XML 29 R17.htm IDEA: XBRL DOCUMENT
v3.7.0.1

Segment Information | 6 Months Ended
--- | ---
Jun. 30, 2017
Segment Reporting [Abstract] |
Segment Information | Segment Information The disaggregated results of our four reportable segments are used by senior management to manage our operations. These reportable segments are evaluated as follows:
• | Our Standard Commercial Lines, Standard Personal Lines, and Excess and Surplus ("E&S") Lines are evaluated based on statutory underwriting results (net premiums earned, incurred losses and loss expenses, policyholder dividends, policy acquisition costs, and other underwriting expenses), and statutory combined ratios.
• | Our Investments segment is evaluated based on after-tax net investment income and net realized gains and losses.
In computing the results of each segment, we do not make adjustments for interest expense or net general corporate expenses; however, we do partially allocate taxes to various segments. Furthermore, we do not maintain separate investment portfolios for the segments and therefore, do not allocate assets to the segments. The following summaries present revenues (net investment income and net realized gains on investments in the case of the Investments segment) and pre-tax income for the individual segments:
Revenue by Segment |  | Quarter ended June 30, |  | Six Months ended June 30,
($ in thousands) |  | 2017 |  | 2016 |  | 2017 |  | 2016
Standard Commercial Lines: |  |  |  |  |  |  |  |  |  |
Net premiums earned: |  |  |  |  |  |  |  |  |  |
Commercial automobile |  | $ | 108,316 |  |  | 98,896 |  |  | 215,445 |  |  | 194,315 |
Workers compensation |  | 79,460 |  |  | 75,251 |  |  | 158,786 |  |  | 151,251 |
General liability |  | 141,503 |  |  | 129,283 |  |  | 281,487 |  |  | 257,368 |
Commercial property |  | 78,052 |  |  | 73,591 |  |  | 154,443 |  |  | 143,769 |
Businessowners’ policies |  | 24,989 |  |  | 24,651 |  |  | 49,834 |  |  | 48,555 |
Bonds |  | 6,986 |  |  | 5,665 |  |  | 13,484 |  |  | 11,129 |
Other |  | 4,288 |  |  | 3,940 |  |  | 8,529 |  |  | 7,779 |
Miscellaneous income |  | 3,016 |  |  | 3,567 |  |  | 5,876 |  |  | 4,257 |
Total Standard Commercial Lines revenue |  | 446,610 |  |  | 414,844 |  |  | 887,884 |  |  | 818,423 |
Standard Personal Lines: |  |  |  |  |  |  |  |
Net premiums earned: |  |  |  |  |  |  |  |
Personal automobile |  | 37,663 |  |  | 35,881 |  |  | 74,613 |  |  | 71,661 |
Homeowners |  | 32,467 |  |  | 33,411 |  |  | 65,167 |  |  | 66,311 |
Other |  | 1,542 |  |  | 1,532 |  |  | 3,093 |  |  | 3,057 |
Miscellaneous income |  | 275 |  |  | 301 |  |  | 656 |  |  | 561 |
Total Standard Personal Lines revenue |  | 71,947 |  |  | 71,125 |  |  | 143,529 |  |  | 141,590 |
E&S Lines: |  |  |  |  |  |  |  |
Net premiums earned: |  |  |  |  |  |  |  |
Commercial liability |  | 39,054 |  |  | 36,940 |  |  | 76,966 |  |  | 73,796 |
Commercial property |  | 13,710 |  |  | 12,891 |  |  | 27,037 |  |  | 25,399 |
Miscellaneous income |  | — |  |  | — |  |  | — |  |  | 1 |
Total E&S Lines revenue |  | 52,764 |  |  | 49,831 |  |  | 104,003 |  |  | 99,196 |
Investments: |  |  |  |  |  |  |  |  |  |  |  |
Net investment income |  | 41,430 |  |  | 31,182 |  |  | 78,849 |  |  | 61,951 |
Net realized investment gains (losses) |  | 1,734 |  |  | 1,765 |  |  | 689 |  |  | (939 | )
Total Investments revenue |  | 43,164 |  |  | 32,947 |  |  | 79,538 |  |  | 61,012 |
Total revenues |  | $ | 614,485 |  |  | 568,747 |  |  | 1,214,954 |  |  | 1,120,221 |
Income Before Federal Income Tax |  | Quarter ended June 30, |  | Six Months ended June 30,
($ in thousands) |  | 2017 |  | 2016 |  | 2017 |  | 2016
Standard Commercial Lines: |  |  |  |  |  |  |  |  |  |
