Investments (Tables)

6 Months Ended

Jun. 30, 2019

Schedule of Available-for-sale Securities Reconciliation

The following table details fixed-maturity available-for-sale securities, by major investment category, at June 30, 2019 and December 31, 2018:



	Cost or Adjusted/Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
June 30, 2019
U.S. government and agency securities	$	117,728	$	648	$	368	$	118,008
Foreign government	3,984		84		2		4,066
States, municipalities and political subdivisions	134,428		2,393		98		136,723
Public utilities	24,394		472		62		24,804
Corporate securities	280,304		5,076		242		285,138
Mortgage-backed securities	238,472		4,354		576		242,250
Asset backed securities	51,088		568		15		51,641
Redeemable preferred stocks	1,854		12		107		1,759
Total fixed maturities	$	852,252	$	13,607	$	1,470	$	864,389

December 31, 2018
U.S. government and agency securities	$	100,240	$	50	$	1,315	$	98,975
Foreign government	3,993		5		16		3,982
States, municipalities and political subdivisions	145,415		354		1,301		144,468
Public utilities	24,560		11		681		23,890
Corporate securities	307,875		272		6,159		301,988
Mortgage-backed securities	227,004		333		3,483		223,854
Asset-backed securities	64,071		105		139		64,037
Redeemable preferred stocks	1,287		3		139		1,151
Total fixed maturities	$	874,445	$	1,133	$	13,233	$	862,345

Equity Securities Fair Value

Equity securities are summarized as follows:



	June 30, 2019				December 31, 2018
	Estimated Fair Value		Percent of Total		Estimated Fair Value		Percent of Total

Mutual funds	$	58,942	59.8	%	$	50,016	61.8	%
Public utilities	2,730		2.8	%	1,759		2.2
Other common stocks	35,310		35.8	%	27,198		33.6
Nonredeemable preferred stocks	1,606		1.6	%	2,005		2.4
Total equity securities	$	98,588	100.0	%	$	80,978	100.0	%

Schedule of Realized Gain (Loss)

The following table details our realized gains (losses) by major investment category for the three and six months ended June 30, 2019 and 2018:



	2019					2018
	Gains (Losses)			Fair Value at Sale		Gains (Losses)			Fair Value at Sale
Three Months Ended June 30,
Fixed maturities	$	283		$	270,807	$	14		$	4,706
Equity securities	85			1,354		59			207
Total realized gains	368			272,161		73			4,913
Fixed maturities	(212		)	268,002		(511		)	38,091
Equity securities	(169		)	1,327		—			—
Total realized losses	(381		)	269,329		(511		)	38,091
Net realized investment gains (losses)	$	(13	)	$	541,490	$	(438	)	$	43,004

Six Months Ended June 30,
Fixed maturities	$	531		$	276,811	$	56		$	6,881
Equity securities	91			1,413		509			1,182
Total realized gains	622			278,224		565			8,063
Fixed maturities	(248		)	277,591		(792		)	70,319
Equity securities	(206		)	1,710		—			—
Total realized losses	(454		)	279,301		(792		)	70,319
Net realized investment gains (losses)	$	168		$	557,525	$	(227	)	$	78,382

Investments Classified by Contractual Maturity Date

The table below summarizes our fixed maturities at June 30, 2019 by contractual maturity periods. Actual results may differ as issuers may have the right to call or prepay obligations, with or without penalties, prior to the contractual maturities of those obligations.



	June 30, 2019
	Cost or Amortized Cost		Percent of Total		Fair Value		Percent of Total
Due in one year or less	$	91,314	10.7	%	$	91,261	10.6	%
Due after one year through five years	306,639		36.0	%	309,509		35.8	%
Due after five years through ten years	159,340		18.7	%	164,149		19.0	%
Due after ten years	5,399		0.6	%	5,579		0.6	%
Asset and mortgage backed securities	289,560		34.0	%	293,891		34.0	%
Total	$	852,252	100.0	%	$	864,389	100.0	%

Investment Income

The following table summarizes our net investment income by major investment category:



	Three Months Ended June 30,						Six Months Ended June 30,
	2019			2018			2019			2018
Fixed maturities	$	5,560		$	5,392		$	11,622		$	10,204
Equity securities	622			467			1,114			930
Cash and cash equivalents	1,661			617			1,796			839
Other investments	(4		)	607			764			789
Other assets	9			8			97			15
Investment income	7,848			7,091			15,393			12,777
Investment expenses	(278		)	(246		)	(528		)	(489		)
Net investment income	$	7,570		$	6,845		$	14,865		$	12,288

