INVESTMENTS

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Fixed Maturity Securities

Available-for-sale securities are reported at fair value as of March 31, 2023 and December 31, 2022. Held-to-maturity securities are reported at amortized cost as of March 31, 2023 and December 31, 2022. The following is a summary of our investment securities as of March 31, 2023 and December 31, 2022 (in thousands):


	March 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value
Cash equivalents	$	382,510	$	5	$	(9)	$	382,506
Available for sale:
U.S. government and agency obligations	7,256		1		(210)		7,047
Corporate obligations	2,906		4		(69)		2,841
State and municipal obligations	458		—		(12)		446
Certificates of deposit	3,304		—		—		3,304
Mortgage-backed securities	37		—		(1)		36
Asset-backed securities	72		—		—		72

Total available-for-sale securities	14,033		5		(292)		13,746
Held to maturity:
U.S. government and agency obligations	233		—		—		233
Certificates of deposit	1,949		—		—		1,949
Total held-to-maturity securities	2,182		—		—		2,182
Total investments	$	398,725	$	10	$	(301)	$	398,434


	December 31, 2022
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value
Cash equivalents	$	340,795	$	8	$	—	$	340,803
Available for sale:
U.S. government and agency obligations	8,742		—		(301)		8,441
Corporate obligations	3,401		1		(95)		3,307
State and municipal obligations	712		—		(17)		695
Certificates of deposit	3,318		—		—		3,318
Mortgage-backed securities	156		—		—		156
Asset-backed securities	60		—		—		60
Other	1		—		—		1
Total available-for-sale securities	16,390		1		(413)		15,978
Held to maturity:							—
U.S. government and agency obligations	685		—		—		685
Certificates of deposit	1,947		—		—		1,947
Total held-to-maturity securities	2,632		—		—		2,632
Total investments	$	359,817	$	9	$	(413)	$	359,413

The fair value of available-for-sale investments, including those that are cash equivalents, with gross unrealized losses by major security type and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2023 and December 31, 2022 were as follows (in thousands):


	March 31, 2023
	Less Than 12 Months				12 Months or Greater				Total
Description of Investments	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Cash equivalents	$	70,213	$	(9)	$	—	$	—	$	70,213	$	(9)
U.S. government and agency obligations	693		(9)		6,694		(201)		7,387		(210)
Corporate obligations	178		(3)		2,397		(66)		2,575		(69)
State and municipal obligations	3		—		369		(12)		372		(12)
Asset-backed securities	30		(1)		—		—		30		(1)
Total bonds	$	71,117	$	(22)	$	9,460	$	(279)	$	80,577	$	(301)


	December 31, 2022
	Less Than 12 Months				12 Months or Greater				Total
Description of Investments	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. government and agency obligations	$	1,316	$	(31)	$	6,808	$	(270)	$	8,124	(301)
Corporate obligations	740		(9)		2,061		(86)		2,801		(95)
State and municipal obligations	340		(2)		344		(15)		684		(17)
Mortgage-backed securities	2		—		—		—		2		—
Other	—		—		1		—		1		—
Total bonds	$	2,398	$	(42)	$	9,214	$	(371)	$	11,612	$	(413)

As of March 31, 2023, we had 800 investment positions out of 1,340 that were in an unrealized loss position. As of December 31, 2022, we had 721 investment positions out of 2,432 that were in an unrealized loss position. We believe that we will collect the principal and interest due on our debt securities that have an amortized cost in excess of fair value. The unrealized losses were primarily caused by interest rate increases and not by unfavorable changes in the credit quality associated with these securities. At each reporting period, we evaluate securities for impairment when the fair value of the investment is less than its amortized cost. We evaluated the underlying credit quality and credit ratings of the issuers, noting no significant deterioration since purchase. Refer to Note 16 Discontinued Operations for discussion of the impairment of securities recognized within discontinued operations.

As of March 31, 2023, the maturity of available-for-sale securities, by contractual maturity, reflected at amortized cost and fair value were as follows (in thousands):


	Amortized Cost	Fair Value
Due in one year or less	10,343	10,187
Due after one year through five years	3,611	3,479
Due after five years through 10 years	79	80
Due after 10 years	—	—
Total debt securities	14,033	13,746

There was $46.3 thousand of investment income in the Condensed Consolidated Statements of Income (Loss) related to our fixed maturity securities for the three months ended March 31, 2023. For the three months ended March 31, 2022, investment income in the Condensed Consolidated Statements of Income (Loss) was $0.1 million related to our fixed maturity securities. The gross proceeds from the sale of available-for-sale securities for the three months ended March 31, 2023 and 2022 were $2.4 million and $5.1 million, respectively. There were no realized (losses) gains from our fixed maturity securities for the three months ended March 31, 2023 and 2022.

Equity Securities

For the three months ended March 31, 2022, we recognized unrealized (losses) gains of $(41.0) million in investment income (loss) in the Condensed Consolidated Statements of Income (Loss). We held no equity securities during the three months ended March 31, 2023 and as such did not recognize any investment income (loss).