XML 61 R26.htm IDEA: XBRL DOCUMENT v2.4.0.8
Investments (Tables)
 6 Months Ended
Jun. 30, 2014
Investments [Abstract]  
Amortized cost, gross unrealized gains and losses and fair value of investments portfolio
The amortized cost, gross unrealized gains and losses and fair value of the investment portfolio at June 30, 2014 and December 31, 2013 are shown below.

June 30, 2014
 
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses (1)
  
Fair
Value
 
 
 
(In thousands)
 
U.S. Treasury securities and obligations of  U.S. government corporations and agencies
 
$
483,205
  
$
2,540
  
$
(10,927
)
 
$
474,818
 
Obligations of U.S. states and political subdivisions
  
840,266
   
11,709
   
(3,605
)
  
848,370
 
Corporate debt securities
  
2,185,994
   
16,842
   
(7,065
)
  
2,195,771
 
Asset-backed securities
  
367,306
   
1,554
   
(54
)
  
368,806
 
Residential mortgage-backed securities
  
359,908
   
170
   
(12,588
)
  
347,490
 
Commercial mortgage-backed securities
  
274,102
   
1,336
   
(1,917
)
  
273,521
 
Collateralized loan obligations
  
61,338
   
-
   
(875
)
  
60,463
 
Debt securities issued by foreign sovereign governments
  
39,566
   
2,707
   
(44
)
  
42,229
 
Total debt securities
  
4,611,685
   
36,858
   
(37,075
)
  
4,611,468
 
Equity securities
  
2,949
   
69
   
(7
)
  
3,011
 
 
                
Total investment portfolio
 
$
4,614,634
  
$
36,927
  
$
(37,082
)
 
$
4,614,479
 

December 31, 2013
 
Amortized
Cost
  
Gross
Unrealized
Gains
  
Gross
Unrealized
Losses (1)
  
Fair
Value
 
 
 
(In thousands)
 
U.S. Treasury securities and obligations of U.S. government corporations and agencies
 
$
663,642
  
$
1,469
  
$
(25,521
)
 
$
639,590
 
Obligations of U.S. states and political subdivisions
  
932,922
   
5,865
   
(17,420
)
  
921,367
 
Corporate debt securities
  
2,190,095
   
6,313
   
(24,993
)
  
2,171,415
 
Asset-backed securities
  
399,839
   
1,100
   
(453
)
  
400,486
 
Residential mortgage-backed securities
  
383,368
   
146
   
(24,977
)
  
358,537
 
Commercial mortgage-backed securities
  
277,920
   
131
   
(6,668
)
  
271,383
 
Collateralized loan obligations
  
61,337
   
-
   
(1,042
)
  
60,295
 
Debt securities issued by foreign sovereign governments
  
39,420
   
1,722
   
(290
)
  
40,852
 
Total debt securities
  
4,948,543
   
16,746
   
(101,364
)
  
4,863,925
 
Equity securities
  
2,908
   
9
   
(23
)
  
2,894
 
Total investment portfolio
 
$
4,951,451
  
$
16,755
  
$
(101,387
)
 
$
4,866,819
 
 
(1) At June 30, 2014 and December 31, 2013, there were no other-than-temporary impairment losses recorded in other comprehensive income.
Amortized cost and fair values of debt securities by contractual maturity
The amortized cost and fair values of debt securities at June 30, 2014, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.  Because most asset-backed and mortgage-backed securities and collateralized loan obligations provide for periodic payments throughout their lives, they are listed below in separate categories.

June 30, 2014
 
Amortized
Cost
  
Fair
Value
 
 
 
(In thousands)
 
 
 
  
 
Due in one year or less
 
$
434,813
  
$
436,114
 
Due after one year through five years
  
1,877,498
   
1,892,200
 
Due after five years through ten years
  
783,152
   
783,800
 
Due after ten years
  
453,568
   
449,074
 
 
        
 
 
$
3,549,031
  
$
3,561,188
 
 
        
Asset-backed securities
  
367,306
   
368,806
 
Residential mortgage-backed securities
  
359,908
   
347,490
 
Commercial mortgage-backed securities
  
274,102
   
273,521
 
Collateralized loan obligations
  
61,338
   
60,463
 
 
        
Total at June 30, 2014
 
$
4,611,685
  
$
4,611,468
 
Aging of the fair values of securities in an unrealized loss position
For those securities in an unrealized loss position, the length of time the securities were in such a position, as measured by their month-end fair values, is as follows:
 
