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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2021

Fair Value Disclosures [Abstract]

Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments

						December 31, 2021												December 31, 2020
($ in thousands)						Carrying Amount						Fair Value						Carrying Amount						Fair Value
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	49,917					63,719						49,914						66,148
6.70% Senior Notes						99,520						127,574						99,499						127,886
5.375% Senior Notes						294,330						395,652						294,241						383,669
1.61% Borrowings from FHLBNY						—						—						25,000						25,182
1.56% Borrowings from FHLBNY						—						—						25,000						25,198
3.03% Borrowings from FHLBI						60,000						64,126						60,000						67,513
Subtotal long-term debt						503,767						651,071						553,654						695,596
Unamortized debt issuance costs						(3,167)												(3,419)
Finance lease obligations						5,450												508
Total long-term debt						$	506,050											$	550,743

Schedule of Quantitative Disclosures of our Financial Assets that were Measured at Fair Value

December 31, 2021												Fair Value Measurements Using
($ in thousands)						Assets Measured at Fair Value						Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs  (Level 3)
Description
Measured on a recurring basis:
AFS fixed income securities:
U.S. government and government agencies						$	130,458					60,615						69,843						—
Foreign government						15,860						—						15,860						—
Obligations of states and political subdivisions						1,189,308						—						1,181,563						7,745
Corporate securities						2,573,603						—						2,459,476						114,127
CLO and other ABS						1,350,814						—						1,225,905						124,909
RMBS						776,252						—						776,007						245
CMBS						673,681						—						669,425						4,256
Total AFS fixed income securities						6,709,976						60,615						6,398,079						251,282
Equity securities:
Common stock1						333,449						249,846						—						—
Preferred stock						2,088						2,088						—						—
Total equity securities						335,537						251,934						—						—
Short-term investments						447,863						442,723						5,140						—
Total assets measured at fair value						$	7,493,376					755,272						6,403,219						251,282

December 31, 2020												Fair Value Measurements Using
($ in thousands)						Assets Measured at Fair Value						Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs  (Level 3)
Description
Measured on a recurring basis:
AFS fixed income securities:
U.S. government and government agencies						$	116,140					40,960						75,180						—
Foreign government						18,366						—						18,366						—
Obligations of states and political subdivisions						1,247,137						—						1,244,243						2,894
Corporate securities						2,328,052						—						2,257,352						70,700
CLO and other ABS						1,026,551						—						970,176						56,375
RMBS						1,051,788						—						1,051,788						—
CMBS						667,894						—						667,894						—
Total AFS fixed income securities						6,455,928						40,960						6,284,999						129,969
Equity securities:
Common stock1						308,632						261,846						—						—
Preferred stock						1,735						1,735						—						—
Total equity securities						310,367						263,581						—						—
Short-term investments						409,852						405,400						4,452						—
Total assets measured at fair value						$	7,176,147					709,941						6,289,451						129,969

1Investments amounting to $83.6 million and $46.8 million at December 31, 2021 and December 31, 2020, respectively, were measured at fair value using the net asset value per share (or its practical expedient) and have not been classified in the fair value hierarchy. These investments are not redeemable and the timing of liquidations of the underlying assets is unknown at each reporting period. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to total assets measured at fair value.

Schedule of Summary of the Changes in Fair Value of Securities Using Level 3 Inputs

2021
($ in thousands)						Obligations of states and political subdivisions												Corporate Securities						CLO and Other ABS						RMBS						CMBS																		Total
Fair value, December 31, 2020						2,894												70,700						56,375						—						—																		129,969
Total net (losses) gains for the period included in:
OCI						(239)												1,636						(520)						—						(196)																		681
Net realized and unrealized (losses) gains						(11)												(50)						(214)						—						5																		(270)
Net investment income earned						—												27						16						—						19																		62
Purchases						—												64,813						76,731						249						98																		141,891
Sales						—												—						—						—						—																		—
Issuances						—												—						—						—						—																		—
Settlements						—												(544)						(5,161)						(4)						(52)																		(5,761)
Transfers into Level 3						5,101												981						11,344						—						4,382																		21,808
Transfers out of Level 3						—												(23,436)						(13,662)						—						—																		(37,098)
Fair value, December 31, 2021						$	7,745											114,127						$	124,909					245						4,256																		251,282
Change in unrealized (losses) gains for the period included in earnings for assets held at period end						(11)												(50)						(214)						—						5																		(270)
Change in unrealized (losses) gains for the period included in OCI for assets held at period end						(239)												1,636						(520)						—						(196)																		681

