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Fair Value Measurements (Tables) | 12 Months Ended
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Dec. 31, 2022
Fair Value Disclosures [Abstract] |
Company's Invested Assets and Derivative Instruments Measured at Fair Value on Recurring Basis | The following table presents information about the Company’s invested assets and derivative instruments measured at fair value on a recurring basis as of December 31, 2022 and 2021 and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value.
As of December 31, 2022 |  | Fair Value Measurements |
(Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets: |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturities: |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 344,103 |  |  | $ | — |  |  | $ | — |  |  | $ | 344,103 |
Obligations of states and political subdivisions |  |  | — |  |  |  | 31,595 |  |  |  | — |  |  |  | 31,595 |
Mortgage-backed securities |  |  | — |  |  |  | 61,156 |  |  |  | 960 |  |  |  | 62,116 |
Commercial mortgage-backed securities |  |  | — |  |  |  | 98,664 |  |  |  | — |  |  |  | 98,664 |
Asset-backed securities |  |  | — |  |  |  | 189,073 |  |  |  | 327 |  |  |  | 189,400 |
Corporate bonds |  |  | — |  |  |  | 336,767 |  |  |  | 2,013 |  |  |  | 338,780 |
Foreign corporate bonds |  |  | — |  |  |  | 183,540 |  |  |  | — |  |  |  | 183,540 |
Total fixed maturities |  |  | 344,103 |  |  |  | 900,795 |  |  |  | 3,300 |  |  |  | 1,248,198 |
Equity securities |  |  | — |  |  |  | 16,249 |  |  |  | 1,271 |  |  |  | 17,520 |
Total assets measured at fair value |  | $ | 344,103 |  |  | $ | 917,044 |  |  | $ | 4,571 |  |  | $ | 1,265,718 |
As of December 31, 2021 |  | Fair Value Measurements |
(Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets: |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturities: |  |  |  |  |  |  |  |  |  |  |  |
U.S. treasuries |  | $ | 150,118 |  |  | $ | — |  |  | $ | — |  |  | $ | 150,118 |
Agency obligations |  |  | — |  |  |  | 5,630 |  |  |  | — |  |  |  | 5,630 |
Obligations of states and political subdivisions |  |  | — |  |  |  | 54,721 |  |  |  | — |  |  |  | 54,721 |
Mortgage-backed securities |  |  | — |  |  |  | 250,341 |  |  |  | — |  |  |  | 250,341 |
Commercial mortgage-backed securities |  |  | — |  |  |  | 136,893 |  |  |  | — |  |  |  | 136,893 |
Asset-backed securities |  |  | — |  |  |  | 171,686 |  |  |  | 956 |  |  |  | 172,642 |
Corporate bonds |  |  | — |  |  |  | 290,807 |  |  |  | 1,576 |  |  |  | 292,383 |
Foreign corporate bonds |  |  | — |  |  |  | 139,138 |  |  |  | — |  |  |  | 139,138 |
Total fixed maturities |  |  | 150,118 |  |  |  | 1,049,216 |  |  |  | 2,532 |  |  |  | 1,201,866 |
Equity securities |  |  | 75,750 |  |  |  | 23,991 |  |  |  | 237 |  |  |  | 99,978 |
Total assets measured at fair value |  | $ | 225,868 |  |  | $ | 1,073,207 |  |  | $ | 2,769 |  |  | $ | 1,301,844 |
Liabilities: |  |  |  |  |  |  |  |  |  |  |  |
Derivative instruments |  | $ | — |  |  | $ | 8,395 |  |  | $ | — |  |  | $ | 8,395 |
Total liabilities measured at fair value |  | $ | — |  |  | $ | 8,395 |  |  | $ | — |  |  | $ | 8,395 |
Changes in Level 3 Investments Measured at Fair Value on Recurring Basis | The following table presents changes in Level 3 investments measured at fair value on a recurring basis for the years ended December 31, 2022, 2021, and 2020:
|  | Years Ended December 31, |
(Dollars in thousands) |  | 2022 |  |  | 2021 |  |  | 2020 |
Beginning balance |  | $ | 2,769 |  |  | $ | — |  |  | $ | — |
Total gains (realized / unrealized): |  |  |  |  |  |  |  |  |
Included in accumulated other comprehensive income |  |  | (21 | ) |  |  | (35 | ) |  |  | — |
Included in earnings attributable to realized gains / losses |  |  | (61 | ) |  |  | 60 |  |  |  | — |
Transfers into level 3 |  |  | 857 |  |  |  | 1,400 |  |  |  | — |
Transfers out of level 3 |  |  | — |  |  |  | (1,815 | ) |  |  | — |
Amortization of bond premium and discount, net |  |  | 6 |  |  |  | 1 |  |  |  | — |
Purchases |  |  | 2,304 |  |  |  | 3,286 |  |  |  | — |
Sales |  |  | (1,283 | ) |  |  | (128 | ) |  |  | — |
Ending balance |  |  | 4,571 |  |  |  | 2,769 |  |  |  | — |
Gains included in earnings attributable to the change in unrealized gains (losses) related to assets still held at end of reporting period |  | $ | 95 |  |  | $ | — |  |  | $ | — |
Current Fair Value of Debt | For the Company’s material debt arrangements, the current fair value of the Company’s debt at December 31, 2022 and 2021 was as follows:
|  | December 31, 2022 |  |  | December 31, 2021 |
(Dollars in thousands) |  | Carrying Value |  |  | Fair Value |  |  | Carrying Value |  |  | Fair Value |
7.875% Subordinated Notes due 2047 (1) |  | $ | — |  |  | $ | — |  |  | $ | 126,430 |  |  | $ | 129,238 |
Total |  | $ | — |  |  | $ | — |  |  | $ | 126,430 |  |  | $ | 129,238 |
(1) As of December 31, 2021, the carrying value and fair value of the 7.875% Subordinated Notes due 2047 are net of unamortized debt issuance cost of $3.6 million. In April 2022, the Company redeemed all of its outstanding 7.875% subordinated notes due 2047 and unamortized debt issuance cost of $3.5 million was written off and included in the consolidated statements of operations as loss on extinguishment of debt.
Fair Value and Future Funding Commitments Related to These Investments | The following table provides the fair value and future funding commitments related to these investments at December 31, 2022 and 2021.
|  | December 31, 2022 |  |  | December 31, 2021 |
(Dollars in thousands) |  | Fair Value |  |  | Future Funding Commitment |  |  | Fair Value |  |  | Future Funding Commitment |
European Non-Performing Loan Fund, LP (1) |  | $ | 4,832 |  |  | $ | 14,214 |  |  | $ | 8,636 |  |  | $ | 14,214 |
Distressed Debt Fund, LP (2) |  |  | — |  |  |  | — |  |  |  | 349 |  |  |  | 17,000 |
Mortgage Debt Fund, LP (3) |  |  | 9,771 |  |  |  | — |  |  |  | 11,707 |  |  |  | — |
Credit Fund, LLC (4) |  |  | — |  |  |  | — |  |  |  | 106,162 |  |  |  | — |
Global Debt Fund, LP (5) |  |  | 23,573 |  |  |  | — |  |  |  | 25,797 |  |  |  | — |
Total |  | $ | 38,176 |  |  | $ | 14,214 |  |  | $ | 152,651 |  |  | $ | 31,214 |
(1) This limited partnership invests in distressed securities and assets through senior and subordinated, secured and unsecured debt and equity, in both public and private large-cap and middle-market companies. The Company does not have the ability to sell or transfer its limited partnership interest without consent from the general partner. The Company does not have the contractual option to redeem its limited partnership interest but receives distributions based on the liquidation of the underlying assets. (2) This limited partnership invested in stressed and distressed securities and structured products. The Company received a final distribution from the limited partnership during the fourth quarter of 2022. (3) This limited partnership invests in REIT qualifying assets such as mortgage loans, investor property loans, and commercial mortgage loans. The Company does not have the ability to sell or transfer its limited partnership interest without consent from the general partner. The Company does not have the contractual option to redeem its limited partnership interest but receives distributions based on the liquidation of the underlying assets. (4) This limited liability company invests in a broad portfolio of non-investment grade loans, secured and unsecured corporate debt, credit default swaps, reverse repurchase agreements and synthetic indices. During the second quarter of 2022, the Company provided the fund with formal withdrawal requests in full and received a final distribution during the third quarter. (5) This limited partnership invests in performing, stressed or distressed securities and loans across the global fixed income markets. The Company does have the contractual option to withdraw all or a portion of its limited partnership interest by providing notice to the fund.

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- Definition Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19279-110258 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2C -URI https://asc.fasb.org/extlink&oid=126976982&loc=SL7498348-110258 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (bb) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 + Details
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- Definition Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 + Details
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- Definition Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19279-110258 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258 + Details
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