Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Oct. 29, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | HCI | |
Entity Registrant Name | HCI Group, Inc. | |
Entity Central Index Key | 0001400810 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Shares | |
Security Exchange Name | NYSE | |
Entity File Number | 001-34126 | |
Entity Incorporation, State or Country Code | FL | |
Entity Tax Identification Number | 20-5961396 | |
Entity Address, Address Line One | 5300 West Cypress Street | |
Entity Address, Address Line Two | Suite 100 | |
Entity Address, City or Town | Tampa | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33607 | |
City Area Code | 813 | |
Local Phone Number | 849-9500 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Common Stock, Shares Outstanding | 7,982,057 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Assets | ||
Fixed-maturity securities, available for sale, at fair value (amortized cost: $91,166 and $199,954, respectively and allowance for credit losses: $596 and $0, respectively) | $ 92,743 | $ 202,839 |
Equity securities, at fair value (cost: $39,861 and $31,863, respectively) | 42,702 | 35,285 |
Short-term investments | 491 | |
Limited partnership investments | 27,497 | 28,346 |
Investment in unconsolidated joint venture, at equity | 716 | 762 |
Assets held for sale | 4,519 | |
Real estate investments | 70,566 | 73,763 |
Total investments | 238,743 | 341,486 |
Cash and cash equivalents | 410,691 | 229,218 |
Restricted cash | 2,400 | 700 |
Accrued interest and dividends receivable | 916 | 1,616 |
Income taxes receivable | 2,711 | 1,040 |
Premiums receivable | 28,505 | 20,255 |
Prepaid reinsurance premiums | 42,170 | 17,983 |
Reinsurance recoverable, net of allowance for credit losses: | ||
Paid losses and loss adjustment expenses (allowance: $0 and $0, respectively) | 20,240 | 16,155 |
Unpaid losses and loss adjustment expenses (allowance: $90 and $0, respectively) | 74,944 | 116,523 |
Deferred policy acquisition costs | 29,701 | 21,663 |
Property and equipment, net | 12,693 | 14,698 |
Intangible assets, net | 3,723 | 4,192 |
Other assets | 20,376 | 17,080 |
Total assets | 887,813 | 802,609 |
Liabilities and Stockholders’ Equity | ||
Losses and loss adjustment expenses | 219,345 | 214,697 |
Unearned premiums | 238,936 | 181,163 |
Advance premiums | 17,083 | 5,589 |
Assumed reinsurance balances payable | 92 | 76 |
Accrued expenses | 15,855 | 10,059 |
Deferred income taxes, net | 8,866 | 4,008 |
Revolving credit facility | 8,750 | 9,750 |
Long-term debt | 155,675 | 163,695 |
Other liabilities | 23,479 | 28,029 |
Total liabilities | 688,081 | 617,066 |
Commitments and contingencies (Note 21) | ||
Stockholders’ equity: | ||
Preferred stock | ||
Common stock (no par value, 40,000,000 shares authorized, 7,793,677 and 7,764,564 shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively) | ||
Additional paid-in capital | ||
Retained income | 198,092 | 183,365 |
Accumulated other comprehensive income, net of taxes | 1,640 | 2,178 |
Total stockholders’ equity | 199,732 | 185,543 |
Total liabilities and stockholders’ equity | 887,813 | 802,609 |
7% Series A Cumulative Convertible Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Preferred stock | ||
Series B Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Preferred stock |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale Debt securities, Amortized cost | $ 91,166 | $ 199,954 |
Available-for-sale Debt securities, Allowance for credit losses | 596 | 0 |
Equity Securities, Cost | 39,861 | 31,863 |
Paid losses and loss adjustments allowance | 0 | 0 |
Unpaid losses and loss adjustments allowance | $ 90 | $ 0 |
Preferred stock, no par value | ||
Preferred stock, authorized | 20,000,000 | 18,100,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, no par value | ||
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 7,793,677 | 7,764,564 |
Common stock, outstanding | 7,793,677 | 7,764,564 |
7% Series A Cumulative Convertible Preferred Stock [Member] | ||
Preferred stock, no par value | ||
Preferred stock, authorized | 1,500,000 | 1,500,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Series B Preferred Stock [Member] | ||
Preferred stock, no par value | ||
Preferred stock, authorized | 400,000 | 400,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue | ||||
Gross premiums earned | $ 106,694 | $ 86,002 | $ 306,862 | $ 251,914 |
Premiums ceded | (44,231) | (31,568) | (109,304) | (94,298) |
Net premiums earned | 62,463 | 54,434 | 197,558 | 157,616 |
Net investment income | 1,832 | 3,621 | 3,244 | 11,125 |
Net realized investment gains (losses) | 177 | (30) | (632) | (535) |
Net unrealized investment gains (losses) | 1,340 | 642 | (581) | 7,261 |
Credit losses on investments | (70) | 0 | (596) | 0 |
Policy fee income | 895 | 811 | 2,571 | 2,406 |
Gain on involuntary conversion | 36,969 | 0 | 36,969 | 0 |
Other | 421 | 501 | 1,591 | 1,370 |
Total revenue | 104,027 | 59,979 | 240,124 | 179,243 |
Expenses | ||||
Losses and loss adjustment expenses | 51,743 | 27,327 | 119,664 | 78,616 |
Policy acquisition and other underwriting expenses | 14,210 | 10,988 | 39,027 | 30,738 |
General and administrative personnel expenses | 9,871 | 7,951 | 27,969 | 23,313 |
Interest expense | 2,856 | 2,907 | 8,846 | 10,128 |
Loss on repurchases of convertible senior notes | 0 | 0 | 150 | 0 |
Loss on extinguishment of debt | 98 | 0 | 98 | 0 |
Other operating expenses | 3,713 | 3,087 | 10,354 | 9,131 |
Total expenses | 82,491 | 52,260 | 206,108 | 151,926 |
Income before income taxes | 21,536 | 7,719 | 34,016 | 27,317 |
Income tax expense | 6,146 | 1,866 | 9,143 | 7,173 |
Net income | $ 15,390 | $ 5,853 | $ 24,873 | $ 20,144 |
Basic earnings per share | $ 1.97 | $ 0.73 | $ 3.21 | $ 2.49 |
Diluted earnings per share | $ 1.70 | $ 0.73 | $ 3.03 | $ 2.49 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 15,390 | $ 5,853 | $ 24,873 | $ 20,144 |
Change in unrealized gain (loss) on investments: | ||||
Net unrealized gains arising during the period | 247 | 447 | 56 | 4,777 |
Credit losses charged to income | 70 | 0 | 596 | 0 |
Call and repayment gains charged to investment income | (15) | (2) | (231) | (1) |
Reclassification adjustment for net realized losses (gains) | 21 | (26) | (1,133) | (59) |
Net change in unrealized gains (losses) | 323 | 419 | (712) | 4,717 |
Deferred income taxes on above change | (79) | (83) | 174 | (1,173) |
Total other comprehensive income (loss), net of income taxes | 244 | 336 | (538) | 3,544 |
Comprehensive income | $ 15,634 | $ 6,189 | $ 24,335 | $ 23,688 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | Share Repurchase Plan [Member] | Common Stock [Member] | Common Stock [Member]Share Repurchase Plan [Member] | Additional Paid-In Capital [Member] | Additional Paid-In Capital [Member]Share Repurchase Plan [Member] | Retained Income [Member] | Retained Income [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Accumulated Other Comprehensive Income (Loss), Net of Tax [Member] |
Beginning Balance at Dec. 31, 2018 | $ 181,441 | $ 0 | $ 182,894 | $ (1,453) | ||||||
Beginning Balance, shares at Dec. 31, 2018 | 8,356,730 | |||||||||
Net income | 20,144 | 20,144 | ||||||||
Total other comprehensive income, net of income taxes | 3,544 | 3,544 | ||||||||
Exercise of common stock options, value | $ 63 | 63 | ||||||||
Exercise of common stock options, shares | 10,000 | 10,000 | ||||||||
Issuance of restricted stock | $ 0 | $ 0 | 0 | 0 | 0 | |||||
Issuance of restricted stock, shares | 180,404 | |||||||||
Forfeiture of restricted stock, value | 0 | $ 0 | 0 | 0 | 0 | |||||
Forfeiture of restricted stock, shares | (271,243) | |||||||||
Repurchase and retirement of common stock, value | (1,023) | $ (15,191) | (1,023) | $ (15,191) | ||||||
Repurchase and retirement of common stock, shares | (24,849) | (367,736) | ||||||||
Common stock dividends | (9,599) | (9,599) | ||||||||
Stock-based compensation | 4,694 | 4,694 | ||||||||
Tax basis adjustment on equity method investment | 132 | 132 | ||||||||
Additional paid-in capital shortfall allocated to retained income | 11,325 | (11,325) | ||||||||
Ending Balance at Sep. 30, 2019 | 184,205 | 182,114 | 2,091 | |||||||
Ending Balance, shares at Sep. 30, 2019 | 7,883,306 | |||||||||
Beginning Balance at Jun. 30, 2019 | 186,494 | 0 | 184,739 | 1,755 | ||||||
Beginning Balance, shares at Jun. 30, 2019 | 8,053,573 | |||||||||
Net income | 5,853 | 5,853 | ||||||||
Total other comprehensive income, net of income taxes | 336 | 336 | ||||||||
Issuance of restricted stock | 0 | $ 0 | 0 | 0 | 0 | |||||
Issuance of restricted stock, shares | 7,244 | |||||||||
Forfeiture of restricted stock, value | 0 | $ 0 | 0 | 0 | 0 | |||||
Forfeiture of restricted stock, shares | (2,351) | |||||||||
Repurchase and retirement of common stock, value | (7,185) | (7,185) | ||||||||
Repurchase and retirement of common stock, shares | (175,160) | |||||||||
Common stock dividends | (3,171) | (3,171) | ||||||||
Stock-based compensation | 1,746 | 1,746 | ||||||||
Tax basis adjustment on equity method investment | 132 | 132 | ||||||||
Additional paid-in capital shortfall allocated to retained income | 5,307 | (5,307) | ||||||||
Ending Balance at Sep. 30, 2019 | 184,205 | 182,114 | 2,091 | |||||||
Ending Balance, shares at Sep. 30, 2019 | 7,883,306 | |||||||||
Beginning Balance at Dec. 31, 2019 | $ 185,543 | $ (453) | 183,365 | $ (453) | 2,178 | |||||
Beginning Balance, shares at Dec. 31, 2019 | 7,764,564 | |||||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | |||||||||
Net income | $ 24,873 | 24,873 | ||||||||
Total other comprehensive income, net of income taxes | (538) | (538) | ||||||||
Exercise of common stock options, value | $ 63 | 63 | ||||||||
Exercise of common stock options, shares | 10,000 | 10,000 | ||||||||
Issuance of restricted stock | $ 0 | $ 0 | 0 | 0 | 0 | |||||
Issuance of restricted stock, shares | 192,680 | |||||||||
Forfeiture of restricted stock, value | 0 | $ 0 | 0 | 0 | 0 | |||||
Forfeiture of restricted stock, shares | (14,727) | |||||||||
Repurchase and retirement of common stock, value | (1,338) | (5,161) | (1,338) | (5,161) | ||||||
Repurchase and retirement of common stock, shares | (29,698) | (129,142) | ||||||||
Common stock dividends | (9,279) | (9,279) | ||||||||
Stock-based compensation | 6,022 | 6,022 | ||||||||
Additional paid-in capital shortfall allocated to retained income | 414 | (414) | ||||||||
Ending Balance at Sep. 30, 2020 | 199,732 | 198,092 | 1,640 | |||||||
Ending Balance, shares at Sep. 30, 2020 | 7,793,677 | |||||||||
Beginning Balance at Jun. 30, 2020 | 185,085 | 183,689 | 1,396 | |||||||
Beginning Balance, shares at Jun. 30, 2020 | 7,794,048 | |||||||||
Net income | 15,390 | 15,390 | ||||||||
Total other comprehensive income, net of income taxes | 244 | 244 | ||||||||
Issuance of restricted stock | 0 | $ 0 | 0 | 0 | 0 | |||||
Issuance of restricted stock, shares | 2,680 | |||||||||
Forfeiture of restricted stock, value | 0 | $ 0 | 0 | 0 | 0 | |||||
Forfeiture of restricted stock, shares | (2,369) | |||||||||
Repurchase and retirement of common stock, value | (12) | $ (20) | (12) | $ (20) | ||||||
Repurchase and retirement of common stock, shares | (225) | (457) | ||||||||
Common stock dividends | (3,117) | (3,117) | ||||||||
Stock-based compensation | 2,162 | 2,162 | ||||||||
Additional paid-in capital shortfall allocated to retained income | $ (2,130) | 2,130 | ||||||||
Ending Balance at Sep. 30, 2020 | $ 199,732 | $ 198,092 | $ 1,640 | |||||||
Ending Balance, shares at Sep. 30, 2020 | 7,793,677 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement Of Stockholders Equity [Abstract] | ||||
Common stock dividends | $ 0.40 | $ 0.40 | $ 1.20 | $ 1.20 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 24,873 | $ 20,144 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Stock-based compensation | 6,022 | 4,694 |
Net (accretion of discounts) amortization of premiums on investments in fixed-maturity securities | (21) | 171 |
Depreciation and amortization | 6,499 | 6,677 |
Deferred income tax expense | 5,032 | 1,231 |
Net realized investment losses | 632 | 535 |
Net unrealized investment losses (gains) | 581 | (7,261) |
Credit loss expense | 596 | |
Loss from unconsolidated joint venture | 46 | 71 |
Net loss (income) from limited partnership interests | 2,058 | (1,308) |
Distributions received from limited partnership interests | 650 | 3,647 |
Loss on repurchases of convertible senior notes | 150 | 0 |
Loss on extinguishment of debt | 98 | 0 |
Gain on involuntary conversion | (36,969) | |
Foreign currency remeasurement loss. | 40 | 31 |
Other non-cash items | (306) | 286 |
Changes in operating assets and liabilities: | ||
Accrued interest and dividends receivable | 700 | (282) |
Income taxes | (1,671) | 656 |
Premiums receivable | (8,250) | (8,982) |
Prepaid reinsurance premiums | (24,187) | (14,826) |
Reinsurance recoverable | 37,404 | (39,533) |
Deferred policy acquisition costs | (8,038) | (6,628) |
Other assets | (3,552) | (4,165) |
Losses and loss adjustment expenses | 4,648 | 30,335 |
Unearned premiums | 57,773 | 47,026 |
Advance premiums | 11,494 | 5,454 |
Assumed reinsurance balances payable | 16 | (14) |
Accrued expenses and other liabilities | 1,212 | 135 |
Net cash provided by operating activities | 77,530 | 38,094 |
Cash flows from investing activities: | ||
Investments in limited partnership interests | (2,951) | (1,899) |
Distributions received from limited partnership interests | 1,092 | 1,163 |
Purchase of property and equipment | (5,928) | (2,166) |
Purchase of real estate investments | (3,052) | (10,475) |
Purchase of fixed-maturity securities | (30,200) | (79,355) |
Purchase of equity securities | (27,175) | (19,278) |
Purchase of short-term and other investments | (689) | |
Compensation received for property condemned through eminent domain | 44,000 | |
Proceeds from sales of fixed-maturity securities | 79,284 | 5,225 |
Proceeds from calls, repayments and maturities of fixed-maturity securities | 60,870 | 50,738 |
Proceeds from sales of equity securities | 17,385 | 34,345 |
Proceeds from sales, redemptions and maturities of short-term and other investments | 475 | 66,902 |
Net cash provided by investing activities | 133,800 | 44,511 |
Cash flows from financing activities: | ||
Cash dividends paid | (9,508) | (9,829) |
Cash dividends received under share repurchase forward contract | 229 | 230 |
Net (repayment) borrowing under revolving credit facility | (1,000) | 9,750 |
Proceeds from exercise of common stock options | 63 | 63 |
Proceeds from issuance of long-term debt | 10,000 | |
Repayment of long-term debt | (16,812) | (90,980) |
Repurchases of convertible senior notes | (4,459) | |
Repurchases of common stock | (1,338) | (1,023) |
Repurchases of common stock under share repurchase plan | (5,161) | (15,191) |
Debt issuance costs | (165) | (459) |
Net cash used in financing activities | (28,151) | (107,439) |
Effect of exchange rate changes on cash | (6) | 2 |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 183,173 | (24,832) |
Cash, cash equivalents, and restricted cash at beginning of period | 229,918 | 240,158 |
Cash, cash equivalents, and restricted cash at end of period | 413,091 | 215,326 |
Supplemental disclosure of cash flow information: | ||
Cash paid for income taxes | 6,137 | 5,285 |
Cash paid for interest | 7,137 | 8,904 |
Non-cash investing and financing activities: | ||
Unrealized (loss) gain on investments in available-for-sale securities, net of tax | $ (538) | 3,544 |
Addition to property and equipment under capital lease | $ 18 |
Nature of Operations
Nature of Operations | 9 Months Ended |
Sep. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of Operations | Note 1 – Nature of Operations HCI Group, Inc., together with its subsidiaries (“HCI” or the “Company”), is primarily engaged in the property and casualty insurance business through two Florida domiciled insurance companies, Homeowners Choice Property & Casualty Insurance Company, Inc. (“HCPCI”) and TypTap Insurance Company (“TypTap”). HCPCI is authorized to underwrite various homeowners’ property and casualty insurance products and allied lines business in the state of Florida. HCPCI also offers flood-endorsed and wind-only policies to Florida customers and has regulatory approval to underwrite residential property and casualty insurance in the states of Arkansas, California, Maryland, North Carolina, New Jersey, Ohio, Pennsylvania, South Carolina and Texas. However, Florida is still HCPCI’s primary market. TypTap offers standalone flood and homeowners multi-peril policies. In October 2020, TypTap began applying to offer homeowners coverage in 20 states outside of Florida. The operations of both insurance subsidiaries are supported by HCI Group, Inc. and certain HCI subsidiaries. In particular, the Company is developing technologies to collect and analyze claims and other supplemental data to generate savings and efficiency for the operations of the insurance subsidiaries. In addition, Greenleaf Capital, LLC, the Company’s real estate subsidiary, is primarily engaged in the businesses of owning and leasing real estate and operating marina facilities and one restaurant. On February 5, 2020, HCPCI entered into a policy replacement agreement with Anchor Property & Casualty Insurance Company (“Anchor”). Under the agreement, Anchor cancelled all its policies as of April 1, 2020 and HCPCI offered short-term replacement policies to those policyholders, who were under no obligation to accept them. The replacement policies had substantially the same terms and rates as the cancelled polices and would expire on the same dates the cancelled policies would have expired had they not been cancelled. Upon expiration of the replacement policies, HCPCI will offer, but is not obligated to offer, renewals to those policyholders at its own rates and terms. Total replacement policies issued by the Company on April 1, 2020 approximated 40,000. Risks and Uncertainties Caused by Novel Coronavirus (“COVID-19”) On March 11, 2020, the World Health Organization (“WHO”) declared the outbreak of COVID-19 a pandemic. COVID-19 is a respiratory illness caused by a virus that can spread from person to person. To contain the spread of COVID-19, measures have been undertaken in the United States of America and elsewhere around the world. These measures include, but are not limited to, domestic and international travel restrictions, temporary closure of nonessential businesses, cessation of public activity, and work-from-home orders, which has led to significantly reduced economic activity. To prevent the U.S. economy from further deterioration, several state and local governments have relaxed or lifted some of these measures even though infection rates remain above five percent, the level at which the WHO recommends rates fall below for at least 14 days before reopening. In Florida where the Company’s headquarters is located, a statewide stay-at-home order was issued and later lifted in May 2020. In response to the pandemic, the Company temporarily closed its offices in Florida and asked employees to work from home. The Company also closed temporarily its restaurant, but later decided to exit the business permanently in October 2020. Since then, some employees who have gone through the Company’s health safety training are allowed to alternate their work location between home and office. The Company quickly adjusted its technologies and infrastructure to support a remote workforce and maintain business continuity. As a provider of homeowners insurance, the Company continually prepares for disasters and catastrophic events, including events that could disrupt business continuity. On March 27, 2020, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which is intended to provide fast and direct economic assistance for American workers and families, small businesses, and to preserve jobs in American industries. The CARES Act includes, among other things, provisions relating to payroll tax credits and deferrals, net operating loss carryback periods, alternative minimum tax credits and technical corrections to tax depreciation methods for qualified improvement property. The Company qualifies as a small business under the CARES Act but d id not apply for any of the government loan programs . At present, the Company’s insurance subsidiaries do not foresee a direct material impact from the outbreak of COVID-19 in terms of increased claims and losses. However, the resulting economic uncertainty is adversely affecting the results of the Company’s investment portfolios (See Note 5 – Investments). The Company generally holds or invests premiums collected from policyholders in the financial markets in order to earn income before claims need to be paid. Since the economic outlook started to deteriorate, the Company’s investments in limited partnerships, equity and fixed-maturity securities have decreased in value. In addition, the Company’s insurance subsidiaries may experience difficulties collecting premiums from some policyholders. Policyholders with financial difficulties may decide not to renew insurance policies with the Company. Reinsurance companies with which the Company has contracted may also face liquidity issues and may not timely settle reinsurance balances that become due. Reinsurance costs have increased as reinsurers pay COVID-19 related claims worldwide and face the possibility of increases in the cost of capital needed to fund their operations. Furthermore, due to the impact of the COVID-19 outbreak on retail business activities, rent payments due from the Company’s lessees may be delayed or not received. Some lessees, with the exception of all anchor tenants, have sought rent concessions in order to stay in business. In the near term, the Company determined there is no impairment to its real estate investments or intangible assets as the real estate market is inherently slower moving than equity and debt security markets. For other auxiliary operations such as restaurant and marina business, the temporary closure of these operations has no material impact on the Company’s results of operations. It is too early to gauge the effectiveness of the CARES Act and any upcoming stimulus package in assisting targeted individuals and businesses and preventing further economic downturn. As of the date of issuance of these interim unaudited consolidated financial statements, the extent to which the COVID-19 pandemic may materially affect the Company’s financial condition, liquidity, or results of operations in the medium and long-term future remains uncertain and unquantifiable. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2 – Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited, consolidated financial statements for HCI Group, Inc. and its majority-owned and controlled subsidiaries (collectively, the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, and the Securities and Exchange Commission (“SEC”) rules for interim financial reporting. Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with U.S. GAAP have been omitted pursuant to such rules and regulations. However, in the opinion of management, the accompanying consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the Company’s financial position as of September 30, 2020 and the results of operations and cash flows for the periods presented. The results of operations for the interim periods presented are not necessarily indicative of the results of operations to be expected for any subsequent interim period or for the fiscal year ending December 31, 2020. The accompanying unaudited consolidated financial statements and notes thereto should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 201 9 included in the Company’s Form 10-K, which was filed with the SEC on March 6 , 20 20 . In preparing the interim unaudited consolidated financial statements, management was required to make certain judgments, assumptions, and estimates that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures at the financial reporting date and throughout the periods being reported upon. Certain of the estimates result from judgments that can be subjective and complex and consequently actual results may differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term are related to the Company’s losses and loss adjustment expenses, which include amounts estimated for claims incurred but not yet reported. The Company uses various assumptions and actuarial data it believes to be reasonable under the circumstances to make these estimates. In addition, accounting policies specific to reinsurance with retrospective provisions, reinsurance recoverable, deferred income taxes, and stock-based compensation expense involve significant judgments and estimates material to the Company’s consolidated financial statements. All significant intercompany balances and transactions have been eliminated. Adoption of New Accounting Standards In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update No. 2016-13 (“ASU 2016-13”), Financial Instruments – Credit Losses (Topic 326), effective January 1, 2020. This update amends guidance on the recognition and measurement of credit losses for assets held at amortized cost and available-for-sale debt securities. For assets held at amortized cost, ASU 2016-13 eliminates the probable initial recognition threshold and, instead, requires credit losses to be measured using the Current Expected Credit Loss (“CECL”) model. The CECL model requires the measurement of all expected credit losses based on historical experience, current conditions, and reasonable and supportable forecasts which incorporate forward-looking information. For available-for-sale debt securities, credit losses will continue to be measured in a manner similar to the current standard. Effective January 1, 2020, the Company used a modified retrospective method for transition to the CECL model. The Company recognized a cumulative-effect adjustment of $453 related to reinsurance recoverable to beginning retained income with a corresponding entry to an allowance for credit losses account. Any subsequent changes to the expected credit losses will be recognized in the Company’s consolidated statement of income. Allowance for Credit Losses Allowance for credit losses represents an estimation of potential losses that the Company may experience due to credit risk. The allowance for credit losses account is a contra account of a financial asset to reflect the net amount expected to be collected. Any increase or decrease in the allowance for credit losses related to investments is recognized and reflected as credit losses on investments in the Company’s consolidated statement of income. For all other financial assets, credit loss expense is included in other operating expenses. When the risk of credit loss becomes certain, the allowance for credit losses account will be written off against the financial asset. Under the CECL model, the Company measures all expected credit losses related to relevant financial assets based on historical experience, current conditions, and reasonable and supportable forecasts which incorporate forward-looking information. The Company primarily uses a discounted cash flow method and a rating-based method in estimating credit losses at a reporting date for financial assets under the scope of the CECL model. The discounted cash flow method is a valuation method used to estimate the value of a financial asset based on its future cash flows. The Company uses this method to determine the expected credit losses for available-for-sale fixed-maturity securities. In addition, the Company elects not to measure an allowance for credit losses for accrued interest receivable as any uncollectible amount is adjusted to interest income on a monthly basis. For certain financial assets related to insurance business such as reinsurance recoverable and reinsurance receivable for premium refund, the Company uses a rating-based method, which is a modified version of the probability of default method. It requires two key inputs: a) the liquidation rate and b) the amount of loss exposure. The liquidation rate, which is published annually, is the ratio of impaired insurance companies that were eventually liquidated to the group of insurance companies considered by A.M. Best in its study. The amount of loss exposure represents the future billing balance, net of any collateral, spread over the projected periods that are based on the Company’s historical claim payment pattern. The rating-based method measures credit losses by multiplying the future billings grouped by insurance rating over the projected periods by their corresponding liquidation rates by insurance rating. At present, the exposure to credit losses for certain financial assets related to non-insurance business is considered immaterial to the Company’s financial position. Limited Partnership Investments The Company has interests in limited partnerships that are not registered under the United States Securities Act of 1933, as amended, the securities laws of any state or the securities laws of any other jurisdictions. The partnership interests cannot be resold in the public market and any withdrawal is subject to the terms and conditions of the partnership agreement. The Company has no influence over partnership operating and financial policies. The Company uses the equity method to account for the investments with ownership interest greater than five percent. For the investments with ownership interest at five percent or less, the Company uses the net asset value method to estimate the fair value of these investments. The Company generally recognizes its share of the limited partnership’s earnings or losses on a three-month lag. Due to the lag, the Company may record an adjustment to the Company’s most recent share of net asset value when the amount can be reasonably estimated and a significant adverse impact on the net asset value is expected as a result of a major economic event. Net investment income or loss from limited partnerships represents a net aggregate amount of operating results allocated to the Company based on the percentage of ownership interest in each limited partnership. Pursuant to U.S. GAAP, these limited partnerships which are private equity funds must measure their investments at fair value and reflect the unrealized gains and losses in the fair value of their investments on their statement of income. As a result, the carrying value of limited partnership investments at each reporting date approximates their estimated fair value. Premium Receivable Premium receivable represents the amount of premiums due from policyholders for insurance coverage. Premiums are recorded as receivable in the Company’s general ledger on the effective date of the policy. Premiums are billed to the policyholder 45-60 days in advance of the effective date. The policyholder is given a 30-day grace period after the effective date to pay the premium before the insurance coverage is cancelled. If the policyholder does not pay the premium, the Company can cancel the policy and has no obligation to provide insurance coverage. Unpaid renewal policies are cancelled at midnight on the last day of the period for which the policyholder has paid. The unearned premium liability for the cancelled policy is reversed along with the premium receivable balance. Therefore, there is no unpaid earned premium and credit loss associated with the cancelled policy. However, when the 30-day grace period falls between two reporting periods, the premium receivable balance at the end of the first reporting period may potentially be overstated for not considering the policy that is subsequently cancelled during the following reporting period. To mitigate the overstatement issue, the Company estimates the monetary impact from the subsequent policy cancellation by multiplying the historical cancellation rate to the premium receivable balance at the reporting date. The premium receivable balance, together with the unearned premium liability is then reduced by the computed amount. At September 30, 2020 and December 31, 2019, allowances for uncollectible premiums were $2,369 and $528, respectively. Deferred Policy Acquisition Costs Deferred policy acquisition costs (“DAC”) represent direct costs to acquire insurance contracts and consist of premium taxes and commissions paid to outside agents at the time of collection of the policy premium. DAC also includes a cash bonus and other related expenses in association with the successful transition of policies from Anchor for the replacement policies and issuance of renewal policies under the Company’s own rates and terms. DAC is amortized over the life of the related policy in relation to the amount of gross premiums earned. The method followed in computing DAC limits the amount of such deferred costs to their estimated realizable value, which gives effect to the gross premium earned, related investment income, unpaid losses and loss adjustment expenses and certain other costs expected to be incurred as the premium is earned. DAC is reviewed to determine if it is recoverable from future premium income, including investment income. If such costs are determined to be unrecoverable, they are expensed at the time of determination. The amount of DAC considered recoverable could be reduced in the near term if the estimates of total revenues discussed above are reduced or permanently impaired as a result of the disposition of a line of business. The amount of amortization of DAC could be revised in the near term if any of the estimates discussed above are revised. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Changes And Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Note 3 – Recent Accounting Pronouncements Accounting Standards Update No. 2020-01. In January 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2020-01 (“ASU 2020-01”) Investments-Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. This update, among others, clarifies the interaction of the accounting for equity securities under Topic 321 and investments under the equity method of accounting in Topic 323 when there is a change in level of ownership or degree of influence. ASU 2020-01 is effective for the Company beginning with the first quarter of 2021 and will be applied prospectively. Early adoption is permitted. This guidance will not have a material impact on the Company’s consolidated financial statements. Accounting Standards Update No. 2020-0 6 . In August 2020, the FASB issued A ccounting S tandards U pdate No. 2020-06 (“ASU 2020-06”) Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging— Contracts in Entity’s Own Equity (Subtopic 815-40). ASU 2020-06 remove s certain bifurcation models for convertible debt instruments and convertible preferred stock. Therefore, the embedded conversion features no longer are separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, Derivatives and Hedging, or that do not result in substantial premiums accounted for as paid-in-capital. The amendments also remove three settlement conditions that are required for equity contracts to qualify for the derivative scope exception and amend the derivative scope exception guidance for contracts in an entity’s own equity. In addition , the amendments expand disclosure requirements for convertible instruments and simplif y areas of the guidance for diluted earnings-per-share calculations that are impacted by the amendments. ASU 2020-06 is effective for the Company beginning with the first quarter of 2022 and will be applied prospectively. Early adoption is permitted. The Company is evaluating the impact of this update on its financial position. |
Cash, Cash Equivalents, and Res
Cash, Cash Equivalents, and Restricted Cash | 9 Months Ended |
Sep. 30, 2020 | |
Cash And Cash Equivalents [Abstract] | |
Cash, Cash Equivalents, and Restricted Cash | Note 4 – Cash, Cash Equivalents, and Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Company’s consolidated balance sheets that sum to the total of the same such amounts shown in the statements of cash flows. September 30, December 31, 2020 2019 Cash and cash equivalents $ 410,691 $ 229,218 Restricted cash 2,400 700 Total $ 413,091 $ 229,918 Restricted cash primarily represents funds held by certain states in which the Company’s insurance subsidiaries conduct business to meet regulatory requirements. To facilitate TypTap’s expansion plan to other states, the Company increased its funds held at the State of Florida by $1,700 during the third quarter of 2020. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | |
Investments | Note 5 – Investments a) Available-for-Sale Fixed-Maturity Securities The Company holds investments in fixed-maturity securities that are classified as available-for-sale. At September 30, 2020 and December 31, 2019, the cost or amortized cost, allowance for credit loss, gross unrealized gains and losses, and estimated fair value of the Company’s available-for-sale securities by security type were as follows: Cost or Amortized Allowance for Credit Gross Unrealized Gross Unrealized Estimated Fair Cost Loss Gain Loss Value As of September 30, 2020 U.S. Treasury and U.S. government agencies $ 11,629 $ — $ 253 $ — $ 11,882 Corporate bonds 66,898 (564 ) 1,619 (128 ) 67,825 State, municipalities, and political subdivisions 5,818 — 90 — 5,908 Exchange-traded debt 6,786 (32 ) 342 (1 ) 7,095 Redeemable preferred stock 35 — — (2 ) 33 Total $ 91,166 $ (596 ) $ 2,304 $ (131 ) $ 92,743 As of December 31, 2019 U.S. Treasury and U.S. government agencies $ 26,220 $ — $ 78 $ (3 ) $ 26,295 Corporate bonds 157,155 — 2,212 (3 ) 159,364 State, municipalities, and political subdivisions 7,763 — 149 — 7,912 Exchange-traded debt 8,698 — 462 (15 ) 9,145 Redeemable preferred stock 118 — 5 — 123 Total $ 199,954 $ — $ 2,906 $ (21 ) $ 202,839 Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without penalties. The scheduled contractual maturities of fixed-maturity securities as of September 30, 2020 and December 31, 2019 are as follows: Amortized Estimated Cost Fair Value As of September 30, 2020 Due in one year or less $ 34,594 $ 34,814 Due after one year through five years 48,555 49,329 Due after five years through ten years 3,109 3,410 Due after ten years 4,908 5,190 $ 91,166 $ 92,743 Amortized Estimated Cost Fair Value As of December 31, 2019 Due in one year or less $ 63,135 $ 63,429 Due after one year through five years 125,833 127,660 Due after five years through ten years 6,896 7,350 Due after ten years 4,090 4,400 $ 199,954 $ 202,839 Sales of Available-for-Sale Fixed-Maturity Securities Proceeds received, and the gross realized gains and losses from sales of available-for-sale securities, for the three and nine months ended September 30, 2020 and 2019 were as follows: Gross Realized Gross Realized Proceeds Gains Losses Three months ended September 30, 2020 $ 1,098 $ 13 $ (34 ) Three months ended September 30, 2019 $ 2,240 $ 27 $ (1 ) Nine months ended September 30, 2020 $ 79,284 $ 1,743 $ (610 ) Nine months ended September 30, 2019 $ 5,225 $ 61 $ (2 ) Gross Unrealized Losses for Available-for-Sale Fixed-Maturity Securities Securities with gross unrealized loss positions at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows: Less Than Twelve Months Twelve Months or Longer Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of September 30, 2020 Loss Value Loss Value Loss Value Corporate bonds $ (128 ) $ 4,759 $ — $ — $ (128 ) $ 4,759 Exchange-traded debt (1 ) 252 — — (1 ) 252 Redeemable preferred stock (2 ) 33 — — (2 ) 33 Total $ (131 ) $ 5,044 $ — $ — $ (131 ) $ 5,044 At September 30, 2020, there were 13 securities in an unrealized loss position. Of these securities, none had been in an unrealized loss position for 12 months or longer. Less Than Twelve Months Twelve Months or Longer Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of December 31, 2019 Loss Value Loss Value Loss Value U.S. Treasury and U.S. government agencies $ (3 ) $ 2,292 $ — $ — $ (3 ) $ 2,292 Corporate bonds (3 ) 4,597 — — (3 ) 4,597 Exchange-traded debt (15 ) 345 — — (15 ) 345 Total $ (21 ) $ 7,234 $ — $ — $ (21 ) $ 7,234 At December 31, 2019, there were eight securities in an unrealized loss position. Of these securities, none had been in an unrealized loss position for 12 months or longer. Allowance for Credit Losses of Available-for-Sale Fixed-Maturity Securities The Company regularly reviews its individual investment securities for credit impairment. The Company considers various factors in determining whether each individual security is impaired, including- • the financial condition and near-term prospects of the issuer, including any specific events that may affect its operations or earnings; • the extent to which the market value of the security has been below its cost or amortized cost; • general market conditions and industry or sector specific factors and other qualitative factors; • nonpayment by the issuer of its contractually obligated interest and principal payments; and • the Company’s intent and ability to hold the investment for a period of time sufficient to allow for the recovery of costs. The table below summarized the activity in the allowance for credit losses of available-for-sale securities for the three and nine months ended on September 30, 2020: 2020 Balance at January 1 $ — Credit loss expense 439 Balance at March 31 $ 439 Credit loss expense 87 Balance at June 30 $ 526 Credit loss expense 70 Balance at September 30 $ 596 b) Equity Securities The Company holds investments in equity securities measured at fair values which are readily determinable. At September 30, 2020 and December 31, 2019, the cost, gross unrealized gains and losses, and estimated fair value of the Company’s equity securities were as follows: Gross Unrealized Gross Unrealized Estimated Fair Cost Gain Loss Value September 30, 2020 $ 39,861 $ 3,903 $ (1,062 ) $ 42,702 December 31, 2019 $ 31,863 $ 3,652 $ (230 ) $ 35,285 The table below presents the portion of unrealized gains and losses in the Company’s consolidated statement of income for the periods related to equity securities still held. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net gains (losses) recognized $ 1,521 $ 586 $ (2,363 ) $ 6,616 Exclude: Net realized gains (losses) recognized for securities sold 181 (56 ) (1,782 ) (645 ) Net unrealized gains (losses) recognized $ 1,340 $ 642 $ (581 ) $ 7,261 Sales of Equity Securities Proceeds received, and the gross realized gains and losses from sales of equity securities, for the three and nine months ended September 30, 2020 and 2019 were as follows: Gross Realized Gross Realized Proceeds Gains Losses Three months ended September 30, 2020 $ 4,930 $ 244 $ (63 ) Three months ended September 30, 2019 $ 1,504 $ 43 $ (99 ) Nine months ended September 30, 2020 $ 17,385 $ 1,213 $ (2,995 ) Nine months ended September 30, 2019 $ 34,345 $ 2,230 $ (2,875 ) c ) Limited Partnership Investments The Company has interests in limited partnerships that are not registered or readily tradeable on a securities exchange. These partnerships are private equity funds managed by general partners who make decisions with regard to financial policies and operations. As such, the Company is not the primary beneficiary and does not consolidate these partnerships. The following table provides information related to the Company’s investments in limited partnerships: September 30, 2020 December 31, 2019 Carrying Unfunded Carrying Unfunded Investment Strategy Value Balance (%)(a) Value Balance (%)(a) Primarily in senior secured loans and, to a limited extent, in other debt and equity securities of private U.S. lower-middle-market companies. (b)(c)(e) $ 8,879 $ 2,085 15.37 $ 9,659 $ 2,085 15.37 Value creation through active distressed debt investing primarily in bank loans, public and private corporate bonds, asset-backed securities, and equity securities received in connection with debt restructuring. (b)(d)(e) 5,633 — 1.76 5,985 — 1.76 High returns and long-term capital appreciation through investments in the power, utility and energy industries, and in the infrastructure sector. (b)(f)(g) 6,640 1,401 0.18 9,188 1,391 0.18 Value-oriented investments in less liquid and mispriced senior and junior debts of private equity-backed companies. (b)(h)(i) 4,355 406 0.47 1,602 3,106 0.47 Value-oriented investments in mature real estate private equity funds and portfolio globally. (b)(j) 1,990 8,286 2.24 1,912 8,548 2.24 Total $ 27,497 $ 12,178 $ 28,346 $ 15,130 (a) Represents the Company’s percentage investment in the fund at each balance sheet date. (b) Except under certain circumstances, withdrawals from the funds or any assignments are not permitted. Distributions, except income from late admission of a new limited partner, will be received when underlying investments of the funds are liquidated. (c) Expected to have a ten-year (d) Expected to have a three-year (e) At the fund manager’s discretion, the term of the fund may be extended for up to two additional one-year periods. (f) Expected to have a ten-year (g) With the consent of a supermajority of partners, the term of the fund may be extended for up to three additional one-year periods. (h) Expected to have a six-year (i) The capital commitment was extended and is now expected to expire on December 1, 2020. (j) Expected to have an eight-year The following is the summary of aggregated unaudited financial information of limited partnerships included in the investment strategy table above, which in certain cases is presented on a three-month lag due to the unavailability of information at the Company’s respective balance sheet dates. The financial statements of these limited partnerships are audited annually. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Operating results: Total income $ 259,635 $ (100,043 ) $ (1,421,381 ) $ 147,858 Total expenses (26,637 ) (27,212 ) (107,157 ) (108,385 ) Net (loss) income $ 232,998 $ (127,255 ) $ (1,528,538 ) $ 39,473 September 30, December 31, 2020 2019 Balance Sheet: Total assets $ 5,409,112 $ 6,850,913 Total liabilities $ 638,784 $ 549,562 For the three and nine months ended September 30, 2020, the Company recognized net investment income of $689 and net investment loss of $2,058, respectively, for these investments. During the three and nine months ended September 30, 2020, the Company received total cash distributions of $850 and $1,742, respectively, including returns on investment of $72 and $650, respectively. For the three and nine months ended September 30, 2019, the Company recognized net investment income of $476 and $1,308, respectively. During the three and nine months ended September 30, 2019, the Company received total cash distributions of $724 and $4,810, respectively. Cash distributions representing return on investment were $31 and $3,647 for the three and nine months ended September 30, 2019, respectively. At September 30, 2020 and December 31, 2019, the Company’s net cumulative contributed capital to the partnerships at each respective balance sheet date totaled $28,976 and $27,117, respectively, and the Company’s maximum exposure to loss aggregated $27,497 and $28,346, respectively. d) Investment in Unconsolidated Joint Venture Melbourne FMA, LLC, a wholly owned subsidiary, currently has an equity investment in FMKT Mel JV, a Florida limited liability company treated as a joint venture under U.S. GAAP. At September 30, 2020 and December 31, 2019, the Company’s maximum exposure to loss relating to the variable interest entity was $716 and $762, respectively, representing the carrying value of the investment. There were no cash distributions during the nine months ended September 30, 2020 and 2019. At September 30, 2020 and December 31, 2019, there was no undistributed income from this equity method investment. The following tables provide FMJV’s summarized unaudited financial results and the unaudited financial positions: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Operating results: Total revenues and gain $ — $ — $ — $ 2 Total expenses (19 ) (18 ) (51 ) (80 ) Net loss $ (19 ) $ (18 ) $ (51 ) $ (78 ) The Company’s share of net loss* $ (18 ) $ (17 ) $ (46 ) $ (71 ) * Included in net investment income in the Company’s consolidated statements of income. September 30, December 31, 2020 2019 Balance Sheet: Property and equipment, net $ 714 $ 741 Cash 90 102 Other 4 4 Total assets $ 808 $ 847 Other liabilities $ 12 $ — Members’ capital 796 847 Total liabilities and members’ capital $ 808 $ 847 Investment in unconsolidated joint venture, at equity** $ 716 $ 762 * * Includes the 90% share of FMKT Mel JV’s operating results. e) Assets Held for Sale On April 9, 2020, Greenleaf Capital, LLC decided to offer for sale its investment property in Riverview, Florida. The proceeds from the sale are expected to exceed the property’s carrying value of $4,519 and, accordingly, no impairment loss was recognized on the classification of this property as held for sale. f) Real Estate Investments Real estate investments consist of the following as of September 30, 2020 and December 31, 2019. September 30, December 31, 2020 2019 Land $ 36,239 $ 39,511 Land improvements 11,422 11,907 Buildings 23,006 24,086 Tenant and leasehold improvements 1,263 1,487 Other 6,442 3,489 Total, at cost 78,372 80,480 Less: accumulated depreciation and amortization (7,806 ) (6,717 ) Real estate investments $ 70,566 $ 73,763 In July 2020, a portion of undeveloped land with a carrying value of $443 was acquired by the Florida Department of Transportation (“FDOT”) as part of the agreement described in Note 9 – “Property and Equipment, Net.” Depreciation and amortization expense related to real estate investments was $ 431 and $ 379 for the three months ended September 30, 2020 and 2019 , respectively , and $ and $ 1,133 for the nine months ended September 30, 2020 and 2019, respectively . During the second quarter of 2020, the Company classified the investment property as described earlier to assets held for sale. g) Net Investment Income (Loss) Net investment income (loss), by source, is summarized as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Available-for-sale fixed-maturity securities $ 771 $ 1,637 $ 3,529 $ 4,794 Equity securities 336 305 970 979 Investment expense (125 ) (114 ) (367 ) (349 ) Limited partnership investments 689 476 (2,058 ) 1,308 Real estate investments (34 ) (28 ) (299 ) 173 Loss from unconsolidated joint venture (18 ) (17 ) (46 ) (71 ) Cash and cash equivalents 212 1,354 1,513 3,908 Short-term investments 1 8 2 383 Net investment income $ 1,832 $ 3,621 $ 3,244 $ 11,125 |
Comprehensive Income (Loss)
Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Comprehensive Income (Loss) | Note 6 – Comprehensive Income (Loss) Comprehensive income (loss) includes net income and other comprehensive income or loss, which for the Company includes changes in unrealized gains or losses of investments carried at fair value and changes in the allowance for credit losses related to these investments. Reclassification adjustments for realized (gains) losses are reflected in net realized investment gains (losses) on the consolidated statements of income. The components of other comprehensive income or loss and the related tax effects allocated to each component were as follows: Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Income Tax Income Tax Before Expense Net of Before Expense Net of Tax (Benefit) Tax Tax (Benefit) Tax Unrealized gains arising during the period $ 247 $ 61 $ 186 $ 447 $ 90 $ 357 Change in allowance for credit losses 70 17 53 — — — Call and repayment (gains) losses charged to investment income (15 ) (4 ) (11 ) (2 ) — (2 ) Reclassification adjustment for realized gains 21 5 16 (26 ) (7 ) (19 ) Total other comprehensive gains $ 323 $ 79 $ 244 $ 419 $ 83 $ 336 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Income Tax Income Tax Before Expense Net of Before Expense Net of Tax (Benefit) Tax Tax (Benefit) Tax Unrealized (losses) gains arising during the period $ 56 $ 14 $ 42 $ 4,777 $ 1,188 $ 3,589 Change in allowance for credit losses 596 146 450 — — — Call and repayment gains charged to investment income (231 ) (56 ) (175 ) (1 ) — (1 ) Reclassification adjustment for realized gains (1,133 ) (278 ) (855 ) (59 ) (15 ) (44 ) Total other comprehensive (losses) gains $ (712 ) $ (174 ) $ (538 ) $ 4,717 $ 1,173 $ 3,544 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 7 – Fair Value Measurements The Company records and discloses certain financial assets at their estimated fair value. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as follows: Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 - Other inputs that are observable for the asset, either directly or indirectly such as quoted prices for identical assets that are not observable throughout the full term of the asset. Level 3 - Inputs that are unobservable. Valuation Methodology Cash and cash equivalents Cash and cash equivalents primarily consist of money-market funds and certificates of deposit maturing within 90 days. Their carrying value approximates fair value due to the short maturity and high liquidity of these funds. Restricted cash Restricted cash represents cash held by state authorities and the carrying value approximates fair value. Short-term investments Short-term investments consist of certificates of deposit with maturities of 91 to 365 days. Due to their short maturity, the carrying value approximates fair value. Fixed-maturity and equity securities Estimated fair values of the Company’s fixed-maturity and equity securities are determined in accordance with U.S. GAAP, using valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Fair values are generally measured using quoted prices in active markets for identical securities or other inputs that are observable either directly or indirectly, such as quoted prices for similar securities. In those instances where observable inputs are not available, fair values are measured using unobservable inputs. Unobservable inputs reflect the Company’s own assumptions about the assumptions that market participants would use in pricing the security and are developed based on the best information available in the circumstances. Fair value estimates derived from unobservable inputs are significantly affected by the assumptions used, including the discount rates and the estimated amounts and timing of future cash flows. The derived fair value estimates cannot be substantiated by comparison to independent markets and are not necessarily indicative of the amounts that would be realized in a current market exchange. The estimated fair values for securities that do not trade on a daily basis are determined by management, utilizing prices obtained from an independent pricing service and information provided by brokers, which are level 2 inputs. Management reviews the assumptions and methods utilized by the pricing service and then compares the relevant data and pricing to broker-provided data. The Company gains assurance of the overall reasonableness and consistent application of the assumptions and methodologies and compliance with accounting standards for fair value determination through ongoing monitoring of the reported fair values. Revolving Credit Facility The Company’s revolving credit facility is a variable-rate loan. The interest rate is periodically adjusted based on the London Interbank Offered Rate plus a spread. As a result, its carrying value approximates fair value. Long-term debt The following table summarizes components of the Company’s long-term debt and methods used in estimating their fair values: Maturity Date Valuation Methodology 4.25% Convertible senior notes 2037 Quoted price 3.90% Promissory note 2032 Discounted cash flow method/Level 3 inputs 4% Promissory note 2031 Discounted cash flow method/Level 3 inputs 3.75% Callable promissory note 2036 Discounted cash flow method/Level 3 inputs 4.55% Promissory note 2036 Discounted cash flow method/Level 3 inputs Assets Measured at Estimated Fair Value on a Recurring Basis The following table presents information about the Company’s financial assets measured at estimated fair value on a recurring basis. The table indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as of September 30, 2020 and December 31, 2019: Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of September 30, 2020 Financial Assets: Cash and cash equivalents $ 410,691 $ — $ — $ 410,691 Restricted cash $ 2,400 $ — $ — $ 2,400 Fixed-maturity securities: U.S. Treasury and U.S. government agencies $ 10,144 $ 1,738 $ — $ 11,882 Corporate bonds 67,825 — — 67,825 State, municipalities, and political subdivisions — 5,908 — 5,908 Exchange-traded debt 7,095 — — 7,095 Redeemable preferred stock 33 — — 33 Total available-for-sale securities $ 85,097 $ 7,646 $ — $ 92,743 Equity securities $ 42,702 $ — $ — $ 42,702 Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of December 31, 2019 Financial Assets: Cash and cash equivalents $ 229,218 $ — $ — $ 229,218 Restricted cash $ 700 $ — $ — $ 700 Short-term investments $ 491 $ — $ — $ 491 Fixed-maturity securities: U.S. Treasury and U.S. government agencies $ 25,294 $ 1,001 $ — $ 26,295 Corporate bonds 159,364 — — 159,364 State, municipalities, and political subdivisions — 7,912 — 7,912 Exchange-traded debt 9,145 — — 9,145 Redeemable preferred stock 123 — — 123 Total available-for-sale securities $ 193,926 $ 8,913 $ — $ 202,839 Equity securities $ 35,285 $ — $ — $ 35,285 Assets and Liabilities Carried at Other Than Estimated Fair Value The following tables present fair value information for assets and liabilities that are carried on the balance sheet at amounts other than fair value as of September 30, 2020 and December 31, 2019: Carrying Fair Value Measurements Using Estimated Value (Level 1) (Level 2) (Level 3) Fair Value As of September 30, 2020 Financial Liabilities: Revolving credit facility $ 8,750 $ — $ 8,750 $ — $ 8,750 Long-term debt: 4.25% Convertible senior notes $ 132,901 $ — $ 141,984 $ — $ 141,984 3.90% Promissory note 9,698 — — 9,684 9,684 3.75% Callable promissory note 7,586 — — 7,651 7,651 4.55% Promissory note 5,442 — — 5,528 5,528 Total long-term debt $ 155,627 $ — $ 141,984 $ 22,863 $ 164,847 Carrying Fair Value Measurements Using Estimated Value (Level 1) (Level 2) (Level 3) Fair Value As of December 31, 2019 Financial Liabilities: Revolving credit facility $ 9,750 $ — $ 9,750 $ — $ 9,750 Long-term debt: 4.25% Convertible senior notes $ 134,075 $ — $ 147,375 $ — $ 147,375 3.95% Promissory note 8,875 — — 8,887 8,887 4% Promissory note 7,237 — — 7,409 7,409 3.75% Callable promissory note 7,837 — — 7,861 7,861 4.55% Promissory note 5,611 — — 5,802 5,802 Total long-term debt $ 163,635 $ — $ 147,375 $ 29,959 $ 177,334 |
Deferred Policy Acquisition Cos
Deferred Policy Acquisition Costs | 9 Months Ended |
Sep. 30, 2020 | |
Insurance [Abstract] | |
Deferred Policy Acquisition Costs | Note 8 – Deferred Policy Acquisition Costs In connection with the transition of insurance policies from Anchor described in Note 1 – “Nature of Operations,” the Company incurred $3,023 of direct costs, consisting of a bonus to Anchor of $2,898 and other related expenses of $125. The Company agreed to pay Anchor a cash bonus of $50 per $1,000 of premium for all policies in forces at June 1, 2020 that were in compliance with the conditions stated in the agreement. |
Property and Equipment, Net
Property and Equipment, Net | 9 Months Ended |
Sep. 30, 2020 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment, Net | Note 9 – Property and Equipment, Net On April 2, 2020, Greenleaf Capital, LLC entered into a purchase and sale agreement with Tampa-Coconut Palms Office Building Exchange, LLC to acquire an office building in Tampa, Florida for a purchase price of $4,000 in cash. The building will be used as the Company’s secondary site in the Tampa Bay area. The transaction was completed on May 18, 2020 and accounted for as an asset acquisition. On July 24, 2020, the FDOT exercised the power of eminent domain under the Florida Constitution in order to acquire for a highway expansion project the property in Tampa, Florida where the Company’s headquarters is located for compensation of $44,000, net of $3,500 in legal and related expenses. Under the terms of the agreement, the FDOT assumed all contracts associated with this property, including the leases with existing tenants. In addition, the Company agreed to donate a small portion of a separate tract of nearby undeveloped land it owns to the FDOT for the same expansion project. The Company will have no later than July 24, 2023 to vacate the property. In connection with this transaction, the Company recognized a gain from involuntary conversion of $ 36,969 . In addition, the Company used a portion of the proceeds to repay the 4 % Promissory Note as described in Note 12 – “Long-Term Debt.” |
Other Assets
Other Assets | 9 Months Ended |
Sep. 30, 2020 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Other Assets | Note 10 – Other Assets The following table summarizes the Company’s other assets. September 30, December 31, 2020 2019 Benefits receivable related to retrospective reinsurance contract $ 6,240 $ 9,480 Prepaid expenses 2,735 2,107 Deposits 3,446 1,678 Lease acquisition costs, net 468 566 Right-of-use assets – operating leases 5,668 484 Other 1,819 2,765 Total other assets $ 20,376 $ 17,080 |
Revolving Credit Facility
Revolving Credit Facility | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Revolving Credit Facility | Note 11 – Revolving Credit Facility During the first quarter of 2020, the Company borrowed an additional amount of $14,000 for general business purposes. On August 11, 2020, the Company repaid the amount of $15,000 of its outstanding balance. For the three months ended September 30, 2020 and 2019, interest expense was $108 and $132, respectively, including $39 of amortization of issuance costs in each of the periods. For the nine months ended September 30, 2020 and 2019, interest expense was $423 and $328, respectively, including $118 of amortization of issuance costs in each of the periods. At September 30, 2020, the Company was in compliance with all required covenants, and there were $8,750 of borrowings outstanding. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 12 – Long-Term Debt The following table summarizes the Company’s long-term debt. September 30, December 31, 2020 2019 4.25% Convertible senior notes, due March 1, 2037 $ 139,200 $ 143,750 3.95% Promissory note, due through February 17, 2020 — 8,881 4% Promissory note, due through July 29, 2020 — 7,345 3.75% Callable promissory note, due through September 1, 2036 7,695 7,955 4.55% Promissory note, due through August 1, 2036 5,529 5,704 3.90% Promissory note, due through April 1, 2032 9,861 — Finance lease liabilities, due through August 15, 2023 48 60 Total principal amount 162,333 173,695 Less: unamortized discount and issuance costs (6,658 ) (10,000 ) Total long-term debt $ 155,675 $ 163,695 The following table summarizes future maturities of long-term debt as of September 30, 2020, which takes into consideration the assumption that the 4.25% Convertible Senior Notes are repurchased at the earliest call date. Due in 12 months following September 30, 2020 $ 960 2021 140,198 2022 1,034 2023 1,063 2024 1,106 Thereafter 17,972 Total $ 162,333 Information with respect to interest expense related to long-term debt is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Interest Expense: Contractual interest $ 1,736 $ 1,835 $ 5,374 $ 6,229 Non-cash expense (a) 1,053 1,018 3,174 3,807 Capitalized interest (b) (41 ) (78 ) (125 ) (236 ) $ 2,748 $ 2,775 $ 8,423 $ 9,800 (a) Includes amortization of debt discount and issuance costs. (b) Interest was capitalized for a construction project. Convertible Senior Notes 4.25% Convertible Notes . The Company’s recent cash dividends on common stock have exceeded $0.35 per share, resulting in adjustments to the conversion rate of the 4.25% Convertible Notes. Accordingly, as of September 30, 2020, the conversion rate of the Company’s 4.25% Convertible Notes was 16.42 shares of common stock for each $1 in principal amount, which was the equivalent of approximately $60.91 per share. In June 2020, the Company repurchased an aggregate of $4,550 in principal of the 4.25% Convertible Notes and recognized a $150 loss from the repurchases. As of September 30, 2020, the remaining amortization period of the debt discount for 4.25% Convertible Notes was expected to be 1.4 years. 4% Promissory Note On July 29, 2020, the Company made an early repayment of its 4% Promissory Note totaling $7,062 in principal plus accrued interest. As a result, the Company incurred $98 of loss on extinguishment of debt. The note was collateralized by the Company’s Tampa, Florida headquarters which was acquired by the FDOT in the eminent domain proceedings as described in Note 9 – “Property and Equipment, Net.” 3.95% Promissory Note In February 2020, the Company repaid its 3.95% Promissory Note for $8,891 including principal and unpaid interest payable at maturity date. 3.90% Promissory Note On February 28, 2020, the Company entered into a loan agreement with American Equity Investment Life Insurance Company for gross proceeds of $10,000. The agreement bears interest at a fixed rate of 3.90% and is secured by the Company’s shopping center property in Melbourne, Florida and the assignment of associated lease agreements. Approximately $60 of principal and interest is payable in 143 monthly installments beginning April 1, 2020 plus a final balloon payment of $5,007 including principal and unpaid interest payable on March 1, 2032. The promissory note may be repaid in full at any time as long as the Company provides at least 60 days’ written notice and pays a prepayment premium and processing fee. The proceeds were primarily used to repay the 3.95% Promissory Note due in February 2020. On March 19, 2020, the loan agreement was modified to revise the due dates for the first and last installments to May 1, 2020 and April 1, 2032, respectively, while other terms and conditions remain intact. |
Reinsurance
Reinsurance | 9 Months Ended |
Sep. 30, 2020 | |
Insurance [Abstract] | |
Reinsurance | Note 13 – Reinsurance The Company cedes a portion of its homeowners’ insurance exposure to other entities under catastrophe excess of loss reinsurance contracts and one quota share reinsurance agreement. Ceded premiums under most catastrophe excess of loss reinsurance contracts are subject to revision resulting from subsequent adjustments in total insured value. Under the terms of the quota share reinsurance agreement, the Company is entitled to a 30% ceding commission on ceded premiums written. The reinsurance premiums under one flood catastrophe excess of loss reinsurance contract are generally determined on a quarterly basis based on the premiums associated with the applicable flood total insured value in force on the last day of the preceding quarter. The Company remains liable for claims payments in the event that any reinsurer is unable to meet its obligations under the reinsurance agreements. Failure of reinsurers to honor their obligations could result in losses to the Company. The Company evaluates the financial condition of its reinsurers and monitors concentrations of credit risk arising from similar geographic regions, activities or economic characteristics of the reinsurers to minimize its exposure to significant losses from reinsurer insolvencies. The Company contracts with a number of reinsurers to secure its annual reinsurance coverage, which generally becomes effective June 1 st The impact of the reinsurance contracts on premiums written and earned is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Premiums Written: Direct $ 116,464 $ 97,331 $ 364,942 $ 298,384 Assumed (13 ) — (92 ) (2 ) Gross written 116,451 97,331 364,850 298,382 Ceded (44,231 ) (31,568 ) (109,304 ) (94,298 ) Net premiums written $ 72,220 $ 65,763 $ 255,546 $ 204,084 Premiums Earned: Direct $ 106,337 $ 86,002 $ 303,956 $ 251,916 Assumed 357 — 2,906 (2 ) Gross earned 106,694 86,002 306,862 251,914 Ceded (44,231 ) (31,568 ) (109,304 ) (94,298 ) Net premiums earned $ 62,463 $ 54,434 $ 197,558 $ 157,616 During the three and nine months ended September 30, 2020, the Company recognized ceded losses of $1,871 and $2,220, respectively, as a reduction in losses and loss adjustment expenses, and ceded losses of $113,888 were recognized in each of the three and nine months ended September 30, 2019. At September 30, 2020 and December 31, 2019, there were 38 and 31 reinsurers, respectively, participating in the Company’s reinsurance program. Total gross amounts recoverable and receivable from reinsurers at September 30, 2020 and December 31, 2019 were $95,274 and $132,678, respectively. Approximately 58.6% of the reinsurance recoverable balance at September 30, 2020 was receivable from three reinsurers, including the Florida Hurricane Catastrophe Fund, a state trust fund. Based on all available information considered in the rating-based method described in Note 2 – “Summary of Significant Accounting Policies,” the Company recognized a decrease in credit loss expense of $14 and $363 for the three and nine months ended September 30, 2020, respectively. Allowances for credit losses related to the reinsurance recoverable balance were $90 and $0 at September 30, 2020 and December 31, 2019, respectively. One of the reinsurance contracts includes retrospective provisions that adjust premiums in the event losses are minimal or zero. For the three and nine months ended September 30, 2020, the Company recognized reductions in premiums ceded of $4,680 and $10,440, respectively, related to these adjustments in the consolidated statement of income. For the three and nine months ended September 30, 2019, the Company recognized net reductions in premiums ceded of $2,520 and $4,258, respectively, related to these adjustments. Amounts receivable pursuant to retrospective provisions are reflected in other assets. At September 30, 2020 and December 31, 2019, other assets included $6,240 and $9,480 related to these adjustments, respectively. In June 2020, the Company received $13,680 of premium refund under the retrospective reinsurance contract that ended May 31, 2020. Management believes the credit risk associated with the collectability of these accrued benefits is minimal as the amount receivable is concentrated with one reinsurer and the Company monitors the creditworthiness of this reinsurer based on available information about the reinsurer’s financial condition. |
Losses and Loss Adjustment Expe
Losses and Loss Adjustment Expenses | 9 Months Ended |
Sep. 30, 2020 | |
Insurance [Abstract] | |
Losses and Loss Adjustment Expenses | Note 14 – Losses and Loss Adjustment Expenses The liability for losses and loss adjustment expenses is determined on an individual case basis for all claims reported. The liability also includes amounts for unallocated expenses, anticipated future claim development and losses incurred but not reported. The Company primarily writes insurance in the state of Florida, which could be exposed to hurricanes or other natural catastrophes. The occurrence of a major catastrophe could have a significant effect on the Company’s quarterly results and cause a temporary disruption of the normal operations of the Company. However, the Company is unable to predict the frequency or severity of any such events that may occur in the near term or thereafter. Activity in the liability for unpaid losses and loss adjustment expenses is summarized as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net balance, beginning of period* $ 123,129 $ 95,345 $ 98,174 $ 94,826 Incurred, net of reinsurance, related to: Current period 50,543 25,177 116,839 70,914 Prior period 1,200 2,150 2,825 7,702 Total incurred, net of reinsurance 51,743 27,327 119,664 78,616 Paid, net of reinsurance, related to: Current period (21,175 ) (15,111 ) (36,988 ) (32,819 ) Prior period (9,386 ) (12,763 ) (36,539 ) (45,825 ) Total paid, net of reinsurance (30,561 ) (27,874 ) (73,527 ) (78,644 ) Net balance, end of period 144,311 94,798 144,311 94,798 Add: reinsurance recoverable before allowance for credit losses 75,034 143,123 75,034 143,123 Gross balance, end of period $ 219,345 $ 237,921 $ 219,345 $ 237,921 *Net balance represents beginning-of-period liability for unpaid losses and loss adjustment expenses less beginning-of-period reinsurance recoverable for unpaid losses and loss adjustment expenses. The establishment of loss reserves is an inherently uncertain process and changes in loss reserve estimates are expected as these estimates are subject to the outcome of future events. Changes in estimates, or differences between estimates and amounts ultimately paid, are reflected in the operating results of the period during which such estimates are adjusted. During the three months ended September 30, 2020, the Company recognized losses related to prior periods of $1,200 primarily to increase the reserve for 2017, 2015 and prior loss years. For the nine months ended September 30, 2020, the Company recognized losses related to prior periods of $2,825 for unfavorable development for 2019 and prior loss years resulting from litigation. Estimated losses of $17,700, net of reinsurance, related to Hurricane Sally are included in the 2020 loss year. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | Note 15 – Segment Information The Company identifies its operating divisions based on organizational structure and revenue source. Currently, the Company has three reportable segments: insurance operations, real estate operations, and corporate and other. Due to their economic characteristics, the Company’s property and casualty insurance division and reinsurance division are grouped together into one reportable segment under insurance operations. The real estate operations segment includes companies engaged in operating commercial properties the Company owns for investment purposes or for use in its own operations. The corporate and other segment represents the activities of the holding companies, the information technology division, and other companies that do not meet the quantitative and qualitative thresholds for a reportable segment. The determination of segments may change over time due to changes in operational emphasis, revenues, and results of operations. The Company’s chief executive officer, who serves as the Company’s chief operating decision maker, evaluates each division’s financial and operating performance based on revenue and operating income. For the three months ended September 30, 2020 and 2019, revenues from the Company’s insurance operations before intracompany elimination represented 71.1% and 95.2%, respectively, of total revenues of all operating segments. For the nine months ended September 30, 2020 and 2019, revenues from the Company’s insurance operations before intracompany elimination represented 86.2% and 95.0%, respectively, of total revenues of all operating segments. At September 30, 2020 and December 31, 2019, insurance operations’ total assets represented 83.0% and 85.5%, respectively, of the combined assets of all operating segments. The following tables present segment information reconciled to the Company’s consolidated statements of income. Intersegment transactions are not eliminated from segment results. However, intracompany transactions are eliminated in segment results below. Insurance Real Corporate/ Reclassification/ For Three Months Ended September 30, 2020 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 62,463 $ — $ — $ — $ 62,463 Net investment income (loss) 1,050 — 1,072 (290 ) 1,832 Net realized investment gains 131 — 46 — 177 Net unrealized investment gains 1,093 — 247 — 1,340 Credit losses on investments (50 ) — (20 ) — (70 ) Policy fee income 895 — — — 895 Gain on involuntary conversion — 36,969 — — 36,969 Other 285 2,384 510 (2,758 ) 421 Total revenue 65,867 39,353 1,855 (3,048 ) 104,027 Expenses: Losses and loss adjustment expenses 51,743 — — — 51,743 Amortization of deferred policy acquisition costs 12,200 — — — 12,200 Interest expense — 463 2,631 (238 ) 2,856 Depreciation and amortization 28 566 452 (585 ) 461 Other 10,028 1,423 6,005 (2,225 ) 15,231 Total expenses 73,999 2,452 9,088 (3,048 ) 82,491 (Loss) income before income taxes $ (8,132 ) $ 36,901 $ (7,233 ) $ — $ 21,536 Total revenue from non-affiliates(c) $ 65,867 $ 38,859 $ 1,345 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Three Months Ended September 30, 2019 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 54,434 $ — $ — $ — $ 54,434 Net investment income (loss) 3,365 — 461 (205 ) 3,621 Net realized investment (loss) gains (33 ) — 3 — (30 ) Net unrealized investment gains 533 — 109 — 642 Policy fee income 811 — — — 811 Other 186 2,317 1,341 (3,343 ) 501 Total revenue 59,296 2,317 1,914 (3,548 ) 59,979 Expenses: Losses and loss adjustment expenses 27,327 — — — 27,327 Amortization of deferred policy acquisition costs 9,556 — — — 9,556 Interest expense 1 409 2,659 (162 ) 2,907 Depreciation and amortization 29 627 261 (530 ) 387 Other 7,978 1,292 5,669 (2,856 ) 12,083 Total expenses 44,891 2,328 8,589 (3,548 ) 52,260 Income (loss) before income taxes $ 14,405 $ (11 ) $ (6,675 ) $ — $ 7,719 Total revenue from non-affiliates(c) $ 59,296 $ 1,910 $ 1,466 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Nine Months Ended September 30, 2020 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 197,558 $ — $ — $ — $ 197,558 Net investment income (loss) 5,459 3 (1,194 ) (1,024 ) 3,244 Net realized investment losses (208 ) — (424 ) — (632 ) Net unrealized investment losses (531 ) — (50 ) — (581 ) Credit losses on investments (576 ) (20 ) (596 ) Policy fee income 2,571 — — — 2,571 Gain on involuntary conversion — 36,969 — — 36,969 Other 880 7,362 2,400 (9,051 ) 1,591 Total revenue 205,153 44,334 712 (10,075 ) 240,124 Expenses: Losses and loss adjustment expenses 119,664 — — — 119,664 Amortization of deferred policy acquisition costs 35,568 — — — 35,568 Interest expense 1 1,434 8,090 (679 ) 8,846 Depreciation and amortization 86 1,862 1,263 (1,793 ) 1,418 Other 25,710 4,080 18,425 (7,603 ) 40,612 Total expenses 181,029 7,376 27,778 (10,075 ) 206,108 Income (loss) before income taxes $ 24,124 $ 36,958 $ (27,066 ) $ — $ 34,016 Total revenue (investment loss) from non-affiliates(c) $ 205,153 $ 42,907 $ (837 ) (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Nine Months Ended September 30, 2019 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 157,616 $ — $ — $ — $ 157,616 Net investment income (loss) 9,381 — 2,064 (320 ) 11,125 Net realized investment gains (losses) 33 — (568 ) — (535 ) Net unrealized investment gains 5,951 — 1,310 — 7,261 Policy fee income 2,406 — — — 2,406 Other 524 7,009 4,590 (10,753 ) 1,370 Total revenue 175,911 7,009 7,396 (11,073 ) 179,243 Expenses: Losses and loss adjustment expenses 78,616 — — — 78,616 Amortization of deferred policy acquisition costs 26,982 — — — 26,982 Interest expense 2 1,174 9,374 (422 ) 10,128 Depreciation and amortization 82 1,878 791 (1,586 ) 1,165 Other 22,842 3,866 17,392 (9,065 ) 35,035 Total expenses 128,524 6,918 27,557 (11,073 ) 151,926 Income (loss) before income taxes $ 47,387 $ 91 $ (20,161 ) $ — $ 27,317 Total revenue from non-affiliates(c) $ 175,911 $ 5,787 $ 6,088 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. The following table presents segment assets reconciled to the Company’s total assets in the consolidated balance sheets. September 30, December 31, 2020 2019 Segment: Insurance Operations $ 738,141 $ 663,280 Real Estate Operations 130,138 93,727 Corporate and Other 45,731 60,662 Consolidation and Elimination (26,197 ) (15,060 ) Total assets $ 887,813 $ 802,609 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Leases | Note 16 -- Leases The table below summarizes the Company’s right-of-use (“ROU”) assets and corresponding liabilities for operating and finance leases: September 30, December 31, 2020 2019 Operating leases: ROU Assets $ 5,668 $ 484 Liabilities $ 5,682 $ 513 Finance leases: ROU Assets $ 79 $ 79 Liabilities $ 48 $ 60 As a result of the change in ownership of the Company’s headquarters building through the eminent domain proceeding described in Note 9 -- “Property and Equipment, Net,” all existing intercompany operating leases related to this building that were previously eliminated on consolidation are now reflected on the balance sheet. These leases were determined to be at market rates on the date of the ownership change. The following table summarizes the Company’s operating and finance leases in which the Company is a lessee: Renewal Other Terms and Class of Assets Initial Term Option Conditions Operating lease: Office equipment 1 to 63 months Yes (a), (b) Office space 3 to 10 years Yes (b), (c) Finance lease: Office equipment 3 to 5 years Not applicable (d) (a) At the end of the lease term, the Company can purchase the equipment at fair market value. (b) There are no variable lease payments. (c) Rent escalation provisions exist. (d) There is a bargain purchase option. As of September 30, 2020, maturities of lease liabilities were as follows: Leases Operating Finance Due in 12 months following September 30, 2020 $ 2,223 $ 19 2021 2,038 18 2022 1,651 13 Total lease payments 5,912 50 Less: interest and foreign taxes 230 2 Total lease obligations $ 5,682 $ 48 The following table provides quantitative information with regard to the Company’s operating and finance leases. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Lease costs: Finance lease costs: Amortization – ROU assets* $ 4 $ 4 $ 13 $ 10 Interest expense 1 1 2 2 Operating lease costs* 404 90 560 244 Short-term lease costs* 44 37 135 141 Total lease costs $ 453 $ 132 $ 710 $ 397 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – finance leases $ 1 $ 2 Operating cash flows – operating leases $ 566 $ 239 Financing cash flows – finance leases $ 13 $ 9 September 30, 2020 Weighted-average remaining lease term: Finance leases (in years) 2.8 Operating leases (in years) 2.9 Weighted-average discount rate: Finance leases 3.7% Operating leases 2.9% * Included in other operating expenses of the consolidated statement of income. The following table summarizes the Company’s operating leases in which the Company is a lessor: Renewal Other Terms and Class of Assets Initial Term Option Conditions Operating lease: Office space 1 to 3 years Yes (e) Retail space 3 to 20 years Yes (e) Boat docks/wet slips 1 to 12 months Yes (e) (e) There are no purchase options. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 17 -- Income Taxes During the three months ended September 30, 2020 and 2019, the Company recorded approximately $6,146 and $1,866 respectively, of income taxes, which resulted in effective tax rates of 28.5% and 24.2%, respectively. The increase in the effective tax rate as compared with the corresponding period in the prior year was primarily attributable to the non-deductibility of certain executive compensation. Furthermore, the Florida corporate income tax rate was reduced from 5.5% to 4.458% in September 2019. During the nine months ended September 30, 2020 and 2019, the Company recorded approximately $9,143 and $7,173, respectively, of income taxes, which resulted in effective tax rates of 26.9% and 26.3%, respectively. The slight increase in the effective tax rate in 2020 as compared with the corresponding period in the prior year was primarily attributable to the non-deductibility of executive compensation, offset by the recognition of the tax refund from the State of Florida for 2018 income taxes , and the recognition of windfall tax benefits related to share-based awards. The Company’s estimated annual effective tax rate differs from the statutory federal tax rate due to state and foreign income taxes as well as certain nondeductible and tax-exempt items. In addition, the Company determined there w ere no significant tax implications as a result of the CARES Act. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 18 -- Earnings Per Share U.S. GAAP requires the Company to use the two-class method in computing basic earnings per share since holders of the Company’s restricted stock have the right to share in dividends, if declared, equally with common stockholders. These participating securities affect the computation of both basic and diluted earnings per share during periods of net income or loss. A summary of the numerator and denominator of the basic and diluted earnings per common share is presented below. Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Income Shares Per Share Income Shares Per Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net income $ 15,390 $ 5,853 Less: Income attributable to participating securities (865 ) (325 ) Basic Earnings Per Share: Income allocated to common stockholders 14,525 7,356 $ 1.97 5,528 7,531 $ 0.73 Effect of Dilutive Securities: Stock options — 37 — 8 Convertible senior notes* 1,903 2,284 — — Diluted Earnings Per Share: Income available to common stockholders and assumed conversions $ 16,428 9,677 $ 1.70 $ 5,528 7,539 $ 0.73 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Income Shares Per Share Income Shares Per Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net income $ 24,873 $ 20,144 Less: Income attributable to participating securities (1,309 ) (1,114 ) Basic Earnings Per Share: Income allocated to common stockholders 23,564 7,350 $ 3.21 19,030 7,644 $ 2.49 Effect of Dilutive Securities: Stock options — 17 — 14 Convertible senior notes 5,787 2,330 6,828 2,745 Diluted Earnings Per Share: Income available to common stockholders and assumed conversions $ 29,351 9,697 $ 3.03 $ 25,858 10,403 $ 2.49 * For the three months ended September 30, 2019, convertible senior notes were excluded due to anti-dilutive effect. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Stockholders' Equity | Note 19 -- Stockholders’ Equity Common Stock On December 19, 2019, the Board of Directors decided to extend the term of the 2019 stock repurchase plan to March 15, 2020. On March 13, 2020, the Board approved a stock repurchase plan for 2020 to repurchase up to $20,000 of the Company’s common shares before commissions and fees. During the three months ended September 30, 2020, the Company repurchased and retired a total of 457 shares at a weighted average price per share of $43.76 under the plan for 2020. The total cost of shares repurchased, inclusive of fees and commissions, during the three months ended September 30, 2020 was $20 or $43.79 per share. During the nine months ended September 30, 2020, the Company repurchased and retired a total of 129,142 shares at a weighted average price per share of $39.93 under these authorized repurchase plans. The total cost of shares repurchased, inclusive of fees and commissions, during the nine months ended September 30, 2020 was $5,161 or $39.96 per share. In December 2018, the Company’s Board of Directors authorized a plan for 2019 to repurchase up to $20,000 of the Company’s common shares before commissions and fees. During the three months ended September 30, 2019, the Company repurchased and retired a total of 175,160 shares at a weighted average price per share of $40.99 under this authorized repurchase plan. The total cost of shares repurchased, inclusive of fees and commissions, during the three months ended September 30, 2019 was $7,185, or $41.02 per share. During the nine months ended September 30, 2019, the Company repurchased and retired a total of 367,736 shares at a weighted average price per share of $41.28 under this authorized repurchase plan. The total cost of shares repurchased, inclusive of fees and commissions, during the nine months ended September 30, 2019 was $15,191, or $41.31 per share. On July 2, 2020, the Company’s Board of Directors declared a quarterly dividend of $0.40 per common share. The dividends were paid on September 18, 2020 to stockholders of record on August 21, 2020. Preferred Stock On May 15, 2020, the Company amended its Articles of Incorporation, effective on the same date, to cancel the designation of 1,500,000 shares of the Company’s authorized preferred stock as Series A Cumulative Redeemable Preferred Stock, and the designation of 400,000 shares of the Company’s authorized preferred stock as Series B Junior Participating Preferred Stock. As a result, all 20,000,000 authorized shares of the Company’s preferred stock are undesignated. Since the designation of these types of preferred stock, none have ever been issued by the Company. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | Note 20 -- Stock-Based Compensation Incentive Plans The Company currently has outstanding stock-based awards granted under the 2012 Omnibus Incentive Plan which is currently active and available for future grants. At September 30, 2020, there were 1,473,851 shares available for grant. Stock Options Stock options granted and outstanding under the incentive plans vest over periods ranging from immediately vested to five years and are exercisable over the contractual term of ten years. A summary of the stock option activity for the three and nine months ended September 30, 2020 and 2019 is as follows (option amounts not in thousands): Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Options Price Term Value Outstanding at January 1, 2020 340,000 $ 43.21 7.9 years $ 1,657 Granted 110,000 $ 48.00 Exercised (10,000 ) $ 6.30 Outstanding at March 31, 2020 440,000 $ 45.25 8.3 years $ — Outstanding at June 30, 2020 440,000 $ 45.25 8.1 years $ 1,184 Outstanding at September 30, 2020 440,000 $ 45.25 7.8 years $ 2,321 Exercisable at September 30, 2020 165,000 $ 42.17 7.0 years $ 1,334 Outstanding at January 1, 2019 240,000 $ 37.19 8.8 years $ 3,278 Granted 110,000 $ 53.00 Outstanding at March 31, 2019 350,000 $ 42.16 8.5 years $ 1,329 Exercised (10,000 ) $ 6.30 Outstanding at June 30, 2019 340,000 $ 43.21 8.4 years $ 445 Outstanding at September 30, 2019 340,000 $ 43.21 8.1 years $ 1,057 Exercisable at September 30, 2019 92,500 $ 36.36 7.0 years $ 627 The following table summarizes information about options exercised for the three and nine months ended September 30, 2020 and 2019 (option amounts not in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Options exercised — — 10,000 10,000 Total intrinsic value of exercised options $ — $ — $ 288 $ 347 Tax benefits realized $ — $ (3 ) $ 71 $ 85 For the three months ended September 30, 2020 and 2019, the Company recognized $300 and $222, respectively, of compensation expense which was included in general and administrative personnel expenses. For the nine months ended September 30, 2020 and 2019, the Company recognized $880 and $647, respectively, of compensation expense. Deferred tax benefits related to stock options were $19 and $18 for the three months ended September 30, 2020 and 2019, respectively, and $57 for each of the nine months ended September 30, 2020 and 2019, respectively. The Company recognized a reduction in realized tax benefit of $3 in September 2019 resulting from the change in the Florida corporate income tax rate described in Note 17 – “Income Taxes.” At September 30, 2020 and December 31, 2019, there was $2,189 and $1,835, respectively, of unrecognized compensation expense related to nonvested stock options. The Company expects to recognize the remaining compensation expense over a weighted-average period of 2.5 years. The following table provides assumptions used in the Black-Scholes option-pricing model to estimate the fair value of the stock options granted during the nine months ended September 30, 2020 and 2019: 2020 2019 Expected dividend yield 3.48 % 3.34 % Expected volatility 38.68 % 40.17 % Risk-free interest rate 1.63 % 2.53 % Expected life (in years) 5 5 Restricted Stock Awards From time to time, the Company has granted and may grant restricted stock awards to its executive officers, other employees and nonemployee directors in connection with their service to the Company. The terms of the Company’s outstanding restricted stock grants may include service, performance and market-based conditions. The determination of fair value with respect to the awards containing only service-based conditions is based on the market value of the Company’s common stock on the grant date. Information with respect to the activity of unvested restricted stock awards during the three and nine months ended September 30, 2020 and 2019 is as follows: Number of Weighted Restricted Average Stock Grant Date Awards Fair Value Nonvested at January 1, 2020 396,760 $ 41.71 Granted 45,000 $ 44.97 Vested (31,250 ) $ 40.97 Forfeited (7,138 ) $ 42.60 Nonvested at March 31, 2020 403,372 $ 42.12 Granted 145,000 $ 45.59 Vested (104,926 ) $ 41.16 Forfeited (5,220 ) $ 43.75 Nonvested at June 30, 2020 438,226 $ 43.48 Granted 2,680 $ 54.36 Vested (625 ) $ 41.02 Forfeited (2,369 ) $ 45.60 Nonvested at September 30, 2020 437,912 $ 43.54 Nonvested at January 1, 2019 632,296 $ 33.33 Granted 40,000 $ 47.94 Vested (21,250 ) $ 37.69 Forfeited (4,681 ) $ 42.79 Nonvested at March 31, 2019 646,365 $ 34.03 Granted 133,160 $ 41.30 Vested (84,914 ) $ 41.58 Forfeited (264,211 ) $ 23.81 Nonvested at June 30, 2019 430,400 $ 41.06 Granted 7,244 $ 41.76 Forfeited (2,351 ) $ 41.97 Nonvested at September 30, 2019 435,293 $ 41.07 The Company recognized compensation expense related to restricted stock, which is included in general and administrative personnel expenses, of $1,862 and $1,524 for the three months ended September 30, 2020 and 2019, respectively, and $5,142 and $4,047 for the nine months ended September 30, 2020 and 2019, respectively. At September 30, 2020 and December 31, 2019, there was approximately $15,658 and $12,661, respectively, of total unrecognized compensation expense related to nonvested restricted stock arrangements. The Company expects to recognize the remaining compensation expense over a weighted-average period of 2.8 years. The following table summarizes information about deferred tax benefits recognized and tax benefits realized related to restricted stock awards and paid dividends, and the fair value of vested restricted stock for the three and nine months ended September 30, 2020 and 2019. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Deferred tax benefits recognized $ 353 $ 282 $ 956 $ 772 Tax benefits realized for restricted stock and paid dividends $ 47 $ 1 $ 1,286 $ 986 Fair value of vested restricted stock $ 26 $ — $ 5,625 $ 4,331 During 2019, all shares of restricted stock awards granted to employee and nonemployee directors with market-based vesting conditions were forfeited due to not meeting the vesting conditions. The dividend payments associated with these awards were expensed when declared. As a result, for the three months ended September 30, 2019, the Company recognized dividends of $10 related to these awards in other operating expenses. For the nine months ended September 30, 2019, the Company recognized dividends of $237 in general and administrative personnel expenses for $170 and in other operating expenses for $67. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 21 -- Commitments and Contingencies Capital Commitment As described in Note 5 -- “Investments” under Limited Partnership Investments Litigation On April 1, 2020, Gulf to Bay LM, LLC, the Company’s wholly owned real estate subsidiary, sued Kroger Co. in federal district court to enforce a guaranty of a commercial lease executed between Gulf to Bay LM, LLC and Lucky’s Market Operating Company, LLC. Lucky’s filed for bankruptcy earlier this year. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 22 -- Subsequent Events On October 16, 2020, the Company’s Board of Directors declared a quarterly dividend of $0.40 per common share. The dividends are payable on December 18, 2020 to stockholders of record on November 20, 2020. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited, consolidated financial statements for HCI Group, Inc. and its majority-owned and controlled subsidiaries (collectively, the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, and the Securities and Exchange Commission (“SEC”) rules for interim financial reporting. Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with U.S. GAAP have been omitted pursuant to such rules and regulations. However, in the opinion of management, the accompanying consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the Company’s financial position as of September 30, 2020 and the results of operations and cash flows for the periods presented. The results of operations for the interim periods presented are not necessarily indicative of the results of operations to be expected for any subsequent interim period or for the fiscal year ending December 31, 2020. The accompanying unaudited consolidated financial statements and notes thereto should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 201 9 included in the Company’s Form 10-K, which was filed with the SEC on March 6 , 20 20 . In preparing the interim unaudited consolidated financial statements, management was required to make certain judgments, assumptions, and estimates that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures at the financial reporting date and throughout the periods being reported upon. Certain of the estimates result from judgments that can be subjective and complex and consequently actual results may differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term are related to the Company’s losses and loss adjustment expenses, which include amounts estimated for claims incurred but not yet reported. The Company uses various assumptions and actuarial data it believes to be reasonable under the circumstances to make these estimates. In addition, accounting policies specific to reinsurance with retrospective provisions, reinsurance recoverable, deferred income taxes, and stock-based compensation expense involve significant judgments and estimates material to the Company’s consolidated financial statements. All significant intercompany balances and transactions have been eliminated. |
Adoption of New Accounting Standards | Adoption of New Accounting Standards In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update No. 2016-13 (“ASU 2016-13”), Financial Instruments – Credit Losses (Topic 326), effective January 1, 2020. This update amends guidance on the recognition and measurement of credit losses for assets held at amortized cost and available-for-sale debt securities. For assets held at amortized cost, ASU 2016-13 eliminates the probable initial recognition threshold and, instead, requires credit losses to be measured using the Current Expected Credit Loss (“CECL”) model. The CECL model requires the measurement of all expected credit losses based on historical experience, current conditions, and reasonable and supportable forecasts which incorporate forward-looking information. For available-for-sale debt securities, credit losses will continue to be measured in a manner similar to the current standard. Effective January 1, 2020, the Company used a modified retrospective method for transition to the CECL model. The Company recognized a cumulative-effect adjustment of $453 related to reinsurance recoverable to beginning retained income with a corresponding entry to an allowance for credit losses account. Any subsequent changes to the expected credit losses will be recognized in the Company’s consolidated statement of income. |
Allowance for Credit Losses | Allowance for Credit Losses Allowance for credit losses represents an estimation of potential losses that the Company may experience due to credit risk. The allowance for credit losses account is a contra account of a financial asset to reflect the net amount expected to be collected. Any increase or decrease in the allowance for credit losses related to investments is recognized and reflected as credit losses on investments in the Company’s consolidated statement of income. For all other financial assets, credit loss expense is included in other operating expenses. When the risk of credit loss becomes certain, the allowance for credit losses account will be written off against the financial asset. Under the CECL model, the Company measures all expected credit losses related to relevant financial assets based on historical experience, current conditions, and reasonable and supportable forecasts which incorporate forward-looking information. The Company primarily uses a discounted cash flow method and a rating-based method in estimating credit losses at a reporting date for financial assets under the scope of the CECL model. The discounted cash flow method is a valuation method used to estimate the value of a financial asset based on its future cash flows. The Company uses this method to determine the expected credit losses for available-for-sale fixed-maturity securities. In addition, the Company elects not to measure an allowance for credit losses for accrued interest receivable as any uncollectible amount is adjusted to interest income on a monthly basis. For certain financial assets related to insurance business such as reinsurance recoverable and reinsurance receivable for premium refund, the Company uses a rating-based method, which is a modified version of the probability of default method. It requires two key inputs: a) the liquidation rate and b) the amount of loss exposure. The liquidation rate, which is published annually, is the ratio of impaired insurance companies that were eventually liquidated to the group of insurance companies considered by A.M. Best in its study. The amount of loss exposure represents the future billing balance, net of any collateral, spread over the projected periods that are based on the Company’s historical claim payment pattern. The rating-based method measures credit losses by multiplying the future billings grouped by insurance rating over the projected periods by their corresponding liquidation rates by insurance rating. At present, the exposure to credit losses for certain financial assets related to non-insurance business is considered immaterial to the Company’s financial position. |
Limited Partnerships Investments | Limited Partnership Investments The Company has interests in limited partnerships that are not registered under the United States Securities Act of 1933, as amended, the securities laws of any state or the securities laws of any other jurisdictions. The partnership interests cannot be resold in the public market and any withdrawal is subject to the terms and conditions of the partnership agreement. The Company has no influence over partnership operating and financial policies. The Company uses the equity method to account for the investments with ownership interest greater than five percent. For the investments with ownership interest at five percent or less, the Company uses the net asset value method to estimate the fair value of these investments. The Company generally recognizes its share of the limited partnership’s earnings or losses on a three-month lag. Due to the lag, the Company may record an adjustment to the Company’s most recent share of net asset value when the amount can be reasonably estimated and a significant adverse impact on the net asset value is expected as a result of a major economic event. Net investment income or loss from limited partnerships represents a net aggregate amount of operating results allocated to the Company based on the percentage of ownership interest in each limited partnership. Pursuant to U.S. GAAP, these limited partnerships which are private equity funds must measure their investments at fair value and reflect the unrealized gains and losses in the fair value of their investments on their statement of income. As a result, the carrying value of limited partnership investments at each reporting date approximates their estimated fair value. |
Premium Receivable | Premium Receivable Premium receivable represents the amount of premiums due from policyholders for insurance coverage. Premiums are recorded as receivable in the Company’s general ledger on the effective date of the policy. Premiums are billed to the policyholder 45-60 days in advance of the effective date. The policyholder is given a 30-day grace period after the effective date to pay the premium before the insurance coverage is cancelled. If the policyholder does not pay the premium, the Company can cancel the policy and has no obligation to provide insurance coverage. Unpaid renewal policies are cancelled at midnight on the last day of the period for which the policyholder has paid. The unearned premium liability for the cancelled policy is reversed along with the premium receivable balance. Therefore, there is no unpaid earned premium and credit loss associated with the cancelled policy. However, when the 30-day grace period falls between two reporting periods, the premium receivable balance at the end of the first reporting period may potentially be overstated for not considering the policy that is subsequently cancelled during the following reporting period. To mitigate the overstatement issue, the Company estimates the monetary impact from the subsequent policy cancellation by multiplying the historical cancellation rate to the premium receivable balance at the reporting date. The premium receivable balance, together with the unearned premium liability is then reduced by the computed amount. At September 30, 2020 and December 31, 2019, allowances for uncollectible premiums were $2,369 and $528, respectively. |
Deferred Policy Acquisition Costs | Deferred Policy Acquisition Costs Deferred policy acquisition costs (“DAC”) represent direct costs to acquire insurance contracts and consist of premium taxes and commissions paid to outside agents at the time of collection of the policy premium. DAC also includes a cash bonus and other related expenses in association with the successful transition of policies from Anchor for the replacement policies and issuance of renewal policies under the Company’s own rates and terms. DAC is amortized over the life of the related policy in relation to the amount of gross premiums earned. The method followed in computing DAC limits the amount of such deferred costs to their estimated realizable value, which gives effect to the gross premium earned, related investment income, unpaid losses and loss adjustment expenses and certain other costs expected to be incurred as the premium is earned. DAC is reviewed to determine if it is recoverable from future premium income, including investment income. If such costs are determined to be unrecoverable, they are expensed at the time of determination. The amount of DAC considered recoverable could be reduced in the near term if the estimates of total revenues discussed above are reduced or permanently impaired as a result of the disposition of a line of business. The amount of amortization of DAC could be revised in the near term if any of the estimates discussed above are revised. |
Cash, Cash Equivalents, and R_2
Cash, Cash Equivalents, and Restricted Cash (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Cash And Cash Equivalents [Abstract] | |
Summary of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Company’s consolidated balance sheets that sum to the total of the same such amounts shown in the statements of cash flows. September 30, December 31, 2020 2019 Cash and cash equivalents $ 410,691 $ 229,218 Restricted cash 2,400 700 Total $ 413,091 $ 229,918 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Summary of Amortized Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Available-for-Sale Securities | The Company holds investments in fixed-maturity securities that are classified as available-for-sale. At September 30, 2020 and December 31, 2019, the cost or amortized cost, allowance for credit loss, gross unrealized gains and losses, and estimated fair value of the Company’s available-for-sale securities by security type were as follows: Cost or Amortized Allowance for Credit Gross Unrealized Gross Unrealized Estimated Fair Cost Loss Gain Loss Value As of September 30, 2020 U.S. Treasury and U.S. government agencies $ 11,629 $ — $ 253 $ — $ 11,882 Corporate bonds 66,898 (564 ) 1,619 (128 ) 67,825 State, municipalities, and political subdivisions 5,818 — 90 — 5,908 Exchange-traded debt 6,786 (32 ) 342 (1 ) 7,095 Redeemable preferred stock 35 — — (2 ) 33 Total $ 91,166 $ (596 ) $ 2,304 $ (131 ) $ 92,743 As of December 31, 2019 U.S. Treasury and U.S. government agencies $ 26,220 $ — $ 78 $ (3 ) $ 26,295 Corporate bonds 157,155 — 2,212 (3 ) 159,364 State, municipalities, and political subdivisions 7,763 — 149 — 7,912 Exchange-traded debt 8,698 — 462 (15 ) 9,145 Redeemable preferred stock 118 — 5 — 123 Total $ 199,954 $ — $ 2,906 $ (21 ) $ 202,839 |
Scheduled Contractual Maturities of Fixed-Maturity Securities | The scheduled contractual maturities of fixed-maturity securities as of September 30, 2020 and December 31, 2019 are as follows: Amortized Estimated Cost Fair Value As of September 30, 2020 Due in one year or less $ 34,594 $ 34,814 Due after one year through five years 48,555 49,329 Due after five years through ten years 3,109 3,410 Due after ten years 4,908 5,190 $ 91,166 $ 92,743 Amortized Estimated Cost Fair Value As of December 31, 2019 Due in one year or less $ 63,135 $ 63,429 Due after one year through five years 125,833 127,660 Due after five years through ten years 6,896 7,350 Due after ten years 4,090 4,400 $ 199,954 $ 202,839 |
Summary of Proceeds Received and Gross Realized Gains and Losses from Sales of Available for Sale Securities | Proceeds received, and the gross realized gains and losses from sales of available-for-sale securities, for the three and nine months ended September 30, 2020 and 2019 were as follows: Gross Realized Gross Realized Proceeds Gains Losses Three months ended September 30, 2020 $ 1,098 $ 13 $ (34 ) Three months ended September 30, 2019 $ 2,240 $ 27 $ (1 ) Nine months ended September 30, 2020 $ 79,284 $ 1,743 $ (610 ) Nine months ended September 30, 2019 $ 5,225 $ 61 $ (2 ) |
Summary of Securities with Gross Unrealized Loss Positions Aggregated by Investment Category | Securities with gross unrealized loss positions at September 30, 2020 and December 31, 2019, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows: Less Than Twelve Months Twelve Months or Longer Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of September 30, 2020 Loss Value Loss Value Loss Value Corporate bonds $ (128 ) $ 4,759 $ — $ — $ (128 ) $ 4,759 Exchange-traded debt (1 ) 252 — — (1 ) 252 Redeemable preferred stock (2 ) 33 — — (2 ) 33 Total $ (131 ) $ 5,044 $ — $ — $ (131 ) $ 5,044 At September 30, 2020, there were 13 securities in an unrealized loss position. Of these securities, none had been in an unrealized loss position for 12 months or longer. Less Than Twelve Months Twelve Months or Longer Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of December 31, 2019 Loss Value Loss Value Loss Value U.S. Treasury and U.S. government agencies $ (3 ) $ 2,292 $ — $ — $ (3 ) $ 2,292 Corporate bonds (3 ) 4,597 — — (3 ) 4,597 Exchange-traded debt (15 ) 345 — — (15 ) 345 Total $ (21 ) $ 7,234 $ — $ — $ (21 ) $ 7,234 |
Summary of Allowance for Credit Losses of Available-for-Sale Securities | The table below summarized the activity in the allowance for credit losses of available-for-sale securities for the three and nine months ended on September 30, 2020: 2020 Balance at January 1 $ — Credit loss expense 439 Balance at March 31 $ 439 Credit loss expense 87 Balance at June 30 $ 526 Credit loss expense 70 Balance at September 30 $ 596 |
Summary of Amortized Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value Of Equity Securities | The Company holds investments in equity securities measured at fair values which are readily determinable. At September 30, 2020 and December 31, 2019, the cost, gross unrealized gains and losses, and estimated fair value of the Company’s equity securities were as follows: Gross Unrealized Gross Unrealized Estimated Fair Cost Gain Loss Value September 30, 2020 $ 39,861 $ 3,903 $ (1,062 ) $ 42,702 December 31, 2019 $ 31,863 $ 3,652 $ (230 ) $ 35,285 |
Summary of Unrealized Gains and Losses for Equity Securities | The table below presents the portion of unrealized gains and losses in the Company’s consolidated statement of income for the periods related to equity securities still held. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net gains (losses) recognized $ 1,521 $ 586 $ (2,363 ) $ 6,616 Exclude: Net realized gains (losses) recognized for securities sold 181 (56 ) (1,782 ) (645 ) Net unrealized gains (losses) recognized $ 1,340 $ 642 $ (581 ) $ 7,261 |
Summary of Proceeds Received, Gross Realized Gains and Losses from Sales of Equity Securities | Proceeds received, and the gross realized gains and losses from sales of equity securities, for the three and nine months ended September 30, 2020 and 2019 were as follows: Gross Realized Gross Realized Proceeds Gains Losses Three months ended September 30, 2020 $ 4,930 $ 244 $ (63 ) Three months ended September 30, 2019 $ 1,504 $ 43 $ (99 ) Nine months ended September 30, 2020 $ 17,385 $ 1,213 $ (2,995 ) Nine months ended September 30, 2019 $ 34,345 $ 2,230 $ (2,875 ) |
Schedule of Company's Investments in Limited Partnerships | . The following table provides information related to the Company’s investments in limited partnerships: September 30, 2020 December 31, 2019 Carrying Unfunded Carrying Unfunded Investment Strategy Value Balance (%)(a) Value Balance (%)(a) Primarily in senior secured loans and, to a limited extent, in other debt and equity securities of private U.S. lower-middle-market companies. (b)(c)(e) $ 8,879 $ 2,085 15.37 $ 9,659 $ 2,085 15.37 Value creation through active distressed debt investing primarily in bank loans, public and private corporate bonds, asset-backed securities, and equity securities received in connection with debt restructuring. (b)(d)(e) 5,633 — 1.76 5,985 — 1.76 High returns and long-term capital appreciation through investments in the power, utility and energy industries, and in the infrastructure sector. (b)(f)(g) 6,640 1,401 0.18 9,188 1,391 0.18 Value-oriented investments in less liquid and mispriced senior and junior debts of private equity-backed companies. (b)(h)(i) 4,355 406 0.47 1,602 3,106 0.47 Value-oriented investments in mature real estate private equity funds and portfolio globally. (b)(j) 1,990 8,286 2.24 1,912 8,548 2.24 Total $ 27,497 $ 12,178 $ 28,346 $ 15,130 (a) Represents the Company’s percentage investment in the fund at each balance sheet date. (b) Except under certain circumstances, withdrawals from the funds or any assignments are not permitted. Distributions, except income from late admission of a new limited partner, will be received when underlying investments of the funds are liquidated. (c) Expected to have a ten-year (d) Expected to have a three-year (e) At the fund manager’s discretion, the term of the fund may be extended for up to two additional one-year periods. (f) Expected to have a ten-year (g) With the consent of a supermajority of partners, the term of the fund may be extended for up to three additional one-year periods. (h) Expected to have a six-year (i) The capital commitment was extended and is now expected to expire on December 1, 2020. (j) Expected to have an eight-year |
Summary of Unaudited Financial Information and Unaudited Financial Position | The following tables provide FMJV’s summarized unaudited financial results and the unaudited financial positions: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Operating results: Total revenues and gain $ — $ — $ — $ 2 Total expenses (19 ) (18 ) (51 ) (80 ) Net loss $ (19 ) $ (18 ) $ (51 ) $ (78 ) The Company’s share of net loss* $ (18 ) $ (17 ) $ (46 ) $ (71 ) * Included in net investment income in the Company’s consolidated statements of income. September 30, December 31, 2020 2019 Balance Sheet: Property and equipment, net $ 714 $ 741 Cash 90 102 Other 4 4 Total assets $ 808 $ 847 Other liabilities $ 12 $ — Members’ capital 796 847 Total liabilities and members’ capital $ 808 $ 847 Investment in unconsolidated joint venture, at equity** $ 716 $ 762 * * Includes the 90% share of FMKT Mel JV’s operating results. |
Summary of Real Estate Investment | Real estate investments consist of the following as of September 30, 2020 and December 31, 2019. September 30, December 31, 2020 2019 Land $ 36,239 $ 39,511 Land improvements 11,422 11,907 Buildings 23,006 24,086 Tenant and leasehold improvements 1,263 1,487 Other 6,442 3,489 Total, at cost 78,372 80,480 Less: accumulated depreciation and amortization (7,806 ) (6,717 ) Real estate investments $ 70,566 $ 73,763 |
Investment (Loss) Income Summarized | Net investment income (loss), by source, is summarized as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Available-for-sale fixed-maturity securities $ 771 $ 1,637 $ 3,529 $ 4,794 Equity securities 336 305 970 979 Investment expense (125 ) (114 ) (367 ) (349 ) Limited partnership investments 689 476 (2,058 ) 1,308 Real estate investments (34 ) (28 ) (299 ) 173 Loss from unconsolidated joint venture (18 ) (17 ) (46 ) (71 ) Cash and cash equivalents 212 1,354 1,513 3,908 Short-term investments 1 8 2 383 Net investment income $ 1,832 $ 3,621 $ 3,244 $ 11,125 |
Limited Partnership [Member] | |
Summary of Unaudited Financial Information and Unaudited Financial Position | The following is the summary of aggregated unaudited financial information of limited partnerships included in the investment strategy table above, which in certain cases is presented on a three-month lag due to the unavailability of information at the Company’s respective balance sheet dates. The financial statements of these limited partnerships are audited annually. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Operating results: Total income $ 259,635 $ (100,043 ) $ (1,421,381 ) $ 147,858 Total expenses (26,637 ) (27,212 ) (107,157 ) (108,385 ) Net (loss) income $ 232,998 $ (127,255 ) $ (1,528,538 ) $ 39,473 September 30, December 31, 2020 2019 Balance Sheet: Total assets $ 5,409,112 $ 6,850,913 Total liabilities $ 638,784 $ 549,562 |
Comprehensive Income (Loss) (Ta
Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Schedule of Components of Other Comprehensive Income or Loss and Related Tax Effects Allocated to Each Component | The components of other comprehensive income or loss and the related tax effects allocated to each component were as follows: Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Income Tax Income Tax Before Expense Net of Before Expense Net of Tax (Benefit) Tax Tax (Benefit) Tax Unrealized gains arising during the period $ 247 $ 61 $ 186 $ 447 $ 90 $ 357 Change in allowance for credit losses 70 17 53 — — — Call and repayment (gains) losses charged to investment income (15 ) (4 ) (11 ) (2 ) — (2 ) Reclassification adjustment for realized gains 21 5 16 (26 ) (7 ) (19 ) Total other comprehensive gains $ 323 $ 79 $ 244 $ 419 $ 83 $ 336 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Income Tax Income Tax Before Expense Net of Before Expense Net of Tax (Benefit) Tax Tax (Benefit) Tax Unrealized (losses) gains arising during the period $ 56 $ 14 $ 42 $ 4,777 $ 1,188 $ 3,589 Change in allowance for credit losses 596 146 450 — — — Call and repayment gains charged to investment income (231 ) (56 ) (175 ) (1 ) — (1 ) Reclassification adjustment for realized gains (1,133 ) (278 ) (855 ) (59 ) (15 ) (44 ) Total other comprehensive (losses) gains $ (712 ) $ (174 ) $ (538 ) $ 4,717 $ 1,173 $ 3,544 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Components of Long-Term Debt and Methods Used in Estimating Fair Values | The following table summarizes components of the Company’s long-term debt and methods used in estimating their fair values: Maturity Date Valuation Methodology 4.25% Convertible senior notes 2037 Quoted price 3.90% Promissory note 2032 Discounted cash flow method/Level 3 inputs 4% Promissory note 2031 Discounted cash flow method/Level 3 inputs 3.75% Callable promissory note 2036 Discounted cash flow method/Level 3 inputs 4.55% Promissory note 2036 Discounted cash flow method/Level 3 inputs |
Assets Measured at Estimated Fair Value on a Recurring Basis | The following table presents information about the Company’s financial assets measured at estimated fair value on a recurring basis. The table indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as of September 30, 2020 and December 31, 2019: Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of September 30, 2020 Financial Assets: Cash and cash equivalents $ 410,691 $ — $ — $ 410,691 Restricted cash $ 2,400 $ — $ — $ 2,400 Fixed-maturity securities: U.S. Treasury and U.S. government agencies $ 10,144 $ 1,738 $ — $ 11,882 Corporate bonds 67,825 — — 67,825 State, municipalities, and political subdivisions — 5,908 — 5,908 Exchange-traded debt 7,095 — — 7,095 Redeemable preferred stock 33 — — 33 Total available-for-sale securities $ 85,097 $ 7,646 $ — $ 92,743 Equity securities $ 42,702 $ — $ — $ 42,702 Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of December 31, 2019 Financial Assets: Cash and cash equivalents $ 229,218 $ — $ — $ 229,218 Restricted cash $ 700 $ — $ — $ 700 Short-term investments $ 491 $ — $ — $ 491 Fixed-maturity securities: U.S. Treasury and U.S. government agencies $ 25,294 $ 1,001 $ — $ 26,295 Corporate bonds 159,364 — — 159,364 State, municipalities, and political subdivisions — 7,912 — 7,912 Exchange-traded debt 9,145 — — 9,145 Redeemable preferred stock 123 — — 123 Total available-for-sale securities $ 193,926 $ 8,913 $ — $ 202,839 Equity securities $ 35,285 $ — $ — $ 35,285 |
Schedule of Fair Value Information for Financial Assets and Liabilities Carried on Balance Sheet | The following tables present fair value information for assets and liabilities that are carried on the balance sheet at amounts other than fair value as of September 30, 2020 and December 31, 2019: Carrying Fair Value Measurements Using Estimated Value (Level 1) (Level 2) (Level 3) Fair Value As of September 30, 2020 Financial Liabilities: Revolving credit facility $ 8,750 $ — $ 8,750 $ — $ 8,750 Long-term debt: 4.25% Convertible senior notes $ 132,901 $ — $ 141,984 $ — $ 141,984 3.90% Promissory note 9,698 — — 9,684 9,684 3.75% Callable promissory note 7,586 — — 7,651 7,651 4.55% Promissory note 5,442 — — 5,528 5,528 Total long-term debt $ 155,627 $ — $ 141,984 $ 22,863 $ 164,847 Carrying Fair Value Measurements Using Estimated Value (Level 1) (Level 2) (Level 3) Fair Value As of December 31, 2019 Financial Liabilities: Revolving credit facility $ 9,750 $ — $ 9,750 $ — $ 9,750 Long-term debt: 4.25% Convertible senior notes $ 134,075 $ — $ 147,375 $ — $ 147,375 3.95% Promissory note 8,875 — — 8,887 8,887 4% Promissory note 7,237 — — 7,409 7,409 3.75% Callable promissory note 7,837 — — 7,861 7,861 4.55% Promissory note 5,611 — — 5,802 5,802 Total long-term debt $ 163,635 $ — $ 147,375 $ 29,959 $ 177,334 |
Other Assets (Tables)
Other Assets (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Summary of Other Assets | The following table summarizes the Company’s other assets. September 30, December 31, 2020 2019 Benefits receivable related to retrospective reinsurance contract $ 6,240 $ 9,480 Prepaid expenses 2,735 2,107 Deposits 3,446 1,678 Lease acquisition costs, net 468 566 Right-of-use assets – operating leases 5,668 484 Other 1,819 2,765 Total other assets $ 20,376 $ 17,080 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Summary of Long-term Debt | The following table summarizes the Company’s long-term debt. September 30, December 31, 2020 2019 4.25% Convertible senior notes, due March 1, 2037 $ 139,200 $ 143,750 3.95% Promissory note, due through February 17, 2020 — 8,881 4% Promissory note, due through July 29, 2020 — 7,345 3.75% Callable promissory note, due through September 1, 2036 7,695 7,955 4.55% Promissory note, due through August 1, 2036 5,529 5,704 3.90% Promissory note, due through April 1, 2032 9,861 — Finance lease liabilities, due through August 15, 2023 48 60 Total principal amount 162,333 173,695 Less: unamortized discount and issuance costs (6,658 ) (10,000 ) Total long-term debt $ 155,675 $ 163,695 |
Summary of Future Maturities of Long-Term Debt | The following table summarizes future maturities of long-term debt as of September 30, 2020, which takes into consideration the assumption that the 4.25% Convertible Senior Notes are repurchased at the earliest call date. Due in 12 months following September 30, 2020 $ 960 2021 140,198 2022 1,034 2023 1,063 2024 1,106 Thereafter 17,972 Total $ 162,333 |
Schedule of Interest Expense Related to Long-Term Debt | Information with respect to interest expense related to long-term debt is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Interest Expense: Contractual interest $ 1,736 $ 1,835 $ 5,374 $ 6,229 Non-cash expense (a) 1,053 1,018 3,174 3,807 Capitalized interest (b) (41 ) (78 ) (125 ) (236 ) $ 2,748 $ 2,775 $ 8,423 $ 9,800 (a) Includes amortization of debt discount and issuance costs. (b) Interest was capitalized for a construction project. |
Reinsurance (Tables)
Reinsurance (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Insurance [Abstract] | |
Impact of the Reinsurance Treaties on Premiums Written and Earned | The impact of the reinsurance contracts on premiums written and earned is as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Premiums Written: Direct $ 116,464 $ 97,331 $ 364,942 $ 298,384 Assumed (13 ) — (92 ) (2 ) Gross written 116,451 97,331 364,850 298,382 Ceded (44,231 ) (31,568 ) (109,304 ) (94,298 ) Net premiums written $ 72,220 $ 65,763 $ 255,546 $ 204,084 Premiums Earned: Direct $ 106,337 $ 86,002 $ 303,956 $ 251,916 Assumed 357 — 2,906 (2 ) Gross earned 106,694 86,002 306,862 251,914 Ceded (44,231 ) (31,568 ) (109,304 ) (94,298 ) Net premiums earned $ 62,463 $ 54,434 $ 197,558 $ 157,616 |
Losses and Loss Adjustment Ex_2
Losses and Loss Adjustment Expenses (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Insurance [Abstract] | |
Liability for Unpaid Losses and Loss Adjustment Expenses | Activity in the liability for unpaid losses and loss adjustment expenses is summarized as follows: Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net balance, beginning of period* $ 123,129 $ 95,345 $ 98,174 $ 94,826 Incurred, net of reinsurance, related to: Current period 50,543 25,177 116,839 70,914 Prior period 1,200 2,150 2,825 7,702 Total incurred, net of reinsurance 51,743 27,327 119,664 78,616 Paid, net of reinsurance, related to: Current period (21,175 ) (15,111 ) (36,988 ) (32,819 ) Prior period (9,386 ) (12,763 ) (36,539 ) (45,825 ) Total paid, net of reinsurance (30,561 ) (27,874 ) (73,527 ) (78,644 ) Net balance, end of period 144,311 94,798 144,311 94,798 Add: reinsurance recoverable before allowance for credit losses 75,034 143,123 75,034 143,123 Gross balance, end of period $ 219,345 $ 237,921 $ 219,345 $ 237,921 *Net balance represents beginning-of-period liability for unpaid losses and loss adjustment expenses less beginning-of-period reinsurance recoverable for unpaid losses and loss adjustment expenses. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Summary of Segment Information Reconciled to Consolidated Statements of Income | The following tables present segment information reconciled to the Company’s consolidated statements of income. Intersegment transactions are not eliminated from segment results. However, intracompany transactions are eliminated in segment results below. Insurance Real Corporate/ Reclassification/ For Three Months Ended September 30, 2020 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 62,463 $ — $ — $ — $ 62,463 Net investment income (loss) 1,050 — 1,072 (290 ) 1,832 Net realized investment gains 131 — 46 — 177 Net unrealized investment gains 1,093 — 247 — 1,340 Credit losses on investments (50 ) — (20 ) — (70 ) Policy fee income 895 — — — 895 Gain on involuntary conversion — 36,969 — — 36,969 Other 285 2,384 510 (2,758 ) 421 Total revenue 65,867 39,353 1,855 (3,048 ) 104,027 Expenses: Losses and loss adjustment expenses 51,743 — — — 51,743 Amortization of deferred policy acquisition costs 12,200 — — — 12,200 Interest expense — 463 2,631 (238 ) 2,856 Depreciation and amortization 28 566 452 (585 ) 461 Other 10,028 1,423 6,005 (2,225 ) 15,231 Total expenses 73,999 2,452 9,088 (3,048 ) 82,491 (Loss) income before income taxes $ (8,132 ) $ 36,901 $ (7,233 ) $ — $ 21,536 Total revenue from non-affiliates(c) $ 65,867 $ 38,859 $ 1,345 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Three Months Ended September 30, 2019 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 54,434 $ — $ — $ — $ 54,434 Net investment income (loss) 3,365 — 461 (205 ) 3,621 Net realized investment (loss) gains (33 ) — 3 — (30 ) Net unrealized investment gains 533 — 109 — 642 Policy fee income 811 — — — 811 Other 186 2,317 1,341 (3,343 ) 501 Total revenue 59,296 2,317 1,914 (3,548 ) 59,979 Expenses: Losses and loss adjustment expenses 27,327 — — — 27,327 Amortization of deferred policy acquisition costs 9,556 — — — 9,556 Interest expense 1 409 2,659 (162 ) 2,907 Depreciation and amortization 29 627 261 (530 ) 387 Other 7,978 1,292 5,669 (2,856 ) 12,083 Total expenses 44,891 2,328 8,589 (3,548 ) 52,260 Income (loss) before income taxes $ 14,405 $ (11 ) $ (6,675 ) $ — $ 7,719 Total revenue from non-affiliates(c) $ 59,296 $ 1,910 $ 1,466 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Nine Months Ended September 30, 2020 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 197,558 $ — $ — $ — $ 197,558 Net investment income (loss) 5,459 3 (1,194 ) (1,024 ) 3,244 Net realized investment losses (208 ) — (424 ) — (632 ) Net unrealized investment losses (531 ) — (50 ) — (581 ) Credit losses on investments (576 ) (20 ) (596 ) Policy fee income 2,571 — — — 2,571 Gain on involuntary conversion — 36,969 — — 36,969 Other 880 7,362 2,400 (9,051 ) 1,591 Total revenue 205,153 44,334 712 (10,075 ) 240,124 Expenses: Losses and loss adjustment expenses 119,664 — — — 119,664 Amortization of deferred policy acquisition costs 35,568 — — — 35,568 Interest expense 1 1,434 8,090 (679 ) 8,846 Depreciation and amortization 86 1,862 1,263 (1,793 ) 1,418 Other 25,710 4,080 18,425 (7,603 ) 40,612 Total expenses 181,029 7,376 27,778 (10,075 ) 206,108 Income (loss) before income taxes $ 24,124 $ 36,958 $ (27,066 ) $ — $ 34,016 Total revenue (investment loss) from non-affiliates(c) $ 205,153 $ 42,907 $ (837 ) (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. Insurance Real Corporate/ Reclassification/ For Nine Months Ended September 30, 2019 Operations Estate(a) Other(b) Elimination Consolidated Revenue: Net premiums earned $ 157,616 $ — $ — $ — $ 157,616 Net investment income (loss) 9,381 — 2,064 (320 ) 11,125 Net realized investment gains (losses) 33 — (568 ) — (535 ) Net unrealized investment gains 5,951 — 1,310 — 7,261 Policy fee income 2,406 — — — 2,406 Other 524 7,009 4,590 (10,753 ) 1,370 Total revenue 175,911 7,009 7,396 (11,073 ) 179,243 Expenses: Losses and loss adjustment expenses 78,616 — — — 78,616 Amortization of deferred policy acquisition costs 26,982 — — — 26,982 Interest expense 2 1,174 9,374 (422 ) 10,128 Depreciation and amortization 82 1,878 791 (1,586 ) 1,165 Other 22,842 3,866 17,392 (9,065 ) 35,035 Total expenses 128,524 6,918 27,557 (11,073 ) 151,926 Income (loss) before income taxes $ 47,387 $ 91 $ (20,161 ) $ — $ 27,317 Total revenue from non-affiliates(c) $ 175,911 $ 5,787 $ 6,088 (a) Other revenue under real estate primarily consisted of rental income from investment properties. (b) Other revenue under corporate and other primarily consisted of revenue from restaurant and marina businesses. (c) Represents amounts before reclassification of certain revenue and expenses to conform with an insurance company’s presentation. |
Summary of Segment Assets Reconciled to Consolidated Balance Sheet | September 30, December 31, 2020 2019 Segment: Insurance Operations $ 738,141 $ 663,280 Real Estate Operations 130,138 93,727 Corporate and Other 45,731 60,662 Consolidation and Elimination (26,197 ) (15,060 ) Total assets $ 887,813 $ 802,609 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Leases [Abstract] | |
Disclosure of right-of-use assets and liabilities for operating and finance leases | The table below summarizes the Company’s right-of-use (“ROU”) assets and corresponding liabilities for operating and finance leases: September 30, December 31, 2020 2019 Operating leases: ROU Assets $ 5,668 $ 484 Liabilities $ 5,682 $ 513 Finance leases: ROU Assets $ 79 $ 79 Liabilities $ 48 $ 60 |
Disclosure of operating and finance leases of lessee | The following table summarizes the Company’s operating and finance leases in which the Company is a lessee: Renewal Other Terms and Class of Assets Initial Term Option Conditions Operating lease: Office equipment 1 to 63 months Yes (a), (b) Office space 3 to 10 years Yes (b), (c) Finance lease: Office equipment 3 to 5 years Not applicable (d) (a) At the end of the lease term, the Company can purchase the equipment at fair market value. (b) There are no variable lease payments. (c) Rent escalation provisions exist. (d) There is a bargain purchase option. |
Disclosure of lease liabilities maturities | As of September 30, 2020, maturities of lease liabilities were as follows: Leases Operating Finance Due in 12 months following September 30, 2020 $ 2,223 $ 19 2021 2,038 18 2022 1,651 13 Total lease payments 5,912 50 Less: interest and foreign taxes 230 2 Total lease obligations $ 5,682 $ 48 |
Disclosure of quantitative information of operating and finance leases | The following table provides quantitative information with regard to the Company’s operating and finance leases. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Lease costs: Finance lease costs: Amortization – ROU assets* $ 4 $ 4 $ 13 $ 10 Interest expense 1 1 2 2 Operating lease costs* 404 90 560 244 Short-term lease costs* 44 37 135 141 Total lease costs $ 453 $ 132 $ 710 $ 397 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – finance leases $ 1 $ 2 Operating cash flows – operating leases $ 566 $ 239 Financing cash flows – finance leases $ 13 $ 9 September 30, 2020 Weighted-average remaining lease term: Finance leases (in years) 2.8 Operating leases (in years) 2.9 Weighted-average discount rate: Finance leases 3.7% Operating leases 2.9% * Included in other operating expenses of the consolidated statement of income. |
Disclosure of operating leases of lessor entity | The following table summarizes the Company’s operating leases in which the Company is a lessor: Renewal Other Terms and Class of Assets Initial Term Option Conditions Operating lease: Office space 1 to 3 years Yes (e) Retail space 3 to 20 years Yes (e) Boat docks/wet slips 1 to 12 months Yes (e) (e) There are no purchase options. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Summary of Numerator and Denominator of Basic and Diluted Earnings Per Common Share | A summary of the numerator and denominator of the basic and diluted earnings per common share is presented below. Three Months Ended Three Months Ended September 30, 2020 September 30, 2019 Income Shares Per Share Income Shares Per Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net income $ 15,390 $ 5,853 Less: Income attributable to participating securities (865 ) (325 ) Basic Earnings Per Share: Income allocated to common stockholders 14,525 7,356 $ 1.97 5,528 7,531 $ 0.73 Effect of Dilutive Securities: Stock options — 37 — 8 Convertible senior notes* 1,903 2,284 — — Diluted Earnings Per Share: Income available to common stockholders and assumed conversions $ 16,428 9,677 $ 1.70 $ 5,528 7,539 $ 0.73 Nine Months Ended Nine Months Ended September 30, 2020 September 30, 2019 Income Shares Per Share Income Shares Per Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Net income $ 24,873 $ 20,144 Less: Income attributable to participating securities (1,309 ) (1,114 ) Basic Earnings Per Share: Income allocated to common stockholders 23,564 7,350 $ 3.21 19,030 7,644 $ 2.49 Effect of Dilutive Securities: Stock options — 17 — 14 Convertible senior notes 5,787 2,330 6,828 2,745 Diluted Earnings Per Share: Income available to common stockholders and assumed conversions $ 29,351 9,697 $ 3.03 $ 25,858 10,403 $ 2.49 * For the three months ended September 30, 2019, convertible senior notes were excluded due to anti-dilutive effect. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Company's Stock Option Plan Activity | A summary of the stock option activity for the three and nine months ended September 30, 2020 and 2019 is as follows (option amounts not in thousands): Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Options Price Term Value Outstanding at January 1, 2020 340,000 $ 43.21 7.9 years $ 1,657 Granted 110,000 $ 48.00 Exercised (10,000 ) $ 6.30 Outstanding at March 31, 2020 440,000 $ 45.25 8.3 years $ — Outstanding at June 30, 2020 440,000 $ 45.25 8.1 years $ 1,184 Outstanding at September 30, 2020 440,000 $ 45.25 7.8 years $ 2,321 Exercisable at September 30, 2020 165,000 $ 42.17 7.0 years $ 1,334 Outstanding at January 1, 2019 240,000 $ 37.19 8.8 years $ 3,278 Granted 110,000 $ 53.00 Outstanding at March 31, 2019 350,000 $ 42.16 8.5 years $ 1,329 Exercised (10,000 ) $ 6.30 Outstanding at June 30, 2019 340,000 $ 43.21 8.4 years $ 445 Outstanding at September 30, 2019 340,000 $ 43.21 8.1 years $ 1,057 Exercisable at September 30, 2019 92,500 $ 36.36 7.0 years $ 627 |
Information about Options Exercised | The following table summarizes information about options exercised for the three and nine months ended September 30, 2020 and 2019 (option amounts not in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Options exercised — — 10,000 10,000 Total intrinsic value of exercised options $ — $ — $ 288 $ 347 Tax benefits realized $ — $ (3 ) $ 71 $ 85 |
Assumptions Used to Estimate the Fair Value of Stock Options Granted | The following table provides assumptions used in the Black-Scholes option-pricing model to estimate the fair value of the stock options granted during the nine months ended September 30, 2020 and 2019: 2020 2019 Expected dividend yield 3.48 % 3.34 % Expected volatility 38.68 % 40.17 % Risk-free interest rate 1.63 % 2.53 % Expected life (in years) 5 5 |
Information with Respect to Unvested Restricted Stock Awards Stock Option and Incentive Plan | Information with respect to the activity of unvested restricted stock awards during the three and nine months ended September 30, 2020 and 2019 is as follows: Number of Weighted Restricted Average Stock Grant Date Awards Fair Value Nonvested at January 1, 2020 396,760 $ 41.71 Granted 45,000 $ 44.97 Vested (31,250 ) $ 40.97 Forfeited (7,138 ) $ 42.60 Nonvested at March 31, 2020 403,372 $ 42.12 Granted 145,000 $ 45.59 Vested (104,926 ) $ 41.16 Forfeited (5,220 ) $ 43.75 Nonvested at June 30, 2020 438,226 $ 43.48 Granted 2,680 $ 54.36 Vested (625 ) $ 41.02 Forfeited (2,369 ) $ 45.60 Nonvested at September 30, 2020 437,912 $ 43.54 Nonvested at January 1, 2019 632,296 $ 33.33 Granted 40,000 $ 47.94 Vested (21,250 ) $ 37.69 Forfeited (4,681 ) $ 42.79 Nonvested at March 31, 2019 646,365 $ 34.03 Granted 133,160 $ 41.30 Vested (84,914 ) $ 41.58 Forfeited (264,211 ) $ 23.81 Nonvested at June 30, 2019 430,400 $ 41.06 Granted 7,244 $ 41.76 Forfeited (2,351 ) $ 41.97 Nonvested at September 30, 2019 435,293 $ 41.07 |
Information about Deferred Tax Benefits Recognized Related to Restricted Stock Awards, Paid Dividends and the Fair Value of Vested Restricted Stock | The following table summarizes information about deferred tax benefits recognized and tax benefits realized related to restricted stock awards and paid dividends, and the fair value of vested restricted stock for the three and nine months ended September 30, 2020 and 2019. Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Deferred tax benefits recognized $ 353 $ 282 $ 956 $ 772 Tax benefits realized for restricted stock and paid dividends $ 47 $ 1 $ 1,286 $ 986 Fair value of vested restricted stock $ 26 $ — $ 5,625 $ 4,331 |
Nature of Operations - Addition
Nature of Operations - Additional Information (Detail) | 1 Months Ended | 9 Months Ended | |
Oct. 31, 2020State | Sep. 30, 2020USD ($)Restaurant | Apr. 01, 2020Policy | |
Collaboration Arrangement Disclosure [Line Items] | |||
Number of restaurant owned | Restaurant | 1 | ||
Impairment real estate investments or intangible assets | $ | $ 0 | ||
HCPCI | Policy Replacement Agreement | |||
Collaboration Arrangement Disclosure [Line Items] | |||
Number of replacement policies issued | Policy | 40,000 | ||
Subsequent Event | TypTap | |||
Collaboration Arrangement Disclosure [Line Items] | |||
Number of homeowners coverage states | State | 20 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Retained income | $ 198,092 | $ 183,365 | |
Minimum ownership interest percentage for limited partnerships accounted investments for using equity method | 5.00% | ||
Unpaid earned premium and credit loss | $ 0 | ||
Allowance for uncollectible premiums | $ 2,369 | $ 528 | |
Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Ownership interest to estimate net asset value method | 5.00% | ||
Allowance for Credit Losses [Member] | Reinsurance Recoverable [Member] | ASU 2016-13 [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Retained income | $ (453) |
Cash, Cash Equivalents, and R_3
Cash, Cash Equivalents, and Restricted Cash - Summary of Cash, Cash Equivalents, and Restricted Cash (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents [Abstract] | ||
Cash and cash equivalents | $ 410,691 | $ 229,218 |
Restricted cash | 2,400 | 700 |
Total | $ 413,091 | $ 229,918 |
Cash, Cash Equivalents, and R_4
Cash, Cash Equivalents, and Restricted Cash - Additional Information (Detail) $ in Thousands | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents [Abstract] | |
Increase in funds held | $ 1,700 |
Investments - Summary of Amorti
Investments - Summary of Amortized Cost, Allowance for Credit Loss, Gross Unrealized Gains and Losses, and Estimated Fair Value of Available-for-Sale Securities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | $ 91,166 | $ 199,954 | ||
Fixed-maturity securities, Allowance for Credit Loss | (596) | $ (526) | $ (439) | 0 |
Fixed-maturity securities, Gross Unrealized Gain | 2,304 | 2,906 | ||
Fixed-maturity securities, Gross Unrealized Loss | (131) | (21) | ||
Fixed-maturity securities, Estimated Fair Value | 92,743 | 202,839 | ||
Fixed-Maturity Securities [Member] | U.S. Treasury and U.S. Government Agencies [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | 11,629 | 26,220 | ||
Fixed-maturity securities, Gross Unrealized Gain | 253 | 78 | ||
Fixed-maturity securities, Gross Unrealized Loss | (3) | |||
Fixed-maturity securities, Estimated Fair Value | 11,882 | 26,295 | ||
Fixed-Maturity Securities [Member] | Corporate Bonds [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | 66,898 | 157,155 | ||
Fixed-maturity securities, Allowance for Credit Loss | (564) | |||
Fixed-maturity securities, Gross Unrealized Gain | 1,619 | 2,212 | ||
Fixed-maturity securities, Gross Unrealized Loss | (128) | (3) | ||
Fixed-maturity securities, Estimated Fair Value | 67,825 | 159,364 | ||
Fixed-Maturity Securities [Member] | State, Municipalities, and Political Subdivisions [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | 5,818 | 7,763 | ||
Fixed-maturity securities, Gross Unrealized Gain | 90 | 149 | ||
Fixed-maturity securities, Estimated Fair Value | 5,908 | 7,912 | ||
Fixed-Maturity Securities [Member] | Exchange-Traded Debt [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | 6,786 | 8,698 | ||
Fixed-maturity securities, Allowance for Credit Loss | (32) | |||
Fixed-maturity securities, Gross Unrealized Gain | 342 | 462 | ||
Fixed-maturity securities, Gross Unrealized Loss | (1) | (15) | ||
Fixed-maturity securities, Estimated Fair Value | 7,095 | 9,145 | ||
Fixed-Maturity Securities [Member] | Redeemable Preferred Stock [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Fixed-maturity securities, Cost or Amortized Cost | 35 | 118 | ||
Fixed-maturity securities, Gross Unrealized Gain | 5 | |||
Fixed-maturity securities, Gross Unrealized Loss | (2) | |||
Fixed-maturity securities, Estimated Fair Value | $ 33 | $ 123 |
Investments - Scheduled Contrac
Investments - Scheduled Contractual Maturities of Fixed-Maturity Securities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Investments Debt And Equity Securities [Abstract] | ||
Due in one year or less, Amortized Cost | $ 34,594 | $ 63,135 |
Due after one year through five years, Amortized Cost | 48,555 | 125,833 |
Due after five years through ten years, Amortized Cost | 3,109 | 6,896 |
Due after ten years, Amortized Cost | 4,908 | 4,090 |
Fixed-maturity securities, Cost or Amortized Cost | 91,166 | 199,954 |
Due in one year or less, Fair Value | 34,814 | 63,429 |
Due after one year through five years, Fair Value | 49,329 | 127,660 |
Due after five years through ten years, Fair Value | 3,410 | 7,350 |
Due after ten years, Fair Value | 5,190 | 4,400 |
Fair Value Total | $ 92,743 | $ 202,839 |
Investments - Summary of Sales
Investments - Summary of Sales of Available-for-sale Fixed-Maturity Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Available-for-sale Securities [Line Items] | ||||
Proceeds | $ 79,284 | $ 5,225 | ||
Fixed-Maturity Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Proceeds | $ 1,098 | $ 2,240 | 79,284 | 5,225 |
Gross Realized Gains | 13 | 27 | 1,743 | 61 |
Gross Realized Losses | $ (34) | $ (1) | $ (610) | $ (2) |
Investments - Summary of Securi
Investments - Summary of Securities with Gross Unrealized Loss Positions Aggregated by Investment Category (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Schedule of Available-for-sale Securities [Line Items] | ||
Gross Unrealized Loss, Less than Twelve Months | $ (131) | $ (21) |
Estimated Fair Value, Less than Twelve Months | 5,044 | 7,234 |
Gross Unrealized Loss, Total | (131) | (21) |
Estimated Fair Value, Total | 5,044 | 7,234 |
Fixed-Maturity Securities [Member] | Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross Unrealized Loss, Less than Twelve Months | (128) | (3) |
Estimated Fair Value, Less than Twelve Months | 4,759 | 4,597 |
Gross Unrealized Loss, Twelve Months or Longer | 0 | |
Estimated Fair Value, Twelve Months or Longer | 0 | |
Gross Unrealized Loss, Total | (128) | (3) |
Estimated Fair Value, Total | 4,759 | 4,597 |
Fixed-Maturity Securities [Member] | Exchange-Traded Debt [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross Unrealized Loss, Less than Twelve Months | (1) | (15) |
Estimated Fair Value, Less than Twelve Months | 252 | 345 |
Gross Unrealized Loss, Twelve Months or Longer | 0 | 0 |
Estimated Fair Value, Twelve Months or Longer | 0 | 0 |
Gross Unrealized Loss, Total | (1) | (15) |
Estimated Fair Value, Total | 252 | 345 |
Fixed-Maturity Securities [Member] | Redeemable Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross Unrealized Loss, Less than Twelve Months | (2) | |
Estimated Fair Value, Less than Twelve Months | 33 | |
Gross Unrealized Loss, Total | (2) | |
Estimated Fair Value, Total | $ 33 | |
Fixed-Maturity Securities [Member] | U.S. Treasury and U.S. Government Agencies [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross Unrealized Loss, Less than Twelve Months | (3) | |
Estimated Fair Value, Less than Twelve Months | 2,292 | |
Gross Unrealized Loss, Total | (3) | |
Estimated Fair Value, Total | $ 2,292 |
Investments (Other-than-tempora
Investments (Other-than-temporary Impairment) - Additional Information (Detail) - Security | Sep. 30, 2020 | Dec. 31, 2019 |
Investments Debt And Equity Securities [Abstract] | ||
Number of securities in an unrealized loss position | 13 | 8 |
Number of securities had been in an unrealized loss position for 12 months or longer | 0 | 0 |
Investments - Summary of Allowa
Investments - Summary of Allowance for Credit Losses of Available-for-Sale Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | |
Investments Debt And Equity Securities [Abstract] | |||
Balance | $ 526 | $ 439 | $ 0 |
Credit loss expense | 70 | 87 | 439 |
Balance | $ 596 | $ 526 | $ 439 |
Investments - Summary of Amor_2
Investments - Summary of Amortized Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Equity Securities (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Investments Debt And Equity Securities [Abstract] | ||
Cost | $ 39,861 | $ 31,863 |
Gross Unrealized Gain | 3,903 | 3,652 |
Gross Unrealized Loss | (1,062) | (230) |
Estimated Fair Value | $ 42,702 | $ 35,285 |
Investments - Summary of Unreal
Investments - Summary of Unrealized Gains and Losses in Consolidated Statement of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Gain (Loss) on Securities [Line Items] | ||||
Net unrealized gains (losses) recognized | $ 1,340 | $ 642 | $ (581) | $ 7,261 |
Equity Securities [Member] | ||||
Gain (Loss) on Securities [Line Items] | ||||
Net gains (losses) recognized | 1,521 | 586 | (2,363) | 6,616 |
Exclude: Net realized gains (losses) recognized for securities sold | 181 | (56) | (1,782) | (645) |
Net unrealized gains (losses) recognized | $ 1,340 | $ 642 | $ (581) | $ 7,261 |
Investments - Summary of Procee
Investments - Summary of Proceeds Received and The Gross Realized Gains and Losses From Sales of Equity Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Proceeds | $ 17,385 | $ 34,345 | ||
Equity Securities [Member] | ||||
Debt and Equity Securities, FV-NI [Line Items] | ||||
Proceeds | $ 4,930 | $ 1,504 | 17,385 | 34,345 |
Gross Realized Gains | 244 | 43 | 1,213 | 2,230 |
Gross Realized Losses | $ (63) | $ (99) | $ (2,995) | $ (2,875) |
Investments - Schedule of Compa
Investments - Schedule of Company's Investments in Limited Partnerships (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Investment Securities [Line Items] | ||
Carrying Value | $ 27,497 | $ 28,346 |
Unfunded Balance | 12,178 | 15,130 |
Private US Lower Middle Market Companies [Member] | ||
Investment Securities [Line Items] | ||
Carrying Value | 8,879 | 9,659 |
Unfunded Balance | $ 2,085 | $ 2,085 |
Percentage investment held by the entity | 15.37% | 15.37% |
Bank Loans Public and Private Corporate Bonds Asset Backed Securities Equity and Debt Restructuring [Member] | ||
Investment Securities [Line Items] | ||
Carrying Value | $ 5,633 | $ 5,985 |
Percentage investment held by the entity | 1.76% | 1.76% |
Power Utility and Energy Industries and Infrastructure [Member] | ||
Investment Securities [Line Items] | ||
Carrying Value | $ 6,640 | $ 9,188 |
Unfunded Balance | $ 1,401 | $ 1,391 |
Percentage investment held by the entity | 0.18% | 0.18% |
Senior and Junior Debts of Private Equity-Backed Companies [Member] | ||
Investment Securities [Line Items] | ||
Carrying Value | $ 4,355 | $ 1,602 |
Unfunded Balance | $ 406 | $ 3,106 |
Percentage investment held by the entity | 0.47% | 0.47% |
Mature Real Estate Private Equity Funds And Portfolio Globally [Member] | ||
Investment Securities [Line Items] | ||
Carrying Value | $ 1,990 | $ 1,912 |
Unfunded Balance | $ 8,286 | $ 8,548 |
Percentage investment held by the entity | 2.24% | 2.24% |
Investments - Schedule of Com_2
Investments - Schedule of Company's Investments in Limited Partnerships (Parenthetical) (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Schedule Of Investments [Line Items] | |
Additional funding circumstances | $ 843 |
Private US Lower Middle Market Companies [Member] | |
Schedule Of Investments [Line Items] | |
Expected term | 10 years |
Investment additional maturity term | 2 years |
Bank Loans Public and Private Corporate Bonds Asset Backed Securities Equity and Debt Restructuring [Member] | |
Schedule Of Investments [Line Items] | |
Expected term | 3 years |
Investment additional maturity term | 2 years |
Power Utility and Energy Industries and Infrastructure [Member] | |
