XML 63 R32.htm IDEA: XBRL DOCUMENT
v3.6.0.2

Investments (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2016
Investments [Abstract] |
Amortized cost, gross unrealized gains and losses and fair value of investment portfolio | The amortized cost, gross unrealized gains and losses and fair value of the investment portfolio as of December 31, 2016 and 2015 are shown below:
December 31, 2016
(In thousands) |  | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses (1) |  | Fair Value
U.S. Treasury securities and obligations of U.S. government corporations and agencies |  | $ | 73,847 |  |  | $ | 407 |  |  | $ | (724 | ) |  | $ | 73,530 |
Obligations of U.S. states and political subdivisions |  | 2,147,458 |  |  | 20,983 |  |  | (25,425 | ) |  | 2,143,016 |
Corporate debt securities |  | 1,756,461 |  |  | 6,059 |  |  | (18,610 | ) |  | 1,743,910 |
ABS |  | 59,519 |  |  | 74 |  |  | (28 | ) |  | 59,565 |
RMBS |  | 231,733 |  |  | 102 |  |  | (7,626 | ) |  | 224,209 |
CMBS |  | 327,042 |  |  | 769 |  |  | (7,994 | ) |  | 319,817 |
CLOs |  | 121,151 |  |  | 226 |  |  | (202 | ) |  | 121,175 |
Total debt securities |  | 4,717,211 |  |  | 28,620 |  |  | (60,609 | ) |  | 4,685,222 |
Equity securities |  | 7,144 |  |  | 8 |  |  | (24 | ) |  | 7,128 |
Total investment portfolio |  | $ | 4,724,355 |  |  | $ | 28,628 |  |  | $ | (60,633 | ) |  | $ | 4,692,350 |
December 31, 2015 |  |  |  |  |  |  |  |
(In thousands) |  | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses (1) |  | Fair Value
U.S. Treasury securities and obligations of U.S. government corporations and agencies |  | $ | 160,393 |  |  | $ | 2,133 |  |  | $ | (1,942 | ) |  | $ | 160,584 |
Obligations of U.S. states and political subdivisions |  | 1,766,407 |  |  | 33,410 |  |  | (7,290 | ) |  | 1,792,527 |
Corporate debt securities |  | 2,046,697 |  |  | 2,836 |  |  | (44,770 | ) |  | 2,004,763 |
ABS |  | 116,764 |  |  | 56 |  |  | (203 | ) |  | 116,617 |
RMBS |  | 265,879 |  |  | 161 |  |  | (8,392 | ) |  | 257,648 |
CMBS |  | 237,304 |  |  | 162 |  |  | (3,975 | ) |  | 233,491 |
CLOs |  | 61,345 |  |  | 3 |  |  | (1,148 | ) |  | 60,200 |
Debt securities issued by foreign sovereign governments |  | 29,359 |  |  | 2,474 |  |  | (102 | ) |  | 31,731 |
Total debt securities |  | 4,684,148 |  |  | 41,235 |  |  | (67,822 | ) |  | 4,657,561 |
Equity securities |  | 5,625 |  |  | 38 |  |  | (18 | ) |  | 5,645 |
Total investment portfolio |  | $ | 4,689,773 |  |  | $ | 41,273 |  |  | $ | (67,840 | ) |  | $ | 4,663,206 |
(1) | There were no OTTI losses recorded in other comprehensive (loss) income as of December 31, 2016 and 2015.
Amortized cost and fair values of debt securities by contractual maturity | The amortized cost and fair values of debt securities as of December 31, 2016, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Because most asset-backed and mortgage-backed securities and collateralized loan obligations provide for periodic payments throughout their lives, they are listed below in separate categories.
