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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2025

Fair Value Disclosures [Abstract]

Schedule of Carrying Values and Estimated Fair Values of Financial Liabilities

The following table presents the carrying amounts and fair values of our financial liabilities as of March 31, 2025, and December 31, 2024:

						March 31, 2025												December 31, 2024
($ in thousands)						Carrying Amount						Fair Value						Carrying Amount						Fair Value
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	49,932					55,396						49,931						54,657
5.90% Senior Notes						399,912						402,291						—						—
6.70% Senior Notes						99,597						104,846						99,590						103,057
5.375% Senior Notes						294,654						273,711						294,627						273,464
3.03% borrowings from FHLBI						60,000						59,003						60,000						58,516
Subtotal long-term debt						904,095						895,247						504,148						489,694
Unamortized debt issuance costs						(6,444)												(2,492)
Finance lease obligations						5,581												6,282
Total long-term debt						$	903,232											507,938

Schedule of Fair Value of Financial Assets

The following tables provide quantitative disclosures of our financial assets that were measured and recorded at fair value at March 31, 2025, and December 31, 2024:

March 31, 2025												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						$	134,475					38,061						96,414						—
Foreign government						10,388						—						10,388						—
Obligations of states and political subdivisions						432,950						—						425,344						7,606
Corporate securities						3,237,221						—						2,996,304						240,917
CLO and other ABS						2,197,185						—						1,784,383						412,802
RMBS						1,852,079						—						1,852,079						—
CMBS						740,877						—						740,532						345
Total AFS fixed income securities						8,605,175						38,061						7,905,444						661,670
Equity securities:
Common stock1						264,650						67,602						—						841
Preferred stock						1,821						1,821						—						—
Total equity securities						266,471						69,423						—						841
Short-term investments						631,090						630,818						272						—
Total assets measured at fair value						$	9,502,736					738,302						7,905,716						662,511

December 31, 2024												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						$	120,155					35,518						84,637						—
Foreign government						9,302						—						9,302						—
Obligations of states and political subdivisions						451,230						—						443,804						7,426
Corporate securities						3,068,180						—						2,825,501						242,679
CLO and other ABS						2,033,149						—						1,665,155						367,994
RMBS						1,692,358						—						1,692,358						—
CMBS						752,960						—						752,620						340
Total AFS fixed income securities						8,127,334						35,518						7,473,377						618,439
Equity securities:
Common stock1						211,767						41,445						—						808
Preferred stock						1,834						1,834						—						—
Total equity securities						213,601						43,279						—						808
Short-term investments						509,318						474,225						35,093						—
Total assets measured at fair value						$	8,850,253					553,022						7,508,470						619,247

1Investments amounting to $196.2 million at March 31, 2025, and $169.5 million at December 31, 2024, 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 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

The following tables provide a summary of Level 3 changes in First Quarter 2025 and First Quarter 2024:

March 31, 2025
($ in thousands)									Obligations of States and Political Subdivisions						Corporate Securities						CLO and Other ABS												CMBS						Common Stock						Total
Fair value, December 31, 2024									$	7,426					242,679						367,994												340						808						619,247
Total net gains (losses) for the period included in:
Other comprehensive income (loss) ("OCI")									91						2,109						(1,710)												3						—						493
Net realized and unrealized gains (losses)									89						101						(92)												—						33						131
Net investment income earned									—						12						(43)												5						—						(26)
Purchases									—						1,908						30,454												—						—						32,362
Sales									—						—						—												—						—						—
Issuances									—						—						—												—						—						—
Settlements									—						(5,892)						(7,080)												(3)						—						(12,975)
Transfers into Level 3									—						—						23,279												—						—						23,279
Transfers out of Level 3									—						—						—												—						—						—
Fair value, March 31, 2025									$	7,606					240,917						412,802												345						841						662,511
Change in unrealized gains (losses) for the period included in earnings for assets held at period end									89						101						(92)												—						33						131
Change in unrealized gains (losses) for the period included in OCI for assets held at period end									91						2,149						(1,710)												3						—						533

