Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 09, 2022 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-09341 | |
Entity Registrant Name | Security National Financial Corporation | |
Entity Central Index Key | 0000318673 | |
Entity Tax Identification Number | 87-0345941 | |
Entity Incorporation, State or Country Code | UT | |
Entity Address, Address Line One | 433 Ascension Way | |
Entity Address, Address Line Two | 6th Floor | |
Entity Address, City or Town | Salt Lake City | |
Entity Address, State or Province | UT | |
Entity Address, Postal Zip Code | 84123 | |
City Area Code | (801) | |
Local Phone Number | 264-1060 | |
Title of 12(b) Security | Class A Common Stock | |
Trading Symbol | SNFCA | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Common Class A [Member] | ||
Entity Common Stock, Shares Outstanding | 18,717,540 | |
Common Class C [Member] | ||
Entity Common Stock, Shares Outstanding | 2,889,859 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Investments: | ||
Fixed maturity securities, available for sale, at estimated fair value (amortized cost of $276,404,869 and $236,303,310 for 2022 and 2021) | $ 270,676,282 | $ 259,287,603 |
Equity securities at estimated fair value (cost of $9,730,028 and $8,275,772 for 2022 and 2021) | 11,198,403 | 11,596,414 |
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 274,691,626 | 277,306,046 |
Real estate held for investment (net of accumulated depreciation of $20,686,607 and $17,692,038 for 2022 and 2021) | 196,555,705 | 197,365,797 |
Real estate held for sale | 2,741,660 | 3,731,300 |
Other investments and policy loans (net of allowances for doubtful accounts of $1,800,076 and $1,686,218 for 2022 and 2021) | 66,410,188 | 67,955,155 |
Accrued investment income | 8,240,805 | 6,313,012 |
Total investments | 830,514,669 | 823,555,327 |
Cash and cash equivalents | 131,296,538 | 131,354,470 |
Loans held for sale at estimated fair value | 209,860,409 | 302,776,827 |
Receivables (net of allowances for doubtful accounts of $1,742,118 and $1,800,725 for 2022 and 2021) | 19,966,704 | 18,316,116 |
Restricted assets (including $5,592,898 and $5,205,510 for 2022 and 2021 at estimated fair value) | 17,531,716 | 16,938,122 |
Cemetery perpetual care trust investments (including $3,095,338 and $4,087,245 for 2022 and 2021 at estimated fair value) | 7,533,312 | 7,835,721 |
Receivable from reinsurers | 14,767,274 | 14,850,608 |
Cemetery land and improvements | 9,036,805 | 8,977,877 |
Deferred policy and pre-need contract acquisition costs | 107,247,714 | 105,049,983 |
Mortgage servicing rights, net | 56,289,255 | 53,060,455 |
Property and equipment, net | 20,943,549 | 21,517,598 |
Value of business acquired | 10,418,912 | 8,421,432 |
Goodwill | 5,253,783 | 5,253,783 |
Other | 31,507,175 | 29,684,987 |
Total Assets | 1,472,167,815 | 1,547,593,306 |
Liabilities | ||
Future policy benefits and unpaid claims | 875,727,865 | 863,274,693 |
Unearned premium reserve | 2,944,116 | 3,060,738 |
Bank and other loans payable | 200,344,907 | 251,286,927 |
Deferred pre-need cemetery and mortuary contract revenues | 15,519,297 | 14,508,022 |
Cemetery perpetual care obligation | 5,016,085 | 4,915,285 |
Accounts payable | 5,915,042 | 10,166,573 |
Other liabilities and accrued expenses | 59,206,675 | 69,578,138 |
Income taxes | 27,008,773 | 31,036,096 |
Total liabilities | 1,191,682,760 | 1,247,826,472 |
Stockholders’ Equity | ||
Preferred Stock - non-voting - $1.00 par value; 5,000,000 shares authorized; none issued or outstanding | ||
Additional paid-in capital | 64,657,027 | 57,985,947 |
Accumulated other comprehensive income (loss), net of taxes | (4,430,367) | 18,070,448 |
Retained earnings | 183,273,171 | 184,537,489 |
Treasury stock at cost - 746,778 Class A shares and 34,016 Class C shares in 2022; and 108,079 Class A shares and 109,193 Class C shares in 2021 | (6,229,574) | (1,845,624) |
Total stockholders’ equity | 280,485,055 | 299,766,834 |
Total Liabilities and Stockholders’ Equity | 1,472,167,815 | 1,547,593,306 |
Common Class A [Member] | ||
Stockholders’ Equity | ||
Common Stock, Value | 37,357,376 | 35,285,444 |
Common Class B [Member] | ||
Stockholders’ Equity | ||
Common Stock, Value | ||
Common Class C [Member] | ||
Stockholders’ Equity | ||
Common Stock, Value | $ 5,857,422 | $ 5,733,130 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Amortized cost | $ 276,404,869 | $ 236,303,310 |
Equity securities cost | 9,730,028 | 8,275,772 |
