felanders/preprocessed huggingface dataset:
Our expenses have historically been related to business development activities. Although we expect our year-over-year expenses to increase as we grow our business, we ultimately expect that the majority of our operating expenses will be relatively fixed in the long term. When our business is mature, we expect an expense ratio (expenses to premiums earned) to fall into the industry range of 20% to 25%. Until our business matures, our expense ratio is expected to be significantly higher than this range given the low levels of premium written compared to our "fixed" costs customary to operating a mortgage insurance company.
In the fourth quarter of 2015, NMIH entered into the Credit Agreement to obtain the Term Loan in the amount of $150 million in order to support the continued growth of its IIF. The Credit Agreement contains various restrictive covenants and required financial ratios and tests that we are required to meet or maintain. The Term Loan bears interest at the Eurodollar based rate (1%) plus an annual margin rate of 7.5%, payable quarterly. The Company recorded $1.8 million of interest expense for the year ended December 31, 2015. The Term Loan matures on November 10, 2018.
We consider items such as commercial paper with original maturities of 90 days or less to be short-term investments.
As of December 31, 2014, the assumptions used in the option pricing model were : a common stock price as of December 31, 2014 of $9.13, risk free interest rate of 1.88%, expected life of 6.44 years, expected volatility of 37.4% and a dividend yield of 0%. The change in fair value was primarily attributable to a decline in the price of our common stock from December 31, 2013 to December 31, 2014.
As of December 31, 2015, there were approximately 2.5 million options fully vested and exercisable. There were no exercises during the year. The weighted average exercise price for the fully vested and exercisable options was $10.37. The remaining weighted average contractual life of options fully vested and exercisable as of December 31, 2015 was 6.65 years. The aggregate intrinsic value for fully vested and exercisable options was $0 as of December 31, 2015.
The remaining weighted average contractual life of options outstanding as of December 31, 2015 was 7.35 years. As of December 31, 2015, there was $1.5 million of total unrecognized compensation cost related to non-vested stock options. The weighted-average period over which total compensation related to non-vested stock options will be recognized is 1.34 years.
The Insurance Brokerage Companies derive their revenue principally from commissions associated with the placement of insurance coverage for corporate clients. These commissions are paid by the insurance carriers and are usually a fixed percentage of the total premiums. There is normally a lag between receipt of funds from the insured and payment to the insurance company. Investment of these funds over this period generates additional revenue in the form of interest income.
administrative costs was mainly due to audit fees and actuarial fees incurred for the triennial audit of Old Lyme Rhode Island, increased amount of contractual management incentive bonuses, and salaries allocated to the Insurance Companies for services performed by affiliates.
The Company has adopted the disclosure for stock-based compensation in accordance with APB No. 25 and has provided the additional disclosure required by SFAS No. 123 (see Note 19 to the consolidated financial statement). The adoption of this standard does not have an impact on the Company's financial position or results of operations.
. the increase in amounts recoverable from reinsurers to $2.3 billion at December 31, 2000 from $1.7 billion at December 31, 1999 and $1.1 billion at December 31, 1998; and
The breakdown of expenses for each of 2000, 1999 and 1998 is set forth in Table III.
In October 2000, the Company announced the acquisition of certain entities associated with the American Psychiatric Association's professional liability program. The entities acquired include a Barbados insurance company, an onshore risk retention group and Professional Risk Management Services, Inc. ("PRMS"), a Virginia based managing general agent with special expertise in behavioral health-care liability and risk management. PRMS is responsible for the marketing, underwriting and claims administration associated with the professional liability program. Legion has been the program's primary insurance carrier since 1988 and will continue to issue coverage for the program.
Commissions and amortization of deferred policy acquisition costs decreased 14% in 1997 compared to 1996. The decrease is due primarily to a reduction in commissions paid. Commissions decreased 19% in 1997 compared to 1996. The decrease in commissions was due to the decline in new business production. There is a direct relationship between premium revenues and commission expense. First year premium production decreased 43% and first year commissions decreased 33% when comparing 1997 to 1996. Amortization of deferred policy acquisition costs decreased 6% in 1997 compared to 1996. Management would expect commissions and amortization of deferred policy acquisition costs to decrease in the future if premium revenues continue to decline.
Company action level 2* Regulatory action level 1.5 Authorized control level 1 Mandatory control level 0.7 * Or, 2.5 with negative trend.
UNITED TRUST, INC. CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY Three Years Ended December 31, 1998
A. ORGANIZATION - At December 31, 1998, the parent, significant majority-owned subsidiaries and affiliates of United Trust, Inc., were as depicted on the following organizational chart.
On May 13, 1997, UTI effected a 1 for 10 reverse stock split. Fractional shares received a cash payment on the basis of $1.00 for each old share. The reverse split was completed to enable UTI to meet new NASDAQ requirements regarding market value of stock to remain listed on the NASDAQ market and to increase the market value per share to a level where more brokers will look at UTI and its stock. Prior period numbers have been restated to give effect of the reverse split.
