Fair Values of Financial Instruments

9 Months Ended

Sep. 30, 2012

Fair Values of Financial Instruments [Abstract]

Fair Values of Financial Instruments

Note 10.  Fair Values of Financial Instruments

The estimated fair value amounts have been determined by the Company using available market information from various market sources and appropriate valuation methodologies as of the respective dates.  However, considerable judgment is necessary to interpret market data and to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts which the Company could realize in a current market exchange.  The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company's financial instruments as of September 30, 2012 and December 31, 2011.

			September 30, 2012				December 31, 2011
	Level in Fair Value Hierarchy (1)		Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Assets:
Cash and cash equivalents	Level 1		$	19,137	$	19,137	$	21,285	$	21,285
Fixed maturities		(1)		230,188		230,188		217,348		217,348
Equity securities		(1)		11,539		11,539		8,348		8,348
Other invested assets	Level 3			588		588		567		567
Policy loans	Level 2			2,320		2,320		2,246		2,246
Real estate	Level 2			38		38		38		38
Investment in unconsolidated trusts	Level 2			1,238		1,238		1,238		1,238
Liabilities:
Junior subordinated debentures	Level 2			41,238		41,238		41,238		41,238
Derivative	Level 3			342		342		876		876

(1) See Note 9 for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

The fair value estimates as of September 30, 2012 and December 31, 2011 were based on pertinent information available to management as of the respective dates.  Although management is not aware of any factors that would significantly affect the estimated fair value amounts, current estimates of fair value may differ significantly from amounts that might ultimately be realized in a market exchange on any subsequent date.