Investments (Tables)

3 Months Ended

Mar. 31, 2020

Schedule of Available-for-sale Securities Reconciliation

The following table details fixed-maturity available-for-sale securities, by major investment category, at March 31, 2020 and December 31, 2019:



	Cost or Adjusted/Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
March 31, 2020
U.S. government and agency securities	$	104,530	$	5,034	$	44	$	109,520
Foreign government	3,721		70		1		3,790
States, municipalities and political subdivisions	126,962		2,885		38		129,809
Public utilities	27,125		479		313		27,291
Corporate securities	285,633		4,087		7,025		282,695
Mortgage-backed securities	255,523		8,872		1,541		262,854
Asset-backed securities	52,181		282		849		51,614
Redeemable preferred stocks	6,890		—		677		6,213
Total fixed maturities	$	862,565	$	21,709	$	10,488	$	873,786

December 31, 2019
U.S. government and agency securities	$	120,260	$	749	$	193	$	120,816
Foreign government	3,975		97		1		4,071
States, municipalities and political subdivisions	131,203		2,611		63		133,751
Public utilities	24,660		700		26		25,334
Corporate securities	281,892		7,123		143		288,872
Mortgage-backed securities	248,206		4,174		477		251,903
Asset-backed securities	56,487		683		41		57,129
Redeemable preferred stocks	2,915		72		2		2,985
Total fixed maturities	$	869,598	$	16,209	$	946	$	884,861

Equity Securities Fair Value

Equity securities are summarized as follows:



	March 31, 2020				December 31, 2019
	Estimated Fair Value		Percent of Total		Estimated Fair Value		Percent of Total

Mutual funds	$	52,492	46.9	%	$	65,453	56.1	%
Public utilities	6,255		5.6		3,663		3.1
Other common stocks	45,801		40.9		44,492		38.2
Nonredeemable preferred stocks	7,367		6.6		3,002		2.6
Total equity securities	$	111,915	100.0	%	$	116,610	100.0	%

Schedule of Realized Gain (Loss)

The following table details our realized gains (losses) by major investment category for the three months ended March 31, 2020 and 2019:



	2020					2019
	Gains (Losses)			Fair Value at Sale		Gains (Losses)			Fair Value at Sale
Three Months Ended March 31,
Fixed maturities	$	345		$	59,225	$	248		$	6,004
Equity securities	12			280		6			59
Short-term investments	—			35		—			—
Total realized gains	357			59,540		254			6,063
Fixed maturities	(337		)	4,518		(36		)	9,589
Equity securities	(88		)	953		(37		)	383
Short-term investments	—			128		—			—
Total realized losses	(425		)	5,599		(73		)	9,972
Net realized investment gains (losses)	$	(68	)	$	65,139	$	181		$	16,035

Investments Classified by Contractual Maturity Date

The table below summarizes our fixed maturities at March 31, 2020 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.



	March 31, 2020
	Cost or Amortized Cost		Percent of Total		Fair Value		Percent of Total
Due in one year or less	$	81,916	9.5	%	$	81,888	9.4	%
Due after one year through five years	266,843		30.9		269,289		30.8
Due after five years through ten years	194,258		22.5		196,540		22.5
Due after ten years	11,844		1.4		11,601		1.3
Asset and mortgage backed securities	307,704		35.7		314,468		36.0
Total	$	862,565	100.0	%	$	873,786	100.0	%

Investment Income

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



	Three Months Ended March 31,
	2020			2019
Fixed maturities	$	5,470		$	6,062
Equity securities	771			492
Cash and cash equivalents	671			135
Other investments	266			768
Other assets	9			88
Investment income	7,187			7,545
Investment expenses	(270		)	(250		)
Net investment income	$	6,917		$	7,295