Substantial Doubt about the Company’s Ability to Continue as a Going Concern
The accompanying financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business for the twelve months following the date of these financial statements. As of December 31, 2020, the Company had no cash and an accumulated deficit of $9,229,684 (10,043,670).
During the year ended December 31, 2020 the Company’s court appointed custodian, Custodian Ventures, LLC extended $25,640 in interest free demand loans to the Company.
The Registrant has established unitized separate accounts applicable to individual qualified and non-qualified variable annuity contracts.
8. PENSION PLANS: The Registrant participates with Sun Life (Canada) and Sun Life of Canada (U.S.) in a non-contributory defined benefit pension plan covering essentially all employees. The benefits are based on years of service and compensation.
TO THE BOARD OF DIRECTORS AND STOCKHOLDER SUN LIFE INSURANCE AND ANNUITY COMPANY OF NEW YORK NEW YORK, NEW YORK
Net Premiums Earned. Net premiums earned increased 32.9% from $9.1 million in 1998 to $12.1 million in 1999. The principal factors accounting for the result were an increase of workers’ compensation reinsurance premiums by 21.7% or $1.3 million, an increase of general liability reinsurance premiums by 32.3% or $768,000 and an increase of surety premiums by 125.6% or $725,000.
American Safety. The jurisdictions in which American Safety and its insurance and reinsurance subsidiaries are domiciled place limitations on the amount of dividends or other distributions payable by insurance companies in order to protect the solvency of insurers.
1966, which exempts American Safety and its shareholders, other than shareholders ordinarily resident in Bermuda, from any Bermuda taxes computed on profits, income or any capital asset, gain or appreciation, or any tax in the nature of estate, duty or inheritance until March 28, 2016. The Company, exclusive of its United States subsidiaries, does not consider itself to be engaged in a trade or business in the United States and accordingly does not expect to be subject to direct United States income taxation. The Company’s U.S. subsidiaries are subject to taxation in the United States.
The new money yield for the period of June 1, 2018 to December 31, 2018, excluding certain U.S. Treasury securities and cash equivalent securities, was approximately 4.3%, which was above the average yield of sales and maturities of 3.9% for the same period due to higher interest rates.
For the period of January 1, 2018 to May 31, 2018 (Predecessor Company), losses on the variable annuity hedge program included losses related to the macro hedge program primarily due to losses of $33 driven by time decay on options and losses of $8 driven by an increase in domestic equity markets, partially offset by gains of $7 related to a increase in equity market volatility. These losses were partially offset by gains on the combined GMWB derivative, net which include the GMWB product, reinsurance and hedging derivatives was primarily due to a increase in volatility of $3 and policy holder behavior of $3, as well as an increase in interest rates of $2.
Financial risks include direct and indirect risks to the Company's financial objectives coming from events that impact market conditions or prices. Some events may cause correlated movement in multiple risk factors. The primary sources of financial risks are the Company's general account and separate account assets and the liabilities and the guarantees which the company has written over various liability products, particularly its fixed and variable annuities. Consistent with its risk appetite, the Company establishes financial risk limits to control potential loss on a U.S. statutory and economic basis. Exposures are actively monitored, and mitigated where appropriate. The Company uses various risk management strategies, including reinsurance and over-the-counter and exchange traded derivatives with counterparties meeting the appropriate regulatory and due diligence requirements. Derivatives are utilized to achieve one of four
The following table provides an analysis showing the estimated before-tax change in the fair value of the Company’s investments and related derivatives, excluding assets supporting fixed liabilities which are included in the table above, assuming 100 basis point upward and downward parallel shifts in the yield curve as of December 31, 2018 (Successor Company) and 2017 (Predecessor Company).
The Company uses reinsurance for a portion of contracts with GMWB riders issued prior to the second quarter of 2006. The Company also uses reinsurance for a majority of the GMDB riders where the GMDB is higher than a return of premium death benefit or account value benefit.
In 2018, there was a proliferation of state and federal legislative proposals to protect customer privacy and augment cybersecurity protections. Noteworthy for 2018 is the California Consumer Privacy Act (“CCPA”) passed in July 2018. At this time, all companies operating in California are required to comply with the law by January 1, 2020. The law creates numerous consumer rights, including increased access to personal information and its disclosures. The precise impact of many of the CCPA’s provisions will not be fully known until the California Attorney General provides guidance and adopts corresponding regulations.
which has resulted in a reduction in our expected ultimate claims and claim expense ratio for this accident
Included in our underwriting result is the net negative impact associated with the 2019 Large Loss Events of $418.9 million and a corresponding increase of 12.9 percentage points to the combined ratio. In comparison, in 2018, the underwriting result included the net negative impact associated with the combined impacts of the 2018 Large Loss Events and changes in estimates of the 2017 Large Loss Events of $182.5 million and a corresponding increase in the combined ratio of 10.0 percentage points;
Underwriting Results - we generated underwriting income of $244.9 million and had a combined ratio of 87.6% in 2018, compared to an underwriting loss of $651.5 million and a combined ratio of 137.9%, in 2017. Our underwriting income in 2018 was comprised of $262.1 million of underwriting income in our Property segment, partially offset by a $17.0 million underwriting loss in our Casualty and Specialty segment.
Investment Results - our total investment result, which includes the sum of net investment income and net realized and unrealized gains and losses on investments, was $86.8 million in 2018, compared to $358.0 million in 2017, a decrease of $271.2 million. The decrease was primarily driven by net realized and unrealized losses on investments of $175.1 million in 2018, compared to net realized and unrealized gains on investments of $135.8 million in 2017. The net realized and unrealized losses on investments in 2018 were driven by net realized and unrealized losses on the fixed maturity investments portfolio, and net realized and unrealized losses on the equity investments trading portfolio. Partially offsetting these items was higher net investment income from our portfolios of fixed maturity investments trading and short term investments, primarily driven by higher average invested assets and the impact of interest rate increases during recent periods; and
The financial data below provides additional information detailing the net negative impact of certain events on our consolidated results of operations in 2019.
The decrease in our Casualty and Specialty segment’s combined ratio was driven by decreases of 4.5 percentage points in the net claims and claim expense ratio and 3.6 percentage points in the underwriting expense ratio in 2018, compared to 2017.
The underwriting expense ratio in our Casualty and Specialty segment decreased 3.6 percentage points to 34.5% in 2018, compared to 38.1% in 2017, due to decreases in both the net acquisition ratio and the operating expense ratio, with the latter being due to improved operating leverage.
net realized and unrealized gains on equity investments trading of $95.1 million in 2019, compared to net realized and unrealized losses of $39.2 million in 2018, an improvement of $134.3 million, principally driven by higher returns on certain of our larger equity positions during 2019, compared to 2018.
Health care costs generally continue to rise at a faster rate than the Consumer Price Index. The Company has been able to somewhat lessen the impact of inflation by managing medical costs. There can be no assurance, however, that, in the future, the Company's ability to manage medical costs will not be negatively impacted by items such as technological advances, utilization changes and catastrophic items, which could, in turn, result in medical cost increases equaling or exceeding premium increases.
Effective January 1, 1992, the Company adopted Statement of Financial Accounting Standards No. 109 "Accounting for Income Taxes" ("FAS 109"). This pronouncement supersedes FAS 96 which the Company adopted effective in 1989. The adoption of FAS 109 had no material impact on the Company's operations.
The Company adopted Statement of Financial Accounting Standards No. 115 ("FAS 115") "Accounting for Certain Investments in Debt & Equity Securities", effective January 1, 1994. In accordance with FAS 115, the adoption had no effect on net income but resulted in a net decrease in short-term, long-term and restricted marketable securities of $2,407,000 and a decrease in stockholders' equity of $1,565,000 (net unrealized losses less deferred income taxes of $842,000). Pursuant to implementation guidelines set-forth in FAS 115, the consolidated balance sheet at December 31, 1993 was not restated.
At December 31, 1994, the Company had approximately $600,000 of tax Net Operating Loss Carryforward ("NOL") which is limited to use at the rate of approximately $91,000 per year during the carryforward period. The NOL can be used to reduce future taxes payable until it expires in 2001. The Company has tax capital loss carryforwards of approximately $1,000,000 expiring through 1999 which can be used to reduce future capital gains income.
The selected consolidated financial data presented below as of the end of and for each of the years in the five-year period ended December 31, 1997 are derived from the consolidated financial statements of 20th Century Industries and its subsidiaries. The consolidated financial statements as of December 31, 1997 and 1996 and for each of the years in the three-year period ended December 31, 1997 are included elsewhere in this Form 10-K. The earnings per share amounts prior to 1997 have been restated as required to comply with Statement of Financial Accounting Standards No. 128, EARNINGS PER SHARE. For further discussion of earnings per share and the impact of Statement No. 128, see Note 3 to the Consolidated Financial Statements.
Although the Company did not write new or renewal earthquake premiums in 1995 through 1997, the Company assumes a small amount of earthquake premium from the California Fair Plan, a state administered pool of difficult to insure risks in which insurers are required to participate in proportion to their share of direct written homeowners coverage in the state. The negative premiums earned for the Earthquake and Proposition 103 in 1995 is due to $24 million of reinsurance purchased to protect the Company until the earthquake endorsements expired in July 1995.
