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Fair Value Measurement (Tables) | 3 Months Ended
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Mar. 31, 2017
Fair Value Disclosures [Abstract] |
Assets and liabilities measured at fair value | Fair values of assets measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016 are shown in the following tables. Where applicable, the tables also indicate the fair value hierarchy of the valuation techniques utilized to determine those fair values. For some assets, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. When this is the case, the asset is categorized based on the level of the most significant input to the fair value measurement. Assessments of the significance of a particular input to the fair value measurement require judgment and consideration of factors specific to the assets being valued.
| March 31, 2017
| Fair Value Measurements Using |  | Total
(In thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Fair Value
Assets: |  |  |  |  |  |  |
Fixed maturities, available for sale |  |  |  |  |  |  |
U.S. Treasury obligations | $ | — |  |  | $ | 148,211 |  |  | $ | — |  |  | $ | 148,211 |
U.S. Government-sponsored enterprise obligations | — |  |  | 28,701 |  |  | — |  |  | 28,701 |
State and municipal bonds | — |  |  | 770,061 |  |  | — |  |  | 770,061 |
Corporate debt, multiple observable inputs | 2,395 |  |  | 1,284,664 |  |  | — |  |  | 1,287,059 |
Corporate debt, limited observable inputs | — |  |  | — |  |  | 18,914 |  |  | 18,914 |
Residential mortgage-backed securities | — |  |  | 207,906 |  |  | — |  |  | 207,906 |
Agency commercial mortgage-backed securities | — |  |  | 12,688 |  |  | — |  |  | 12,688 |
Other commercial mortgage-backed securities | — |  |  | 19,697 |  |  | — |  |  | 19,697 |
Other asset-backed securities | — |  |  | 108,190 |  |  | 3,002 |  |  | 111,192 |
Equity securities |  |  |  |  |  |  |
Financial | 84,052 |  |  | — |  |  | — |  |  | 84,052 |
Utilities/Energy | 51,304 |  |  | — |  |  | — |  |  | 51,304 |
Consumer oriented | 60,686 |  |  | — |  |  | — |  |  | 60,686 |
Industrial | 52,497 |  |  | — |  |  | — |  |  | 52,497 |
Bond funds | 92,753 |  |  | — |  |  | — |  |  | 92,753 |
All other | 49,914 |  |  | — |  |  | — |  |  | 49,914 |
Short-term investments | 277,494 |  |  | 2,847 |  |  | — |  |  | 280,341 |
Other investments | 1,270 |  |  | 27,805 |  |  | 903 |  |  | 29,978 |
Total assets categorized within the fair value hierarchy | $ | 672,365 |  |  | $ | 2,610,770 |  |  | $ | 22,819 |  |  | 3,305,954 |
LP/LLC interests carried at NAV which approximates fair value. These interests, reported as a part of Investment in unconsolidated subsidiaries, are not categorized within the fair value hierarchy. |  |  |  |  |  |  | 199,696 |
Total assets at fair value |  |  |  |  |  |  | $ | 3,505,650 |
| December 31, 2016
| Fair Value Measurements Using |  | Total
(In thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Fair Value
Assets: |  |  |  |  |  |  |
Fixed maturities, available for sale |  |  |  |  |  |  |
U.S. Treasury obligations | $ | — |  |  | $ | 146,539 |  |  | $ | — |  |  | $ | 146,539 |
U.S. Government-sponsored enterprise obligations | — |  |  | 30,235 |  |  | — |  |  | 30,235 |
State and municipal bonds | — |  |  | 800,463 |  |  | — |  |  | 800,463 |
Corporate debt, multiple observable inputs | 2,339 |  |  | 1,261,842 |  |  | — |  |  | 1,264,181 |
Corporate debt, limited observable inputs | — |  |  | — |  |  | 14,810 |  |  | 14,810 |
Residential mortgage-backed securities | — |  |  | 217,906 |  |  | — |  |  | 217,906 |
Agency commercial mortgage-backed securities | — |  |  | 12,783 |  |  | — |  |  | 12,783 |
Other commercial mortgage-backed securities | — |  |  | 19,611 |  |  | — |  |  | 19,611 |
Other asset-backed securities | — |  |  | 103,871 |  |  | 3,007 |  |  | 106,878 |
Equity securities |  |  |  |  |  |  |
Financial | 81,749 |  |  | — |  |  | — |  |  | 81,749 |
Utilities/Energy | 52,869 |  |  | — |  |  | — |  |  | 52,869 |
Consumer oriented | 61,284 |  |  | — |  |  | — |  |  | 61,284 |
Industrial | 54,265 |  |  | — |  |  | — |  |  | 54,265 |
Bond funds | 79,843 |  |  | 10,159 |  |  | — |  |  | 90,002 |
All other | 27,181 |  |  | 19,924 |  |  | — |  |  | 47,105 |
Short-term investments | 437,580 |  |  | 4,504 |  |  | — |  |  | 442,084 |
Other investments | 1,956 |  |  | 29,542 |  |  | 3 |  |  | 31,501 |
Total assets categorized within the fair value hierarchy | $ | 799,066 |  |  | $ | 2,657,379 |  |  | $ | 17,820 |  |  | 3,474,265 |
LP/LLC interests carried at NAV which approximates fair value. These interests, reported as a part of Investment in unconsolidated subsidiaries, are not categorized within the fair value hierarchy. |  |  |  |  |  |  | 204,719 |
Total assets at fair value |  |  |  |  |  |  | $ | 3,678,984 |
Summary of quantitative information about Level 3 fair value measurements | Quantitative Information Regarding Level 3 Valuations
|  | Fair Value at |  |  |  |  |  |
(In thousands) |  | March 31, 2017 |  | December 31, 2016 |  | Valuation Technique |  | Unobservable Input |  | Range (Weighted Average)
Assets: |  |  |  |  |  |  |  |  |  |
Corporate debt, limited observable inputs |  | $18,914 |  | $14,810 |  | Market Comparable Securities |  | Comparability Adjustment |  | 0% - 5% (2.5%)
|  |  |  |  |  | Discounted Cash Flows |  | Comparability Adjustment |  | 0% - 5% (2.5%)
Other asset-backed securities |  | $3,002 |  | $3,007 |  | Market Comparable Securities |  | Comparability Adjustment |  | 0% - 5% (2.5%)
|  |  |  |  |  | Discounted Cash Flows |  | Comparability Adjustment |  | 0% - 5% (2.5%)
Other investments |  | $903 |  | $3 |  | Discounted Cash Flows |  | Comparability Adjustment |  | 0% - 10% (5%)
Summary of changes in the fair value of assets measured at fair value | The following tables (the Level 3 Tables) present summary information regarding changes in the fair value of assets measured at fair value using Level 3 inputs.
| March 31, 2017
| Level 3 Fair Value Measurements – Assets
(In thousands) | Corporate Debt |  | Asset-backed Securities |  | All other investments |  | Total
Balance December 31, 2016 | $ | 14,810 |  |  | $ | 3,007 |  |  | $ | 3 |  |  | $ | 17,820 |
Total gains (losses) realized and unrealized: |  |  |  |  |  |  |
Included in earnings, as a part of: |  |  |  |  |  |  |
Net investment income | (39 | ) |  | — |  |  | — |  |  | (39 | )
Net realized investment gains (losses) | 13 |  |  | — |  |  | — |  |  | 13 |
Included in other comprehensive income | (208 | ) |  | (5 | ) |  | 2 |  |  | (211 | )
Purchases | 7,048 |  |  | — |  |  | — |  |  | 7,048 |
Sales | (1,712 | ) |  | — |  |  | — |  |  | (1,712 | )
Transfers in | — |  |  | — |  |  | 898 |  |  | 898 |
Transfers out | (998 | ) |  | — |  |  | — |  |  | (998 | )
Balance March 31, 2017 | $ | 18,914 |  |  | $ | 3,002 |  |  | $ | 903 |  |  | $ | 22,819 |
Change in unrealized gains (losses) included in earnings for the above period for Level 3 assets held at period-end | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
| March 31, 2016
| Level 3 Fair Value Measurements – Assets
(In thousands) | Corporate Debt |  | Asset-backed Securities |  | All other investments |  | Total
Balance December 31, 2015 | $ | 14,500 |  |  | $ | 757 |  |  | $ | — |  |  | $ | 15,257 |
Total gains (losses) realized and unrealized: |  |  |  |  |  |  |
Included in earnings, as a part of: |  |  |  |  |  |  |
Net investment income | (14 | ) |  | — |  |  | (1 | ) |  | (15 | )
Net realized investment gains (losses) | (75 | ) |  | — |  |  | — |  |  | (75 | )
Included in other comprehensive income | (75 | ) |  | (2 | ) |  | (1 | ) |  | (78 | )
Purchases | — |  |  | 3,500 |  |  | 1,560 |  |  | 5,060 |
Sales | (681 | ) |  | (167 | ) |  | — |  |  | (848 | )
Transfers in | — |  |  | — |  |  | — |  |  | — |
Transfers out | (6 | ) |  | — |  |  | — |  |  | (6 | )
Balance March 31, 2016 | $ | 13,649 |  |  | $ | 4,088 |  |  | $ | 1,558 |  |  | $ | 19,295 |
Change in unrealized gains (losses) included in earnings for the above period for Level 3 assets held at period-end | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Investments in Limited liability companies and limited partnerships | Investments in unconsolidated subsidiaries at both March 31, 2017 and December 31, 2016 included interests in investment fund LP s/LLC s that measure fund assets at fair value on a recurring basis and that provide a NAV for the interest. The carrying value of these interests is based on the NAV provided and was considered to approximate the fair value of the interests. In accordance with GAAP, the fair value of these investments was not classified within the fair value hierarchy. Additional information regarding these investments is as follows:
| Unfunded Commitments |  | Fair Value
(In thousands) | March 31, 2017 |  | March 31, 2017 |  | December 31, 2016
Investments in LPs/LLCs: |  |  |  |  |
Private debt funds (1) | $11,972 |  | $ | 51,307 |  |  | $ | 55,637 |
Long equity fund (2) | None |  | 6,770 |  |  | 6,268 |
Long/short equity funds (3) | None |  | 29,944 |  |  | 28,926 |
Non-public equity funds (4) | $55,334 |  | 86,506 |  |  | 89,691 |
Multi-strategy fund of funds (5) | None |  | 8,668 |  |  | 8,448 |
Structured credit fund (6) | None |  | 4,466 |  |  | 4,273 |
Long/short commodities fund (7) | None |  | 12,035 |  |  | 11,476 |
|  |  | $ | 199,696 |  |  | $ | 204,719 |
(1) | The investment is comprised of interests in two unrelated LP funds that are structured to provide interest distributions primarily through diversified portfolios of private debt instruments. One LP allows redemption by special consent; the other does not permit redemption. Income and capital are to be periodically distributed at the discretion of the LP s over an anticipated time frame that spans from three to eight years.
(2) | The fund is a LP that holds long equities of public international companies. Redemptions are allowed at the end of any calendar month with a prior notice requirement of 15 days and are paid within 10 days of the end of the calendar month of the redemption request.
(3) | The investment is comprised of interests in multiple unrelated LP funds. The funds hold primarily long and short North American equities and target absolute returns using strategies designed to take advantage of market opportunities. The funds generally permit quarterly or semi-annual capital redemptions subject to notice requirements of 30 to 90 days. For some funds, redemptions above specified thresholds (lowest threshold is 90%) may be only partially payable until after a fund audit is completed and are then payable within 30 days.
(4) | The investment is comprised of interests in multiple unrelated LP funds, each structured to provide capital appreciation through diversified investments in private equity, which can include investments in buyout, venture capital, mezzanine debt, distressed debt, and other private equity-oriented LP s. Two of the LP s allow redemption by terms set forth in the LP agreements; the others do not permit redemption. Income and capital are to be periodically distributed at the discretion of the LP over time frames that are anticipated to span up to nine years.
(5) | This fund is a LLC structured to build and manage low volatility, multi-manager portfolios that have little or no correlation to the broader fixed income and equity security markets. Redemptions are not permitted but offers to repurchase units of the LLC may be extended periodically.
(6) | This fund is a LP seeking to obtain superior risk-adjusted absolute returns by acquiring and actively managing a diversified portfolio of debt securities, including bonds, loans and other asset-backed instruments. Redemptions are allowed at any quarter-end with a prior notice requirement of 90 days.
(7) | This fund is a LLC invested across a broad range of commodities and focuses primarily on market neutral, relative value strategies, seeking to generate absolute returns with low correlation to broad commodity, equity and fixed income markets. Following an initial one year lock-up period, redemptions are allowed with a prior notice requirement of 30 days and are payable within 30 days.
Financial instruments not measured at fair value | The following table provides the estimated fair value of our financial instruments that, in accordance with GAAP for the type of investment, are measured using a methodology other than fair value. All fair values provided fall within the Level 3 fair value category.
| March 31, 2017 |  | December 31, 2016
(In thousands) | Carrying Value |  | Fair Value |  | Carrying Value |  | Fair Value
Financial assets: |  |  |  |  |  |  |
BOLI | $ | 60,589 |  |  | $ | 60,589 |  |  | $ | 60,134 |  |  | $ | 60,134 |
Other investments | $ | 50,598 |  |  | $ | 62,061 |  |  | $ | 50,391 |  |  | $ | 58,757 |
Other assets | $ | 29,196 |  |  | $ | 29,072 |  |  | $ | 29,111 |  |  | $ | 28,960 |
Financial liabilities: |  |  |  |  |  |  |
Senior notes due 2023 | $ | 250,000 |  |  | $ | 274,315 |  |  | $ | 250,000 |  |  | $ | 270,898 |
Revolving Credit Agreement | $ | 200,000 |  |  | $ | 200,000 |  |  | $ | 200,000 |  |  | $ | 200,000 |
Other liabilities | $ | 17,855 |  |  | $ | 17,855 |  |  | $ | 17,033 |  |  | $ | 17,011 |

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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=66048111&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=66048111&loc=d3e19279-110258 + Details
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- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13476-108611 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) -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13467-108611 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6447952&loc=d3e13220-108610 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 10 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=73719730&loc=d3e13433-108611 + Details
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- Definition Tabular disclosure of quantitative information about the inputs used in the fair value measurement of assets. This disclosure may include, but is not limited to, the fair value of the asset, valuation technique used to measure fair value, the inputs used to measure fair value, the ranges of the inputs, and the weighted averages of the inputs. + 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 (bbb) -URI http://asc.fasb.org/extlink&oid=66048111&loc=d3e19207-110258 + Details
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- Definition Tabular disclosure of investments in certain entities that calculate net asset value per share or equivalent measured at fair value on a recurring or nonrecurring basis. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 6A -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=66048111&loc=SL6742756-110258 + Details
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- Definition Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: 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=66048111&loc=d3e19190-110258 + Details
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