XML 26 R14.htm IDEA: XBRL DOCUMENT
v3.5.0.2

Fair Value Measurements | 9 Months Ended
--- | ---
Sep. 30, 2016
Fair Value Disclosures [Abstract] |
Fair Value Measurements | Fair Value Measurements The following table presents the carrying amounts and estimated fair values of our financial instruments as of September 30, 2016 and December 31, 2015:
|  | September 30, 2016 |  | December 31, 2015
($ in thousands) |  | Carrying Amount |  | Fair Value |  | Carrying Amount |  | Fair Value
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |
HTM |  | $ | 130,472 |  |  | 136,094 |  |  | 201,354 |  |  | 209,544 |
AFS |  | 4,832,532 |  |  | 4,832,532 |  |  | 4,408,203 |  |  | 4,408,203 |
Equity securities, AFS |  | 147,304 |  |  | 147,304 |  |  | 207,051 |  |  | 207,051 |
Short-term investments |  | 169,604 |  |  | 169,604 |  |  | 194,819 |  |  | 194,819 |
Financial Liabilities |  |  |  |  |  |  |  |  |  |  |  |
Short-term debt: |  |  |  |  |  |  |  |  |  |  |  |
0.63% borrowings from FHLBI |  | $ | — |  |  | — |  |  | 15,000 |  |  | 14,977 |
1.25% borrowings from FHLBI |  | 45,000 |  |  | 45,072 |  |  | 45,000 |  |  | 45,083 |
Total short-term debt |  | $ | 45,000 |  |  | 45,072 |  |  | 60,000 |  |  | 60,060 |
Long-term debt: |  |  |  |  |  |  |  |
7.25% Senior Notes |  | $ | 49,900 |  |  | 60,682 |  |  | 49,898 |  |  | 56,929 |
6.70% Senior Notes |  | 99,426 |  |  | 118,192 |  |  | 99,415 |  |  | 110,363 |
5.875% Senior Notes |  | 185,000 |  |  | 194,324 |  |  | 185,000 |  |  | 192,474 |
1.61% borrowings from FHLBNY |  | 25,000 |  |  | 25,048 |  |  | — |  |  | — |
1.56% borrowings from FHLBNY |  | 25,000 |  |  | 24,990 |  |  | — |  |  | — |
Subtotal long-term debt |  | 384,326 |  |  | 423,236 |  |  | 334,313 |  |  | 359,766 |
Unamortized debt issuance costs |  | (5,775 | ) |  |  |  | (6,121 | ) |  |
Total long-term debt |  | $ | 378,551 |  |  |  |  | 328,192 |  |  |
For a discussion of the fair value and hierarchy of the techniques used to value our financial assets and liabilities, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2015 Annual Report. The following tables provide quantitative disclosures of our financial assets that were measured at fair value at September 30, 2016 and December 31, 2015:
September 30, 2016 |  |  |  | Fair Value Measurements Using
($ in thousands) |  | Assets Measured at Fair Value at 9/30/2016 |  | Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1)1 |  | Significant Other Observable Inputs (Level 2)1 |  | Significant Unobservable Inputs (Level 3)
Description |  |  |  |  |  |  |  |  |  |  |  |
Measured on a recurring basis: |  |  |  |  |  |  |  |  |  |  |  |
AFS fixed income securities: |  |  |  |  |  |  |  |
U.S. government and government agencies |  | $ | 89,891 |  |  | 35,147 |  |  | 54,744 |  |  | — |