Funds required by 20th Century Industries to pay dividends and meet its debt obligations are provided by the insurance subsidiaries. Information regarding the Company's debt service obligation is included in Note 9 to the Consolidated Financial Statements. The ability of the insurance subsidiaries to pay dividends to the holding company is regulated by state law. Based on the operating results in 1996 and the favorable ratio of premiums to surplus, the Company was able to resume normal dividends from the insurance subsidiaries in 1996 to service the parent's debt and dividend requirements. Based upon 1997 operating results and earned surplus as of December 31, 1997, the Company believes it will not require regulatory approval in 1998 for any extraordinary dividends.
The Company in 1997 embarked on a major project to upgrade its technological infrastructure and to conform certain of its procedures to "industry best practices." Although the ultimate cost of this project is not yet determinable, management believes cash flow from operations as well as expected improvements in operational efficiencies will be more than adequate to fund the project's implementation which is expected to take place over the next several years.
for insured events of prior years is offset by increases in losses related to the Northridge Earthquake of $24.75 million, $40 million and $60 million, respectively.
The change in revenues and pre-tax operating profit in 1995 compared to 1994 is primarily attributable to changes in the South Carolina Reinsurance Facility ("SCRF"). With respect to the Company's servicing carrier activities for the SCRF, the South Carolina legislature passed a joint resolution requiring that servicing carrier contracts, which previously had been awarded based on application, be put out for bid. The Company, through this bid process, was selected as one of three servicing carriers for the facility for a new five year contract period from October 1, 1994 to September 30, 1999. In response to the competitive aspect of this bid, the Company had to reduce its commission rates. While the Company did not retain the ongoing block of business that it was servicing, which was the largest of the three blocks, it was awarded the next largest. The premium volume on the previously held block was $82 million; the volume of the new block amounted to $64.2 million for the 1995 year. This decrease in volume, in combination with lower servicing rates, resulted in $11.3 million less commission earned in 1995 than in 1994.
In 1993, the Company commuted its $43.0 million casualty aggregate excess of loss reinsurance agreement which it had entered into in 1989. The Company reduced its reinsurance recoverable on ceded losses and loss adjustment expenses by $43 million, and received $42.9 million in U.S. Treasury Strips. The commu- tation had no material effect on underwriting results, or on net income.
Commission and service income is predominantly derived from servicing carrier activities. The commission income related to producing and underwriting the business is recognized in the period in which the business is written. Beginning in 1993, a portion of commission income is also derived from business produced by the Company as a Managing General Agent. The Company receives commissions for producing and underwriting the business as well as servicing such business. These revenues are recognized on an accrual basis as earned.
(b) The Company currently has three plans under which SBIG stock options, incentive stock and restricted stock may be granted to employees of the Company, non-employee directors of the Company, consultants and active independent agents representing the Company. All three plans and grants made under the plans are subject to shareholder approval at the 1996 annual shareholders' meeting.
In 1995, depreciation and amortization charges for the various property and casualty insurance underwriting and commission and service activities segments, combined, were $0.9 million ($0.8 million in 1994 and $0.4 million in 1993). These amounts exclude policy acquisition costs of $3.2 million in 1995, ($5.5 million in 1994 and $17.6 million in 1993).
Reinsurance recoverable on paid and unpaid losses and LAE and prepaid rein- surance at December 31, 1995, reflecting the five largest balances with rein- surers, were:
Our results of operations in run-off could also be impacted significantly by recent Federal government and private initiatives to stabilize the housing and financial markets. See Item I, “Business” and the discussion below for further details on these initiatives.
Triad is an Illinois-domiciled insurance company and the Division is our primary regulator. Triad Guaranty Assurance Corporation (“TGAC”) is a wholly-owned subsidiary of Triad and is subject to all Illinois insurance regulatory requirements applicable to Triad. The Illinois Insurance Code grants broad powers to the Division and its Director to enforce rules or exercise discretion over almost all significant aspects of our insurance business.
Approximately 58% of our Primary flow insurance in force was subject to captive reinsurance arrangements at December 31, 2008 and 2007. Under captive reinsurance programs, reinsurance companies that are affiliates of the lenders assume a portion of the risk associated with the lender’s insured book of business in exchange for a percentage of the premium. The risk reinsured by the captive is supported by assets held in trust with Triad as the beneficiary. At December 31, 2008, we had approximately $258 million in captive reinsurance trust balances with $157 million of reserves ceded to those captives, which helps limit our future loss exposure.
Historically, one of the primary differences between statutory policyholders’ surplus and equity computed under GAAP is the statutory contingency reserve. Generally, mortgage insurance companies are required to add to the statutory contingency reserve through a charge to surplus an amount equal to 50% of calendar year earned premiums and retain the contingency reserve in the statutory statements for a period of ten years. The contingency reserve can be released earlier than the scheduled ten years if the loss ratio exceeds 35%. Triad’s loss ratio substantially exceeded 35% in 2008 and 2007. Accordingly, we released approximately $235.0 million of contingency reserve in 2008 and $275.0 million in 2007. Going forward, any contingency reserve established as earned premiums will be recognized and immediately released as long as the loss ratio continues to exceed 35%.
Consolidated Statements of Operations for the Years Ended December 31, 1994, 1995 and 1996 25
The following table of selected financial data should be read in conjunction with the audited consolidated financial statements of the Company and the notes thereto and with “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” each contained herein.
The Company’s reinsurance and insurance reserves are actuarial projections as of the balance sheet date of the ultimate unpaid losses and benefits associated with its reinsurance and insurance contracts. Considerable judgment is required to evaluate losses and benefits and establish liabilities for losses and benefits. The Company employs different types of actuarial loss reserving techniques and
several models to assist in the setting and regular review of reserves. The actuarial loss reserves techniques and models employed are principally based on paid and incurred loss development methods. Further, the Company retains an independent actuarial firm to annually review the adequacy of the reserves as determined by management. Additional information regarding losses, benefits and experience refund amounts incurred will be revealed over time and the estimates of such amounts may need to be revised, resulting in gains and losses in the periods determined.
General and administrative expenses. General and administrative expenses were $21.0 million for the year ended December 31, 2001 compared to $16.4 million for the year ended December 31, 2000. The increase reflects the costs associated with growing the Company’s operations and principally relates to staff additions.
Shareholders’ equity and minority interest. The Company’s shareholders’ equity and minority interest increased to $710.7 million at December 31, 2002 from $699.7 million at December 31, 2001 principally reflecting an increase of $35.6 million in net unrealized appreciation of fixed maturities and $4.0 million in common shares issued during the year in connection with conversions of minority shareholders and restricted stock awards to employees, partially offset by $20.9 million in shares acquired and retired during the year, a net loss of $5.8 million for the year and dividends paid and distributions of capital of $3.1 million.
The tax effects of temporary differences that give rise to deferred income tax assets and deferred federal income tax liabilities follow:
Premiums written through the Company's sales agency approximated 90% of direct written premiums in each of the years 2000, 1999 and 1998. Additionally, in each of these years, the top ten agents produced, in aggregate, approximately 35% of direct written premiums.
Holdings owns all of the issued and outstanding common stock of the following entities:
The National Association of Insurance Commissioners’ (“NAIC”) model law for risk-based capital (“RBC”) provides formulas to determine the amount of capital that an insurance company needs to ensure that it has an acceptable expectation of not becoming financially impaired. At December 31, 2012, the capital ratios of all our insurance subsidiaries exceeded the RBC requirements.
The $1.2 million balance in receivable for securities sold at December 31, 2011 represents fixed income securities sold in the normal course of business during 2011 that had not settled at December 31, 2011.
The following table presents the credit rating and fair value of our residential mortgage-backed securities at December 31, 2012
Hathaway and 0.9% are insured with XL Group. The following table presents the underlying ratings of the state and municipal bond portfolio at December 31, 2012 (in thousands):
Florida gross written premium grew 66.7% during the twelve months ended December 31, 2012. This growth is primarily a result of a 66% increase in new business application counts, higher business retention, an increase of 6.8% in average premium from rate increases and competitor rate increases.
In evaluating the profit performance of our business, we review underwriting profitability using statutory combined ratios. Accordingly, the discussion of underwriting results that follows will focus on these ratios and the components thereof, unless otherwise indicated.
The GAAP combined ratio for the twelve months ended December 31, 2012 increased by 2.6 points compared to 2011. Excluding the effect of development from both periods, the GAAP combined ratio increased by 1.7 points for the twelve months ended December 31, 2012 compared to 2011. We expect the GAAP combined ratio, excluding reserve development, to be between 96.5% and 97.5% for the full year 2013.
On December 22, 2005, the Company, through a newly-formed Delaware statutory trust, AssuranceAmerica Capital Trust I (the “Trust”), a wholly-owned subsidiary of the Company, consummated the private placement of 5,000 shares of the Trust’s floating rate capital securities, with a liquidation amount of $1,000 per capital security (the “Capital Securities”). In connection with the Trust’s issuance and sale of the Capital Securities, the Company
or broker quotes. Fair values for credit default swaps trading in an active market are based on market maker or broker quotes taking into account credit spreads on identical contracts. Exchange traded option contracts are recorded at fair value based on quoted prices in active markets. For over the counter (“OTC”) options and exchange traded options where a quoted price in an active market is not available, we obtain multiple market maker quotes to determine the fair values. Fair values for other derivative instruments are determined based on multiple broker or market maker quotes taking into account the liquidity and the availability of an active market for the derivative.
For the year ended December 31, 2018, our gross premiums written decreased by $125.1 million, or 18.1%, compared to the same period in 2017. The changes in gross premiums written for the year ended December 31, 2018 were attributable to the following:
As of December 31, 2018, a gross deferred tax asset of $3.6 million (2017: $1.7 million) was included in other assets on the consolidated balance sheets. As of December 31, 2018, a deferred tax asset valuation allowance of $2.2 million was recorded by the Company. Based on the timing of the reversal of the temporary differences and likelihood of generating sufficient taxable income to realize the future tax benefit, management believes it is more likely than not that the recorded deferred tax asset (net of
(2) Includes interest payments due on $100.0 million of senior convertible note payable at 4.0% per annum, starting from February 1, 2019, as well as the payment of principal upon maturity on August 1, 2023.
During 2003, the Company enhanced its financial position and ability to take advantage of market opportunities as a result of its October 2003 equity offering by paying off its remaining outstanding debt, contributing $95 million to the statutory surplus of Navigators Insurance Company and increasing its stamp capacity at Lloyd's by increasing its letter of credit facility.
Marine Premium. Our gross written premium is based on the amount of stamp capacity to write business that we provide to Lloyd's Syndicate 1221 which was 97.4% in 2004 and 2003 and 68.1% in 2002. Stamp capacity is a measure of the amount of premium a Lloyd's syndicate is authorized to write as determined by the Council of Lloyd's. The Syndicate's stamp capacity was £150 million ($275 million), £125 million ($203.5 million) and £75 million ($112.7 million) in 2004, 2003 and 2002, respectively. The 2004 marine gross written premium increased 21.5% in 2004 compared to 2003, 63.2% in 2003 compared to 2002 and 10.1% in 2002 compared to 2001.
The stamp capacity for 2005 has been reduced to £135 million ($247.5 million), reflective of unused stamp capacity in 2004 coupled with anticipated declining market conditions in 2005. In January 2005, we formed Navigators NV, a subsidiary of NUAL. Navigators NV is located in Antwerp, Belgium, and will write transport liability, cargo and marine liability business on behalf of Syndicate 1221.
The 2004 ceded premium amount for the Lloyd's Operations includes $47.6 million or 18.0% of Syndicate 1221 gross written premium in connection with the RITC transaction of which $22.2 million was assumed by Navigators Insurance Company through a retrocession of the Syndicate's reinsurance. The 2003 ceded premium percentage of 63.4% compared to 39.3% in 2002 reflects our providing a greater percentage of capacity at Lloyd's in 2003 compared to 2002 and then reinsuring a
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The net loss to the Lloyd's Operations from Hurricane Ivan of approximately $2.0 million increased the Lloyd's Operations 2004 combined ratio by 2.3 ratio points. The 2004 loss ratio was favorably impacted by $6.7 million or 8.1 loss ratio points for redundancies in prior years' loss reserves. Underwriting results in 2003 were favorably impacted by $2.8 million for prior year reserve savings compared to a $0.3 million deficiency recorded in 2002.
The Company's financial condition continued to improve in 1998 as shown in the following table:
Contingency Plans For all critical systems within the Company's control, revised contingency plans that take account of the Y2K issue are scheduled to be tested and in place by June 1999. These contingency plans generally cover steps the Company would take, such as use of back-up computer facilities, in the event of a business interruption from a variety of causes, including the remote possibility of an interruption caused by one or more Y2K problems. The Company's contingency planning team is staffed by representatives from all key business departments. Contingency planning currently under development includes the following considerations: - - - Defining a rapid response team including identification of resources and responsibilities at a departmental level; - - - Identifying manual procedures to be implemented until the automated process is recovered, if necessary; - - - For critical suppliers or service providers not expected to be compliant, selecting feasible alternate suppliers; - - - When alternate suppliers are infeasible, addressing any means the Company can take to assist key suppliers in a timely manner; - - - Determining key mission critical contingency plans and testing when feasible before the Year 2000.
The National Association of Insurance Commissioners requires property and casualty insurance companies to calculate and report information under a Risk-Based Capital ("RBC") formula in their Annual Statements. The RBC requirements are intended to assist regulators in identifying inadequately capitalized companies. The RBC calculation is based on the type and mix of risks inherent in the Company's business and includes components for underwriting, asset, interest rate and other risks. To the extent that a subsidiary's surplus fell below prescribed levels, it would be the parent company's intention to infuse necessary capital to support that entity. The Company's insurance subsidiaries exceeded their RBC statutory surplus standards by a considerable margin as of December 31, 1998.
During the third quarter of 1998, AIG exercised 16 million warrants to purchase shares of common stock at a price of $9.10 per share, which increased the Company's stockholders' equity by $145.6 million. AIG also tendered 224,950 shares of Series A preferred stock for conversion to 19,854,368 shares of common stock. As a result of these transactions, as well as additional common stock purchases, AIG now owns a majority interest in the Company.
