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ASSURANT, INC.2011 Form10-K F-19
4 Investments
e investment category and duration of the Company’s gross unrealized losses on  xed maturity securities and equity securities at December31,
2011 and 2010 were as follows:
December31, 2011
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 $ 8,852 $ (26) $ — $ — $ 8,852 $ (26)
States, municipalities and political
subdivisions — — 5,503 (301) 5,503 (301)
Foreign governments 31,125 (150) 9,443 (1,218) 40,568 (1,368)
Asset-backed 2,624 (320) — — 2,624 (320)
Residential mortgage-backed 43,141 (513) 2,368 (120) 45,509 (633)
Corporate 718,815 (32,899) 176,279 (25,858) 895,094 (58,757)
TOTAL FIXED MATURITY
SECURITIES $ 804,557 $ 33,908 $ 193,593 $ 27,497 $ 998,150 $ 61,405
Equity securities:
Common stocks $ 1,174 $ (54) $ — $ — $ 1,174 $ (54)
Non-redeemable preferred stocks 51,577 (4,499) 85,704 (20,641) 137,281 (25,140)
TOTAL EQUITY SECURITIES $ 52,751 $ 4,553 $ 85,704 $ 20,641 $ 138,455 $ 25,194
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
Total gross unrealized losses represent less than 8% and 5% of the
aggregate fair value of the related securities at December31, 2011
and 2010, respectively. Approximately 44% and 43% of these gross
unrealized losses have been in a continuous loss position for less than
twelve months at December31, 2011 and 2010, respectively.  e
total gross unrealized losses are comprised of 389 and 457 individual
securities at December31, 2011 and 2010, 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, 2011 and 2010.  ese conclusions were
based on a detailed analysis of the underlying credit and expected cash
ows of each security. As of December31, 2011, 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
nancial industry of the Company’s corporate  xed maturity securities.
For these concentrations, gross unrealized losses of twelve months or
more were $41,486, or 86%, of the total.  e non-redeemable preferred
stocks are perpetual preferred securities that have characteristics of both
debt and equity securities. To evaluate these securities, we apply an
impairment model similar to that used for our  xed maturity securities.
As of December31, 2011, the Company did not intend to sell these
securities and it was not more likely than not that the Company would
be required to sell them and no underlying cash  ow issues were noted.
erefore, we did not recognize an OTTI on those perpetual preferred
securities that had been in a continuous unrealized loss position for
twelve months or more. As of December31, 2011, 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.  e gross unrealized
losses are primarily attributable to widening credit spreads associated
with an underlying shift in overall credit risk premium.