Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2017

Fair Value Disclosures [Abstract]

Schedule of assets measured at fair value on a recurring basis

Assets measured at fair value on a recurring basis as of September 30, 2017 are summarized below:

	Fair Value Measurements Using
	Quoted Prices in Active Markets for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	(in thousands)
Available-for-sale securities:
Fixed maturity securities:
State and municipal	$	—	$	134,978	$	—	$	134,978
Residential mortgage-backed	—		139,057		—		139,057
Corporate	—		421,406		—		421,406
Commercial mortgage and asset-backed	—		172,447		5,000		177,447
Obligations of U.S. government corporations and agencies	—		62,375		—		62,375
U.S. Treasury securities and obligations guaranteed by the U.S. government	78,864		616		—		79,480
Redeemable preferred stock	—		2,075		—		2,075
Total fixed maturity securities	78,864		932,954		5,000		1,016,818
Equity securities:
Preferred stock	—		66,833		—		66,833
Common stock	11,138		734		—		11,872
Total equity securities	11,138		67,567		—		78,705
Total available-for-sale securities	$	90,002	$	1,000,521	$	5,000	$	1,095,523
Trading securities:
Fixed maturity securities	$	—	$	3,812	$	—	$	3,812
Short-term investments	$	1,000	$	41,331	$	—	$	42,331

Assets measured at fair value on a recurring basis as of December 31, 2016 are summarized below:

	Fair Value Measurements Using
	Quoted Prices in Active Markets for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	(in thousands)
Available-for-sale securities:
Fixed maturity securities:
State and municipal	$	—	$	105,841	$	—	$	105,841
Residential mortgage-backed	—		150,798		—		150,798
Corporate	—		378,448		—		378,448
Commercial mortgage and asset-backed	—		163,047		5,000		168,047
Obligations of U.S. government corporations and agencies	—		65,014		—		65,014
U.S. Treasury securities and obligations guaranteed by the U.S. government	70,465		655		—		71,120
Redeemable preferred stock	—		1,809		—		1,809
Total fixed maturity securities	70,465		865,612		5,000		941,077
Equity securities:
Preferred stock	—		64,827		—		64,827
Common stock	10,840		734		—		11,574
Total equity securities	10,840		65,561		—		76,401
Total available-for-sale securities	$	81,305	$	931,173	$	5,000	$	1,017,478
Trading securities:
Fixed maturity securities	$	1,250	$	3,813	$	—	$	5,063
Short-term investments	$	1,100	$	49,744	$	—	$	50,844

Schedule of assets measured at fair value on a nonrecurring basis

Assets measured at fair value on a nonrecurring basis are summarized below:

	Fair Value Measurements Using
	Quoted Prices In Active Markets for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	(in thousands)
September 30, 2017
Bank loan participations held-for-investment	$	—	$	—	$	2,445	$	2,445
December 31, 2016
Bank loan participations held-for-investment	$	—	$	—	$	4,849	$	4,849

Schedule of carrying value and fair value

The carrying values and fair values of financial instruments are summarized below:

	September 30, 2017				December 31, 2016
	Carrying Value		Fair Value		Carrying Value		Fair Value
	(in thousands)
Assets
Available-for-sale:
Fixed maturity securities	$	1,016,818	$	1,016,818	$	941,077	$	941,077
Equity securities	78,705		78,705		76,401		76,401
Trading:
Fixed maturity securities	3,812		3,812		5,063		5,063
Bank loan participations held-for-investment	245,741		242,164		203,526		203,123
Cash and cash equivalents	106,500		106,500		109,784		109,784
Short-term investments	42,331		42,331		50,844		50,844
Other invested assets – notes receivable	10,188		12,033		4,500		6,008
Liabilities
Senior debt	88,300		85,706		88,300		85,404
Junior subordinated debt	104,055		109,384		104,055		99,397