Investments (Tables)

6 Months Ended

Jun. 30, 2016

Investments aggregated by type and industry

Investments were comprised of the following:

	June 30, 2016
	Carrying Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	16,040	$	519	$	1	$	15,522
Obligations of states and political subdivisions		18,446		1,182		-		17,264
Corporate securities:
Utilities and telecom		20,527		2,184		182		18,525
Financial services		56,392		3,018		950		54,324
Other business – diversified		66,368		2,564		3,016		66,820
Other consumer – diversified		30,613		1,189		606		30,030
Total corporate securities		173,900		8,955		4,754		169,699
Redeemable preferred stocks:
Financial services		254		4		-		250
Other consumer – diversified		193		-		-		193
Total redeemable preferred stocks		447		4		-		443
Total fixed maturities		208,833		10,660		4,755		202,928
Equity securities:
Common and non-redeemable preferred stocks:
Utilities and telecom		1,675		711		-		964
Financial services		5,736		908		-		4,828
Other business – diversified		217		170		-		47
Other consumer – diversified		12,800		7,186		-		5,614
Total equity securities		20,428		8,975		-		11,453
Other invested assets		5,777		-		-		5,777
Policy loans		2,179		-		-		2,179
Real estate		38		-		-		38
Investments in unconsolidated trusts		1,238		-		-		1,238
Total investments	$	238,493	$	19,635	$	4,755	$	223,613

	December 31, 2015
	Carrying Value		Gross Unrealized Gains		Gross Unrealized Losses		Amortized Cost
Fixed maturities:
Bonds:
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	22,234	$	290	$	175	$	22,119
Obligations of states and political subdivisions		25,479		621		552		25,410
Corporate securities:
Utilities and telecom		17,589		1,357		692		16,924
Financial services		54,035		1,797		1,351		53,589
Other business – diversified		60,960		729		5,898		66,129
Other consumer – diversified		24,581		136		1,391		25,836
Total corporate securities		157,165		4,019		9,332		162,478
Redeemable preferred stocks:
Financial services		253		3		-		250
Other consumer – diversified		193		-		-		193
Total redeemable preferred stocks		446		3		-		443
Total fixed maturities		205,324		4,933		10,059		210,450
Equity securities:
Common and non-redeemable preferred stocks:
Utilities and telecom		1,386		422		-		964
Financial services		5,175		847		-		4,328
Other business – diversified		198		151		-		47
Other consumer – diversified		16,372		10,758		-		5,614
Total equity securities		23,131		12,178		-		10,953
Other invested assets		6,454		-		-		6,454
Policy loans		2,200		-		-		2,200
Real estate		38		-		-		38
Investments in unconsolidated trusts		1,238		-		-		1,238
Total investments	$	238,385	$	17,111	$	10,059	$	231,333

Amortized cost and carrying value of fixed maturities by contractual maturity

The carrying value and amortized cost of the Company’s investments in fixed maturities at June 30, 2016 and December 31, 2015 by contractual maturity were as follows. Actual maturities may differ from contractual maturities because issuers may call or prepay obligations with or without call or prepayment penalties.

	June 30, 2016				December 31, 2015
	Carrying Value		Amortized Cost		Carrying Value		Amortized Cost
Due in one year or less	$	2,659	$	2,648	$	4,143	$	4,113
Due after one year through five years		21,768		21,407		20,557		20,591
Due after five years through ten years		108,477		105,847		99,614		103,066
Due after ten years		74,755		72,030		79,882		81,684
Varying maturities		1,174		996		1,128		996
Totals	$	208,833	$	202,928	$	205,324	$	210,450

Investments aggregated by industry

The following table sets forth the carrying value, amortized cost, and net unrealized gains (losses) of the Company’s investments aggregated by industry as of June 30, 2016 and December 31, 2015.

