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Summary of Significant Accounting Policies (Tables) | 12 Months Ended
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Dec. 31, 2013
Summary of Significant Accounting Policies [Abstract] |
Deferred policy acquisition costs asset by segment | The Company’s deferred policy acquisition costs asset by segment was as follows:
|  | December 31, |
|  | 2013 |  | 2012 |
Annuity |  | $ | 170,749 |  | $ | 125,437 |
Life |  |  | 48,558 |  |  | 46,798 |
Property and casualty |  |  | 26,048 |  |  | 24,650 |
Total |  | $ | 245,355 |  | $ | 196,885 |
Adjustment to amortization expenses | The Company recorded the following adjustments to amortization expense as a result of evaluating actual experience and prospective assumptions, sometimes referred to as “unlocking”:
|  | Year Ended December 31, |
|  | 2013 |  | 2012 |  | 2011 |
Increase (decrease) to amortization: |  |  |  |  |  |  |  |  |  |
Annuity |  | $ | (3,700) |  | $ | (3,836) |  | $ | 2,466 |
Life |  |  | 126 |  |  | 751 |  |  | 1,159 |
Total |  | $ | (3,574) |  | $ | (3,085) |  | $ | 3,625 |
Allocation of goodwill by reporting unit | The allocation of goodwill by reporting unit is as follows:
Annuity |  | $ | 28,025 |
Life |  |  | 9,911 |
Property and casualty |  |  | 9,460 |
Total |  | $ | 47,396 |
Property and Equipment | The following amounts are included in Other Assets in the Consolidated Balance Sheets:
|  | December 31, |
|  | 2013 |  | 2012 |
Property and equipment |  | $ | 108,394 |  | $ | 108,502 |
Less: accumulated depreciation |  |  | 73,459 |  |  | 71,508 |
Total |  | $ | 34,935 |  | $ | 36,994 |
Summary of guaranteed minimum death benefit | The Company has a relatively low exposure to GMDB risk as shown below.
|  | December 31, |
|  | 2013 |  |  | 2012 |
GMDB reserve |  | $ | 209 |  |  | $ | 392 |
Aggregate in-the-money death benefits under the GMDB provision |  |  | 30,422 |  |  |  | 41,990 |
Variable annuity contract value distribution based on GMDB feature: |  |  |  |  |  |  |  |
No guarantee |  |  | 30 | % |  |  | 31 | %
Return of premium guarantee |  |  | 64 | % |  |  | 63 | %
Guarantee of premium roll-up at an annual rate of 3% or 5% |  |  | 6 | % |  |  | 6 | %
Total |  |  | 100 | % |  |  | 100 | %
Stock options fair value pricing model weighted-average assumptions | The fair value of options granted was estimated on the respective dates of grant using the Black-Scholes option pricing model with the weighted-average assumptions shown in the following table.
|  | Year Ended December 31, |
|  | 2013 |  |  | 2012 |  |  | 2011 |
Number of options granted |  |  | 245,424 |  |  |  | 296,188 |  |  |  | 313,000 |
Weighted average grant date fair value of options granted |  | $ | 8.25 |  |  | $ | 6.02 |  |  | $ | 6.20 |
Weighted average assumptions: |  |  |  |  |  |  |  |  |  |  |  |
Risk-free interest rate |  |  | 1.0 | % |  |  | 1.0 | % |  |  | 2.2 | %
Expected dividend yield |  |  | 2.7 | % |  |  | 2.2 | % |  |  | 2.2 | %
Expected life, in years |  |  | 5.8 |  |  |  | 5.8 |  |  |  | 5.8 |
Expected volatility (based on historical volatility) |  |  | 54.5 | % |  |  | 45.1 | % |  |  | 45.0 | %
Computations of net income per share on both basic and diluted bases, including reconciliations of the numerators and denominators | The computations of net income per share on both basic and diluted bases, including reconciliations of the numerators and denominators, were as follows:
|  | Year Ended December 31, |
|  | 2013 |  | 2012 |  | 2011 |
Basic: |  |  |  |  |  |  |  |  |  |
Net income for the period |  | $ | 110,893 |  | $ | 103,866 |  | $ | 70,506 |
Weighted average number of common shares |  |  |  |  |  |  |  |  |  |
during the period (in thousands) |  |  | 40,377 |  |  | 39,514 |  |  | 39,866 |
Net income per share - basic |  | $ | 2.75 |  | $ | 2.63 |  | $ | 1.77 |
Diluted: |  |  |  |  |  |  |  |  |  |
Net income for the period |  | $ | 110,893 |  | $ | 103,866 |  | $ | 70,506 |
Weighted average number of common shares |  |  |  |  |  |  |  |  |  |
during the period (in thousands) |  |  | 40,377 |  |  | 39,514 |  |  | 39,866 |
Weighted average number of common equivalent |  |  |  |  |  |  |  |  |  |
shares to reflect the dilutive effect of common |  |  |  |  |  |  |  |  |  |
stock equivalent securities (in thousands): |  |  |  |  |  |  |  |  |  |
Stock options |  |  | 211 |  |  | 222 |  |  | 206 |
Common stock units related to deferred |  |  |  |  |  |  |  |  |  |
compensation for Directors |  |  | - |  |  | 112 |  |  | 114 |
Common stock units related to deferred |  |  |  |  |  |  |  |  |  |
compensation for Employees |  |  | 112 |  |  | 116 |  |  | 115 |
Restricted common stock units related to |  |  |  |  |  |  |  |  |  |
incentive compensation |  |  | 933 |  |  | 1,424 |  |  | 1,136 |
Total common and common equivalent shares adjusted |  |  |  |  |  |  |  |  |  |
to calculate diluted earnings per share (in thousands) |  |  | 41,633 |  |  | 41,388 |  |  | 41,437 |
Net income per share - diluted |  | $ | 2.66 |  | $ | 2.51 |  | $ | 1.70 |
Components of comprehensive income | The components of comprehensive income (loss) were as follows:
|  | Year Ended December 31, |
|  | 2013 |  | 2012 |  | 2011 |
Net income |  | $ | 110,893 |  | $ | 103,866 |  | $ | 70,506 |
Other comprehensive income (loss): |  |  |  |  |  |  |  |  |  |
Change in net unrealized gains and losses on fixed |  |  |  |  |  |  |  |  |  |
maturities and equity securities |  |  |  |  |  |  |  |  |  |
Net unrealized holding gains and losses on fixed |  |  |  |  |  |  |  |  |  |
maturities and equity securities arising during the period |  |  | (375,184) |  |  | 204,460 |  |  | 281,202 |
Less: reclassification adjustment for net gains |  |  |  |  |  |  |  |  |  |
included in income before income tax |  |  | 22,245 |  |  | 27,298 |  |  | 37,663 |
Total, before tax |  |  | (397,429) |  |  | 177,162 |  |  | 243,539 |
Income tax expense (benefit) |  |  | (149,019) |  |  | 62,984 |  |  | 86,585 |
Total, net of tax |  |  | (248,410) |  |  | 114,178 |  |  | 156,954 |
Change in net funded status of pension and other postretirement benefit obligations |  |  |  |  |  |  |  |  |  |
Before tax |  |  | 5,645 |  |  | 1,276 |  |  | (4,801) |
Income tax expense (benefit) |  |  | 2,110 |  |  | 345 |  |  | (1,714) |
Total, net of tax |  |  | 3,535 |  |  | 931 |  |  | (3,087) |
Total comprehensive income (loss) |  | $ | (133,982) |  | $ | 218,975 |  | $ | 224,373 |
Accumulated Other Comprehensive Income (Loss) | Reflecting accounting guidance adopted prospectively effective January 1, 2013, the following table reconciles the components of accumulated other comprehensive income (loss) for the period indicated.
|  | Unrealized |  |  |  |  |
|  | Gains and |  |  |  |  |
|  | Losses on |  |  |  |  |
|  | Fixed Maturities |  |  |  |  |
|  | and Equity |  | Defined |  |  |
|  | Securities (1)(2) |  | Benefit Plans (1) |  | Total (1) |
Beginning balance, January 1, 2013 |  |  | $ | 382,400 |  |  |  | $ | (15,311) |  |  |  | $ | 367,089 |  |
Other comprehensive income (loss) before reclassifications |  |  |  | (233,951) |  |  |  |  | 3,535 |  |  |  |  | (230,416) |  |
Amounts reclassified from accumulated |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
other comprehensive income |  |  |  | (14,459) |  |  |  |  | - |  |  |  |  | (14,459) |  |
Net current-period other comprehensive income (loss) |  |  |  | (248,410) |  |  |  |  | 3,535 |  |  |  |  | (244,875) |  |
Ending balance, December 31, 2013 |  |  | $ | 133,990 |  |  |  | $ | (11,776) |  |  |  | $ | 122,214 |  |
| (1) | All amounts are net of tax.
| (2) | The $22,245 pretax amount reclassified from accumulated other comprehensive income is included in net realized investment gains and losses and the $7,786 related tax expense (benefit) is included in income tax expense in the Consolidated Statement of Operations for the year ended December 31, 2013.

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