Reinsurance

12 Months Ended

Dec. 31, 2012

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, 2012. Reinsurance receivables of $5,898 were due from Swiss Reinsurance Corporation, rated "AA-" by Standard & Poor's and "A+" (Superior) by A.M. Best and $12,754 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.

	2012			2011
Direct premiums written	$	130,402		$	111,755
Plus – premiums assumed		3,003			4,499
Less – premiums ceded		(7,671	)		(6,550	)
Net premiums written		125,734			109,704
Change in unearned premiums		1,009			(2,233	)
Net premiums earned	$	126,743		$	107,471
Provision for benefits and losses incurred	$	99,026		$	80,774
Reinsurance loss recoveries		(9,209	)		(7,160	)
Insurance benefits and losses incurred	$	89,817		$	73,614

Components of reinsurance receivables were as follows:

	2012		2011
Receivable on unpaid losses	$	18,743	$	15,673
Receivable on paid losses		25		-
Total reinsurance receivables	$	18,768	$	15,673