Comprehensive Income (Loss) (Tables)
 9 Months Ended
Sep. 30, 2014
Disclosure Information About Comprehensive Income [Abstract]  
Information about Comprehensive Income
The table below provides information about comprehensive income (loss) for the third quarters and nine months ended September 30, 2014 and 2013.
 
Quarter Ended September 30, 2014
 
Pre-Tax
Amount
 
Tax Expense
or (Benefit)
 
Net-of-Tax
Amount
 
 
 
 
 
 
Net unrealized gains (losses) arising during the year:
 
 
 
 
 
Fixed maturity securities
$
(18,222
)
 
$
(6,378
)
 
$
(11,844
)
Equity securities
41

 
14

 
27

Less reclassification adjustments:
 
 
 
 
 
Net realized investment gains, excluding impairment
losses
178

 
62

 
116

Other-than-temporary impairment losses recognized in
earnings
(765
)
 
(268
)
 
(497
)
Other-than-temporary impairment losses recognized in
other comprehensive income (loss)
433

 
152

 
281

Net unrealized losses excluding impairment losses
(18,027
)
 
(6,310
)
 
(11,717
)
Effect on DAC and VOBA
4,033

 
1,412

 
2,621

Future policy benefits
959

 
336

 
623

Policyholder account balances
63

 
22

 
41

Other comprehensive loss
$
(12,972
)
 
$
(4,540
)
 
(8,432
)
Net income
 
 
 
 
7,790

Comprehensive income
 
 
 
 
$
(642
)
 
Quarter Ended September 30, 2013
 
Pre-Tax
Amount
 
Tax Expense
or (Benefit)
 
Net-of-Tax
Amount
 
 
Net unrealized losses arising during the year:
 
 
 
 
 
Fixed maturity securities
$
(11,897
)
 
$
(4,165
)
 
$
(7,732
)
Equity securities
(1,391
)
 
(486
)
 
(905
)
Less reclassification adjustments:
 
 
 
 
 
Net realized investment gains, excluding impairment
losses
2,111

 
739

 
1,372

Other-than-temporary impairment losses recognized in
earnings
(116
)
 
(40
)
 
(76
)
Other-than-temporary impairment losses recognized in
other comprehensive income (loss)
21

 
7

 
14

Net unrealized losses excluding impairment losses
(15,304
)
 
(5,357
)
 
(9,947
)
Effect on DAC and VOBA
4,295

 
1,503

 
2,792

Future policy benefits
412

 
144

 
268

Policyholder account balances
43

 
15

 
28

Other comprehensive loss
$
(10,554
)
 
$
(3,695
)
 
(6,859
)
Net income
 
 
 
 
7,110

Comprehensive income
 
 
 
 
$
251


 
Nine Months Ended September 30, 2014
 
Pre-Tax
Amount
 
Tax Expense
or (Benefit)
 
Net-of-Tax
Amount
 
 
Net unrealized gains (losses) arising during the year:
 
 
 
 
 
Fixed maturity securities
$
47,352

 
$
16,573

 
$
30,779

Equity securities
1,635

 
572

 
1,063

Less reclassification adjustments:
 
 
 
 
 
Net realized investment gains, excluding impairment
losses
1,683

 
589

 
1,094

Other-than-temporary impairment losses recognized in
earnings
(1,221
)
 
(427
)
 
(794
)
Other-than-temporary impairment losses recognized in
other comprehensive income (loss)
620

 
217

 
403

Net unrealized gains excluding impairment losses
47,905

 
16,766

 
31,139

Effect on DAC and VOBA
(3,018
)
 
(1,056
)
 
(1,962
)
Future policy benefits
(9,137
)
 
(3,198
)
 
(5,939
)
Policyholder account balances
(312
)
 
(109
)
 
(203
)
Other comprehensive income
$
35,438

 
$
12,403

 
$
23,035

Net income
 
 
 
 
21,749

Comprehensive income
 
 
 
 
$
44,784

 
Nine Months Ended September 30, 2013
 
Pre-Tax
Amount
 
Tax Expense
or (Benefit)
 
Net-of-Tax
Amount
 
 
Net unrealized losses arising during the year:
 
 
 
 
 
Fixed maturity securities
(115,907
)
 
(40,568
)
 
(75,339
)
Equity securities
(1,621
)
 
(567
)
 
(1,054
)
Less reclassification adjustments:
 
 
 
 
 
Net realized investment gains, excluding impairment
losses
4,386

 
1,535

 
2,851

Other-than-temporary impairment losses recognized in
earnings
(575
)
 
(201
)
 
(374
)
Other-than-temporary impairment losses recognized in
other comprehensive income (loss)
120

 
42

 
78

Net unrealized losses excluding impairment losses
(121,459
)
 
(42,511
)
 
(78,948
)
Change in benefit plan obligations
7,708

 
2,698

 
5,010

Effect on DAC and VOBA 1
42,951

 
15,033

 
27,918

Future policy benefits
11,064

 
3,872

 
7,192

Policyholder account balances
538

 
188

 
350

Other comprehensive loss
(59,198
)
 
(20,720
)
 
(38,478
)
Net income
 
 
 
 
23,149

Comprehensive loss
 
 
 
 
(15,329
)
 1 
The pre-tax amount includes $16.0 million for a one-time refinement in estimate and $5.6 million for the effect on the deferred revenue liability.
Accumulated Balances Related to Each Component of Accumulated Other Comprehensive Income
The following table provides accumulated balances related to each component of accumulated other comprehensive income at September 30, 2014, net of tax.
 
Unrealized
Gain (Loss) on
Non-Impaired
Securities
 
Unrealized
Gain (Loss) on
Impaired
Securities
 
Benefit
Plan
Obligations
 
DAC/
VOBA
Impact
 
Future Policy Benefits
 
Policyholder
Account
Balances
 
Total
Beginning of year
$
78,496

 
$
2,381

 
$
(38,363
)
 
$
(17,536
)
 
$
(10,478
)
 
$
(330
)
 
$
14,170

Other comprehensive
   income (loss)
   before
   reclassification
26,782

 
3,654

 
—

 
(1,926
)
 
(5,939
)
 
(203
)
 
22,368

Amounts reclassified
from accumulated
    other
    comprehensive
    income
1,094

 
(391
)
 
—

 
(36
)
 
—

 
—

 
667

Net current-period other
comprehensive income (loss)
27,876

 
3,263

 
—

 
(1,962
)
 
(5,939
)
 
(203
)
 
23,035

End of period
$
106,372

 
$
5,644

 
$
(38,363
)
 
$
(19,498
)
 
$
(16,417
)
 
$
(533
)
 
$
37,205
Reclassification out of Accumulated Other Comprehensive Income
The following table presents the pre-tax and the related income tax expense (benefit) components of the amounts reclassified from the Company's accumulated other comprehensive income to the Company's Consolidated Statements of Comprehensive Income for the third quarters and nine months ended September 30, 2014 and 2013.
 
Quarter Ended
 
Nine Months Ended
 
September 30
 
September 30
 
2014
 
2013
 
2014
 
2013
Reclassification adjustments related to unrealized gains (losses)
on investment securities:
 
 
 
 
 
 
 
Having impairments recognized in the Consolidated Statements
    of Comprehensive Income 1
$
178

 
$
2,111

 
$
1,683

 
$
4,386

Income tax expense 2
(62
)
 
(739
)
 
(589
)
 
(1,535
)
Net of taxes
116

 
1,372

 
1,094

 
2,851

 
 
 
 
 
 
 
 
Having no impairments recognized in the Consolidated
    Statements of Comprehensive Income 1
(332
)
 
(95
)
 
(601
)
 
(455
)
Income tax benefit 2
116

 
33

 
210

 
159

Net of taxes
(216
)
 
(62
)
 
(391
)
 
(296
)
 
 
 
 
 
 
 
 
Reclassification adjustment related to DAC and VOBA 1
3

 
(63
)
 
(55
)
 
(91
)
Income tax benefit (expense) 2
(1
)
 
22

 
19

 
32

Net of taxes
2

 
(41
)
 
(36
)
 
(59
)
 
 
 
 
 
 
 
 
Total pre-tax reclassifications
(151
)
 
1,953

 
1,027

 
3,840

Total income tax expense
53

 
(684
)
 
(360
)
 
(1,344
)
Total reclassification, net taxes
$
(98
)
 
$
1,269

 
$
667

 
$
2,496

 1 
(Increases) decreases net realized investment gains (losses) on the Consolidated Statements of Comprehensive Income.
 2 
(Increases) decreases income tax expense on the Consolidated Statements of Comprehensive Income.