Investments (Tables)

12 Months Ended

Dec. 31, 2012

Significant Assumptions in Determining Credit Loss Component of Other Than Temporary Impairments on Residential Mortgage Backed Scurities [Table Text Block]

The following table presents the range of significant assumptions used to determine the credit loss component of other than temporary impairments we have recognized on residential mortgage backed securities at December 31, 2012 and 2011, which are all senior level tranches within the structure of the securities:



		Discount Rate				Default Rate				Loss Severity
Sector	Vintage	Min		Max		Min		Max		Min		Max
Year ended December 31, 2012
Prime	2005	6.5	%	7.7	%	8	%	19	%	40	%	50	%
	2006	5.8	%	7.6	%	9	%	19	%	40	%	55	%
	2007	6.1	%	7.3	%	11	%	38	%	40	%	60	%
Alt-A	2004	5.8	%	5.8	%	11	%	11	%	60	%	60	%
	2005	5.6	%	8.7	%	12	%	38	%	5	%	55	%
	2006	6.0	%	6.0	%	32	%	46	%	55	%	60	%
	2007	6.2	%	7.0	%	31	%	55	%	55	%	65	%

Year ended December 31, 2011
Prime	2005	5.8	%	7.9	%	6	%	19	%	40	%	55	%
	2006	6.4	%	7.6	%	8	%	15	%	45	%	60	%
	2007	5.8	%	7.9	%	8	%	30	%	40	%	60	%
	2008	6.6	%	6.6	%	13	%	13	%	45	%	45	%
Alt-A	2004	5.8	%	5.8	%	11	%	11	%	50	%	50	%
	2005	5.7	%	7.7	%	11	%	32	%	5	%	55	%
	2006	6.0	%	7.3	%	23	%	47	%	50	%	60	%
	2007	6.2	%	7.4	%	29	%	59	%	50	%	70	%

Realized Gain (Loss) on Investments [Table Text Block]

Realized gains and losses on sales are determined on the basis of specific identification of investments based on the trade date. Net realized gains (losses) on investments, excluding other than temporary impairment losses are as follows:



	Year Ended December 31,
	2012			2011			2010
	(Dollars in thousands)
Available for sale fixed maturity securities:
Gross realized gains	$	10,906		$	12,614		$	27,755
Gross realized losses	(562		)	(1,423		)	(2,575		)
	10,344			11,191			25,180
Equity securities:
Gross realized gains	562			966			14,384
Gross realized losses	—			—			(71		)
	562			966			14,313
Mortgage loans on real estate:
Increase in allowance for credit losses	(16,832		)	(30,770		)	(15,225		)
Other investments:
Gains on sale of real estate	5,149			377			—
Impairment losses on real estate	(5,677		)	(405		)	(542		)
	(528		)	(28		)	(542		)
	$	(6,454	)	$	(18,641	)	$	23,726

Unrealized Gain (Loss) on Investments [Table Text Block]

Changes in net unrealized gains/losses on investments for the years ended December 31, 2012, 2011 and 2010 are as follows:



	Year Ended December 31,
	2012			2011			2010
	(Dollars in thousands)
Fixed maturity securities held for investment carried at amortized cost	$	14,783		$	40,668		$	(7,233	)
Investments carried at fair value:
Fixed maturity securities, available for sale	$	731,279		$	1,275,061		$	417,318
Equity securities, available for sale	4,417			(369		)	(5,380		)
	735,696			1,274,692			411,938
Adjustment for effect on other balance sheet accounts:
Deferred policy acquisition costs and deferred sales inducements	(382,498		)	(697,140		)	(239,206		)
Deferred income tax asset	(123,620		)	(202,143		)	(60,456		)
	(506,118		)	(899,283		)	(299,662		)
Change in net unrealized gains/losses on investments carried at fair value	$	229,578		$	375,409		$	112,276

Schedule of Unrealized Loss on Investments [Table Text Block]

The following tables show our investments' gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities (consisting of 198 and 246 securities, respectively) have been in a continuous unrealized loss position, at December 31, 2012 and 2011:



	Less than 12 months					12 months or more					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(Dollars in thousands)
December 31, 2012
Fixed maturity securities:
Available for sale:
United States Government sponsored agencies	$	973,728	$	(3,468	)	$	—	$	—		$	973,728	$	(3,468	)
United States municipalities, states and territories	24,393		(125		)	—		—			24,393		(125		)
Corporate securities:
Finance, insurance and real estate	177,962		(4,126		)	85,709		(8,438		)	263,671		(12,564		)
Manufacturing, construction and mining	426,120		(4,303		)	21,975		(1,281		)	448,095		(5,584		)
Utilities and related sectors	221,044		(5,187		)	39,224		(4,212		)	260,268		(9,399		)
Wholesale/retail trade	101,790		(784		)	10,250		(208		)	112,040		(992		)
Services, media and other	264,421		(3,085		)	—		—			264,421		(3,085		)
Residential mortgage backed securities	220,622		(8,679		)	260,226		(19,049		)	480,848		(27,728		)
Commercial mortgage backed securities	161,582		(1,983		)	—		—			161,582		(1,983		)
Other asset backed securities	145,238		(2,242		)	26,131		(731		)	171,369		(2,973		)
	$	2,716,900	$	(33,982	)	$	443,515	$	(33,919	)	$	3,160,415	$	(67,901	)
Held for investment:
Corporate security:
Insurance	$	—	$	—		$	61,521	$	(14,567	)	$	61,521	$	(14,567	)

Equity security, available for sale:
Services	$	—	$	—		$	8,722	$	(1,403	)	$	8,722	$	(1,403	)

December 31, 2011
Fixed maturity securities:
Available for sale:
United States municipalities, states and territories	$	3,535	$	(10	)	$	—	$	—		$	3,535	$	(10	)
Foreign government obligations	—		—			14,282		(242		)	14,282		(242		)
Corporate securities:
Finance, insurance and real estate	363,909		(36,575		)	146,354		(15,611		)	510,263		(52,186		)
Manufacturing, construction and mining	201,762		(7,131		)	15,593		(1,627		)	217,355		(8,758		)
Utilities and related sectors	174,251		(7,576		)	37,778		(6,946		)	212,029		(14,522		)
Wholesale/retail trade	15,523		(188		)	9,275		(1,194		)	24,798		(1,382		)
Services, media and other	27,688		(249		)	17,105		(2,895		)	44,793		(3,144		)
Residential mortgage backed securities	295,352		(19,920		)	709,612		(52,161		)	1,004,964		(72,081		)
Other asset backed securities	115,542		(2,863		)	15,550		(2,748		)	131,092		(5,611		)
	$	1,197,562	$	(74,512	)	$	965,549	$	(83,424	)	$	2,163,111	$	(157,936	)
Held for investment:
Corporate security:
Insurance	$	—	$	—		$	59,342	$	(16,590	)	$	59,342	$	(16,590	)

Equity securities, available for sale:
Finance, insurance and real estate	$	20,028	$	(3,095	)	$	3,750	$	(1,250	)	$	23,778	$	(4,345	)

Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designatio [Table Text Block]

The following table summarizes the credit quality, as determined by NAIC designation, of our fixed maturity portfolio as of the dates indicated:



	December 31,
	2012				2011
NAIC Designation	Amortized Cost		Fair Value		Amortized Cost		Fair Value
	(Dollars in thousands)
1	$	13,737,381	$	15,250,560	$	14,359,272	$	15,486,571
2	7,838,186		8,533,121		4,894,739		5,272,759
3	398,294		387,222		335,642		315,406
4	53,879		56,151		26,674		23,989
5	—		—		4,932		5,756
6	5,375		6,603		3,226		4,050
	$	22,033,115	$	24,233,657	$	19,624,485	$	21,108,531

Investments Classified by Contractual Maturity Date [Table Text Block]

The amortized cost and fair value of fixed maturity securities at December 31, 2012, by contractual maturity are shown below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. All of our mortgage and other asset backed securities provide for periodic payments throughout their lives and are shown below as separate lines.



	Available for sale				Held for investment
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
	(Dollars in thousands)
Due in one year or less	$	39,743	$	41,276	$	—	$	—
Due after one year through five years	679,050		765,237		—		—
Due after five years through ten years	4,655,968		5,049,957		—		—
Due after ten years through twenty years	5,608,423		6,134,359		—		—
Due after twenty years	6,918,145		7,936,704		76,088		61,521
	17,901,329		19,927,533		76,088		61,521
Residential mortgage backed securities	2,743,537		2,888,113		—		—
Commercial mortgage backed securities	354,870		357,982		—		—
Other asset backed securities	957,291		998,508		—		—
	$	21,957,027	$	24,172,136	$	76,088	$	61,521

Schedule of Available for Sale and Held for Investment Securites Reconciliation [Table Text Block]

At December 31, 2012 and 2011, the amortized cost and fair value of fixed maturity securities and equity securities were as follows:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(Dollars in thousands)
December 31, 2012
Fixed maturity securities:
Available for sale:
United States Government full faith and credit	$	4,590	$	564	$	—		$	5,154
United States Government sponsored agencies	1,763,789		11,704		(3,468		)	1,772,025
United States municipalities, states and territories	3,116,678		461,770		(125		)	3,578,323
Foreign government obligations	86,099		19,160		—			105,259
Corporate securities	12,930,173		1,568,223		(31,624		)	14,466,772
Residential mortgage backed securities	2,743,537		172,304		(27,728		)	2,888,113
Commercial mortgage backed securities	354,870		5,095		(1,983		)	357,982
Other asset backed securities	957,291		44,190		(2,973		)	998,508
	$	21,957,027	$	2,283,010	$	(67,901	)	$	24,172,136
Held for investment:
Corporate security	$	76,088	$	—	$	(14,567	)	$	61,521

Equity securities, available for sale:
Finance, insurance and real estate	$	44,598	$	10,227	$	(1,403	)	$	53,422

December 31, 2011
Fixed maturity securities:
Available for sale:
United States Government full faith and credit	$	4,084	$	594	$	—		$	4,678
United States Government sponsored agencies	1,780,401		19,378		—			1,799,779
United States municipalities, states and territories	2,981,699		351,694		(10		)	3,333,383
Foreign government obligations	60,809		7,766		(242		)	68,333
Corporate securities	9,092,737		1,078,511		(79,992		)	10,091,256
Residential mortgage backed securities	2,618,040		157,331		(72,081		)	2,703,290
Other asset backed securities	442,509		26,492		(5,611		)	463,390
	$	16,980,279	$	1,641,766	$	(157,936	)	$	18,464,109
Held for investment:
United States Government sponsored agencies	$	2,568,274	$	16,806	$	—		$	2,585,080
Corporate security	75,932		—		(16,590		)	59,342
	$	2,644,206	$	16,806	$	(16,590	)	$	2,644,422
Equity securities, available for sale:
Finance, insurance and real estate	$	58,438	$	8,752	$	(4,345	)	$	62,845

Schedule of Components of Net Unrealized Gain/(Loss) on Availabe-for-sale Fixed Maturity and Equity Securities Reported as Seperate Component of Stockholders' Equity [Table Text Block]

Net unrealized gains on available for sale fixed maturity securities and equity securities reported as a separate component of stockholders' equity were comprised of the following:



	December 31,
	2012			2011
	(Dollars in thousands)
Net unrealized gains on available for sale fixed maturity securities and equity securities	$	2,223,933		$	1,488,237
Adjustments for assumed changes in amortization of deferred policy acquisition costs and deferred sales inducements	(1,201,974		)	(819,476		)
Deferred income tax valuation allowance reversal	22,534			22,534
Deferred income tax benefit	(357,686		)	(234,066		)
Net unrealized gains reported as accumulated other comprehensive income	$	686,807		$	457,229

Investment Income [Table Text Block]

Components of net investment income are as follows:



