Assurant 2010 Annual Report Download - page 89

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F-19ASSURANT, INC.2010 Form 10K
5 Investments
e investment category and duration of the Company’s gross unrealized losses on fi xed maturity securities and equity securities at December 31, 2010
and 2009 were as follows:
December 31, 2010
Less than 12 months 12 months or More Total
Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses
Fixed maturity securities:
United States Government and
government agencies and authorities $ 105,597 $ (1,198) $ — $ — $ 105,597 $ (1,198)
States, municipalities and political
subdivisions 136,578 (3,520) 10,743 (1,137) 147,321 (4,657)
Foreign governments 97,725 (538) 9,902 (880) 107,627 (1,418)
Asset-backed 2,865 (84) — — 2,865 (84)
Commercial mortgage-backed 4,754 (11) — — 4,754 (11)
Residential mortgage-backed 168,942 (4,907) 1,982 (91) 170,924 (4,998)
Corporate 753,340 (21,674) 310,107 (26,891) 1,063,447 (48,565)
TOTAL FIXED MATURITY
SECURITIES $ 1,269,801 $ 31,932 $ 332,734 $ 28,999 $ 1,602,535 $ 60,931
Equity securities:
Common stocks $ 479 $ (8) $ — $ — $ 479 $ (8)
Non-redeemable preferred stocks 46,336 (2,791) 146,361 (16,162) 192,697 (18,953)
TOTAL EQUITY SECURITIES $ 46,815 $ 2,799 $ 146,361 $ 16,162 $ 193,176 $ 18,961
December 31, 2009
Less than 12 months 12 months or More Total
Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses
Fixed maturity securities:
United States Government and
government agencies and authorities $ 9,625 $ (50) $ 777 $ (23) $ 10,402 $ (73)
States, municipalities and political
subdivisions 127,202 (3,974) 17,571 (2,005) 144,773 (5,979)
Foreign governments 77,710 (2,172) 17,445 (2,607) 95,155 (4,779)
Asset-backed 2,859 (43) 9,312 (427) 12,171 (470)
Commercial mortgage-backed 34,805 (313) 29,282 (1,149) 64,087 (1,462)
Residential mortgage-backed 116,771 (1,804) 5,634 (790) 122,405 (2,594)
Corporate 764,708 (28,025) 1,078,051 (99,973) 1,842,759 (127,998)
TOTAL FIXED MATURITY
SECURITIES $ 1,133,680 $ 36,381 $ 1,158,072 $ 106,974 $ 2,291,752 $ 143,355
Equity securities:
Common stocks $ 98 $ (2) $ 3,525 $ (1,247) $ 3,623 $ (1,249)
Non-redeemable preferred stocks 15,595 (248) 214,928 (31,807) 230,523 (32,055)
TOTAL EQUITY SECURITIES $ 15,693 $ 250 $ 218,453 $ 33,054 $ 234,146 $ 33,304
Total gross unrealized losses represent less than 5% and 7% of the
aggregate fair value of the related securities at December 31, 2010
and 2009, respectively. Approximately 43% and 21% of these gross
unrealized losses have been in a continuous loss position for less than
twelve months at December 31, 2010 and 2009, respectively.  e
total gross unrealized losses are comprised of 457 and 635 individual
securities at December 31, 2010 and 2009, respectively. In accordance
with its policy described above, the Company concluded that for these
securities an adjustment to its results of operations for other-than-
temporary impairments of the gross unrealized losses was not warranted
at December 31, 2010 and 2009.  ese conclusions were based on a
detailed analysis of the underlying credit and expected cash fl ows of
each security. As of December 31, 2010, the gross unrealized losses that
have been in a continuous loss position for twelve months or more were
concentrated in non-redeemable preferred stocks and in the fi nancial
industry of the Company’s corporate fi xed maturity securities. For these
concentrations, gross unrealized losses of twelve months or more were
$35,714, or 79%, of the total.  e gross unrealized losses are primarily
attributable to widening credit spreads. As of December 31, 2010, the
Company did not intend to sell the securities and it was not more likely
than not that the Company would be required to sell the securities
before the anticipated recovery of their amortized cost basis.