Foreign government |  | 9,484 |  |  | — |  |  | 9,484 |  |  | — |
Obligations of states and political subdivisions |  | 1,446,896 |  |  | — |  |  | 1,446,896 |  |  | — |
Corporate securities |  | 2,196,118 |  |  | — |  |  | 2,196,118 |  |  | — |
ABS |  | 284,453 |  |  | — |  |  | 284,453 |  |  | — |
CMBS |  | 266,774 |  |  | — |  |  | 266,774 |  |  | — |
RMBS |  | 538,916 |  |  | — |  |  | 538,916 |  |  | — |
Total AFS fixed income securities |  | 4,832,532 |  |  | 35,147 |  |  | 4,797,385 |  |  | — |
AFS equity securities: |  |  |  |  |  |  |  |
Common stock |  | 135,489 |  |  | 127,813 |  |  | — |  |  | 7,676 |
Preferred stock |  | 11,815 |  |  | 11,815 |  |  | — |  |  | — |
Total AFS equity securities |  | 147,304 |  |  | 139,628 |  |  | — |  |  | 7,676 |
Total AFS securities |  | 4,979,836 |  |  | 174,775 |  |  | 4,797,385 |  |  | 7,676 |
Short-term investments |  | 169,604 |  |  | 169,604 |  |  | — |  |  | — |
Total assets measured at fair value |  | $ | 5,149,440 |  |  | 344,379 |  |  | 4,797,385 |  |  | 7,676 |
December 31, 2015 |  |  |  | Fair Value Measurements Using
($ in thousands) |  | Assets Measured at Fair Value at 12/31/2015 |  | Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1)1 |  | Significant Other Observable Inputs (Level 2)1 |  | Significant Unobservable Inputs (Level 3)
Description |  |  |  |  |  |  |  |  |  |  |  |
Measured on a recurring basis: |  |  |  |  |  |  |  |  |  |  |  |
AFS fixed income securities: |  |  |  |  |  |  |  |
U.S. government and government agencies |  | $ | 104,115 |  |  | 42,702 |  |  | 61,413 |  |  | — |
Foreign government |  | 15,181 |  |  | — |  |  | 15,181 |  |  | — |
Obligations of states and political subdivisions |  | 1,359,142 |  |  | — |  |  | 1,359,142 |  |  | — |
Corporate securities |  | 1,900,182 |  |  | — |  |  | 1,900,182 |  |  | — |
ABS |  | 244,154 |  |  | — |  |  | 244,154 |  |  | — |
CMBS |  | 243,592 |  |  | — |  |  | 243,592 |  |  | — |
RMBS |  | 541,837 |  |  | — |  |  | 541,837 |  |  | — |
Total AFS fixed income securities |  | 4,408,203 |  |  | 42,702 |  |  | 4,365,501 |  |  | — |
AFS equity securities: |  |  |  |  |  |  |  |
Common stock |  | 194,789 |  |  | 191,517 |  |  | — |  |  | 3,272 |
Preferred stock |  | 12,262 |  |  | 12,262 |  |  | — |  |  | — |
Total AFS equity securities |  | 207,051 |  |  | 203,779 |  |  | — |  |  | 3,272 |
Total AFS securities |  | 4,615,254 |  |  | 246,481 |  |  | 4,365,501 |  |  | 3,272 |
Short-term investments |  | 194,819 |  |  | 194,819 |  |  | — |  |  | — |
Total assets measured at fair value |  | $ | 4,810,073 |  |  | 441,300 |  |  | 4,365,501 |  |  | 3,272 |
1 | There were no transfers of securities between Level 1 and Level 2.
