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Segment Information | 12 Months Ended
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Dec. 31, 2011
Segment Reporting [Abstract] |
Segment Information | Note 11. Segment Information We have classified our operations into two segments, the disaggregated results of which are reported to and used by senior management to manage our operations: · Insurance Operations, which is evaluated based on statutory underwriting results (net premiums earned, incurred losses and loss expenses, policyholders dividends, policy acquisition costs, and other underwriting expenses), and statutory combined ratios; and · Investments, which is evaluated based on net investment income and net realized gains and losses. Our Insurance Operations segment has historically reflected the results of our standard market insurance products. In 2011, through our acquisition activities, we began writing E&S business. This business does not meet the quantitative thresholds for individual segment reporting as its revenue or income are not more than 10% of the related balances aggregated for all of our segments. As our E&S operations share various economic, regulatory, and production-related characteristics with our standard market insurance products, we have aggregated their results into our Insurance Operations segment. Our standard market Insurance Operations are subject to certain geographic concentrations, particularly in the Northeast and Mid-Atlantic regions of the country. In 2011, approximately 25% of net premiums written were related to insurance policies written in New Jersey. Our Commercial Lines and Personal Lines property and casualty insurance products are primarily sold through independent insurance agents and our E&S business is primarily sold through wholesale general agencies. . Our goodwill balance for our operating segments was $7.8 million at December 31, 2011 and 2010 related to the standard market portion of our Insurance Operations segment. Our segments may, from time-to-time, provide services to each other in the normal course of business. These service transactions included transactions with our discontinued operations, Selective HR, prior to its sale and totaled $9.0 million in 2009. These transactions were eliminated in the 2009 consolidated statements. In computing the results of each segment, we do not make adjustments for interest expense, net general corporate expenses, or federal income taxes. We do not maintain separate investment portfolios for the segments and therefore, do not allocate assets to the segments. The following summaries present revenues from continuing operations (net investment income and net realized losses on investments in the case of the Investments segment) and pre-tax income from continuing operations for the individual segments:
Revenue from Continuing Operations by Segment |  |  |  |  |  |
Years ended December 31, |  |  |  |  |  |
($ in thousands) |  | 2011 |  | 2010 |  | 2009
Insurance Operations: |  |  |  |  |  |
Net premiums earned: |  |  |  |  |  |
Commercial automobile | $ | 279,610 |  | 291,495 |  | 300,562
Workers compensation |  | 259,354 |  | 252,441 |  | 263,490
General liability |  | 344,682 |  | 336,475 |  | 362,479
Commercial property |  | 192,989 |  | 199,252 |  | 197,665
Business owners' policies |  | 66,225 |  | 65,260 |  | 62,638
Bonds |  | 18,910 |  | 19,243 |  | 18,455
Other |  | 13,091 |  | 10,116 |  | 9,663
Total Commercial Lines |  | 1,174,861 |  | 1,174,282 |  | 1,214,952
Personal automobile |  | 148,824 |  | 141,962 |  | 133,320
Homeowners |  | 102,764 |  | 87,862 |  | 73,076
Other |  | 12,864 |  | 12,492 |  | 9,699
Total Personal Lines |  | 264,452 |  | 242,316 |  | 216,095
Total net premiums earned |  | 1,439,313 |  | 1,416,598 |  | 1,431,047
Miscellaneous income |  | 8,069 |  | 9,230 |  | 10,440
Total Insurance Operations revenues |  | 1,447,382 |  | 1,425,828 |  | 1,441,487
Investments: |  |  |  |  |  |
Net investment income |  | 147,443 |  | 145,708 |  | 118,471
Net realized gains (losses) on investments |  | 2,240 |  | (7,083) |  | (45,970)
Total investment revenues |  | 149,683 |  | 138,625 |  | 72,501
Total all segments |  | 1,597,065 |  | 1,564,453 |  | 1,513,988
Other income |  | 410 |  | 168 |  | 30
Total revenues from continuing operations | $ | 1,597,475 |  | 1,564,621 |  | 1,514,018
Income from Continuing Operations, Before Federal Income Tax |  |  |  |  |  |
Years ended December 31, |  |  |  |  |  |
($ in thousands) |  | 2011 |  | 2010 |  | 2009
Insurance Operations: |  |  |  |  |  |
Commercial Lines underwriting | $ | (59,428) |  | (1,668) |  | 14,388
Personal Lines underwriting |  | (47,491) |  | (20,499) |  | (12,003)
Underwriting (loss) income, before federal income tax |  | (106,919) |  | (22,167) |  | 2,385
GAAP combined ratio |  | 107.4 | % | 101.6 | % | 99.8
Statutory combined ratio |  | 106.7 | % | 101.6 | % | 100.5
Investments: |  |  |  |  |  |
Net investment income | $ | 147,443 |  | 145,708 |  | 118,471
Net realized gains (losses) on investments |  | 2,240 |  | (7,083) |  | (45,970)
Total investment income, before federal income tax |  | 149,683 |  | 138,625 |  | 72,501
Total all segments |  | 42,764 |  | 116,458 |  | 74,886
Interest expense |  | (18,259) |  | (18,616) |  | (19,386)
General corporate and other expenses |  | (16,440) |  | (15,886) |  | (16,314)
Income from continuing operations, before federal income tax | $ | 8,065 |  | 81,956 |  | 39,186

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 + Details
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