Investments (Tables)

9 Months Ended

Sep. 30, 2013

Investments [Abstract]

Summary of available for sale securities

The following is a summary of available-for-sale securities at September 30, 2013 and December 31, 2012:

										Net
			Cost or		Gross		Gross			Unrealized
	Fair		Amortized		Unrealized		Unrealized			Gains
	Value		Cost		Gains		Losses			(Losses)
September 30, 2013
Fixed maturities
U.S. government obligations	$	106,136	$	106,045	$	104	$	(13	)	$	91
Residential mortgage-backed securities		14,654		13,534		1,291		(171	)		1,120
Commercial mortgage-backed securities		27,014		27,077		214		(277	)		(63	)
States and municipal obligations		111,419		111,321		481		(383	)		98
Corporate securities		135,355		134,778		2,788		(2,211	)		577
Foreign government obligations		25,176		24,946		479		(249	)		230
Total fixed maturities		419,754		417,701		5,357		(3,304	)		2,053
Equity securities:
Financial institutions		16,085		7,274		9,015		(204	)		8,811
Industrial & miscellaneous		113,361		62,853		51,811		(1,303	)		50,508
Total equity securities		129,446		70,127		60,826		(1,507	)		59,319
Total	$	549,200	$	487,828	$	66,183	$	(4,811	)		61,372
							Applicable federal income taxes				(21,481	)
							Net unrealized gains - net of tax			$	39,891
December 31, 2012
Fixed maturities
U.S. government obligations	$	70,742	$	70,720	$	43	$	(21	)	$	22
Residential mortgage-backed securities		25,040		23,954		1,218		(132	)		1,086
Commercial mortgage-backed securities		11,828		11,006		849		(27	)		822
State and municipal obligations		194,865		194,258		757		(150	)		607
Corporate securities		120,596		118,574		2,923		(901	)		2,022
Foreign government obligations		22,598		22,047		602		(51	)		551
Total fixed maturities		445,669		440,559		6,392		(1,282	)		5,110
Equity securities:
Financial institutions		12,394		5,925		6,542		(73	)		6,469
Industrial & miscellaneous		95,188		52,202		44,568		(1,582	)		42,986
Total equity securities		107,582		58,127		51,110		(1,655	)		49,455
Total	$	553,251	$	498,686	$	57,502	$	(2,937	)		54,565
							Applicable federal income taxes				(19,098	)
							Net unrealized gains - net of tax			$	35,467

Fixed maturity and equity security investments in unrealized loss position

The following table summarizes, for fixed maturity and equity security investments in an unrealized loss position at September 30, 2013 and December 31, 2012, respectively, the aggregate fair value and gross unrealized loss categorized by the duration those securities have been continuously in an unrealized loss position.

	September 30, 2013							December 31, 2012
	Number of Securities		Fair Value		Gross Unrealized Loss			Number of Securities		Fair Value		Gross Unrealized Loss
Fixed maturity securities:
12 months or less		508	$	109,803	$	(2,573	)		170	$	90,607	$	(483	)
Greater than 12 months		43		15,170		(731	)		58		19,283		(799	)
Total fixed maturities		551		124,973		(3,304	)		228		109,890		(1,282	)
Equity securities:
12 months or less		21		8,355		(1,341	)		20		6,955		(842	)
Greater than 12 months		4		2,773		(166	)		11		6,640		(813	)
Total equity securities		25		11,128		(1,507	)		31		13,595		(1,655	)
Total fixed maturity and equity securities		576	$	136,101	$	(4,811	)		259	$	123,485	$	(2,937	)

Fair value and cost or amortized cost of fixed maturity investments by contractual maturity

The fair value and the cost or amortized costs of fixed maturity investments at September 30, 2013, by contractual maturity, are shown below.  Actual maturities may ultimately differ from contractual maturities because borrowers have, in some cases, the right to call or prepay obligations with or without call or prepayment penalties. Pre-refunded municipal bonds are classified based on their pre-refunded call dates.

	Fair Value		Cost or Amortized Cost
One year or less	$	66,609	$	66,049
Excess of one year to five years		233,763		233,951
Excess of five years to ten years		43,522		42,931
Excess of ten years		6,086		5,829
Contractual maturities		349,980		348,760
Asset-backed securities		69,774		68,941
Total	$	419,754	$	417,701

Realized gains (losses) on investments

Following is a summary of the components of net realized gains on investments for the periods presented in the accompanying consolidated statements of operations.

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2013			2012			2013			2012
Fixed maturities:
Gross gains	$	2,043		$	1,508		$	5,695		$	2,850
Gross losses		(1,277	)		(801	)		(3,497	)		(2,952	)
Net realized gains (losses)		766			707			2,198			(102	)
Equity securities:
Gross gains		1,233			2,132			13,838			2,807
Gross losses		(358	)		(353	)		(1,767	)		(828	)
Net realized gains		875			1,779			12,071			1,979
Limited partnerships - net gain (loss)		(211	)		6,295			2,227			6,832
Totals	$	1,430		$	8,781		$	16,496		$	8,709

Schedule of realized gains

Net realized gains activity for investments, as shown in the previous table, are further detailed as follows:

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2013			2012			2013			2012
Realized net gains on the disposal of securities	$	1,090		$	1,659		$	11,888		$	1,454
Mark-to-market adjustment		342			456			747			144
Equity in gains (losses) of limited partnership
investments - realized and unrealized		(211	)		6,295			2,227			6,832
Impairment:
Write-downs based upon objective criteria		(4	)		(411	)		(78	)		(756	)
Recovery of prior write-downs
upon sale or disposal		213			782			1,712			1,035
Totals	$	1,430		$	8,781		$	16,496		$	8,709