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Fair Value of Financial Instruments (Tables) | 6 Months Ended
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Jun. 30, 2012
Fair Value of Financial Instruments [Abstract] |
Summary of Company's fair value hierarchy measured at recurring and nonrecurring basis | The following table presents the Company’s fair value hierarchy for those assets and liabilities measured and carried at fair value on a recurring basis as of June 30, 2012 and December 31, 2011. At June 30, 2012, Level 3 invested assets below comprised approximately 2.1% of the Company’s total investment portfolio fair value.
|  | Carrying |  |  | Fair |  |  | Fair Value Measurements at Reporting Date Using |
|  | Amount |  |  | Value |  |  | Level 1 |  |  | Level 2 |  |  | Level 3 |
June 30, 2012 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. government and federally sponsored agency obligations |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage-backed securities |  | $ | 629,530 |  |  | $ | 629,530 |  |  | $ | — |  |  | $ | 629,530 |  |  | $ | — |
Other |  |  | 488,950 |  |  |  | 488,950 |  |  |  | 21,616 |  |  |  | 467,334 |  |  |  | — |
Municipal bonds |  |  | 1,509,508 |  |  |  | 1,509,508 |  |  |  | — |  |  |  | 1,509,508 |  |  |  | — |
Foreign government bonds |  |  | 55,606 |  |  |  | 55,606 |  |  |  | — |  |  |  | 55,606 |  |  |  | — |
Corporate bonds |  |  | 2,414,465 |  |  |  | 2,414,465 |  |  |  | 22,018 |  |  |  | 2,335,988 |  |  |  | 56,459 |
Other mortgage-backed securities |  |  | 596,667 |  |  |  | 596,667 |  |  |  | — |  |  |  | 583,756 |  |  |  | 12,911 |
Total fixed maturities |  |  | 5,694,726 |  |  |  | 5,694,726 |  |  |  | 43,634 |  |  |  | 5,581,722 |  |  |  | 69,370 |
Equity securities |  |  | 38,035 |  |  |  | 38,035 |  |  |  | 4,670 |  |  |  | 32,980 |  |  |  | 385 |
Short-term investments |  |  | 33,453 |  |  |  | 33,453 |  |  |  | 33,453 |  |  |  | — |  |  |  | — |
Other investments (1) |  |  | 52,308 |  |  |  | 52,308 |  |  |  | — |  |  |  | — |  |  |  | 52,308 |
Totals |  |  | 5,818,522 |  |  |  | 5,818,522 |  |  |  | 81,757 |  |  |  | 5,614,702 |  |  |  | 122,063 |
Separate Account (variable annuity) assets |  |  | 1,348,077 |  |  |  | 1,348,077 |  |  |  | — |  |  |  | 1,348,077 |  |  |  | — |
Financial Liabilities |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. government and federally sponsored agency obligations |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage-backed securities |  | $ | 603,812 |  |  | $ | 603,812 |  |  | $ | — |  |  | $ | 603,812 |  |  | $ | — |
Other |  |  | 603,741 |  |  |  | 603,741 |  |  |  | 64,444 |  |  |  | 539,297 |  |  |  | — |
Municipal bonds |  |  | 1,413,118 |  |  |  | 1,413,118 |  |  |  | — |  |  |  | 1,413,118 |  |  |  | — |
Foreign government bonds |  |  | 49,624 |  |  |  | 49,624 |  |  |  | — |  |  |  | 49,624 |  |  |  | — |
Corporate bonds |  |  | 2,156,544 |  |  |  | 2,156,544 |  |  |  | 25,486 |  |  |  | 2,042,802 |  |  |  | 88,256 |
Other mortgage-backed securities |  |  | 594,993 |  |  |  | 594,993 |  |  |  | — |  |  |  | 590,461 |  |  |  | 4,532 |
Total fixed maturities |  |  | 5,421,832 |  |  |  | 5,421,832 |  |  |  | 89,930 |  |  |  | 5,239,114 |  |  |  | 92,788 |
Equity securities |  |  | 26,774 |  |  |  | 26,774 |  |  |  | 9,036 |  |  |  | 17,353 |  |  |  | 385 |
Short-term investments |  |  | 100,442 |  |  |  | 100,442 |  |  |  | 97,929 |  |  |  | 2,513 |  |  |  | — |
Other investments (1) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Totals |  |  | 5,549,048 |  |  |  | 5,549,048 |  |  |  | 196,895 |  |  |  | 5,258,980 |  |  |  | 93,173 |
Separate Account (variable annuity) assets |  |  | 1,273,764 |  |  |  | 1,273,764 |  |  |  | — |  |  |  | 1,273,764 |  |  |  | — |
Financial Liabilities |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
(1) | Portion of the Other Investments amount reported in the Consolidated Balance Sheet which is measured and carried at fair value on a recurring basis.
Table for reconciliations for all Level 3 assets measured at fair value on a recurring basis | The following tables present reconciliations for the three and six months ended June 30, 2012 and 2011 for all Level 3 assets measured at fair value on a recurring basis.
|  | Corporate Bonds |  |  | Other Mortgage- Backed Securities |  |  | Total Fixed Maturities |  |  | Equity Securities |  |  | Other Investments |  |  | Total |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance, April 1, 2012 |  | $ | 89,920 |  |  | $ | 13,065 |  |  | $ | 102,985 |  |  | $ | 385 |  |  | $ | 26,185 |  |  | $ | 129,555 |
Transfers into Level 3 (1) |  |  | 9,407 |  |  |  | — |  |  |  | 9,407 |  |  |  | — |  |  |  | — |  |  |  | 9,407 |
Transfers out of Level 3 (1) |  |  | (45,460 | ) |  |  | — |  |  |  | (45,460 | ) |  |  | — |  |  |  | — |  |  |  | (45,460 | )
Total gains or losses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized gains (losses) included in net income |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,123 |  |  |  | 1,123 |
Net unrealized gains (losses) included in other comprehensive income |  |  | 2,725 |  |  |  | 9 |  |  |  | 2,734 |  |  |  | — |  |  |  | — |  |  |  | 2,734 |
Purchases |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 25,000 |  |  |  | 25,000 |
Issuances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Settlements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Paydowns and maturities |  |  | (133 | ) |  |  | (163 | ) |  |  | (296 | ) |  |  | — |  |  |  | — |  |  |  | (296 | )
Ending balance, June 30, 2012 |  | $ | 56,459 |  |  | $ | 12,911 |  |  | $ | 69,370 |  |  | $ | 385 |  |  | $ | 52,308 |  |  | $ | 122,063 |
Beginning balance, January 1, 2012 |  | $ | 88,256 |  |  | $ | 4,532 |  |  | $ | 92,788 |  |  | $ | 385 |  |  | $ | — |  |  | $ | 93,173 |
Transfers into Level 3 (1) |  |  | 18,240 |  |  |  | 8,504 |  |  |  | 26,744 |  |  |  | — |  |  |  | — |  |  |  | 26,744 |
Transfers out of Level 3 (1) |  |  | (50,707 | ) |  |  | — |  |  |  | (50,707 | ) |  |  | — |  |  |  | — |  |  |  | (50,707 | )
Total gains or losses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized gains (losses) included in net income |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,308 |  |  |  | 2,308 |
Net unrealized gains (losses) included in other comprehensive income |  |  | 946 |  |  |  | 165 |  |  |  | 1,111 |  |  |  | — |  |  |  | — |  |  |  | 1,111 |
Purchases |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 50,000 |  |  |  | 50,000 |
Issuances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Settlements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Paydowns and maturities |  |  | (276 | ) |  |  | (290 | ) |  |  | (566 | ) |  |  | — |  |  |  | — |  |  |  | (566 | )
Ending balance, June 30, 2012 |  | $ | 56,459 |  |  | $ | 12,911 |  |  | $ | 69,370 |  |  | $ | 385 |  |  | $ | 52,308 |  |  | $ | 122,063 |
(1) | Transfers into and out of Level 3 during the periods ended June 30, 2012 were attributable to changes in the availability of observable market information for individual fixed maturity securities. The Company’s policy is to recognize transfers into and transfers out of the levels as of the ending date of the reporting period.
|  | Corporate Bonds |  |  | Other Mortgage- Backed Securities |  |  | Total Fixed Maturities |  |  | Equity Securities |  |  | Total |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance, April 1, 2011 |  | $ | 33,557 |  |  | $ | 877 |  |  | $ | 34,434 |  |  | $ | 396 |  |  | $ | 34,830 |
Transfers into Level 3 (1) |  |  | 17,389 |  |  |  | — |  |  |  | 17,389 |  |  |  | — |  |  |  | 17,389 |
Transfers out of Level 3 (1) |  |  | (2,335 | ) |  |  | — |  |  |  | (2,335 | ) |  |  | — |  |  |  | (2,335 | )
Total gains or losses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized gains (losses) included in net income |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Net unrealized gains (losses) included in other comprehensive income |  |  | 967 |  |  |  | 6 |  |  |  | 973 |  |  |  | (12 | ) |  |  | 961 |
Purchases |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Issuances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Settlements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Paydowns and maturities |  |  | (293 | ) |  |  | (59 | ) |  |  | (352 | ) |  |  | — |  |  |  | (352 | )
Ending balance, June 30, 2011 |  | $ | 49,285 |  |  | $ | 824 |  |  | $ | 50,109 |  |  | $ | 384 |  |  | $ | 50,493 |
Beginning balance, January 1, 2011 |  | $ | 45,244 |  |  | $ | 945 |  |  | $ | 46,189 |  |  | $ | 396 |  |  | $ | 46,585 |
Transfers into Level 3 (1) |  |  | 17,389 |  |  |  | — |  |  |  | 17,389 |  |  |  | — |  |  |  | 17,389 |
Transfers out of Level 3 (1) |  |  | (13,725 | ) |  |  | — |  |  |  | (13,725 | ) |  |  | — |  |  |  | (13,725 | )
Total gains or losses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net realized gains (losses) included in net income |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Net unrealized gains (losses) included in other comprehensive income |  |  | 845 |  |  |  | 14 |  |  |  | 859 |  |  |  | (12 | ) |  |  | 847 |
Purchases |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Issuances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Settlements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Paydowns and maturities |  |  | (468 | ) |  |  | (135 | ) |  |  | (603 | ) |  |  | — |  |  |  | (603 | )
Ending balance, June 30, 2011 |  | $ | 49,285 |  |  | $ | 824 |  |  | $ | 50,109 |  |  | $ | 384 |  |  | $ | 50,493 |
(1) | Transfers into and out of Level 3 during the periods ended June 30, 2011 were attributable to changes in the availability of observable market information for individual fixed maturity securities. The Company’s policy is to recognize transfers in and transfers out as of the ending date of the reporting period.
Carrying value, fair value and fair value hierarchy of financial assets and financial liabilities | The following table presents the carrying value, fair value and fair value hierarchy of these financial assets and financial liabilities at June 30, 2012 and December 31, 2011.
|  | Carrying |  |  | Fair |  |  | Fair Value Measurements at Reporting Date Using |
|  | Amount |  |  | Value |  |  | Level 1 |  |  | Level 2 |  |  | Level 3 |
June 30, 2012 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other investments (1) |  | $ | 131,095 |  |  | $ | 135,185 |  |  | $ | — |  |  | $ | — |  |  | $ | 135,185 |
Financial Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed annuity contract liabilities |  |  | 3,073,991 |  |  |  | 2,817,564 |  |  |  | — |  |  |  | — |  |  |  | 2,817,564 |
Policyholder account balances on interest-sensitive life contracts |  |  | 78,988 |  |  |  | 76,065 |  |  |  | — |  |  |  | — |  |  |  | 76,065 |
Other policyholder funds |  |  | 93,903 |  |  |  | 93,903 |  |  |  | — |  |  |  | — |  |  |  | 93,903 |
Short-term debt |  |  | 38,000 |  |  |  | 38,000 |  |  |  | — |  |  |  | 38,000 |  |  |  | — |
Long-term debt |  |  | 199,777 |  |  |  | 216,083 |  |  |  | 216,083 |  |  |  | — |  |  |  | — |
December 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other investments (1) |  | $ | 128,460 |  |  | $ | 132,522 |  |  | $ | — |  |  | $ | — |  |  | $ | 132,522 |
Financial Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed annuity contract liabilities |  |  | 2,945,107 |  |  |  | 2,699,295 |  |  |  | — |  |  |  | — |  |  |  | 2,699,295 |
Policyholder account balances on interest-sensitive life contracts |  |  | 79,305 |  |  |  | 76,370 |  |  |  | — |  |  |  | — |  |  |  | 76,370 |
Other policyholder funds |  |  | 99,747 |  |  |  | 99,747 |  |  |  | — |  |  |  | — |  |  |  | 99,747 |
Short-term debt |  |  | 38,000 |  |  |  | 38,000 |  |  |  | — |  |  |  | 38,000 |  |  |  | — |
Long-term debt |  |  | 199,744 |  |  |  | 214,218 |  |  |  | 214,218 |  |  |  | — |  |  |  | — |
(1) | Portion of the Other Investments amount reported in the Consolidated Balance Sheet which is not carried at fair value.

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- Definition Carrying value, fair value and fair value hierarchy of financial assets and financial liabilities. + References No definition available. + Details
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- Definition Tabular disclosure related to assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a recurring and/or nonrecurring basis in periods after initial recognition. Disclosures include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3) as well as transfers between levels 1 and 2. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 157 -Paragraph 6 -Footnote 4 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a,b,bb) -URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19207-110258 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 157 -Paragraph 32 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2C -URI http://asc.fasb.org/extlink&oid=7578670&loc=SL7498348-110258 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19279-110258 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19190-110258 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 157 -Paragraph 33 -Subparagraph a, b -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. + Details
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- Definition Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19279-110258 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 157 -Paragraph 32 -Subparagraph c -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. + Details
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