Reportable Segments

3 Months Ended

Mar. 31, 2013

Reportable Segments [Abstract]

Reportable Segments

(4) Reportable Segments:

The Company has two reportable business segments in its operations:  Property and Casualty Insurance and Reinsurance.

The Property and Casualty Insurance segment provides multiple line insurance coverage primarily to fleet transportation companies as well as to independent contractors who contract with fleet transportation companies.  In addition, the Company provides private passenger automobile products to individuals, and commercial multi-peril and professional liability products on a selective basis.

The Reinsurance segment accepts property and casualty cessions from other insurance companies as well as retrocessions from selected reinsurance companies, principally reinsuring against catastrophes.  In addition, the Reinsurance segment accepts selected professional liability cessions from other insurance companies.
 

Notes to Condensed Unaudited Consolidated Financial Statements (continued)

The following table provides certain revenue and profit and loss information for each reportable segment.  All amounts presented are computed based upon U.S. generally accepted accounting principles.  Segment profit for Property and Casualty Insurance includes the direct marketing agency operations conducted by the parent company for this segment and is computed after elimination of inter-company commissions.

	2013						2012
	Direct and Assumed Premium Written		Net Premium Earned		Segment Profit		Direct and Assumed Premium Written		Net Premium Earned		Segment Profit
Three months ended March 31:
Property and Casualty Insurance	$	70,189	$	47,860	$	5,234	$	75,226	$	47,909	$	6,933
Reinsurance		13,702		13,238		4,770		14,827		13,642		6,137
Totals	$	83,891	$	61,098	$	10,004	$	90,053	$	61,551	$	13,070

The following table reconciles reportable segment income to the Company's consolidated income before federal income taxes.

	Three Months Ended
	March 31
	2013			2012
Profit (Loss):
Segment profit	$	10,004		$	13,070
Net investment income		2,410			2,422
Net gains on investments		14,347			5,381
Corporate expenses		(4,082	)		(3,874	)
Income before federal income taxes	$	22,679		$	16,999

Segment profit includes both net premiums earned and fees and other income associated with the business conducted by the segment.

Management does not identify or allocate assets to reportable segments when evaluating segment performance and depreciation expense is not material for any of the reportable segments.

Notes to Condensed Unaudited Consolidated Financial Statements (continued)