December 31, 2016 |  |  |  |
(In thousands) |  | Amortized Cost |  | Fair Value
Due in one year or less |  | $ | 433,464 |  |  | $ | 433,770 |
Due after one year through five years |  | 1,211,034 |  |  | 1,212,650 |
Due after five years through ten years |  | 1,157,091 |  |  | 1,139,552 |
Due after ten years |  | 1,176,177 |  |  | 1,174,484 |
|  | 3,977,766 |  |  | 3,960,456 |
ABS |  | 59,519 |  |  | 59,565 |
RMBS |  | 231,733 |  |  | 224,209 |
CMBS |  | 327,042 |  |  | 319,817 |
CLOs |  | 121,151 |  |  | 121,175 |
Total as of December 31, 2016 |  | $ | 4,717,211 |  |  | $ | 4,685,222 |
Aging of the fair values of securities in an unrealized loss position | For those securities in an unrealized loss position, the length of time the securities were in such a position, as measured by their month-end fair values, is as follows:
December 31, 2016 |  | Less Than 12 Months |  | 12 Months or Greater |  | Total
(In thousands) |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses
U.S. Treasury securities and obligations of U.S. government corporations and agencies |  | $ | 48,642 |  |  | $ | (724 | ) |  | $ | — |  |  | $ | — |  |  | $ | 48,642 |  |  | $ | (724 | )
Obligations of U.S. states and political subdivisions |  | 1,136,676 |  |  | (24,918 | ) |  | 13,681 |  |  | (507 | ) |  | 1,150,357 |  |  | (25,425 | )
Corporate debt securities |  | 915,777 |  |  | (16,771 | ) |  | 35,769 |  |  | (1,839 | ) |  | 951,546 |  |  | (18,610 | )
ABS |  | 3,366 |  |  | (28 | ) |  | 656 |  |  | — |  |  | 4,022 |  |  | (28 | )
RMBS |  | 46,493 |  |  | (857 | ) |  | 171,326 |  |  | (6,769 | ) |  | 217,819 |  |  | (7,626 | )
CMBS |  | 205,545 |  |  | (7,529 | ) |  | 38,587 |  |  | (465 | ) |  | 244,132 |  |  | (7,994 | )
CLOs |  | 13,278 |  |  | (73 | ) |  | 34,760 |  |  | (129 | ) |  | 48,038 |  |  | (202 | )
Equity securities |  | 568 |  |  | (15 | ) |  | 137 |  |  | (9 | ) |  | 705 |  |  | (24 | )
Total investment portfolio |  | $ | 2,370,345 |  |  | $ | (50,915 | ) |  | $ | 294,916 |  |  | $ | (9,718 | ) |  | $ | 2,665,261 |  |  | $ | (60,633 | )
December 31, 2015 |  | Less Than 12 Months |  | 12 Months or Greater |  | Total
(In thousands) |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses
U.S. Treasury securities and obligations of U.S. government corporations and agencies |  | $ | 60,548 |  |  | $ | (1,467 | ) |  | $ | 1,923 |  |  | $ | (475 | ) |  | $ | 62,471 |  |  | $ | (1,942 | )
Obligations of U.S. states and political subdivisions |  | 417,615 |  |  | (6,404 | ) |  | 37,014 |  |  | (886 | ) |  | 454,629 |  |  | (7,290 | )
Corporate debt securities |  | 1,470,628 |  |  | (38,519 | ) |  | 114,982 |  |  | (6,251 | ) |  | 1,585,610 |  |  | (44,770 | )
ABS |  | 86,604 |  |  | (173 | ) |  | 5,546 |  |  | (30 | ) |  | 92,150 |  |  | (203 | )
RMBS |  | 35,064 |  |  | (312 | ) |  | 209,882 |  |  | (8,080 | ) |  | 244,946 |  |  | (8,392 | )
CMBS |  | 134,488 |  |  | (2,361 | ) |  | 69,927 |  |  | (1,614 | ) |  | 204,415 |  |  | (3,975 | )
CLOs |  | — |  |  | — |  |  | 51,750 |  |  | (1,148 | ) |  | 51,750 |  |  | (1,148 | )
Debt securities issued by foreign sovereign governments |  | 4,463 |  |  | (102 | ) |  | — |  |  | — |  |  | 4,463 |  |  | (102 | )
Equity securities |  | 355 |  |  | (8 | ) |  | 171 |  |  | (10 | ) |  | 526 |  |  | (18 | )
Total investment portfolio |  | $ | 2,209,765 |  |  | $ | (49,346 | ) |  | $ | 491,195 |  |  | $ | (18,494 | ) |  | $ | 2,700,960 |  |  | $ | (67,840 | )
Net investment income | The source of net investment income is as follows:
(In thousands) |  | 2016 |  | 2015 |  | 2014
Fixed income |  | $ | 112,513 |  |  | $ | 105,882 |  |  | $ | 89,437 |
Equity securities |  | 182 |  |  | 208 |  |  | 227 |
Cash equivalents |  | 754 |  |  | 191 |  |  | 179 |
Other |  | 433 |  |  | 455 |  |  | 711 |
Investment income |  | 113,882 |  |  | 106,736 |  |  | 90,554 |
Investment expenses |  | (3,216 | ) |  | (2,995 | ) |  | (2,907 | )
Net investment income |  | $ | 110,666 |  |  | $ | 103,741 |  |  | $ | 87,647 |
