Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Taxes [Abstract]

Net deferred tax assets and liabilities

Net deferred tax assets and liabilities as of December 31, 2014 and 2013 are as follows:

	2014			2013
	(In thousands)
Total deferred tax assets	$	933,576		$	1,043,477
Total deferred tax liabilities		(33,789	)		(42,158	)
Net deferred tax asset before valuation allowance		899,787			1,001,319
Valuation allowance		(902,289	)		(1,004,256	)
Net deferred tax liability	$	(2,502	)	$	(2,937	)

Components of the net deferred tax liability

The components of the net deferred tax liability as of December 31, 2014 and 2013 are as follows:

	2014			2013
	(In thousands)
Unearned premium reserves	$	12,296		$	(1,073	)
Benefit plans		(13,900	)		(26,111	)
Net operating loss		845,616			915,378
Loss reserves		23,069			36,236
Unrealized (appreciation) depreciation in investments		(2,800	)		29,230
Mortgage investments		15,346			13,450
Deferred compensation		11,955			15,994
Premium deficiency reserves		8,313			16,961
Other, net		(108	)		1,254
Net deferred tax asset before valuation allowance		899,787			1,001,319
Valuation allowance		(902,289	)		(1,004,256	)
Net deferred tax liability	$	(2,502	)	$	(2,937	)

Tax provision (benefit)

The effect of the change in valuation allowance on the provision for (benefit from) income taxes was as follows:

	2014			2013			2012
	(In thousands)
Provision for (benefit from) income taxes before valuation allowance	$	91,607		$	(17,239	)	$	(330,740	)
Change in valuation allowance		(88,833	)		20,935			329,175
Provision for (benefit from) income taxes	$	2,774		$	3,696		$	(1,565	)

Components of the provision for (benefit from) income taxes

The following summarizes the components of the provision for (benefit from) income taxes:

	2014		2013		2012
	(In thousands)
Current	$	2,391	$	916	$	(4,251	)
Deferred		1		7		90
Other		382		2,773		2,596
Provision for (benefit from) income taxes	$	2,774	$	3,696	$	(1,565	)

Reconciliation of federal statutory income tax rate

The reconciliation of the federal statutory income tax rate to the effective income tax rate is as follows:

	2014			2013			2012
Federal statutory income tax rate		35.0	%		(35.0	)%		(35.0	) %
Valuation allowance		(34.9	)		45.4			35.4
Tax exempt municipal bond interest		(0.4	)		(3.7	)		(0.8	)
Other, net		1.4			1.3			0.2
Effective income tax rate		1.1	%		8.0	%		(0.2	)%

Reconciliation of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	2014		2013		2012
			(In thousands)
Balance at beginning of year	$	105,366	$	104,550	$	110,080
Additions based on tax positions related to the current year		-		-		-
Additions for tax positions of prior years		864		816		511
Reductions for tax positions of prior years		-		-		(4,041	)
Settlements		-		-		(2,000	)
Balance at end of year	$	106,230	$	105,366	$	104,550