March 31, 2024
($ in thousands)			Obligation of state and Political Subdivisions						Corporate Securities						CLO and Other ABS												CMBS						Common Stock						Total
Fair value, December 31, 2023			$	7,834					297,332						245,313												356						854						551,689
Total net gains (losses) for the period included in:
OCI			(86)						(376)						399												3						—						(60)
Net realized and unrealized gains (losses)			(1)						140						57												—						213						409
Net investment income earned			—						280						(1)												(1)						—						278
Purchases			—						1,152						14,658												—						—						15,810
Sales			—						—						—												—						—						—
Issuances			—						—						—												—						—						—
Settlements			—						(2,870)						(1,173)												(3)						—						(4,046)
Transfers into Level 3			—						20,065						19,537												—						—						39,602
Transfers out of Level 3			—						(28,227)						(18,693)												—						—						(46,920)
Fair value, March 31, 2024			$	7,747					287,496						260,097												355						1,067						556,762
Change in unrealized gains (losses) for the period included in earnings for assets held at period end			(1)						140						57												—						213						409
Change in unrealized gains (losses) for the period included in OCI for assets held at period end			(86)						(376)						399												3						—						(60)

Schedule of Fair Value Measurement Inputs and Valuation Techniques

The following tables present quantitative information about the significant unobservable inputs used in the fair value measurements of Level 3 assets at March 31, 2025, and December 31, 2024:

March 31, 2025

($ in thousands)

Assets Measured at Fair Value

Valuation Techniques

Unobservable Inputs

Range

Weighted Average

Internal valuations:

Corporate securities

$

147,340

Discounted Cash Flow

Illiquidity Spread

(4.4)% - 5.3%

1.8%

CLO and other ABS

231,805

Discounted Cash Flow

Illiquidity Spread

(0.97)% - 19.6%

2.2%

Total internal valuations

379,145

Other1

283,366

Total Level 3 securities

$

662,511

December 31, 2024

($ in thousands)

Assets Measured at Fair Value

Valuation Techniques

Unobservable Inputs

Range

Weighted Average

Internal valuations:

Corporate securities

$

147,294

Discounted Cash Flow

Illiquidity Spread

(4.4)% - 5.3%

1.7%

CLO and other ABS

249,506

Discounted Cash Flow

Illiquidity Spread

(0.97)% - 19.6%

1.9%

Total internal valuations

396,800

Other1

222,447

Total Level 3 securities

$

619,247

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

Schedule of Quantitative Information of Financial Assets and Liabilities, Disclosed at Fair Value

The following tables provide quantitative information about our financial assets and liabilities that were not measured at fair value, but were disclosed as such at March 31, 2025, and December 31, 2024:

March 31, 2025												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:
Corporate securities						$	24,800					—						24,800						—
Total HTM fixed income securities						24,800						—						24,800						—
CMLs						$	251,498					—						—						251,498
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	55,396					—						55,396						—
5.90% Senior Notes						402,291						—						402,291						—
6.70% Senior Notes						104,846						—						104,846						—
5.375% Senior Notes						273,711						—						273,711						—
3.03% borrowings from FHLBI						59,003						—						59,003						—
Total long-term debt						$	895,247					—						895,247						—

December 31, 2024												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:
Corporate securities						$	24,735					—						24,735						—
Total HTM fixed income securities						24,735						—						24,735						—
CMLs						$	224,842					—						—						224,842
Financial Liabilities
Long-term debt:
7.25% Senior Notes						$	54,657					—						54,657						—
6.70% Senior Notes						103,057						—						103,057						—
5.375% Senior Notes						273,464						—						273,464						—
3.03% borrowings from FHLBI						58,516						—						58,516						—
Total long-term debt						$	489,694					—						489,694						—

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