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Reinsurance (Tables)
 3 Months Ended
Mar. 31, 2014
Insurance [Abstract]  
Current Ratings from Rating Agencies and Unsecured Net Amounts Due from Reinsurers Whose Aggregate Balance Exceeded 3% of Stockholders' Equity

The following table presents ratings from rating agencies and the unsecured amounts due from the Company’s reinsurers whose aggregate balance exceeded 3% of the Company’s stockholders’ equity as of the dates presented (in thousands):

 

     Ratings as of March 31, 2014      Due from as of  

Reinsurer

    AM Best
Company		      Standard
and Poor’s
Rating
Services		      Moody’s
Investors
Service, Inc.		      March 31, 2014      December 31,
2013		  

Everest Reinsurance Company

      A+         A+         A1       $ 79,920       $ 87,789   

Florida Hurricane Catastrophe Fund

      n/a         n/a         n/a         13,480         33,593   

Odyssey Reinsurance Company

      A         A-         A3         138,013         142,190   
           

 

 

     

 

 

  

Total (1)

             $ 231,413       $ 263,572   
           

 

 

     

 

 

  

 

(1) Amounts represent prepaid reinsurance premiums, reinsurance receivables, and net recoverables for paid and unpaid losses, including incurred but not reported reserves, loss adjustment expenses, and offsetting reinsurance payables.
Reinsurance Arrangements

The Company’s reinsurance arrangements had the following effect on certain items in the Condensed Consolidated Statements of Income for the periods presented (in thousands):

 

     Three Months Ended March 31, 2014  
     Premiums
Written		     Premiums
Earned		     Loss and Loss
Adjustment
Expenses		  

Direct

    $ 191,917      $ 190,644      $ 50,722   

Ceded

      (121,649 )      (126,837 )      (23,897 ) 
  

 

 

    

 

 

    

 

 

  

Net

    $ 70,268      $ 63,807      $ 26,825   
  

 

 

    

 

 

    

 

 

  
     Three Months Ended March 31, 2013  
     Premiums
Written		     Premiums
Earned		     Loss and Loss
Adjustment
Expenses		  

Direct

    $ 204,139      $ 194,168      $ 50,596   

Ceded

      (141,317 )      (128,759 )      (24,113 ) 
  

 

 

    

 

 

    

 

 

  

Net

    $ 62,822      $ 65,409      $ 26,483   
  

 

 

    

 

 

    

 

 

  
Prepaid Reinsurance Premiums and Reinsurance Recoverable and Receivable

The following prepaid reinsurance premiums and reinsurance recoverable and receivable are reflected in the Condensed Consolidated Balance Sheets as of the dates presented (in thousands):

 

     As of
March 31, 2014		      As of
December 31, 2013		  

Prepaid reinsurance premiums

    $ 236,026       $ 241,214   
  

 

 

     

 

 

  

Reinsurance recoverable on unpaid losses and LAE

    $ 64,109       $ 68,584   

Reinsurance recoverable on paid losses

      11,988         39,263   

Reinsurance receivable, net

      7,004         203   
  

 

 

     

 

 

  

Reinsurance recoverable and receivable

    $ 83,101       $ 108,050