XML 27 R12.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Investments | 12 Months Ended
--- | ---
Dec. 31, 2023
Investments [Abstract] |
Investments |
4. | Investments
The amortized cost and estimated fair value of fixed income securities as of December 31, 2023 and 2022, were as follows:
|  | December 31, 2023 |
|  | Cost or Amortized Cost |  |  | Allowance for Expected Credit Losses |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies |  | $ | 10,998 |  |  | $ | — |  |  | $ | — |  |  | $ | (736 | ) |  | $ | 10,262 |
Obligations of states and political subdivisions |  |  | 55,769 |  |  |  | — |  |  |  | 408 |  |  |  | (4,716 | ) |  |  | 51,461 |
Corporate securities |  |  | 152,630 |  |  |  | — |  |  |  | 442 |  |  |  | (10,856 | ) |  |  | 142,216 |
Residential mortgage-backed securities |  |  | 66,362 |  |  |  | — |  |  |  | 180 |  |  |  | (5,379 | ) |  |  | 61,163 |
Commercial mortgage-backed securities |  |  | 33,532 |  |  |  | — |  |  |  | 148 |  |  |  | (4,241 | ) |  |  | 29,439 |
Asset-backed securities |  |  | 52,692 |  |  |  | — |  |  |  | 142 |  |  |  | (3,805 | ) |  |  | 49,029 |
Redeemable preferred stocks |  |  | 4,747 |  |  |  | — |  |  |  | — |  |  |  | (586 | ) |  |  | 4,161 |
Total fixed income securities |  | $ | 376,730 |  |  | $ | — |  |  | $ | 1,320 |  |  | $ | (30,319 | ) |  | $ | 347,731 |
|  | December 31, 2022 |
|  | Cost or Amortized Cost |  |  | Allowance for Expected Credit Losses |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies |  | $ | 11,174 |  |  | $ | — |  |  | $ | 1 |  |  | $ | (1,008 | ) |  | $ | 10,167 |
Obligations of states and political subdivisions |  |  | 60,342 |  |  |  | — |  |  |  | 38 |  |  |  | (6,454 | ) |  |  | 53,926 |
Corporate securities |  |  | 136,837 |  |  |  | — |  |  |  | 109 |  |  |  | (15,787 | ) |  |  | 121,159 |
Residential mortgage-backed securities |  |  | 53,254 |  |  |  | — |  |  |  | 85 |  |  |  | (5,846 | ) |  |  | 47,493 |
Commercial mortgage-backed securities |  |  | 30,837 |  |  |  | — |  |  |  | — |  |  |  | (4,702 | ) |  |  | 26,135 |
Asset-backed securities |  |  | 45,786 |  |  |  | — |  |  |  | — |  |  |  | (5,061 | ) |  |  | 40,725 |
Redeemable preferred stocks |  |  | 4,747 |  |  |  | — |  |  |  | — |  |  |  | (1,028 | ) |  |  | 3,719 |
Total fixed income securities |  | $ | 342,977 |  |  | $ | — |  |  | $ | 233 |  |  | $ | (39,886 | ) |  | $ | 303,324 |
The amortized cost and estimated fair value of fixed income securities by contractual maturity are shown below. Actual maturities could differ from contractual maturities because issuers may have the right to call or prepay these securities.
|  | December 31, 2023 |
|  | Amortized Cost |  |  | Fair Value |
Due to mature: |  |  |  |  |  |  |  |
One year or less |  | $ | 9,612 |  |  | $ | 9,436 |
After one year through five years |  |  | 75,794 |  |  |  | 72,602 |
After five years through ten years |  |  | 86,185 |  |  |  | 79,281 |
After ten years |  |  | 47,806 |  |  |  | 42,620 |
Mortgage / asset-backed securities |  |  | 152,586 |  |  |  | 139,631 |
Redeemable preferred stocks |  |  | 4,747 |  |  |  | 4,161 |
Total fixed income securities |  | $ | 376,730 |  |  | $ | 347,731 |
|  | December 31, 2022 |
|  | Amortized Cost |  |  | Fair Value |
Due to mature: |  |  |  |  |  |  |  |
One year or less |  | $ | 10,130 |  |  | $ | 9,971 |
After one year through five years |  |  | 81,879 |  |  |  | 77,031 |
After five years through ten years |  |  | 76,648 |  |  |  | 65,966 |
After ten years |  |  | 39,696 |  |  |  | 32,284 |
Mortgage / asset-backed securities |  |  | 129,877 |  |  |  | 114,353 |
Redeemable preferred stocks |  |  | 4,747 |  |  |  | 3,719 |
Total fixed income securities |  | $ | 342,977 |  |  | $ | 303,324 |
Fixed income securities with a fair value of $6,403 at December 31, 2023, and $6,613 at December 31, 2022, were deposited with various state regulatory agencies as required by law. The Company has not pledged any assets to secure any obligations. The investment category and duration of the Company’s gross unrealized losses on fixed income securities are shown below. Investments with unrealized losses are categorized with a duration of greater than 12 months when all positions of a security have continually been in a loss position for at least 12 months.
|  | December 31, 2023 |
|  | Less than 12 Months |  |  | Greater than 12 months |  |  | Total |
|  | Fair Value |  |  | Unrealized Losses |  |  | Fair Value |  |  | Unrealized Losses |  |  | Fair Value |  |  | Unrealized Losses |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies |  | $ | — |  |  | $ | — |  |  | $ | 9,018 |  |  | $ | (736 | ) |  | $ | 9,018 |  |  | $ | (736 | )
Obligations of states and political subdivisions |  |  | 5,239 |  |  |  | (359 | ) |  |  | 36,194 |  |  |  | (4,357 | ) |  |  | 41,433 |  |  |  | (4,716 | )
Corporate securities |  |  | 8,018 |  |  |  | (93 | ) |  |  | 110,117 |  |  |  | (10,763 | ) |  |  | 118,135 |  |  |  | (10,856 | )
Residential mortgage-backed securities |  |  | 12,054 |  |  |  | (104 | ) |  |  | 33,341 |  |  |  | (5,275 | ) |  |  | 45,395 |  |  |  | (5,379 | )
Commercial mortgage-backed securities |  |  | 2,678 |  |  |  | (5 | ) |  |  | 23,713 |  |  |  | (4,236 | ) |  |  | 26,391 |  |  |  | (4,241 | )
Asset-backed securities |  |  | 4,463 |  |  |  | (18 | ) |  |  | 30,200 |  |  |  | (3,787 | ) |  |  | 34,663 |  |  |  | (3,805 | )
Redeemable preferred stocks |  |  | — |  |  |  | — |  |  |  | 4,161 |  |  |  | (586 | ) |  |  | 4,161 |  |  |  | (586 | )
Total fixed income securities |  | $ | 32,452 |  |  | $ | (579 | ) |  | $ | 246,744 |  |  | $ | (29,740 | ) |  | $ | 279,196 |  |  | $ | (30,319 | )
|  | December 31, 2022 |
|  | Less than 12 Months |  |  | Greater than 12 months |  |  | Total |
|  | Fair Value |  |  | Unrealized Losses |  |  | Fair Value |  |  | Unrealized Losses |  |  | Fair Value |  |  | Unrealized Losses |
Fixed income securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies |  | $ | 7,078 |  |  | $ | (537 | ) |  | $ | 2,587 |  |  | $ | (471 | ) |  | $ | 9,665 |  |  | $ | (1,008 | )
Obligations of states and political subdivisions |  |  | 40,213 |  |  |  | (3,554 | ) |  |  | 9,045 |  |  |  | (2,900 | ) |  |  | 49,258 |  |  |  | (6,454 | )
Corporate securities |  |  | 76,645 |  |  |  | (7,944 | ) |  |  | 39,683 |  |  |  | (7,843 | ) |  |  | 116,328 |  |  |  | (15,787 | )
Residential mortgage-backed securities |  |  | 21,017 |  |  |  | (1,805 | ) |  |  | 18,519 |  |  |  | (4,041 | ) |  |  | 39,536 |  |  |  | (5,846 | )
Commercial mortgage-backed securities |  |  | 18,932 |  |  |  | (2,674 | ) |  |  | 7,204 |  |  |  | (2,028 | ) |  |  | 26,136 |  |  |  | (4,702 | )
Asset-backed securities |  |  | 18,904 |  |  |  | (1,522 | ) |  |  | 21,809 |  |  |  | (3,539 | ) |  |  | 40,713 |  |  |  | (5,061 | )
Redeemable preferred stocks |  |  | 3,015 |  |  |  | (732 | ) |  |  | 705 |  |  |  | (296 | ) |  |  | 3,720 |  |  |  | (1,028 | )
Total fixed income securities |  | $ | 185,804 |  |  | $ | (18,768 | ) |  | $ | 99,552 |  |  | $ | (21,118 | ) |  | $ | 285,356 |  |  | $ | (39,886 | )
We, along with our investment advisors, frequently review our investment portfolio for declines in fair value that could be indicative of credit losses. Beginning on December 31, 2022, credit losses are recognized through an allowance account. We consider a number of factors when determining if an allowance for credit losses is necessary, including payment and default history, credit spreads, credit ratings and rating actions, and probability of default. We determine the credit loss component of fixed income securities by utilizing discounted cash flow modeling to determine the present value of the security and comparing the present value with the amortized cost of the security. We did not recognize any credit losses for fixed income securities at the time of adoption of the new credit loss accounting standard or during the year ended December 31, 2023. Therefore, there was no beginning or ending balance of credit losses for the years ended December 31, 2022 and 2023. See Item II, Part 8, Note 3 “Summary of Significant Accounting Policies” for additional information. Net investment income consisted of the following:
|  | Year Ended December 31, |
|  | 2023 |  |  | 2022 |  |  | 2021 |
Fixed income securities |  | $ | 11,506 |  |  | $ | 9,226 |  |  | $ | 8,489 |
Equity securities |  |  | 1,118 |  |  |  | 1,485 |  |  |  | 1,221 |
Real estate |  |  | 622 |  |  |  | 595 |  |  |  | 625 |
Cash and cash equivalents |  |  | 579 |  |  |  | 30 |  |  |  | 4 |
Total gross investment income |  |  | 13,825 |  |  |  | 11,336 |  |  |  | 10,339 |
Investment expenses |  |  | 3,369 |  |  |  | 3,516 |  |  |  | 3,208 |
Net investment income |  | $ | 10,456 |  |  | $ | 7,820 |  |  | $ | 7,131 |
Net investment gains (losses) consisted of the following:
|  | Year Ended December 31, |
|  | 2023 |  |  | 2022 |  |  | 2021 |
Gross realized gains: |  |  |  |  |  |  |  |  |  |  |  |
Fixed income securities |  | $ | 1 |  |  | $ | 117 |  |  | $ | 677 |
Equity securities |  |  | 13,974 |  |  |  | 7,078 |  |  |  | 17,453 |
Total gross realized gains |  |  | 13,975 |  |  |  | 7,195 |  |  |  | 18,130 |
Gross realized losses, excluding credit impairment losses: |  |  |  |  |  |  |  |  |  |  |  |
Fixed income securities |  |  | (583 | ) |  |  | (268 | ) |  |  | (27 | )
Equity securities |  |  | (1,341 | ) |  |  | (5,003 | ) |  |  | (335 | )
Total gross realized losses, excluding credit impairment losses |  |  | (1,924 | ) |  |  | (5,271 | ) |  |  | (362 | )
Net realized gains |  |  | 12,051 |  |  |  | 1,924 |  |  |  | 17,768 |
Change in net unrealized gain on equity securities |  |  | (9,927 | ) |  |  | (15,050 | ) |  |  | (2,289 | )
Net investment gains (losses) |  | $ | 2,124 |  |  | $ | (13,126 | ) |  | $ | 15,479 |

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//320/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481800/320-10-50-10 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-6B Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-6B Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) -Publisher SEC Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 946 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//946-320/tableOfContent Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 940 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//940-320/tableOfContent Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 942 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//942-320/tableOfContent + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration