 1 of the fair value hierarchy.

Equity securities, at fair value

The fair values of publicly traded common and preferred stocks were obtained from market value quotations provided by an independent pricing service and fall under Level 1 of the fair value hierarchy. The fair values of non-publicly traded common and preferred stocks were based on prices obtained from an independent pricing service using unobservable inputs and fall under Level 3 of the fair value hierarchy.

The Company’s investment in Invesque is subject to certain contractual restrictions on registration and sale. The fair value of the Invesque shares is based on the market price adjusted for the impact of such restrictions. As of March 31, 2018 the weighted average estimated restriction period was 11 months. As a result of the discount on the Invesque investment, the fair value measurement falls under Level 2 of the fair value hierarchy.

Loans, at fair value

Corporate Loans: These loans are comprised of a diversified portfolio of middle market and broadly syndicated leveraged loans and are generally classified within either Level 2 or Level 3 in the fair value hierarchy. The Company has evaluated each loan’s respective liquidity and has additionally performed valuation benchmarking. The key characteristics which were evaluated as part of this determination were liquidity ratings, price changes to index benchmarks, depth of quotes, credit ratings and industry trends.

Mortgage Loans Held for Sale: Mortgage loans held for sale are generally classified as Level 2 in the fair value hierarchy and fair value is based upon forward sales contracts with third party investors, including estimated loan costs, and reserves.

Nonperforming Loans and REO: The Company determines the purchase price for NPLs at the time of acquisition and for each subsequent valuation by using a discounted cash flow valuation model and considering alternate loan resolution probabilities, including modification, liquidation, or conversion to REO. The significant unobservable inputs used in the fair value measurement of our NPLs are discount rates, loan resolution timeline, and the value of underlying properties. The fair values of NPLs which are making payments (generally based on a modification or a workout plan) are primarily based upon secondary market transaction prices, which are expressed as a percentage of unpaid principal balance (UPB). Observable inputs to the model include loan amounts, payment history, and property types. Our NPLs are on nonaccrual status at the time of purchase as it is probable that principal or interest is not fully collectible. NPLs are included in loans, at fair value and fall under Level 3 of the fair value hierarchy.

NPLs that have become REOs were measured at fair value on a non-recurring basis during the three months ended March 31, 2018 and the year ended December 31, 2017. The carrying value of REOs at March 31, 2018 and December 31, 2017 was $16,811 and $16,056, respectively. Upon conversion to REO, the fair value is estimated using broker price opinion (BPO). BPOs are subject to judgments of a particular broker formed by visiting a property, assessing general home values in an area, reviewing comparable listings, and reviewing comparable completed sales. These judgments may vary among brokers and may fluctuate over time based on housing market activities and the influx of additional comparable listings and sales. REO is included in other investments. Subsequent to conversion, REOs are carried at lower of cost or market.

Derivative Assets and Liabilities

Derivatives are comprised of interest rate lock commitments (IRLC) and to be announced mortgage backed securities (TBA) . The fair value of these instruments is based upon valuation pricing models, which represent the amount the Company would expect to receive or pay at the balance sheet date to exit the position. Our mortgage origination subsidiaries issue IRLCs to its customers, which are carried at estimated fair value on the Company’s condensed consolidated balance sheet. The estimated fair values of these commitments are generally calculated by reference to the value of the underlying loan associated with the IRLC net of costs to produce and an expected fall out assumption. The fair values of these commitments generally result in a Level 3 classification. Our mortgage origination subsidiaries manage their exposure by entering into forward delivery commitments with loan investors. For loans not locked with investors under a forward delivery commitment, the Company enters into hedge instruments, primarily TBAs, to protect against movements in interest rates. The fair values of TBA mortgage backed securities and forward delivery contracts generally result in a Level 2 classification.

Notes and Accounts Receivable: To the extent that carrying amounts differ from fair value, fair value is determined based on contractual cash flows discounted at market rates for similar credits. Categorized as Level 2 of the fair value hierarchy.

Debt: The carrying value represents the total debt balance at face value excluding the unamortized discount. The fair value of notes payable is determined based on contractual cash flows discounted at market rates for mortgage notes payable and either dealer quotes or contractual cash flows discounted at market rates for other notes payable. Categorized as Level 3 of the fair value hierarchy.

Additionally, the following financial assets and liabilities on the condensed consolidated balance sheets are not carried at fair value, but whose carrying amounts approximate their fair value:

Cash and Cash Equivalents: The carrying amounts of cash and cash equivalents are carried at cost which approximates fair value. Categorized as Level 1 of the fair value hierarchy.

Accounts and Premiums Receivable, net, retrospective commissions receivable and other receivables: The carrying amounts approximate fair value since no interest rate is charged on these short duration assets. Categorized as Level 2 of the fair value hierarchy. See Note (6) Notes and Accounts Receivable, net.

Due from Brokers, Dealers, and Trustees and Due to Brokers, Dealers and Trustees: The carrying amounts are included in other assets and other liabilities and accrued expenses and approximate their fair value due to their short‑term nature. Categorized as Level 2 of the fair value hierarchy.

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Dispositions, Assets Held for Sale and Discontinued Operations Tables (Tables)

3 Months Ended

Mar. 31, 2018

Discontinued Operations and Disposal Groups [Abstract]

Disposal Groups, Including Discontinued Operations [Table Text Block]

Assets Held for Sale

The following table represents detail of assets and liabilities held for sale in the condensed consolidated balance sheets for the following periods:

	As of
	March 31, 2018(1)		December 31, 2017
Assets	Luxury		Care		Luxury		Total
Investments:
Loans, at fair value	$	51,113	$	—	$	57,255	$	57,255
Loans at amortized cost, net	—		700		—		700
Real estate, net of accumulated depreciation of $0 and $26,823	—		347,303		—		347,303
Other investments	791		1,853		677		2,530
Total Investments	51,904		349,856		57,932		407,788
Cash and cash equivalents	1,871		8,316		2,217		10,533
Notes and accounts receivable, net	203		5,318		263		5,581
Intangible assets, net of accumulated amortization of $0 and $26,944	—		17,417		—		17,417
Other assets	879		6,508		665		7,173
Assets held for sale	$	54,857	$	387,415	$	61,077	$	448,492
Liabilities
Debt, net	$	47,814	$	296,868	$	53,835	$	350,703
Other liabilities and accrued expenses	1,654		10,693		1,422		12,115
Liabilities held for sale	$	49,468	$	307,561	$	55,257	$	362,818

(1) Reflects the closing of the sale of Care discussed above. The reduction in net assets and liabilities held for sale included approximately $13.4 million related to non-controlling interest.

Discontinued Operations

The following table represents detail of revenues and expenses of discontinued operations in the condensed consolidated statements of operations for the following periods:

	Three months ended March 31,
	2018		2017
Revenues:
Rental and related revenue	$	6,476	$	17,403
Other revenue	149		316
Total revenues	6,625		17,719
Expenses:
Employee compensation and benefits	2,788		7,079
Interest expense	1,252		2,701
Depreciation and amortization	—		4,255
Other expenses	1,961		5,214
Total expenses	6,001		19,249
Net income (loss) before taxes from discontinued operations	624		(1,530		)
Gain on sale of discontinued operations, net	46,184		—
Less: provision (benefit) for income taxes	12,327		(402		)
Net income (loss) from discontinued operations	$	34,481	$	(1,128	)

Condensed Cash Flow Statement [Table Text Block]

The following table represents a summary of cash flows related to discontinued operation included in the condensed consolidated statements of cash flows for the following periods:

	Three Months Ended March 31,
	2018			2017
Net cash provided by (used in):
Operating activities	$	(2,095	)	$	3,698
Investing activities	(592		)	(17,397		)
Financing activities	(123		)	9,238
Net cash flows provided by discontinued operations	$	(2,810	)	$	(4,461	)

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Operating Segment Data (Tables)

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

The tables below present the components of revenue, expense, pre-tax income (loss), and segment assets for each of the operating segments for the following period.

	Three Months Ended March 31, 2018
				Tiptree Capital
	Specialty insurance			Asset management			Mortgage			Other			Total
Total revenue	$	129,998		$	1,855		$	12,998		$	3,221		$	148,072
Total expense	(128,655		)	(963		)	(12,845		)	(5,938		)	(148,401		)
Corporate expense	—			—			—			—			(6,714		)
Income (loss) before taxes from continuing operations	$	1,343		$	892		$	153		$	(2,717	)	$	(7,043	)
Less: provision (benefit) for income taxes													(1,568		)
Net income (loss) from discontinued operations													34,481
Net income (loss) before non-controlling interests													$	29,006
Less: net income (loss) attributable to non-controlling interests													5,446
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	23,560

	Three Months Ended March 31, 2017
				Tiptree Capital
	Specialty insurance(1)			Asset management			Mortgage			Other			Total
Total revenue	$	121,846		$	2,973		$	12,828		$	8,542		$	146,189
Total expense	(117,045		)	(1,307		)	(12,527		)	(8,458		)	(139,337		)
Net income attributable to consolidated CLOs	—			3,915			—			—			3,915
Corporate expense	—			—			—			—			(6,729		)
Income (loss) before taxes from continuing operations	$	4,801		$	5,581		$	301		$	84		$	4,038
Less: provision (benefit) for income taxes													1,568
Net income (loss) from discontinued operations													(1,128		)
Net income (loss) before non-controlling interests													$	1,342
Less: net income (loss) attributable to non-controlling interests													242
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	1,100

The following table presents the segment assets for the following periods:
	Segment Assets as of March 31, 2018
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,375,162	$	4,717	$	82,253	$	171,817	$	1,633,949
Assets held for sale	—		—		—		54,857		54,857
Total assets									$	1,688,806
	Segment Assets as of December 31, 2017
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,367,437	$	5,537	$	90,260	$	78,016	$	1,541,250
Assets held for sale	—		—		—		448,492		448,492
Total assets									$	1,989,742

Investments by Segment

The following table presents investments by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	212,809	$	—	$	—	$	—	$	212,809
Loans, at fair value	186,574		—		52,757		—		239,331
Equity securities, at fair value	34,320		—		—		105,918		140,238
Other investments	33,477		2,796		4,407		563		41,243
Total	$	467,180	$	2,796	$	57,164	$	106,481	$	633,621
	As of December 31, 2017
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	182,448	$	—	$	—	$	—	$	182,448
Loans, at fair value	195,327		—		62,846		—		258,173
Equity securities, at fair value	25,536		—		—		—		25,536
Other investments	50,720		2,846		5,013		563		59,142
Total	$	454,031	$	2,846	$	67,859	$	563	$	525,299

(1) Investment income sourced from these investments is presented in Note (15) Other Revenue, Other Expenses and Other Income.

(2) Does not include items related to assets held for sale. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

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Available for Sale Securities, at fair value (Tables)

3 Months Ended

Mar. 31, 2018

Investments, Debt and Equity Securities [Abstract]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

The tables below present the components of revenue, expense, pre-tax income (loss), and segment assets for each of the operating segments for the following period.

	Three Months Ended March 31, 2018
				Tiptree Capital
	Specialty insurance			Asset management			Mortgage			Other			Total
Total revenue	$	129,998		$	1,855		$	12,998		$	3,221		$	148,072
Total expense	(128,655		)	(963		)	(12,845		)	(5,938		)	(148,401		)
Corporate expense	—			—			—			—			(6,714		)
Income (loss) before taxes from continuing operations	$	1,343		$	892		$	153		$	(2,717	)	$	(7,043	)
Less: provision (benefit) for income taxes													(1,568		)
Net income (loss) from discontinued operations													34,481
Net income (loss) before non-controlling interests													$	29,006
Less: net income (loss) attributable to non-controlling interests													5,446
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	23,560

	Three Months Ended March 31, 2017
				Tiptree Capital
	Specialty insurance(1)			Asset management			Mortgage			Other			Total
Total revenue	$	121,846		$	2,973		$	12,828		$	8,542		$	146,189
Total expense	(117,045		)	(1,307		)	(12,527		)	(8,458		)	(139,337		)
Net income attributable to consolidated CLOs	—			3,915			—			—			3,915
Corporate expense	—			—			—			—			(6,729		)
Income (loss) before taxes from continuing operations	$	4,801		$	5,581		$	301		$	84		$	4,038
Less: provision (benefit) for income taxes													1,568
Net income (loss) from discontinued operations													(1,128		)
Net income (loss) before non-controlling interests													$	1,342
Less: net income (loss) attributable to non-controlling interests													242
Net income (loss) attributable to Tiptree Inc. Class A common stockholders													$	1,100

The following table presents the segment assets for the following periods:
	Segment Assets as of March 31, 2018
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,375,162	$	4,717	$	82,253	$	171,817	$	1,633,949
Assets held for sale	—		—		—		54,857		54,857
Total assets									$	1,688,806
	Segment Assets as of December 31, 2017
			Tiptree Capital
	Specialty insurance		Asset management		Mortgage		Other		Total
Segment assets	$	1,367,437	$	5,537	$	90,260	$	78,016	$	1,541,250
Assets held for sale	—		—		—		448,492		448,492
Total assets									$	1,989,742

Investments by Segment

The following table presents investments by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	212,809	$	—	$	—	$	—	$	212,809
Loans, at fair value	186,574		—		52,757		—		239,331
Equity securities, at fair value	34,320		—		—		105,918		140,238
Other investments	33,477		2,796		4,407		563		41,243
Total	$	467,180	$	2,796	$	57,164	$	106,481	$	633,621
	As of December 31, 2017
	Specialty insurance		Tiptree Capital
			Asset management		Mortgage (1)		Other (1) (2)		Total
Available for sale securities, at fair value	$	182,448	$	—	$	—	$	—	$	182,448
Loans, at fair value	195,327		—		62,846		—		258,173
Equity securities, at fair value	25,536		—		—		—		25,536
Other investments	50,720		2,846		5,013		563		59,142
Total	$	454,031	$	2,846	$	67,859	$	563	$	525,299

(1) Investment income sourced from these investments is presented in Note (15) Other Revenue, Other Expenses and Other Income.

(2) Does not include items related to assets held for sale. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Schedule of available-for-sale securities reconciliation

Available for Sale Securities, at fair value

All of the Company’s investments in available for sale securities as of March 31, 2018 and December 31, 2017 are held by subsidiaries in the specialty insurance business. The following tables present the Company's investments in available for sale securities:

	As of March 31, 2018
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	38,620	$	9	$	(653	)	$	37,976
Obligations of state and political subdivisions	55,093		44		(610		)	54,527
Corporate securities	72,520		7		(1,046		)	71,481
Asset backed securities	44,667		309		(524		)	44,452
Certificates of deposit	1,966		—		—			1,966
Obligations of foreign governments	2,412		3		(8		)	2,407
Total	$	215,278	$	372	$	(2,841	)	$	212,809
	As of December 31, 2017
	Amortized cost		Gross unrealized gains		Gross unrealized losses			Fair value
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	48,399	$	20	$	(474	)	$	47,945
Obligations of state and political subdivisions	47,211		190		(420		)	46,981
Corporate securities	62,125		195		(345		)	61,975
Asset backed securities	23,369		182		(58		)	23,493
Certificates of deposit	896		—		—			896
Equity securities	595		10		(17		)	588
Obligations of foreign governments	562		9		(1		)	570
Total	$	183,157	$	606	$	(1,315	)	$	182,448

Schedule of available-for-sale securities, continuous unrealized loss position

The following tables summarize the gross unrealized losses on available for sale securities in an unrealized loss position:

	As of March 31, 2018
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	27,071	$	(441	)	104	$	7,288	$	(212	)	56
Obligations of state and political subdivisions	38,372		(256		)	140	5,862		(354		)	41
Corporate securities	62,694		(778		)	579	5,593		(268		)	103
Asset-backed securities	6,078		(524		)	20	—		—			—
Obligations of foreign governments	1,661		(8		)	11	—		—			—
Total	$	135,876	$	(2,007	)	854	$	18,743	$	(834	)	200
	As of December 31, 2017
	Less Than or Equal to One Year						More Than One Year
	Fair value		Gross unrealized losses			# of Securities	Fair value		Gross unrealized losses			# of Securities
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	37,918	$	(291	)	115	$	7,584	$	(183	)	56
Obligations of state and political subdivisions	24,165		(135		)	96	7,294		(285		)	48
Corporate securities	37,573		(179		)	295	6,568		(166		)	127
Asset-backed securities	1,297		(58		)	2	—		—			—
Equity securities	295		(15		)	3	63		(2		)	2
Obligations of foreign governments	371		(1		)	1	—		—			—
Total	$	101,619	$	(679	)	512	$	21,509	$	(636	)	233

Schedule of amortized cost and fair value by contractual maturity date

The amortized cost and fair values of investments in debt securities, by contractual maturity date, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Excluded from this table are equity securities since they have no contractual maturity.

	As of
	March 31, 2018				December 31, 2017
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	24,795	$	24,732	$	26,399	$	26,363
Due after one year through five years	104,842		103,666		86,287		85,852
Due after five years through ten years	36,057		35,150		41,442		41,085
Due after ten years	4,917		4,809		5,065		5,067
Asset-backed securities	44,667		44,452		23,369		23,493
Total	$	215,278	$	212,809	$	182,562	$	181,860

Restricted Investments

The following table presents the Company's restricted investments included in the Company's available for sale securities:

	As of
	March 31, 2018		December 31, 2017
Fair value of restricted investments for special deposits required by state insurance departments	$	5,466	$	6,101
Fair value of restricted investments in trust pursuant to reinsurance agreements	17,646		10,175
Total fair value of restricted investments	$	23,112	$	16,276

Available-for-sale Securities

The following table presents additional information on the Company’s available for sale securities:

	Three Months Ended March 31,
	2018			2017
Purchases of available for sale securities	$	75,570		$	23,909
Proceeds from maturities, calls and prepayments of available for sale securities	$	10,018		$	4,223
Gains (losses) realized on maturities, calls and prepayments of available for sale securities	$	(26	)	$	(3	)
Gross proceeds from sales of available for sale securities	$	32,032		$	13,494
Gains (losses) realized on sales of available for sale securities	$	(500	)	$	(44	)

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Investment in Loans (Tables)

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

The following table presents the Company’s investments in loans, measured at fair value pledged as collateral:

	As of
	March 31, 2018		December 31, 2017
Corporate loans	$	150,834	$	154,279
Mortgage loans held for sale	51,469		62,212
Non-performing loans	—		30,703
Total fair value of loans pledged as collateral	$	202,303	$	247,194

Investment in Loans

The following table presents the Company’s investments in loans, measured at fair value:

	As of March 31, 2018							As of December 31, 2017
	Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB			Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB
Loans, at fair value
Corporate loans (1)	$	154,377	$	154,856	$	(479	)	$	157,661	$	157,834	$	(173	)
Mortgage loans held for sale	52,757		51,416		1,341			62,846		60,764		2,082
Non-performing loans (2)	32,197		42,868		(10,671		)	37,666		52,872		(15,206		)
Total loans, at fair value	$	239,331	$	249,140	$	(9,809	)	$	258,173	$	271,470	$	(13,297	)

(1) The UPB of these loans approximates cost basis.

(2) The cost basis of NPLs was approximately $27,077 and $32,398 at March 31, 2018 and December 31, 2017, respectively.

The following table summarizes the total notes and accounts receivable, net:

	As of
	March 31, 2018		December 31, 2017
Notes receivable, net - premium financing program (1)	$	12,146	$	12,225
Accounts and premiums receivable, net	67,785		59,946
Retrospective commissions receivable	72,052		68,064
Trust receivables	33,106		29,060
Other receivables	16,068		17,127
Total	$	201,157	$	186,422

(1) Related to the Company’s specialty insurance business.

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Other Investments (Tables)

3 Months Ended

Mar. 31, 2018

Other Investments [Abstract]

Investment Holdings, Other than Securities [Table Text Block]

Other Investments

The following table contains information regarding the Company’s other investments as of the following periods:

	As of
	March 31, 2018		December 31, 2017
Other investments
Real estate, net (1) (2)	$	—	$	19,226
Foreclosed residential real estate property	16,811		16,056
Seller financing (3)	11,550		11,275
Derivative assets	4,407		5,013
Debentures	5,116		4,163
Other	3,359		3,409
Total other investments	$	41,243	$	59,142

(1) Net of accumulated depreciation of $0 and $440, respectively.

(2) Disposed of as part of the sale of Care. See (3) Dispositions, Assets Held for Sale & Discontinued Operations.

(3) Seller provided financing related to the sale of our commercial lending business.

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Net Investment Income (Tables)

3 Months Ended

Mar. 31, 2018

Income Statement [Abstract]

Investment Income [Table Text Block]

The following table presents the components of net investment income related to our specialty insurance business recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net investment income	2018		2017
Available for sale securities, at fair value	$	1,219	$	818
Loans, at fair value	2,472		2,905
Equity securities, at fair value	390		725
Other investments	439		244
Total investment income	4,520		4,692
Less: investment expenses	315		187
Net investment income	$	4,205	$	4,505

Gain (Loss) on Investments [Table Text Block]

The following table presents the net gain on the sale of mortgage loans and the cumulative net unrealized gains (losses) on equity securities, at fair value recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Net realized gain on sale of mortgage loans (1)	$	11,394		$	14,881
Net unrealized gains (losses) on equity securities, at fair value held at the reporting date	$	(11,270	)	$	(1,740	)

⁽¹⁾ Related to the Company’s mortgage business.

The following table presents the components of net realized and unrealized gains (losses) recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
Net realized and unrealized gains (losses)	2018			2017
Net realized gains (losses)	$	20,157		$	10,878
Net unrealized gains (losses)	(13,551		)	5,334
Net realized and unrealized gains (losses)	$	6,606		$	16,212

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Notes and Accounts Receivable, net Notes and Accounts Receivable, net (Tables)

3 Months Ended

Mar. 31, 2018

Receivables [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

The following table presents the Company’s investments in loans, measured at fair value pledged as collateral:

	As of
	March 31, 2018		December 31, 2017
Corporate loans	$	150,834	$	154,279
Mortgage loans held for sale	51,469		62,212
Non-performing loans	—		30,703
Total fair value of loans pledged as collateral	$	202,303	$	247,194

Investment in Loans

The following table presents the Company’s investments in loans, measured at fair value:

	As of March 31, 2018							As of December 31, 2017
	Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB			Fair value		Unpaid principal balance (UPB)		Fair value exceeds / (below) UPB
Loans, at fair value
Corporate loans (1)	$	154,377	$	154,856	$	(479	)	$	157,661	$	157,834	$	(173	)
Mortgage loans held for sale	52,757		51,416		1,341			62,846		60,764		2,082
Non-performing loans (2)	32,197		42,868		(10,671		)	37,666		52,872		(15,206		)
Total loans, at fair value	$	239,331	$	249,140	$	(9,809	)	$	258,173	$	271,470	$	(13,297	)

(1) The UPB of these loans approximates cost basis.

(2) The cost basis of NPLs was approximately $27,077 and $32,398 at March 31, 2018 and December 31, 2017, respectively.

The following table summarizes the total notes and accounts receivable, net:

	As of
	March 31, 2018		December 31, 2017
Notes receivable, net - premium financing program (1)	$	12,146	$	12,225
Accounts and premiums receivable, net	67,785		59,946
Retrospective commissions receivable	72,052		68,064
Trust receivables	33,106		29,060
Other receivables	16,068		17,127
Total	$	201,157	$	186,422

(1) Related to the Company’s specialty insurance business.

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Reinsurance Receivables (Tables)

3 Months Ended

Mar. 31, 2018

Reinsurance Disclosures [Abstract]

Effects of Reinsurance [Table Text Block]

The following table presents the effect of reinsurance on premiums written and earned by our specialty insurance business for the following periods:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Premiums written:
Life insurance	$	13,762	$	7,176	$	427	$	7,013	6.1	%
Accident and health insurance	26,626		17,433		769		9,962		7.7	%
Property and liability insurance	141,742		66,827		17,328		92,243		18.8	%
Total premiums written	182,130		91,436		18,524		109,218		17.0	%
Premiums earned:
Life insurance	15,614		7,822		453		8,245		5.5	%
Accident and health insurance	28,902		19,617		818		10,103		8.1	%
Property and liability insurance	129,609		53,931		7,619		83,297		9.1	%
Total premiums earned	$	174,125	$	81,370	$	8,890	$	101,645	8.7	%
For the Three Months Ended March 31, 2017
Premiums written:
Life insurance	$	12,296	$	5,730	$	437	$	7,003	6.2	%
Accident and health insurance	25,170		16,306		710		9,574		7.4	%
Property and liability insurance	121,757		56,968		4,982		69,771		7.1	%
Total premiums written	159,223		79,004		6,129		86,348		7.1	%
Premiums earned:
Life insurance	15,188		7,412		493		8,269		6.0	%
Accident and health insurance	27,369		19,058		775		9,086		8.5	%
Property and liability insurance	114,064		46,506		4,318		71,876		6.0	%
Total premiums earned	$	156,621	$	72,976	$	5,586	$	89,231	6.3	%

The following table presents the components of policy and contract benefits, including the effect of reinsurance on losses and loss adjustment expenses (LAE) incurred:

	Direct amount		Ceded to other companies		Assumed from other companies		Net amount		Percentage of amount - assumed to net
For the Three Months Ended March 31, 2018
Losses Incurred
Life insurance	$	10,353	$	5,672	$	162	$	4,843	3.3	%
Accident and health insurance	4,577		3,544		246		1,279		19.2	%
Property and liability insurance	53,557		32,930		5,963		26,590		22.4	%
Total losses incurred	68,487		42,146		6,371		32,712		19.5	%
	Member benefit claims (1)						3,914
	Total policy and contract benefits						$	36,626
For the Three Months Ended March 31, 2017
Losses Incurred
Life insurance	$	8,202	$	4,418	$	295	$	4,079	7.2	%
Accident and health insurance	3,832		3,377		256		711		36.0	%
Property and liability insurance	47,608		24,108		865		24,365		3.6	%
Total losses incurred	59,642		31,903		1,416		29,155		4.9	%
	Member benefit claims (1)						3,837
	Total policy and contract benefits						$	32,992

⁽¹⁾ - Member benefit claims are not covered by reinsurance.

The following table presents the components of the reinsurance receivables:

	As of
	March 31, 2018		December 31, 2017
Prepaid reinsurance premiums:
Life (1)	$	64,231	$	65,218
Accident and health (1)	54,544		56,729
Property	144,632		131,735
Total	263,407		253,682
Ceded claim reserves:
Life	2,833		2,988
Accident and health	9,474		9,575
Property	64,451		61,406
Total ceded claim reserves recoverable	76,758		73,969
Other reinsurance settlements recoverable	22,246		25,316
Reinsurance receivables	$	362,411	$	352,967

^{(1) -} Including policyholder account balances ceded.

Components of Reinsurance Receivable [Table Text Block]

The following table presents the aggregate amount included in reinsurance receivables that is comprised of the three largest receivable balances from non-affiliated reinsurers:

	As of
	March 31, 2018
Total of the three largest receivable balances from non-affiliated reinsurers	$	78,779

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Goodwill and Intangible Assets, Net (Tables)

3 Months Ended

Mar. 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets and Goodwill [Table Text Block]

The following table presents identifiable finite and indefinite-lived intangible assets, accumulated amortization, and goodwill by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018											As of December 31, 2017
				Tiptree Capital											Tiptree Capital
	Specialty insurance			Mortgage			Other		Total			Specialty insurance			Mortgage			Other		Total
Customer relationships	$	50,500		$	—		$	—	$	50,500		$	50,500		$	—		$	—	$	50,500
Accumulated amortization	(13,789		)	—			—		(13,789		)	(12,081		)	—			—		(12,081		)
Trade names	6,500			800			—		7,300			6,500			800			—		7,300
Accumulated amortization	(2,318		)	(220		)	—		(2,538		)	(2,182		)	(200		)	—		(2,382		)
Software licensing	8,500			640			—		9,140			8,500			640			—		9,140
Accumulated amortization	(5,667		)	(251		)	—		(5,918		)	(5,242		)	(228		)	—		(5,470		)
Insurance policies and contracts acquired	36,500			—			—		36,500			36,500			—			—		36,500
Accumulated amortization	(35,581		)	—			—		(35,581		)	(35,433		)	—			—		(35,433		)
Insurance licensing agreements(1)	13,761			—			—		13,761			13,761			—			—		13,761
Leases in place (2)	—			—			—		—			2,324			—			—		2,324
Accumulated amortization	—			—			—		—			(142		)	—			—		(142		)
Intangible assets, net	58,406			969			—		59,375			63,005			1,012			—		64,017
Goodwill	89,854			1,708			—		91,562			89,854			1,708			—		91,562
Total goodwill and intangible assets, net	$	148,260		$	2,677		$	—	$	150,937		$	152,859		$	2,720		$	—	$	155,579

(1) Represents intangible assets with an indefinite useful life. Impairment tests are performed at least annually on these assets.

(2) Disposed of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Schedule of Goodwill [Table Text Block]

The following table presents the activity in goodwill, by operating segment and/or reporting unit, as appropriate, and includes the adjustments made to the balance of goodwill to reflect the effect of the final valuation adjustments made for acquisitions, as well as the reduction to any goodwill attributable to discontinued operations or impairment related charges:

			Tiptree Capital
	Specialty insurance		Mortgage		Other		Total
Balance at December 31, 2017	$	89,854	$	1,708	$	—	$	91,562
Balance at March 31, 2018	$	89,854	$	1,708	$	—	$	91,562
Accumulated impairments	$	—	$	—	$	699	$	699

Schedule of identifiable intangible assets

The following table presents the activity, by operating segment and/or reporting unit, as appropriate, in finite and indefinite-lived other intangible assets and includes the adjustments made to the balance to reflect the effect of any final valuation adjustments made for acquisitions, as well as any reduction attributable to discontinued operations or impairment-related charges:

	Specialty insurance			Mortgage			Total
Balance at December 31, 2017	$	63,005		$	1,012		$	64,017
Intangible assets divested	(2,167		)	—			(2,167		)
Less: amortization expense	(2,432		)	(43		)	(2,475		)
Balance at March 31, 2018	$	58,406		$	969		$	59,375

Finite-lived Intangible Assets Amortization Expense [Table Text Block]

The following table presents the amortization expense on finite-lived intangible assets for the following periods:

	Three Months Ended March 31,
	2018		2017
Amortization expense on intangible assets	$	2,475	$	2,997

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

The following table presents the amortization expense on finite-lived intangible assets for the next five years by operating segment and/or reporting unit, as appropriate:

	As of March 31, 2018
	Specialty insurance (VOBA)		Specialty insurance (other)		Mortgage		Total
Remainder of 2018	$	317	$	6,808	$	128	$	7,253
2019	217		7,509		171		7,897
2020	123		5,027		171		5,321
2021	82		4,251		171		4,504
2022	54		3,595		126		3,775
2023 and thereafter	126		16,536		202		16,864
Total	$	919	$	43,726	$	969	$	45,614

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Derivative Financial Instruments and Hedging (Tables)

3 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments [Table Text Block]

The following table summarizes the gross notional and fair value amounts of derivatives (on a gross basis) categorized by underlying risk:

	As of March 31, 2018						As of December 31, 2017
	Notional values		Asset derivatives		Liability derivatives		Notional values		Asset derivatives		Liability derivatives
Interest rate risk:
Interest rate lock commitments	$	168,602	$	4,118	$	—	$	190,645	$	4,808	$	—
Forward delivery contracts	61,809		21		—		71,152		30		—
TBA mortgage backed securities	184,000		268		389		197,000		175		117
Total	$	414,411	$	4,407	$	389	$	458,797	$	5,013	$	117

Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location [Table Text Block]

The following table presents the fair value and the related outstanding notional amounts of the Company's cash flow hedging derivative instruments and indicates where the Company records each amount in its condensed consolidated balance sheets:

		As of
	Balance Sheet Location	March 31, 2018 (1)		December 31, 2017
Unrealized gain (loss), net of tax, on the fair value of interest rate swaps	AOCI	$	—	$	2,074

(1) Deconsolidated of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block]

The following table presents the pretax impact of the cash flow hedging derivative instruments on the condensed consolidated financial statements for the following periods:

	Three Months Ended March 31,
	2018		2017
Gains (losses) recognized in AOCI on the derivative-effective portion	$	1,111	$	(229	)
(Gains) losses reclassified from AOCI into income-effective portion	$	—	$	144
Gains (losses) recognized in income on the derivative-ineffective portion	$	—	$	(1	)

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Debt, net (Tables)

3 Months Ended

Mar. 31, 2018

Debt Disclosure [Abstract]

Schedule of Debt [Table Text Block]

The following table summarizes the balance of the Company’s debt obligations, net of discounts and deferred financing costs.

			Maximum borrowing capacity as of		As of
Debt Type	Stated maturity date	Stated interest rate or range of rates	March 31, 2018		March 31, 2018			December 31, 2017
Corporate debt
Secured corporate credit agreements	September 2018 - December 2018	LIBOR + 1.00% to 6.50%	$	155,000	$	28,000		$	28,500
Junior subordinated notes	October 2057	8.50%	125,000		125,000			125,000
Preferred trust securities	June 2037	LIBOR + 4.10%	35,000		35,000			35,000
Total corporate debt					188,000			188,500
Asset based debt
Asset based revolving financing (1) (2)	April 2019 - August 2022	LIBOR + 2.25% - 2.60%	175,000		103,417			118,794
Residential mortgage warehouse borrowings (3)	May 2018 - August 2018	LIBOR + 2.50% to 3.25%	76,000		38,795			48,810
Total asset based debt					142,212			167,604
Total debt, face value					330,212			356,104
Unamortized discount, net					(211		)	(191		)
Unamortized deferred financing costs					(9,493		)	(9,832		)
Total debt, net					$	320,508		$	346,081

(1) Asset based revolving financing is generally recourse only to specific assets and related cash flows.

(2) The weighted average coupon rate for asset based revolving financing was 4.16% and 3.73% at March 31, 2018 and December 31, 2017, respectively.

(3) The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

Schedule of Other Nonoperating Income (Expense) [Table Text Block]

The table below presents the amount of interest expense the Company incurred on its debt for the following periods:

	Three Months Ended March 31,
	2018		2017
Interest expense on debt	$	5,941	$	6,078

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Schedule of Maturities of Long-term Debt [Table Text Block]

The following table presents the future maturities of the unpaid principal balance on the Company’s debt as of:

	March 31, 2018
Remainder of 2018	$	66,795
2019	5,489
2020	—
2021	—
2022	97,928
Thereafter	160,000
Total	$	330,212

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Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2018

Fair Value Disclosures [Abstract]

Schedule of fair values and carrying values of assets and liabilities and the fair value level(s) associated with them

The following tables present the Company’s fair value hierarchies for financial assets and liabilities, measured on a recurring basis:

	As of March 31, 2018
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
U.S. Treasury securities and obligations of U.S. government authorities and agencies	$	—	$	37,976	$	—	$	37,976
Obligations of state and political subdivisions	—		54,527		—		54,527
Obligations of foreign governments	—		2,407		—		2,407
Certificates of deposit	1,966		—		—		1,966
Asset backed securities	—		41,007		3,445		44,452
Corporate securities	—		71,481		—		71,481
Total available for sale securities, at fair value	1,966		207,398		3,445		212,809
Loans, at fair value:
Corporate loans	—		37,026		117,351		154,377
Mortgage loans held for sale	—		52,757		—		52,757
Non-performing loans	—		—		32,197		32,197
Total loans, at fair value	—		89,783		149,548		239,331
Equity securities, at fair value	11,760		128,431		47		140,238
Other investments:
Derivative assets:
Forward delivery contracts	—		21		—		21
Interest rate lock commitments	—		—		4,118		4,118
TBA mortgage backed securities	—		268		—		268
Total derivative assets	—		289		4,118		4,407
CLOs	—		—		3,359		3,359
Debentures	—		5,116		—		5,116
Total other investments, at fair value	—		5,405		7,477		12,882
Total	$	13,726	$	431,017	$	160,517	$	605,260
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	389	$	—	$	389
Total derivative liabilities (included in other liabilities and accrued expenses)	—		389		—		389
Contingent consideration payable	—		—		—		—
Total	$	—	$	389	$	—	$	389

	As of December 31, 2017
	Quoted prices in  active markets Level 1		Other significant  observable inputs  Level 2		Significant unobservable inputs Level 3		Fair value
Assets:
Available for sale securities, at fair value:
Equity securities	$	541	$	—	$	47	$	588
U.S. Treasury securities and obligations of U.S. government authorities and agencies	—		47,945		—		47,945
Obligations of state and political subdivisions	—		46,981		—		46,981
Obligations of foreign governments	—		570		—		570
Certificates of deposit	896		—		—		896
Asset backed securities	—		23,493		—		23,493
Corporate bonds	—		61,975		—		61,975
Total available for sale securities, at fair value	1,437		180,964		47		182,448
Loans, at fair value:
Corporate loans	—		40,925		116,736		157,661
Mortgage loans held for sale	—		62,846		—		62,846
Non-performing loans	—		—		37,666		37,666
Total loans, at fair value	—		103,771		154,402		258,173
Equity securities, at fair value	25,536		—		—		25,536
Other investments:
Derivative assets:
Forward delivery contracts	—		30		—		30
Interest rate lock commitments	—		—		4,808		4,808
TBA mortgage backed securities	—		175		—		175
Total derivative assets	—		205		4,808		5,013
CLOs	—		—		3,409		3,409
Debentures	—		4,163		—		4,163
Total other investments, at fair value	—		4,368		8,217		12,585
Total	$	26,973	$	289,103	$	162,666	$	478,742
Liabilities:
Derivative liabilities:
TBA mortgage backed securities	$	—	$	117	$	—	$	117
Total derivative liabilities (included in other liabilities and accrued expenses)	—		117		—		117
Contingent consideration payable	—		—		—		—
Total	$	—	$	117	$	—	$	117

Schedule of additional information about assets that are measured at fair value on a recurring basis for which the company utilized Level 3 inputs to determine fair value

The following table represents additional information about assets that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:    

	Three Months Ended March 31,
	2018 (1)			2017 (1)
	Non-CLO assets			Non-CLO assets			CLO assets
Balance at January 1,	$	162,666		$	211,192		$	585,870
Net realized gains (losses)	(77		)	850			(332		)
Net unrealized gains (losses)	1,106			1,802			1,427
Origination of IRLC	11,372			14,478			—
Purchases	23,298			10,514			30,896
Sales (1)	(22,633		)	(14,377		)	(37,037		)
Issuances	77			219			272
Transfer into Level 3 (1)	7,624			9,960			26,990
Transfer adjustments (out of) Level 3 (1)	(7,420		)	(11,229		)	(64,120		)
Deconsolidation of CLOs due to sale	—			1,342			(251,300		)
Conversion to real estate owned	(3,435		)	(2,968		)	—
Conversion to mortgage held for sale	(12,061		)	(14,361		)	—
Other	—			(32		)	—
Balance at March 31,	$	160,517		$	207,390		$	292,666
Changes in unrealized gains (losses) included in earnings related to assets still held at period end	$	1,105		$	1,727		$	1,366

(1) All transfers are deemed to occur at end of period. Transfers between Level 2 and 3 were a result of subjecting third-party pricing on both CLO and Non-CLO assets to various liquidity, depth, bid-ask spread and benchmarking criteria as well as assessing the availability of observable inputs affecting their fair valuation.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table represents additional information about liabilities that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value for the following periods:

	Three Months Ended March 31,
	2018		2017
	Non-CLO liabilities		Non-CLO liabilities		CLO liabilities
Balance at January 1,	$	—	$	3,084	$	912,034
Net unrealized (gains) losses	—		—		(48		)
Dispositions	—		—		(21,410		)
FV adjustment	—		554		—
Deconsolidation of CLOs due to sale	—		—		(378,043		)
Balance at March 31,	$	—	$	3,638	$	512,533
Changes in unrealized (gains) losses included in earnings related to liabilities still held at period end	$	—	$	—	$	(48	)

Schedule of quantitative information of Level 3 significant unobservable inputs used in fair valuation of assets

The following is quantitative information about Level 3 significant unobservable inputs used in fair valuation.

	Fair Value as of						Actual or Range (Weighted average)
Assets	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Interest rate lock commitments	$	4,118	$	4,808	Internal model	Pull through rate	50% - 95%	50% - 95%
NPLs	32,197		37,666		Discounted cash flow	See table below (1)	See table below	See table below
Total	$	36,315	$	42,474

(1) Significant changes in any of these inputs in isolation could result in a significant change to the fair value measurement. A decline in the discount rate in isolation would increase the fair value. A decrease in the housing pricing index in isolation would decrease the fair value. Individual loan characteristics, such as location and value of underlying collateral, affect the loan resolution timeline. An increase in the loan resolution timeline in isolation would decrease the fair value. A decrease in the value of underlying properties in isolation would decrease the fair value.

The following table sets forth quantitative information about the significant unobservable inputs used to measure the fair value of our NPLs. For NPLs that are not making payments, discount rate, loan resolution time-line, value of underlying properties, holdings costs and liquidation costs are the primary inputs used to measure fair value. For NPLs that are making payments, note rate and secondary market transaction prices/UPB are the primary inputs used to measure fair value.

	As of March 31, 2018			As of December 31, 2017
Unobservable inputs	High	Low	Average(1)	High	Low	Average(1)
Discount rate	30.0%	16.0%	23.8%	30.0%	16.0%	23.5%
Loan resolution time-line (Years)	2.0	0.4	1.3	2.3	0.5	1.3
Value of underlying properties	$1,775	$45	$335	$1,775	$40	$306
Holding costs	21.1%	4.8%	7.2%	22.0%	5.3%	7.6%
Liquidation costs	15.9%	8.4%	9.3%	16.8%	8.4%	9.4%
Note rate	6.0%	3.0%	4.9%	6.0%	3.0%	4.8%
Secondary market transaction prices/UPB	88.5%	75.5%	83.8%	88.5%	75.5%	83.4%

(1) Weighted based on value of underlying properties (excluding the value of underlying properties line item).

Schedule of quantitative information of Level 3 significant unobservable inputs used in fair valuation of liabilities

	Fair Value as of						Actual or Range (Weighted average)
Liabilities	March 31, 2018		December 31, 2017		Valuation technique	Unobservable input(s)	March 31, 2018	December 31, 2017
Contingent consideration payable - Reliance	$	—	$	—	Cash Flow model (1)	Forecast EBITDA	$1,300 - $6,400	$1,300 - $6,400
						Book value growth rate	N/A	N/A
						Asset volatility	N/A	N/A
Total	$	—	$	—

(1) Monte Carlo simulation is run, as needed.

Schedule of fair values and carrying values of financial assets and liabilities, and fair value hierarchy

The following table presents the carrying amounts and estimated fair values of financial assets and liabilities that are not recorded at fair value and their respective levels within the fair value hierarchy:

	As of March 31, 2018					As of December 31, 2017
	Level within fair value hierarchy	Fair value		Carrying value		Level within fair value hierarchy	Fair value		Carrying value
Assets:
Notes and accounts receivable, net	2	$	12,146	$	12,146	2	$	12,225	$	12,225
Total assets		$	12,146	$	12,146		$	12,225	$	12,225
Liabilities:
Debt, net	3	$	330,782	$	330,001	3	$	356,537	$	355,913
Total liabilities		$	330,782	$	330,001		$	356,537	$	355,913

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Liability for Unpaid Claims and Claim Adjustment Expenses (Tables)

3 Months Ended

Mar. 31, 2018

Insurance [Abstract]

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]

Roll forward of Claim Liability

The following table presents the activity in the net liability for unpaid losses and allocated loss adjustment expenses of short-duration contracts for the following periods:

	Three Months Ended March 31,
	2018			2017
Policy liabilities and unpaid claims balance as of January 1	$	112,003		$	103,391
Less : liabilities of policy-holder accounts balances, gross	(15,474		)	(17,417		)
Less : non-insurance warranty benefit claim liabilities	(58		)	(91		)
Gross liabilities for unpaid losses and loss adjustment expenses	96,471			85,883
Less : reinsurance recoverable on unpaid losses - short duration	(73,778		)	(63,112		)
Less : other lines, gross	(224		)	(208		)
Net balance as of January 1, short duration	22,469			22,563
Incurred (short duration) related to:
Current year	25,002			26,004
Prior years	6,966			2,684
Total incurred	31,968			28,688
Paid (short duration) related to:
Current year	14,434			14,035
Prior years	14,179			13,546
Total paid	28,613			27,581
Net balance as of March 31, short duration	25,824			23,670
Plus : reinsurance recoverable on unpaid losses - short duration	76,619			63,708
Plus : other lines, gross	172			199
Gross liabilities for unpaid losses and loss adjustment expenses	102,615			87,577
Plus : liabilities of policy-holder accounts balances, gross	15,048			16,928
Plus : non-insurance warranty benefit claim liabilities	77			118
Policy liabilities and unpaid claims balance as of March 31,	$	117,740		$	104,623

Reconciliation of Short Duration Contracts to Total Losses Incurred [Table Text Block]

The following schedule reconciles the total on short duration contracts per the table above to the amount of total losses incurred as presented in the condensed consolidated statement of operations, excluding the amount for member benefit claims:

	Three Months Ended March 31,
	2018		2017
Total incurred	$	31,968	$	28,688
Other lines incurred	46		(2		)
Unallocated loss adjustment expense	698		469
Total losses incurred	$	32,712	$	29,155

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Revenue From Contracts with Customers (Tables)

3 Months Ended

Mar. 31, 2018

Revenue Recognition [Abstract]

Revenue from External Customers by Products and Services [Table Text Block]

The table below presents the disaggregated amounts of revenue from contracts with customers by product type for the following periods:

	Three Months Ended March 31,
	2018		2017
Asset management fee income	$	1,577	$	1,707
Warranty coverage revenue	6,123		3,705
Car club revenue	7,829		7,722
Other	2,097		1,896
Revenue from contracts with customers	$	17,626	$	15,030

Deferred Policy Acquisition Costs [Text Block]

The table below presents the activity in the significant deferred assets and liabilities related to revenue from contracts with customers for the three month period ended March 31, 2018.

	January 1, 2018						March 31, 2018
	Beginning balance		Additions		Amortizations		Ending balance
Deferred costs
Warranty coverage revenue	$	2,249	$	96	$	373	$	1,972
Car club revenue	11,144		4,357		5,916		9,585
Total	$	13,393	$	4,453	$	6,289	$	11,557

Deferred Revenue, by Arrangement, Disclosure [Table Text Block]

Deferred revenue
Warranty coverage revenue	$	28,324	$	9,329	$	6,123	$	31,530
Car club revenue	14,861		5,677		7,829		12,709
Total	$	43,185	$	15,006	$	13,952	$	44,239

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Other Assets (Tables)

3 Months Ended

Mar. 31, 2018

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Schedule of Other Operating Cost and Expense, by Component [Table Text Block]

The following table presents the depreciation expense related to furniture, fixtures and equipment for the following periods:

	Three Months Ended March 31,
	2018		2017
Depreciation expense related to furniture, fixtures and equipment	$	497	$	584

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Other Expenses

The following table presents the components of other expenses as reported in the condensed consolidated statement of operations:

	Three Months Ended March 31,
	2018		2017
Professional fees	$	5,072	$	3,691
General and administrative	3,752		3,821
Premium taxes	3,622		3,147
Mortgage origination expenses	2,183		2,035
Rent and related	2,396		2,555
Other	2,140		2,370
Total other expense	$	19,165	$	17,619

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Schedule of Other Assets

Other Assets

The following table presents the components of other assets as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Due from brokers	$	3,468	$	261
Furniture, fixtures and equipment, net	4,453		4,304
Prepaid expenses	6,867		7,297
Accrued interest receivable	3,239		2,248
Management fee receivable	1,583		2,247
Income tax receivable	9,588		9,588
Other	12,924		5,639
Total other assets	$	42,122	$	31,584

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Other Liabilities and Accrued Expenses (Tables)

3 Months Ended

Mar. 31, 2018

Other Liabilities Disclosure [Abstract]

Other Liabilities [Table Text Block]

The following table presents the components of other liabilities and accrued expenses as reported in the condensed consolidated balance sheets:

	As of
	March 31, 2018		December 31, 2017
Accounts payable and accrued expenses	$	42,047	$	52,032
Deferred tax liabilities, net	31,962		22,744
Due to brokers	4,352		8,669
Commissions payable	9,681		14,185
Accrued interest payable	6,061		3,393
Escrow payable	8,955		6,753
Other	14,760		13,545
Total other liabilities and accrued expenses	$	117,818	$	121,321

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Other Revenue and Other Expenses (Tables)

3 Months Ended

Mar. 31, 2018

Other Income and Expenses [Abstract]

Schedule of Other Nonoperating Income, by Component [Table Text Block]

Other Revenue

The following table presents the components of other revenue as reported in the condensed consolidated statement of operations, primarily comprised of interest income and loan fee income related to loans at fair value, and management fees from our asset management business:

	Three Months Ended March 31,
	2018		2017
Interest income	$	1,877	$	4,706
Dividend income	1,663		—
Loan fee income	1,998		3,216
Management fee income	1,577		1,707
Other	1,642		565
Total other revenue	$	8,757	$	10,194

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

Schedule of Other Operating Cost and Expense, by Component [Table Text Block]

The following table presents the depreciation expense related to furniture, fixtures and equipment for the following periods:

	Three Months Ended March 31,
	2018		2017
Depreciation expense related to furniture, fixtures and equipment	$	497	$	584

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

Other Expenses

The following table presents the components of other expenses as reported in the condensed consolidated statement of operations:

	Three Months Ended March 31,
	2018		2017
Professional fees	$	5,072	$	3,691
General and administrative	3,752		3,821
Premium taxes	3,622		3,147
Mortgage origination expenses	2,183		2,035
Rent and related	2,396		2,555
Other	2,140		2,370
Total other expense	$	19,165	$	17,619

The items previously disclosed for businesses the Company has designated as a discontinued operation are disclosed in Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

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Other Income (Tables)

3 Months Ended

Mar. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule Of Variable Interest Entities

The following table represents revenue and expenses of the consolidated CLOs included in the Company’s consolidated statements of operations for the periods indicated:

	Three Months Ended March 31,
	2018		2017
Income:
Net realized and unrealized gains (losses)	$	—	$	1,253
Interest income	—		7,614
Total income	—		8,867
Expenses:
Interest expense	—		4,775
Other expense	—		177
Total expense	—		4,952
Net income (loss) attributable to consolidated CLOs	$	—	$	3,915

As summarized in the table below, the application of the measurement alternative results in the consolidated net income summarized above to be equivalent to the Company’s own economic interests in the CLOs which are eliminated upon consolidation:

Economic interests:	Three Months Ended March 31,
	2018		2017
Distributions received	$	—	$	2,167
Realized and unrealized gains (losses) on subordinated notes held by the Company, net	—		1,381
Total	—		3,548
Management fee income	—		367
Total economic interests	$	—	$	3,915

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Stockholders' Equity (Tables)

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Class of Treasury Stock [Table Text Block]

	Three Months Ended March 31, 2018			As of March 31, 2018
	Number of shares purchased	Average price per share		Remaining repurchase authorization
Share repurchase program	29,365	$	6.36	$	9,813
Block repurchase program	—	—		10,000
Total	29,365	$	6.36	$	19,813

Dividends Declared

The Company declared cash dividends per share for the following periods presented below:

	Dividends per share for
	Three Months Ended March 31,
	2018		2017
First Quarter	$	0.035	$	0.030
Total cash dividends declared	$	0.035	$	0.030

Statutory Accounting Practices Disclosure

The following table presents the net income of the Company’s statutory insurance companies for the following periods:

	Three Months Ended March 31,
	2018		2017
Net income of statutory insurance companies	$	6,172	$	3,047

The following table presents the combined statutory capital and surplus of the Company's insurance company subsidiaries, the required minimum statutory capital and surplus, as required by the laws of the states in which they are domiciled, and the combined amount available for ordinary dividends of the Company's insurance company subsidiaries for the following periods:

	As of
	March 31, 2018		December 31, 2017
Combined statutory capital and surplus of the Company's insurance company subsidiaries	$	107,902	$	105,989
Required minimum statutory capital and surplus	$	19,200	$	19,200
Amount available for ordinary dividends of the Company's insurance company subsidiaries	$	10,115	$	10,115

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Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Mar. 31, 2018

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

The following table presents the activity in accumulated other comprehensive income (loss) (AOCI), net of tax, for the following periods:

	Unrealized gains (losses) on									Amount attributable to noncontrolling interests
	Available for sale securities			Interest rate swaps			Total AOCI			TFP			Other			Total AOCI to Tiptree Inc.
Balance at December 31, 2016	$	(700	)	$	1,759		$	1,059		$	(128	)	$	(376	)	$	555
Other comprehensive income (losses) before reclassifications	435			84			519			(116		)	(26		)	377
Amounts reclassified from AOCI	31			99			130			—			—			130
Period change	466			183			649			(116		)	(26		)	507
Balance at March 31, 2017	$	(234	)	$	1,942		$	1,708		$	(244	)	$	(402	)	$	1,062
Balance at December 31, 2017	$	(460	)	$	2,074		$	1,614		$	(222	)	$	(426	)	$	966
Other comprehensive income (losses) before reclassifications	(1,789		)	835			(954		)	61			210			(683		)
Amounts reclassified from AOCI	415			—			415			—			—			415
Reclassification of AOCI - interest rate swaps (1)	—			(2,909		)	(2,909		)	502			226			(2,181		)
Period change	(1,374		)	(2,074		)	(3,448		)	563			436			(2,449		)
Balance at March 31, 2018	$	(1,834	)	$	—		$	(1,834	)	$	341		$	10		$	(1,483	)

(1) Relates to the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations

Reclassification out of Accumulated Other Comprehensive Income

The following table presents the reclassification adjustments out of AOCI included in net income and the impacted line items on the condensed consolidated statement of operations for the following periods:

	Three Months Ended March 31,						Affected line item in consolidated statement of operations
Components of AOCI	2018			2017
Unrealized gains (losses) on available for sale securities	$	(531	)	$	(47	)	Net realized and unrealized gains (losses)
Related tax (expense) benefit	116			16			Provision for income tax
Net of tax	$	(415	)	$	(31	)
Unrealized gains (losses) on interest rate swaps	$	—		$	(144	)	Interest expense
Reclassification of AOCI - interest rate swaps (1)	3,845			—			Gain on sale of discontinued operations
Related tax (expense) benefit	(936		)	45			Provision for income tax
Net of tax	$	2,909		$	(99	)

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Stock Based Compensation (Tables)

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Share-based Compensation, Activity [Table Text Block]

The table below summarizes changes to the issuances under the Company’s 2013 and 2017 Equity Plan for the periods indicated:

2017 Equity Plan	Number of shares (1)
Available for issuance as of December 31, 2017	6,017,012
RSU and option awards granted	(523,654	)
Available for issuance as of March 31, 2018	5,493,358

(1) Excludes awards granted under the Company’s subsidiary incentive plans that are exchangeable for Tiptree Class A common stock.

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

The following table summarizes changes to the issuances of RSUs under the 2017 Equity Plan for the periods indicated:

	Number of shares issuable		Weighted average grant date fair value
Unvested units as of December 31, 2017	598,882		$	6.48
Granted (1)	280,991		5.87
Vested	(168,700	)	6.05
Unvested units as of March 31, 2018	711,173		$	6.34

⁽¹⁾ Includes grants of 12,192 shares of Class A common stock to directors.

The following table presents the Company's stock option activity for the current period:

	Options outstanding	Weighted average exercise price (in dollars per stock option)		Weighted average grant date value (in dollars per stock option)		Options exercisable
Balance, December 31, 2017	821,864	$	6.36	$	2.82	—
Granted	242,663	5.85		1.88		—
Balance, March 31, 2018 (1)	1,064,527	$	6.24	$	2.61	—
Weighted average remaining contractual term at March 31, 2018 (in years)	8.9

(1) Book value targets for grants in 2018, 2017, and 2016 are $9.97, $10.14, and $8.96, respectively.

Schedule of Other Share-based Compensation, Activity [Table Text Block]

The following table summarizes changes to the issuances of subsidiary RSU’s under the subsidiary incentive plans for the periods indicated:

	Grant date fair value of equity shares issuable
Unvested balance as of December 31, 2017	$	8,792
Vested	(1,466		)
Unvested balance as of March 31, 2018	$	7,326

The vested and unvested balance (assuming full vesting) translates to 1,854,846 shares of Class A common stock if converted as of March 31, 2018.

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

The following table presents the assumptions used to estimate the fair values of the stock options granted for the following period:

Valuation Input	Three Months Ended March 31, 2018
	Assumption		Average
Historical volatility	30.63	%	N/A
Risk-free rate	2.85	%	N/A
Dividend yield	2.03	%	N/A
Expected term (years)			6.5

Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block]

The following table presents total stock-based compensation expense and the related income tax benefit recognized on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018			2017
Employee compensation and benefits	$	1,233		$	1,798
Income tax benefit	(259		)	(634		)
Net stock-based compensation expense	$	974		$	1,164

Schedule of Unrecognized Compensation Cost, Nonvested Awards [Table Text Block]

Additional information on total non-vested stock-based compensation is as follows:

	As of
	March 31, 2018
	Stock options		Restricted stock awards and RSUs
Unrecognized compensation cost related to non-vested awards	$	1,927	$	8,381
Weighted - average recognition period (in years)	2.85		1.70

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Income Taxes (Tables)

3 Months Ended

Mar. 31, 2018

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The following table represents the income tax expense (benefit):

	Three Months Ended March 31,
	2018					2017
Total income tax expense (benefit) from continuing operations	$	(1,568			)	$	1,568
Effective tax rate (ETR)	22.3		%	(1)		40.6		%	(2)
Income tax expense (benefit) from discontinued operations	$	12,327				$	(402			)

(1) Higher than the U.S. federal statutory income tax rate of 21% due to the effect of state income taxes and the dividends received deduction, partially offset by the impact of valuation allowance and other discrete items.

(2) Higher than the previous U.S. federal statutory income tax rate of 35% primarily due to state income taxes and other discrete items.

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Schedule of contractual obligations

The table below summarizes the Company’s contractual obligations by period that payments are due:

	As of March 31, 2018
	Less than one year		1-3 years		3-5 years		More than 5 years		Total
Total - operating lease obligations (1)	$	5,045	$	11,600	$	9,704	$	19,705	$	46,054

(1) Minimum rental obligations for Tiptree, Luxury, Reliance and Fortegra office leases.

Schedule of rent expense for the Company’s office leases

The following table presents rent expense for the Company’s office leases recorded on the condensed consolidated statements of operations:

	Three Months Ended March 31,
	2018		2017
Rent expense for office leases	$	1,495	$	1,698

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Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Schedule of reconciliation of basic and diluted net income per common share

The following table presents a reconciliation of basic and diluted net income per common share for the following periods:

	Three Months Ended March 31,
	2018			2017
Net income (loss) from continuing operations	$	(5,475	)	$	2,470
Less:
Net income (loss) attributable to non-controlling interests	(1,116		)	577
Net income allocated to participating securities	—			28
Net income (loss) from continuing operations attributable to Tiptree Inc. Class A common shares	(4,359		)	1,865
Net income (loss) from discontinued operations	34,481			(1,128		)
Less:
Net income (loss) from discontinued operations attributable to non-controlling interests	6,562			(335		)
Net income allocated to participating securities	—			(12		)
Net income (loss) from discontinued operations attributable to Tiptree Inc. Class A common shares	27,919			(781		)
Net income (loss) attributable to Tiptree Inc. Class A common shares - basic	$	23,560		$	1,084
Effect of Dilutive Securities:
Securities of subsidiaries	—			(17		)
Adjustments to income relating to exchangeable interests, net of tax	—			205
Net income (loss) attributable to Tiptree Inc. Class A common shares - diluted	$	23,560		$	1,272
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - basic	29,861,496			28,424,824
Weighted average number of incremental shares of Tiptree Inc. Class A common stock issuable from exchangeable interests and contingent considerations	—			8,325,132
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - diluted	29,861,496			36,749,956
Basic:
Net income (loss) from continuing operations	$	(0.15	)	$	0.07
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.04
Diluted:
Net income (loss) from continuing operations	$	(0.15	)	$	0.06
Net income (loss) from discontinued operations	0.94			(0.03		)
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	0.79		$	0.03

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Organization Organization Narrative (Details)		3 Months Ended
	Jan. 01, 2016	Mar. 31, 2018
Schedule of Equity Method Investments [Line Items]
Number of Reportable Segments		3
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest	81.00%
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners	19.00%

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Dispositions, Assets Held for Sale and Discontinued Operations Narrative (Details) $ in Thousands, shares in Millions			3 Months Ended
	Feb. 01, 2018 USD ($) unit Rate shares	Oct. 01, 2017 USD ($) Rate	Mar. 31, 2018 USD ($)	Mar. 31, 2017 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax			$ 46,184	$ 0
Gains (Losses) on Sales of Investment Real Estate			1,800
(Gains) losses reclassified from AOCI into income-effective portion			3,845	(144)
Siena Disposition
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from Divestiture of Businesses		$ 2,500
Notes Issued		$ 11,000
Note Receivable, Interest Rate | Rate		10.00%
Discontinued Operations
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of Real Estate Properties | unit	2
Shares received | shares	16.6
Estimated fair value at time of sale	$ 134,100
Ownership in acquiring company | Rate	34.00%
Other Comprehensive Income (Loss), before Tax			44,200
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax			46,184	$ 0
(Gains) losses reclassified from AOCI into income-effective portion			$ 3,800

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Dispositions, Assets Held for Sale and Discontinued Operations Balance Sheets and Income Statements of Discontinued Operations(Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Disposal Group, Including Discontinued Operation, Assets [Abstract]
Loans, at fair value		$ 239,331		$ 258,173
Real Estate Investment Property, Net	[1]	0		19,226
Other Investments		41,243		59,142
Investments		633,621		525,299
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents		1,871	$ 15,497
Other assets		42,122		31,584
Disposal Group, Including Discontinued Operation, Assets		54,857		448,492
Disposal Group, Including Discontinued Operation, Liabilities [Abstract]
Disposal Group, Including Discontinued Operation, Liabilities		49,468		362,818
Revenues:
Other revenue		8,757	10,194
Expenses:
Payroll expense		27,788	29,030
Other expenses		19,165	17,619
Income from discontinued operations, net		624	(1,530)
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax		46,184	0
Less: Provision (benefit) for income taxes		12,327	(402)
Discontinued operations, net		34,481	(1,128)
Real Estate Investment Property, Accumulated Depreciation		0		26,823
Finite-Lived Intangible Assets, Accumulated Amortization		0		26,944
Impairment of Long-Lived Assets to be Disposed of		0	0
2017 Disposition(s)
Disposal Group, Including Discontinued Operation, Assets [Abstract]
Loans, at fair value				57,255
Loans Receivable, Net				700
Real Estate Investment Property, Net				347,303
Other Investments				2,530
Investments				407,788
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents				10,533
Notes and accounts receivable, net				5,581
Disposal Group, Including Discontinued Operation, Intangible Assets				17,417
Other assets				7,173
Disposal Group, Including Discontinued Operation, Assets				448,492
Disposal Group, Including Discontinued Operation, Liabilities [Abstract]
Secured Debt				350,703
Disposal Group, Including Discontinued Operation, Other Liabilities				12,115
Disposal Group, Including Discontinued Operation, Liabilities				362,818
Held for sale | Luxury Disposition
Disposal Group, Including Discontinued Operation, Assets [Abstract]
Loans, at fair value		51,113		57,255
Loans Receivable, Net		0		0
Real Estate Investment Property, Net		0		0
Other Investments		791		677
Investments		51,904		57,932
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents		1,871		2,217
Notes and accounts receivable, net		203		263
Disposal Group, Including Discontinued Operation, Intangible Assets		0		0
Other assets		879		665
Disposal Group, Including Discontinued Operation, Assets		54,857		61,077
Disposal Group, Including Discontinued Operation, Liabilities [Abstract]
Secured Debt		47,814		53,835
Disposal Group, Including Discontinued Operation, Other Liabilities		1,654		1,422
Disposal Group, Including Discontinued Operation, Liabilities		49,468		55,257
Held for sale, discontinued operation | Care Disposition
Disposal Group, Including Discontinued Operation, Assets [Abstract]
Loans, at fair value				0
Loans Receivable, Net				700
Real Estate Investment Property, Net				347,303
Other Investments				1,853
Investments				349,856
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents				8,316
Notes and accounts receivable, net				5,318
Disposal Group, Including Discontinued Operation, Intangible Assets				17,417
Other assets				6,508
Disposal Group, Including Discontinued Operation, Assets				387,415
Disposal Group, Including Discontinued Operation, Liabilities [Abstract]
Secured Debt				296,868
Disposal Group, Including Discontinued Operation, Other Liabilities				10,693
Disposal Group, Including Discontinued Operation, Liabilities				$ 307,561
Discontinued Operations
Revenues:
Disposal Group, Including Discontinued Operation, Rental Income		6,476	17,403
Other revenue		149	316
Total revenues		6,625	17,719
Expenses:
Payroll expense		2,788	7,079
Interest expense		1,252	2,701
Depreciation, Depletion and Amortization, Nonproduction		0	4,255
Other expenses		1,961	5,214
Total expenses		6,001	19,249
Income from discontinued operations, net		624	(1,530)
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax		46,184	0
Less: Provision (benefit) for income taxes		12,327	(402)
Discontinued operations, net		$ 34,481	$ (1,128)

[1] Net of accumulated depreciation of $0 and $440, respectively.

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Dispositions, Assets Held for Sale and Discontinued Operations Table of Condensed Cash Flows (Details) - Discontinued Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Operating Activities	$ (2,095)	$ 3,698
Investing Activities	(592)	(17,397)
Financing Activities	(123)	9,238
Net cash flows provided by discontinued operations	$ (2,810)	$ (4,461)

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Operating Segment Data Table of Segment Results (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($)	Mar. 31, 2017 USD ($)
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]
Number of Reportable Segments	3
Segment Reporting Information, Operating Income (Loss) [Abstract]
Total revenues	$ 148,072	$ 146,189
Operating Costs and Expenses	(148,401)	(139,337)
Net income (loss) attributable to consolidated CLOs	0	3,915
Total expenses	(6,714)	(6,729)
Pre-tax income (loss)	(7,043)	4,038
Less: provision (benefit) for income taxes	(1,568)	1,568
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest	34,481	(1,128)
Net income (loss) before non-controlling interests	29,006	1,342
Net income (loss) attributable to Tiptree Inc. Class A common stockholders	23,560	1,100
Specialty Insurance
Segment Reporting Information, Operating Income (Loss) [Abstract]
Total revenues	129,998	121,846
Operating Costs and Expenses	(128,655)	(117,045)
Net income (loss) attributable to consolidated CLOs		0
Total expenses	0	0
Pre-tax income (loss)	1,343	4,801
Asset Management
Segment Reporting Information, Operating Income (Loss) [Abstract]
Total revenues	1,855	2,973
Operating Costs and Expenses	(963)	(1,307)
Net income (loss) attributable to consolidated CLOs		3,915
Total expenses	0	0
Pre-tax income (loss)	892	5,581
Mortgage
Segment Reporting Information, Operating Income (Loss) [Abstract]
Total revenues	12,998	12,828
Operating Costs and Expenses	(12,845)	(12,527)
Net income (loss) attributable to consolidated CLOs		0
Total expenses	0	0
Pre-tax income (loss)	153	301
Corporate and Other
Segment Reporting Information, Operating Income (Loss) [Abstract]
Total revenues	3,221	8,542
Operating Costs and Expenses	(5,938)	(8,458)
Net income (loss) attributable to consolidated CLOs		0
Total expenses	0	0
Pre-tax income (loss)	(2,717)	84
Noncontrolling interest
Segment Reporting Information, Operating Income (Loss) [Abstract]
Less: net (loss) income attributable to non-controlling interests	$ 5,446	$ 242

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Operating Segment Data Table of Segment Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Segment Assets	$ 1,688,806	$ 1,989,742
Disposal Group, Including Discontinued Operation, Assets	54,857	448,492
Specialty Insurance
Segment Reporting Information [Line Items]
Segment Assets	1,375,162	1,367,437
Disposal Group, Including Discontinued Operation, Assets	0	0
Asset Management
Segment Reporting Information [Line Items]
Segment Assets	4,717	5,537
Disposal Group, Including Discontinued Operation, Assets	0	0
Mortgage
Segment Reporting Information [Line Items]
Segment Assets	82,253	90,260
Disposal Group, Including Discontinued Operation, Assets	0	0
Corporate and Other
Segment Reporting Information [Line Items]
Segment Assets	171,817	78,016
Operating Segments
Segment Reporting Information [Line Items]
Segment Assets	$ 1,633,949	$ 1,541,250

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Available for Sale Securities, at fair value Table of Investments by Segment (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Available for sale securities, at fair value	$ 212,809	$ 182,448
Loans, at fair value	239,331	258,173
Equity securities, at fair value	140,238	25,536
Other Investments	41,243	59,142
Total investments	633,621	525,299
Specialty Insurance
Segment Reporting Information [Line Items]
Available for sale securities, at fair value	212,809	182,448
Loans, at fair value	186,574	195,327
Equity securities, at fair value	34,320	25,536
Other Investments	33,477	50,720
Total investments	467,180	454,031
Asset Management
Segment Reporting Information [Line Items]
Available for sale securities, at fair value	0	0
Loans, at fair value	0	0
Equity securities, at fair value	0	0
Other Investments	2,796	2,846
Total investments	2,796	2,846
Mortgage
Segment Reporting Information [Line Items]
Available for sale securities, at fair value	0	0
Loans, at fair value	52,757	62,846
Equity securities, at fair value	0	0
Other Investments	4,407	5,013
Total investments	57,164	67,859
Corporate and Other
Segment Reporting Information [Line Items]
Available for sale securities, at fair value	0	0
Loans, at fair value	0	0
Equity securities, at fair value	105,918	0
Other Investments	563	563
Total investments	$ 106,481	$ 563

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Available for Sale Securities, at fair value Table of Available-for-sale Securities Reconciliation (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	$ 215,278	$ 183,157
Gross unrealized gains	372	606
Gross unrealized losses	(2,841)	(1,315)
Fair value	212,809	182,448
U.S. Treasury securities and obligations of U.S. government authorities and agencies
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	38,620	48,399
Gross unrealized gains	9	20
Gross unrealized losses	(653)	(474)
Fair value	37,976
Obligations of states and political subdivisions
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	55,093	47,211
Gross unrealized gains	44	190
Gross unrealized losses	(610)	(420)
Fair value	54,527
Corporate securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	72,520	62,125
Gross unrealized gains	7	195
Gross unrealized losses	(1,046)	(345)
Fair value	71,481
Asset-backed Securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	44,667	23,369
Gross unrealized gains	309	182
Gross unrealized losses	(524)	(58)
Fair value	44,452
Certificates of deposit
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	1,966	896
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Fair value	1,966
Equity securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost		595
Gross unrealized gains		10
Gross unrealized losses		(17)
Fair value		588
Obligations of foreign governments
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	2,412	562
Gross unrealized gains	3	9
Gross unrealized losses	(8)	$ (1)
Fair value	$ 2,407

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Available for Sale Securities, at fair value Table of Available-for-sale Securities in Continuous Unrealized Loss Position (Details) $ in Thousands	Mar. 31, 2018 USD ($)	Dec. 31, 2017 USD ($)
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 135,876	$ 101,619
Gross Unrealized Losses, Less Than or Equal to One Year	$ (2,007)	$ (679)
Number of Securities, Less Than or Equal to One Year	854	512
Fair Value, More Than One Year	$ 18,743	$ 21,509
Gross Unrealized Losses, More Than One Year	$ (834)	$ (636)
Number of Securities, More Than One Year	200	233
U.S. Treasury securities and obligations of U.S. government authorities and agencies
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 27,071	$ 37,918
Gross Unrealized Losses, Less Than or Equal to One Year	$ (441)	$ (291)
Number of Securities, Less Than or Equal to One Year	104	115
Fair Value, More Than One Year	$ 7,288	$ 7,584
Gross Unrealized Losses, More Than One Year	$ (212)	$ (183)
Number of Securities, More Than One Year	56	56
Obligations of states and political subdivisions
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 38,372	$ 24,165
Gross Unrealized Losses, Less Than or Equal to One Year	$ (256)	$ (135)
Number of Securities, Less Than or Equal to One Year	140	96
Fair Value, More Than One Year	$ 5,862	$ 7,294
Gross Unrealized Losses, More Than One Year	$ (354)	$ (285)
Number of Securities, More Than One Year	41	48
Corporate securities
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 62,694	$ 37,573
Gross Unrealized Losses, Less Than or Equal to One Year	$ (778)	$ (179)
Number of Securities, Less Than or Equal to One Year	579	295
Fair Value, More Than One Year	$ 5,593	$ 6,568
Gross Unrealized Losses, More Than One Year	$ (268)	$ (166)
Number of Securities, More Than One Year	103	127
Asset-backed Securities
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 6,078	$ 1,297
Gross Unrealized Losses, Less Than or Equal to One Year	$ (524)	$ (58)
Number of Securities, Less Than or Equal to One Year	20	2
Fair Value, More Than One Year	$ 0	$ 0
Gross Unrealized Losses, More Than One Year	$ 0	$ 0
Number of Securities, More Than One Year	0	0
Equity securities
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year		$ 295
Gross Unrealized Losses, Less Than or Equal to One Year		$ (15)
Number of Securities, Less Than or Equal to One Year		3
Fair Value, More Than One Year		$ 63
Gross Unrealized Losses, More Than One Year		$ (2)
Number of Securities, More Than One Year		2
Obligations of foreign governments
Gross Unrealized Losses:
Fair Value, Less Than or Equal to One Year	$ 1,661	$ 371
Gross Unrealized Losses, Less Than or Equal to One Year	$ (8)	$ (1)
Number of Securities, Less Than or Equal to One Year	11	1
Fair Value, More Than One Year	$ 0	$ 0
Gross Unrealized Losses, More Than One Year	$ 0	$ 0
Number of Securities, More Than One Year	0	0

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Available for Sale Securities, at fair value Table of Amortized Cost and Fair Value by Contractual Maturity (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Amortized Cost
Due in one year or less	$ 24,795	$ 26,399
Due after one year through five years	104,842	86,287
Due after five years through ten years	36,057	41,442
Due after ten years	4,917	5,065
Asset-backed securities	44,667	23,369
Amortized cost	215,278	182,562
Fair Value
Due in one year or less	24,732	26,363
Due after one year through five years	103,666	85,852
Due after five years through ten years	35,150	41,085
Due after ten years	4,809	5,067
Asset-backed securities	44,452	23,493
Fair Value	$ 212,809	$ 181,860

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Available for Sale Securities, at fair value Table of Restricted Investments (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]
Fair value of restricted investments for special deposits required by state insurance departments	$ 5,466	$ 6,101
Fair value of restricted investments in trust pursuant to reinsurance agreements	17,646	10,175
Total fair value of restricted investments	$ 23,112	$ 16,276

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Available for Sale Securities, at fair value Table of Purchases, Proceeds and Gains & Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Schedule of Available-for-sale Securities [Line Items]
Purchases of available for sale securities	$ 75,570	$ 23,909
Proceeds from maturities, calls and prepayments of available for sale securities	10,018	4,223
Gains (losses) realized on maturities, calls and prepayments of available for sale securities	(26)	(3)
Gross proceeds from sales of available for sale securities	32,032	13,494
Gains (losses) realized on sales of available for sale securities	$ (500)	$ (44)

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Investment in Loans Table of the Company's Investment in Loans Measured at Fair Value (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, at fair value		$ 239,331	$ 258,173
Unpaid principal balance (UPB)		249,140	271,470
Fair value exceeds / (below) UPB		(9,809)	(13,297)
Corporate Loans | Telos Asset Management LLC
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, at fair value		154,377	157,661
Unpaid principal balance (UPB)	[1]	154,856	157,834
Fair value exceeds / (below) UPB	[1]	(479)	(173)
Mortgage Loans Held for Sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, at fair value		52,757	62,846
Unpaid principal balance (UPB)		51,416	60,764
Fair value exceeds / (below) UPB		1,341	2,082
Non-performing loans (2)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, at fair value	[2]	32,197	37,666
Unpaid principal balance (UPB)	[2]	42,868	52,872
Fair value exceeds / (below) UPB	[2]	(10,671)	(15,206)
Cost Basis of NPLs		$ 27,077	$ 32,398

[1] The UPB of these loans approximates cost basis.

[2] The cost basis of NPLs was approximately $27,077 and $32,398 at March 31, 2018 and December 31, 2017, respectively.

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Investment in Loans Table of Investments in Loans, Measured at Fair Value Pledged as Collateral (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Pledged as Collateral	$ 202,303	$ 247,194
Corporate Loans | Telos Asset Management LLC
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Pledged as Collateral	150,834	154,279
Mortgage Loans Held for Sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Pledged as Collateral	51,469	62,212
Non-performing loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Pledged as Collateral	0	30,703
Financing Receivables, Equal to Greater than 90 Days Past Due | Mortgage Loans Held for Sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing Receivable, Recorded Investment, Past Due	$ 0	$ 0

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Other Investments Table of Other Investments (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Investment Holdings, Other than Securities [Line Items]
Real estate, net (1) (2)	[1]	$ 0	$ 19,226
Foreclosed residential real estate property		16,811	16,056
Derivative Asset		4,407	5,013
Other		3,359	3,409
Total other investments		41,243	59,142
Real Estate Investment Property, Accumulated Depreciation		0	26,823
Triple Net Leases
Investment Holdings, Other than Securities [Line Items]
Real Estate Investment Property, Accumulated Depreciation	[1]	0	440
Seller financing
Investment Holdings, Other than Securities [Line Items]
Notes receivable, net		11,550	11,275
Debentures
Investment Holdings, Other than Securities [Line Items]
Notes receivable, net		$ 5,116	$ 4,163

[1] Net of accumulated depreciation of $0 and $440, respectively.

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Net Investment Income Table of Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Total investment income	$ 4,520	$ 4,692
Less: investment expenses	315	187
Net investment income	4,205	4,505
Available-for-sale Securities
Gross Investment Income, Operating	1,219	818
Loans, at fair value
Gross Investment Income, Operating	2,472	2,905
Equity securities
Gross Investment Income, Operating	390	725
Other Investments
Gross Investment Income, Operating	$ 439	$ 244

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Net Investment Income Table of Net Realized and Unrealized Gains (Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Income Statement [Abstract]
Net realized gains (losses)	$ 20,157	$ 10,878
Net unrealized gains (losses)	(13,551)	5,334
Net realized and unrealized gains (losses)	$ 6,606	$ 16,212

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Net Investment Income Table of Gains on Sale of Mortgage Loans and Equity Securities, Trading, Still Held (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Mar. 31, 2017
Income Statement [Abstract]
Net realized gain on sale of mortgage loans (1)	[1]	$ 11,394	$ 14,881
Net unrealized gains (losses) on equity securities, at fair value held at the reporting date		$ (11,270)	$ (1,740)

[1] Related to the Company’s mortgage business.

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Notes and Accounts Receivable, net Table of Notes and Accounts Receivable, net (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts and premiums receivable, net		$ 67,785	$ 59,946
Retrospective commissions receivable		72,052	68,064
Trust receivables		33,106	29,060
Other Receivables		16,068	17,127
Total		201,157	186,422
Specialty Insurance | Notes Receivable
Accounts, Notes, Loans and Financing Receivable [Line Items]
Notes receivable, net - premium financing program (1)	[1]	$ 12,146	$ 12,225

[1] Related to the Company’s specialty insurance business.

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Notes and Accounts Receivable, net Narrative (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Accounts and premiums receivable
Accounts, Notes, Loans and Financing Receivable [Line Items]
Valuation Allowances and Reserves, Balance	$ 312	$ 196
Specialty Insurance | Notes Receivable
Accounts, Notes, Loans and Financing Receivable [Line Items]
Valuation Allowances and Reserves, Balance	74	66
Specialty Insurance | Financing Receivables, Equal to Greater than 90 Days Past Due | Notes Receivable
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing Receivable, Recorded Investment, Equal to Greater than 90 Days Past Due	$ 376	$ 416

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Reinsurance Receivables Table of Direct, Assumed and Ceded (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Premiums Written, Net [Abstract]
Direct amount	$ 182,130	$ 159,223
Ceded to other companies	91,436	79,004
Assumed from other companies	18,524	6,129
Net amount	$ 109,218	$ 86,348
Percentage of amount - assumed to net	17.00%	7.10%
Premiums Earned, Net [Abstract]
Direct amount	$ 174,125	$ 156,621
Ceded to other companies	(81,370)	(72,976)
Assumed from other companies	8,890	5,586
Net amount	$ 101,645	$ 89,231
Percentage of amount - assumed to net	8.70%	6.30%
Life Insurance
Premiums Written, Net [Abstract]
Direct amount	$ 13,762	$ 12,296
Ceded to other companies	7,176	5,730
Assumed from other companies	427	437
Net amount	$ 7,013	$ 7,003
Percentage of amount - assumed to net	6.10%	6.20%
Premiums Earned, Net [Abstract]
Direct amount	$ 15,614	$ 15,188
Ceded to other companies	(7,822)	(7,412)
Assumed from other companies	453	493
Net amount	$ 8,245	$ 8,269
Percentage of amount - assumed to net	5.50%	6.00%
Accident and Health Insurance
Premiums Written, Net [Abstract]
Direct amount	$ 26,626	$ 25,170
Ceded to other companies	17,433	16,306
Assumed from other companies	769	710
Net amount	$ 9,962	$ 9,574
Percentage of amount - assumed to net	7.70%	7.40%
Premiums Earned, Net [Abstract]
Direct amount	$ 28,902	$ 27,369
Ceded to other companies	(19,617)	(19,058)
Assumed from other companies	818	775
Net amount	$ 10,103	$ 9,086
Percentage of amount - assumed to net	8.10%	8.50%
Property and Liability Insurance
Premiums Written, Net [Abstract]
Direct amount	$ 141,742	$ 121,757
Ceded to other companies	66,827	56,968
Assumed from other companies	17,328	4,982
Net amount	$ 92,243	$ 69,771
Percentage of amount - assumed to net	18.80%	7.10%
Premiums Earned, Net [Abstract]
Direct amount	$ 129,609	$ 114,064
Ceded to other companies	(53,931)	(46,506)
Assumed from other companies	7,619	4,318
Net amount	$ 83,297	$ 71,876
Percentage of amount - assumed to net	9.10%	6.00%

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Reinsurance Receivables Table of Losses and LAE Incurred (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Mar. 31, 2017
Effects of Reinsurance [Line Items]
Direct amount		$ 68,487	$ 59,642
Ceded to other companies		(42,146)	(31,903)
Assumed from other companies		6,371	1,416
Net		32,712	29,155
Member benefit claims (1)	[1]	3,914	3,837
Total policy and contract benefits		$ 36,626	$ 32,992
Losses Incurred, Percentage Assumed to Net		19.50%	4.90%
Life Insurance
Effects of Reinsurance [Line Items]
Direct amount		$ 10,353	$ 8,202
Ceded to other companies		(5,672)	(4,418)
Assumed from other companies		162	295
Net		$ 4,843	$ 4,079
Losses Incurred, Percentage Assumed to Net		3.30%	7.20%
Accident and Health Insurance
Effects of Reinsurance [Line Items]
Direct amount		$ 4,577	$ 3,832
Ceded to other companies		(3,544)	(3,377)
Assumed from other companies		246	256
Net		$ 1,279	$ 711
Losses Incurred, Percentage Assumed to Net		19.20%	36.00%
Property and Liability Insurance
Effects of Reinsurance [Line Items]
Direct amount		$ 53,557	$ 47,608
Ceded to other companies		(32,930)	(24,108)
Assumed from other companies		5,963	865
Net		$ 26,590	$ 24,365
Losses Incurred, Percentage Assumed to Net		22.40%	3.60%

[1] Member benefit claims are not covered by reinsurance.

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Reinsurance Receivables Table of the Components of Reinsurance Receivables (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Effects of Reinsurance [Line Items]
Prepaid reinsurance premiums:		$ 263,407	$ 253,682
Reinsurance receivables		362,411	352,967
Life (1)
Effects of Reinsurance [Line Items]
Prepaid reinsurance premiums:	[1]	64,231	65,218
Ceded claim reserves:		2,833	2,988
Accident and health (1)
Effects of Reinsurance [Line Items]
Prepaid reinsurance premiums:	[1]	54,544	56,729
Ceded claim reserves:		9,474	9,575
Property (2)
Effects of Reinsurance [Line Items]
Prepaid reinsurance premiums:		144,632	131,735
Ceded claim reserves:		64,451	61,406
Total ceded claim reserves recoverable
Effects of Reinsurance [Line Items]
Ceded claim reserves:		76,758	73,969
Other reinsurance settlements recoverable
Effects of Reinsurance [Line Items]
Other reinsurance settlements recoverable		$ 22,246	$ 25,316

[1] Including policyholder account balances ceded.

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Reinsurance Receivables Table of Reinsurance Concentration of Credit Risk (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Concentration Risk [Line Items]
Total of the three largest receivable balances from unrelated reinsurers	$ 362,411	$ 352,967
Customer Concentration Risk
Concentration Risk [Line Items]
Total of the three largest receivable balances from unrelated reinsurers	$ 78,779

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Goodwill and Intangible Assets, Net Table of Identifiable Finite and Indefinite-Lived Intangible Assets, Accumulated Amortization and Goodwill (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Schedule of Intangible Assets, Net [Line Items]
Accumulated amortization		$ 0	$ (26,944)
Intangible Assets, Net		59,375	64,017
Goodwill		91,562	91,562
Total		150,937	155,579
Insurance licensing agreements
Schedule of Intangible Assets, Net [Line Items]
Indefinite-Lived License Agreements	[1]	13,761	13,761
Customer relationships
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		50,500	50,500
Accumulated amortization		(13,789)	(12,081)
Trade Names
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		7,300	7,300
Accumulated amortization		(2,538)	(2,382)
Software licensing
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		9,140	9,140
Accumulated amortization		(5,918)	(5,470)
Insurance policies and contracts acquired
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		36,500	36,500
Accumulated amortization		(35,581)	(35,433)
Leases in place (2)
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	2,324
Accumulated amortization		0	(142)
Specialty Insurance
Schedule of Intangible Assets, Net [Line Items]
Intangible Assets, Net		58,406	63,005
Goodwill		89,854	89,854
Total		148,260	152,859
Specialty Insurance | Insurance licensing agreements
Schedule of Intangible Assets, Net [Line Items]
Indefinite-Lived License Agreements		13,761	13,761	[1]
Specialty Insurance | Customer relationships
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		50,500	50,500
Accumulated amortization		(13,789)	(12,081)
Specialty Insurance | Trade Names
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		6,500	6,500
Accumulated amortization		(2,318)	(2,182)
Specialty Insurance | Software licensing
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		8,500	8,500
Accumulated amortization		(5,667)	(5,242)
Specialty Insurance | Insurance policies and contracts acquired
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		36,500	36,500
Accumulated amortization		(35,581)	(35,433)
Specialty Insurance | Leases in place (2)
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	2,324
Accumulated amortization		0	(142)
Mortgage
Schedule of Intangible Assets, Net [Line Items]
Intangible Assets, Net		969	1,012
Goodwill		1,708	1,708
Total		2,677	2,720
Mortgage | Insurance licensing agreements
Schedule of Intangible Assets, Net [Line Items]
Indefinite-Lived License Agreements		0	0
Mortgage | Customer relationships
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Mortgage | Trade Names
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		800	800
Accumulated amortization		(220)	(200)
Mortgage | Software licensing
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		640	640
Accumulated amortization		(251)	(228)
Mortgage | Insurance policies and contracts acquired
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Mortgage | Leases in place (2)
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Corporate and Other
Schedule of Intangible Assets, Net [Line Items]
Intangible Assets, Net		0	0
Goodwill		0	0
Total		0	0
Corporate and Other | Insurance licensing agreements
Schedule of Intangible Assets, Net [Line Items]
Indefinite-Lived License Agreements		0	0
Corporate and Other | Customer relationships
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Corporate and Other | Trade Names
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Corporate and Other | Software licensing
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Corporate and Other | Insurance policies and contracts acquired
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		0	0
Corporate and Other | Leases in place (2)
Schedule of Intangible Assets, Net [Line Items]
Finite-Lived Intangible Assets, Gross		0	0
Accumulated amortization		$ 0	$ 0

[1] Represents intangible assets with an indefinite useful life. Impairment tests are performed at least annually on these assets.

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Goodwill and Intangible Assets, Net Table of Goodwill Rollforward (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Goodwill [Roll Forward]
Goodwill	$ 91,562
Goodwill	91,562
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
Accumulated impairments	699
Goodwill, Impaired [Abstract]
Impairment of goodwill	0	$ 0
Specialty Insurance
Goodwill [Roll Forward]
Goodwill	89,854
Goodwill	89,854
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
Accumulated impairments	0
Mortgage
Goodwill [Roll Forward]
Goodwill	1,708
Goodwill	1,708
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
Accumulated impairments	0
Corporate and Other
Goodwill [Roll Forward]
Goodwill	0
Goodwill	0
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
Accumulated impairments	$ 699

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Goodwill and Intangible Assets, Net Table of Intangible Assets, Net Rollforward (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Net (Excluding Goodwill)	$ 64,017
Finite-Lived Intangible Assets, Period Increase (Decrease)	(2,167)
Amortization of Intangible Assets	(2,475)	$ (2,997)
Intangible Assets, Net (Excluding Goodwill)	59,375
Impairment of Intangible Assets (Excluding Goodwill) [Abstract]
Impairment of Intangible Assets (Excluding Goodwill)	0	$ 0
Specialty Insurance
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Net (Excluding Goodwill)	63,005
Finite-Lived Intangible Assets, Period Increase (Decrease)	(2,167)
Amortization of Intangible Assets	2,432
Intangible Assets, Net (Excluding Goodwill)	58,406
Mortgage
Finite-lived Intangible Assets [Roll Forward]
Intangible Assets, Net (Excluding Goodwill)	1,012
Finite-Lived Intangible Assets, Period Increase (Decrease)	0
Amortization of Intangible Assets	43
Intangible Assets, Net (Excluding Goodwill)	$ 969

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Goodwill and Intangible Assets, Net Table of Amoritzation Expense on Intangibles (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 2,475	$ 2,997

XML

Goodwill and Intangible Assets, Net Table of Future Amortization Expense on Intangibles (Details) $ in Thousands	Mar. 31, 2018 USD ($)
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	$ 7,253
2019	7,897
2020	5,321
2021	4,504
2022	3,775
2023 and thereafter	16,864
Finite-Lived Intangible Assets, Net	45,614
Specialty Insurance
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	6,808
2019	7,509
2020	5,027
2021	4,251
2022	3,595
2023 and thereafter	16,536
Finite-Lived Intangible Assets, Net	43,726
Mortgage
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	128
2019	171
2020	171
2021	171
2022	126
2023 and thereafter	202
Finite-Lived Intangible Assets, Net	969
Insurance policies and contracts acquired | Specialty Insurance
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	317
2019	217
2020	123
2021	82
2022	54
2023 and thereafter	126
Finite-Lived Intangible Assets, Net	$ 919

XML

Derivative Financial Instruments and Hedging Table of Derivatives - Gross notional and fair value amounts of derivatives (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Derivative [Line Items]
Notional values	$ 414,411	$ 458,797
Asset derivatives	4,407	5,013
Liability derivatives	389	117
Interest Risk, Interest Rate Lock Commitments
Derivative [Line Items]
Notional values	168,602	190,645
Asset derivatives	4,118	4,808
Liability derivatives	0	0
Interest Risk, Forward Delivery Contracts
Derivative [Line Items]
Notional values	61,809	71,152
Asset derivatives	21	30
Liability derivatives	0	0
Interest Risk, TBA Mortgage Backed Securities
Derivative [Line Items]
Notional values	184,000	197,000
Asset derivatives	268	175
Liability derivatives	$ 389	$ 117

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Derivative Financial Instruments and Hedging Table of derivatives designated as cash flow hedging instrument (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018		Mar. 31, 2017
Balance Sheet Related Disclosures [Abstract]
Description of Location of Gain (Loss) on Interest Rate Cash Flow Hedge Derivative in Financial Statements	AOCI
Interest Rate Swap | Cash Flow Hedging
Derivative Instruments, Gain (Loss) [Line Items]
Unrealized gain (loss), net of tax, on the fair value of interest rate swaps	$ 0	[1]	$ 2,074

[1] Deconsolidated of as part of the sale of Care. See Note (3) Dispositions, Assets Held for Sale & Discontinued Operations.

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Derivative Financial Instruments and Hedging Table of Pretax Impact of Cash Flow Hedging Derivative Instruments on the Consolidated Financial Statements (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Gain (loss) recognized in AOCI on the derivative-effective portion	$ 1,111	$ 132
(Gains) losses reclassified from AOCI into income-effective portion	3,845	(144)
Interest Rate Swap | Cash Flow Hedging
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Gain (loss) recognized in AOCI on the derivative-effective portion	1,111	(229)
Interest Rate Swap | Cash Flow Hedging | Amount reclassified from AOCI
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
(Gains) losses reclassified from AOCI into income-effective portion	0	144
Gains (losses) recognized in income on the derivative-ineffective portion	$ 0	$ (1)

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Debt, net Table of Debt (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 330,212	$ 356,104
Debt Instrument, Unamortized Discount		(211)	(191)
Deferred Financing Costs, Net		(9,493)	(9,832)
Debt, net		320,508	346,081
Secured Debt
Debt Instrument [Line Items]
Long-term Debt, Gross		28,000	28,500
Long-term Debt, Other Disclosures [Abstract]
Debt instrument, maximum borrowing capacity		$ 155,000
Secured Debt | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Description of Variable Rate Basis		LIBOR
Junior subordinated notes
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 125,000	125,000
Long-term Debt, Other Disclosures [Abstract]
Debt instrument, maximum borrowing capacity		125,000
Trust Preferred Securities Subject to Mandatory Redemption [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross		35,000	35,000
Long-term Debt, Other Disclosures [Abstract]
Debt instrument, maximum borrowing capacity		$ 35,000
Trust Preferred Securities Subject to Mandatory Redemption [Member] | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Description of Variable Rate Basis		LIBOR
Corporate Debt Payable
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 188,000	188,500
Asset based revolving financing (1) (2)
Debt Instrument [Line Items]
Long-term Debt, Gross	[1],[2]	103,417	$ 118,794
Long-term Debt, Other Disclosures [Abstract]
Debt instrument, maximum borrowing capacity		$ 175,000
Long-term Debt, Weighted Average Interest Rate		4.16%	3.73%
Asset based revolving financing (1) (2) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Description of Variable Rate Basis		LIBOR
Residential mortgage warehouse borrowings (3)
Debt Instrument [Line Items]
Long-term Debt, Gross	[3]	$ 38,795	$ 48,810
Long-term Debt, Other Disclosures [Abstract]
Debt instrument, maximum borrowing capacity	[3]	$ 76,000
Long-term Debt, Weighted Average Interest Rate		4.55%	3.70%
Residential mortgage warehouse borrowings (3) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Description of Variable Rate Basis		LIBOR
Asset Backed Debt Payable
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 142,212	$ 167,604
Minimum | Secured Debt | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate		1.00%
Minimum | Asset based revolving financing (1) (2) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate	[1],[2]	2.25%
Minimum | Residential mortgage warehouse borrowings (3) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate	[3]	2.50%
Maximum | Secured Debt | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate		6.50%
Maximum | Junior subordinated notes
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Interest Rate, Stated Percentage		8.50%
Maximum | Trust Preferred Securities Subject to Mandatory Redemption [Member]
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Interest Rate, Stated Percentage		4.10%
Maximum | Asset based revolving financing (1) (2) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate	[1],[2]	2.60%
Maximum | Residential mortgage warehouse borrowings (3) | London Interbank Offered Rate (LIBOR)
Long-term Debt, Other Disclosures [Abstract]
Debt Instrument, Basis Spread on Variable Rate	[3]	3.25%

[1] Asset based revolving financing is generally recourse only to specific assets and related cash flows.

[2] The weighted average coupon rate for asset based revolving financing was 4.16% and 3.73% at March 31, 2018 and December 31, 2017, respectively.

[3] The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

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Debt, net Table of Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Income Statement [Abstract]
Interest expense	$ 5,941	$ 6,078

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Debt, net Table of Maturities (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Debt Disclosure [Abstract]
Remainder of 2018	$ 66,795
2019	5,489
2020	0
2021	0
2022	97,928
Thereafter	160,000
Total	$ 330,212	$ 356,104

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Debt, net Narrative (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 330,212		$ 356,104
Repayments of Secured Debt		395,625	$ 434,435
Asset-based revolving facility
Debt Instrument [Line Items]
Long-term Debt, Gross	[1],[2]	103,417		118,794
Residential mortgage warehouse borrowings
Debt Instrument [Line Items]
Long-term Debt, Gross	[3]	38,795		48,810
Asset Based Leverage - Corporate Loans | Specialty Insurance | Asset-based revolving facility
Debt Instrument [Line Items]
Long-term Debt, Gross		97,928		101,428
Asset Based Leverage - Nonperforming Loans | Specialty Insurance | Asset-based revolving facility
Debt Instrument [Line Items]
Repayments of Secured Debt		11,917
Asset Backed Revolving Line of Credit - Premium Financing | Specialty Insurance | Asset-based revolving facility
Debt Instrument [Line Items]
Long-term Debt, Gross		5,489		$ 5,449
Luxury Disposition | Luxury Mortgage Corp | Residential mortgage warehouse borrowings
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 11,300

[1] Asset based revolving financing is generally recourse only to specific assets and related cash flows.

[2] The weighted average coupon rate for asset based revolving financing was 4.16% and 3.73% at March 31, 2018 and December 31, 2017, respectively.

[3] The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

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Fair Value of Financial Instruments Table of Fair Value Hierarchies for Financial Assets and Liabilities Measured on a Recurring Basis (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Dec. 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Average Estimated Restriction, Period		11 months
Foreclosed residential real estate property		$ 16,811	$ 16,056
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		212,809	182,448
Loans, at fair value		239,331	258,173
Equity securities, at fair value		140,238	25,536
Asset derivatives		4,407	5,013
Other		3,359	3,409
Total other investments, at fair value		41,243	59,142
Liabilities, Fair Value Disclosure [Abstract]
Liability derivatives		389	117
Significant unobservable inputs Level 3
Assets, Fair Value Disclosure [Abstract]
Total assets		36,315	42,474
Liabilities, Fair Value Disclosure [Abstract]
Total liabilities	[1]	0	0
Recurring | Quoted prices in active markets Level 1
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		1,966	1,437
Loans, at fair value		0	0
Asset derivatives		0	0
Total other investments, at fair value		0	0
Total assets		13,726	26,973
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities (included in other liabilities and accrued expenses)		0	0
Total liabilities		0	0
Recurring | Quoted prices in active markets Level 1 | Interest Rate Lock Commitments
Liabilities, Fair Value Disclosure [Abstract]
Liability derivatives		0	0
Recurring | Quoted prices in active markets Level 1 | Contingent Consideration Payable
Liabilities, Fair Value Disclosure [Abstract]
Contingent consideration payable		0	0
Recurring | Quoted prices in active markets Level 1 | Equity securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities			541
Equity securities, at fair value		11,760
Recurring | Quoted prices in active markets Level 1 | U.S. Treasury securities and obligations of U.S. government authorities and agencies
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Quoted prices in active markets Level 1 | Obligations of states and political subdivisions
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Quoted prices in active markets Level 1 | Obligations of foreign governments
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Quoted prices in active markets Level 1 | Certificates of deposit
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		1,966	896
Recurring | Quoted prices in active markets Level 1 | Asset-backed Securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Quoted prices in active markets Level 1 | Corporate securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Quoted prices in active markets Level 1 | Corporate Loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		0	0
Recurring | Quoted prices in active markets Level 1 | Mortgage Loans Held for Sale
Assets, Fair Value Disclosure [Abstract]
Mortgage loans held for sale		0	0
Recurring | Quoted prices in active markets Level 1 | Non-performing loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		0	0
Recurring | Quoted prices in active markets Level 1 | Trading Securities
Assets, Fair Value Disclosure [Abstract]
Trading assets			25,536
Recurring | Quoted prices in active markets Level 1 | Forward Delivery Contracts
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Recurring | Quoted prices in active markets Level 1 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Recurring | Quoted prices in active markets Level 1 | CLOs
Assets, Fair Value Disclosure [Abstract]
Trading assets		0	0
Recurring | Quoted prices in active markets Level 1 | Debentures
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		0	0
Recurring | Other significant observable inputs Level 2
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		207,398	180,964
Loans, at fair value		89,783	103,771
Asset derivatives		289	205
Total other investments, at fair value		5,405	4,368
Total assets		431,017	289,103
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities (included in other liabilities and accrued expenses)		389	117
Total liabilities		389	117
Recurring | Other significant observable inputs Level 2 | Interest Rate Lock Commitments
Liabilities, Fair Value Disclosure [Abstract]
Liability derivatives		389	117
Recurring | Other significant observable inputs Level 2 | Contingent Consideration Payable
Liabilities, Fair Value Disclosure [Abstract]
Contingent consideration payable		0	0
Recurring | Other significant observable inputs Level 2 | Equity securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities			0
Equity securities, at fair value		128,431
Recurring | Other significant observable inputs Level 2 | U.S. Treasury securities and obligations of U.S. government authorities and agencies
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		37,976	47,945
Recurring | Other significant observable inputs Level 2 | Obligations of states and political subdivisions
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		54,527	46,981
Recurring | Other significant observable inputs Level 2 | Obligations of foreign governments
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		2,407	570
Recurring | Other significant observable inputs Level 2 | Certificates of deposit
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Other significant observable inputs Level 2 | Asset-backed Securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		41,007	23,493
Recurring | Other significant observable inputs Level 2 | Corporate securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		71,481	61,975
Recurring | Other significant observable inputs Level 2 | Corporate Loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		37,026	40,925
Recurring | Other significant observable inputs Level 2 | Mortgage Loans Held for Sale
Assets, Fair Value Disclosure [Abstract]
Mortgage loans held for sale		52,757	62,846
Recurring | Other significant observable inputs Level 2 | Non-performing loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		0	0
Recurring | Other significant observable inputs Level 2 | Trading Securities
Assets, Fair Value Disclosure [Abstract]
Trading assets			0
Recurring | Other significant observable inputs Level 2 | Forward Delivery Contracts
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		21	30
Recurring | Other significant observable inputs Level 2 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Recurring | Other significant observable inputs Level 2 | CLOs
Assets, Fair Value Disclosure [Abstract]
Trading assets		0	0
Recurring | Other significant observable inputs Level 2 | Debentures
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		5,116	4,163
Recurring | Significant unobservable inputs Level 3
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		3,445	47
Loans, at fair value		149,548	154,402
Asset derivatives		4,118	4,808
Total other investments, at fair value		7,477	8,217
Total assets		160,517	162,666
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities (included in other liabilities and accrued expenses)		0	0
Total liabilities		0	0
Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments
Liabilities, Fair Value Disclosure [Abstract]
Liability derivatives		0	0
Recurring | Significant unobservable inputs Level 3 | Contingent Consideration Payable
Liabilities, Fair Value Disclosure [Abstract]
Contingent consideration payable		0	0
Recurring | Significant unobservable inputs Level 3 | Equity securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities			47
Equity securities, at fair value		47
Recurring | Significant unobservable inputs Level 3 | U.S. Treasury securities and obligations of U.S. government authorities and agencies
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Significant unobservable inputs Level 3 | Obligations of states and political subdivisions
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Significant unobservable inputs Level 3 | Obligations of foreign governments
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Significant unobservable inputs Level 3 | Certificates of deposit
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Significant unobservable inputs Level 3 | Asset-backed Securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		3,445	0
Recurring | Significant unobservable inputs Level 3 | Corporate securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		0	0
Recurring | Significant unobservable inputs Level 3 | Corporate Loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		117,351	116,736
Recurring | Significant unobservable inputs Level 3 | Mortgage Loans Held for Sale
Assets, Fair Value Disclosure [Abstract]
Mortgage loans held for sale		0	0
Recurring | Significant unobservable inputs Level 3 | Non-performing loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value			37,666
Recurring | Significant unobservable inputs Level 3 | Trading Securities
Assets, Fair Value Disclosure [Abstract]
Trading assets			0
Recurring | Significant unobservable inputs Level 3 | Forward Delivery Contracts
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives			4,808
Recurring | Significant unobservable inputs Level 3 | CLOs
Assets, Fair Value Disclosure [Abstract]
Trading assets		3,359	3,409
Recurring | Significant unobservable inputs Level 3 | Debentures
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		0	0
Fair Value | Other significant observable inputs Level 2
Assets, Fair Value Disclosure [Abstract]
Total assets		12,146	12,225
Fair Value | Significant unobservable inputs Level 3
Liabilities, Fair Value Disclosure [Abstract]
Total liabilities		330,782	356,537
Fair Value | Recurring
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		212,809	182,448
Loans, at fair value		239,331	258,173
Asset derivatives		4,407	5,013
Total other investments, at fair value		12,882	12,585
Total assets		605,260	478,742
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities (included in other liabilities and accrued expenses)		389	117
Total liabilities		389	117
Fair Value | Recurring | Interest Rate Lock Commitments
Liabilities, Fair Value Disclosure [Abstract]
Liability derivatives		389	117
Fair Value | Recurring | Contingent Consideration Payable
Liabilities, Fair Value Disclosure [Abstract]
Contingent consideration payable		0
Fair Value | Recurring | Equity securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities			588
Equity securities, at fair value		140,238
Fair Value | Recurring | U.S. Treasury securities and obligations of U.S. government authorities and agencies
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		37,976	47,945
Fair Value | Recurring | Obligations of states and political subdivisions
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		54,527	46,981
Fair Value | Recurring | Obligations of foreign governments
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		2,407	570
Fair Value | Recurring | Certificates of deposit
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		1,966	896
Fair Value | Recurring | Asset-backed Securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		44,452	23,493
Fair Value | Recurring | Corporate securities
Assets, Fair Value Disclosure [Abstract]
Investments in available for sale securities		71,481	61,975
Fair Value | Recurring | Corporate Loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		154,377	157,661
Fair Value | Recurring | Mortgage Loans Held for Sale
Assets, Fair Value Disclosure [Abstract]
Mortgage loans held for sale		52,757	62,846
Fair Value | Recurring | Non-performing loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		32,197	37,666
Fair Value | Recurring | Trading Securities
Assets, Fair Value Disclosure [Abstract]
Trading assets			25,536
Fair Value | Recurring | Forward Delivery Contracts
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		21	30
Fair Value | Recurring | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		4,118	4,808
Fair Value | Recurring | CLOs
Assets, Fair Value Disclosure [Abstract]
Trading assets		3,359	3,409
Fair Value | Recurring | Debentures
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		5,116	4,163
Mortgage Backed Securities, Other | Recurring | Quoted prices in active markets Level 1 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Mortgage Backed Securities, Other | Recurring | Other significant observable inputs Level 2 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		268	175
Mortgage Backed Securities, Other | Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		0	0
Mortgage Backed Securities, Other | Fair Value | Recurring | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		268	$ 175
Cash Flow Model | Recurring | Significant unobservable inputs Level 3 | Non-performing loans
Assets, Fair Value Disclosure [Abstract]
Loans, at fair value		32,197
Internal Model | Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments
Assets, Fair Value Disclosure [Abstract]
Asset derivatives		$ 4,118

[1] Monte Carlo simulation is run, as needed.

