Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2015

Fair Value Measurements [Abstract]

Fair value measurements for items measured at fair value

Fair value measurements for assets measured at fair value included the following as of March 31, 2015 and December 31, 2014:

	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
March 31, 2015	(In thousands)
U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	312,805	$	189,913	$	122,892	$	-
Obligations of U.S. states and political subdivisions		952,703		-		950,912		1,791
Corporate debt securities		2,408,016		-		2,408,016		-
Asset-backed securities		253,919		-		253,919		-
Residential mortgage-backed securities		309,031		-		309,031		-
Commercial mortgage-backed securities		260,606		-		260,606		-
Collateralized loan obligations		60,544		-		60,544		-
Debt securities issued by foreign sovereign governments		37,039		37,039		-		-
Total debt securities		4,594,663		226,952		4,365,920		1,791
Equity securities		3,100		2,779		-		321
Total investment portfolio	$	4,597,763	$	229,731	$	4,365,920	$	2,112
Real estate acquired (1)	$	10,897	$	-	$	-	$	10,897

	Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
December 31, 2014	(In thousands)
U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	346,775	$	188,824	$	157,951	$	-
Obligations of U.S. states and political subdivisions		855,142		-		853,296		1,846
Corporate debt securities		2,425,281		-		2,425,281		-
Asset-backed securities		286,655		-		286,655		-
Residential mortgage-backed securities		321,237		-		321,237		-
Commercial mortgage-backed securities		275,278		-		275,278		-
Collateralized loan obligations		60,076		-		60,076		-
Debt securities issued by foreign sovereign governments		39,170		39,170		-		-
Total debt securities		4,609,614		227,994		4,379,774		1,846
Equity securities		3,055		2,734		-		321
Total investment portfolio	$	4,612,669	$	230,728	$	4,379,774	$	2,167
Real estate acquired (1)	$	12,658	$	-	$	-	$	12,658

(1) Real estate acquired through claim settlement, which is held for sale, is reported in Other assets on the consolidated balance sheets.

Reconciliation of beginning and ending balance for assets and liabilities measured at fair value with significant unobservable inputs (level 3)

For assets measured at fair value using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances for the three months ended March 31, 2015 and 2014 is as follows:

	Debt Securities			Equity Securities		Total Investments			Real Estate Acquired
Balance at December 31, 2014	$	1,846		$	321	$	2,167		$	12,658
Total realized/unrealized gains (losses):
Included in earnings and reported as losses incurred, net		-			-		-			(503	)
Purchases		7			-		7			10,797
Sales		(62	)		-		(62	)		(12,055	)
Transfers into Level 3		-			-		-			-
Transfers out of Level 3		-			-		-			-
Balance at March 31, 2015	$	1,791		$	321	$	2,112		$	10,897
Amount of total losses included in earnings for the three months ended March 31, 2015 attributable to the change in unrealized losses on assets still held at   March 31, 2015	$	-		$	-	$	-		$	-

	Debt Securities			Equity Securities		Total Investments			Real Estate Acquired
Balance at December 31, 2013	$	2,423		$	321	$	2,744		$	13,280
Total realized/unrealized gains (losses):
Included in earnings and reported as losses incurred, net		-			-		-			(1,160	)
Purchases		30			-		30			8,010
Sales		(75	)		-		(75	)		(8,993	)
Transfers into Level 3		-			-		-			-
Transfers out of Level 3		-			-		-			-
Balance at March 31, 2014	$	2,378		$	321	$	2,699		$	11,137
Amount of total losses included in earnings for the three months ended March 31, 2014 attributable to the change in unrealized losses on assets still held at March 31, 2014	$	-		$	-	$	-		$	-

Par value and fair value of debt

The following tables present the carrying value and fair value of our financial liabilities disclosed, but not carried, at fair value at March 31, 2015 and December 31, 2014, and the level within the fair value hierarchy at which such liabilities are measured on a recurring basis.

March 31, 2015	Par Value		Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(In thousands)
Financial liabilities:
Senior Notes	$	61,953	$	63,309	$	-	$	63,309	$	-
Convertible Senior Notes due 2017		345,000		382,622		-		382,622		-
Convertible Senior Notes due 2020		500,000		735,945		-		735,945		-
Convertible Junior Subordinated Debentures		389,522		497,221		-		497,221		-
Total Debt	$	1,296,475	$	1,679,097	$	-	$	1,679,097	$	-

December 31, 2014	Par Value		Total Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(In thousands)
Financial liabilities:
Senior Notes	$	61,953	$	63,618	$	-	$	63,618	$	-
Convertible Senior Notes due 2017		345,000		387,997		-		387,997		-
Convertible Senior Notes due 2020		500,000		735,075		-		735,075		-
Convertible Junior Subordinated Debentures		389,522		500,201		-		500,201		-
Total Debt	$	1,296,475	$	1,686,891	$	-	$	1,686,891	$	-