XML 60 R23.htm IDEA: XBRL DOCUMENT v2.4.0.8
Reinsurance (Tables)
 6 Months Ended
Jun. 30, 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 June 30, 2014    Due from as of  

Reinsurer

    AM Best
Company		    Standard
and Poor’s
Rating
Services		    Moody’s
Investors
Service, Inc.		    June 30,
2014		      December 31,
2013		  

Everest Reinsurance Company

    A+    A+    A1    $ 59,420       $ 87,789   

Florida Hurricane Catastrophe Fund

    n/a    n/a    n/a      —           33,593   

Odyssey Reinsurance Company

    A    A-    A3      131,277         142,190   
           

 

 

     

 

 

  

Total (1)

             $ 190,697       $ 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.

n/a - No rating applicable, because entity is not rated.
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 June 30,  
     2014     2013  
                 Loss and Loss                 Loss and Loss  
     Premiums     Premiums     Adjustment     Premiums     Premiums     Adjustment  
     Written     Earned     Expenses     Written     Earned     Expenses  

Direct

    $ 220,009      $ 192,061      $ 46,970      $ 219,946      $ 197,302      $ 50,350   

Ceded

      (76,483 )      (118,699 )      (19,291 )      (133,897 )      (130,435 )      (25,151 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net

    $ 143,526      $ 73,362      $ 27,679      $ 86,049      $ 66,867      $ 25,199   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
     Six Months Ended June 30,  
     2014     2013  
                 Loss and Loss                 Loss and Loss  
     Premiums     Premiums     Adjustment     Premiums     Premiums     Adjustment  
     Written     Earned     Expenses     Written     Earned     Expenses  

Direct

    $ 411,926      $ 382,705      $ 97,692      $ 424,085      $ 391,470      $ 100,946   

Ceded

      (198,132 )      (245,536 )      (43,188 )      (275,214 )      (259,194 )      (49,264 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net

    $ 213,794      $ 137,169      $ 54,504      $ 148,871      $ 132,276      $ 51,682   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

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):

 

     June 30,
2014		      December 31,
2013		  

Prepaid reinsurance premiums

    $ 193,811       $ 241,214   
  

 

 

     

 

 

  

Reinsurance recoverable on unpaid losses and LAE

    $ 58,705       $ 68,584   

Reinsurance recoverable on paid losses

      18,861         39,263   

Reinsurance receivable, net

      26,352         203   
  

 

 

     

 

 

  

Reinsurance recoverable and receivable

    $ 103,918       $ 108,050