 
 
Less Than 12 Months
  
12 Months or Greater
  
Total
 
June 30, 2014
 
Fair
Value
  
Unrealized
Losses
  
Fair
Value
  
Unrealized
Losses
  
Fair
Value
  
Unrealized
Losses
 
 
 
(In thousands)
 
U.S. Treasury securities and obligations of U.S. government corporations and agencies
 
$
10,902
  
$
27
  
$
374,597
  
$
10,900
  
$
385,499
  
$
10,927
 
Obligations of U.S. states and political subdivisions
  
99,956
   
664
   
169,336
   
2,941
   
269,292
   
3,605
 
Corporate debt securities
  
397,503
   
964
   
277,677
   
6,101
   
675,180
   
7,065
 
Asset-backed securities
  
24,501
   
12
   
14,700
   
42
   
39,201
   
54
 
Residential mortgage-backed securities
  
-
   
-
   
328,343
   
12,588
   
328,343
   
12,588
 
Commercial mortgage-backed securities
  
61,372
   
456
   
104,802
   
1,461
   
166,174
   
1,917
 
Collateralized loan obligations
  
32,456
   
504
   
28,007
   
371
   
60,463
   
875
 
Debt securities issued by foreign sovereign governments
  
4,267
   
1
   
3,419
   
43
   
7,686
   
44
 
Equity securities
  
-
   
-
   
277
   
7
   
277
   
7
 
Total investment portfolio
 
$
630,957
  
$
2,628
  
$
1,301,158
  
$
34,454
  
$
1,932,115
  
$
37,082
 

 
 
Less Than 12 Months
  
12 Months or Greater
  
Total
 
December 31, 2013
 
Fair
Value
  
Unrealized Losses
  
Fair
Value
  
Unrealized Losses
  
Fair
Value
  
Unrealized Losses
 
 
 
(In thousands)
 
U.S. Treasury securities and obligations of U.S. government corporations and agencies
 
$
465,975
  
$
24,980
  
$
4,103
  
$
541
  
$
470,078
  
$
25,521
 
Obligations of U.S. states and political subdivisions
  
503,967
   
17,370
   
4,226
   
50
   
508,193
   
17,420
 
Corporate debt securities
  
1,238,211
   
20,371
   
81,593
   
4,622
   
1,319,804
   
24,993
 
Asset-backed securities
  
126,991
   
387
   
7,114
   
66
   
134,105
   
453
 
Residential mortgage-backed securities
  
91,534
   
3,886
   
265,827
   
21,091
   
357,361
   
24,977
 
Commercial mortgage-backed securities
  
192,440
   
6,239
   
43,095
   
429
   
235,535
   
6,668
 
Collateralized loan obligations
  
60,295
   
1,042
   
-
   
-
   
60,295
   
1,042
 
Debt securities issued by foreign sovereign governments
  
7,203
   
290
   
-
   
-
   
7,203
   
290
 
Equity securities
  
1,012
   
18
   
75
   
5
   
1,087
   
23
 
Total investment portfolio
 
$
2,687,628
  
$
74,583
  
$
406,033
  
$
26,804
  
$
3,093,661
  
$
101,387
 
Net realized investment gains (losses) and OTTI on investments
The net realized investment gains (losses) and OTTI on the investment portfolio are as follows:
 
 
 
Three Months Ended
June 30,
  
Six Months Ended
June 30,
 
 
 
2014
  
2013
  
2014
  
2013
 
 
(In thousands)
 
Net realized investment gains (losses) and OTTI on investments:
 
  
  
  
 
Fixed maturities
 
$
360
  
$
1,891
  
$
126
  
$
3,148
 
Equity securities
  
162
   
594
   
165
   
596
 
 
                
 
 
$
522
  
$
2,485
  
$
291
  
$
3,744
 

 
 
Three Months Ended
June 30,
  
Six Months Ended
June 30,
 
 
 
2014
  
2013
  
2014
  
2013
 
 
(In thousands)
 
Net realized investment gains (losses) and OTTI on investments:
 
  
  
  
 
Gains on sales
 
$
1,307
  
$
3,027
  
$
2,112
  
$
4,961
 
Losses on sales
  
(785
)
  
(542
)
  
(1,821
)
  
(1,217
)
 
                
 
 
$
522
  
$
2,485
  
$
291
  
$
3,744