Progressive 2013 Annual Report Download - page 24

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The following tables provide a summary of changes in fair value associated with Level 3 assets for the years ended
December 31, 2013 and 2012:
Level 3 Fair Value
(millions)
Fair Value
at Dec. 31,
2012
Calls/
Maturities/
Paydowns Purchases Sales
Net Realized
(Gain)/Loss
on Sales
Change in
Valuation
Net
Transfers
In (Out)1
Fair Value
at Dec. 31,
2013
Fixed maturities:
Asset-backed securities:
Residential mortgage-backed $ 45.5 $(28.6) $125.1 $ 0 $ 0 $ (.4) $(141.4) $ .2
Commercial mortgage-backed 25.3 (3.4) 0 0 0 7.1 0 29.0
Other asset-backed 0 0 0 0 0 0 0 0
Total fixed maturities 70.8 (32.0) 125.1 0 0 6.7 (141.4) 29.2
Equity securities:
Nonredeemable preferred stocks:
Financials231.9 0 0 0 0 7.1 0 39.0
Common equities:
Other risk investments 12.0 (.5) .3 (2.4) (36.0) 27.1 0 .5
Total Level 3 securities $114.7 $(32.5) $125.4 $(2.4) $(36.0) $40.9 $(141.4) $68.7
1The $141.4 million was transferred out of Level 3 and into Level 2 due to an increase in liquidity and trading volume in the market.
2The $7.1 million represents net holding period gains on a hybrid security which is reflected in net realized gains (losses) on securities in the
comprehensive income statement.
Level 3 Fair Value
(millions)
Fair Value
at Dec. 31,
2011
Calls/
Maturities/
Paydowns Purchases Sales
Net Realized
(Gain)/Loss
on Sales
Change in
Valuation
Net
Transfers
In (Out)
Fair Value
at Dec. 31,
2012
Fixed maturities:
Asset-backed securities:
Residential mortgage-backed $62.3 $(17.3) $ 0 $0 $0 $ .5 $0 $ 45.5
Commercial mortgage-backed 21.3 (3.7) 0 0 0 7.7 0 25.3
Other asset-backed 2.6 (2.6) 0 0 0 0 0 0
Total fixed maturities 86.2 (23.6) 0 0 0 8.2 0 70.8
Equity securities:
Nonredeemable preferred stocks:
Financials10 0 28.5 0 0 3.4 0 31.9
Common equities:
Other risk investments 11.5 (.2) 0 0 0 .7 0 12.0
Total Level 3 securities $97.7 $(23.8) $28.5 $0 $0 $12.3 $0 $114.7
1The $3.4 million represents net holding period gains on a hybrid security which is reflected in net realized gains (losses) on securities in the
comprehensive income statement.
App.-A-24