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Retirement Plans
 9 Months Ended
Sep. 30, 2012
Compensation and Retirement Disclosure [Abstract]  
Retirement Plans
Retirement Plans
The following tables show the costs of the Retirement Income Plan for Selective Insurance Company of America (“Retirement Income Plan”) and the retirement life insurance component (“Retirement Life Plan”) of the Selective Insurance Company of America Welfare Benefits Plan. For more information concerning these plans, refer to Note 16. “Retirement Plans” in Item 8. “Financial Statements and Supplementary Data.” of our 2011 Annual Report.
 
 
 
Retirement Income Plan
Quarter ended September 30,
 
Retirement Life Plan
Quarter ended September 30,
($ in thousands)
 
2012
 
2011
 
2012
 
2011
Components of Net Periodic Benefit Cost:
 
 

 
 

 
 

 
 

Service cost
 
$
2,154

 
1,894

 
—

 
—

Interest cost
 
3,230

 
3,087

 
73

 
77

Expected return on plan assets
 
(3,547
)
 
(3,482
)
 
—

 
—

Amortization of unrecognized prior service cost
 
38

 
38

 
—

 
—

Amortization of unrecognized net loss
 
1,383

 
1,039

 
8

 
4

Net periodic cost
 
$
3,258

 
2,576

 
81

 
81



 
 
Retirement Income Plan
Nine Months ended September 30,
 
Retirement Life Plan
Nine Months ended September 30,
($ in thousands)
 
2012
 
2011
 
2012
 
2011
Components of Net Periodic Benefit Cost:
 
 

 
 

 
 

 
 

Service cost
 
$
6,462

 
6,241

 
—

 
—

Interest cost
 
9,690

 
9,397

 
221

 
230

Expected return on plan assets
 
(10,641
)
 
(10,445
)
 
—

 
—

Amortization of unrecognized prior service cost
 
113

 
113

 
—

 
—

Amortization of unrecognized net loss
 
4,149

 
3,239

 
23

 
13

Net periodic cost
 
$
9,773

 
8,545

 
244

 
243


Weighted-Average Expense Assumptions for the years ended December 31:
 
 

 
 
 
 

 
 
Discount rate
 
5.16
%
 
5.55
 
5.16
%
 
5.55
Expected return on plan assets
 
7.75
%
 
8.00
 
—

 
—
Rate of compensation increase
 
4.00
%
 
4.00
 
—

 
—

We presently anticipate contributing $8.6 million to the Retirement Income Plan in 2012, $7.1 million of which has been funded as of September 30, 2012.