| Investments |
3. Investments The amortized cost and estimated fair value of fixed income securities, presented on a consolidated basis as of June 30, 2026, and December 31, 2025, were as follows: | | | June 30, 2026 | | | | | Cost or
Amortized
Cost | | | Allowance for
Expected
Credit Losses | | | Gross
Unrealized
Gains | | | Gross
Unrealized
Losses | | | Fair Value | | | Fixed income securities: | | | | | | | | | | | | | | | | | | | | | | U.S. Government and agencies | | $ | 8,440 | | | $ | — | | | $ | 12 | | | $ | (112 | ) | | $ | 8,340 | | | Obligations of states and political subdivisions | | | 50,533 | | | | — | | | | 183 | | | | (4,335 | ) | | | 46,381 | | | Corporate securities | | | 131,082 | | | | — | | | | 572 | | | | (4,110 | ) | | | 127,544 | | | Residential mortgage-backed securities | | | 68,822 | | | | — | | | | 379 | | | | (5,303 | ) | | | 63,898 | | | Commercial mortgage-backed securities | | | 33,414 | | | | — | | | | 97 | | | | (2,118 | ) | | | 31,393 | | | Asset-backed securities | | | 18,028 | | | | — | | | | 58 | | | | (308 | ) | | | 17,778 | | | Redeemable preferred stocks | | | 3,736 | | | | — | | | | — | | | | (696 | ) | | | 3,040 | | | Total fixed income securities | | $ | 314,055 | | | $ | — | | | $ | 1,301 | | | $ | (16,982 | ) | | $ | 298,374 | | | | | December 31, 2025 | | | | | Cost or
Amortized
Cost | | | Allowance for
Expected
Credit Losses | | | Gross
Unrealized
Gains | | | Gross
Unrealized
Losses | | | Fair Value | | | Fixed income securities: | | | | | | | | | | | | | | | | | | | | | | U.S. Government and agencies | | $ | 10,643 | | | $ | — | | | $ | 146 | | | $ | (73 | ) | | $ | 10,716 | | | Obligations of states and political subdivisions | | | 50,530 | | | | — | | | | 168 | | | | (4,648 | ) | | | 46,050 | | | Corporate securities | | | 125,978 | | | | — | | | | 1,434 | | | | (3,607 | ) | | | 123,805 | | | Residential mortgage-backed securities | | | 73,022 | | | | — | | | | 679 | | | | (5,002 | ) | | | 68,699 | | | Commercial mortgage-backed securities | | | 29,376 | | | | — | | | | 182 | | | | (2,030 | ) | | | 27,528 | | | Asset-backed securities | | | 21,519 | | | | — | | | | 200 | | | | (310 | ) | | | 21,409 | | | Redeemable preferred stocks | | | 3,736 | | | | — | | | | — | | | | (550 | ) | | | 3,186 | | | Total fixed income securities | | $ | 314,804 | | | $ | — | | | $ | 2,809 | | | $ | (16,220 | ) | | $ | 301,393 | | The amortized cost and estimated fair value of fixed income securities by contractual maturity, presented on a consolidated basis, are shown below. Actual maturities could differ from contractual maturities because issuers may have the right to call or prepay these securities. | | | June 30, 2026 | | | | | Amortized Cost | | | Fair Value | | | Due to mature: | | | | | | | | | | One year or less | | $ | 19,560 | | | $ | 19,368 | | | After one year through five years | | | 69,262 | | | | 66,371 | | | After five years through ten years | | | 63,023 | | | | 61,900 | | | After ten years | | | 38,210 | | | | 34,626 | | | Mortgage / asset-backed securities | | | 120,264 | | | | 113,069 | | | Redeemable preferred stocks | | | 3,736 | | | | 3,040 | | | Total fixed income securities | | $ | 314,055 | | | $ | 298,374 | | | | | December 31, 2025 | | | | | Amortized Cost | | | Fair Value | | | Due to mature: | | | | | | | | | | One year or less | | $ | 10,208 | | | $ | 10,097 | | | After one year through five years | | | 73,908 | | | | 72,140 | | | After five years through ten years | | | 64,118 | | | | 63,599 | | | After ten years | | | 38,917 | | | | 34,735 | | | Mortgage / asset-backed securities | | | 123,917 | | | | 117,636 | | | Redeemable preferred stocks | | | 3,736 | | | | 3,186 | | | Total fixed income securities | | $ | 314,804 | | | $ | 301,393 | | Fixed income securities and cash with a fair value of $4,549 at June 30, 2026, and $4,574 at December 31, 2025, were deposited with various state regulatory agencies as required by law. The Company has not pledged any assets to secure any obligations. The investment category and duration of the Company’s gross unrealized losses on fixed income securities, presented on a consolidated basis, are shown below. Investments with unrealized losses are categorized with a duration of greater than 12 months when all positions of a security have continually been in a loss position for at least 12 months. | | | June 30, 2026 | | | | | Less than 12 Months | | | Greater than 12 months | | | Total | | | | | Fair
Value | | | Unrealized
Losses | | | Fair
Value | | | Unrealized
Losses | | | Fair
Value | | | Unrealized
Losses | | | Fixed income securities: | | | | | | | | | | | | | | | | | | | | | | | | | | U.S. Government and agencies | | $ | 3,830 | | | $ | (36 | ) | | $ | 3,175 | | | $ | (76 | ) | | $ | 7,005 | | | $ | (112 | ) | | Obligations of states and political subdivisions | | | 4,361 | | | | (45 | ) | | | 35,069 | | | | (4,290 | ) | | | 39,430 | | | | (4,335 | ) | | Corporate securities | | | 35,141 | | | | (335 | ) | | | 55,671 | | | | (3,775 | ) | | | 90,812 | | | | (4,110 | ) | | Residential mortgage-backed securities | | | 12,870 | | | | (136 | ) | | | 29,317 | | | | (5,167 | ) | | | 42,187 | | | | (5,303 | ) | | Commercial mortgage-backed securities | | | 7,734 | | | | (57 | ) | | | 19,054 | | | | (2,061 | ) | | | 26,788 | | | | (2,118 | ) | | Asset-backed securities | | | 7,615 | | | | (148 | ) | | | 4,152 | | | | (160 | ) | | | 11,767 | | | | (308 | ) | | Redeemable preferred stocks | | | — | | | | — | | | | 3,040 | | | | (696 | ) | | | 3,040 | | | | (696 | ) | | Total fixed income securities | | $ | 71,551 | | | $ | (757 | ) | | $ | 149,478 | | | $ | (16,225 | ) | | $ | 221,029 | | | $ | (16,982 | ) | | | | December 31, 2025 | | | | | Less than 12 Months | | | Greater than 12 months | | | Total | | | | | Fair
Value | | | Unrealized
Losses | | | Fair
Value | | | Unrealized
Losses | | | Fair
Value | | | Unrealized
Losses | | | Fixed income securities: | | | | | | | | | | | | | | | | | | | | | | | | | | U.S. Government and agencies | | $ | 997 | | | $ | (5 | ) | | $ | 3,433 | | | $ | (68 | ) | | $ | 4,430 | | | $ | (73 | ) | | Obligations of states and political subdivisions | | | 2,976 | | | | (93 | ) | | | 35,429 | | | | (4,555 | ) | | | 38,405 | | | | (4,648 | ) | | Corporate securities | | | 2,081 | | | | (147 | ) | | | 62,738 | | | | (3,460 | ) | | | 64,819 | | | | (3,607 | ) | | Residential mortgage-backed securities | | | 3,273 | | | | (15 | ) | | | 33,503 | | | | (4,987 | ) | | | 36,776 | | | | (5,002 | ) | | Commercial mortgage-backed securities | | | — | | | | — | | | | 19,754 | | | | (2,030 | ) | | | 19,754 | | | | (2,030 | ) | | Asset-backed securities | | | 1,433 | | | | (108 | ) | | | 5,832 | | | | (202 | ) | | | 7,265 | | | | (310 | ) | | Redeemable preferred stocks | | | — | | | | — | | | | 3,186 | | | | (550 | ) | | | 3,186 | | | | (550 | ) | | Total fixed income securities | | $ | 10,760 | | | $ | (368 | ) | | $ | 163,875 | | | $ | (15,852 | ) | | $ | 174,635 | | | $ | (16,220 | ) | We, along with our investment advisor, frequently review our investment portfolio for declines in fair value that could be indicative of credit losses, which are recognized through an allowance account. We consider a number of factors when determining if an allowance for credit losses is necessary, including payment and default history, credit spreads, credit ratings and rating actions, and probability of default. We determine the credit loss component of fixed income investments by utilizing discounted cash flow modeling to determine the present value of the security and comparing the present value with the amortized cost of the security. We have not recognized any credit losses for fixed income securities and have concluded that an allowance is not required. There was no beginning balance, activity, or ending balance of credit losses as of and during the three and six months ended June 30, 2026 and 2025. Net investment income consisted of the following: | | | Three Months Ended June 30, | | | Six Months Ended June 30, | | | | | 2026 | | | 2025 | | | 2026 | | | 2025 | | | Fixed income securities | | $ | 3,081 | | | $ | 3,193 | | | $ | 6,018 | | | $ | 6,321 | | | Equity securities | | | 210 | | | | 247 | | | | 441 | | | | 455 | | | Real estate | | | 65 | | | | 65 | | | | 131 | | | | 131 | | | Cash and cash equivalents | | | 222 | | | | 379 | | | | 475 | | | | 748 | | | Total gross investment income | | | 3,578 | | | | 3,884 | | | | 7,065 | | | | 7,655 | | | Investment expenses | | | 768 | | | | 738 | | | | 1,600 | | | | 1,671 | | | Net investment income | | $ | 2,810 | | | $ | 3,146 | | | $ | 5,465 | | | $ | 5,984 | | Net investment gains (losses) consisted of the following: | | | Three Months Ended June 30, | | | Six Months Ended June 30, | | | | | 2026 | | | 2025 | | | 2026 | | | 2025 | | | Gross realized gains: | | | | | | | | | | | | | | | | | | Fixed income securities | | $ | 45 | | | $ | 6 | | | $ | 75 | | | $ | 6 | | | Equity securities | | | 1,660 | | | | 240 | | | | 2,049 | | | | 743 | | | Total gross realized gains | | | 1,705 | | | | 246 | | | | 2,124 | | | | 749 | | | | | | | | | | | | | | | | | | | | | Gross realized losses, excluding credit impairment losses: | | | | | | | | | | | | | | | | | | Fixed income securities | | | (38 | ) | | | (139 | ) | | | (60 | ) | | | (139 | ) | | Equity securities | | | (137 | ) | | | — | | | | (393 | ) | | | (177 | ) | | Total gross realized losses, excluding credit impairment losses | | | (175 | ) | | | (139 | ) | | | (453 | ) | | | (316 | ) | | | | | | | | | | | | | | | | | | | | Net realized gains (losses) | | | 1,530 | | | | 107 | | | | 1,671 | | | | 433 | | | | | | | | | | | | | | | | | | | | | Change in net unrealized gains on equity securities | | | 533 | | | | (517 | ) | | | 2,096 | | | | 26 | | | Net investment gains (losses) | | $ | 2,063 | | | $ | (410 | ) | | $ | 3,767 | | | $ | 459 | | Non-cash investment transactions were $446 and $499 for the six months ended June 30, 2026 and 2025, respectively.
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