The following table provides a summary of the changes in the fair value of securities measured using Level 3 inputs and related quantitative information for the nine-month period ended September 30, 2016:
September 30, 2016 | Common Stock
($ in thousands)
Fair value, December 31, 2015 | $ | 3,272 |
Total net (losses) gains for the period included in: |
OCI | — |
Net income | — |
Purchases | 6,204 |
Sales | (1,800 | )
Issuances | — |
Settlements | — |
Transfers into Level 3 | — |
Transfers out of Level 3 | — |
Fair value, September 30, 2016 | $ | 7,676 |
The following tables provide quantitative information regarding our financial assets and liabilities that were disclosed at fair value at September 30, 2016 and December 31, 2015:
September 30, 2016 |  |  |  | Fair Value Measurements Using
($ in thousands) |  | Assets/ Liabilities Disclosed at Fair Value at 9/30/2016 |  | Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) |  | Significant Other Observable Inputs (Level 2) |  | Significant Unobservable Inputs (Level 3)
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |
HTM: |  |  |  |  |  |  |  |  |  |  |  |
Obligations of states and political subdivisions |  | $ | 107,829 |  |  | — |  |  | 107,829 |  |  | — |
Corporate securities |  | 25,851 |  |  | — |  |  | 18,160 |  |  | 7,691 |
ABS |  | 51 |  |  | — |  |  | 51 |  |  | — |
CMBS |  | 2,363 |  |  | — |  |  | 2,363 |  |  | — |
Total HTM fixed income securities |  | $ | 136,094 |  |  | — |  |  | 128,403 |  |  | 7,691 |
Financial Liabilities |  |  |  |  |  |  |  |  |  |  |  |
Short-term debt: |  |  |  |  |  |  |  |  |  |  |  |
1.25% borrowings from FHLBI |  | $ | 45,072 |  |  | — |  |  | 45,072 |  |  | — |
Total short-term debt |  | $ | 45,072 |  |  | — |  |  | 45,072 |  |  | — |
Long-term debt: |  |  |  |  |  |  |  |
7.25% Senior Notes |  | $ | 60,682 |  |  | — |  |  | 60,682 |  |  | — |
6.70% Senior Notes |  | 118,192 |  |  | — |  |  | 118,192 |  |  | — |
5.875% Senior Notes |  | 194,324 |  |  | 194,324 |  |  | — |  |  | — |
1.61% borrowings from FHLBNY |  | 25,048 |  |  | — |  |  | 25,048 |  |  | — |
1.56% borrowings from FHLBNY |  | 24,990 |  |  | — |  |  | 24,990 |  |  | — |
Total long-term debt |  | $ | 423,236 |  |  | 194,324 |  |  | 228,912 |  |  | — |
December 31, 2015 |  |  |  | Fair Value Measurements Using
($ in thousands) |  | Assets/ Liabilities Disclosed at Fair Value at 12/31/2015 |  | Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) |  | Significant Other Observable Inputs (Level 2) |  | Significant Unobservable Inputs (Level 3)
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |
HTM: |  |  |  |  |  |  |  |  |  |  |
Obligations of states and political subdivisions |  | $ | 181,880 |  |  | — |  |  | 181,880 |  |  | — |
Corporate securities |  | 22,015 |  |  | — |  |  | 18,679 |  |  | 3,336 |
ABS |  | 1,028 |  |  | — |  |  | 1,028 |  |  | — |
CMBS |  | 4,621 |  |  | — |  |  | 4,621 |  |  | — |
Total HTM fixed income securities |  | $ | 209,544 |  |  | — |  |  | 206,208 |  |  | 3,336 |
Financial Liabilities |  |  |  |  |  |  |  |  |
Short-term debt: |  |  |  |  |  |  |  |  |
0.63% borrowings from FHLBI |  | $ | 14,977 |  |  | — |  |  | 14,977 |  |  | — |
1.25% borrowings from FHLBI |  | 45,083 |  |  | — |  |  | 45,083 |  |  | — |
Total short-term debt |  | $ | 60,060 |  |  | — |  |  | 60,060 |  |  | — |
Long-term debt: |  |  |  |  |  |  |  |
7.25% Senior Notes |  | $ | 56,929 |  |  | — |  |  | 56,929 |  |  | — |
6.70% Senior Notes |  | 110,363 |  |  | — |  |  | 110,363 |  |  | — |
5.875% Senior Notes |  | 192,474 |  |  | 192,474 |  |  | — |  |  | — |
Total long-term debt |  | $ | 359,766 |  |  | 192,474 |  |  | 167,292 |  |  | — |

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

X
- Definition The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14064-108612 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 21 -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13537-108611 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 16 -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13504-108611 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13433-108611 + Details
Name: | us-gaap_FairValueDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration