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Fair Value (Tables)
 9 Months Ended
Sep. 30, 2020
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Measurements on a Recurring Basis by Asset Class and Level of Input
The following tables present our fair value measurements on a recurring basis by asset class and level of input as of: 
September 30, 2020
(in thousands)TotalLevel 1Level 2Level 3
Available-for-sale securities:
Corporate debt securities$547,877 $2,689 $538,158 $7,030 
Residential mortgage-backed securities123,726 0 112,880 10,846 
Commercial mortgage-backed securities113,214 0 62,981 50,233 
Collateralized debt obligations106,921 0 106,921 0 
Other debt securities16,316 0 16,316 0 
Total available-for-sale securities908,054 2,689 837,256 68,109 
Equity securities - nonredeemable preferred stock:
Financial services sector78,453 23,770 52,543 2,140 
Utilities sector9,250 4,639 4,611 0 
Communications sector2,623 2,623 0 0 
Consumer sector2,269 419 985 865 
Energy sector1,067 0 1,067 0 
Industrial sector773 773 0 0 
Total equity securities94,435 32,224 59,206 3,005 
Total$1,002,489 $34,913 $896,462 $71,114 

December 31, 2019
(in thousands)TotalLevel 1Level 2Level 3
Available-for-sale securities:
Corporate debt securities$454,880 $2,683 $443,873 $8,324 
Residential mortgage-backed securities125,343 0 125,343 0 
Commercial mortgage-backed securities67,541 0 64,220 3,321 
Collateralized debt obligations77,856 0 77,856 0 
Other debt securities5,081 0 5,081 0 
Total available-for-sale securities730,701 2,683 716,373 11,645 
Equity securities - nonredeemable preferred and common stock:
Financial services sector53,513 14,927 38,586 0 
Utilities sector6,818 3,190 3,628 0 
Communications sector3,433 3,433 0 0 
Energy sector1,881 0 1,881 0 
Industrial sector980 0 980 0 
Consumer sector508 0 508 0 
Total equity securities67,133 21,550 45,583 0 
Total$797,834 $24,233 $761,956 $11,645 
Schedule of Roll Forward of Level 3 Fair Value Measurements on a Recurring Basis
Level 3 Assets – 2020 Quarterly Change:

(in thousands) 		Beginning balance at June 30, 2020
Included in earnings(1)
Included
in other
comprehensive
income		PurchasesSales
Transfers into
Level 3(2)
Transfers out of Level 3(2)
Ending balance at September 30, 2020
Available-for-sale securities:        
Corporate debt securities$4,916 $4 $157 $2,258 $(198)$1,644 $(1,751)$7,030 
Residential mortgage-backed securities 0 0 0 287 0 10,559 0 10,846 
Commercial mortgage-backed securities 18,066 (47)351 2,077 0 29,786 0 50,233 
Collateralized debt obligations 259 0 (9)0 0 0 (250)0 
Total available-for-sale securities23,241 (43)499 4,622 (198)41,989 (2,001)68,109 
Nonredeemable preferred stock795 194 0 2,016 0 0 0 3,005 
Total Level 3 securities$24,036 $151 $499 $6,638 $(198)$41,989 $(2,001)$71,114 


Level 3 Assets – 2020 Year-to-Date Change:
(in thousands)Beginning balance at December 31, 2019
Included in earnings(1)
Included
in other
comprehensive
income		PurchasesSales
Transfers into
Level 3(2)
Transfers out of Level 3(2)
Ending balance at September 30, 2020
Available-for-sale securities:
Corporate debt securities$8,324 $9 $(354)$4,759 $(740)$9,681 $(14,649)$7,030 
Residential mortgage-backed securities0 0 0 287 0 10,559 0 10,846 
Commercial mortgage-backed securities3,321 (89)471 9,281 (287)38,677 (1,141)50,233 
Collateralized debt obligations0 0 3 247 0 0 (250)0 
Total available-for-sale securities11,645 (80)120 14,574 (1,027)58,917 (16,040)68,109 
Nonredeemable preferred stock0 169 0 2,836 0 0 0 3,005 
Total Level 3 securities$11,645 $89 $120 $17,410 $(1,027)$58,917 $(16,040)$71,114 


Level 3 Assets – 2019 Quarterly Change:
(in thousands)Beginning balance at June 30, 2019
Included in earnings(1)
Included
in other
comprehensive
income		PurchasesSales
Transfers into
Level 3(2)
Transfers out of Level 3(2)
Ending balance at September 30, 2019
Available-for-sale securities:
Corporate debt securities$6,373 $16 $(92)$549 $(507)$1,850 $(1,131)$7,058 
Commercial mortgage-backed securities2,551 (6)2 0 (3)2,846 (683)4,707 
Collateralized debt obligations0 0 0 2,300 0 0 0 2,300 
Total Level 3 available-for-sale securities$8,924 $10 $(90)$2,849 $(510)$4,696 $(1,814)$14,065 
Level 3 Assets – 2019 Year-to-Date Change:
(in thousands)Beginning balance at December 31, 2018
Included in earnings(1)
Included
in other
comprehensive
income		PurchasesSales
Transfers into
Level 3(2)
Transfers out of Level 3(2)
Ending balance at September 30, 2019
Available-for-sale securities:
Corporate debt securities$12,577 $7 $199 $1,283 $(6,779)$9,244 $(9,473)$7,058 
Residential mortgage-backed securities0 4 15 921 (32)0 (908)0 
Commercial mortgage-backed securities0 7 (6)478 (1,068)6,103 (807)4,707 
Collateralized debt obligations0 0 0 2,300 0 0 0 2,300 
Total Level 3 available-for-sale securities$12,577 $18 $208 $4,982 $(7,879)$15,347 $(11,188)$14,065 
(1)These amounts are reported as net investment income and net realized investment gains (losses) for each of the periods presented above.
(2)Transfers into and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs.
Schedule of Financial Instruments Not Carried at Fair Value
The following table presents the carrying values and fair values of financial instruments categorized as Level 3 in the fair value
hierarchy that are recorded at carrying value as of:
September 30, 2020December 31, 2019
(in thousands)Carrying valueFair valueCarrying valueFair value
Agent loans (1)
$64,852 $66,345 $67,696 $71,602 
Long-term borrowings (2)
96,610 116,865 98,080 101,888 
(1)The discount rate used to calculate fair value at September 30, 2020 is reflective of an increase in the BB+ financial yield curve due to the market volatility resulting from the COVID-19 pandemic.
(2)The discount rate used to calculate fair value at September 30, 2020 is reflective of a decline in U.S. Treasury bond yields due to the market volatility resulting from the COVID-19 pandemic.