Goodwill and Other Intangibles

9 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other IntangiblesThe following tables set forth the carrying amount of goodwill and other intangible assets, net of accumulated amortization by reporting unit at the dates indicated below:


	As of September 30, 2021
	Banking Business		Insurance Agency Business		Net Carrying Amount
	(In thousands)
Balances not subject to amortization
Goodwill	$	298,611	$	73,861	$	372,472
Balances subject to amortization
Insurance agency (1)	—		7,234		7,234
Core deposit intangible	66		—		66
Total other intangible assets	66		7,234		7,300
Total goodwill and other intangible assets	$	298,677	$	81,095	$	379,772

(1)Insurance agency intangible assets include customer list, non-compete agreement and supplier relationship intangible assets.


	As of December 31, 2020
	Banking Business		Insurance Agency Business		Net Carrying Amount
	(In thousands)
Balances not subject to amortization
Goodwill	$	298,611	$	70,866	$	369,477
Balances subject to amortization
Insurance agency (1)	—		6,899		6,899
Core deposit intangible	158		—		158
Total other intangible assets	158		6,899		7,057
Total goodwill and other intangible assets	$	298,769	$	77,765	$	376,534

(1)Insurance agency intangible assets include customer list, non-compete agreement and supplier relationship intangible assets.

The Company acquired two insurance agencies during the nine months ended September 30, 2021. The aggregate purchase price and goodwill recorded as a result of the acquisitions were not material.

The Company quantitatively assesses goodwill for impairment at the reporting unit level on an annual basis or sooner if an event occurs or circumstances change which might indicate that the fair value of a reporting unit is below its carrying amount. The Company has identified and assigned goodwill to two reporting units - the banking business and insurance agency business. The quantitative assessments for both the banking business and insurance agency business were most recently performed as of September 30, 2021. The assessment for the banking business included a market capitalization analysis, as well as a comparison of the banking business’ book value to the implied fair value using a pricing multiple of the Company’s tangible book value. The assessment for insurance agency business included a price-to-earnings analysis, as well as an EBITDA multiplier valuation based upon recent and observed agency mergers and acquisitions. The Company considered the economic conditions for the period including the potential impact of the COVID-19 pandemic as it pertains to the goodwill above and determined that there was no indication of impairment related to goodwill as of September 30, 2021 or December 31, 2020.

Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. The Company also considered the impact of the COVID-19 pandemic as it pertains to these intangible assets and determined that there was no indication of impairment related to other intangible assets as of September 30, 2021 or December 31, 2020.