Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value of Assets Measured on Recurring Basis

The following tables present the fair values of the Company’s assets, measured on a recurring basis, as of March 31, 2017 and December 31, 2016:

(in thousands)	Total		Level 1		Level 2		Level 3
March 31, 2017
Assets:
Debt securities:
U.S. Treasury bonds	$	164,602	$	—	$	164,602	$	—
Municipal bonds		1,010,086		—		1,010,086		—
Foreign government bonds		136,422		—		136,422		—
Governmental agency bonds		196,326		—		196,326		—
Governmental agency mortgage-backed securities		2,134,329		—		2,134,329		—
U.S. corporate debt securities		698,836		—		685,402		13,434
Foreign corporate debt securities		243,491		—		240,629		2,862
		4,584,092		—		4,567,796		16,296
Equity securities:
Preferred stocks		17,299		17,299		—		—
Common stocks		400,324		400,324		—		—
		417,623		417,623		—		—
Total assets	$	5,001,715	$	417,623	$	4,567,796	$	16,296

(in thousands)	Total		Level 1		Level 2		Level 3
December 31, 2016
Assets:
Debt securities:
U.S. Treasury bonds	$	151,391	$	—	$	151,391	$	—
Municipal bonds		984,333		—		984,333		—
Foreign government bonds		140,048		—		140,048		—
Governmental agency bonds		193,868		—		193,868		—
Governmental agency mortgage-backed securities		2,163,673		—		2,163,673		—
U.S. corporate debt securities		678,524		—		631,859		46,665
Foreign corporate debt securities		241,526		—		235,258		6,268
		4,553,363		—		4,500,430		52,933
Equity securities:
Preferred stocks		15,582		15,582		—		—
Common stocks		388,503		388,503		—		—
		404,085		404,085		—		—
Total assets	$	4,957,448	$	404,085	$	4,500,430	$	52,933

Summary of Changes in Fair Value of Level 3 Assets Measured on Recurring Basis

The following table presents a summary of the changes in the fair values of Level 3 assets, measured on a recurring basis, for the three months ended March 31, 2017 and 2016:

	March 31, 2017									March 31, 2016
(in thousands)	U.S. corporate debt securities			Foreign corporate debt securities			Total			U.S. corporate debt securities			Foreign corporate debt securities			Total
Fair value at beginning of period	$	46,665		$	6,268		$	52,933		$	43,567		$	6,572		$	50,139
Transfers into Level 3		1,715			224			1,939			1,997			415			2,412
Transfers out of Level 3		(33,174	)		(3,485	)		(36,659	)		(32,153	)		(3,646	)		(35,799	)
Net realized and unrealized gains (losses):
Included in earnings		29			5			34			(59	)		(21	)		(80	)
Included in other comprehensive income (loss)		(114	)		(17	)		(131	)		432			(56	)		376
Purchases		3,958			1,223			5,181			3,282			—			3,282
Sales		(722	)		(255	)		(977	)		(1,374	)		(849	)		(2,223	)
Settlements		(4,923	)		(1,101	)		(6,024	)		(699	)		(1,083	)		(1,782	)
Fair value at end of period	$	13,434		$	2,862		$	16,296		$	14,993		$	1,332		$	16,325

Carrying Amounts and Estimated Fair Values of Financial Instruments Not Measured at Fair Value

The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments not measured at fair value as of March 31, 2017 and December 31, 2016:

	Carrying		Estimated fair value
(in thousands)	Amount		Total		Level 1		Level 2		Level 3
March 31, 2017
Assets:
Cash and cash equivalents	$	1,047,467	$	1,047,467	$	1,047,467	$	—	$	—
Deposits with banks	$	21,974	$	21,919	$	547	$	21,372	$	—
Notes receivable, net	$	6,796	$	6,558	$	—	$	—	$	6,558
Liabilities:
Deposits	$	2,882,812	$	2,882,812	$	2,882,812	$	—	$	—
Notes and contracts payable	$	735,549	$	746,880	$	—	$	742,243	$	4,637

	Carrying		Estimated fair value
(in thousands)	Amount		Total		Level 1		Level 2		Level 3
December 31, 2016
Assets:
Cash and cash equivalents	$	1,006,138	$	1,006,138	$	1,006,138	$	—	$	—
Deposits with banks	$	21,222	$	21,176	$	1,017	$	20,159	$	—
Notes receivable, net	$	7,799	$	7,542	$	—	$	—	$	7,542
Liabilities:
Deposits	$	2,779,478	$	2,779,478	$	2,779,478	$	—	$	—
Notes and contracts payable	$	736,693	$	734,812	$	—	$	729,658	$	5,154