2020
($ in thousands)						Obligations of states and political subdivisions						Corporate Securities						CLO and Other ABS						Total
Fair value, December 31, 2019						$	—					17,051						17,034						34,085
Total net (losses) gains for the period included in:
OCI						4						(785)						1,883						1,102
Net realized and unrealized gains (losses)						—						(1,046)						(237)						(1,283)
Net investment income earned						—						21						6						27
Purchases						—						46,150						25,785						71,935
Sales						—						—						—						—
Issuances						—						—						—						—
Settlements						—						(283)						(2,638)						(2,921)
Transfers into Level 3						2,890						9,592						31,520						44,002
Transfers out of Level 3						—						—						(16,978)						(16,978)
Fair value, December 31, 2020						$	2,894					70,700						56,375						129,969
Change in unrealized gains (losses) for the period included in earnings for assets held at period end						—						(1,046)						(237)						(1,283)
Change in unrealized gains (losses) for the period included in OCI for assets held at period end						4						(785)						1,883						1,102

Fair Value Measurement Inputs and Valuation Techniques

December 31, 2021

($ in thousands)

Assets Measured at Fair Value

Valuation Techniques

Unobservable Inputs

Range (Weighted Average)

Internal valuations:

Corporate securities

$

54,135

Discounted Cash Flow

Illiquidity Spread

0.3% - 3.0% (1.2)%

CLO and other ABS

34,903

Discounted Cash Flow

Illiquidity Spread

0.7%- 8.0% (2.1)%

Total internal valuations

89,038

Other1

162,244

Total Level 3 securities

$

251,282

December 31, 2020

($ in thousands)

Assets Measured at Fair Value

Valuation Techniques

Unobservable Inputs

Range (Weighted Average)

Internal valuations:

Corporate securities

$

15,907

Discounted Cash Flow

Illiquidity Spread

1.8% - 1.8% (1.8)%

CLO and other ABS

27,005

Discounted Cash Flow

Illiquidity Spread

1.2% - 3.1% (1.8)%

Total internal valuations

42,912

Other1

87,057

Total Level 3 securities

$

129,969

1Other is comprised of broker quotes or other third-party pricing for which there is a lack of transparency as to the inputs used to develop the valuations. The quantitative details of these unobservable inputs is neither provided to us, nor reasonably available to us, and therefore are not included in the tables above.

Schedule of Quantitative Information of our Financial Assets and Liabilities that were Disclosed at Fair Value

December 31, 2021												Fair Value Measurements Using
($ in thousands)						Assets/Liabilities Disclosed at Fair Value						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						$	3,576					—						3,576						—
Corporate securities						25,884						—						25,884						—
Total HTM fixed income securities						$	29,460					—						29,460						—
CMLs						$	97,598					—						—						97,598
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	63,719					—						63,719						—
6.70% Senior Notes						127,574						—						127,574						—
5.375% Senior Notes						395,652						—						395,652						—
3.03% Borrowings from FHLBI						64,126						—						64,126						—
Total long-term debt						$	651,071					—						651,071						—

December 31, 2020												Fair Value Measurements Using
($ in thousands)						Assets/Liabilities Disclosed at Fair Value						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						$	4,795					—						4,795						—
Corporate securities						13,206						—						13,206						—
Total HTM fixed income securities						$	18,001					—						18,001						—
CML						$	47,289					—						—						47,289
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	66,148											66,148
6.70% Senior Notes						127,886												127,886
5.375% Senior Notes						383,669												383,669
1.61% Borrowings from FHLBNY						25,182						—						25,182						—
1.56% Borrowings from FHLBNY						25,198						—						25,198						—
3.03% Borrowings from FHLBI						67,513						—						67,513						—
Total long-term debt						$	695,596					—						695,596						—

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