	Year Ended December 31,
	2012			2011			2010
	(Dollars in thousands)
Fixed maturity securities	$	1,112,296		$	1,048,376		$	875,894
Equity securities	3,090			3,315			5,299
Mortgage loans on real estate	176,354			172,731			159,193
Cash and cash equivalents	2,243			554			621
Other	6,348			4,020			1,636
	1,300,331			1,228,996			1,042,643
Less investment expenses	(13,408		)	(10,216		)	(6,537		)
Net investment income	$	1,286,923		$	1,218,780		$	1,036,106

Other Than Temporary Impairment by Asset Type [Table Text Block]

The following table summarizes other than temporary impairments by asset type:



	Number of Securities	Total OTTI Losses			Portion of OTTI Losses Recognized from Other Comprehensive Income			Net OTTI Losses Recognized in Operations
	(Dollars in thousands)
Year ended December 31, 2012
Fixed maturity securities, available for sale:
Corporate securities:
Finance	1	$	(1,765	)	$	—		$	(1,765	)
Retail	1	(622		)	—			(622		)
Residential mortgage backed securities	39	(3,024		)	(9,521		)	(12,545		)
	41	$	(5,411	)	$	(9,521	)	$	(14,932	)

Year ended December 31, 2011
Fixed maturity securities, available for sale:
Residential mortgage backed securities	66	$	(19,420	)	$	(13,796	)	$	(33,216	)
Equity securities, available for sale:
Finance	1	(760		)	—			(760		)
	67	$	(20,180	)	$	(13,796	)	$	(33,976	)

Year ended December 31, 2010
Fixed maturity securities, available for sale:
Corporate securities:
Finance	1	$	(822	)	—			(822		)
Retail	1	(1,576		)	—			(1,576		)
Residential mortgage backed securities	30	(17,146		)	(4,323		)	(21,469		)
	32	$	(19,544	)	$	(4,323	)	$	(23,867	)

Other than Temporary Impairment, Credit Losses Recognized in Earnings [Table Text Block]

The cumulative portion of other than temporary impairments determined to be credit losses which have been recognized in operations for debt securities are summarized as follows:



	Year Ended December 31,
	2012			2011
	(Dollars in thousands)
Cumulative credit loss at beginning of year	$	(119,095	)	$	(96,893	)
Credit losses on securities for which OTTI has not previously been recognized	(12,365		)	(4,141		)
Additional credit losses on securities for which OTTI has previously been recognized	(2,567		)	(29,075		)
Accumulated losses on securities that were disposed of during the period	—			11,014
Cumulative credit loss at end of year	$	(134,027	)	$	(119,095	)

Schedule of Temporary Impairment Losses, Investments [Table Text Block]

The following table summarizes the cumulative noncredit portion of OTTI and the change in fair value since recognition of OTTI, both of which were recognized in other comprehensive income, by major type of security for securities that are part of our investment portfolio at December 31, 2012 and 2011:



	Amortized Cost		OTTI Recognized in Other Comprehensive Income			Change in Fair Value Since OTTI was Recognized		Fair Value
	(Dollars in thousands)
December 31, 2012
Fixed maturity securities, available for sale:
Corporate securities	$	10,599	$	(2,151	)	$	5,676	$	14,124
Residential mortgage backed securities	855,915		(177,604		)	171,514		849,825
Equity securities, available for sale:
Finance, insurance and real estate	9,976		—			9,668		19,644
	$	876,490	$	(179,755	)	$	186,858	$	883,593
December 31, 2011
Fixed maturity securities, available for sale:
Corporate securities	$	3,347	$	(2,151	)	$	4,818	$	6,014
Residential mortgage backed securities	999,024		(187,126		)	125,502		937,400
Equity securities, available for sale:
Finance, insurance and real estate	12,019		—			8,110		20,129
	$	1,014,390	$	(189,277	)	$	138,430	$	963,543

Non-income Producing Investments [Table Text Block]

The following table summarizes the carrying value of our fixed maturity securities, mortgage loans on real estate and real estate owned that have been non-income producing for 12 consecutive months:



	December 31,
	2012		2011
	(Dollars in thousands)
Fixed maturity securities, available for sale	$	4,691	5,852
Mortgage loans on real estate	2,783		4,064
Real estate owned	1,270		5,257
	$	8,744	$	15,173