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Fair Value of Financial Instruments Table of Level 3 Rollforward, Assets Measured on Recurring Basis Utilizing Level 3 Inputs (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2018	Mar. 31, 2017
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at January 1,		$ 162,666	$ 211,192
Net realized gains/(losses)		(77)	850
Net unrealized gains/(losses)		1,106	1,802
Issuances		77	219
Purchases		23,298	10,514
Sales	[1]	(22,633)	(14,377)
Transfer adjustments (out of) Level 3	[1]	(7,420)	(11,229)
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Transfers out of Level 3, Other		0	(32)
Transfers into Level 3	[1]	7,624	9,960
Balance at March 31,		160,517	207,390
Assets, Fair Value Disclosure [Abstract]
Fair value,measurement with unobservable inputs reconciliation,changes in unrealized gains included in earnings related to assets still held at period end		1,105	1,727
Primary beneficiary
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at January 1,			585,870
Net realized gains/(losses)			(332)
Net unrealized gains/(losses)			1,427
Issuances			272
Purchases			30,896
Sales	[1]		(37,037)
Transfer adjustments (out of) Level 3	[1]		(64,120)
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Transfers out of Level 3, Other			0
Transfers into Level 3	[1]		26,990
Balance at March 31,			292,666
Assets, Fair Value Disclosure [Abstract]
Fair value,measurement with unobservable inputs reconciliation,changes in unrealized gains included in earnings related to assets still held at period end			1,366
CLOs
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Deconsolidation of CLOs due to sale		0	1,342
CLOs | Primary beneficiary
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Deconsolidation of CLOs due to sale			(251,300)
Other real estate
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Transfer adjustments (out of) Level 3		(3,435)	(2,968)
Other real estate | Primary beneficiary
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Transfer adjustments (out of) Level 3			0
Mortgage Loans Held for Sale
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Transfer adjustments (out of) Level 3		(12,061)	(14,361)
Mortgage Loans Held for Sale | Primary beneficiary
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Transfer adjustments (out of) Level 3			0
Interest Rate Lock Commitments
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Issuances		$ 11,372	14,478
Interest Rate Lock Commitments | Primary beneficiary
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Issuances			$ 0

[1] All transfers are deemed to occur at end of period. Transfers between Level 2 and 3 were a result of subjecting third-party pricing on both CLO and Non-CLO assets to various liquidity, depth, bid-ask spread and benchmarking criteria as well as assessing the availability of observable inputs affecting their fair valuation.

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Fair Value of Financial Instruments Table of Level 3 Rollforward, Liabilities Measured on Recurring Basis Utilizing Level 3 Inputs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at January 1,	$ 0	$ 3,084
Net unrealized (gains) losses	0	0
Dispositions	0	0
Net realized gains (losses)	0	554
Deconsolidation of CLOs due to sale	0	0
Balance at March 31,	0	3,638
Liabilities, Fair Value Disclosure [Abstract]
Changes in unrealized (gains) losses included in earnings related to liabilities still held at period end	$ 0	0
Primary beneficiary
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at January 1,		912,034
Net unrealized (gains) losses		(48)
Dispositions		21,410
Net realized gains (losses)		0
Balance at March 31,		512,533
Liabilities, Fair Value Disclosure [Abstract]
Changes in unrealized (gains) losses included in earnings related to liabilities still held at period end		(48)
Liabilities of Consolidated CLOs | Primary beneficiary
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Deconsolidation of CLOs due to sale		$ (378,043)

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Fair Value of Financial Instruments Table of Significant Observable Inputs used in the Valuation of Level 3 Assets(Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset derivatives	$ 4,407	$ 5,013
Loans, at fair value	239,331	258,173
Significant unobservable inputs Level 3
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Total	$ 36,315	$ 42,474
Significant unobservable inputs Level 3 | Interest Rate Lock Commitments | Internal Model | Minimum
Fair Value Assumptions and Methodology for Assets and Liabilities [Abstract]
Fair Value Assumptions, Pull Through Rate	50.00%	50.00%
Significant unobservable inputs Level 3 | Interest Rate Lock Commitments | Internal Model | Maximum
Fair Value Assumptions and Methodology for Assets and Liabilities [Abstract]
Fair Value Assumptions, Pull Through Rate	95.00%	95.00%
Recurring | Significant unobservable inputs Level 3
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset derivatives	$ 4,118	$ 4,808
Loans, at fair value	149,548	154,402
Total	160,517	162,666
Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset derivatives		4,808
Recurring | Significant unobservable inputs Level 3 | Interest Rate Lock Commitments | Internal Model
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset derivatives	4,118
Recurring | Significant unobservable inputs Level 3 | Non-performing loans
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loans, at fair value		37,666
Recurring | Significant unobservable inputs Level 3 | Non-performing loans | Cash Flow Model
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loans, at fair value	32,197
Interest Risk, Interest Rate Lock Commitments
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Asset derivatives	$ 4,118	$ 4,808

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Fair Value of Financial Instruments Table of Significant Observable Inputs used in the Valuation of Nonperforming Loans (Details) - Non-performing loans - Investment in Loans - Significant unobservable inputs Level 3 - USD ($) $ in Thousands		3 Months Ended	12 Months Ended
		Mar. 31, 2018	Dec. 31, 2017
Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate		30.00%	30.00%
Loan resolution time-line (Years)		2 years	2 years 3 months 17 days
Value of underlying properties		$ 1,775	$ 1,775
Holding costs		21.10%	22.00%
Liquidation costs		15.90%	16.80%
Fair Value Inputs, Note Rate		6.00%	6.00%
Secondary market transaction prices/UPB		88.50%	88.50%
Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate		16.00%	16.00%
Loan resolution time-line (Years)		4 months 24 days	5 months 30 days
Value of underlying properties		$ 45	$ 40
Holding costs		4.80%	5.30%
Liquidation costs		8.40%	8.40%
Fair Value Inputs, Note Rate		3.00%	3.00%
Secondary market transaction prices/UPB		75.50%	75.50%
Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	[1]	23.80%	23.50%
Loan resolution time-line (Years)	[1]	1 year 3 months 19 days	1 year 2 months 12 days
Value of underlying properties	[1]	$ 335	$ 306
Holding costs	[1]	7.20%	7.60%
Liquidation costs	[1]	9.30%	9.40%
Fair Value Inputs, Note Rate	[1]	4.90%	4.80%
Secondary market transaction prices/UPB	[1]	83.80%	83.40%

[1] Weighted based on value of underlying properties (excluding the value of underlying properties line item).

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Fair Value of Financial Instruments Table of Significant Observable Inputs used in the Valuation of Level 3 Liabilities (Details) - Fair Value, Inputs, Level 3 - USD ($) $ in Thousands		3 Months Ended	12 Months Ended
		Mar. 31, 2018	Dec. 31, 2017
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Total liabilities	[1]	$ 0	$ 0
Reliance | Other Liabilities | Cash Flow Model
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Contingent consideration payable	[1]	0	0
Maximum | Reliance | Other Liabilities | Cash Flow Model
Fair Value Assumptions and Methodology for Assets and Liabilities [Abstract]
Fair Value Inputs, Earnings Before Interest, Taxes, Depreciation and Amortization	[1]	6,400	6,400
Minimum | Reliance | Other Liabilities | Cash Flow Model
Fair Value Assumptions and Methodology for Assets and Liabilities [Abstract]
Fair Value Inputs, Earnings Before Interest, Taxes, Depreciation and Amortization	[1]	$ 1,300	$ 1,300

[1] Monte Carlo simulation is run, as needed.

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Fair Value of Financial Instruments Table of Fair Values and Carrying Values of Assets and Liabilities (Details) - USD ($) $ in Thousands		Mar. 31, 2018	Dec. 31, 2017
Fair Value, Inputs, Level 2 | Fair Value
Assets, Fair Value Disclosure [Abstract]
Notes receivable, net		$ 12,146	$ 12,225
Total assets		12,146	12,225
Fair Value, Inputs, Level 2 | Carrying value
Assets, Fair Value Disclosure [Abstract]
Notes receivable, net		12,146	12,225
Total assets		12,146	12,225
Fair Value, Inputs, Level 3
Assets, Fair Value Disclosure [Abstract]
Total assets		36,315	42,474
Liabilities, Fair Value Disclosure [Abstract]
Debt, net		330,001	355,913
Total liabilities	[1]	0	0
Fair Value, Inputs, Level 3 | Fair Value
Liabilities, Fair Value Disclosure [Abstract]
Debt, net		330,782	356,537
Total liabilities		330,782	356,537
Fair Value, Inputs, Level 3 | Carrying value
Liabilities, Fair Value Disclosure [Abstract]
Total liabilities		$ 330,001	$ 355,913

[1] Monte Carlo simulation is run, as needed.

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Liability for Unpaid Claims and Claim Adjustment Expenses Table of Net Liability for Unpaid Losses and Loss Adjustment Expenses of Short-Duration Contracts - Rollforward (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Policy liabilities and unpaid claims balance at January 1	$ 112,003	$ 103,391
Policyholder Funds	(15,474)	(17,417)
Non-insurance warranty benefit claim liabilities	(58)	(91)
Liability for Claims and Claims Adjustment Expense	96,471	85,883
Short-duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net	22,469	22,563
Policyholder Benefits and Claims Incurred [Abstract]
Current Year Claims and Claims Adjustment Expense	25,002	26,004
Prior Year Claims and Claims Adjustment Expense	6,966	2,684
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims	31,968	28,688
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid [Abstract]
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid, Current Year	14,434	14,035
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid, Prior Years	14,179	13,546
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid	28,613	27,581
Liability for Claims and Claims Adjustment Expense	102,615	87,577
Policyholder Funds	(15,048)	(16,928)
Non-insurance warranty benefit claim liabilities	(77)	(118)
Policy liabilities and unpaid claims balance as of December 31,	117,740	104,623
Other Short-duration Insurance Product Line [Member]
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments	(73,778)	(63,112)
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid [Abstract]
Short-duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net	25,824	23,670
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments	(76,619)	(63,708)
Other Insurance Product Line [Member]
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments	(224)	(208)
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid [Abstract]
Reinsurance Recoverable for Unpaid Claims and Claims Adjustments	$ (172)	$ (199)

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Liability for Unpaid Claims and Claim Adjustment Expenses Reconciliation of Short Duration Contracts to Total Losses Incurred (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Insurance [Abstract]
Total incurred	$ 31,968	$ 28,688
Other lines incurred	46	(2)
Unallocated loss adjustment expense	698	469
Net	$ 32,712	$ 29,155

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Liability for Unpaid Claims and Claim Adjustment Expenses Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items]
Prior Year Claims and Claims Adjustment Expense	$ 6,966	$ 2,684
Non-Standard Auto
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items]
Liability for Unpaid Claims and Claims Adjustment Expense, Reported Claims, Amount	3,295		$ 707
Credit Protection
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items]
Liability for Unpaid Claims and Claims Adjustment Expense, Reported Claims, Amount	$ 3,831

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Revenue From Contracts with Customers Table of Revenue From Contracts With Customers (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenue from External Customer [Line Items]
Revenue from contracts with customers	$ 17,626	$ 15,030
Asset management fee income
Revenue from External Customer [Line Items]
Revenue from contracts with customers	1,577	1,707
Warranty coverage revenue
Revenue from External Customer [Line Items]
Revenue from contracts with customers	6,123	3,705
Car club revenue
Revenue from External Customer [Line Items]
Revenue from contracts with customers	7,829	7,722
Other
Revenue from External Customer [Line Items]
Revenue from contracts with customers	$ 2,097	$ 1,896

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Revenue From Contracts with Customers Table of Deferred Assets Related to Revenue From Contracts with Customers (Rollforward) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($)
Table of Deferred Assets Related to Revenue From Contracts with Customers [Roll Forward]
Deferred acquisition costs, beginning balance	$ 147,162
Deferred acquisition costs, ending balance	143,146
Customer Contracts [Member]
Table of Deferred Assets Related to Revenue From Contracts with Customers [Roll Forward]
Deferred acquisition costs, beginning balance	13,393
Additions	4,453
Amortizations	6,289
Deferred acquisition costs, ending balance	11,557
Warranty coverage revenue | Customer Contracts [Member]
Table of Deferred Assets Related to Revenue From Contracts with Customers [Roll Forward]
Deferred acquisition costs, beginning balance	2,249
Additions	96
Amortizations	373
Deferred acquisition costs, ending balance	1,972
Car club revenue | Customer Contracts [Member]
Table of Deferred Assets Related to Revenue From Contracts with Customers [Roll Forward]
Deferred acquisition costs, beginning balance	11,144
Additions	4,357
Amortizations	5,916
Deferred acquisition costs, ending balance	$ 9,585

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Revenue From Contracts with Customers Table of Deferred Revenue Liabilities From Contracts with Customers (Rollforward) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($)
Rollforward
Deferred revenue	$ 56,745
Deferred revenue	58,349
Customer Contracts [Member]
Rollforward
Deferred revenue	43,185
Additions	15,006
Amortizations	13,952
Deferred revenue	44,239
Warranty coverage revenue | Customer Contracts [Member]
Rollforward
Deferred revenue	28,324
Additions	9,329
Amortizations	6,123
Deferred revenue	31,530
Car club revenue | Customer Contracts [Member]
Rollforward
Deferred revenue	14,861
Additions	5,677
Amortizations	7,829
Deferred revenue	$ 12,709

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Other Assets Table of Other Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Due from brokers	$ 3,468	$ 261
Furniture, fixtures and equipment, net	4,453	4,304
Prepaid expenses	6,867	7,297
Interest Receivable	3,239	2,248
Management Fee Receivable	1,583	2,247
Income tax receivable	9,588	9,588
Other	12,924	5,639
Total other assets	$ 42,122	$ 31,584

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Other Assets Table of Depreciation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Furniture and Fixtures
Property, Plant and Equipment [Line Items]
Depreciation expense related to furniture, fixtures and equipment	$ 497	$ 584

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Other Liabilities and Accrued Expenses Table of Other Liabilities and Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Other Liabilities Disclosure [Abstract]
Accounts payable and accrued expenses	$ 42,047	$ 52,032
Deferred tax liabilities, net	31,962	22,744
Due to brokers	4,352	8,669
Commissions payable	9,681	14,185
Accrued interest payable	6,061	3,393
Escrow Payable	8,955	6,753
Other liabilities	14,760	13,545
Total other liabilities and accrued expenses	$ 117,818	$ 121,321

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Other Revenue and Other Expenses Table of Other Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Other Income and Expenses [Abstract]
Interest Income, Other	$ 1,877	$ 4,706
Investment Income, Dividend	1,663	0
Loan fee income	1,998	3,216
Management fee income	1,577	1,707
Other Nonoperating Income	1,642	565
Other income	$ 8,757	$ 10,194

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Other Revenue and Other Expenses Table of Other Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Other Income and Expenses [Abstract]
Professional Fees	$ 5,072	$ 3,691
Selling, General and Administrative Expense	3,752	3,821
Taxes, Other	3,622	3,147
Loan Processing Fee	2,183	2,035
Rent and related	2,396	2,555
Other Nonoperating Expense	2,140	2,370
Other expenses	$ 19,165	$ 17,619

