Disclosures About Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2024

Disclosures About Fair Value of Financial Instruments [Abstract]

Financial Instruments Carried at Fair Value Measured on a Recurring Basis

As of December 31, 2024, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	—	$	212,612	$	—	$	212,612
Equity securities		7,711		—		189		7,900
Cash equivalents		14,948		—		—		14,948
Total	$	22,659	$	212,612	$	189	$	235,460

As of December 31, 2023, financial instruments carried at fair value were measured on a recurring basis as summarized below:

Assets:	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Fixed maturities	$	—	$	218,219	$	—	$	218,219
Equity securities		9,228		—		185		9,413
Cash equivalents		14,834		—		—		14,834
Total	$	24,062	$	218,219	$	185	$	242,466

Carrying Amount, Estimated Fair Value and Level within the Fair Value Hierarchy of Financial Instruments

The following table sets forth the carrying amount, estimated fair value and level within the fair value hierarchy of the Company’s financial instruments as of December 31, 2024 and 2023.

	Level in	2024				2023
	Fair Value Hierarchy⁽¹⁾	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Assets:
Cash and cash equivalents	Level 1	$	35,570	$	35,570	$	28,301	$	28,301
Fixed maturities	Level 2		212,612		212,612		218,219		218,219
Equity securities	(1)		7,900		7,900		9,413		9,413
Policy loans	Level 3		1,722		1,722		1,778		1,778

Liabilities:
Junior subordinated debentures, net	Level 2		33,738		35,443		33,738		33,670
Revolving credit facility	Level 2		4,023		4,023		3,019		3,019

(1)	See the aforementioned information for a description of the fair value hierarchy as well as a disclosure of levels for classes of these financial assets.

ATLANTIC AMERICAN CORP 10-K