Schedule Of Investments [Line Items] | |
Expected term | 10 years |
Investment additional maturity term | 3 years |
Senior and Junior Debts of Private Equity-Backed Companies [Member] | |
Schedule Of Investments [Line Items] | |
Expected term | 6 years |
Investment additional maturity term | 2 years |
Expiration date of capital commitment | Dec. 1, 2020 |
Mature Real Estate Private Equity Funds And Portfolio Globally [Member] | |
Schedule Of Investments [Line Items] | |
Expected term | 8 years |
Investments - Summary of Unaudi
Investments - Summary of Unaudited Financial Information and Unaudited Financial Position of Limited Partnerships (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Schedule Of Equity Method Investments [Line Items] | |||||
Total income | $ 104,027 | $ 59,979 | $ 240,124 | $ 179,243 | |
Net income | 24,873 | 20,144 | |||
Balance Sheet: | |||||
Total assets | 887,813 | 887,813 | $ 802,609 | ||
Total liabilities | 688,081 | 688,081 | 617,066 | ||
Limited Partnership [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Total income | 259,635 | (100,043) | (1,421,381) | 147,858 | |
Total expenses | (26,637) | (27,212) | (107,157) | (108,385) | |
Net income | 232,998 | $ (127,255) | (1,528,538) | $ 39,473 | |
Balance Sheet: | |||||
Total assets | 5,409,112 | 5,409,112 | 6,850,913 | ||
Total liabilities | $ 638,784 | $ 638,784 | $ 549,562 |
Investments (Limited Partnershi
Investments (Limited Partnership Investments) - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Schedule Of Investments [Line Items] | |||||
Recognized investment income (loss) | $ 689 | $ 476 | $ (2,058) | $ 1,308 | |
Return on investment | 650 | 3,647 | |||
Limited Partnership [Member] | |||||
Schedule Of Investments [Line Items] | |||||
Cash distributions | 850 | 724 | 1,742 | 4,810 | |
Return on investment | 72 | $ 31 | 650 | $ 3,647 | |
Company's net cumulative contributed capital to the partnership | 28,976 | 28,976 | $ 27,117 | ||
Maximum exposure loss relating to VIE | $ 27,497 | $ 27,497 | $ 28,346 |
Investments (Investment in Unco
Investments (Investment in Unconsolidated Joint Venture) - Additional Information (Detail) - FMKT Mel JV, LLC [Member] - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Schedule Of Investments [Line Items] | |||
Maximum exposure loss relating to VIE | $ 716 | $ 762 | |
Undistributed gain (loss) after equity distribution | 0 | $ 0 | |
Cash distributions | $ 0 | $ 0 |
Investments - Summary of Unau_2
Investments - Summary of Unaudited Financial Information and Unaudited Financial Position of Joint Venture (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Operating results: | |||||
Total revenues and gain | $ 104,027 | $ 59,979 | $ 240,124 | $ 179,243 | |
Net loss | 24,873 | 20,144 | |||
The Company’s share of net loss | (46) | (71) | |||
Balance Sheet: | |||||
Other | 20,376 | 20,376 | $ 17,080 | ||
Total assets | 887,813 | 887,813 | 802,609 | ||
Other liabilities | 23,479 | 23,479 | 28,029 | ||
Total liabilities and stockholders’ equity | 887,813 | 887,813 | 802,609 | ||
Investment in unconsolidated joint venture, at equity | 716 | 716 | 762 | ||
Unconsolidated Joint Venture [Member] | |||||
Balance Sheet: | |||||
Property and equipment, net | 714 | 714 | 741 | ||
Cash | 90 | 90 | 102 | ||
Other | 4 | 4 | 4 | ||
Total assets | 808 | 808 | 847 | ||
Other liabilities | 12 | 12 | |||
Members’ capital | 796 | 796 | 847 | ||
Total liabilities and stockholders’ equity | 808 | 808 | $ 847 | ||
Unconsolidated Joint Venture [Member] | FMKT Mel JV, LLC [Member] | |||||
Operating results: | |||||
Total revenues and gain | 2 | ||||
Total expenses | (19) | (18) | (51) | (80) | |
Net loss | (19) | (18) | (51) | (78) | |
Operating Expense [Member] | FMKT Mel JV, LLC [Member] | |||||
Operating results: | |||||
The Company’s share of net loss | $ (18) | $ (17) | $ (46) | $ (71) |
Investments - Summary of Unau_3
Investments - Summary of Unaudited Financial Information and Unaudited Financial Position of Joint Venture (Parenthetical) (Detail) | 9 Months Ended |
Sep. 30, 2020 | |
Unconsolidated Joint Venture [Member] | |
Variable Interest Entity [Line Items] | |
Percentage of operating results | 90.00% |
Investments (Assets Held for Sa
Investments (Assets Held for Sale) - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Schedule Of Investments [Line Items] | |
Assets held for sale property carrying value | $ 4,519,000 |
Impairment loss recognized on classification of property as held for sale | 0 |
Property Held for Sale [Member] | Riverview, Florida [Member] | |
Schedule Of Investments [Line Items] | |
Assets held for sale property carrying value | 4,519,000 |
Impairment loss recognized on classification of property as held for sale | $ 0 |
Investments - Summary of Real E
Investments - Summary of Real Estate Investment (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Real Estate [Abstract] | ||
Land | $ 36,239 | $ 39,511 |
Land improvements | 11,422 | 11,907 |
Buildings | 23,006 | 24,086 |
Tenant and leasehold improvements | 1,263 | 1,487 |
Other | 6,442 | 3,489 |
Total, at cost | 78,372 | 80,480 |
Less: accumulated depreciation and amortization | (7,806) | (6,717) |
Real estate investments | $ 70,566 | $ 73,763 |
Investments (Real Estate Invest
Investments (Real Estate Investments) - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Jul. 31, 2020 | |
Schedule Of Investments [Line Items] | |||||
Depreciation and amortization expenses under real estate investments | $ 461 | $ 387 | $ 1,418 | $ 1,165 | |
Real Estate Investments [Member] | |||||
Schedule Of Investments [Line Items] | |||||
Depreciation and amortization expenses under real estate investments | $ 431 | $ 379 | $ 1,318 | $ 1,133 | |
Real Estate Investments [Member] | FDOT [Member] | |||||
Schedule Of Investments [Line Items] | |||||
Undeveloped land disposed through involuntary conversion | $ 443 |
Investments - Investment (Loss)
Investments - Investment (Loss) Income Summarized (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule Of Investments [Line Items] | ||||
Recognized investment income (loss) | $ 689 | $ 476 | $ (2,058) | $ 1,308 |
Real estate investments | (34) | (28) | (299) | 173 |
Net investment income | 1,832 | 3,621 | 3,244 | 11,125 |
Available-for-Sale-Fixed-Maturity Securities [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment income | 771 | 1,637 | 3,529 | 4,794 |
Equity Securities [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment income | 336 | 305 | 970 | 979 |
Limited Partnership Investment [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Recognized investment income (loss) | 689 | 476 | (2,058) | 1,308 |
Cash and Cash Equivalents [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment income | 212 | 1,354 | 1,513 | 3,908 |
Short-term Investments [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment income | 1 | 8 | 2 | 383 |
Investment Expense [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment expense | (125) | (114) | (367) | (349) |
Loss Income From Unconsolidated Joint Venture [Member] | ||||
Schedule Of Investments [Line Items] | ||||
Investment income | $ (18) | $ (17) | $ (46) | $ (71) |
Comprehensive Income (Loss) - S
Comprehensive Income (Loss) - Schedule of Components of Other Comprehensive Income or Loss and Related Tax Effects Allocated to Each Component (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Before Tax | ||||
Unrealized (losses) gains arising during the period, Before Tax | $ 247 | $ 447 | $ 56 | $ 4,777 |
Change in allowance for credit losses, Before Tax | 70 | 596 | ||
Call and repayment (gains) losses charged to investment income, Before Tax | (15) | (2) | (231) | (1) |
Reclassification adjustment for net realized losses (gains) | 21 | (26) | (1,133) | (59) |
Total other comprehensive (losses) gains, Before Tax | 323 | 419 | (712) | 4,717 |
Income Tax Effect | ||||
Unrealized (losses) gains arising during the period, Income Tax Effect | 61 | 90 | 14 | 1,188 |
Change in allowance for credit losses, Income Tax Effect | 17 | 146 | ||
Call and repayment (gains) losses charged to investment income, Income Tax Effect | (4) | (56) | ||
Reclassification adjustment for realized losses (gains), Income Tax Effect | 5 | (7) | (278) | (15) |
Total other comprehensive (losses) gains, Income Tax Effect | 79 | 83 | (174) | 1,173 |
Net of Tax | ||||
Unrealized (losses) gains arising during the period, Net of Tax | 186 | 357 | 42 | 3,589 |
Change in allowance for credit losses, Net of Tax | 53 | 450 | ||
Call and repayment (gains) losses charged to investment income, Net of Tax | (11) | (2) | (175) | (1) |
Reclassification adjustment for realized losses (gains), Net of Tax | 16 | (19) | (855) | (44) |
Total other comprehensive income (loss), net of income taxes | $ 244 | $ 336 | $ (538) | $ 3,544 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Money Market Funds and Certificate Of Deposit Maturity Period | 90 days |
Minimum [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short Term Investements Maturity Period | 91 days |
Maximum [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short Term Investements Maturity Period | 365 days |
Fair Value Measurements - Compo
Fair Value Measurements - Components of Long-Term Debt and Methods Used in Estimating Fair Values (Detail) | 9 Months Ended |
Sep. 30, 2020 | |
4.25% Convertible Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | 2037 |
Valuation Methodology | Quoted price |
3.90% Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | 2032 |
Valuation Methodology | Discounted cash flow method/Level 3 inputs |
4% Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | 2031 |
Valuation Methodology | Discounted cash flow method/Level 3 inputs |
3.75% Callable Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | 2036 |
Valuation Methodology | Discounted cash flow method/Level 3 inputs |
4.55% Promissory note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | 2036 |
Valuation Methodology | Discounted cash flow method/Level 3 inputs |
Fair Value Measurements - Com_2
Fair Value Measurements - Components of Long-Term Debt and Methods Used in Estimating Fair Values (Parenthetical) (Detail) | Sep. 30, 2020 |
4.25% Convertible Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt instrument stated interest rate | 4.25% |
3.90% Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument stated interest rate | 3.90% |
4% Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument stated interest rate | 4.00% |
3.75% Callable Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument stated interest rate | 3.75% |
4.55% Promissory Note [Member] | |
Debt Instrument [Line Items] | |
Debt instrument stated interest rate | 4.55% |
Fair Value Measurements - Avail
Fair Value Measurements - Available-for-Sale Securities Measured at Fair Value (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financial Assets: | ||
Restricted cash | $ 2,400 | $ 700 |
Short-term investments | 491 | |
Total available-for-sale securities | 92,743 | 202,839 |
Equity securities | 42,702 | 35,285 |
Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 410,691 | 229,218 |
Restricted cash | 2,400 | 700 |
Short-term investments | 491 | |
Total available-for-sale securities | 92,743 | 202,839 |
Equity securities | 42,702 | 35,285 |
Fair Value, Measurements, Recurring [Member] | (Level 1) [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 410,691 | 229,218 |
Restricted cash | 2,400 | 700 |
Short-term investments | 491 | |
Total available-for-sale securities | 85,097 | 193,926 |
Equity securities | 42,702 | 35,285 |
Fair Value, Measurements, Recurring [Member] | (Level 2) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 7,646 | 8,913 |
U.S. Treasury and U.S. Government Agencies [Member] | Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 11,882 | 26,295 |
U.S. Treasury and U.S. Government Agencies [Member] | Fair Value, Measurements, Recurring [Member] | (Level 1) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 10,144 | 25,294 |
U.S. Treasury and U.S. Government Agencies [Member] | Fair Value, Measurements, Recurring [Member] | (Level 2) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 1,738 | 1,001 |
Corporate Bonds [Member] | Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 67,825 | 159,364 |
Corporate Bonds [Member] | Fair Value, Measurements, Recurring [Member] | (Level 1) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 67,825 | 159,364 |
State, Municipalities, and Political Subdivisions [Member] | Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 5,908 | 7,912 |
State, Municipalities, and Political Subdivisions [Member] | Fair Value, Measurements, Recurring [Member] | (Level 2) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 5,908 | 7,912 |
Exchange-Traded Debt [Member] | Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 7,095 | 9,145 |
Exchange-Traded Debt [Member] | Fair Value, Measurements, Recurring [Member] | (Level 1) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 7,095 | 9,145 |
Redeemable Preferred Stock [Member] | Fair Value, Measurements, Recurring [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | 33 | 123 |
Redeemable Preferred Stock [Member] | Fair Value, Measurements, Recurring [Member] | (Level 1) [Member] | ||
Financial Assets: | ||
Total available-for-sale securities | $ 33 | $ 123 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Fair Value Information for Financial Assets and Liabilities Carried on Balance Sheet (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financial Liabilities: | ||
Revolving credit facility | $ 8,750 | $ 9,750 |
Total long-term debt | 155,675 | 163,695 |
Carrying Value [Member] | ||
Financial Liabilities: | ||
Revolving credit facility | 8,750 | 9,750 |
Total long-term debt | 155,627 | 163,635 |
Carrying Value [Member] | 4.25% Convertible Senior Notes [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 132,901 | 134,075 |
Carrying Value [Member] | 3.90% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 9,698 | |
Carrying Value [Member] | 3.75% Callable Promissory Note | ||
Financial Liabilities: | ||
Total long-term debt | 7,586 | 7,837 |
Carrying Value [Member] | 4.55% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 5,442 | 5,611 |
Carrying Value [Member] | 3.95% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 8,875 | |
Carrying Value [Member] | 4% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 7,237 | |
Estimate of Fair Value Measurement [Member] | ||
Financial Liabilities: | ||
Revolving credit facility | 8,750 | 9,750 |
Total long-term debt | 164,847 | 177,334 |
Estimate of Fair Value Measurement [Member] | (Level 2) [Member] | ||
Financial Liabilities: | ||
Revolving credit facility | 8,750 | 9,750 |
Total long-term debt | 141,984 | 147,375 |
Estimate of Fair Value Measurement [Member] | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 22,863 | 29,959 |
Estimate of Fair Value Measurement [Member] | 4.25% Convertible Senior Notes [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 141,984 | 147,375 |
Estimate of Fair Value Measurement [Member] | 4.25% Convertible Senior Notes [Member] | (Level 2) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 141,984 | 147,375 |
Estimate of Fair Value Measurement [Member] | 3.90% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 9,684 | |
Estimate of Fair Value Measurement [Member] | 3.90% Promissory Note [Member] | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 9,684 | |
Estimate of Fair Value Measurement [Member] | 3.75% Callable Promissory Note | ||
Financial Liabilities: | ||
Total long-term debt | 7,651 | 7,861 |
Estimate of Fair Value Measurement [Member] | 3.75% Callable Promissory Note | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 7,651 | 7,861 |
Estimate of Fair Value Measurement [Member] | 4.55% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 5,528 | 5,802 |
Estimate of Fair Value Measurement [Member] | 4.55% Promissory Note [Member] | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | $ 5,528 | 5,802 |
Estimate of Fair Value Measurement [Member] | 3.95% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 8,887 | |
Estimate of Fair Value Measurement [Member] | 3.95% Promissory Note [Member] | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 8,887 | |
Estimate of Fair Value Measurement [Member] | 4% Promissory Note [Member] | ||
Financial Liabilities: | ||
Total long-term debt | 7,409 | |
Estimate of Fair Value Measurement [Member] | 4% Promissory Note [Member] | (Level 3) [Member] | ||
Financial Liabilities: | ||
Total long-term debt | $ 7,409 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Fair Value Information for Financial Assets and Liabilities Carried on Balance Sheet (Parenthetical) (Detail) | Sep. 30, 2020 | Dec. 31, 2019 |
4.25% Convertible Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.25% | |
3.90% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.90% | |
4% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.00% | |
4.55% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.55% | |
Estimate of Fair Value Measurement [Member] | 4.25% Convertible Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.25% | 4.25% |
Estimate of Fair Value Measurement [Member] | 3.90% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.90% | |
Estimate of Fair Value Measurement [Member] | 4% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.00% | |
Estimate of Fair Value Measurement [Member] | 3.75% Callable Promissory Note | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.75% | 3.75% |
Estimate of Fair Value Measurement [Member] | 4.55% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.55% | 4.55% |
Estimate of Fair Value Measurement [Member] | 3.95% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.95% | |
Carrying Value [Member] | 4.25% Convertible Senior Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.25% | 4.25% |
Carrying Value [Member] | 3.90% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.90% | |
Carrying Value [Member] | 4% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.00% | |
Carrying Value [Member] | 3.75% Callable Promissory Note | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.75% | 3.75% |
Carrying Value [Member] | 4.55% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 4.55% | 4.55% |
Carrying Value [Member] | 3.95% Promissory Note [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt instrument stated interest rate | 3.95% |
Deferred Policy Acquisition C_2
Deferred Policy Acquisition Costs - Additional Information (Detail) - Anchor [Member] - USD ($) $ in Thousands | Jun. 01, 2020 | Sep. 30, 2020 |
Deferred Policy Acquisition Cost [Line Items] | ||
Additional direct costs | $ 3,023 | |
Bonus to Anchor [Member] | ||
Deferred Policy Acquisition Cost [Line Items] | ||
Additional direct costs | 2,898 | |
Other Related Expenses [Member] | ||
Deferred Policy Acquisition Cost [Line Items] | ||
Additional direct costs | $ 125 | |
Policy Agreement [Member] | ||
Deferred Policy Acquisition Cost [Line Items] | ||
Cash bonus payable per $1,000,000 of premium in force | $ 50 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Detail) - USD ($) $ in Thousands | Jul. 24, 2020 | Apr. 02, 2020 | Sep. 30, 2020 | Jul. 29, 2020 |
4% Promissory Note [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Debt instrument stated interest rate | 4.00% | |||
Tampa, Florida [Member] | 4% Promissory Note [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Debt instrument stated interest rate | 4.00% | |||
Tampa, Florida [Member] | FDOT [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Compensation to acquire for highway expansion project | $ 44,000 | |||
Legal and related expenses | 3,500 | |||
Net gain from involuntary conversion | $ 36,969 | |||
Tampa, Florida [Member] | FDOT [Member] | 4% Promissory Note [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Debt instrument stated interest rate | 4.00% | |||
Greenleaf Capital, LLC [Member] | Tampa-Coconut Palms Office Building Exchange, LLC [Member] | Tampa, Florida [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Purchase price for office building | $ 4,000 |
Other Assets - Summary of Other
Other Assets - Summary of Other Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ||
Benefits receivable related to retrospective reinsurance contract | $ 6,240 | $ 9,480 |
Prepaid expenses | 2,735 | 2,107 |
Deposits | 3,446 | 1,678 |
Lease acquisition costs, net | 468 | 566 |
Right-of-use assets – operating leases | 5,668 | 484 |
Other | 1,819 | 2,765 |
Total other assets | $ 20,376 | $ 17,080 |
Revolving Credit Facility - Add
Revolving Credit Facility - Additional Information (Detail) - USD ($) $ in Thousands | Aug. 11, 2020 | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 |
Line of Credit Facility [Line Items] | |||||||
Interest Expense | $ 2,856 | $ 2,907 | $ 8,846 | $ 10,128 | |||
Revolving credit facility | 8,750 | 8,750 | $ 9,750 | ||||
Revolving Credit Facility [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Additional borrowings from revolving credit facility | $ 14,000 | ||||||
Repayment of revolving credit facility | $ 15,000 | ||||||
Interest Expense | 108 | 132 | 423 | 328 | |||
Amortization of Debt Issuance Costs | 39 | $ 39 | 118 | $ 118 | |||
Revolving credit facility | $ 8,750 | $ 8,750 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Total principal amount | $ 162,333 | $ 173,695 |
Finance lease liabilities | 48 | 60 |
Less: unamortized discount and issuance costs | (6,658) | (10,000) |
Total long-term debt | 155,675 | 163,695 |
4.25% Convertible Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | 139,200 | 143,750 |
3.95% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | 8,881 | |
4% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | 7,345 | |
3.75% Callable Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | 7,695 | 7,955 |
4.55% Promissory note [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | 5,529 | $ 5,704 |
3.90% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Total principal amount | $ 9,861 |
Long-Term Debt - Summary of L_2
Long-Term Debt - Summary of Long-Term Debt (Parenthetical) (Detail) | 9 Months Ended | |
Sep. 30, 2020 | Feb. 29, 2020 | |
4.25% Convertible Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 4.25% | |
Debt instrument, maturity date | Mar. 1, 2037 | |
3.95% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 3.95% | 3.95% |
Debt instrument, maturity date | Feb. 17, 2020 | |
4% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 4.00% | |
Debt instrument, maturity date | Jul. 29, 2020 | |
3.75% Callable Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 3.75% | |
Debt instrument, maturity date | Sep. 1, 2036 | |
4.55% Promissory note [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 4.55% | |
Debt instrument, maturity date | Aug. 1, 2036 | |
3.90% Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 3.90% | |
Debt instrument, maturity date | Apr. 1, 2032 | |
Finance Lease Liabilities [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument, maturity date | Aug. 15, 2023 |
Long-Term Debt (Convertible Sen
Long-Term Debt (Convertible Senior Notes) - Additional Information (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)$ / shares | Sep. 30, 2019USD ($)$ / shares | Jun. 30, 2020USD ($) | Sep. 30, 2020USD ($)$ / shares | Sep. 30, 2019USD ($)$ / shares | |
Debt Instrument [Line Items] | |||||
Cash dividends on common stock | $ / shares | $ 0.40 | $ 0.40 | $ 1.20 | $ 1.20 | |
Debt instrument loss from repurchase amount | $ | $ 0 | $ 0 | $ 150 | $ 0 | |
4.25% Convertible Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument stated interest rate | 4.25% | 4.25% | |||
Convertible debt, conversion ratio | 16.42 | ||||
Convertible debt, conversion price | $ / shares | $ 60.91 | $ 60.91 | |||
Debt Instrument, principal amount repurchased | $ | $ 4,550 | ||||
Debt instrument loss from repurchase amount | $ | $ 150 | ||||
Debt discount, remaining amortization period | 1 year 4 months 24 days | ||||
4.25% Convertible Senior Notes [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Cash dividends on common stock | $ / shares | $ 0.35 |
Long-Term Debt - Summary of Fut
Long-Term Debt - Summary of Future Maturities of Long-Term Debt (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Long Term Debt Rolling Maturity [Abstract] | ||
Due in 12 months following September 30, 2020 | $ 960 | |
2021 | 140,198 | |
2022 | 1,034 | |
2023 | 1,063 | |
2024 | 1,106 | |
Thereafter | 17,972 | |
Total | $ 162,333 | $ 173,695 |
Long-Term Debt - Schedule of In
Long-Term Debt - Schedule of Interest Expense Related to Long-Term Debt (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Interest Expense Debt [Abstract] | ||||
Contractual interest | $ 1,736 | $ 1,835 | $ 5,374 | $ 6,229 |
Non-cash expense | 1,053 | 1,018 | 3,174 | 3,807 |
Capitalized interest | (41) | (78) | (125) | (236) |
Total | $ 2,748 | $ 2,775 | $ 8,423 | $ 9,800 |
Long-Term Debt (4% Promissory N
Long-Term Debt (4% Promissory Note) - Additional Information (Detail) - USD ($) $ in Thousands | Jul. 29, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 |
Debt Instrument [Line Items] | |||||
Loss on extinguishment of debt | $ 98 | $ 0 | $ 98 | $ 0 | |
4% Promissory Note [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed interest rate | 4.00% | 4.00% | |||
4% Promissory Note [Member] | Tampa, Florida [Member] | |||||
