Investments

The cost or amortized cost, gross unrealized gain or loss, and estimated fair value of the investments in securities classified as available-for-sale at June 30, 2016 and December 31, 2015 were as follows (dollars in thousands):



	June 30, 2016
	Cost or Amortized Cost		Gross Unrealized					Estimated Fair Value
			Gains		Losses
Fixed Maturity Securities:
U.S. Government obligations	$	5,737	$	80	$	—		$	5,817
State and local government	10,917		551		(1		)	11,467
Corporate debt	34,574		479		(59		)	34,994
Commercial mortgage-backed and other asset-backed	59,591		614		(14		)	60,191
Total fixed maturity securities available for sale	110,819		1,724		(74		)	112,469
Equity Securities:
Common stocks - Public Utilities	220		64		(2		)	282
Common stocks - Banks, Trusts and Insurance Companies	458		151		(3		)	606
Common stocks - Industrial, miscellaneous and all other	2,643		942		(30		)	3,555
Total equity securities available for sale	3,321		1,157		(35		)	4,443
Total securities available for sale	$	114,140	$	2,881	$	(109	)	$	116,912



	December 31, 2015
	Cost or Amortized Cost		Gross Unrealized					Estimated Fair Value
			Gains		Losses
Fixed Maturity Securities:
U.S. Government obligations	$	5,474	$	47	$	(13	)	$	5,508
State and local government	14,391		398		(6		)	14,783
Corporate debt	39,183		84		(483		)	38,784
Commercial mortgage-backed and other asset-backed	48,165		164		(311		)	48,018
Total fixed maturity securities available for sale	107,213		693		(813		)	107,093
Equity Securities:
Common stocks - Public Utilities	122		20		(1		)	141
Common stocks - Banks, Trusts and Insurance Companies	503		150		(7		)	646
Common stocks - Industrial, miscellaneous and all other	2,716		836		(99		)	3,453
Total equity securities available for sale	3,341		1,006		(107		)	4,240
Total securities available for sale	$	110,554	$	1,699	$	(920	)	$	111,333

The following table summarizes the aggregate fair value and gross unrealized losses, by security type, of the available-for-sale securities in unrealized loss positions. The table segregates the holdings based on the length of time that individual securities have been in a continuous unrealized loss position, as follows (dollars in thousands):



	June 30, 2016
	Less than 12 months						Greater than 12 months						Total
	# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses			# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses			# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses
Fixed Maturity Securities:
U.S. Government obligations	—	$	—	$	—		—	$	—	$	—		—	$	—	$	—
State and local government	1	118		(1		)	—	—		—			1	118		(1		)
Corporate debt	7	3,104		(17		)	15	5,127		(42		)	22	8,231		(59		)
Commercial mortgage and asset-backed	14	8,779		(11		)	5	1,324		(3		)	19	10,103		(14		)
Total fixed maturity securities available for sale	22	12,001		(29		)	20	6,451		(45		)	42	18,452		(74		)
Equity Securities:
Common stock	47	457		(22		)	4	133		(13		)	51	590		(35		)
Total equity securities available for sale	47	457		(22		)	4	133		(13		)	51	590		(35		)
Total securities	69	$	12,458	$	(51	)	24	$	6,584	$	(58	)	93	$	19,042	$	(109	)



	December 31, 2015
	Less than 12 months						Greater than 12 months						Total
	# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses			# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses			# of Issues	Fair Value of Investments with Unrealized Losses		Gross Un realized Losses
Fixed Maturity Securities:
U.S. Government obligations	7	$	2,580	$	(7	)	2	$	679	$	(6	)	9	$	3,259	$	(13	)
State and local government	8	2,688		(6		)	—	—		—			8	2,688		(6		)
Corporate debt	80	21,760		(438		)	12	3,618		(45		)	92	25,378		(483		)
Commercial mortgage and asset-backed	67	32,539		(258		)	5	2,175		(53		)	72	34,714		(311		)
Total fixed maturity securities available for sale	162	59,567		(709		)	19	6,472		(104		)	181	66,039		(813		)
Equity Securities:
Common stock	86	782		(72		)	3	79		(35		)	89	861		(107		)
Total equity securities available for sale	86	782		(72		)	3	79		(35		)	89	861		(107		)
Total securities	248	$	60,349	$	(781	)	22	$	6,551	$	(139	)	270	$	66,900	$	(920	)

The Company analyzed its investment portfolio in accordance with its other-than-temporary impairment ("OTTI") review procedures and determined the Company did not need to record a credit related OTTI loss, nor recognize a non-credit related OTTI loss in other comprehensive income for the three and six months ended June 30, 2016 and 2015.

The Company’s sources of net investment income are as follows (dollars in thousands):



	Three Months Ended June 30,						Six Months Ended June 30,
	2016			2015			2016			2015
Fixed maturity securities	$	570		$	532		$	1,156		$	1,063
Equity securities	25			22			51			45
Cash and short-term investments	5			2			7			4
Total investment income	600			556			1,214			1,112
Investment expenses	(72		)	(87		)	(149		)	(157		)
Net investment income	$	528		$	469		$	1,065		$	955

The following table summarizes the gross realized gains and losses from sales or maturities of available-for-sale fixed maturity and equity securities (dollars in thousands):



	Three Months Ended June 30,						Six Months Ended June 30,
	2016			2015			2016			2015
Fixed maturity securities:
Gross realized gains	$	502		$	—		$	518		$	68
Gross realized losses	(16		)	(1		)	(22		)	(4		)
Total fixed maturity securities	486			(1		)	496			64
Equity securities:
Gross realized gains	94			104			150			203
Gross realized losses	(39		)	(16		)	(113		)	(35		)
Total equity securities	55			88			37			168
Total realized gains (losses)	$	541		$	87		$	533		$	232

Proceeds from the sales of debt and equity securities available for sale were $21.5 million and $3.9 million for the six months ended June 30, 2016 and 2015, respectively.

The table below summarizes the amortized cost and fair value of available-for-sale fixed maturity securities by contractual maturity at June 30, 2016. Actual maturities may differ from contractual maturities because certain borrowers have the right to call or prepay obligations with or without call or prepayment penalties (dollars in thousands):



	Amortized Cost		Estimated Fair Value
Due in one year or less	$	7,779	$	7,784
Due after one year through five years	30,636		31,052
Due after five years through ten years	6,529		6,941
Due after ten years	6,284		6,501
Securities with contractual maturities	51,228		52,278
Commercial mortgage and asset backed	59,591		60,191
Total Fixed maturity securities	$	110,819	$	112,469

At June 30, 2016 and December 31, 2015, the insurance companies had an aggregate of $9.0 million and $8.9 million, respectively, on deposit in trust accounts to meet the deposit requirements of various state insurance departments. There are withdrawal and other restrictions on these deposits, including the type of investments that may be held, however, the Company may generally invest in high-grade bonds and short-term investments and earn interest on the funds.