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Segment Information | 12 Months Ended
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Dec. 31, 2022
Segment Reporting [Abstract] |
Segment Information | Segment InformationThe Company is primarily engaged in writing personal automobile insurance and provides related property and casualty insurance products to its customers through 12 subsidiaries in 11 states, principally in California. The Company has one reportable business segment - the Property and Casualty business segment. The Company’s Chief Operating Decision Maker evaluates operating results based on pre-tax underwriting results which is calculated as net premiums earned less (a) losses and loss adjustment expenses and (b) underwriting expenses (policy acquisition costs and other operating expenses). Expenses are allocated based on certain assumptions that are primarily related to premiums and losses. The Company’s net investment income, net realized investment gains (losses), other income, and interest expense are excluded in evaluating pre-tax underwriting profit. The Company does not allocate its assets, including investments, or income taxes in evaluating pre-tax underwriting profit. Property and Casualty Lines The Property and Casualty business segment offers several insurance products to the Company’s individual customers and small business customers. These insurance products are: private passenger automobile, which is the Company’s primary business, and related insurance products such as homeowners, commercial automobile and commercial property. These insurance products are primarily sold to the Company’s individual customers and small business customers, which increases retention of the Company’s private personal automobile client base. The insurance products comprising the Property and Casualty business segment are sold through the same distribution channels, mainly through independent and 100% owned insurance agents, and go through a similar underwriting process. Other Lines The Other business segment represents net premiums written and earned from an operating segment that does not meet the quantitative thresholds required to be considered a reportable segment. This operating segment offers automobile mechanical protection warranties which are primarily sold through automobile dealerships and credit unions. The following table presents operating results by reportable segment for the years ended:
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
| Property & Casualty |  | Other |  | Total |  | Property & Casualty |  | Other |  | Total |  | Property & Casualty |  | Other |  | Total
| (Amounts in millions)
Net premiums earned | $ | 3,923.6 |  |  | $ | 28.9 |  |  | $ | 3,952.5 |  |  | $ | 3,712.9 |  |  | $ | 29.0 |  |  | $ | 3,741.9 |  |  | $ | 3,526.8 |  |  | $ | 28.8 |  |  | $ | 3,555.6 |
Less: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Losses and loss adjustment expenses | 3,347.2 |  |  | 15.0 |  |  | 3,362.2 |  |  | 2,746.3 |  |  | 13.9 |  |  | 2,760.2 |  |  | 2,381.5 |  |  | 13.8 |  |  | 2,395.3 |
Underwriting expenses | 922.1 |  |  | 12.3 |  |  | 934.4 |  |  | 902.6 |  |  | 14.1 |  |  | 916.7 |  |  | 899.1 |  |  | 14.6 |  |  | 913.7 |
Underwriting (loss) gain | (345.7) |  |  | 1.6 |  |  | (344.1) |  |  | 64.0 |  |  | 1.0 |  |  | 65.0 |  |  | 246.2 |  |  | 0.4 |  |  | 246.6 |
Investment income |  |  |  |  | 168.4 |  |  |  |  |  |  | 129.7 |  |  |  |  |  |  | 134.9 |
Net realized investment (losses) gains |  |  |  |  | (488.1) |  |  |  |  |  |  | 111.7 |  |  |  |  |  |  | 85.7 |
Other income |  |  |  |  | 10.3 |  |  |  |  |  |  | 10.0 |  |  |  |  |  |  | 8.3 |
Interest expense |  |  |  |  | (17.2) |  |  |  |  |  |  | (17.1) |  |  |  |  |  |  | (17.0) |
Pre-tax (loss) income |  |  |  |  | $ | (670.7) |  |  |  |  |  |  | $ | 299.3 |  |  |  |  |  |  | $ | 458.5 |
Net (loss) income |  |  |  |  | $ | (512.7) |  |  |  |  |  |  | $ | 247.9 |  |  |  |  |  |  | $ | 374.6 |
The following table presents the Company’s net premiums earned and direct premiums written by line of insurance business for the years ended:
| Year Ended December 31,
| 2022 |  | 2021 |  | 2020
| Property & Casualty |  | Other |  | Total |  | Property & Casualty |  | Other |  | Total |  | Property & Casualty |  | Other |  | Total
| (Amounts in millions)
Private passenger automobile | $ | 2,655.7 |  |  | $ | — |  |  | $ | 2,655.7 |  |  | $ | 2,613.5 |  |  | $ | — |  |  | $ | 2,613.5 |  |  | $ | 2,591.3 |  |  | $ | — |  |  | $ | 2,591.3 |
Homeowners | 830.6 |  |  | — |  |  | 830.6 |  |  | 698.1 |  |  | — |  |  | 698.1 |  |  | 601.3 |  |  | — |  |  | 601.3 |
Commercial automobile | 267.9 |  |  | — |  |  | 267.9 |  |  | 258.6 |  |  | — |  |  | 258.6 |  |  | 225.6 |  |  | — |  |  | 225.6 |
Other | 169.4 |  |  | 28.9 |  |  | 198.3 |  |  | 142.7 |  |  | 29.0 |  |  | 171.7 |  |  | 108.6 |  |  | 28.8 |  |  | 137.4 |
Net premiums earned | $ | 3,923.6 |  |  | $ | 28.9 |  |  | $ | 3,952.5 |  |  | $ | 3,712.9 |  |  | $ | 29.0 |  |  | $ | 3,741.9 |  |  | $ | 3,526.8 |  |  | $ | 28.8 |  |  | $ | 3,555.6 |
Private passenger automobile | $ | 2,598.9 |  |  | $ | — |  |  | $ | 2,598.9 |  |  | $ | 2,640.7 |  |  | $ | — |  |  | $ | 2,640.7 |  |  | $ | 2,569.0 |  |  | $ | — |  |  | $ | 2,569.0 |
Homeowners | 940.3 |  |  | — |  |  | 940.3 |  |  | 801.5 |  |  | — |  |  | 801.5 |  |  | 678.9 |  |  | — |  |  | 678.9 |
Commercial automobile | 276.8 |  |  | — |  |  | 276.8 |  |  | 259.9 |  |  | — |  |  | 259.9 |  |  | 240.8 |  |  | — |  |  | 240.8 |
Other | 202.1 |  |  | 30.4 |  |  | 232.5 |  |  | 175.4 |  |  | 30.0 |  |  | 205.4 |  |  | 136.3 |  |  | 29.2 |  |  | 165.5 |
Direct premiums written | $ | 4,018.1 |  |  | $ | 30.4 |  |  | $ | 4,048.5 |  |  | $ | 3,877.5 |  |  | $ | 30.0 |  |  | $ | 3,907.5 |  |  | $ | 3,625.0 |  |  | $ | 29.2 |  |  | $ | 3,654.2 |

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- 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/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
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