Investments (Tables)

3 Months Ended

Mar. 31, 2022

Investments [Abstract]

Available-for-sale Investments

The following tables summarize the available-for-sale investments at March 31, 2022 and December 31, 2021:

	March 31, 2022
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(in thousands)
Fixed maturities:
U.S. Treasury securities and obligations of U.S. government agencies	$	14,544	$	—	$	(560)	$	13,984
Obligations of states, municipalities and political subdivisions	222,054		2,611		(6,906)		217,759
Corporate and other securities	557,822		2,312		(31,048)		529,086
Asset-backed securities	275,052		789		(2,183)		273,658
Residential mortgage-backed securities	381,691		332		(23,988)		358,035
Commercial mortgage-backed securities	70,629		126		(1,862)		68,893
Total fixed-maturity investments	$	1,521,792	$	6,170	$	(66,547)	$	1,461,415

	December 31, 2021
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(in thousands)
Fixed maturities:
U.S. Treasury securities and obligations of U.S. government agencies	$	6,936	$	—	$	(89)	$	6,847
Obligations of states, municipalities and political subdivisions	216,375		12,139		(469)		228,045
Corporate and other securities	450,594		11,714		(3,821)		458,487
Asset-backed securities	299,810		2,217		(252)		301,775
Residential mortgage-backed securities	340,804		1,804		(4,923)		337,685
Commercial mortgage-backed securities	57,000		2,433		(206)		59,227
Total fixed-maturity investments	$	1,371,519	$	30,307	$	(9,760)	$	1,392,066

Available-for-sale Securities in an Unrealized Loss Position

The following tables summarize gross unrealized losses and estimated fair value for available-for-sale investments by length of time that the securities have continuously been in an unrealized loss position:

	March 31, 2022
	Less than 12 Months				12 Months or Longer				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(in thousands)
Fixed maturities:
U.S. Treasury securities and obligations of the U.S. government agencies	$	13,984	$	(560)	$	—	$	—	$	13,984	$	(560)
Obligations of states, municipalities and political subdivisions	87,590		(6,590)		1,709		(316)		89,299		(6,906)
Corporate and other securities	414,688		(28,493)		16,100		(2,555)		430,788		(31,048)
Asset-backed securities	207,664		(2,088)		5,788		(95)		213,452		(2,183)
Residential mortgage-backed securities	284,332		(17,784)		58,926		(6,204)		343,258		(23,988)
Commercial mortgage-backed securities	60,731		(1,697)		1,672		(165)		62,403		(1,862)
Total fixed-maturity investments	$	1,068,989	$	(57,212)	$	84,195	$	(9,335)	$	1,153,184	$	(66,547)

	December 31, 2021
	Less than 12 Months				12 Months or Longer				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(in thousands)
Fixed maturities:
U.S. Treasury securities and obligations of U.S. government agencies	$	6,847	$	(89)	$	—	$	—	$	6,847	$	(89)
Obligations of states, municipalities and political subdivisions	23,870		(469)		—		—		23,870		(469)
Corporate and other securities	188,522		(3,718)		1,092		(103)		189,614		(3,821)
Asset-backed securities	136,669		(204)		4,452		(48)		141,121		(252)
Residential mortgage-backed securities	260,251		(4,329)		17,968		(594)		278,219		(4,923)
Commercial mortgage-backed securities	10,773		(206)		—		—		10,773		(206)
Total fixed-maturity investments	$	626,932	$	(9,015)	$	23,512	$	(745)	$	650,444	$	(9,760)

Contractual Maturities of Available-for-sale Fixed Maturity Securities

The amortized cost and estimated fair value of available-for-sale fixed-maturity securities at March 31, 2022 are summarized, by contractual maturity, as follows:

	March 31, 2022
	Amortized		Estimated
	Cost		Fair Value
	(in thousands)
Due in one year or less	$	7,749	$	7,766
Due after one year through five years	258,045		251,927
Due after five years through ten years	244,902		233,059
Due after ten years	283,724		268,077
Asset-backed securities	275,052		273,658
Residential mortgage-backed securities	381,691		358,035
Commercial mortgage-backed securities	70,629		68,893
Total fixed-maturity securities	$	1,521,792	$	1,461,415

Net Investment Income

The following table presents the components of net investment income for the three months ended March 31, 2022 and 2021:

	Three Months Ended March 31,
	2022		2021
	(in thousands)
Interest:
Taxable bonds	$	7,795	$	5,729
Tax exempt municipal bonds	857		885
Cash equivalents and short-term investments	19		1
Dividends on equity securities	1,030		869
Gross investment income	9,701		7,484
Investment expenses	(613)		(542)
Net investment income	$	9,088	$	6,942

Realized Gain (Loss) on Investments

The following table presents realized investment gains and losses for the three months ended March 31, 2022 and 2021:

	Three Months Ended March 31,
	2022		2021
	(in thousands)
Fixed-maturity securities:
Realized gains	$	842	$	1,199
Realized losses	(365)		(1)
Net realized gains from fixed-maturity securities	477		1,198
Equity securities:
Realized losses	(148)		—
Net realized losses from equity securities	(148)		—
Realized losses from the sales of short-term investments	(34)		—
Net realized investment gains	$	295	$	1,198