	June 30, 2016							December 31, 2015
	Carrying Value		Amortized Cost		Unrealized Gains (Losses)			Carrying Value		Amortized Cost		Unrealized Gains (Losses)
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	16,040	$	15,522	$	518		$	22,234	$	22,119	$	115
Obligations of states and political subdivisions		18,446		17,264		1,182			25,479		25,410		69
Utilities and telecom		22,202		19,489		2,713			18,975		17,888		1,087
Financial services		62,382		59,402		2,980			59,463		58,167		1,296
Other business – diversified		66,585		66,867		(282	)		61,158		66,176		(5,018	)
Other consumer – diversified		43,606		35,837		7,769			41,146		31,643		9,503
Other investments		9,232		9,232		-			9,930		9,930		-
Investments	$	238,493	$	223,613	$	14,880		$	238,385	$	231,333	$	7,052

Investment securities with continuous unrealized loss position

The following tables present the Company’s unrealized loss aging for securities by type and length of time the security was in a continuous unrealized loss position as of June 30, 2016 and December 31, 2015.

	June 30, 2016
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	2,020	$	1	$	-	$	-	$	2,020	$	1
Corporate securities		14,804		287		32,997		4,467		47,801		4,754
Total temporarily impaired securities	$	16,824	$	288	$	32,997	$	4,467	$	49,821	$	4,755

	December 31, 2015
	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. Government agencies and authorities	$	9,209	$	120	$	2,243	$	55	$	11,452	$	175
Obligations of states and political subdivisions		16,079		552		-		-		16,079		552
Corporate securities		79,482		4,284		16,131		5,048		95,613		9,332
Total temporarily impaired securities	$	104,770	$	4,956	$	18,374	$	5,103	$	123,144	$	10,059

Financial instruments carried at fair value measured on a recurring basis

As of June 30, 2016, financial instruments carried at fair value were measured on a recurring basis as summarized below:

	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs			Significant Unobservable Inputs
	(Level 1)		(Level 2)			(Level 3)			Total
Assets:
Fixed maturities	$	-	$	206,465		$	2,368	⁽¹⁾	$	208,833
Equity securities		14,938		5,490	⁽¹⁾		-			20,428
Cash equivalents		12,535		-			-			12,535
Total	$	27,473	$	211,955		$	2,368		$	241,796

⁽¹⁾

All underlying securities are financial service industry related.

As of December 31, 2015, financial instruments carried at fair value were measured on a recurring basis as summarized below:

	Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs			Significant Unobservable Inputs
	(Level 1)		(Level 2)			(Level 3)			Total
Assets:
Fixed maturities	$	-	$	203,087		$	2,237	⁽¹⁾	$	205,324
Equity securities		18,245		4,886	⁽¹⁾		-			23,131
Cash equivalents		13,772		-			-			13,772
Total	$	32,017	$	207,973		$	2,237		$	242,227

⁽¹⁾

All underlying securities are financial service industry related.

Roll-forward of financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3)

The following tables provide a roll-forward of the Company’s financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three month and six month periods ended June 30, 2016 and 2015.

	Fixed Maturities
Balance, December 31, 2015	$	2,237
Total unrealized gains included in other comprehensive income		63
Balance, March 31, 2016		2,300
Total unrealized gains included in other comprehensive income		68
Balance, June 30, 2016	$	2,368

	Fixed Maturities
Balance, December 31, 2014	$	2,214
Total unrealized gains included in other comprehensive income		50
Balance, March 31, 2015		2,264
Total unrealized losses included in other comprehensive loss		(57	)
Balance, June 30, 2015	$	2,207

Summary of realized investment gains (losses)

The following table is a summary of realized investment gains (losses) for the three month and six month periods ended June 30, 2016 and 2015.

	Three Months Ended June 30,					Six Months Ended June 30,
	2016		2015			2016			2015
Gross gains	$	132	$	4,502		$	954		$	5,458
Gross losses		-		(354	)		(70	)		(359	)
Realized investment gains, net	$	132	$	4,148		$	884		$	5,099