Fair Value (Tables)

9 Months Ended

Sep. 30, 2023

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, 2023
(in thousands)	Total		Level 1		Level 2		Level 3
Available-for-sale securities:
Corporate debt securities	$	566,967	$	0	$	562,862	$	4,105
Collateralized debt obligations	110,488		0		110,488		0
Commercial mortgage-backed securities	72,032		0		64,625		7,407
Residential mortgage-backed securities	150,394		0		150,389		5
Other debt securities	15,356		0		15,356		0
Total available-for-sale securities	915,237		0		903,720		11,517
Equity securities:
Financial services sector	65,071		796		60,819		3,456
Utilities sector	7,291		0		7,291		0
Energy sector	4,131		0		4,131		0
Consumer sector	2,288		0		2,288		0
Technology sector	500		0		0		500
Industrial sector	177		0		177		0
Communications sector	58		58		0		0
Total equity securities	79,516		854		74,706		3,956
Total	$	994,753	$	854	$	978,426	$	15,473

	December 31, 2022
(in thousands)	Total		Level 1		Level 2		Level 3
Available-for-sale securities:
Corporate debt securities	$	553,382	$	0	$	549,696	$	3,686
Collateralized debt obligations	102,537		0		102,537		0
Commercial mortgage-backed securities	66,054		0		55,144		10,910
Residential mortgage-backed securities	150,415		0		146,231		4,184
Other debt securities	22,273		0		22,273		0
Total available-for-sale securities	894,661		0		875,881		18,780
Equity securities:
Financial services sector	61,084		0		57,305		3,779
Utilities sector	5,708		0		5,708		0
Energy sector	3,576		0		3,576		0
Consumer sector	1,854		0		1,854		0
Communications sector	338		0		338		0
Total equity securities	72,560		0		68,781		3,779
Total	$	967,221	$	0	$	944,662	$	22,559

Schedule of Roll Forward of Level 3 Fair Value Measurements on a Recurring Basis

Level 3 Assets – 2023 Quarterly Change:

(in thousands)	Beginning balance at June 30, 2023		Included in earnings(1)		Included in other comprehensive income (loss)		Purchases		Sales		Transfers into Level 3(2)		Transfers out of Level 3(2)		Ending balance at September 30, 2023
Available-for-sale securities:
Corporate debt securities	$	5,123	$	10	$	123	$	1,661	$	(511)	$	730	$	(3,031)	$	4,105
Commercial mortgage-backed securities	6,533		(182)		(56)		0		(366)		1,478		0		7,407
Residential mortgage- backed securities	12		0		0		0		(7)		0		0		5
Total available-for-sale securities	11,668		(172)		67		1,661		(884)		2,208		(3,031)		11,517
Equity securities	4,730		33		—		1,000		0		0		(1,807)		3,956
Total Level 3 securities	$	16,398	$	(139)	$	67	$	2,661	$	(884)	$	2,208	$	(4,838)	$	15,473

Level 3 Assets – 2023 Year-to-Date Change:

(in thousands)	Beginning balance at December 31, 2022		Included in earnings(1)		Included in other comprehensive income (loss)		Purchases		Sales		Transfers into Level 3(2)		Transfers out of Level 3(2)		Ending balance at September 30, 2023
Available-for-sale securities:
Corporate debt securities	$	3,686	$	(4)	$	245	$	3,193	$	(1,256)	$	3,883	$	(5,642)	$	4,105
Commercial mortgage-backed securities	10,910		(542)		44		1,455		(551)		1,944		(5,853)		7,407
Residential mortgage- backed securities	4,184		(5)		96		0		(115)		33		(4,188)		5
Total available-for-sale securities	18,780		(551)		385		4,648		(1,922)		5,860		(15,683)		11,517
Equity securities	3,779		26		—		1,958		0		0		(1,807)		3,956
Total Level 3 securities	$	22,559	$	(525)	$	385	$	6,606	$	(1,922)	$	5,860	$	(17,490)	$	15,473

Level 3 Assets – 2022 Quarterly Change:

(in thousands)	Beginning balance at June 30, 2022		Included in earnings(1)		Included in other comprehensive income (loss)		Purchases		Sales		Transfers into Level 3(2)		Transfers out of Level 3(2)		Ending balance at September 30, 2022
Available-for-sale securities:
Corporate debt securities	$	6,109	$	(7)	$	(28)	$	753	$	(495)	$	2,899	$	(1,956)	$	7,275
Commercial mortgage-backed securities	8,871		(188)		(413)		0		(660)		1,174		(3,417)		5,367
Residential mortgage- backed securities	42,549		(667)		(1,708)		0		(6,626)		674		(30,560)		3,662
Total available-for-sale securities	57,529		(862)		(2,149)		753		(7,781)		4,747		(35,933)		16,304
Equity securities	1,866		(18)		—		0		0		0		0		1,848
Total Level 3 securities	$	59,395	$	(880)	$	(2,149)	$	753	$	(7,781)	$	4,747	$	(35,933)	$	18,152

Level 3 Assets – 2022 Year-to-Date Change:

(in thousands)	Beginning balance at December 31, 2021		Included in earnings(1)		Included in other comprehensive income (loss)		Purchases		Sales		Transfers into Level 3(2)		Transfers out of Level 3(2)		Ending balance at September 30, 2022
Available-for-sale securities:
Corporate debt securities	$	5,256	$	(2)	$	(417)	$	5,687	$	(3,614)	$	8,673	$	(8,308)	$	7,275
Commercial mortgage-backed securities	15,728		(892)		(1,071)		0		(3,825)		5,509		(10,082)		5,367
Residential mortgage-backed securities	8,814		(643)		(2,042)		4,887		(9,472)		38,214		(36,096)		3,662
Total available-for-sale securities	29,798		(1,537)		(3,530)		10,574		(16,911)		52,396		(54,486)		16,304
Equity securities	2,083		(235)		—		0		0		0		0		1,848
Total Level 3 securities	$	31,881	$	(1,772)	$	(3,530)	$	10,574	$	(16,911)	$	52,396	$	(54,486)	$	18,152

(1)These amounts are reported as net investment income and net realized and unrealized 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, 2023				December 31, 2022
(in thousands)	Carrying value		Fair value		Carrying value		Fair value
Agent loans	$	68,192	$	58,955	$	69,476	$	62,954