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Fair Value Measurements
 12 Months Ended
Dec. 31, 2021
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENTS
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company is responsible for the determination of fair value of financial assets and liabilities, including the supporting assumptions and methodologies, and uses independent third-party valuation service providers, broker quotes and internal pricing methodologies to determine fair values. The Company obtains or estimates only one single quote or price for each financial instrument. The Company uses a hierarchical framework for inputs to determine fair value which prioritizes the use of observable inputs and minimizes the use of unobservable inputs. Additionally, the Company categorizes fair value measurements based on the lowest level of input that is considered to be significant to the entire measurement.
The Company classifies its investments in Fixed Maturities as available for sale and reports these investments at fair value. The Company reports equity investments with readily determinable fair values as Equity Securities at Fair Value. Certain investments that are measured at fair value using the net asset value practical expedient are not required to be classified using the fair value hierarchy, but are presented in the following two tables to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Balance Sheet.
NOTE 10. FAIR VALUE MEASUREMENTS (Continued)
The valuation of assets measured at fair value in the Company’s Consolidated Balance Sheet at December 31, 2021 is summarized below. The Company has no material liabilities that are measured and reported at fair value.
DOLLARS IN MILLIONSFair Value MeasurementsTotal Fair Value
Quoted Prices
in Active Markets
for Identical
Assets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Measured at Net Asset Value
Fixed Maturities:
U.S. Government and Government Agencies and Authorities
$132.8 $504.6 $— $— $637.4 
States and Political Subdivisions— 1,890.1 — — 1,890.1 
Foreign Governments— 5.5 — — 5.5 
Corporate Securities:
Bonds and Notes— 4,150.1 236.8 — 4,386.9 
Redeemable Preferred Stocks— 1.3 6.1 — 7.4 
Collateralized Loan Obligations— 752.1 — — 752.1 
Other Mortgage- and Asset-backed
— 300.5 7.0 — 307.5 
Total Investments in Fixed Maturities132.8 7,604.2 249.9 — 7,986.9 
Equity Securities at Fair Value:
Preferred Stocks:
Finance, Insurance and Real Estate
— 34.2 — — 34.2 
Other Industries— 16.1 1.5 — 17.6 
Common Stocks:
Finance, Insurance and Real Estate
18.9 — — — 18.9 
Other Industries2.9 — — — 2.9 
Other Equity Interests:
Exchange Traded Funds432.0 — — — 432.0 
Limited Liability Companies and Limited Partnerships
— — — 325.0 325.0 
Total Investments in Equity Securities at Fair Value
453.8 50.3 1.5 325.0 830.6 
Convertible Securities at Fair Value— 46.4 — — 46.4 
Total$586.6 $7,700.9 $251.4 $325.0 $8,863.9 
NOTE 10. FAIR VALUE MEASUREMENTS (Continued)
At December 31, 2021, the Company had unfunded commitments to invest an additional $102.3 million in certain limited liability investment companies and limited partnerships that will be included in Other Equity Interests when funded.
The valuation of assets measured at fair value in the Company’s Consolidated Balance Sheet at December 31, 2020 is summarized below.
DOLLARS IN MILLIONSFair Value MeasurementsTotal Fair Value
Quoted Prices
in Active Markets
for Identical
Assets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Measured at Net Asset Value
Fixed Maturities:
U.S. Government and Government Agencies and Authorities
$134.0 $451.3 $— $— $585.3 
States and Political Subdivisions— 1,589.5 — — 1,589.5 
Foreign Governments— 5.2 — — 5.2 
Corporate Securities:
Bonds and Notes— 3,992.4 433.0 — 4,425.4 
Redeemable Preferred Stocks— 1.3 6.2 — 7.5 
Collateralized Loan Obligations— 767.7 — — 767.7 
Other Mortgage- and Asset-backed
— 215.3 10.0 — 225.3 
Total Investments in Fixed Maturities134.0 7,022.7 449.2 — 7,605.9 
Equity Securities at Fair Value:
Preferred Stocks:
Finance, Insurance and Real Estate
— 43.7 — — 43.7 
Other Industries— 15.4 — — 15.4 
Common Stocks:
Finance, Insurance and Real Estate
8.7 1.7 — — 10.4 
Other Industries0.4 — — — 0.4 
Other Equity Interests:
Exchange Traded Funds496.4 — — — 496.4 
Limited Liability Companies and Limited Partnerships
— — — 292.2 292.2 
Total Investments in Equity Securities at Fair Value
505.5 60.8 — 292.2 858.5 
Convertible Securities at Fair Value— 39.9 — — 39.9 
Total$639.5 $7,123.4 $449.2 $292.2 $8,504.3 
The fair value hierarchy by level is designed to distinguish between inputs that are observable in the marketplace, which are therefore more objective, and those that are unobservable, which are more subjective. This leveling helps to indicate the relative subjectivity and reliability of the fair value measurements. Assets and liabilities reported on the Consolidated Statement of Financial Position at fair value are categorized as follows:
Level 1: Unadjusted quoted prices for identical assets or liabilities in an active market.
•The Company classifies investments in US Treasury Bonds, actively traded exchange traded funds, mutual funds, and public common stock as Level 1 securities.
NOTE 10. FAIR VALUE MEASUREMENTS (Continued)
Level 2: Observable inputs other than Level 1: (a) quoted prices for similar assets or liabilities in active markets; (b) quoted prices for identical or similar assets or liabilities in markets that are not active; or (c) valuation models whose inputs are observable, directly or indirectly, for substantially the full term of the asset or liability.
•The Company classifies investments in public corporate bonds, states and political subdivisions bonds, collateralized loan obligations, mortgage-backed securities, convertible bonds, majority of preferred stocks and certain private placement bonds and common stock as Level 2 securities.

Level 3: Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Unobservable inputs reflect Company’s estimates of the assumptions that market participants would use in valuing the assets and liabilities.
•The Company classifies investments in certain private placement bonds, private asset backed securities and certain preferred stock as Level 3 securities.
The Company uses leading, nationally recognized valuation service providers of market data and analytics to price the vast majority of the Company’s investment portfolio. Valuation service providers typically obtain data about market transactions and other key valuation model inputs from multiple sources and, through the use of proprietary models, produce valuation information in the form of a single fair value for individual fixed income and other securities for which a fair value has been requested under the terms of our agreements. The inputs used by the valuation service providers include, but are not limited to, market prices from recently completed transactions and transactions of comparable securities, interest rate yield curves, credit spreads, liquidity spreads, and other information, as applicable. Credit and liquidity spreads are typically implied from completed transactions and transactions of comparable securities. Valuation service providers also use proprietary discounted cash flow models that are widely accepted in the financial services industry and similar to those used by other market participants to value the same financial instruments. The valuation models take into account, among other things, market observable information as of the measurement date, as well as the specific attributes of the security being valued including its term, interest rate, credit rating, industry sector, and where applicable, collateral quality and other issue or issuer specific information. Executing valuation models effectively requires seasoned professional judgment and experience. For certain equity securities, valuation service providers provide market quotations for completed transactions on the measurement date. In cases where market transactions or other market observable data is limited, the extent to which judgment is applied varies inversely with the availability of market observable information.
For most of the Company’s financial assets measured at fair value, all significant inputs are based on or corroborated by market observable data, and significant management judgment does not affect the periodic determination of fair value. Fixed income and equity securities valued using independent valuation service providers are classified as either Level 1 or Level 2 depending on the security type. These service providers utilize evaluated pricing models that vary by asset class and incorporate available trade, bid and other market information when developing prices. Due to most fixed maturity securities trading on less than a daily basis, the service providers’ evaluated pricing applications apply available information through processes such as benchmark curves, benchmarking of like securities, sector groupings, and matrix pricing.
The Company classifies investments as Level 3 in the fair value hierarchy when specific inputs significant to the fair value estimation models are not market observable. Significant unobservable inputs used by Company include credit profile, credit spread, and resulting market yield, which involve considerable judgment by management. This primarily occurs when fair value is derived using non-binding broker quotes where the inputs have not been corroborated to be market observable, or internal valuation estimates that use significant non-market observable inputs.
The table below presents quantitative information about the significant unobservable inputs utilized by the Company in determining fair values for fixed maturity investments in corporate securities classified as Level 3 at December 31, 2021.
