Fair Value (Tables)

3 Months Ended

Mar. 31, 2014

Fair Value Disclosures [Abstract]

Fair value hierarchy

The following table presents the Company’s financial assets and liabilities measured at fair value by level at March 31, 2014:

			Fair Value Measurement Using:
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets measured at fair value:
Available for sale securities:
Fixed maturities and fixed maturities pledged under securities lending agreements (1):
Corporate bonds	$	2,514,129	$	—	$	2,514,129	$	—
Mortgage backed securities	1,087,840		—		1,087,840		—
Municipal bonds	1,410,043		—		1,410,043		—
Commercial mortgage backed securities	1,023,055		—		1,023,055		—
U.S. government and government agencies	1,153,120		1,153,120		—		—
Non-U.S. government securities	1,114,382		—		1,114,382		—
Asset backed securities	1,573,751		—		1,573,751		—
Total	9,876,320		1,153,120		8,723,200		—
Equity securities	548,168		548,099		69		—
Other investments	426,917		—		322,582		104,335
Short-term investments	1,484,280		1,457,349		26,931		—
Fair value option:
Investments accounted for using the fair value option:
Corporate bonds	353,644		—		353,644		—
Non-U.S. government bonds	63,538		—		63,538		—
Mortgage backed securities	39,644		—		39,644		—
Other investments	799,824		—		380,678		419,146
Total	1,256,650		—		837,504		419,146
Total assets measured at fair value	$	13,592,335	$	3,158,568	$	9,910,286	$	523,481
Liabilities measured at fair value:
Contingent consideration liability	$	43,156	$	—	$	—	$	43,156
Total liabilities measured at fair value	$	43,156	$	—	$	—	$	43,156

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(1) In securities lending transactions, the Company receives collateral in excess of the fair value of the fixed maturities and short-term investments pledged. For purposes of this table, the Company has excluded the collateral received and reinvested and included the fixed maturities and short-term investments pledged.

The following table presents the Company’s financial assets and liabilities measured at fair value by level at December 31, 2013:

			Fair Value Measurement Using:
	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets measured at fair value:
Available for sale securities:
Fixed maturities and fixed maturities pledged under securities lending agreements (1):
Corporate bonds	$	2,267,263	$	—	$	2,265,218	$	2,045
Mortgage backed securities	1,133,095		—		1,133,095		—
Municipal bonds	1,481,738		—		1,481,738		—
Commercial mortgage backed securities	1,074,497		—		1,074,497		—
U.S. government and government agencies	1,301,809		1,301,809		—		—
Non-U.S. government securities	1,085,861		—		1,085,861		—
Asset backed securities	1,332,594		—		1,332,594		—
Total	9,676,857		1,301,809		8,373,003		2,045
Equity securities	496,824		496,738		86		—
Other investments	498,310		—		327,890		170,420
Short-term investments	1,478,367		1,427,744		50,623		—
Fair value option:
Investments accounted for using the fair value option:
Corporate bonds	334,065		—		334,065		—
Non-U.S. government bonds	73,156		—		73,156		—
Mortgage backed securities	41,033		—		41,033		—
Other investments	773,280		—		395,755		377,525
Total	1,221,534		—		844,009		377,525
Total assets measured at fair value	$	13,371,892	$	3,226,291	$	9,595,611	$	549,990

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(1) In securities lending transactions, the Company receives collateral in excess of the fair value of the fixed maturities and short-term investments pledged. For purposes of this table, the Company has excluded the collateral received and reinvested and included the fixed maturities and short-term investments pledged.

Rollforward of Level 3 investments

The following tables present a reconciliation of the beginning and ending balances for all financial assets and liabilities measured at fair value on a recurring basis using Level 3 inputs:

	Fair Value Measurements Using: Significant Unobservable Inputs (Level 3)
	Assets												Liabilities
s	Available-For-Sale						Fair Value Option
	Corporate Bonds			Other Investments			Other Investments			Total			Contingent Consideration Liability
Three Months Ended March 31, 2014
Balance at beginning of period	$	2,045		$	170,420		$	377,525		$	549,990		$	—
Total gains or (losses) (realized/unrealized)
Included in earnings (1)	—			2,275			6,310			8,585			(1,394		)
Included in other comprehensive income	—			(2,196		)	—			(2,196		)	—
Purchases, issuances, sales and settlements
Purchases	—			—			40,110			40,110			—
Issuances	—			—			—			—			(41,762		)
Sales	(2,045		)	(66,164		)	—			(68,209		)	—
Settlements	—			—			(4,799		)	(4,799		)	—
Transfers in and/or out of Level 3	—			—			—			—			—
Balance at end of period	$	—		$	104,335		$	419,146		$	523,481		$	(43,156	)
Three Months Ended March 31, 2013
Balance at beginning of period	$	98,404		$	184,202		$	195,350		$	477,956		$	—
Total gains or (losses) (realized/unrealized)
Included in earnings (1)	1,492			4,762			373			6,627			—
Included in other comprehensive income	(1,688		)	1,912			—			224			—
Purchases, issuances, sales and settlements
Purchases	—			5,000			41,654			46,654			—
Issuances	—			—			—			—			—
Sales	—			—			—			—			—
Settlements	(910		)	(9,942		)	(58,007		)	(68,859		)	—
Transfers in and/or out of Level 3	—			—			—			—			—
Balance at end of period	$	97,298		$	185,934		$	179,370		$	462,602		$	—

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(1) Gains or losses on corporate bonds were included in net realized gains (losses) while gains or losses on other investments were included in net realized gains (losses) or net investment income. Gains or losses on the contingent consideration liability were included in net realized gains (losses).