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
March 31, 2020
U.S. government and agency securities	3	$	2	$	2,467	22	$	42	$	13,125
Foreign governments	—	—		—		1	1		350
States, municipalities and political subdivisions	19	38		13,084		—	—		—
Public utilities	31	313		14,960		—	—		—
Corporate securities	300	6,948		134,296		10	77		2,792
Mortgage-backed securities	93	1,304		53,126		10	237		3,904
Asset-backed securities	57	843		23,749		1	6		994
Redeemable preferred stocks	66	677		6,116		—	—		—
Total fixed maturities	569	$	10,125	$	247,798	44	$	363	$	21,165

December 31, 2019
U.S. government and agency securities	37	$	89	$	26,372	39	$	104	$	31,364
Foreign governments	—	—		—		2	1		600
States, municipalities and political subdivisions	31	61		14,508		2	2		1,262
Public utilities	9	25		4,626		2	1		250
Corporate securities	42	124		22,435		27	19		9,605
Mortgage-backed securities	89	322		59,101		50	155		12,738
Asset-backed securities	15	34		8,447		5	7		1,259
Redeemable preferred stocks	—	—		—		1	2		97
Total fixed maturities	223	$	655	$	135,489	128	$	291	$	57,175

⁽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 March 31, 2020 and December 31, 2019:



	Total		Level 1		Level 2		Level 3
March 31, 2020
U.S. government and agency securities	$	109,520	$	—	$	109,520	$	—
Foreign government	3,790		—		3,790		—
States, municipalities and political subdivisions	129,809		—		129,809		—
Public utilities	27,291		—		27,291		—
Corporate securities	282,695		—		282,695		—
Mortgage-backed securities	262,854		—		262,854		—
Asset-backed securities	51,614		—		51,614		—
Redeemable preferred stocks	6,213		1,815		4,398		—
Total fixed maturities	873,786		1,815		871,971		—
Mutual funds	52,492		52,492		—		—
Public utilities	6,255		6,255		—		—
Other common stocks	45,801		45,801		—		—
Non-redeemable preferred stocks	7,367		7,367		—		—
Total equity securities	111,915		111,915		—		—
Other investments ⁽¹⁾	1,590		300		1,290		—
Total investments	$	987,291	$	114,030	$	873,261	$	—

December 31, 2019
U.S. government and agency securities	$	120,816	$	—	$	120,816	$	—
Foreign government	4,071		—		4,071		—
States, municipalities and political subdivisions	133,751		—		133,751		—
Public utilities	25,334		—		25,334		—
Corporate securities	288,872		—		288,872		—
Mortgage-backed securities	251,903		—		251,903		—
Asset-backed securities	57,129		—		57,129		—
Redeemable preferred stocks	2,985		747		2,238		—
Total fixed maturities	884,861		747		884,114		—
Mutual Funds	65,453		65,453		—		—
Public utilities	3,663		3,663		—		—
Other common stocks	44,492		44,492		—		—
Non-redeemable preferred stocks	3,002		3,002		—		—
Total equity securities	116,610		116,610		—		—
Other investments ⁽¹⁾	499		300		199		—
Total investments	$	1,001,970	$	117,657	$	884,313	$	—

⁽¹⁾ Other investments included in the fair value hierarchy exclude these limited partnership interests that are measured at estimated fair value using the net asset value per share (or its equivalent) practical expedient.

Schedule of Investments in Limited Partnerships

The information presented in the table below is as of March 31, 2020:



	Book Value		Unrealized Gain		Unrealized Loss		Fair Value
Limited partnership investments ⁽¹⁾	$	7,746	$	321	$	92	$	7,975
Certificates of deposit	300		—		—		300
Short-term investments	1,290		—		—		1,290
Total other investments	$	9,336	$	321	$	92	$	9,565

Restrictions on Cash and Cash Equivalents

The following table presents the components of restricted assets:



	March 31, 2020		December 31, 2019
Trust funds	$	63,134	$	70,668
Cash on deposit (regulatory deposits)	924		920
Total restricted cash	$	64,058	$	71,588