Debt Instrument [Line Items] | |||||
Fixed interest rate | 4.00% | ||||
Early retirement of debt - principal and interest | $ 7,062 | ||||
Loss on extinguishment of debt | $ 98 |
Long-Term Debt (3.95% Promissor
Long-Term Debt (3.95% Promissory Note) - Additional Information (Detail) - 3.95% Promissory Note [Member] - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended |
Feb. 29, 2020 | Sep. 30, 2020 | |
Debt Instrument [Line Items] | ||
Debt instrument stated interest rate | 3.95% | 3.95% |
Repayment of debt | In February 2020, the Company repaid its 3.95% Promissory Note for $8,891 including principal and unpaid interest payable at maturity date | |
Repayments of debt | $ 8,891 |
Long-Term Debt (3.90% Promissor
Long-Term Debt (3.90% Promissory Note) - Additional Information (Detail) $ in Thousands | Mar. 19, 2020 | Feb. 28, 2020USD ($) | Sep. 30, 2020USD ($) |
Debt Instrument [Line Items] | |||
Proceeds from issuance of long-term debt | $ 10,000 | ||
3.90% Promissory Note [Member] | |||
Debt Instrument [Line Items] | |||
Fixed interest rate | 3.90% | ||
Outstanding principal and interest payment due date | Apr. 1, 2032 | ||
American Equity Investment Life Insurance Company [Member] | 3.90% Promissory Note [Member] | |||
Debt Instrument [Line Items] | |||
Proceeds from issuance of long-term debt | $ 10,000 | ||
Fixed interest rate | 3.90% | ||
Debt instrument frequency of periodic payment | monthly | ||
Debt instrument periodic payment | $ 60 | ||
Number of installment payments | 143 | ||
Date of initial payment | Apr. 1, 2020 | ||
Debt instrument, balloon payment to be paid | $ 5,007 | ||
Outstanding principal and interest payment due date | Mar. 1, 2032 | ||
Debt instruments, payment terms description | The promissory note may be repaid in full at any time as long as the Company provides at least 60 days’ written notice and pays a prepayment premium and processing fee. | ||
Revised date of initial payment | May 1, 2020 | ||
Outstanding principal and interest payment revised due date | Apr. 1, 2032 |
Reinsurance - Additional Inform
Reinsurance - Additional Information (Detail) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2020USD ($) | Sep. 30, 2020USD ($)Reinsurer | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)Reinsurer | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($)Reinsurer | |
Reinsurance Premiums For Insurance Companies By Product Segment [Line Items] | ||||||
Percentage of ceding commission on ceded premiums written | 30.00% | |||||
Reinsurance recoverable | $ 95,274 | $ 95,274 | $ 132,678 | |||
Number of reinsurers | Reinsurer | 38 | 38 | 31 | |||
Ceded losses recognized as a reduction in losses and loss adjustment expenses | $ 1,871 | $ 113,888 | $ 2,220 | $ 113,888 | ||
Decrease in credit loss expense | 14 | 363 | ||||
Allowances for credit losses related to the reinsurance recoverable balance | 90 | 90 | $ 0 | |||
Reduction in premiums ceded | 4,680 | 10,440 | ||||
Net reduction in premiums ceded | $ 2,520 | $ 4,258 | ||||
Other assets | 20,376 | 20,376 | 17,080 | |||
Reinsurance premium refund received | $ 13,680 | |||||
Reinsurance [Member] | ||||||
Reinsurance Premiums For Insurance Companies By Product Segment [Line Items] | ||||||
Other assets | $ 6,240 | $ 6,240 | $ 9,480 | |||
Reinsurance Recoverable [Member] | Reinsurer Concentration Risk [Member] | Florida Hurricane Catastrophe Fund [Member] | ||||||
Reinsurance Premiums For Insurance Companies By Product Segment [Line Items] | ||||||
Percentage of reinsurance recoverable major reinsurers | 58.60% |
Reinsurance - Impact of the Rei
Reinsurance - Impact of the Reinsurance Treaties on Premiums Written and Earned (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Premiums Written: | ||||
Direct | $ 116,464 | $ 97,331 | $ 364,942 | $ 298,384 |
Assumed | (13) | (92) | (2) | |
Gross written | 116,451 | 97,331 | 364,850 | 298,382 |
Ceded | (44,231) | (31,568) | (109,304) | (94,298) |
Net premiums written | 72,220 | 65,763 | 255,546 | 204,084 |
Premiums Earned: | ||||
Direct | 106,337 | 86,002 | 303,956 | 251,916 |
Assumed | 357 | 2,906 | (2) | |
Gross earned | 106,694 | 86,002 | 306,862 | 251,914 |
Ceded | (44,231) | (31,568) | (109,304) | (94,298) |
Net premiums earned | $ 62,463 | $ 54,434 | $ 197,558 | $ 157,616 |
Losses and Loss Adjustment Ex_3
Losses and Loss Adjustment Expenses - Losses and LAE (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Liability For Unpaid Claims And Claims Adjustment Expense Net [Abstract] | |||||
Net balance, beginning of period* | $ 123,129 | $ 95,345 | $ 98,174 | $ 94,826 | |
Incurred, net of reinsurance, related to: | |||||
Current period | 50,543 | 25,177 | 116,839 | 70,914 | |
Prior period | 1,200 | 2,150 | 2,825 | 7,702 | |
Total incurred, net of reinsurance | 51,743 | 27,327 | 119,664 | 78,616 | |
Paid, net of reinsurance, related to: | |||||
Current period | (21,175) | (15,111) | (36,988) | (32,819) | |
Prior period | (9,386) | (12,763) | (36,539) | (45,825) | |
Total paid, net of reinsurance | (30,561) | (27,874) | (73,527) | (78,644) | |
Net balance, end of period | 144,311 | 94,798 | 144,311 | 94,798 | |
Add: reinsurance recoverable before allowance for credit losses | 75,034 | 143,123 | 75,034 | 143,123 | |
Gross balance, end of period | $ 219,345 | $ 237,921 | $ 219,345 | $ 237,921 | $ 214,697 |
Losses and Loss Adjustment Ex_4
Losses and Loss Adjustment Expenses - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Reserves For Losses And Loss Adjustment Expenses [Line Items] | ||||
Unpaid claims and claim adjustment expenses overall development | $ 1,200 | $ 2,150 | $ 2,825 | $ 7,702 |
Accidental Year 2017,2015 and Prior [Member] | ||||
Reserves For Losses And Loss Adjustment Expenses [Line Items] | ||||
Unpaid claims and claim adjustment expenses overall development | $ 1,200 | |||
Accidental Year 2019 and Prior [Member] | ||||
Reserves For Losses And Loss Adjustment Expenses [Line Items] | ||||
Unpaid claims and claim adjustment expenses overall development | 2,825 | |||
Accidental Year 2020 [Member] | Hurricane Sally [Member] | ||||
Reserves For Losses And Loss Adjustment Expenses [Line Items] | ||||
Unpaid claims and claim adjustment expenses overall development | $ 17,700 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) - Segment | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||
Number of operating divisions | 3 | ||||
Sales Revenue, Net [Member] | Segment Concentration Risk [Member] | Insurance Operations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Concentration risk, percentage | 71.10% | 95.20% | 86.20% | 95.00% | |
Assets [Member] | Segment Concentration Risk [Member] | Insurance Operations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Concentration risk, percentage | 83.00% | 85.50% |
Segment Information - Summary o
Segment Information - Summary of Segment Information Reconciled to Consolidated Statements of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue: | ||||
Net premiums earned | $ 62,463 | $ 54,434 | $ 197,558 | $ 157,616 |
Net investment income (loss) | 1,832 | 3,621 | 3,244 | 11,125 |
Net realized investment (loss) gains | 177 | (30) | (632) | (535) |
Net unrealized investment gains (losses) | 1,340 | 642 | (581) | 7,261 |
Credit losses on investments | (70) | 0 | (596) | 0 |
Policy fee income | 895 | 811 | 2,571 | 2,406 |
Gain on involuntary conversion | 36,969 | 0 | 36,969 | 0 |
Other | 421 | 501 | 1,591 | 1,370 |
Total revenue | 104,027 | 59,979 | 240,124 | 179,243 |
Expenses: | ||||
Losses and loss adjustment expenses | 51,743 | 27,327 | 119,664 | 78,616 |
Amortization of deferred policy acquisition costs | 12,200 | 9,556 | 35,568 | 26,982 |
Interest expense | 2,856 | 2,907 | 8,846 | 10,128 |
Depreciation and amortization | 461 | 387 | 1,418 | 1,165 |
Other | 15,231 | 12,083 | 40,612 | 35,035 |
Total expenses | 82,491 | 52,260 | 206,108 | 151,926 |
Income before income taxes | 21,536 | 7,719 | 34,016 | 27,317 |
Operating Segments [Member] | Insurance Operations [Member] | ||||
Revenue: | ||||
Net premiums earned | 62,463 | 54,434 | 197,558 | 157,616 |
Net investment income (loss) | 1,050 | 3,365 | 5,459 | 9,381 |
Net realized investment (loss) gains | 131 | (33) | (208) | 33 |
Net unrealized investment gains (losses) | 1,093 | 533 | (531) | 5,951 |
Credit losses on investments | (50) | (576) | ||
Policy fee income | 895 | 811 | 2,571 | 2,406 |
Other | 285 | 186 | 880 | 524 |
Total revenue | 65,867 | 59,296 | 205,153 | 175,911 |
Expenses: | ||||
Losses and loss adjustment expenses | 51,743 | 27,327 | 119,664 | 78,616 |
Amortization of deferred policy acquisition costs | 12,200 | 9,556 | 35,568 | 26,982 |
Interest expense | 1 | 1 | 2 | |
Depreciation and amortization | 28 | 29 | 86 | 82 |
Other | 10,028 | 7,978 | 25,710 | 22,842 |
Total expenses | 73,999 | 44,891 | 181,029 | 128,524 |
Income before income taxes | (8,132) | 14,405 | 24,124 | 47,387 |
Total revenue from non-affiliates | 65,867 | 59,296 | 205,153 | 175,911 |
Operating Segments [Member] | Real Estate Operations [Member] | ||||
Revenue: | ||||
Net investment income (loss) | 3 | |||
Gain on involuntary conversion | 36,969 | 36,969 | ||
Other | 2,384 | 2,317 | 7,362 | 7,009 |
Total revenue | 39,353 | 2,317 | 44,334 | 7,009 |
Expenses: | ||||
Interest expense | 463 | 409 | 1,434 | 1,174 |
Depreciation and amortization | 566 | 627 | 1,862 | 1,878 |
Other | 1,423 | 1,292 | 4,080 | 3,866 |
Total expenses | 2,452 | 2,328 | 7,376 | 6,918 |
Income before income taxes | 36,901 | (11) | 36,958 | 91 |
Total revenue from non-affiliates | 38,859 | 1,910 | 42,907 | 5,787 |
Operating Segments [Member] | Corporate and Other [Member] | ||||
Revenue: | ||||
Net investment income (loss) | 1,072 | 461 | (1,194) | 2,064 |
Net realized investment (loss) gains | 46 | 3 | (424) | (568) |
Net unrealized investment gains (losses) | 247 | 109 | (50) | 1,310 |
Credit losses on investments | (20) | (20) | ||
Other | 510 | 1,341 | 2,400 | 4,590 |
Total revenue | 1,855 | 1,914 | 712 | 7,396 |
Expenses: | ||||
Interest expense | 2,631 | 2,659 | 8,090 | 9,374 |
Depreciation and amortization | 452 | 261 | 1,263 | 791 |
Other | 6,005 | 5,669 | 18,425 | 17,392 |
Total expenses | 9,088 | 8,589 | 27,778 | 27,557 |
Income before income taxes | (7,233) | (6,675) | (27,066) | (20,161) |
Total revenue from non-affiliates | 1,345 | 1,466 | (837) | 6,088 |
Intersegment Eliminations [Member] | ||||
Revenue: | ||||
Net investment income (loss) | (290) | (205) | (1,024) | (320) |
Other | (2,758) | (3,343) | (9,051) | (10,753) |
Total revenue | (3,048) | (3,548) | (10,075) | (11,073) |
Expenses: | ||||
Interest expense | (238) | (162) | (679) | (422) |
Depreciation and amortization | (585) | (530) | (1,793) | (1,586) |
Other | (2,225) | (2,856) | (7,603) | (9,065) |
Total expenses | $ (3,048) | $ (3,548) | $ (10,075) | $ (11,073) |
Segment Information - Summary_2
Segment Information - Summary of Segment Assets Reconciled to Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 887,813 | $ 802,609 |
Consolidation, Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | (26,197) | (15,060) |
Insurance Operations [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 738,141 | 663,280 |
Real Estate Operations [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 130,138 | 93,727 |
Corporate and Other [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 45,731 | $ 60,662 |
Leases - Summarizes of Right-of
Leases - Summarizes of Right-of-use Assets and Liabilities for Operating and Finance Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Operating leases: | ||
ROU Assets | $ 5,668 | $ 484 |
Liabilities | 5,682 | 513 |
Finance leases: | ||
ROU Assets | 79 | 79 |
Liabilities | $ 48 | $ 60 |
Leases - Summarizes the Company
Leases - Summarizes the Company's operating and finance leases in which the Company (Detail) | 9 Months Ended |
Sep. 30, 2020 | |
Office Equipment [Member] | |
Operating lease: | |
Renewal Option | Yes |
Office Equipment [Member] | Minimum [Member] | |
Operating lease: | |
Initial Term | 1 month |
Finance lease: | |
Initial Term | 3 years |
Office Equipment [Member] | Maximum [Member] | |
Operating lease: | |
Initial Term | 63 months |
Finance lease: | |
Initial Term | 5 years |
Office space [Member] | |
Operating lease: | |
Renewal Option | Yes |
Office space [Member] | Minimum [Member] | |
Operating lease: | |
Initial Term | 3 years |
Office space [Member] | Maximum [Member] | |
Operating lease: | |
Initial Term | 10 years |
Leases - Maturities of lease li
Leases - Maturities of lease liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
2020 | $ 2,223 | |
2021 | 2,038 | |
2022 | 1,651 | |
Total lease payments | 5,912 | |
Less: interest and foreign taxes | 230 | |
Total lease obligations | 5,682 | $ 513 |
2020 | 19 | |
2021 | 18 | |
2022 | 13 | |
Total lease payments | 50 | |
Less: interest and foreign taxes | 2 | |
Total lease obligations | $ 48 | $ 60 |
Leases -The Company's operating
Leases -The Company's operating and finance leases (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Finance lease costs: | |||||
Amortization – ROU assets | [1] | $ 4 | $ 4 | $ 13 | $ 10 |
Interest expense | 1 | 1 | 2 | 2 | |
Operating lease costs | [1] | 404 | 90 | 560 | 244 |
Short-term lease costs | [1] | 44 | 37 | 135 | 141 |
Total lease costs | $ 453 | $ 132 | 710 | 397 | |
Cash paid for amounts included in the measurement of lease liabilities: | |||||
Operating cash flows – finance leases | 1 | 2 | |||
Operating cash flows – operating leases | 566 | 239 | |||
Financing cash flows – finance leases | $ 13 | $ 9 | |||
Weighted-average remaining lease term: | |||||
Finance leases (in years) | 2 years 9 months 18 days | 2 years 9 months 18 days | |||
Operating leases (in years) | 2 years 10 months 24 days | 2 years 10 months 24 days | |||
Weighted-average discount rate: | |||||
Finance leases | 3.70% | 3.70% | |||
Operating leases | 2.90% | 2.90% | |||
[1] | Included in other operating expenses of the consolidated statement of income. |
Leases - Summarizes the Compa_2
Leases - Summarizes the Company's operating leases (Detail) | 9 Months Ended |
Sep. 30, 2020 | |
Office space [Member] | |
Operating lease: | |
Renewal Option | Yes |
Office space [Member] | Minimum [Member] | |
Operating lease: | |
Initial Term | 1 year |
Office space [Member] | Maximum [Member] | |
Operating lease: | |
Initial Term | 3 years |
Retail space [Member] | |
Operating lease: | |
Renewal Option | Yes |
Retail space [Member] | Minimum [Member] | |
Operating lease: | |
Initial Term | 3 years |
Retail space [Member] | Maximum [Member] | |
Operating lease: | |
Initial Term | 20 years |
Boat docks/wet slips [Member] | |
Operating lease: | |
Renewal Option | Yes |
Boat docks/wet slips [Member] | Minimum [Member] | |
Operating lease: | |
Initial Term | 1 month |
Boat docks/wet slips [Member] | Maximum [Member] | |
Operating lease: | |
Initial Term | 12 months |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Disclosure [Line Items] | |||||
Income tax expense (benefit) | $ 6,146 | $ 1,866 | $ 9,143 | $ 7,173 | |
Effective tax rate | 28.50% | 24.20% | 26.90% | 26.30% | |
Florida Corporate Tax [Member] | Tax Rate Before [Member] | |||||
Income Tax Disclosure [Line Items] | |||||
Corporate income tax rate change | 5.50% | ||||
Florida Corporate Tax [Member] | Tax Rate After [Member] | |||||
Income Tax Disclosure [Line Items] | |||||
Corporate income tax rate change | 4.458% |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Numerator and Denominator of Basic and Fully Diluted Earnings Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Net income | $ 15,390 | $ 5,853 | $ 24,873 | $ 20,144 |
Less: Income attributable to participating securities | (865) | (325) | (1,309) | (1,114) |
Basic Earnings Per Share: | ||||
Income allocated to common stockholders, Income (Numerator) | $ 14,525 | $ 5,528 | $ 23,564 | $ 19,030 |
Income allocated to common stockholders, Shares (Denominator) | 7,356 | 7,531 | 7,350 | 7,644 |
Income allocated to common stockholders, Per Share Amount | $ 1.97 | $ 0.73 | $ 3.21 | $ 2.49 |
Diluted Earnings Per Share: | ||||
Income available to common stockholders and assumed conversions, Income (Numerator) | $ 16,428 | $ 5,528 | $ 29,351 | $ 25,858 |
Income available to common stockholders and assumed conversions, Shares (Denominator) | 9,677 | 7,539 | 9,697 | 10,403 |
Income available to common stockholders and assumed conversions, Per Share Amount | $ 1.70 | $ 0.73 | $ 3.03 | $ 2.49 |
Convertible Senior Notes [Member] | ||||
Effect of Dilutive Securities: | ||||
Dilutive Securities, Income (Loss) (Numerator) | $ 1,903 | $ 5,787 | $ 6,828 | |
Dilutive Securities, Shares (Denominator) | 2,284 | 2,330 | 2,745 | |
Stock Options [Member] | ||||
Effect of Dilutive Securities: | ||||
Dilutive Securities, Shares (Denominator) | 37 | 8 | 17 | 14 |
Stockholders' Equity (Common St
Stockholders' Equity (Common Stock) - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Jul. 02, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 13, 2020 | Dec. 31, 2018 |
Class of Stock [Line Items] | |||||||
Stock repurchased and retired, total costs | $ 12 | $ 1,338 | $ 1,023 | ||||
Dividends per common share | $ 0.40 | ||||||
Dividends, date of record | Aug. 21, 2020 | ||||||
Dividends. date of payable | Sep. 18, 2020 | ||||||
Share Repurchase Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Common stock repurchase authorized amount | $ 20,000 | $ 20,000 | |||||
Common stock repurchased and retired, weighted average price, excluding fees and commissions | $ 43.76 | $ 40.99 | $ 39.93 | $ 41.28 | |||
Stock repurchased and retired, total costs | $ 20 | $ 7,185 | $ 5,161 | $ 15,191 | |||
Common stock repurchased and retired, weighted average price, including fees and commissions | $ 43.79 | $ 41.02 | $ 39.96 | $ 41.31 | |||
Common Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Repurchase and retirement of common stock, shares | 225 | 29,698 | 24,849 | ||||
Common Stock [Member] | Share Repurchase Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Repurchase and retirement of common stock, shares | 457 | 175,160 | 129,142 | 367,736 |
Stockholders' Equity (Preferred
Stockholders' Equity (Preferred Stock) - Additional Information (Detail) | May 15, 2020shares |
Class of Stock [Line Items] | |
Preferred stock unissued and undesignated | 20,000,000 |
Series A Cumulative Redeemable Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred stock cancelled and undesignated | 1,500,000 |
Series B Junior Participating Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Preferred stock cancelled and undesignated | 400,000 |
Stock-Based Compensation (Incen
Stock-Based Compensation (Incentive Plans) - Additional Information (Detail) | Sep. 30, 2020shares |
Omnibus Incentive Plan New Plan 2012 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common shares available for grant | 1,473,851 |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock Options) - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock options exercisable contractual term | 10 years | |||||
Tax benefits realized | $ (3) | $ 71 | $ 85 | |||
Stock Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Recognized compensation expenses | $ 300 | 222 | 880 | 647 | ||
Deferred tax benefits recognized | 19 | $ 18 | 57 | $ 57 | ||
Unrecognized compensation expense related to nonvested stock options | $ 2,189 | $ 2,189 | $ 1,835 | |||
Tax benefits realized | $ (3) | |||||
Recognition of remaining compensation expense over a weighted-average period | 2 years 6 months | |||||
Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock options maximum vesting period | 5 years |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Company's Stock Option Plan Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Roll Forward | ||||||||||
Outstanding, Beginning Balance, Number of Options | 440,000 | 440,000 | 340,000 | 340,000 | 350,000 | 240,000 | 340,000 | 240,000 | 240,000 | |
Granted, Number of options | 110,000 | 110,000 | ||||||||
Exercised, Number of Options | (10,000) | (10,000) | (10,000) | (10,000) | ||||||
Outstanding, Ending Balance, Number of Options | 440,000 | 440,000 | 440,000 | 340,000 | 340,000 | 350,000 | 440,000 | 340,000 | 340,000 | 240,000 |
Exercisable, Number of Options | 165,000 | 92,500 | 165,000 | 92,500 | ||||||
Outstanding, Beginning Balance, Weighted Average Exercise Price | $ 45.25 | $ 45.25 | $ 43.21 | $ 43.21 | $ 42.16 | $ 37.19 | $ 43.21 | $ 37.19 | $ 37.19 | |
Granted, Weighted Average Exercise Price | 48 | 53 | ||||||||
Exercised, Weighted Average Exercise Price | 6.30 | 6.30 | ||||||||
Outstanding, Ending Balance, Weighted Average Exercise Price | 45.25 | $ 45.25 | $ 45.25 | 43.21 | $ 43.21 | $ 42.16 | 45.25 | 43.21 | $ 43.21 | $ 37.19 |
Exercisable, Weighted-Average Exercise Price | $ 42.17 | $ 36.36 | $ 42.17 | $ 36.36 | ||||||
Outstanding, Weighted-Average Remaining Contractual Term | 7 years 9 months 18 days | 8 years 1 month 6 days | 8 years 3 months 18 days | 8 years 1 month 6 days | 8 years 4 months 24 days | 8 years 6 months | 7 years 10 months 24 days | 8 years 9 months 18 days | ||
Exercisable, Weighted-Average Remaining Contractual Term | 7 years | 7 years | ||||||||
Outstanding, Aggregate Intrinsic Value | $ 2,321 | $ 1,184 | $ 1,057 | $ 445 | $ 1,329 | $ 2,321 | $ 1,057 | $ 1,657 | $ 3,278 | |
Exercisable, Aggregate Intrinsic Value | $ 1,334 | $ 627 | $ 1,334 | $ 627 |
Stock-Based Compensation - Info
Stock-Based Compensation - Information about Options Exercised (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award Options Activity [Abstract] | |||||
Options exercised | 10,000 | 10,000 | 10,000 | 10,000 | |
Total intrinsic value of exercised options | $ 288 | $ 347 | |||
Tax benefits realized | $ (3) | $ 71 | $ 85 |
Stock-Based Compensation - Assu
Stock-Based Compensation - Assumptions Used to Estimate the Fair Value of Stock Options Granted (Detail) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Expected dividend yield | 3.48% | 3.34% |
Expected volatility | 38.68% | 40.17% |
Risk-free interest rate | 1.63% | 2.53% |
Expected life (in years) | 5 years | 5 years |
Stock Based Compensation - Info
Stock Based Compensation - Information with Respect to Unvested Restricted Stock Awards Stock Option and Incentive Plan (Detail) - Restricted Stock [Member] - $ / shares | 3 Months Ended | |||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Beginning balance, shares | 438,226 | 403,372 | 396,760 | 430,400 | 646,365 | 632,296 |
Granted, Number of Restricted Stock Awards | 2,680 | 145,000 | 45,000 | 7,244 | 133,160 | 40,000 |
Vested, Number of Restricted Stock Awards | (625) | (104,926) | (31,250) | (84,914) | (21,250) | |
Forfeited, Number of Restricted Stock Awards | (2,369) | (5,220) | (7,138) | (2,351) | (264,211) | (4,681) |
Ending balance, shares | 437,912 | 438,226 | 403,372 | 435,293 | 430,400 | 646,365 |
Nonvested, Weighted-Average Grant Date Fair Value, Beginning balance | $ 43.48 | $ 42.12 | $ 41.71 | $ 41.06 | $ 34.03 | $ 33.33 |
Granted, Weighted-Average Grant Date Fair Value | 54.36 | 45.59 | 44.97 | 41.76 | 41.30 | 47.94 |
Vested, Weighted-Average Grant Date Fair Value | 41.02 | 41.16 | 40.97 | 41.58 | 37.69 | |
Forfeited, Weighted-Average Grant Date Fair Value | 45.60 | 43.75 | 42.60 | 41.97 | 23.81 | 42.79 |
Nonvested, Weighted-Average Grant Date Fair Value, Ending balance | $ 43.54 | $ 43.48 | $ 42.12 | $ 41.07 | $ 41.06 | $ 34.03 |
Stock-Based Compensation (Restr
Stock-Based Compensation (Restricted Stock Awards) - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Declared dividends charged to earnings | $ 237 | ||||
Other Operating Income (Expense) [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Declared dividends charged to earnings | $ 10 | 67 | |||
General and Administrative Personnel Expense [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Declared dividends charged to earnings | 170 | ||||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Recognized compensation expenses | $ 1,862 | $ 1,524 | $ 5,142 | $ 4,047 | |
Total unrecognized compensation expense, Nonvested restricted stock arrangements granted | $ 15,658 | $ 15,658 | $ 12,661 | ||
Recognition of remaining compensation expense over a weighted-average period | 2 years 9 months 18 days |
Stock-Based Compensation - In_2
Stock-Based Compensation - Information about Deferred Tax Benefits Recognized Related to Restricted Stock Awards, Paid Dividends and the Fair Value of Vested Restricted Stock (Detail) - Restricted Stock [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Deferred tax benefits recognized | $ 353 | $ 282 | $ 956 | $ 772 |
Tax benefits realized for restricted stock and paid dividends | 47 | $ 1 | 1,286 | 986 |
Fair value of vested restricted stock | $ 26 | $ 5,625 | $ 4,331 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Commitments And Contingencies Disclosure [Abstract] | ||
Unfunded Balance | $ 12,178 | $ 15,130 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - $ / shares | Oct. 16, 2020 | Jul. 02, 2020 |
Subsequent Event [Line Items] | ||
Dividends per common share | $ 0.40 | |
Dividends, date of record | Aug. 21, 2020 | |
Dividends, date of payable | Sep. 18, 2020 | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Dividends per common share | $ 0.40 | |
Dividends, date of declared | Oct. 16, 2020 | |
Dividends, date of record | Nov. 20, 2020 | |
Dividends, date of payable | Dec. 18, 2020 |