| Other Comprehensive Income (Loss) The following table summarizes the components of other comprehensive income (loss) for the three and six months ended June 30, 2025 and 2024: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | 2025 | | 2024 | | 2025 | | 2024 | | | (in thousands) | | Unrealized gains (losses) on fixed-maturity securities arising during the period, before income taxes | | $ | 18,357 | | | $ | (6,892) | | | $ | 51,714 | | | $ | (19,476) | | | Income tax (expense) benefit | | (3,855) | | | 1,447 | | | (10,860) | | | 4,090 | | | Unrealized gains (losses) arising during the period, net of income taxes | | 14,502 | | | (5,445) | | | 40,854 | | | (15,386) | | | Less reclassification adjustment: | | | | | | | | | | Net realized gains (losses) on fixed-maturity securities, before income taxes | | 57 | | | (207) | | | 39 | | | (218) | | | Income tax (expense) benefit | | (12) | | | 44 | | | (8) | | | 46 | | | Reclassification adjustment included in net income | | 45 | | | (163) | | | 31 | | | (172) | | | Change in allowance for credit losses on investments, before income taxes | | 5 | | | 476 | | | (15) | | | 486 | | | Income tax benefit (expense) | | (1) | | | (100) | | | 3 | | | (102) | | | Reclassification adjustment included in net income | | 4 | | | 376 | | | (12) | | | 384 | | | Other comprehensive income (loss) | | $ | 14,453 | | | $ | (5,658) | | | $ | 40,835 | | | $ | (15,598) | |
The sale or credit loss of an available-for-sale fixed-maturity security results in amounts being reclassified from accumulated other comprehensive income (loss) to realized gains or losses in current period earnings. The related tax effect of the reclassification adjustment is recorded in income tax expense in current period earnings. See Note 2 for additional information.
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