Total equity decreased by $0.8 billion from $7.1 billion at December 31, 2016 to $6.3 billion at December 31, 2017, primarily reflecting a $1.0 billion return of capital to PAI and a $0.9 billion loss resulting from tax reform, partially offset by a pre-tax gain of $1.1 billion for the twelve months ended December 31, 2017, which includes $0.2 billion of unrealized gains in the current year.
The following table illustrates the net impact of changes in the U.S. GAAP embedded derivative liability and hedge positions,
The following table provides a reconciliation between the liability reported under U.S. GAAP and the economic liability the Company intends to manage through the ALM strategy.
During 2014 and 2013, in connection with the process, we have not charged any investment losses to operations. During 2012, in connection with the process, we have charged to operations $44,000 of investment losses.
Cash and short-term investments, which include cash, certificates of deposits, and money market accounts, decreased $1.2 million, or 3.1%, to $40.2 million as of December 31, 2014, compared with $41.4 million as of December 31, 2013.
Unpaid losses and LAE increased $17.3 million, or 28.4%, to $78.3 million as of December 31, 2014, compared with $61.0 million as of December 31, 2013, in conjunction with the increase to net premiums earned during 2014 compared with 2013. The $17.3 million increase was net of a $2.1 million reduction associated with our Property 30% Quota Share agreement effective July 1, 2014. The composition of unpaid losses and LAE by product line is as follows.
· legal and political factors such as legislative initiatives and public opinion;
In reaching a conclusion that a security is either other-than-temporarily or permanently impaired we consider such factors as the timeliness and completeness of expected dividends, principal and interest payments, ratings from nationally recognized statistical rating organizations such as Standard and Poor’s (“S&P”) and Moody’s Investors Service, Inc. (“Moody’s”), as well as information released via the general media channels. During 2014 and 2013, in connection with the process, we have not charged any investment losses to operations. During 2012, in connection with the process, we have charged to operations $44,000 of investment losses.
We apply the following general methods in projecting loss and LAE reserves:
A number of other actuarial assumptions are generally made in the review of reserves for each line of business.
“Top Ten Best Places To Work” - South Florida Business Journal - 2011
Depreciation and amortization expenses were approximately $51,000 for the year ended December 31, 2012, an increase of approximately $19,000, or 62%, from approximately $31,000 for the year ended December 30, 2011. The increase was primarily due to depreciation costs associated with the Company’s purchases for office furniture and computer necessary to support the increase in personnel.
Net cash used in operating activities was approximately $1,699,000 for the year ended December 31, 2012. This compared to net cash used by operating activities of approximately $66,000 for the year ended December 31, 2011. The decrease of $1,633,000 was primarily due to higher personnel costs, greater travel and business development costs, and professional fees connected to the Company’s merger with HRAA which occurred in February 2012 along with non-cash charges of $355,573.
Our future plans target capitalizing on opportunities made available from the mandated implementation of ICD-10-CM/PCS, currently required to be implemented by hospitals and health care providers throughout the country by October 1, 2013. As previously described, on April 9, 2012, HHS announced a proposed rule which would delay the implementation date to October 1, 2014. On August 27, 2012, Health and Human Services Secretary Kathleen Sebelius announced the release of a rule that makes final a one-year proposed delay-from October 1, 2013, to October 1, 2014 - in the compliance date for the industry's transition to ICD-10 codes.
Health Revenue Assurance Holdings, Inc. (the “Company”) is a trusted source of timely, accurate and critical resources, technology and information that supports the performance of revenue integrity in assuring the existence of healthcare organizations. The company and its subsidiaries’ products and services include business intelligence technology solutions, contract coding, billing, coding and compliance audits, education, revenue cycle consulting, physician services and ICD-10 transition services. The Company provides customized solutions to its clients with the highest regard for ethical standards and responsibility.
In August 2012, the company raised approximately $22,000 with the sale of 77,743 shares of common stock at $0.28 per share.
In December 2012, the Company issued 2,375,000 shares of common stock in connection with a financing transaction as more fully described in note 7.
Sales to thirteen hospitals represented approximately 89% of net sales for the year ended December 31, 2012Wherein, seven and six hospitals respectively are part of two larger health systems. The company has direct relationships with both the individual hospitals and the health systems. As such, the strength of the relationship is driven by the individual hospitals.
Direct premiums written increased by $2.0 million, or 4.0%, primarily from organic growth from 2015 to 2016, while net written premium was essentially flat, growing by $1.6, or 3.8%, during the same period. Net premiums earned grew by $2.4 million, or 5.9%, for the year ended December 31, 2016 as compared to 2015 primarily due to increased organic growth and lower levels of premium ceded to reinsurance.
Recent Variabilities of Incurred Losses and Settlement Expense, Net of Reinsurance
Expected maturities may differ from contractual maturities due to call provisions on some existing securities. The net unrealized appreciation of AFS fixed income and equity securities totaled $1,748,750 and $803,180 at December 31, 2016 and 2015, respectively.
