Investments (Tables)

9 Months Ended

Sep. 30, 2014

Summary Of Unrealized Appreciation (Depreciation) Of Available For Sale, Fixed Maturity And Equity Security Investments

	At September 30, 2014
	Amortized		Unrealized		Unrealized			Market
(Dollars in thousands)	Cost		Appreciation		Depreciation			Value
Fixed maturity securities
U.S. Treasury securities and obligations of
U.S. government agencies and corporations	$	519,888	$	698	$	(815	)	$	519,771
Obligations of U.S. states and political subdivisions		792,193		43,524		(994	)		834,723
Corporate securities		2,010,245		41,864		(21,510	)		2,030,599
Asset-backed securities		91,583		821		(87	)		92,317
Mortgage-backed securities
Commercial		40,935		2,750		(1	)		43,684
Agency residential		626,511		6,873		(6,842	)		626,542
Non-agency residential		307		51		-			358
Foreign government securities		544,947		26,458		(4,274	)		567,131
Foreign corporate securities		1,082,900		27,586		(7,495	)		1,102,991
Total fixed maturity securities	$	5,709,509	$	150,625	$	(42,018	)	$	5,818,116
Equity securities	$	15	$	1	$	-		$	16

	At December 31, 2013
	Amortized		Unrealized		Unrealized			Market
(Dollars in thousands)	Cost		Appreciation		Depreciation			Value
Fixed maturity securities
U.S. Treasury securities and obligations of
U.S. government agencies and corporations	$	72,211	$	420	$	(946	)	$	71,685
Obligations of U.S. states and political subdivisions		970,735		40,815		(9,022	)		1,002,528
Corporate securities		1,669,553		45,355		(12,493	)		1,702,415
Asset-backed securities		38,544		1,065		-			39,609
Mortgage-backed securities
Commercial		34,855		3,811		-			38,666
Agency residential		709,589		6,331		(18,521	)		697,399
Non-agency residential		859		113		(33	)		939
Foreign government securities		654,029		28,739		(7,941	)		674,827
Foreign corporate securities		966,225		23,227		(15,599	)		973,853
Total fixed maturity securities	$	5,116,600	$	149,876	$	(64,555	)	$	5,201,921
Equity securities	$	15	$	-	$	(2	)	$	13

Summary Of Amortized Cost And Market Value Of Fixed Maturity Securities, By Contractual Maturity


	At September 30, 2014				At December 31, 2013
	Amortized		Market		Amortized		Market
(Dollars in thousands)	Cost		Value		Cost		Value
Fixed maturity securities available for sale
Due in one year or less	$	452,064	$	451,138	$	462,133	$	463,674
Due after one year through five years		2,786,968		2,812,874		2,251,169		2,300,475
Due after five years through ten years		1,066,319		1,077,855		988,896		1,000,053
Due after ten years		644,822		713,348		630,555		661,106
Asset-backed securities		91,583		92,317		38,544		39,609
Mortgage-backed securities
Commercial		40,935		43,684		34,855		38,666
Agency residential		626,511		626,542		709,589		697,399
Non-agency residential		307		358		859		939
Total fixed maturity securities	$	5,709,509	$	5,818,116	$	5,116,600	$	5,201,921

Summary Of Changes In Net Unrealized Appreciation (Depreciation) For The Company's Investments


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in thousands)	2014			2013			2014			2013
Increase (decrease) during the period between the market value and cost
of investments carried at market value, and deferred taxes thereon:
Fixed maturity securities	$	(41,410	)	$	(12,657	)	$	23,285		$	(144,110	)
Fixed maturity securities, other-than-temporary impairment		-			-			-			(399	)
Equity securities		1			1			3			2
Change in unrealizedappreciation (depreciation), pre-tax		(41,409	)		(12,656	)		23,288			(144,507	)
Deferred tax benefit (expense)		14,492			4,430			(8,151	)		50,438
Deferred tax benefit (expense), other-than-temporary impairment		-			-			-			140
Change in unrealized appreciation (depreciation),
net of deferred taxes, included in stockholder's equity	$	(26,917	)	$	(8,226	)	$	15,137		$	(93,929	)

Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Security Type

	Duration of Unrealized Loss at September 30, 2014 By Security Type
	Less than 12 months					Greater than 12 months					Total
			Gross					Gross					Gross
			Unrealized					Unrealized					Unrealized
(Dollars in thousands)	Market Value		Depreciation			Market Value		Depreciation			Market Value		Depreciation
Fixed maturity securities - available for sale
U.S. Treasury securities and obligations of
U.S. government agencies and corporations	$	35,516	$	(190	)	$	24,483	$	(625	)	$	59,999	$	(815	)
Obligations of U.S. states and political subdivisions		18,198		(426	)		36,680		(568	)		54,878		(994	)
Corporate securities		925,037		(16,140	)		185,950		(5,370	)		1,110,987		(21,510	)
Asset-backed securities		30,208		(87	)		-		-			30,208		(87	)
Mortgage-backed securities
Commercial		10,365		(1	)		-		-			10,365		(1	)
Agency residential		35,576		(108	)		299,229		(6,734	)		334,805		(6,842	)
Non-agency residential		-		-			-		-			-		-
Foreign government securities		51,430		(349	)		76,092		(3,925	)		127,522		(4,274	)
Foreign corporate securities		186,212		(1,863	)		149,756		(5,632	)		335,968		(7,495	)
Total fixed maturity securities	$	1,292,542	$	(19,164	)	$	772,190	$	(22,854	)	$	2,064,732	$	(42,018	)
Equity securities		-		-			-		-			-		-
Total	$	1,292,542	$	(19,164	)	$	772,190	$	(22,854	)	$	2,064,732	$	(42,018	)

	Duration of Unrealized Loss at December 31, 2013 By Security Type
	Less than 12 months					Greater than 12 months					Total
			Gross					Gross					Gross
			Unrealized					Unrealized					Unrealized
(Dollars in thousands)	Market Value		Depreciation			Market Value		Depreciation			Market Value		Depreciation
Fixed maturity securities - available for sale
U.S. Treasury securities and obligations of
U.S. government agencies and corporations	$	39,274	$	(302	)	$	8,751	$	(644	)	$	48,025	$	(946	)
Obligations of U.S. states and political subdivisions		92,760		(4,852	)		39,689		(4,170	)		132,449		(9,022	)
Corporate securities		388,721		(8,981	)		56,156		(3,512	)		444,877		(12,493	)
Asset-backed securities		-		-			-		-			-		-
Mortgage-backed securities
Commercial		-		-			-		-			-		-
Agency residential		381,149		(14,084	)		131,504		(4,437	)		512,653		(18,521	)
Non-agency residential		-		-			202		(33	)		202		(33	)
Foreign government securities		100,984		(5,255	)		29,174		(2,686	)		130,158		(7,941	)
Foreign corporate securities		321,933		(11,394	)		66,715		(4,205	)		388,648		(15,599	)
Total fixed maturity securities	$	1,324,821	$	(44,868	)	$	332,191	$	(19,687	)	$	1,657,012	$	(64,555	)
Equity securities		13		(2	)		-		-			13		(2	)
Total	$	1,324,834	$	(44,870	)	$	332,191	$	(19,687	)	$	1,657,025	$	(64,557	)

Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Contractual Maturity

	Duration of Unrealized Loss at September 30, 2014 By Maturity
	Less than 12 months					Greater than 12 months					Total
			Gross					Gross					Gross
			Unrealized					Unrealized					Unrealized
(Dollars in thousands)	Market Value		Depreciation			Market Value		Depreciation			Market Value		Depreciation
Fixed maturity securities
Due in one year or less	$	8,185	$	(37	)	$	69,568	$	(5,163	)	$	77,753	$	(5,200	)
Due in one year through five years		714,621		(10,537	)		274,095		(7,104	)		988,716		(17,641	)
Due in five years through ten years		464,811		(7,784	)		85,723		(2,579	)		550,534		(10,363	)
Due after ten years		28,776		(610	)		43,575		(1,274	)		72,351		(1,884	)
Asset-backed securities		30,208		(87	)		-		-			30,208		(87	)
Mortgage-backed securities		45,941		(109	)		299,229		(6,734	)		345,170		(6,843	)
Total fixed maturity securities	$	1,292,542	$	(19,164	)	$	772,190	$	(22,854	)	$	2,064,732	$	(42,018	)