Allowance for loan and lease losses, real estate | 1,476,895 | 1,699,902 |
Real estate investment property, accumulated depreciation | 20,686,607 | 17,692,038 |
Allowance for doubtful accounts, premiums and other receivables | 1,800,076 | 1,686,218 |
Accounts receivable, allowance for credit loss | 1,742,118 | 1,800,725 |
Aggregate fair value, restricted assets | 5,592,898 | 5,205,510 |
Aggregate fair value, Cemetery perpetual care trust investments | $ 3,095,338 | $ 4,087,245 |
Preferred stock, par value | $ 1 | $ 1 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value | $ 2 | $ 2 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 18,678,688 | 17,642,722 |
Common stock, shares outstanding | 18,678,688 | 17,642,722 |
Treasury stock, shares | 746,778 | 108,079 |
Common Class B [Member] | ||
Common stock, par value | $ 1 | $ 1 |
Common stock, shares authorized | 5,000,000 | 5,000,000 |
Common stock, shares issued | 0 | 0 |
Common stock, shares outstanding | 0 | 0 |
Common Class C [Member] | ||
Common stock, par value | $ 2 | $ 2 |
Common stock, shares authorized | 6,000,000 | 6,000,000 |
Common stock, shares issued | 2,928,711 | 2,866,565 |
Common stock, shares outstanding | 2,928,711 | 2,866,565 |
Treasury stock, shares | 34,016 | 109,193 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Earnings (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | ||
Revenues: | |||||
Mortgage fee income | $ 42,030,898 | $ 65,157,813 | $ 90,375,343 | $ 138,156,425 | |
Insurance premiums and other considerations | 25,911,995 | 24,959,028 | 52,253,947 | 48,309,238 | |
Net investment income | 15,971,288 | 14,177,318 | 31,165,594 | 28,471,205 | |
Net mortuary and cemetery sales | 7,250,503 | 6,318,398 | 14,456,224 | 12,260,524 | |
Gains (losses) on investments and other assets | (914,395) | 1,477,204 | (742,420) | 3,437,317 | |
Other | 5,316,365 | 4,660,554 | 10,483,873 | 8,774,212 | |
Total revenues | 95,566,654 | 116,750,315 | 197,992,561 | 239,408,921 | |
Benefits and expenses: | |||||
Death benefits | 14,839,044 | 14,844,067 | 31,723,750 | 33,156,073 | |
Surrenders and other policy benefits | 1,153,767 | 670,957 | 2,476,935 | 1,748,601 | |
Increase in future policy benefits | 6,600,443 | 7,400,716 | 13,371,544 | 11,655,374 | |
Amortization of deferred policy and pre-need acquisition costs and value of business acquired | 4,053,109 | 3,654,061 | 8,449,522 | 7,230,926 | |
Selling, general and administrative expenses: | |||||
Commissions | 18,397,337 | 29,893,565 | 38,299,539 | 62,623,245 | |
Personnel | 25,504,950 | 24,328,690 | 52,379,714 | 48,700,195 | |
Advertising | 1,595,738 | 1,597,067 | 3,307,533 | 3,398,065 | |
Rent and rent related | 1,702,262 | 1,874,348 | 3,361,532 | 3,740,246 | |
Depreciation on property and equipment | 628,305 | 473,478 | 1,243,849 | 975,123 | |
Costs related to funding mortgage loans | 2,044,637 | 2,739,500 | 4,884,100 | 5,676,725 | |
Other | 11,174,128 | 12,029,714 | 23,265,764 | 23,979,578 | |
Interest expense | 1,900,249 | 1,694,012 | 3,627,564 | 3,519,611 | |
Cost of goods and services sold-mortuaries and cemeteries | 1,242,839 | 872,788 | 2,427,853 | 1,972,752 | |
Total benefits and expenses | 90,836,808 | 102,072,963 | 188,819,199 | 208,376,514 | |
Earnings before income taxes | 4,729,846 | 14,677,352 | 9,173,362 | 31,032,407 | |
Income tax expense | (1,155,397) | (3,419,873) | (2,370,195) | (7,646,213) | |
Net earnings | $ 3,574,449 | $ 11,257,479 | $ 6,803,167 | $ 23,386,194 | |
Net earnings per Class A Equivalent common share | [1] | $ 0.17 | $ 0.53 | $ 0.32 | $ 1.11 |
Net earnings per Class A Equivalent common share- assuming dilution | [1] | $ 0.16 | $ 0.51 | $ 0.31 | $ 1.07 |
Weighted-average Class A equivalent common shares outstanding | [1] | 21,184,688 | 21,098,789 | 21,282,747 | 21,085,669 |
Weighted-average Class A equivalent common shares outstanding-assuming dilution | [1] | 22,017,830 | 21,922,847 | 22,133,879 | 21,953,019 |
[1]Net earnings per share amounts have been adjusted retroactively for the effect of annual stock dividends. The weighted-average shares outstanding includes the weighted-average Class A common shares and the weighted-average Class C common shares determined on an equivalent Class A common stock basis. Net earnings per common share represent net earnings per equivalent Class A common share. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Net earnings | $ 3,574,449 | $ 11,257,479 | $ 6,803,167 | $ 23,386,194 |