The fixed income portfolio contained 58 securities in an unrealized loss position as of December 31, 2016. Of these 58 securities, 4 have been in an unrealized loss position for 12 consecutive months or longer and represent $16,521 in unrealized losses. All fixed income securities in the investment portfolio continue to pay the expected coupon payments under the contractual terms of the securities. Credit-related impairments on fixed income securities that we do not plan to sell, and for which we are not more likely than not to be required to sell, are recognized in net earnings. Any non-credit related impairment is recognized in comprehensive earnings. Based on management’s analysis, the fixed income portfolio is of a high credit quality and it is believed it will recover the amortized cost basis of the fixed income securities. Management monitors the credit quality of the fixed income investments to assess if it is probable that the Company will receive its contractual or estimated cash flows in the form of principal and interest.
The Company has recorded its deferred tax assets and liabilities using the statutory federal tax rate of 34%. Management believes it is more likely than not that all deferred tax assets will be recovered given the carry back availability as well as the results of future operations, which will generate sufficient taxable income to realize the deferred tax asset. In addition, it is believed that when these deferred items reverse in future years, taxable income will be taxed at an effective rate of 34%.
In connection with our audit of the consolidated financial statements of Illinois Casualty Company for each of the two years in the period ended December 31, 2016, we have also audited Schedules III, IV, V, and VI on pages 89 through 92. These financial statement schedules are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statement schedules based on our audits of the basic financial statements. The schedules are presented for purposes of complying with the Securities and Exchange Commission's rules and regulations and are not a required part of the consolidated financial statements.
Deferred premium revenue, net of prepaid reinsurance premium, grew to $308.2 million at year-end 1998 from $281.3 million at year-end 1997. The growth is attributable primarily to new premiums written.
The Company recognized revenues from assignments, through securitization and other sales, of $45.4 million in 1998 compared to $29.2 million in 1997 due to substantial revenue growth in both lottery and structured settlements products.
In our opinion, such consolidated financial statements present fairly, in all material respects, the financial position of Enhance Financial Services Group Inc. and Subsidiaries as of December 31, 1999 and 1998 and the results of their operations and their cash flows for each of the three years in the period ended December 31, 1999 in conformity with generally accepted accounting principles.
Reserves for losses and LAE in the financial guaranty business are established based on the Company's best estimate of specific and non-specific losses, including expenses associated with settlement of such losses on its insured and reinsured obligations. The Company's estimation of total reserves considers known defaults, reports and individual loss estimates reported by primary
The statutory basis policyholders' surplus of Enhance Re and Asset Guaranty, as reported to insurance regulatory authorities, was $214.8 million and $90.6 million, respectively at December 31, 1999 and $225.7 million and $98.5 million, respectively, at December 31, 1998. Statutory net income of Enhance Re and Asset Guaranty was $38.7 million and $8.4 million, respectively, for the year ended December 31, 1999. Statutory net income of Enhance Re and
The components of the Company's consolidated provision for income taxes are as follows (in 000s):
The debentures were issued at par and bear interest at 6.75% payable in March and September each year. The debentures are non-callable obligations of Enhance Financial.
The Company's potential liability in the event of nonperformance by the issuer of the insured obligation is represented by its proportionate share of the aggregate outstanding principal and interest payable ("insurance in force") on such insured obligation. At December 31, 1999, the Company's aggregate insurance in force was $85.6 billion. The Company's insured portfolio as of December 31, 1999 was broadly diversified by geographic and bond market sector with no single credit representing more than 1.3% of the Company's net insurance in force.
At December 31, 2011, we determined that the estimated fair value of NLASCO exceeded its carrying values and, therefore, we did not perform the second step as described above. Our fair value exceeded carrying value by 10.9% as of December 31, 2011. Consequently, we determined that no impairment existed with respect to goodwill and intangible assets at December 31, 2011.
Total direct premiums written increased for the year ended December 31, 2011 for all insurance products except for other due to expanded distribution of additional insurance products and growth on existing insurance products. New homeowners and commercial insurance products generated $9.0 million in direct written premiums for the twelve months ended December 31, 2011. Our existing products grew by $6.8 million in Texas, Oklahoma, Georgia, Tennessee and Arizona in the twelve months ended December 31, 2011, as compared to the same period in 2010.
Net premiums earned by major product line for the year ended December 31, 2011 and 2010 are presented in the table below (in thousands):
On July, 29, 2011, the Company extended SWS a $50 million term loan, which bears interest of 8% per annum. SWS issued us warrants to purchase 8,695,652 shares of SWS common stock, $0.10 par value per share, exercisable at a price of $5.75 per share subject to anti-dillution adjustments. HTH began purchasing SWS common stock during the quarter ended September 30, 2011 and, as of December 31, 2011, has accumulated $10.1 million of the common stock at fair value.