	Duration of Unrealized Loss at December 31, 2013 By Maturity
	Less than 12 months					Greater than 12 months					Total
			Gross					Gross					Gross
			Unrealized					Unrealized					Unrealized
(Dollars in thousands)	Market Value		Depreciation			Market Value		Depreciation			Market Value		Depreciation
Fixed maturity securities
Due in one year or less	$	17,315	$	(1,273	)	$	31,679	$	(4,132	)	$	48,994	$	(5,405	)
Due in one year through five years		425,627		(8,982	)		111,150		(5,647	)		536,777		(14,629	)
Due in five years through ten years		312,341		(10,408	)		14,865		(663	)		327,206		(11,071	)
Due after ten years		188,389		(10,121	)		42,791		(4,775	)		231,180		(14,896	)
Asset-backed securities		-		-			-		-			-		-
Mortgage-backed securities		381,149		(14,084	)		131,706		(4,470	)		512,855		(18,554	)
Total fixed maturity securities	$	1,324,821	$	(44,868	)	$	332,191	$	(19,687	)	$	1,657,012	$	(64,555	)

Summary Of Components Of Net Investment Income


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in thousands)	2014			2013			2014			2013
Fixed maturities	$	52,515		$	52,098		$	157,515		$	159,363
Equity securities		7,966			8,390			26,083			27,235
Short-term investments and cash		196			302			841			705
Other invested assets
Limited partnerships		19,254			6,569			18,862			32,109
Dividends from Parent's shares		7,290			4,666			21,870			13,997
Other		869			1,056			3,220			5,311
Gross investment income before adjustments		88,090			73,081			228,391			238,720
Funds held interest income (expense)		970			746			4,262			4,182
Gross investment income		89,060			73,827			232,653			242,902
Investment expenses		(5,614	)		(4,999	)		(16,784	)		(15,469	)
Net investment income	$	83,446		$	68,828		$	215,869		$	227,433

Summary Of Components Of Net Realized Capital Gains (Losses)


	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(Dollars in thousands)	2014			2013		2014			2013
Fixed maturity securities, market value:
Other-than-temporary impairments	$	-		$	-	$	(199	)	$	-
Gains (losses) from sales		1,070			1,730		(1,855	)		4,062
Fixed maturity securities, fair value:
Gain (losses) from sales		82			37		1,022			127
Gains (losses) from fair value adjustments		(938	)		578		(938	)		(1,004	)
Equity securities, fair value:
Gains (losses) from sales		(2,589	)		1,594		(2,204	)		25,565
Gains (losses) from fair value adjustments		(12,559	)		37,789		65,399			160,323
Other invested assets, fair value:
Gains (losses) from fair value adjustments		14,775			166,697		59,681			344,670
Short-term investment gains (losses)		(1	)		1		(2	)		15
Total net realized capital gains (losses)	$	(160	)	$	208,426	$	120,904		$	533,758

Summary Of Gross Gains (Losses) From Sales Of Fixed Maturity And Equity Securities


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in thousands)	2014			2013			2014			2013
Proceeds from sales of fixed maturity securities	$	222,915		$	125,516		$	571,537		$	483,482
Gross gains from sales		4,408			3,446			10,698			12,123
Gross losses from sales		(3,256	)		(1,679	)		(11,531	)		(7,934	)

Proceeds from sales of equity securities	$	111,684		$	95,174		$	404,627		$	450,020
Gross gains from sales		1,697			3,746			12,019			33,151
Gross losses from sales		(4,286	)		(2,152	)		(14,223	)		(7,586	)

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

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