Income from Investments (Tables)

12 Months Ended

Dec. 31, 2019

Net Investment Income for the years ended December 31, 2019, 2018 and 2017 was:



DOLLARS IN MILLIONS	2019		2018		2017
Investment Income:
Interest on Fixed Income Securities	$	299.4	$	268.9	$	246.6
Dividends on Equity Securities Excluding Alternative Investments	22.9		13.6		9.3
Alternative Investments:
Equity Method Limited Liability Investments	1.0		11.0		24.8
Fair Value Option Investments	—		—		1.3
Limited Liability Investments Included in Equity Securities	18.0		26.4		28.6
Total Alternative Investments	19.0		37.4		54.7
Short-term Investments	8.2		7.0		1.6
Loans to Policyholders	22.6		22.5		21.6
Real Estate	9.8		9.6		10.7
Other	1.5		0.9		0.5
Total Investment Income	383.4		359.9		345.0
Investment Expenses:
Real Estate	9.6		9.7		10.5
Other Investment Expenses	9.5		9.3		7.3
Total Investment Expenses	19.1		19.0		17.8
Net Investment Income	$	364.3	$	340.9	$	327.2

Realized Gain (Loss) on Investments

The components of Net Realized Gains on Sales of Investments for the years ended December 31, 2019, 2018 and 2017 were:



DOLLARS IN MILLIONS	2019			2018			2017
Fixed Maturities:
Gains on Sales	$	41.1		$	25.3		$	8.4
Losses on Sales	(4.8		)	(11.1		)	(0.9		)
Equity Securities:
Gains on Sales	5.8			12.3			42.0
Losses on Sales	(0.2		)	—			—
Real Estate:
Gains on Sales	—			—			6.4
Other Investments:
Gains on Other Sales	—			—			0.1
Losses on Sales	—			(0.1		)	(0.1		)
Net Gains on Trading Securities	—			—			0.6
Net Realized Gains on Sales of Investments	$	41.9		$	26.4		$	56.5

Gross Gains on Sales	$	46.9		$	37.6		$	56.9
Gross Losses on Sales	(5.0		)	(11.2		)	(1.0		)
Net Gains on Trading Securities	—			—			0.6
Net Realized Gains on Sales of Investments	$	41.9		$	26.4		$	56.5

Other than Temporary Impairment, Credit Losses Recognized in Earnings

The following table sets forth the pre-tax amount of other-than-temporary impairments (“OTTI”) credit losses, recognized in Retained Earnings for Investments in Fixed Maturities held by the Company as of the beginning and end of the periods presented for which a portion of the OTTI loss related to factors other than credit has been recognized in AOCI, and the corresponding changes in such amounts.



DOLLARS IN MILLIONS	2019			2018			2017
Cumulative Balance of Pre-tax Credit Losses Recognized in Retained Earnings at Beginning of Year	$	1.1		$	1.6		$	1.4
Pre-tax Credit Losses on Fixed Maturities without Pre-tax Credit Losses Included in Cumulative Balance at Beginning of Year	0.2			—			1.2
Reductions for Change in Impairment Status:
From Status of Credit Loss to Status of Intent-to-sell or Required-to-sell	—			(0.5		)	(0.7		)
Reductions for Investments Sold During Year	(0.1		)	—			(0.3		)
Cumulative Balance of Pre-tax Credit Losses Recognized in Retained Earnings at End of Year	$	1.2		$	1.1		$	1.6

The components of Net Impairment Losses Recognized in Earnings reported in the Consolidated Statements of Income for the years ended December 31, 2019, 2018 and 2017 were:



DOLLARS IN MILLIONS	2019			2018			2017
Fixed Maturities	$	(13.3	)	$	(2.0	)	$	(12.1	)
Equity Securities	(0.5		)	(2.5		)	(2.2		)
Net Impairment Losses Recognized in Earnings	$	(13.8	)	$	(4.5	)	$	(14.3	)