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Insurance Operations (Tables)
 6 Months Ended
Jun. 30, 2012
Reinsurance/Insurance Operations [Abstract]  
Beginning and ending balances and the changes in DPAC, net of DRCC
                                 
    Three Months Ended June 30,     Six Months Ended June 30,  
    2012     2011     2012     2011  

DPAC, beginning of period (1)

   $ 51,872     $ 51,860     $ 50,200     $ 50,128  

Capitalized costs

     29,536       30,507       55,680       56,792  

Amortization of DPAC

     (24,486 )      (23,238 )      (48,958 )      (47,791 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

DPAC, end of period

   $ 56,922     $ 59,129     $ 56,922     $ 59,129  
   

 

 

    

 

 

    

 

 

    

 

 

  
         

DRCC, beginning of period (1)

   $ 40,074     $ 41,721     $ 38,845     $ 40,682  

Ceding commissions written

     21,286       26,457       44,775       47,888  

Earned ceding commissions

     (22,182 )      (21,075 )      (44,442 )      (41,467 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

DRCC, end of period

   $ 39,178     $ 47,103     $ 39,178     $ 47,103  
   

 

 

    

 

 

    

 

 

    

 

 

  
         

DPAC (DRCC), net, beginning of period (1)

   $ 11,798     $ 10,139     $ 11,355     $ 9,446  

Capitalized costs, net

     8,250       4,050       10,905       8,904  

Amortization of DPAC (DRCC), net

     (2,304 )      (2,163 )      (4,516 )      (6,324 ) 
   

 

 

    

 

 

    

 

 

    

 

 

  

DPAC (DRCC), net, end of period

   $ 17,744     $ 12,026     $ 17,744     $ 12,026  
   

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) The beginning balances for the six months ended June 30, 2012 have been adjusted in connection with the adoption of the FASB’s updated guidance related to deferred acquisition costs as discussed below.
Change in liability for unpaid losses and LAE

Set forth in the following table is the change in liability for unpaid losses and LAE for the periods presented (in thousands):

 

                                 
    Three Months Ended June 30,     Six Months Ended June 30,  
    2012     2011     2012     2011  

Balance at beginning of period

   $ 172,300     $ 158,249     $ 187,215     $ 158,928  

Less reinsurance recoverable

     79,285       78,611       88,002       79,114  
   

 

 

    

 

 

    

 

 

    

 

 

  

Net balance at beginning of period

     93,015       79,638       99,213       79,814  
   

 

 

    

 

 

    

 

 

    

 

 

  

Incurred related to:

                                

Current year

     29,362       25,587       55,711       51,923  

Prior years

     75       265       (100 )      114  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total incurred

     29,437       25,852       55,611       52,037  
   

 

 

    

 

 

    

 

 

    

 

 

  

Paid related to:

                                

Current year

     14,382       12,817       15,335       14,875  

Prior years

     16,614       13,606       48,033       37,909  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total paid

     30,996       26,423       63,368       52,784  
   

 

 

    

 

 

    

 

 

    

 

 

  

Net balance at end of period

     91,456       79,068       91,456       79,068  

Plus reinsurance recoverables

     73,169       76,307       73,169       76,307  
   

 

 

    

 

 

    

 

 

    

 

 

  

Balance at end of period

   $ 164,625     $ 155,375     $ 164,625     $ 155,375  
   

 

 

    

 

 

    

 

 

    

 

 

  
Statutory capital and surplus, and an amount representing ten percent of total liabilities for both UPCIC and APPCIC
                 
    As of     As of  
    June 30,    

December 31,

  
    2012     2011  

Ten percent of total liabilities

                

UPCIC

   $ 60,300     $ 37,063  

APPCIC

   $ 461     $ 97  
     

Statutory capital and surplus

                

UPCIC

   $ 135,337     $ 122,956  

APPCIC

   $ 9,331     $ 9,378