NOTE 10. FAIR VALUE MEASUREMENTS (Continued)
DOLLARS IN MILLIONSUnobservable InputTotal Fair ValueRange of Unobservable InputsWeighted-average Yield
Investment-grade Market Yield$87.9 2.3 %-10.3 %5.4 %
Non-investment-grade:
Senior DebtMarket Yield76.1 5.1 -20.2 8.5 
Junior DebtMarket Yield53.9 6.0 -27.5 15.0 
OtherVarious32.0 
Total Level 3 Fixed Maturity Investments$249.9 
The table below presents quantitative information about the significant unobservable inputs utilized by the Company in determining fair values for fixed maturity investments in corporate securities classified as Level 3 at December 31, 2020.
DOLLARS IN MILLIONSUnobservable InputTotal Fair ValueRange of Unobservable InputsWeighted-average Yield
Investment-grade Market Yield$246.7 1.4 %-13.0 %3.8 %
Non-investment-grade:
Senior DebtMarket Yield111.1 2.4 -23.4 9.5 
Junior DebtMarket Yield64.6 3.1 -27.9 13.7 
OtherVarious26.8 
Total Level 3 Fixed Maturity Investments$449.2 
For an investment in a fixed maturity security, an increase in the yield used to determine the fair value of the security will decrease the fair value of the security. A decrease in the yield used to determine fair value will increase the fair value of the security, but for callable securities the fair value increase is generally limited to par, unless security is currently callable at a premium.
Information by security type pertaining to the changes in the fair value of the Company’s investments classified as Level 3 for the year ended December 31, 2021 is presented below.
DOLLARS IN MILLIONSFixed MaturitiesEquity Securities
Corporate
Bonds
and
Notes		Redeemable
Preferred
Stocks		Collateralized Loan ObligationsOther Mortgage-
and Asset-
backed		Preferred
and
Common
Stocks		Total
Balance at Beginning of Year
$433.0 $6.2 $— $10.0 $— $449.2 
Total Gains (Losses):
Included in Consolidated Statement of Income2.8 — — — — 2.8 
Included in Other Comprehensive Income (Loss)1.2 (0.1)0.1 (0.5)0.7 1.4 
Purchases104.6 — 17.7 16.2 1.7 140.2 
Settlements— — — (0.1)— (0.1)
Sales(128.1)— (10.0)(0.2)— (138.3)
Transfers into Level 38.1 — 10.0 — 1.7 19.8 
Transfers out of Level 3(184.8)— (17.8)(18.4)(2.6)(223.6)
Balance at End of Year$236.8 $6.1 $— $7.0 $1.5 $251.4 
The transfers into and out of Level 3 were due to changes in the availability of market observable inputs.
NOTE 10. FAIR VALUE MEASUREMENTS (Continued)
Information by security type pertaining to the changes in the fair value of the Company’s investments classified as Level 3 for the year ended December 31, 2020 is presented below.
DOLLARS IN MILLIONSFixed MaturitiesTotal
Corporate
Bonds and
Notes		States and Political Sub-divisionsRedeemable
Preferred
Stocks		Collateralized Loan ObligationsOther Mortgage-
and Asset-
backed
Balance at Beginning of Year$409.1 $— $6.7 $618.2 $10.2 $1,044.2 
Total Gains (Losses):
Included in Consolidated Statement of Income(9.0)— — (0.3)— (9.3)
Included in Other Comprehensive Income (Loss)3.2 0.1 0.5 (9.3)0.4 (5.1)
Purchases185.9 0.6 0.2 53.5 — 240.2 
Settlements— — — — (0.1)(0.1)
Sales(165.2)— — (26.4)(0.5)(192.1)
Transfers into Level 39.0 — — — — 9.0 
Transfers out of Level 3— (0.7)(1.2)(635.7)— (637.6)
Balance at End of Year$433.0 $— $6.2 $— $10.0 $449.2 
The transfers into and out of Level 3 were due to changes in the availability of market observable inputs.
Presented below are the carrying values and fair value estimates of financial instruments not carried at fair value.
 December 31, 2021December 31, 2020
(Dollars in Millions)Carrying ValueFair ValueCarrying ValueFair Value
Financial Assets:
Loans to Policyholders$286.2 $286.2 $297.9 $297.9 
Short-term Investments284.1 284.1 875.4 875.4 
Mortgage Loans96.8 96.8 54.6 54.6 
Company-Owned Life Insurance448.1448.1327.4327.4
Equity Securities at Modified Cost32.332.340.140.1
Financial Liabilities:
Long-term Debt, Current and Non-current$1,121.9 $1,152.1 $1,172.8 $1,247.8 
Policyholder Contract Liabilities401.9 401.9 407.8 407.8