Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Schedule of Income Tax Assets and Liabilities

The income tax assets and liabilities included in Other assets and Other liabilities, respectively, in the Consolidated Balance Sheets were as follows:


($ in millions)	December 31,
	2024		2023
Income tax (asset) liability
Current	$	(28.1)	$	(25.9)
Deferred	55.8		33.4

Schedule of Deferred Tax Assets and Liabilities

The "temporary differences" that gave rise to the deferred tax balances were as follows:


($ in millions)	December 31,
	2024		2023
Deferred tax assets
Other comprehensive income - net unrealized losses on securities	$	85.2	$	82.1
Unearned premium reserve reduction	14.4		13.3
Compensation accruals	9.3		9.3
Impaired securities	2.3		2.0
Other comprehensive income - net funded status of benefit plans	1.9		2.0
Discounting of unpaid claims and claim expense tax reserves	2.9		2.7
Capital loss carryforward	1.2		0.8
Net operating loss carryforward	0.6		9.3
Intangibles	—		1.4
Postretirement benefits other than pensions	0.2		0.2
Total gross deferred tax assets	118.0		123.1
Deferred tax liabilities

Deferred policy acquisition costs	47.8		45.9
Life insurance future policy benefit reserve	52.7		46.4
Life insurance future policy benefit reserve (transitional rule)	2.1		4.3
Discounting of unpaid claims and claim expense tax reserves (transitional rule)	0.2		0.3
Investment related adjustments	39.3		44.8
Other comprehensive income - net reserve remeasurements	23.8		5.8
Other, net	7.9		9.0
Total gross deferred tax liabilities	173.8		156.5
Net deferred tax liability	$	55.8	$	33.4

Summary of Operating Loss Carryforwards

At December 31, 2024, the Company had available the following carryforwards or credits:


($ in millions)
	Pretax Amount		Expiration Years
Operating loss carryforwards	$	2.7	Indefinite
Charitable contributions carryforwards	1.2		2029
Capital loss carryforwards	5.6		2029

Schedule of Income Taxes Expenses

The components of the provision for income tax expense (benefit) were as follows (2022 recast for the adoption of LDTI):


($ in millions)	Years Ended December 31,
	2024		2023		2022
Current	$	19.9	$	6.5	$	(0.7)
Deferred	5.9		1.8		(2.6)
Total income tax expense (benefit)	$	25.8	$	8.3	$	(3.3)

Schedule of Income Taxes Expenses Reconciliation

Income tax expense for the following periods differed from the expected tax computed by applying the federal corporate tax rate of 21% for 2024, 2023 and 2022 to income before income taxes as follows (2022 recast for the adoption of LDTI):


($ in millions)	Years Ended December 31,
	2024		2023		2022
Expected federal tax on income	$	27.0	$	11.2	$	3.5
Add (deduct) tax effects of:
Tax-exempt interest	(2.5)		(2.7)		(3.3)
Dividend received deduction	(2.0)		(1.3)		(3.2)


Employee share-based compensation	(0.2)		0.1		(0.5)
Contingent consideration	—		—		(0.3)
Compensation deduction limitation	2.7		0.8		0.7
Research and development reserve	—		(0.2)		(0.4)
Prior year adjustments	(0.4)		0.3		0.1
Other, net	1.2		0.1		0.1
Income tax expense (benefit) provided on income	$	25.8	$	8.3	$	(3.3)