Reinsurance

12 Months Ended

Dec. 31, 2011

Reinsurance [Abstract]

Reinsurance

Note 4. Reinsurance

In accordance with general practice in the insurance industry, portions of the life, property and casualty insurance written by the Company are reinsured; however, the Company remains liable with respect to reinsurance ceded should any reinsurer be unable or unwilling to meet its obligations. Approximately 99% of the Company's reinsurance receivables were due from two reinsurers as of December 31, 2011. Reinsurance receivables of $7,910 were due from Swiss Reinsurance Corporation, rated “AA-” by Standard & Poor's and “A+” (Superior) by A.M. Best and $7,659 were due from General Reinsurance Corporation, rated “AA+” by Standard & Poor's and “A++” (Superior) by A.M. Best. Allowances for uncollectible amounts are established against reinsurance receivables, if appropriate.

The following table reconciles premiums written to premiums earned and summarizes the components of insurance benefits and losses incurred.

	2011			2010
Direct premiums written	$	111,755		$	101,447
Plus – premiums assumed		4,499			4,764
Less – premiums ceded		(6,550	)		(5,558	)
Net premiums written		109,704			100,653
Change in unearned premiums		(2,233	)		(3,040	)
Net premiums earned	$	107,471		$	97,613
Provision for benefits and losses incurred	$	80,774		$	71,285
Reinsurance loss recoveries		(7,160	)		(4,431	)
Insurance benefits and losses incurred	$	73,614		$	66,854

Components of reinsurance receivables were as follows:

	2011		2010
Receivable on unpaid losses	$	15,673	$	14,226
Receivable on paid losses		-		75
Total reinsurance receivables	$	15,673	$	14,301