10-Q Investments (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2024

Dec. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Schedule of Amortized Cost and Fair Value of Fixed Maturity Securities

The following table summarizes the amortized cost and fair value of the Company’s fixed maturity securities, all of which are classified as available for sale:

			Gross Unrealized
As of June 30, 2024	Amortized Cost		Gains		Losses		Fair Value
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	298,225	$	50	$	(495)	$	297,780
State and municipal	56,978		—		(5,472)		51,506
Commercial mortgage-backed securities	41,970		19		(1,083)		40,906
Residential mortgage-backed securities	148,670		827		(5,637)		143,860
Asset-backed securities	54,650		100		(858)		53,892
Corporate	121,289		63		(3,097)		118,255
Total	$	721,782	$	1,059	$	(16,642)	$	706,199

			Gross Unrealized
As of December 31, 2023	Amortized Cost		Gains		Losses		Fair Value
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	252,294	$	579	$	(332)	$	252,541
State and municipal	55,984		—		(5,264)		50,720
Commercial mortgage-backed securities	26,573		29		(1,166)		25,436
Residential mortgage-backed securities	79,032		680		(5,010)		74,702
Asset-backed securities	42,964		32		(963)		42,033
Corporate	112,166		80		(3,054)		109,192
Total	$	569,013	$	1,400	(15,789)		$	554,624

The following table summarizes the amortized cost and fair value of the Company’s fixed maturity securities, all of which are classified as available for sale:

			Gross Unrealized
As of December 31, 2023	Amortized Cost		Gains		Losses		Fair Value
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	252,294	$	579	$	(332)	$	252,541
State and municipal	55,984		—		(5,264)		50,720
Commercial mortgage-backed securities	26,573		29		(1,166)		25,436
Residential mortgage-backed securities	79,032		680		(5,010)		74,702
Asset-backed securities	42,964		32		(963)		42,033
Corporate	112,166		80		(3,054)		109,192
Total	$	569,013	$	1,400	$	(15,789)	$	554,624

			Gross Unrealized
As of December 31, 2022	Amortized Cost		Gains		Losses		Fair Value
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	31,192	$	1	$	(614)	$	30,579
State and municipal	56,305		—		(7,247)		49,058
Commercial mortgage-backed securities	19,725		—		(1,456)		18,269
Residential mortgage-backed securities	50,965		55		(5,346)		45,674
Asset-backed securities	26,645		4		(1,589)		25,060
Corporate	73,182		3		(4,937)		68,248
Total	$	258,014	$	63	$	(21,189)	$	236,888

Schedule of Contractual Maturity of Fixed Maturity Securities

The amortized cost and fair value of fixed maturity securities at June 30, 2024 and December 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.

As of June 30, 2024	Amortized Cost		Fair Value
	($ in thousands)
Fixed maturity securities
Due in one year or less	$	191,050	$	190,739
Due after one year through five years	221,169		217,001
Due after five years through ten years	46,896		44,858
Due after ten years	17,377		14,943
	476,492		467,541
Commercial mortgage-backed securities	41,970		40,906
Residential mortgage-backed securities	148,670		143,860
Asset-backed securities	54,650		53,892
Total	$	721,782	$	706,199

As of December 31, 2023	Amortized Cost		Fair Value
	($ in thousands)
Fixed maturity securities
Due in one year or less	$	254,656	$	254,443
Due after one year through five years	122,274		118,585
Due after five years through ten years	27,145		25,265
Due after ten years	16,369		14,160
	420,444		412,453
Commercial mortgage-backed securities	26,573		25,436
Residential mortgage-backed securities	79,032		74,702
Asset-backed securities	42,964		42,033
Total	$	569,013	$	554,624

The amortized cost and fair value of fixed maturity securities at December 31, 2023 and 2022, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.

As of December 31, 2023	Amortized Cost		Fair Value
	($ in thousands)
Fixed maturity securities
Due in one year or less	$	254,656	$	254,443
Due after one year through five years	122,274		118,585
Due after five years through ten years	27,145		25,265
Due after ten years	16,369		14,160
	420,444		412,453
Commercial mortgage-backed securities	26,573		25,436
Residential mortgage-backed securities	79,032		74,702
Asset-backed securities	42,964		42,033
Total	$	569,013	$	554,624

As of December 31, 2022	Amortized Cost		Fair Value
	($ in thousands)
Fixed maturity securities
Due in one year or less	$	22,231	$	22,020
Due after one year through five years	90,486		84,457
Due after five years through ten years	27,263		24,250
Due after ten years	20,699		17,158
	160,679		147,885
Commercial mortgage-backed securities	19,725		18,269
Residential mortgage-backed securities	50,965		45,674
Asset-backed securities	26,645		25,060
Total	$	258,014	$	236,888

Schedule of Components in Net Investment Income

The components of net investment income were derived from the following sources:

	Three Months Ended June 30,
	2024		2023
	($ in thousands)
U.S. government and government agency	$	3,836	$	656
State and municipal	388		388
Commercial mortgage-backed securities	468		363
Residential mortgage-backed securities	1,920		246
Asset-backed securities	(33)		894
Corporate	1,071		893
Short-term investments	103		208
Cash and cash equivalents	1,204		511
Gross investment income	8,957		4,159
Investment expenses	(180)		(111)
Net investment income	$	8,777	$	4,048