Underwriting gain |  | $ | 34,759 |  |  | 40,173 |  |  | 77,305 |  |  | 71,105 |
GAAP combined ratio |  | 92.2 | % |  | 90.2 |  |  | 91.2 |  |  | 91.3 |
Statutory combined ratio |  | 90.6 |  |  | 88.6 |  |  | 89.5 |  |  | 89.1 |
Standard Personal Lines: |  |  |  |  |  |  |  |
Underwriting (loss) gain |  | $ | (5,768 | ) |  | 6,125 |  |  | (662 | ) |  | 14,730 |
GAAP combined ratio |  | 108.0 | % |  | 91.4 |  |  | 100.5 |  |  | 89.6 |
Statutory combined ratio |  | 105.9 |  |  | 89.9 |  |  | 99.8 |  |  | 90.1 |
E&S Lines: |  |  |  |  |  |  |  |
Underwriting gain (loss) |  | $ | 1,319 |  |  | (2,521 | ) |  | 2,889 |  |  | (1,103 | )
GAAP combined ratio |  | 97.5 | % |  | 105.1 |  |  | 97.2 |  |  | 101.1 |
Statutory combined ratio |  | 97.0 |  |  | 102.7 |  |  | 96.5 |  |  | 100.6 |
Investments: |  |  |  |  |  |  |  |  |  |
Net investment income |  | $ | 41,430 |  |  | 31,182 |  |  | 78,849 |  |  | 61,951 |
Net realized investment losses |  | 1,734 |  |  | 1,765 |  |  | 689 |  |  | (939 | )
Total investment income, before federal income tax |  | 43,164 |  |  | 32,947 |  |  | 79,538 |  |  | 61,012 |
Tax on investment income |  | 11,734 |  |  | 8,275 |  |  | 21,336 |  |  | 14,538 |
Total investment income, after federal income tax |  | $ | 31,430 |  |  | 24,672 |  |  | 58,202 |  |  | 46,474 |
Reconciliation of Segment Results to Income Before Federal Income Tax |  | Quarter ended June 30, |  | Six Months ended June 30,
($ in thousands) |  | 2017 |  | 2016 |  | 2017 |  | 2016
Underwriting gain (loss), before federal income tax |  |  |  |  |  |  |  |
Standard Commercial Lines |  | $ | 34,759 |  |  | 40,173 |  |  | 77,305 |  |  | 71,105 |
Standard Personal Lines |  | (5,768 | ) |  | 6,125 |  |  | (662 | ) |  | 14,730 |
E&S Lines |  | 1,319 |  |  | (2,521 | ) |  | 2,889 |  |  | (1,103 | )
Investment income, before federal income tax |  | 43,164 |  |  | 32,947 |  |  | 79,538 |  |  | 61,012 |
Total all segments |  | 73,474 |  |  | 76,724 |  |  | 159,070 |  |  | 145,744 |
Interest expense |  | (6,081 | ) |  | (5,620 | ) |  | (12,187 | ) |  | (11,226 | )
General corporate and other expenses |  | (8,464 | ) |  | (8,793 | ) |  | (20,380 | ) |  | (20,332 | )
Income, before federal income tax |  | $ | 58,929 |  |  | 62,311 |  |  | 126,503 |  |  | 114,186 |

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

X
- 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 34 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599 Reference 2: 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=68060357&loc=d3e9038-108599 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=68060357&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 12 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599 Reference 5: 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=68060357&loc=d3e8380-108599 Reference 6: 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=68060357&loc=d3e8933-108599 Reference 7: 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=68060357&loc=d3e8844-108599 Reference 8: 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=68060357&loc=d3e8984-108599 Reference 9: 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=68060357&loc=d3e9031-108599 Reference 10: 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=68060357&loc=d3e9054-108599 Reference 11: 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=68060357&loc=d3e8538-108599 Reference 12: 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=68060357&loc=d3e8864-108599 Reference 13: 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=68060357&loc=d3e8924-108599 Reference 14: 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=68060357&loc=d3e8906-108599 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration