Statutory Information and Restrictions (Tables)

12 Months Ended

Dec. 31, 2016

Statutory surplus and subsidiary dividend restrictions

Reconciliations of statutory capital and surplus and net income, as determined using statutory accounting principles, to the amounts included in the accompanying consolidated financial statements are as follows:

	December 31,
	2016		2015

Statutory capital and surplus of insurance subsidiaries	$	912,336	$	883,870
Increase (decrease) due to:
Deferred policy acquisition costs		267,580		253,176
Difference in policyholder reserves		98,360		95,536
Goodwill		47,396		47,396
Investment fair value adjustments on fixed maturities		301,518		314,705
Difference in investment reserves		125,805		120,795
Federal income tax liability		(228,090)		(224,492)
Net funded status of pension and other postretirement benefit obligations		(18,250)		(18,213)
Non-admitted assets and other, net		22,888		21,691
Shareholders' equity of parent company and non-insurance subsidiaries		11,648		17,172
Parent company short-term and long-term debt		(247,209)		(246,975)
Shareholders' equity as reported herein	$	1,293,982	$	1,264,661

	Year Ended December 31,
	2016		2015		2014

Statutory net income of insurance subsidiaries	$	74,574	$	87,619	$	97,875
Net loss of non-insurance companies		(5,135)		(4,474)		(3,906)
Interest expense		(11,808)		(13,122)		(14,198)
Debt retirement costs		-		(2,338)		-
Tax benefit of interest expense and other parent company current tax adjustments		5,637		6,829		6,371
Combined net income		63,268		74,514		86,142
Increase (decrease) due to:
Deferred policy acquisition costs		19,442		13,249		16,828
Policyholder benefits		14,919		14,065		15,284
Federal income tax expense		(5,312)		(6,678)		(10,548)
Investment reserves		(1,320)		7,339		3,574
Other adjustments, net		(7,232)		(9,007)		(7,037)
Net income as reported herein	$	83,765	$	93,482	$	104,243

- Definition

Tabular disclosure of how the entity's reporting under GAAP as of the balance sheet date differs from the results based on prescribed and permitted accounting practices of the state or country of domicile in which a relevant statutory filing is made, or differences in results based on the National Association of Insurance Commissioners (NAIC) prescribed practices, or a combination thereof. Describes the accounting practices used and the related monetary effect on statutory surplus, net income, and risk-based capital. If an insurance enterprise's risk-based capital would have triggered a regulatory event had it not used a permitted practice, that fact is disclosed in the financial statements. Permitted statutory accounting practices include practices not prescribed but allowed by the domiciliary state insurance department regulatory authority.

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