	Six Months Ended June 30,
	2024		2023
	($ in thousands)
U.S. government and government agency	7,523		$	938
State and municipal	775		775
Commercial mortgage-backed securities	842		628
Residential mortgage-backed securities	2,164		462
Asset-backed securities	1,040		1,493
Corporate	2,003		1,589
Short-term investments	215		631
Cash and cash equivalents	2,219		1,096
Gross investment income	16,781		7,612
Investment expenses	(344)		(211)
Net investment income	$	16,437	$	7,401

The components of net investment income were derived from the following sources:

Years Ended December 31,	2023		2022
	($ in thousands)
U.S. government and government agency	$	4,673	$	255
State and municipal	1,550		1,052
Commercial mortgage-backed securities	1,381		479
Residential mortgage-backed securities	962		661
Asset-backed securities	3,708		730
Corporate	3,448		1,128
Short-term investments	943		371
Cash and cash equivalents	3,190		313
Gross investment income	19,855		4,989
Investment expenses	(484)		(264)
Net investment income	$	19,371	$	4,725

Schedule of Restricted Assets

The following table summarizes the value of the Company’s restricted assets disclosed in the Condensed Consolidated Balance Sheets:

As of	June 30, 2024		December 31, 2023
	($ in thousands)
U.S. government and government agency	$	224,415	$	142,297
State and municipal	19,428		19,585
Commercial mortgage-backed securities	20,781		9,333
Residential mortgage-backed securities	77,507		35,313
Asset-backed securities	33,330		23,798
Corporate	59,189		49,632
Restricted fixed maturity securities	434,650		279,958
Restricted short-term investments	12,712		4,864
Restricted cash and cash equivalents	18,494		1,698
Restricted assets	$	465,856	$	286,520

The following table summarizes the value of the Company’s restricted assets disclosed in the Consolidated Balance Sheet:

As of December 31,	2023		2022
	($ in thousands)
U.S. government and government agency	$	142,297	$	13,932
State and municipal	19,585		18,972
Commercial mortgage-backed securities	9,333		6,715
Residential mortgage-backed securities	35,313		19,570
Asset-backed securities	23,798		7,343
Corporate	49,632		24,777
Restricted fixed maturity securities	279,958		91,309
Restricted short-term investments	4,864		24,699
Restricted cash and cash equivalents	1,698		15,992
Restricted assets	$	286,520	$	132,000

Schedule of Available for Sale Securities in Unrealized Loss

The following table summarizes available for sale securities in an unrealized loss position, the fair value and gross unrealized loss by length of time the security has been in a continual unrealized loss position:

	Less than 12 Months				12 Months or Greater				Total
As of June 30, 2024	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	212,928	$	(336)	$	20,055	$	(159)	$	232,983	$	(495)
State and municipal	1,026		(4)		50,480		(5,468)		51,506		(5,472)
Commercial mortgage-backed securities	9,883		(98)		18,364		(985)		28,247		(1,083)
Residential mortgage-backed securities	49,110		(284)		40,197		(5,353)		89,307		(5,637)
Asset-backed securities	15,946		(81)		23,614		(777)		39,560		(858)
Corporate	34,712		(220)		76,048		(2,877)		110,760		(3,097)
Total	$	323,605	$	(1,023)	$	228,758	$	(15,619)	$	552,363	$	(16,642)

	Less than 12 Months				12 Months or Greater				Total
As of December 31, 2023	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	48,598	$	(69)	$	10,970	$	(263)	$	59,568	$	(332)
State and municipal	2,992		(14)		47,728		(5,250)		50,720		(5,264)
Commercial mortgage-backed securities	2,485		(53)		18,423		(1,113)		20,908		(1,166)
Residential mortgage-backed securities	17,536		(609)		31,502		(4,401)		49,038		(5,010)
Asset-backed securities	16,253		(71)		18,491		(892)		34,744		(963)
Corporate	24,976		(173)		62,733		(2,881)		87,709		(3,054)
Total	$	112,840	$	(989)	$	189,847	$	(14,800)	$	302,687	$	(15,789)

The following table summarizes available for sale securities in an unrealized loss position, the fair value and gross unrealized loss by length of time the security has been in a continual unrealized loss position:

	Less than 12 Months				12 Months or Greater				Total
As of December 31, 2023	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	48,598	$	(69)	$	10,970	$	(263)	$	59,568	$	(332)
State and municipal	2,992		(14)		47,728		(5,250)		50,720		(5,264)
Commercial mortgage-backed securities	2,485		(53)		18,423		(1,113)		20,908		(1,166)
Residential mortgage-backed securities	17,536		(609)		31,502		(4,401)		49,038		(5,010)
Asset-backed securities	16,253		(71)		18,491		(892)		34,744		(963)
Corporate	24,976		(173)		62,733		(2,881)		87,709		(3,054)
Total	$	112,840	$	(989)	$	189,847	$	(14,800)	$	302,687	$	(15,789)

	Less than 12 Months				12 Months or Greater				Total
As of December 31, 2022	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
	($ in thousands)
Fixed maturity securities
U.S. government and government agency	$	21,895	$	(419)	$	4,854	$	(195)	$	26,749	$	(614)
State and municipal	41,036		(5,253)		8,022		(1,994)		49,058		(7,247)
Commercial mortgage-backed securities	14,323		(915)		2,024		(541)		16,347		(1,456)
Residential mortgage-backed securities	24,988		(1,407)		19,729		(3,939)		44,717		(5,346)
Asset-backed securities	10,747		(533)		11,310		(1,056)		22,057		(1,589)
Corporate	38,756		(2,362)		29,044		(2,575)		67,800		(4,937)
Total	$	151,745	$	(10,889)	$	74,983	$	(10,300)	$	226,728	$	(21,189)