Schedule of Unrealized Loss on Investments

The following table presents an aging of our unrealized investment losses by investment class:



	Less Than Twelve Months					Twelve Months or More
	Number of Securities⁽¹⁾	Gross Unrealized Losses		Fair Value		Number of Securities⁽¹⁾	Gross Unrealized Losses		Fair Value
June 30, 2019
U.S. government and agency securities	35	$	70	$	27,891	48	$	298	$	49,848
Foreign governments	—	—		—		2	2		600
States, municipalities and political subdivisions	5	4		4,306		30	94		24,353
Public utilities	3	1		187		8	61		3,972
Corporate securities	18	34		7,578		122	208		52,865
Mortgage-backed securities	31	252		32,054		89	324		26,915
Asset backed securities	2	11		1,994		9	4		3,084
Redeemable preferred stocks	4	38		1,174		2	69		203
Total fixed maturities	98	$	410	$	75,184	310	$	1,060	$	161,840

December 31, 2018
U.S. government and agency securities	45	$	111	$	28,464	55	$	1,204	$	61,264
Foreign governments	5	16		2,978		—	—		—
States, municipalities and political subdivisions	49	272		38,469		91	1,029		68,115
Public utilities	30	374		13,685		19	307		7,805
Corporate securities	351	3,149		144,769		208	3,010		117,351
Mortgage-backed securities	87	1,303		88,754		135	2,180		70,510
Asset-backed securities	67	136		41,871		7	3		1,372
Redeemable preferred stocks	8	62		711		2	77		8,377
Total fixed maturities	642	$	5,423	$	359,701	517	$	7,810	$	334,794

⁽¹⁾ This amount represents the actual number of discrete securities, not the number of shares or units of those securities. The numbers are not presented in thousands.

Schedule of Fair Value of Financial Instruments Measured on a Recurring Basis

The following table presents the fair value of our financial instruments measured on a recurring basis by level at June 30, 2019 and December 31, 2018:



	Total		Level 1		Level 2		Level 3
June 30, 2019
U.S. government and agency securities	$	118,008	$	—	$	118,008	$	—
Foreign government	4,066		—		4,066		—
States, municipalities and political subdivisions	136,723		—		136,723		—
Public utilities	24,804		307		24,497		—
Corporate securities	285,138		—		285,138		—
Mortgage-backed securities	242,250		—		242,250		—
Asset-backed securities	51,641		—		51,641		—
Redeemable preferred stocks	1,759		273		1,486		—
Total fixed maturities	864,389		580		863,809		—
Mutual funds	58,942		55,699		3,243		—
Public utilities	2,730		2,730		—		—
Other common stocks	35,310		35,310		—		—
Non-redeemable preferred stocks	1,606		1,606		—		—
Total equity securities	98,588		95,345		3,243		—
Other long-term investments ⁽¹⁾	3,235		300		2,935
Total investments	$	966,212	$	96,225	$	869,987	$	—

December 31, 2018
U.S. government and agency securities	$	98,975	$	—	$	98,975	$	—
Foreign government	3,982		—		3,982		—
States, municipalities and political subdivisions	144,468		—		144,468		—
Public utilities	23,890		—		23,890		—
Corporate securities	301,988		—		301,988		—
Mortgage-backed securities	223,854		—		223,854		—
Asset-backed securities	64,037		—		64,037		—
Redeemable preferred stocks	1,151		790		361		—
Total fixed maturities	862,345		790		861,555		—
Mutual Funds	50,016		47,223		2,793		—
Public utilities	1,759		1,759		—		—
Other common stocks	27,198		27,198		—		—
Non-redeemable preferred stocks	2,005		2,005		—		—
Total equity securities	80,978		78,185		2,793		—
Other long-term investments ⁽¹⁾	300		300		—		—
Total investments	$	943,623	$	79,275	$	864,348	$	—

Schedule of Investments in Limited Partnerships

The information presented in the table below is as of June 30, 2019:



	Book Value		Unrealized Gain		Unrealized Loss		Fair Value
Limited partnership investments ⁽¹⁾	$	8,365	$	774	$	—	$	9,139
Certificates of deposit	300		—		—		300
Short-term investments	2,934		1		—		2,935
Total other investments	$	11,599	$	775	$	—	$	12,374

Restrictions on Cash and Cash Equivalents

The following table presents the components of restricted assets:



	June 30, 2019		December 31, 2018
Trust funds	$	85,843	$	70,208
Cash on deposit (regulatory deposits)	1,238		1,233
Total restricted cash	$	87,081	$	71,441