XML 37 R27.htm IDEA: XBRL DOCUMENT v3.22.4
Insurance Operations (Tables)
 3 Months Ended
Mar. 31, 2022
Insurance [Abstract]  
Schedule of Beginning and Ending Balances and Changes in DPAC, Net of DRCC
The following table presents the beginning and ending balances and the changes in DPAC for the periods presented (in thousands):
Three Months Ended
March 31,
20222021
DPAC, beginning of period$108,822 $110,614 
Capitalized Costs49,199 54,722 
Amortization of DPAC(54,399)(54,143)
DPAC, end of period$103,622 $111,193 
Schedule of Statutory Capital and Surplus, and an Amount Representing Ten Percent of Total Liabilities for both UPCIC and APPCIC The following table presents the amount of capital and surplus calculated in accordance with statutory accounting principles, which differs from U.S. GAAP, and an amount representing ten percent of total liabilities for each of the Insurance Entities as of the dates presented (in thousands):
March 31, 2022December 31, 2021
Statutory capital and surplus
  UPCIC (1) (2)$389,248 $378,750 
  APPCIC (3)$18,539 $16,104 
Ten percent of total liabilities
  UPCIC$114,748 $122,292 
  APPCIC$1,191 $649 
(1)
At March 31, 2022, statutory capital and surplus for UPCIC included a $20 million Subordinated Surplus Debenture (“Surplus Debenture”) funded in March 2022 by UVE through PSI, the Insurance Entities’ parent company, which is a component of surplus under statutory accounting principles and a liability under U.S. GAAP. The carrying amount of the Surplus Debenture included in the statutory capital and surplus of UPCIC is $130 million as of March 31, 2022.
(2)
At December 31, 2021, statutory capital and surplus for UPCIC included a $20 million Surplus Debenture funded in October 2021 by UVE through PSI, the Insurance Entities’ parent company, which is a component of surplus under statutory accounting principles and a liability under U.S. GAAP. In addition, capital and surplus included a contribution of $90 million Surplus Debenture funded in February 2022 which was not recognized on a U.S. GAAP basis as of December 31, 2021. The carrying amount of the Surplus Debenture included in the statutory capital and surplus of UPCIC is $110 million as of December 31, 2021.
(3)
At March 31, 2022, statutory capital and surplus for APPCIC included a $3 million Surplus Debenture funded in March 2022 by UVE through PSI, the Insurance Entities’ parent company, which is a component of surplus under statutory accounting principles and a liability under U.S. GAAP. The carrying amount of the Surplus Debenture included in the statutory capital and surplus of APPCIC is $3 million as of March 31, 2022.
Through PSI, UVE recorded contributions for the periods presented (in thousands):

Three Months Ended
March 31,
20222021
Capital contributions - UPCIC$— $77,000 
The following table summarizes combined net income (loss) for the Insurance Entities determined in accordance with statutory accounting practices for the periods presented (in thousands):
Three Months Ended
March 31,
 20222021
Combined net income (loss) $(11,933)$(7,376)
The Insurance Entities are required by various state laws and regulations to maintain certain assets in depository accounts. The following table represents assets held by insurance regulators as of the dates presented (in thousands):
March 31, 2022December 31, 2021
Restricted cash and cash equivalents$2,635 $2,635 
Investments$3,317 $3,441