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Other Income Table of Revenues and Expenses of CLO's (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Income:
Total income	$ 0	$ 8,867
Expenses:
Interest expense	5,946	6,078
Other expenses	19,165	17,619
Total expense	0	4,952
Net income (loss) attributable to consolidated CLOs	0	3,915
Telos Asset Management LLC | Primary beneficiary
Income:
Net realized and unrealized gains (losses)	0	1,253
Interest income	0	7,614
Total income	0	8,867
Expenses:
Interest expense	0	4,775
Other expenses	0	177
Total expense	0	4,952
Net income (loss) attributable to consolidated CLOs	$ 0	$ 3,915

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Other Income Table of Economic Interests in the CLOs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Variable Interest Entity [Line Items]
Management fee income	$ 1,577	$ 1,707
Net income (loss) attributable to consolidated CLOs	0	3,915
Telos Asset Management LLC | Primary beneficiary
Variable Interest Entity [Line Items]
Distributions received	0	2,167
Realized and unrealized gains (losses) on subordinated notes held by the Company, net	0	1,381
Variable Interest Entity, Measure of Activity, Operating Income or Loss	0	3,548
Management fee income	0	367
Net income (loss) attributable to consolidated CLOs	$ 0	$ 3,915

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Stockholders' Equity Stockholders’ Equity Narrative (Details) - Common Stock - Class A - $ / shares	Mar. 31, 2018	Jun. 30, 2012
Class of Stock [Line Items]
Number of shares available for purchase under warrants, Shares	652,500
Exercise price per warrant (in USD per share)	$ 11.33
Warrant | Tiptree Operating Company, LLC
Class of Stock [Line Items]
Number of shares available for purchase under warrants, Shares	2,255,149	750,000
Exercise price per warrant (in USD per share)	$ 21.232	$ 23.73
Warrants outstanding	805,986

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Stockholders' Equity Table of Share Repurchases (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 19, 2018
Treasury Stock, Shares, Acquired	29,365
Treasury Stock Acquired, Average Cost Per Share	$ 10
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased	$ 19,813
Share repurchase program | Common Stock - Class A
Stock Repurchase Program, Authorized Amount		$ 10,000
Treasury Stock, Shares, Acquired	29,365
Treasury Stock Acquired, Average Cost Per Share	$ 6.36
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased	$ 9,813
Block repurchase program | Common Stock - Class A
Stock Repurchase Program, Authorized Amount		$ 10,000
Treasury Stock, Shares, Acquired	0
Treasury Stock Acquired, Average Cost Per Share	$ 0
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased	$ 10,000

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Stockholders' Equity Table of Declared Cash Dividends Per Share (Details) - $ / shares	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Common Stock - Class A
Dividends, Common Stock [Abstract]
Dividends declared per common share	$ 0.035	$ 0.030

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Stockholders' Equity Table of Statutory Insurance - Dividend Paid and Capital Requirements (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments [Abstract]
Statutory Accounting Practices, Dividends Paid not needing the Approval of Regulatory Agency	$ 0	$ 0
Statutory Accounting Practices, Dividends Paid with Approval of Regulatory Agency	0	0
Statutory Accounting Practices, Dividends Paid, Total	0	$ 0
Regulatory Capital Requirements [Abstract]
Combined statutory capital and surplus of the Company's insurance company subsidiaries	107,902		$ 105,989
Required minimum statutory capital and surplus	19,200		19,200
Amount available for ordinary dividends of the Company's insurance company subsidiaries	$ 10,115		$ 10,115

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Stockholders' Equity Table of Statutory Insurance Companies Net Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Insurance [Abstract]
Net income of statutory insurance companies	$ 6,172	$ 3,047

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Accumulated Other Comprehensive Income (Loss) Schedule of Activity in AOCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	$ 966
Period change	(3,448)	$ 649
Ending balance	(1,483)
Available for sale securities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(460)	(700)
Other comprehensive gain (loss) before reclassification	(1,789)	435
Amounts reclassified from AOCI	415	31
Period change	(1,374)	466
Ending balance	(1,834)	(234)
Interest rate swaps
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	2,074	1,759
Other comprehensive gain (loss) before reclassification	835	84
Amounts reclassified from AOCI	0	99
Period change	(2,074)	183
Ending balance	0	1,942
Total AOCI
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	1,614	1,059
Other comprehensive gain (loss) before reclassification	(954)	519
Amounts reclassified from AOCI	415	130
Period change	(3,448)	649
Ending balance	(1,834)	1,708
Accumulated other comprehensive income (loss)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	966	555
Other comprehensive gain (loss) before reclassification	(683)	377
Amounts reclassified from AOCI	415	130
Period change	(2,449)	507
Ending balance	(1,483)	1,062
Tiptree Financial Partners, L.P. | Noncontrolling interest
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(222)	(128)
Other comprehensive gain (loss) before reclassification	61	(116)
Amounts reclassified from AOCI	0	0
Period change	563	(116)
Ending balance	341	(244)
Noncontrolling interests - other | Noncontrolling interest
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(426)	(376)
Other comprehensive gain (loss) before reclassification	210	(26)
Amounts reclassified from AOCI	0	0
Period change	436	(26)
Ending balance	10	$ (402)
Care Disposition | Available for sale securities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	0
Care Disposition | Interest rate swaps
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	(2,909)
Care Disposition | Total AOCI
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	(2,909)
Care Disposition | Accumulated other comprehensive income (loss)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	(2,181)
Care Disposition | Tiptree Financial Partners, L.P. | Noncontrolling interest
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	502
Care Disposition | Noncontrolling interests - other | Noncontrolling interest
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other comprehensive gain (loss) before reclassification	$ 226

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Accumulated Other Comprehensive Income (Loss) Schedule of Reclassifications Out of AOCI into Net Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassification of AOCI - interest rate swaps	$ 46,184	$ 0
Related tax (expense) benefit	1,568	(1,568)
Net income (loss) from continuing operations	(5,475)	2,470
Available for sale securities | Amount reclassified from AOCI
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Unrealized gains (losses) on available for sale securities	(531)	(47)
Related tax (expense) benefit	116	16
Net income (loss) from continuing operations	(415)	(31)
Interest rate swaps | Amount reclassified from AOCI
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Unrealized gains (losses) on interest rate swaps	0	(144)
Reclassification of AOCI - interest rate swaps	3,845	0
Related tax (expense) benefit	(936)	45
Net income (loss) from continuing operations	$ 2,909	$ (99)
Interest Expense
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Derivative Instruments, Income Statement Location of Gain (Loss) Reclassified from Accumulated OCI	Interest expense
Provision for income taxes
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Derivative Instruments, Income Statement Location of Gain (Loss) Reclassified from Accumulated OCI	Provision for income tax

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Stock Based Compensation Equity Plans Narrative (Details)	Jun. 06, 2017 shares
Tiptree Financial Inc. 2017 Omnibus Incentive Plan | Common Stock - Class A
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	6,100,000

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Stock Based Compensation Table of Changes to Equity Plan (Details) - Stock Compensation Plan - Tiptree Financial Inc. 2017 Omnibus Incentive Plan	3 Months Ended
	Mar. 31, 2018 shares
Options outstanding
Available for issuance as of December 31, 2017	6,017,012	[1]
RSU and option awards granted	(523,654)	[1]
Available for issuance as of March 31, 2018	5,493,358

[1] Excludes awards granted under the Company’s subsidiary incentive plans that are exchangeable for Tiptree Class A common stock.

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Stock Based Compensation Table of Changes to Restricted Stock Units and Restricted Stock (Details) - Restricted Stock Units (RSUs)	3 Months Ended
	Mar. 31, 2018 $ / shares shares
Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Shares Paid for Tax Withholding for Share Based Compensation	22,727
Director | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Number of shares issuable [Roll Forward]
Granted	12,192
Employees | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Number of shares issuable [Roll Forward]
Granted	268,799
Three year vesting period, Starting April 2017 [Member] | Employees | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Number of shares issuable [Roll Forward]
Granted	147,467
Three year vesting period, Starting February 2017 [Member] | Employees | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	3 years
Amount vesting in February 2020 [Member] | Employees | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Number of shares issuable [Roll Forward]
Granted	121,332
RSU’s and restricted stock vesting - first tranche
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%
RSU’s and restricted stock vesting - second tranche
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%
RSU’s and restricted stock vesting - third tranche
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%
Common Stock - Class A | Tiptree Financial Inc. 2017 Omnibus Incentive Plan
Number of shares issuable [Roll Forward]
Unvested units as of December 31, 2017	598,882
Granted	280,991	[1]
Vested	(168,700)
Unvested units as of March 31, 2018	711,173
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Unvested units as of December 31, 2017 | $ / shares	$ 6.48
Granted | $ / shares	5.87
Vested | $ / shares	6.05
Unvested units as of March 31, 2018 | $ / shares	$ 6.34

[1] Includes grants of 12,192 shares of Class A common stock to directors.

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Stock Based Compensation Table of RSU’s under the Subsidiary Incentive Plans Rollforward (Details) - Subsidiary Incentive Plan - Restricted Stock Units (RSUs) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($) shares
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Unvested balance as of December 31, 2017	$ 8,792
Vested	(1,466)
Unvested balance as of March 31, 2018	$ 7,326
Share-Based Compensation Arrangement By Share-Based Payment Award, Equity Instruments Other Than Options, Nonvested Shares, If Converted | shares	1,854,846

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Stock Based Compensation Table of Stock Options Valuation Assumptions (Details) - Employee Stock Option	3 Months Ended
	Mar. 31, 2018 Rate
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Historical volatility	30.63%
Risk-free rate	2.85%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate	2.03%
Expected term (years)	6 years 6 months

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Stock Based Compensation Table of Stock Option Activity Rollforward (Details) - Employee Stock Option - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Options outstanding
Balance at beginning of period	821,864
Granted	242,663
Balance at end of period	1,064,527	821,864
Weighted average exercise price (in dollars per stock option)
Weighted average exercise price, beginning balance	$ 6.36
Granted	5.85
Weighted average exercise price, ending balance	6.24	$ 6.36
Weighted average grant date value (in dollars per stock option)
Weighted average grant date value, beginning balance	2.82
Granted	1.88
Weighted average grant date value, ending balance	$ 2.61	$ 2.82
Options Exercisable
Options Exercisable	0
Granted	0
Options Exercisable	0	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Weighted average remaining contractual term at March 31, 2018 (in years)	8 years 10 months 24 days
Share-based Compensation Arrangements by Share-based Payment Award, Options, Book Value Target, Amount Per Share	$ 9.97	$ 10.14	$ 8.96
Stock Options - first vesting tranche, third anniversary
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%
Stock Options - second vesting tranche, fourth anniversary
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%
Stock Options - third vesting tranche, fifth anniversary
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage	33.33%

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Stock Based Compensation Table of Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Income tax benefit	$ (259)	$ (634)
Net stock-based compensation expense	974	1,164
Payroll and employee commissions
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Employee compensation and benefits	$ 1,233	$ 1,798

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Stock Based Compensation Table of Unrecognized Compensation Costs Related to Non-vested Awards (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018 USD ($)
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested awards - stock options	$ 1,927
Weighted - average recognition period (in years)	2 years 10 months 6 days
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested awards - RSUs	$ 8,381
Weighted - average recognition period (in years)	1 year 8 months 12 days

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Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018		Mar. 31, 2017
Income Tax Disclosure [Abstract]
Total income tax expense (benefit) from continuing operations	$ (1,568)		$ 1,568
Effective tax rate (ETR)	22.30%	[1]	40.60%	[2]
Income tax expense (benefit) from discontinued operations	$ 12,327		$ (402)
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%		35.00%

[1] Higher than the U.S. federal statutory income tax rate of 21% due to the effect of state income taxes and the dividends received deduction, partially offset by the impact of valuation allowance and other discrete items.

[2] Higher than the previous U.S. federal statutory income tax rate of 35% primarily due to state income taxes and other discrete items.

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Commitments and Contingencies Table of Contractual Obligations (Details) - Operating lease obligations $ in Thousands	Mar. 31, 2018 USD ($)	[1]
Operating lease obligations
Less than one year	$ 5,045
1-3 years	11,600
3-5 years	9,704
More than 5 years	19,705
Total	$ 46,054

[1] Minimum rental obligations for Tiptree, Luxury, Reliance and Fortegra office leases.

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Commitments and Contingencies Table of Rent Expense for the Company's Office Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Other Income and Expenses [Abstract]
Rent expense for office leases	$ 1,495	$ 1,698

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Earnings Per Share Table of Reconciliation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss) from continuing operations	$ (5,475)	$ 2,470
Net income from continuing operations attributable to non-controlling interests	(1,116)	577
Net income allocated to participating securities	0	28
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest	34,481	(1,128)
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Noncontrolling Interest	6,562	(335)
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic	0	(12)
Common Stock - Class A
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent	(4,359)	1,865
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent	27,919	(781)
Net income (loss) available to Class A common stockholders	23,560	1,084
Net income (loss) attributable to Tiptree Inc. Class A common shares - diluted	$ 23,560	$ 1,272
Weighted Average Number of Shares Outstanding, Basic
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - basic	29,861,496	28,424,824
Weighted average number of incremental shares of Tiptree Inc. Class A common stock issuable from exchangeable interests and contingent considerations	0	8,325,132
Weighted Average Number of Shares Outstanding, Diluted
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - diluted	29,861,496	36,749,956
Basic:
Basic, continuing operations, net	$ (0.15)	$ 0.07
Basic, discontinued operations, net	0.94	(0.03)
Basic earnings per share	0.79	0.04
Diluted:
Diluted, continuing operations, net	(0.15)	0.06
Diluted, discontinued operations, net	0.94	(0.03)
Diluted earnings per share	$ 0.79	$ 0.03
Securities of subsidiaries
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Dilutive Securities, Effect on Basic Earnings Per Share	$ 0	$ (17)
Adjustments to income relating to exchangeable interests, net of tax
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Dilutive Securities, Effect on Basic Earnings Per Share	$ 0	$ 205

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Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands							3 Months Ended
		May 04, 2018	May 03, 2018	Apr. 10, 2018	Apr. 09, 2018	Apr. 03, 2018	Mar. 31, 2018	Mar. 31, 2017	Apr. 16, 2018	Dec. 31, 2017
Subsequent Event [Line Items]
Long-term Debt, Gross							$ 330,212			$ 356,104
Common Stock - Class A
Subsequent Event [Line Items]
Dividends declared per common share							$ 0.035	$ 0.030
Exercise price per warrant (in USD per share)							$ 11.33
Common Stock - Class A | Subsequent Event
Subsequent Event [Line Items]
Stock Issued During Period, Shares, Other						1,187,468
Treasury Stock, Shares Canceled									5,035,977
Partnership Units', Conversion Rate				2.798
Dividends declared per common share			$ 0.035
Warrants, Canceled				652,500
Class of Warrant or Right, Exercise Price of Warrants or Rights, Canceled				$ 11.33
Warrants and Rights Outstanding				2,255,149
Exercise price per warrant (in USD per share)				$ 7.59
Tiptree Financial Partners, L.P. | Common Stock - Class A | Subsequent Event
Subsequent Event [Line Items]
Units of Partnership Interest, Amount						424,399
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest					84.00%	84.00%
Warrants, Canceled				805,986
Class of Warrant or Right, Exercise Price of Warrants or Rights, Canceled				$ 21.232
Warrants and Rights Outstanding				103,994
Exercise price per warrant (in USD per share)				$ 11.33
Tiptree Operating Company, LLC | Common Stock - Class A | Subsequent Event
Subsequent Event [Line Items]
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest				100.00%	100.00%
Residential mortgage warehouse borrowings
Subsequent Event [Line Items]
Long-term Debt, Gross	[1]						$ 38,795			48,810
Debt instrument, maximum borrowing capacity	[1]						76,000
Residential mortgage warehouse borrowings | Subsequent Event
Subsequent Event [Line Items]
Long-term Debt, Gross	[1]								$ 50,000
Secured Debt
Subsequent Event [Line Items]
Long-term Debt, Gross							28,000			$ 28,500
Debt instrument, maximum borrowing capacity							$ 155,000
Secured Debt | Subsequent Event
Subsequent Event [Line Items]
Debt Instrument, Prepayment Premium Percentage		1.00%
Increase in maximum borrowing capacity		$ 47,000
Debt instrument, maximum borrowing capacity		$ 75,000
Debt, prepayment penalty, period		6 months
Minimum | London Interbank Offered Rate (LIBOR) | Residential mortgage warehouse borrowings
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate	[1]						2.50%
Minimum | London Interbank Offered Rate (LIBOR) | Secured Debt
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate							1.00%
Minimum | London Interbank Offered Rate (LIBOR) | Secured Debt | Subsequent Event
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate		1.25%
Maximum | London Interbank Offered Rate (LIBOR) | Residential mortgage warehouse borrowings
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate	[1]						3.25%
Maximum | London Interbank Offered Rate (LIBOR) | Secured Debt
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate							6.50%
Maximum | London Interbank Offered Rate (LIBOR) | Secured Debt | Subsequent Event
Subsequent Event [Line Items]
Debt Instrument, Basis Spread on Variable Rate		5.50%

[1] The weighted average coupon rate for residential mortgage warehouse borrowings was 4.55% and 3.70% at March 31, 2018 and December 31, 2017, respectively.

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Label	Element	Value
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Disposal Group, Including Discontinued Operations	tipt_CashCashEquivalentsRestrictedCashandRestrictedCashEquivalentsDisposalGroupIncludingDiscontinuedOperations	$ 13,224,000
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Disposal Group, Including Discontinued Operations	tipt_CashCashEquivalentsRestrictedCashandRestrictedCashEquivalentsDisposalGroupIncludingDiscontinuedOperations	$ 10,533,000