XML 24 R15.htm IDEA: XBRL DOCUMENT
v3.22.2.2

Investments in Equity Securities | 9 Months Ended
--- | ---
Sep. 30, 2022
Debt Securities, Available-for-sale [Line Items] |
Investments in Equity Securities | Investments in Fixed Maturity Securities At September 30, 2022 and December 31, 2021, investments in fixed maturity securities were as follows:
(In thousands) | Amortized Cost |  | Allowance for Expected Credit Losses (1) |  | Gross Unrealized |  | Fair Value |  | Carrying Value
Gains |  | Losses |
September 30, 2022 |  |  |  |  |  |  |  |  |  |  |
Held to maturity: |  |  |  |  |  |  |  |  |  |  |
State and municipal | $ | 47,139 |  |  | $ | (121) |  |  | $ | 3,522 |  |  | $ | — |  |  | $ | 50,540 |  |  | $ | 47,018 |
Residential mortgage-backed | 3,816 |  |  | — |  |  | 28 |  |  | — |  |  | 3,844 |  |  | 3,816 |
Total held to maturity | 50,955 |  |  | (121) |  |  | 3,550 |  |  | — |  |  | 54,384 |  |  | 50,834 |
Available for sale: |  |  |  |  |  |  |  |  |  |  |
U.S. government and government agency | 937,214 |  |  | — |  |  | 2,185 |  |  | (68,807) |  |  | 870,592 |  |  | 870,592 |
State and municipal: |  |  |  |  |  |  |  |  |  |  |
Special revenue | 1,877,116 |  |  | — |  |  | 3,235 |  |  | (128,427) |  |  | 1,751,924 |  |  | 1,751,924 |
State general obligation | 366,596 |  |  | — |  |  | 1,907 |  |  | (22,956) |  |  | 345,547 |  |  | 345,547 |
Pre-refunded | 156,685 |  |  | — |  |  | 946 |  |  | (200) |  |  | 157,431 |  |  | 157,431 |
Corporate backed | 198,649 |  |  | — |  |  | — |  |  | (13,558) |  |  | 185,091 |  |  | 185,091 |
Local general obligation | 449,975 |  |  | — |  |  | 2,635 |  |  | (19,479) |  |  | 433,131 |  |  | 433,131 |
Total state and municipal | 3,049,021 |  |  | — |  |  | 8,723 |  |  | (184,620) |  |  | 2,873,124 |  |  | 2,873,124 |
Mortgage-backed: |  |  |  |  |  |  |  |  |  |  |
Residential | 1,297,413 |  |  | (21) |  |  | 210 |  |  | (163,514) |  |  | 1,134,088 |  |  | 1,134,088 |
Commercial | 474,049 |  |  | — |  |  | 52 |  |  | (17,164) |  |  | 456,937 |  |  | 456,937 |
Total mortgage-backed | 1,771,462 |  |  | (21) |  |  | 262 |  |  | (180,678) |  |  | 1,591,025 |  |  | 1,591,025 |
Asset-backed | 4,402,479 |  |  | — |  |  | 433 |  |  | (161,474) |  |  | 4,241,438 |  |  | 4,241,438 |
Corporate: |  |  |  |  |  |  |  |  |  |  |
Industrial | 3,408,585 |  |  | (319) |  |  | 1,604 |  |  | (278,084) |  |  | 3,131,786 |  |  | 3,131,786 |
Financial | 2,411,487 |  |  | (660) |  |  | 1,345 |  |  | (142,620) |  |  | 2,269,552 |  |  | 2,269,552 |
Utilities | 499,140 |  |  | (220) |  |  | — |  |  | (40,823) |  |  | 458,097 |  |  | 458,097 |
Other | 357,472 |  |  | — |  |  | 8 |  |  | (12,171) |  |  | 345,309 |  |  | 345,309 |
Total corporate | 6,676,684 |  |  | (1,199) |  |  | 2,957 |  |  | (473,698) |  |  | 6,204,744 |  |  | 6,204,744 |
Foreign government | 1,579,846 |  |  | (33,375) |  |  | 1,395 |  |  | (148,687) |  |  | 1,399,179 |  |  | 1,399,179 |
Total available for sale | 18,416,706 |  |  | (34,595) |  |  | 15,955 |  |  | (1,217,964) |  |  | 17,180,102 |  |  | 17,180,102 |
Total investments in fixed maturity securities | $ | 18,467,661 |  |  | $ | (34,716) |  |  | $ | 19,505 |  |  | $ | (1,217,964) |  |  | $ | 17,234,486 |  |  | $ | 17,230,936 |
____________ (1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.
(In thousands) | Amortized Cost |  | Allowance for Expected Credit Losses (1) |  | Gross Unrealized |  | Fair Value |  | Carrying Value |  |
| Gains |  | Losses |  |
December 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |
Held to maturity: |  |  |  |  |  |  |  |  |  |  |  |  |
State and municipal | $ | 69,539 |  |  | $ | (387) |  |  | $ | 10,813 |  |  | $ | — |  |  | $ | 79,965 |  |  | $ | 69,152 |  |  |
Residential mortgage-backed | 4,829 |  |  | — |  |  | 632 |  |  | — |  |  | 5,461 |  |  | 4,829 |  |  |
Total held to maturity | 74,368 |  |  | (387) |  |  | 11,445 |  |  | — |  |  | 85,426 |  |  | 73,981 |  |  |
Available for sale: |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. government and government agency | 851,128 |  |  | — |  |  | 8,509 |  |  | (4,294) |  |  | 855,343 |  |  | 855,343 |  |  |
State and municipal: |  |  |  |  |  |  |  |  |  |  |  |  |
Special revenue | 2,016,382 |  |  | — |  |  | 62,961 |  |  | (5,706) |  |  | 2,073,637 |  |  | 2,073,637 |  |  |
State general obligation | 388,110 |  |  | — |  |  | 23,152 |  |  | (1,015) |  |  | 410,247 |  |  | 410,247 |  |  |
Pre-refunded | 202,633 |  |  | — |  |  | 14,891 |  |  | (574) |  |  | 216,950 |  |  | 216,950 |  |  |
Corporate backed | 166,943 |  |  | — |  |  | 7,191 |  |  | (1,532) |  |  | 172,602 |  |  | 172,602 |  |  |
Local general obligation | 401,974 |  |  | — |  |  | 29,455 |  |  | (732) |  |  | 430,697 |  |  | 430,697 |  |  |
Total state and municipal | 3,176,042 |  |  | — |  |  | 137,650 |  |  | (9,559) |  |  | 3,304,133 |  |  | 3,304,133 |  |  |
Mortgage-backed: |  |  |  |  |  |  |  |  |  |  |  |  |
Residential | 940,744 |  |  | — |  |  | 9,896 |  |  | (11,321) |  |  | 939,319 |  |  | 939,319 |  |  |
Commercial | 125,709 |  |  | — |  |  | 3,388 |  |  | (341) |  |  | 128,756 |  |  | 128,756 |  |  |
Total mortgage-backed securities | 1,066,453 |  |  | — |  |  | 13,284 |  |  | (11,662) |  |  | 1,068,075 |  |  | 1,068,075 |  |  |
Asset-backed | 4,504,950 |  |  | — |  |  | 4,409 |  |  | (18,794) |  |  | 4,490,565 |  |  | 4,490,565 |  |  |
Corporate: |  |  |  |  |  |  |  |  |  |  |  |  |
Industrial | 3,231,520 |  |  | (16) |  |  | 62,751 |  |  | (21,092) |  |  | 3,273,163 |  |  | 3,273,163 |  |  |
Financial | 1,739,282 |  |  | — |  |  | 30,709 |  |  | (6,591) |  |  | 1,763,400 |  |  | 1,763,400 |  |  |
Utilities | 396,242 |  |  | — |  |  | 13,262 |  |  | (3,202) |  |  | 406,302 |  |  | 406,302 |  |  |
Other | 154,210 |  |  | — |  |  | 125 |  |  | (1,525) |  |  | 152,810 |  |  | 152,810 |  |  |
Total corporate | 5,521,254 |  |  | (16) |  |  | 106,847 |  |  | (32,410) |  |  | 5,595,675 |  |  | 5,595,675 |  |  |
Foreign government | 1,277,109 |  |  | (22,222) |  |  | 7,508 |  |  | (47,494) |  |  | 1,214,901 |  |  | 1,214,901 |  |  |
Total available for sale | 16,396,936 |  |  | (22,238) |  |  | 278,207 |  |  | (124,213) |  |  | 16,528,692 |  |  | 16,528,692 |  |  |
Total investments in fixed maturity securities | $ | 16,471,304 |  |  | $ | (22,625) |  |  | $ | 289,652 |  |  | $ | (124,213) |  |  | $ | 16,614,118 |  |  | $ | 16,602,673 |  |  |
____________ (1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors. The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the nine months ended September 30, 2022 and 2021:
(In thousands) | 2022 |  | 2021
Allowance for expected credit losses, beginning of period | $ | 387 |  |  | $ | 798 |
Provision for expected credit losses | (266) |  |  | (402) |
Allowance for expected credit losses, end of period | $ | 121 |  |  | $ | 396 |
The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended September 30, 2022 and 2021:
(In thousands) | 2022 |  | 2021
Allowance for expected credit losses, beginning of period | $ | 127 |  |  | $ | 453 |
Provision for expected credit losses | (6) |  |  | (57) |
Allowance for expected credit losses, end of period | $ | 121 |  |  | $ | 396 |
The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the nine months ended September 30, 2022 and 2021:
| 2022 |  | 2021
(In thousands) | Foreign Government |  | Corporate |  | Mortgage-backed |  | Total |  | Foreign Government |  | Corporate |  | Total
Allowance for expected credit losses, beginning of period | $ | 22,222 |  |  | $ | 16 |  |  | $ | — |  |  | 22,238 |  |  | $ | 1,264 |  |  | $ | 518 |  |  | $ | 1,782 |
Expected credit losses on securities for which credit losses were not previously recorded | 1,897 |  |  | 1,205 |  |  | 21 |  |  | 3,123 |  |  | 19,072 |  |  | 16 |  |  | 19,088 |
Expected credit losses (gains) on securities for which credit losses were previously recorded | 9,289 |  |  | (22) |  |  | — |  |  | 9,267 |  |  | (2,967) |  |  | (517) |  |  | (3,484) |
Reduction due to disposals | (33) |  |  | — |  |  | — |  |  | (33) |  |  | (494) |  |  | (5) |  |  | (499) |
Allowance for expected credit losses, end of period | $ | 33,375 |  |  | $ | 1,199 |  |  | $ | 21 |  |  | $ | 34,595 |  |  | $ | 16,875 |  |  | $ | 12 |  |  | $ | 16,887 |
During the nine months ended September 30, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to an increase in unrealized losses primarily associated with foreign government securities. During the nine months ended September 30, 2021, the Company increased the allowance for expected credit losses for available for sale securities primarily due to foreign government securities that had no reserve in prior periods. The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended September 30, 2022 and 2021:
| 2022 |  | 2021
(In thousands) | Foreign Government |  | Corporate |  | Mortgage-backed |  | Total |  | Foreign Government |  | Corporate |  | Total
Allowance for expected credit losses, beginning of period | $ | 33,096 |  |  | $ | 182 |  |  | $ | — |  |  | $ | 33,278 |  |  | $ | 18,899 |  |  | $ | 12 |  |  | $ | 18,911 |
Expected credit losses on securities for which credit losses were not previously recorded | — |  |  | 1,023 |  |  | 21 |  |  | 1,044 |  |  | 82 |  |  | — |  |  | 82 |
Expected credit losses (gains) on securities for which credit losses were previously recorded | 279 |  |  | (6) |  |  | — |  |  | 273 |  |  | (2,106) |  |  | — |  |  | (2,106) |
Allowance for expected credit losses, end of period | $ | 33,375 |  |  | $ | 1,199 |  |  | $ | 21 |  |  | $ | 34,595 |  |  | $ | 16,875 |  |  | $ | 12 |  |  | $ | 16,887 |
The amortized cost and fair value of fixed maturity securities at September 30, 2022, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.
(In thousands) | Amortized Cost (1) |  | Fair Value |  |  |  |  |  |  |  |
Due in one year or less | $ | 1,744,722 |  |  | $ | 1,691,497 |  |  |  |  |  |  |  |  |
Due after one year through five years | 8,461,536 |  |  | 7,982,948 |  |  |  |  |  |  |  |  |
Due after five years through ten years | 4,388,799 |  |  | 4,041,900 |  |  |  |  |  |  |  |  |
Due after ten years | 2,097,205 |  |  | 1,923,272 |  |  |  |  |  |  |  |  |
Mortgage-backed securities | 1,775,278 |  |  | 1,594,869 |  |  |  |  |  |  |  |  |
Total | $ | 18,467,540 |  |  | $ | 17,234,486 |  |  |  |  |  |  |  |  |
________________ (1) Amortized cost is reduced by the allowance for expected credit losses of $121 thousand related to held to maturity securities. At September 30, 2022 and December 31, 2021, there were no investments that exceeded 10% of common stockholders' equity, other than investments in United States government and government agency securities.
Arbitrage trading account |
Debt Securities, Available-for-sale [Line Items] |
Investments in Equity Securities | Investments in Equity Securities At September 30, 2022 and December 31, 2021, investments in equity securities were as follows:
(In thousands) | Cost |  | Gross Unrealized |  | Fair Value |  | Carrying Value
Gains |  | Losses |
September 30, 2022 |  |  |  |  |  |  |  |  |
Common stocks | $ | 931,753 |  |  | $ | 109,288 |  |  | $ | (88,672) |  |  | $ | 952,369 |  |  | $ | 952,369 |
Preferred stocks | 259,338 |  |  | 2,376 |  |  | (40,494) |  |  | 221,220 |  |  | 221,220 |
Total | $ | 1,191,091 |  |  | $ | 111,664 |  |  | $ | (129,166) |  |  | $ | 1,173,589 |  |  | $ | 1,173,589 |
December 31, 2021 |  |  |  |  |  |  |  |  |
Common stocks | $ | 619,896 |  |  | $ | 92,401 |  |  | $ | (16,894) |  |  | $ | 695,403 |  |  | $ | 695,403 |
Preferred stocks | 250,149 |  |  | 7,874 |  |  | (12,183) |  |  | 245,840 |  |  | 245,840 |
Total | $ | 870,045 |  |  | $ | 100,275 |  |  | $ | (29,077) |  |  | $ | 941,243 |  |  | $ | 941,243 |

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2176304 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher SEC -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table. + References No definition available. + Details
Name: | us-gaap_ScheduleOfAvailableForSaleSecuritiesLineItems
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Details
Name: | us-gaap_FinancialInstrumentAxis=us-gaap_EquitySecuritiesMember
Namespace Prefix: |
Data Type: | na
Balance Type: |
Period Type: |