Investments (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of Available-for-sale Securities Reconciliation

The following table details fixed-maturity available-for-sale securities, by major investment category, at June 30, 2020 and December 31, 2019:



	Cost or Adjusted/Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
June 30, 2020
U.S. government and agency securities	$	118,923	$	5,032	$	61	$	123,894
Foreign government	3,717		149		—		3,866
States, municipalities and political subdivisions	128,807		4,732		1		133,538
Public utilities	39,123		2,517		17		41,623
Corporate securities	333,202		16,070		825		348,447
Mortgage-backed securities	279,389		11,984		471		290,902
Asset-backed securities	65,897		986		370		66,513
Redeemable preferred stocks	6,739		25		256		6,508
Total fixed maturities	$	975,797	$	41,495	$	2,001	$	1,015,291

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:



	June 30, 2020				December 31, 2019
	Estimated Fair Value		Percent of Total		Estimated Fair Value		Percent of Total

Mutual funds	$	63,019	48.1	%	$	65,453	56.1	%
Public utilities	6,578		5.0		3,663		3.1
Other common stocks	53,647		41.0		44,492		38.2
Nonredeemable preferred stocks	7,759		5.9		3,002		2.6
Total equity securities	$	131,003	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 and six months ended June 30, 2020 and 2019, respectively:



	2020					2019
	Gains (Losses)			Fair Value at Sale		Gains (Losses)			Fair Value at Sale
Three Months Ended June 30,
Fixed maturities	$	372		$	33,231	$	283		$	89,078
Equity securities	814			3,691		85			483
Short-term investments	—			36		—			1,060
Total realized gains	1,186			36,958		368			90,621
Fixed maturities	(57		)	2,221		(203		)	25,039
Equity securities	(1,070		)	2,417		(177		)	766
Short-term investments	—			—		(1		)	1,025
Total realized losses	(1,127		)	4,638		(381		)	26,830
Net realized investment gains (losses)	$	59		$	41,596	$	(13	)	$	117,451
Six Months Ended June 30,
Fixed maturities	$	717		$	92,456	$	531		$	95,082
Equity securities	826			3,971		91			542
Short-term investments	—			71		—			1,060
Total realized gains	1,543			96,498		622			96,684
Fixed maturities	(394		)	6,739		(239		)	34,628
Equity securities	(1,158		)	3,370		(214		)	1,148
Short-term investments	—			128		(1		)	1,025
Total realized losses	(1,552		)	10,237		(454		)	36,801
Net realized investment gains (losses)	$	(9	)	$	106,735	$	168		$	133,485

Investments Classified by Contractual Maturity Date

The table below summarizes our fixed maturities at June 30, 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.



	June 30, 2020
	Cost or Amortized Cost		Percent of Total		Fair Value		Percent of Total
Due in one year or less	$	92,581	9.5	%	$	93,257	9.2	%
Due after one year through five years	270,443		27.7		281,671		27.7
Due after five years through ten years	253,982		26.0		268,862		26.5
Due after ten years	13,505		1.4		14,086		1.4
Asset and mortgage backed securities	345,286		35.4		357,415		35.2
Total	$	975,797	100.0	%	$	1,015,291	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,
	2020			2019			2020			2019
Fixed maturities	$	5,592		$	5,560		$	11,062		$	11,622
Equity securities	728			622			1,499			1,114
Cash and cash equivalents	66			1,661			737			1,796
Other investments	(311		)	(4		)	(45		)	764
Other assets	93			9			102			97
Investment income	6,168			7,848			13,355			15,393
Investment expenses	(261		)	(278		)	(531		)	(528		)
Net investment income	$	5,907		$	7,570		$	12,824		$	14,865

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, 2020
U.S. government and agency securities	9	$	28	$	8,508	21	$	33	$	12,126
Foreign governments	—	—		—		1	—		350
States, municipalities and political subdivisions	1	1		624		—	—		—
Public utilities	2	17		2,234		—	—		—
Corporate securities	65	816		35,341		8	9		2,104
Mortgage-backed securities	56	370		29,250		6	101		3,320
Asset-backed securities	12	364		5,096		1	6		994
Redeemable preferred stocks	48	256		4,692		—	—		—
Total fixed maturities	193	$	1,852	$	85,745	37	$	149	$	18,894

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 June 30, 2020 and December 31, 2019:



	Total		Level 1		Level 2		Level 3
June 30, 2020
U.S. government and agency securities	$	123,894	$	—	$	123,894	$	—
Foreign government	3,866		—		3,866		—
States, municipalities and political subdivisions	133,538		—		133,538		—
Public utilities	41,623		—		41,623		—
Corporate securities	348,447		—		348,447		—
Mortgage-backed securities	290,902		—		290,902		—
Asset-backed securities	66,513		—		66,513		—
Redeemable preferred stocks	6,508		1,878		4,630		—
Total fixed maturities	1,015,291		1,878		1,013,413		—
Mutual funds	63,019		63,019		—		—
Public utilities	6,578		6,578		—		—
Other common stocks	53,647		53,647		—		—
Non-redeemable preferred stocks	7,759		7,759		—		—
Total equity securities	131,003		131,003		—		—
Other investments ⁽¹⁾	1,559		300		1,259		—
Total investments	$	1,147,853	$	133,181	$	1,014,672	$	—

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 June 30, 2020:



	Book Value		Unrealized Gain		Unrealized Loss		Fair Value
Limited partnership investments ⁽¹⁾	$	9,775	$	938	$	262	$	10,451
Certificates of deposit	300		—		—		300
Short-term investments	1,259		—		—		1,259
Total other investments	$	11,334	$	938	$	262	$	12,010

Restrictions on Cash and Cash Equivalents

The following table presents the components of restricted assets:



	June 30, 2020		December 31, 2019
Trust funds	$	51,010	$	70,668
Cash on deposit (regulatory deposits)	929		920
Total restricted cash	$	51,939	$	71,588