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Segment Information (Tables)
 6 Months Ended
Jun. 30, 2017
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
Financial results by segment were as follows:
 
Three Months Ended June 30, 2017
(In thousands)
Specialty P&C

Workers' Compensation

Lloyd's Syndicate

Corporate

Inter-segment Eliminations

Consolidated
Net premiums earned
$
109,005

 
$
56,854

 
$
14,494

 
$
—

 
$
—

 
$
180,353

Net investment income
—

 
—

 
410

 
22,267

 
—

 
22,677

Equity in earnings (loss) of unconsolidated subsidiaries
—

 
—

 
—

 
2,516

 
—

 
2,516

Net realized gains (losses)
—

 
—

 
47

 
(2,266
)
 
—

 
(2,219
)
Other income
1,469

 
209

 
(151
)
 
778

 
(55
)
 
2,250

Net losses and loss adjustment expenses
(71,296
)
 
(33,486
)
 
(10,768
)
 
—

 
—

 
(115,550
)
Underwriting, policy acquisition and operating expenses
(26,239
)
 
(17,093
)
 
(6,851
)
 
(7,757
)
 
55

 
(57,885
)
Segregated portfolio cells dividend (expense) income (1)(2)
(5,119
)
 
(2,698
)
 
—

 
(994
)
 
—

 
(8,811
)
Interest expense
—

 
—

 
—

 
(4,145
)
 
—

 
(4,145
)
Income tax benefit (expense)(2)
—

 
—

 
548

 
(216
)
 
—

 
332

Segment operating results
$
7,820

 
$
3,786

 
$
(2,271
)
 
$
10,183

 
$
—

 
$
19,518

Significant non-cash items:
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization, net of accretion
$
1,506

 
$
831

 
$
(5
)
 
$
3,814

 
$
—

 
$
6,146

 
Six Months Ended June 30, 2017
(In thousands)
Specialty P&C

Workers' Compensation

Lloyd's Syndicate

Corporate

Inter-segment Eliminations

Consolidated
Net premiums earned
$
222,063

 
$
112,137


$
29,056


$
—


$
—

 
$
363,256

Net investment income
—

 
—


782


45,081


—

 
45,863

Equity in earnings (loss) of unconsolidated subsidiaries
—

 
—


—


4,324


—

 
4,324

Net realized gains (losses)
—

 
—


74


10,987


—

 
11,061

Other income
2,668

 
354


240


951


(142
)
 
4,071

Net losses and loss adjustment expenses
(146,291
)
 
(68,136
)

(20,274
)

—


—

 
(234,701
)
Underwriting, policy acquisition and operating expenses
(52,217
)
 
(33,784
)

(13,062
)

(16,073
)

142

 
(114,994
)
Segregated portfolio cells dividend (expense) income (1)(2)
(5,091
)
 
(3,872
)
 
—

 
(2,223
)
 
—

 
(11,186
)
Interest expense
—

 
—

 
—

 
(8,278
)
 
—

 
(8,278
)
Income tax benefit (expense)(2)
—

 
—

 
555

 
1,002

 
—

 
1,557

Segment operating results
$
21,132

 
$
6,699

 
$
(2,629
)
 
$
35,771

 
$
—

 
$
60,973

Significant non-cash items:
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization, net of accretion
$
3,417

 
$
1,668

 
$
(8
)
 
$
8,872

 
$
—

 
$
13,949



 
Three Months Ended June 30, 2016
(In thousands)
Specialty P&C

Workers' Compensation

Lloyd's Syndicate

Corporate

Inter-segment Eliminations

Consolidated
Net premiums earned
$
108,126

 
$
55,093

 
$
13,513

 
$
—

 
$
—

 
$
176,732

Net investment income
—

 
—

 
337

 
24,246

 
—

 
24,583

Equity in earnings (loss) of unconsolidated subsidiaries
—

 
—

 
—

 
376

 
—

 
376

Net realized gains (losses)
—

 
—

 
14

 
10,915

 
—

 
10,929

Other income
1,732

 
139

 
188

 
286

 
(164
)
 
2,181

Net losses and loss adjustment expenses (3)
(62,301
)
 
(34,661
)
 
(8,502
)
 
—

 
(1,435
)
 
(106,899
)
Underwriting, policy acquisition and operating expenses (3)
(25,902
)
 
(16,334
)
 
(5,240
)
 
(8,157
)
 
1,599

 
(54,034
)
Segregated portfolio cells dividend (expense) income (1)
—

 
(1,277
)
 
—

 
(246
)
 
—

 
(1,523
)
Interest expense
—

 
—

 
—

 
(3,851
)
 
—

 
(3,851
)
Income tax benefit (expense)
—

 
—

 
(812
)
 
(4,601
)
 
—

 
(5,413
)
Segment operating results
$
21,655

 
$
2,960

 
$
(502
)
 
$
18,968

 
$
—

 
$
43,081

Significant non-cash items:
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization, net of accretion
$
1,486

 
$
1,393

 
$
43

 
$
5,421

 
$
—

 
$
8,343

 
Six Months Ended June 30, 2016
(In thousands)
Specialty P&C

Workers' Compensation

Lloyd's Syndicate

Corporate

Inter-segment Eliminations

Consolidated
Net premiums earned
$
218,882

 
$
109,476

 
$
25,954

 
$
—

 
$
—

 
$
354,312

Net investment income
—

 
—

 
653

 
49,370

 
—

 
50,023

Equity in earnings (loss) of unconsolidated subsidiaries
—

 
—

 
—

 
(3,259
)
 
—

 
(3,259
)
Net realized gains (losses)
—

 
—

 
8

 
2,570

 
—

 
2,578

Other income
3,008

 
610

 
440

 
744

 
(267
)
 
4,535

Net losses and loss adjustment expenses (3)
(133,477
)
 
(69,687
)
 
(14,690
)
 
—

 
—

 
(217,854
)
Underwriting, policy acquisition and operating expenses (3)
(50,954
)
 
(34,165
)
 
(10,406
)
 
(15,665
)
 
267

 
(110,923
)
Segregated portfolio cells dividend (expense) income (1)
—

 
(1,990
)
 
—

 
(709
)
 
—

 
(2,699
)
Interest expense
—

 
—

 
—

 
(7,537
)
 
—

 
(7,537
)
Income tax benefit (expense)
—

 
—

 
(897
)
 
(5,880
)
 
—

 
(6,777
)
Segment operating results
$
37,459

 
$
4,244

 
$
1,062

 
$
19,634

 
$
—

 
$
62,399

Significant non-cash items:
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization, net of accretion
$
3,497

 
$
2,797

 
$
109

 
$
10,568

 
$
—

 
$
16,971

(1) During the first quarter of 2017, ProAssurance began reporting in the Corporate segment the portion of the SPC dividend (expense) income that is attributable to the investment results of the SPCs, all of which are reported in the Corporate segment, to better align the expense with the related investment results of the SPCs. For comparative purposes, ProAssurance has reflected the SPC dividend expense for 2016 in the same manner.
(2) During the second quarter of 2017, ProAssurance recognized a $5.2 million pre-tax expense related to previously unrecognized SPC dividend expense for the cumulative earnings of unrelated parties that have owned segregated portfolio cells at various periods since 2003 in a Bermuda captive insurance operation managed by the Company's HCPL line of business within the Specialty P&C segment. The expense recorded in the second quarter of 2017 related to periods prior to the current period and is unrelated to the captive operations of the Company's Eastern Re subsidiary. The $1.8 million tax impact of the expense recognized in the second quarter of 2017 is reflected as an income tax benefit in the Corporate segment.
(3) During the second quarter of 2016, ProAssurance discontinued the practice of eliminating in consolidation the portion of the management fee that was allocated to ULAE and reversed the elimination that was recorded in the first quarter of 2016. Thus, there was no management fee elimination recorded in ULAE for the 2016 six-month period and no similar elimination for the 2017 three- and six-month periods.
Schedule of Gross Premiums by Product
The following table provides detailed information regarding ProAssurance's gross premiums earned by product as well as a reconciliation to net premiums earned. All gross premiums earned are from external customers except as noted. ProAssurance's insured risks are primarily within the U.S.
 
Three Months Ended June 30
 
Six Months Ended June 30
(In thousands)
2017
 
2016
 
2017
 
2016
Specialty P&C Segment
 
 
 
 
 
 
 
Gross premiums earned:
 
 
 
 
 
 
 
Healthcare professional liability
$
115,781

 
$
111,938

 
$
232,832

 
$
225,687

Legal professional liability
6,417

 
6,493

 
12,734

 
13,107

Medical technology liability
8,389

 
8,243

 
16,701

 
16,794

Other
101

 
154

 
203

 
421

Ceded premiums earned
(21,683
)
 
(18,702
)
 
(40,407
)
 
(37,127
)
Segment net premiums earned
109,005

 
108,126

 
222,063

 
218,882

 
 
 
 
 
 
 
 
Workers' Compensation Segment
 
 
 
 
 
 
 
Gross premiums earned:
 
 
 
 
 
 
 
Traditional business
42,501

 
42,193

 
84,269

 
84,844

Alternative market business
20,209

 
18,805

 
39,655

 
37,099

Ceded premiums earned
(5,856
)
 
(5,905
)
 
(11,787
)
 
(12,467
)
Segment net premiums earned
56,854

 
55,093

 
112,137

 
109,476

 
 
 
 
 
 
 
 
Lloyd's Syndicate Segment
 
 
 
 
 
 
 
Gross premiums earned:
 
 
 
 
 
 
 
Property and casualty*
16,960

 
13,859

 
34,145

 
27,231

Ceded premiums earned
(2,466
)
 
(346
)
 
(5,089
)
 
(1,277
)
Segment net premiums earned
14,494

 
13,513

 
29,056

 
25,954

 

 

 

 

Consolidated Net premiums earned
$
180,353

 
$
176,732

 
$
363,256

 
$
354,312

*Includes premium assumed from the Specialty P&C segment of $3.1 million and $6.6 million for the three and six months ended June 30, 2017, respectively, and $3.4 million and $7.0 million for the three and six months ended June 30, 2016.