REINSURANCE (Tables)

12 Months Ended

Dec. 31, 2016

REINSURANCE

Schedule of premiums written and earned along with losses and settlement expenses incurred

(in thousands)	2016		2015		2014
WRITTEN
Direct	$	844,430	$	819,130	$	787,267
Reinsurance assumed		30,434		34,456		76,581
Reinsurance ceded		(133,912)		(131,615)		(160,696)
Net	$	740,952	$	721,971	$	703,152
EARNED
Direct	$	835,294	$	797,180	$	781,640
Reinsurance assumed		27,886		35,724		72,878
Reinsurance ceded		(134,572)		(132,743)		(167,143)
Net	$	728,608	$	700,161	$	687,375
LOSSES AND SETTLEMENT EXPENSES INCURRED
Direct	$	405,873	$	307,445	$	315,226
Reinsurance assumed		13,196		23,184		61,923
Reinsurance ceded		(69,291)		(31,584)		(80,540)
Net	$	349,778	$	299,045	$	296,609

Schedule of net reinsurance balances recoverable, after consideration of collateral, from top 10 reinsurers

			Net Reinsurer				Ceded
	A.M. Best	S & P	Exposure as of		Percent of		Premiums		Percent of
(dollars in thousands)	Rating	Rating	12/31/2016		Total		Written		Total
Munich Re / HSB	A+, Superior	AA-, Very Strong	$	52,435	15.7	%	$	23,347	17.4	%
Swiss Re / Westport Ins. Corp.	A+, Superior	AA-, Very Strong		41,997	12.6	%		15,157	11.3	%
Endurance Re	A, Excellent	A, Strong		37,082	11.1	%		6,412	4.8	%
Aspen UK Ltd.	A, Excellent	A, Strong		26,886	8.1	%		6,722	5.0	%
Transatlantic Re	A, Excellent	A+, Strong		17,222	5.2	%		6,306	4.7	%
General Re	A++, Superior	AA, Very Strong		16,531	5.0	%		2,957	2.2	%
Berkley Insurance Co.	A+, Superior	A+, Strong		16,314	4.9	%		5,388	4.0	%
Scor Reinsurance Co.	A, Excellent	AA-, Very Strong		15,767	4.7	%		5,069	3.8	%
Axis Re	A+, Superior	A+, Strong		11,999	3.6	%		4,093	3.1	%
Toa Re	A+, Superior	A+, Strong		11,809	3.5	%		4,353	3.3	%
All other reinsurers*				85,318	25.6	%		54,108	40.4	%
Total ceded exposure			$	333,360	100.0	%	$	133,912	100.0	%

*All other reinsurance balances recoverable, when considered by individual reinsurer, are less than 2 percent of shareholders’ equity.