Other comprehensive income: | ||||
Unrealized gains (losses) on fixed maturity securities available for sale | (12,995,132) | 4,734,692 | (28,322,034) | (2,071,211) |
Unrealized gains (losses) on restricted assets | (43,169) | 2,698 | (115,118) | (7,731) |
Unrealized gains (losses) on cemetery perpetual care trust investments | (15,868) | 1,939 | (53,225) | (6,258) |
Foreign currency translation adjustments | 2,835 | |||
Other comprehensive gain (loss), before income tax | (13,054,169) | 4,739,329 | (28,490,377) | (2,082,365) |
Income tax benefit (expense) | 2,743,684 | (995,442) | 5,989,562 | 437,730 |
Other comprehensive gain (loss), net of income tax | (10,310,485) | 3,743,887 | (22,500,815) | (1,644,635) |
Comprehensive income (loss) | $ (6,736,036) | $ 15,001,366 | $ (15,697,648) | $ 21,741,559 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) | Common Stock [Member] Common Class A [Member] | Common Stock [Member] Common Class C [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Total |
Beginning, Balance at Dec. 31, 2020 | $ 33,191,566 | $ 5,359,206 | $ 50,287,253 | $ 23,243,133 | $ 153,739,167 | $ (1,833,272) | $ 263,987,053 |
Net earnings | 12,128,715 | 12,128,715 | |||||
Other comprehensive income | (5,388,522) | (5,388,522) | |||||
Stock-based compensation expense | 39,153 | 39,153 | |||||
Exercise of stock options | 55,852 | 33,401 | 89,253 | ||||
Sale of treasury stock | 290,381 | 1,632,041 | 1,922,422 | ||||
Purchase of treasury stock | (910,233) | (910,233) | |||||
Conversion Class C to Class A | 97,054 | (97,054) | |||||
Ending, Balance at Mar. 31, 2021 | 33,344,472 | 5,262,152 | 50,650,188 | 17,854,611 | 165,867,882 | (1,111,464) | 271,867,841 |
Beginning, Balance at Dec. 31, 2020 | 33,191,566 | 5,359,206 | 50,287,253 | 23,243,133 | 153,739,167 | (1,833,272) | 263,987,053 |
Net earnings | 23,386,194 | ||||||
Ending, Balance at Jun. 30, 2021 | 35,123,042 | 5,525,260 | 57,394,514 | 21,598,498 | 168,415,007 | (2,207,608) | 285,848,713 |
Beginning, Balance at Mar. 31, 2021 | 33,344,472 | 5,262,152 | 50,650,188 | 17,854,611 | 165,867,882 | (1,111,464) | 271,867,841 |
Net earnings | 11,257,479 | 11,257,479 | |||||
Other comprehensive income | 3,743,887 | 3,743,887 | |||||
Exercise of stock options | 106,044 | 7,655 | 113,699 | ||||
Sale of treasury stock | (38,048) | 1,499,862 | 1,461,814 | ||||
Purchase of treasury stock | (2,596,006) | (2,596,006) | |||||
Stock dividends | 1,672,526 | 263,108 | 6,774,719 | (8,710,354) | (1) | ||
Ending, Balance at Jun. 30, 2021 | 35,123,042 | 5,525,260 | 57,394,514 | 21,598,498 | 168,415,007 | (2,207,608) | 285,848,713 |
Beginning, Balance at Dec. 31, 2021 | 35,285,444 | 5,733,130 | 57,985,947 | 18,070,448 | 184,537,489 | (1,845,624) | 299,766,834 |
Net earnings | 3,228,718 | 3,228,718 | |||||
Other comprehensive income | (12,190,330) | (12,190,330) | |||||
Stock-based compensation expense | 271,747 | 271,747 | |||||
Exercise of stock options | 100,446 | (8,487) | 91,959 | ||||
Sale of treasury stock | 24,055 | 1,880,125 | 1,904,180 | ||||
Purchase of treasury stock | 106,176 | (878,417) | (772,241) | ||||
Conversion Class C to Class A | 414 | (414) | |||||
Ending, Balance at Mar. 31, 2022 | 35,386,304 | 5,732,716 | 58,379,438 | 5,880,118 | 187,766,207 | (843,916) | 292,300,867 |
Beginning, Balance at Dec. 31, 2021 | 35,285,444 | 5,733,130 | 57,985,947 | 18,070,448 | 184,537,489 | (1,845,624) | 299,766,834 |
Net earnings | 6,803,167 | ||||||
Ending, Balance at Jun. 30, 2022 | 37,357,376 | 5,857,422 | 64,657,027 | (4,430,367) | 183,273,171 | (6,229,574) | 280,485,055 |
Beginning, Balance at Mar. 31, 2022 | 35,386,304 | 5,732,716 | 58,379,438 | 5,880,118 | 187,766,207 | (843,916) | 292,300,867 |
Net earnings | 3,574,449 | 3,574,449 | |||||
Other comprehensive income | (10,310,485) | (10,310,485) | |||||
Stock-based compensation expense | 220,175 | 220,175 | |||||
Exercise of stock options | 37,746 | (2,440) | 35,306 | ||||
Sale of treasury stock | 50,401 | 1,119,392 | 1,169,793 | ||||
Purchase of treasury stock | (6,505,050) | (6,505,050) | |||||
Conversion Class C to Class A | 154,218 | (154,218) | |||||
Stock dividends | 1,779,108 | 278,924 | 6,009,453 | (8,067,485) | |||
Ending, Balance at Jun. 30, 2022 | $ 37,357,376 | $ 5,857,422 | $ 64,657,027 | $ (4,430,367) | $ 183,273,171 | $ (6,229,574) | $ 280,485,055 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities: | ||
Net cash provided by operating activities | $ 97,638,887 | $ 124,476,144 |
Cash flows from investing activities: | ||
Purchases of fixed maturity securities | (49,382,284) | (2,758,463) |
Sales, calls and maturities of fixed maturity securities | 9,286,436 | 34,388,575 |
Purchases of equity securities | (3,166,256) | (635,843) |
Sales of equity securities | 1,918,057 | 2,885,620 |
Net changes in restricted assets | (635,844) | 514,085 |
Net changes in perpetual care trusts | 330,999 | 140,092 |
Mortgage loans held for investment, other investments and policy loans made | (382,449,025) | (399,597,382) |
Payments received for mortgage loans held for investment, other investments and policy loans | 386,898,902 | 398,670,420 |
Purchases of property and equipment | (706,058) | (3,342,889) |
Sale of property and equipment | 64,579 | |
Purchases of real estate | (11,853,775) | (49,123,963) |
Sales of real estate | 13,549,696 | 10,022,114 |
Net cash used in investing activities | (36,144,573) | (8,837,634) |
Cash flows from financing activities: | ||
Investment contract receipts | 5,770,353 | 5,865,484 |
Investment contract withdrawals | (8,160,796) | (7,699,546) |
Proceeds from stock options exercised | 127,265 | 202,952 |
Purchases of treasury stock | (7,277,291) | (3,506,239) |
Repayment of bank loans | (45,217,295) | (53,878,750) |
Proceeds from bank loans | 59,618,052 | 72,702,425 |
Net change in warehouse line borrowings for loans held for sale | (65,362,776) | (84,737,685) |
Net cash used in financing activities | (60,502,488) | (71,051,359) |
Net change in cash, cash equivalents, restricted cash and restricted cash equivalents | 991,826 | 44,587,151 |
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of period | 141,414,282 | 115,465,086 |
Cash, cash equivalents, restricted cash and restricted cash equivalents at end of period | 142,406,108 | 160,052,237 |
Cash paid during the year for: | ||
Interest | 3,568,862 | 3,759,561 |
Income taxes | 407,958 | 2,573,137 |
Non Cash Operating, Investing and Financing Activities: | ||
Benefit plans funded with treasury stock | 3,073,973 | 3,384,236 |
Accrued real estate construction costs and retainage | 1,782,556 | 5,776,672 |
Right-of-use assets obtained in exchange for operating lease liabilities | 732,005 | 1,974,832 |
Mortgage loans held for investment foreclosed into real estate held for investment | 730,116 | |
Transfer of loans held for sale to mortgage loans held for investment | 201,951 | |
Cash and cash equivalents | 131,296,538 | 149,209,290 |
Restricted assets | 9,654,673 | 10,194,202 |
Cemetery perpetual care trust investments | $ 1,454,897 | $ 648,745 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | 1) Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Articles 8 and 10 of Regulation S-X. Accordingly, they do not include all of the information and disclosures required by accounting principles generally accepted in the United States of America for complete financial statements. These financial statements should be read in conjunction with the consolidated financial statements of the Company and notes thereto for the year ended December 31, 2021, included in the Company’s Annual Report on Form 10-K (File Number 000-09341). In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six months ended June 30, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to adopt policies and make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. In applying these policies and estimates, the Company makes judgments that frequently require assumptions about matters that are inherently uncertain. Accordingly, significant estimates used in the preparation of the Company’s financial statements may be subject to significant adjustments in future periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes in the near term are those used in determining the value of derivative assets and liabilities; those used in determining deferred acquisition costs and the value of business acquired; those used in determining the value of mortgage loans foreclosed to real estate held for investment; those used in determining the liability for future policy benefits and unearned revenue; those used in determining the estimated future costs for pre-need sales; those used in determining the value of mortgage servicing rights; those used in determining allowances for loan losses for mortgage loans held for investment; those used in determining loan loss reserve; and those used in determining deferred tax assets and liabilities. Although some variability is inherent in these estimates, management believes the amounts provided are fairly stated in all material respects. COVID-19 Like most businesses, COVID-19 has impacted the Company, including the temporary adoption of work from home arrangements and a restructuring of selling techniques for its products and services. The Company also experienced increased expenses for cleaning services of its offices. Throughout 2021 and 2022, the Company continued to adapt to the impact of COVID-19 and its related economic effects. The Company cannot, with any certainty predict the severity or duration with which COVID-19 will impact the Company’s business, financial condition, results of operations, and cash flows. To the extent the COVID-19 pandemic adversely affects the Company’s business, financial condition, results of operations and cash flows, it may also have the effect of heightening many other risks to the Company. These uncertainties have the potential to negatively affect the risk of credit default for the issuers of the Company’s fixed maturity debt securities and individual borrowers with mortgage loans held by the Company. The Company has implemented risk management, business continuity plans and has taken preventive measures and other precautions, including some remote work arrangements. Such measures and precautions have enabled the Company to continue to conduct business. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | 2) Recent Accounting Pronouncements Accounting Standards Issued But Not Yet Adopted ASU No. 2016-13: “Financial Instruments – Credit Losses (Topic 326)” ASU No. 2018-12: “Financial Services – Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts” The Company has reviewed other recent accounting pronouncements and has determined that they will not significantly impact the Company’s results of operations or financial position. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Investments
Investments | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | 3) Investments The Company’s investments as of June 30, 2022 are summarized as follows: Schedule of Investments Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value June 30, 2022: Fixed maturity securities, available for sale, at estimated fair value: U.S. Treasury securities and obligations of U.S. Government agencies $ 51,273,582 $ 61,437 $ (1,160,899 ) $ 50,174,120 Obligations of states and political subdivisions 6,051,648 69,721 (163,527 ) 5,957,842 Corporate securities including public utilities 187,219,967 3,656,829 (6,622,423 ) 184,254,373 Mortgage-backed securities 31,598,530 191,301 (1,772,065 ) 30,017,766 Redeemable preferred stock 261,142 11,039 - 272,181 Total fixed maturity securities available for sale $ 276,404,869 $ 3,990,327 $ (9,718,914 ) $ 270,676,282 Equity securities at estimated fair value: Common stock: Industrial, miscellaneous and all other $ 9,730,028 $ 2,309,512 $ (841,137 ) $ 11,198,403 Total equity securities at estimated fair value $ 9,730,028 $ 2,309,512 $ (841,137 ) $ 11,198,403 Mortgage loans held for investment at amortized cost: Residential $ 40,355,630 Residential construction 203,130,224 Commercial 34,050,215 Less: Unamortized deferred loan fees, net (1,015,336 ) Less: Allowance for loan losses (1,476,895 ) Less: Net discounts (352,212 ) Total mortgage loans held for investment $ 274,691,626 Real estate held for investment - net of accumulated depreciation: Residential $ 38,486,971 Commercial 158,068,734 Total real estate held for investment $ 196,555,705 Real estate held for sale: Residential $ 200,962 Commercial 2,540,698 Total real estate held for sale $ 2,741,660 Other investments and policy loans at amortized cost: Policy loans $ 13,130,188 Insurance assignments 43,314,500 Federal Home Loan Bank stock (1) 2,588,400 Other investments 9,177,176 Less: Allowance for doubtful accounts (1,800,076 ) Total policy loans and other investments $ 66,410,188 Accrued investment income $ 8,240,805 Total investments $ 830,514,669 (1) Includes $ 937,600 1,650,800 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments The Company’s investments as of December 31, 2021 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value December 31, 2021: Fixed maturity securities, available for sale, at estimated fair value: U.S. Treasury securities and obligations of U.S. Government agencies $ 22,307,736 $ 578,567 $ - $ 22,886,303 Obligations of states and political subdivisions 4,649,917 212,803 (1,989 ) 4,860,731 Corporate securities including public utilities 174,711,061 21,791,370 (353,668 ) 196,148,763 Mortgage-backed securities 34,365,382 905,159 (161,332 ) 35,109,209 Redeemable preferred stock 269,214 13,383 - 282,597 Total fixed maturity securities available for sale $ 236,303,310 $ 23,501,282 $ (516,989 ) $ 259,287,603 Equity securities at estimated fair value: Common stock: Industrial, miscellaneous and all other $ 8,275,772 $ 3,626,444 $ (305,802 ) $ 11,596,414 Total equity securities at estimated fair value $ 8,275,772 $ 3,626,444 $ (305,802 ) $ 11,596,414 Mortgage loans held for investment at amortized cost: Residential $ 53,533,712 Residential construction 175,117,783 Commercial 51,683,022 Less: Unamortized deferred loan fees, net (918,586 ) Less: Allowance for loan losses (1,699,902 ) Less: Net discounts (409,983 ) Total mortgage loans held for investment $ 277,306,046 Real estate held for investment - net of accumulated depreciation: Residential $ 41,972,462 Commercial 155,393,335 Total real estate held for investment $ 197,365,797 Real estate held for sale: Residential $ 1,190,602 Commercial 2,540,698 Total real estate held for sale $ 3,731,300 Other investments and policy loans at amortized cost: Policy loans $ 13,478,214 Insurance assignments 48,632,808 Federal Home Loan Bank stock (1) 2,547,100 Other investments 4,983,251 Less: Allowance for doubtful accounts (1,686,218 ) Total policy loans and other investments $ 67,955,155 Accrued investment income $ 6,313,012 Total investments $ 823,555,327 (1) Includes $ 905,700 1,641,400 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Fixed Maturity Securities The following table summarizes unrealized losses on fixed maturity securities available for sale that were carried at estimated fair value at June 30, 2022 and at December 31, 2021. The unrealized losses were primarily related to interest rate fluctuations and uncertainties relating to COVID-19. The tables set forth unrealized losses by duration with the fair value of the related fixed maturity securities: Schedule of Fair Value of Fixed Maturity Securities Unrealized Losses for Less than Twelve Months Fair Value Unrealized Losses for More than Twelve Months Fair Value Combined Unrealized Loss Combined Fair Value At June 30, 2022 U.S. Treasury Securities And Obligations of U.S. Government Agencies $ 1,160,899 $ 48,902,750 $ - $ - $ 1,160,899 $ 48,902,750 Obligations of States and Political Subdivisions 163,527 3,492,894 - - 163,527 3,492,894 Corporate Securities 5,750,763 109,748,965 871,660 3,502,210 6,622,423 113,251,175 Mortgage and other asset-backed securities 1,533,826 23,709,933 238,239 1,576,104 1,772,065 25,286,037 Totals $ 8,609,015 $ 185,854,542 $ 1,109,899 $ 5,078,314 $ 9,718,914 $ 190,932,856 At December 31, 2021 Obligations of States and Political Subdivisions $ 1,989 $ 548,715 $ - $ - $ 1,989 $ 548,715 Corporate Securities 73,507 4,638,750 280,161 3,771,813 353,668 8,410,563 Mortgage and other asset-backed securities 72,952 7,934,760 88,380 1,582,804 161,332 9,517,564 Totals $ 148,448 $ 13,122,225 $ 368,541 $ 5,354,617 $ 516,989 $ 18,476,842 There were 508 securities with fair value of 95.2% 97.3% No On a quarterly basis, the Company evaluates its fixed maturity securities classified as available for sale. This evaluation includes a review of current ratings by the National Association of Insurance Commissions (“NAIC”). Securities with a rating of 1 or 2 are considered investment grade and are not reviewed for impairment, unless current market or recent company news could lead to a credit downgrade. Securities with ratings of 3 to 5 are evaluated for impairment. Securities with a rating of 6 are automatically determined to be impaired and are written down. The evaluation involves an analysis of the securities in relation to historical values, interest payment history, projected earnings and revenue growth rates as well as a review of the reason for a downgrade in the NAIC rating. Based on the analysis of a security that is rated 3 to 5, a determination is made whether the security will likely make interest and principal payments in accordance with the terms of the financial instrument. If it is unlikely that the security will meet contractual obligations, the loss is considered to be other than temporary, the security is written down to the new anticipated market value and an impairment loss is recognized. The fair values of fixed maturity securities are based on quoted market prices, when available. For fixed maturity securities not actively traded, fair values are estimated using values obtained from independent pricing services, or in the case of private placements, are estimated by discounting expected future cash flows using a current market value applicable to the coupon rate, credit and maturity of the investments. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments The following table presents a rollforward of the Company’s cumulative other than temporary credit impairments (“OTTI”) recognized in earnings on fixed maturity securities available for sale. Schedule of Earnings on Fixed Maturity Securities 2022 2021 Balance of credit-related OTTI at January 1 $ 264,977 $ 370,975 Additions for credit impairments recognized on: Securities not previously impaired - - Securities previously impaired - - Reductions for credit impairments previously recognized on: Securities that matured or were sold during the period (realized) (39,502 ) - Securities due to an increase in expected cash flows - - Balance of credit-related OTTI at June 30 $ 225,475 $ 370,975 The following table presents the amortized cost and estimated fair value of fixed maturity securities available for sale at June 30, 2022, by contractual maturity. Expected maturities may differ from contractual maturities because certain borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Schedule of Investments Classified by Contractual Maturity Date Amortized Estimated Fair Due in 1 year $ 12,212,759 $ 12,193,769 Due in 2-5 years 96,106,175 94,530,894 Due in 5-10 years 59,527,119 58,074,435 Due in more than 10 years 76,699,144 75,587,237 Mortgage-backed securities 31,598,530 30,017,766 Redeemable preferred stock 261,142 272,181 Total $ 276,404,869 $ 270,676,282 The Company is a member of the Federal Home Loan Bank of Des Moines and Dallas (“FHLB”). The Company had pledged a total of $ 56,103,252 nil 51,524,955 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Investment Related Earnings The following table presents the net realized gains and losses from sales, calls, and maturities, unrealized gains and losses on equity securities, and other than temporary impairments from investments and other assets. Schedule of Gain (Loss) on Investments 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Fixed maturity securities: Gross realized gains $ 129,512 $ 188,266 $ 175,635 $ 273,659 Gross realized losses (9,828 ) (2,119 ) (10,758 ) (14,886 ) Equity securities: Gains on securities sold 81,596 146,011 71,317 252,580 Unrealized gains and (losses) on securities held at the end of the period (2,106,375 ) 490,394 (2,713,422 ) 1,442,424 Other assets: Gross realized gains 994,522 737,443 1,833,030 1,846,801 Gross realized losses (3,822 ) (82,791 ) (98,222 ) (363,261 ) Total $ (914,395 ) $ 1,477,204 $ (742,420 ) $ 3,437,317 The net realized gains and losses on the sale of securities are recorded on the trade date, and the cost of the securities sold is determined using the specific identification method. Information regarding sales of fixed maturity securities available for sale is presented as follows. Schedule of Major Categories of Net Investment Income 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Proceeds from sales $ 233,000 $ 1,163,366 $ 688,651 $ 1,982,931 Gross realized gains - 149,338 2,354 209,132 Gross realized losses (7,825 ) - (7,845 ) - SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Major categories of net investment income were as follows: 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Fixed maturity securities available for sale $ 2,811,650 $ 2,698,011 $ 5,447,866 $ 5,522,122 Equity securities 119,798 106,041 242,834 234,270 Mortgage loans held for investment 9,244,464 6,902,466 17,204,642 12,986,883 Real estate held for investment and sale 4,012,192 3,002,650 7,052,226 6,045,479 Policy loans 207,301 232,135 513,583 464,488 Insurance assignments 4,093,723 4,171,318 9,490,710 9,517,047 Other investments 98,361 39,299 169,006 53,006 Cash and cash equivalents 108,431 34,030 183,732 73,624 Gross investment income 20,695,920 17,185,950 40,304,599 34,896,919 Investment expenses (4,724,632 ) (3,008,632 ) (9,139,005 ) (6,425,714 ) Net investment income $ 15,971,288 $ 14,177,318 $ 31,165,594 $ 28,471,205 Net investment income includes income