Investments and Fair Value Disclosures (Tables)

6 Months Ended

Jun. 30, 2022

Investments, All Other Investments [Abstract]

Schedule of Investments

The following table summarizes the Company’s investments held at fair value as of June 30, 2022 and December 31, 2021:

(in thousands)
As of June 30, 2022	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Amount
FedNat common stock	$	5,111	$	–	$	5,001	$	110
Total investments	$	5,111	$	–	$	5,001	$	110

As of December 31, 2021	Cost Basis		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Amount
FedNat common stock	$	14,495	$	–	$	13,074	$	1,421
Total investments	$	14,495	$	–	$	13,074	$	1,421

Schedule of Subsidiaries Assets

As of December 1, 2021 (in thousands)
Cash and cash equivalents	$	100
Investments in private placements		15,734
Investments in public SPACs		22
Other assets		18
Other liabilities		(34	)
Net assets deconsolidated	$	15,840

Schedule of Investments under Equity Method

Financial information for our investments accounted for under the equity method, in the aggregate, is as follows:

	As of June 30, 2022		As of December 31, 2021
(in thousands)
Other investments	$	18,910	$	25,936
Cash		125		72
Other assets		56		16
Total assets		19,091		26,024
Accounts payable	$	30	$	19
Other liabilities		1		–
Total liabilities		31		19

	Six months ended June 30, 2022			Six months ended June 30, 2021
(in thousands)
Net investment income (loss)	$	(4,696	)	$	5,119
General and administrative expenses		(66	)		(111	)
Net income (loss)		(4,762	)		5,008

Schedule of Net Investment Income (Loss)

Net investment income (loss) for the three and six months ended June 30, 2022 and 2021 is as follows:

($ in thousands)	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021
Investment income (loss):
Realized loss on FedNat common stock	$	(5,914	)	$	(693	)	$	(8,791	)	$	(2,554	)
Unrealized gain on FedNat common stock		5,299			–			8,073			–
Unrealized holding gain on private placement investments		–			1,513			–			5,116
Equity method earnings (loss)		(3,074	)		1,362			(5,146	)		1,457
Other		(25	)		59			(195	)		72
Net investment (loss) income	$	(3,714	)	$	2,241		$	(6,059	)	$	4,091

Schedule of Financial Instruments Measured at Fair Value

Financial instruments measured, on a recurring basis, at fair value as of June 30, 2022 and December 31, 2021 in accordance with the guidance promulgated by the FASB are as follows.

(in thousands)
As of June 30, 2022	Level 1		Level 2		Level 3		Total
FedNat common stock	$	110	$	–	$	–	$	110
	$	110	$	–	$	–	$	110
As of December 31, 2021
FedNat common stock	$	1,421	$	–	$	–	$	1,421
	$	1,421	$	–	$	–	$	1,421