Net realized investment gains (losses), including impairment losses, and change in net unrealized appreciation (depreciation) of investments | The net realized investment gains, including impairment losses, and change in net unrealized gains (losses) of investments are as follows:
(In thousands) |  | 2016 |  | 2015 |  | 2014
Net realized investment gains on investments: |  |  |  |  |  |
Fixed income |  | $ | 5,310 |  |  | $ | 28,335 |  |  | $ | 1,000 |
Equity securities |  | 3,622 |  |  | 26 |  |  | 356 |
Other |  | — |  |  | — |  |  | 1 |
Total net realized investment gains |  | $ | 8,932 |  |  | $ | 28,361 |  |  | $ | 1,357 |
Change in net unrealized gains (losses): |  |  |  |  |  |
Fixed income |  | $ | (5,403 | ) |  | $ | (33,687 | ) |  | $ | 91,718 |
Equity securities |  | (36 | ) |  | (32 | ) |  | 66 |
Other |  | 14 |  |  | 1 |  |  | (4 | )
Total (decrease) increase in net unrealized gains/losses |  | $ | (5,425 | ) |  | $ | (33,718 | ) |  | $ | 91,780 |
Gross realized gains, gross realized losses and impairment losses | The gross realized gains, gross realized losses and impairment losses are as follows:
(In thousands) |  | 2016 |  | 2015 |  | 2014
Gross realized gains |  | $ | 11,909 |  |  | $ | 30,039 |  |  | $ | 4,966 |
Gross realized losses |  | (2,977 | ) |  | (1,678 | ) |  | (3,465 | )
Other-than-temporary-impairment losses |  | — |  |  | — |  |  | (144 | )
Net realized gains on securities |  | $ | 8,932 |  |  | $ | 28,361 |  |  | $ | 1,357 |

X
- Definition Tabular disclosure of investment income, including, but not limited to, interest and dividend income and amortization of discount (premium) derived from debt and equity securities. Excludes realized and unrealized gain (loss) on investments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.9) -URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04.2) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.8) -URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.7(a),(b)) -URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688 + Details
Name: | us-gaap_InvestmentIncomeTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of maturities of an entity's investments as well as any other information pertinent to the investments. + References No definition available. + Details
Name: | us-gaap_InvestmentsClassifiedByContractualMaturityDateTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of realized gains and losses on investments reported in the statement of income. + References No definition available. + Details
Name: | us-gaap_RealizedGainLossOnInvestmentsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation of available-for-sale securities from cost basis to fair value. + References No definition available. + Details
Name: | us-gaap_ScheduleOfAvailableForSaleSecuritiesReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the proceeds from sales of available-for-sale securities and the gross realized gains and gross realized losses that have been included in earnings as a result of those sales. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -SubTopic 10 -Section 50 -Paragraph 9 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=27724398&loc=d3e27357-111563 + Details
Name: | us-gaap_ScheduleOfRealizedGainLossTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition For all investments in an unrealized loss position, including those for which other-than-temporary impairments have not been recognized in earnings (including investments for which a portion of an other-than-temporary impairment has been recognized in other comprehensive income), a tabular disclosure of the aggregate related fair value of investments with unrealized losses and the aggregate amount of unrealized losses (that is, the amount by which amortized cost basis exceeds fair value). + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=27724398&loc=d3e27290-111563 + Details
Name: | us-gaap_ScheduleOfUnrealizedLossOnInvestmentsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration