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6. Property and Casualty Insurance Activity (Tables)
 9 Months Ended
Sep. 30, 2019
Insurance [Abstract]  
Schedule of earned premiums
     Direct      Assumed      Ceded      Net  
                         
Nine months ended September 30, 2019                        
 Premiums written   $ 128,333,117     $ 938     $ (20,914,074 )   $ 107,419,981  
 Change in unearned premiums     (11,035,993 )     (559 )     (1,366,251 )     (12,402,803 )
 Premiums earned   $ 117,297,124     $ 379     $ (22,280,325 )   $ 95,017,178  
                                 
Nine months ended September 30, 2018                                
 Premiums written   $ 107,175,413     $ 842     $ (19,409,423 )   $ 87,766,832  
 Change in unearned premiums     (9,930,503 )     3,762       (3,363,953 )   $ (13,290,694 )
 Premiums earned   $ 97,244,910     $ 4,604     $ (22,773,376 )   $ 74,476,138  
                                 
Three months ended September 30, 2019                                
 Premiums written   $ 46,023,290     $ 861     $ (5,586,278 )   $ 40,437,873  
 Change in unearned premiums     (4,579,777 )     (761 )     (1,637,325 )     (6,217,863 )
 Premiums earned   $ 41,443,513     $ 100     $ (7,223,603 )   $ 34,220,010  
                                 
Three months ended September 30, 2018                                
 Premiums written   $ 38,785,453     $ 18     $ (2,683,699 )   $ 36,101,772  
 Change in unearned premiums     (4,435,174 )     698       (4,133,389 )     (8,567,865 )
 Premiums earned   $ 34,350,279     $ 716     $ (6,817,088 )   $ 27,533,907  
Schedule of loss and loss adjustment expenses
     Nine months ended  
    September 30,  
    2019     2018  
             
 Balance at beginning of period   $ 56,197,106     $ 48,799,622  
 Less reinsurance recoverables     (15,671,247 )     (16,748,908 )
 Net balance, beginning of period     40,525,859       32,050,714  
                 
 Incurred related to:                
 Current year     60,401,821       41,611,658  
 Prior years     11,186,029       127,465  
 Total incurred     71,587,850       41,739,123  
                 
 Paid related to:                
 Current year     31,515,656       23,404,909  
 Prior years     18,600,946       12,160,419  
 Total paid     50,116,602       35,565,328  
                 
 Net balance at end of period     61,997,107       38,224,509  
 Add reinsurance recoverables     15,412,316       15,718,448  
 Balance at end of period   $ 77,409,423     $ 53,942,957  
Allocated claim adjustment expenses

                                                       
  (in thousands, except reported claims data)                                            
                                                                               
    Incurred Loss and Allocated Loss Adjustment Expenses, Net of Reinsurance  

  As Of September 30, 2019      

        
    For the Years Ended December 31,                          
Accident Year   2010     2011     2012     2013     2014     2015     2016     2017     2018      

Nine

Months Ended

September 30, 2019

       IBNR     Cumulative Number of Reported Claims by Accident Year        
    (Unaudited 2010 - 2018)               (Unaudited)        
                                                                               
2010   $ 5,598     $ 5,707     $ 6,429     $ 6,623     $ 6,912     $ 6,853     $ 6,838     $ 6,840     $ 6,787     $ 6,793     $ -     1,617        
2011             7,603       7,678       8,618       9,440       9,198       9,066       9,144       9,171       9,161       14     1,914        
2012                     9,539       9,344       10,278       10,382       10,582       10,790       10,791       11,016       79     4,704 (1)      
2013                             10,728       9,745       9,424       9,621       10,061       10,089       10,571       95     1,561        
2014                                     14,193       14,260       14,218       14,564       15,023       16,576       454     2,134        
2015                                             22,340       21,994       22,148       22,491       23,408       311     2,555        
2016                                                     26,062       24,941       24,789       28,209       883     2,873        
2017                                                             31,605       32,169       34,848       879     3,368        
2018                                                                     54,455       56,320       3,091     4,162        
2019                                                                             57,364       16,404     3,118        
                                                                     Total     $ 254,266                      

  

(1) Reported claims for accident year 2012 includes 3,406 claims from Superstorm Sandy.

 

All Lines of Business                                            
(in thousands)                                                  
    Cumulative Paid Loss and Allocated Loss Adjustment Expenses, Net of Reinsurance  
    For the Years Ended December 31,    

Nine

Months Ended

September 30,

  
Accident Year   2010     2011     2012     2013     2014     2015     2016     2017     2018     2019  
    (Unaudited 2010 - 2018)     (Unaudited)  
                                                             
2010   $ 2,566     $ 3,947     $ 4,972     $ 5,602     $ 6,323     $ 6,576     $ 6,720     $ 6,772     $ 6,780     $ 6,780  
2011             3,740       5,117       6,228       7,170       8,139       8,540       8,702       8,727       8,778  
2012                     3,950       5,770       7,127       8,196       9,187       10,236       10,323       10,422  
2013                             3,405       5,303       6,633       7,591       8,407       9,056       9,235  
2014                                     5,710       9,429       10,738       11,770       13,819       14,692  
2015                                             12,295       16,181       18,266       19,984       20,982  
2016                                                     15,364       19,001       21,106       22,988  
2017                                                             16,704       24,820       27,470  
2018                                                                     32,383       43,383  
2019                                                                             30,115  
                                                                    Total     $ 194,845  
                                                                                 

 
Reconciliation of the net incurred and paid claims
    As of  
(in thousands)   September 30, 2019  
Liabilities for loss and loss adjustment expenses, net of reinsurance   $ 59,564  
Total reinsurance recoverable on unpaid losses     15,412  
Unallocated loss adjustment expenses     2,433  
Total gross liability for loss and LAE reserves   $ 77,409  
Schedule of line of business
    Treaty Year              
    July 1, 2019     July 1, 2018     July 1, 2017  
    to     to     to  
 Line of Business   June 30, 2020     June 30, 2019     June 30, 2018  
                   
Personal Lines:                  
Homeowners, dwelling fire and canine legal liability                  
 Quota share treaty:                  
 Percent ceded     None       10 %     20 %
 Risk retained   $ 1,000,000     $ 900,000     $ 800,000  
 Losses per occurrence subject to quota share reinsurance coverage     None     $ 1,000,000     $  1,000,000  
 Excess of loss coverage and facultative facility above quota share coverage (1)   $ 10,000,000     $ 9,000,000     $ 9,000,000  
               in excess of       in excess of  
            $ 1,000,000     $ 1,000,000  
 Total reinsurance coverage per occurrence   $ 9,000,000     $ 9,100,000     $ 9,200,000  
 Losses per occurrence subject to reinsurance coverage   $ 10,000,000     $ 10,000,000     $ 10,000,000  
 Expiration date     June 30, 2020     June 30, 2019       June 30, 2019  
                         
 Personal Umbrella                        
 Quota share treaty:                        
 Percent ceded - first $1,000,000 of coverage     90 %     90 %     90 %
 Percent ceded - excess of $1,000,000 dollars of coverage     100 %     100 %     100 %
 Risk retained   $ 100,000     $ 100,000     $ 100,000  
 Total reinsurance coverage per occurrence   $ 4,900,000     $ 4,900,000     $ 4,900,000  
 Losses per occurrence subject to quota share reinsurance coverage   $ 5,000,000     $ 5,000,000     $ 5,000,000  
 Expiration date     June 30, 2020       June 30, 2019       June 30, 2018  
                         
Commercial Lines:                        
 General liability commercial policies                        
 Quota share treaty      None        None        None  
 Risk retained   $ 750,000     $ 750,000     $ 750,000  
 Excess of loss coverage above risk retained   $ 3,750,000     $ 3,750,000     $ 3,750,000  
      in excess of       in excess of        in excess of  
    $ 750,000     $ 750,000     $ 750,000  
 Total reinsurance coverage per occurrence   $ 3,750,000     $ 3,750,000     $ 3,750,000  
 Losses per occurrence subject to reinsurance coverage   $ 4,500,000     $ 4,500,000     $ 4,500,000  
                         
 Commercial Umbrella                        
 Quota share treaty:     None                   
 Percent ceded - first $1,000,000 of coverage             90 %     90 %
 Percent ceded - excess of $1,000,000 of coverage             100 %     100 %
 Risk retained           $ 100,000     $ 100,000  
 Total reinsurance coverage per occurrence           $ 4,900,000     $ 4,900,000  
 Losses per occurrence subject to quota share reinsurance coverage           $ 5,000,000     $ 5,000,000  
 Expiration date             June 30, 2019       June 30, 2018  
                         
Catastrophe Reinsurance:                        
Initial loss subject to personal lines quota share treaty     None     $ 5,000,000     $  5,000,000  
 Risk retained per catastrophe occurrence (2)   $ 7,500,000     $ 4,500,000     $ 4,000,000  
 Catastrophe loss coverage in excess of quota share coverage (3)   $ 602,500,000     $ 445,000,000     $ 315,000,000  
 Reinstatement premium protection (4)(5)(6)     Yes        Yes        Yes  

 
Schedule of single maximum risks under treaties
  July 1, 2019 - June 30, 2020
Treaty  Range of Loss  Risk Retained
Personal Lines (1)  Initial $1,000,000 $1,000,000
   $1,000,000 - $10,000,000  None(2)
   Over $10,000,000 100%
     
Personal Umbrella  Initial $1,000,000 $100,000
   $1,000,000 - $5,000,000  None
   Over $5,000,000 100%
     
Commercial Lines  Initial $750,000 $750,000
   $750,000 - $4,500,000  None(3)
   Over $4,500,000 100%
     
Catastrophe (4)  Initial $7,500,000 $7,500,000
   $7,500,000 - $610,000,000  None
   Over $610,000,000 100%

 

  July 1, 2018 - June 30, 2019 July 1, 2017 - June 30, 2018
Treaty  Range of Loss  Risk Retained  Range of Loss  Risk Retained
Personal Lines (1)  Initial $1,000,000 $900,000  Initial $1,000,000 $800,000
   $1,000,000 - $10,000,000  None(2)  $1,000,000 - $10,000,000  None(2)
   Over $10,000,000 100%  Over $10,000,000 100%
         
Personal Umbrella  Initial $1,000,000 $100,000  Initial $1,000,000 $100,000
   $1,000,000 - $5,000,000  None  $1,000,000 - $5,000,000  None
   Over $5,000,000 100%  Over $5,000,000 100%
         
Commercial Lines  Initial $750,000 $750,000  Initial $750,000 $750,000
   $750,000 - $4,500,000  None(3)  $750,000 - $4,500,000  None(3)
   Over $4,500,000 100%  Over $4,500,000 100%
         
Commercial Umbrella  Initial $1,000,000 $100,000  Initial $1,000,000 $100,000
   $1,000,000 - $5,000,000  None  $1,000,000 - $5,000,000  None
   Over $5,000,000 100%  Over $5,000,000 100%
         
Catastrophe (4)  Initial $5,000,000 $4,500,000  Initial $5,000,000 $4,000,000
   $5,000,000 - $450,000,000  None  $5,000,000 - $320,000,000  None
   Over $450,000,000 100%  Over $320,000,000 100%
Schedule of ceding commission revenue
     Three months ended      Nine months ended  
    September 30,     September 30,  
     2019      2018      2019      2018  
                         
 Provisional ceding commissions earned   $ 1,320,069     $ 1,255,034     $ 4,001,294     $ 5,468,314  
 Contingent ceding commissions earned     (290,487 )     (210,505 )     (1,018,334 )     (1,037,459 )
    $ 1,029,582     $ 1,044,529     $ 2,982,960     $ 4,430,855