earned by the restricted assets of the cemeteries and mortuaries of $ 730,534 190,668 1,207,243 351,879 Net investment income on real estate consists primarily of rental revenue. Investment expenses consist primarily of depreciation, property taxes, operating expenses of real estate and an estimated portion of administrative expenses relating to investment activities. Securities on deposit with regulatory authorities as required by law amounted to $ 10,114,458 10,168,853 There were no investments, aggregated by issuer, in excess of 10% of shareholders’ equity (before net unrealized gains and losses on equity securities and fixed maturity securities) at June 30, 2022, other than investments issued or guaranteed by the United States Government. Real Estate Held for Investment and Held for Sale The Company strategically deploys resources into real estate to match the income and yield durations of its primary obligations. The sources for these real estate assets come through its various business units in the form of acquisition, development and mortgage foreclosures. Commercial Real Estate Held for Investment and Held for Sale The Company owns and manages commercial real estate assets as a means of generating investment income. These assets are acquired in accordance with the Company’s goals and objectives for risk-adjusted returns. Due diligence is conducted on each asset using internal and third-party reports. Geographic locations and asset classes of the investment activity is determined by senior management under the direction of the Board of Directors. The Company employs full-time employees to attend to the day-to-day operations of those assets within the greater Salt Lake area and close surrounding markets. The Company utilizes third party property managers when the geographic boundary does not warrant full-time staff or through strategic lease-up periods. The Company generally looks to acquire assets in regions that are high growth regions for employment and population and in assets that provide operational efficiencies. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) The Company currently owns and operates 11 commercial properties in 5 states. These properties include office buildings, flex office space, and includes the redevelopment and expansion of its corporate campus (“Center53”) in Salt Lake City, Utah. The Company uses bank debt in strategic cases to leverage established yields or to acquire a higher quality or different class of asset. The aggregated net ending balance of commercial real estate that serves as collateral for bank loans was $ 134,069,866 134,251,205 100,503,091 85,663,148 During the three and six months ended June 30, 2022 and 2021, the Company did not record any impairment losses on commercial real estate held for investment or held for sale. Impairment losses, if any, are included in gains (losses) on investment and other assets on the condensed consolidated statements of earnings. The Company’s commercial real estate held for investment is summarized as follows: Schedule of Commercial Real Estate Investment Net Ending Balance Total Square Footage June 30 December 31 June 30 December 31 Utah (1) 152,758,740 150,105,948 625,920 625,920 Louisiana 2,403,729 2,426,612 31,778 31,778 Mississippi 2,906,265 2,860,775 19,694 19,694 $ 158,068,734 $ 155,393,335 677,392 677,392 (1) Includes Center53 phase 1 and phase 2 The Company’s commercial real estate held for sale is summarized as follows: Net Ending Balance Total Square Footage June 30 December 31 June 30 2022 December 31 Kansas 2,000,000 2,000,000 222,679 222,679 California 389,145 389,145 2,872 2,872 Mississippi (1) 151,553 151,553 - - $ 2,540,698 $ 2,540,698 225,551 225,551 (1) Approximately 93 acres of undeveloped land These properties are all actively being marketed with the assistance of commercial real estate brokers in the markets where the properties are located. The Company expects these properties to sell within the coming 12 months. Residential Real Estate Held for Investment and Held for Sale The Company owns a small portfolio of residential homes primarily as a result of loan foreclosures. The Company has the option to sell them or to continue to hold them for cash flow and acceptable returns. The Company also invests in residential subdivision land developments. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) The Company established Security National Real Estate Services (“SNRE”) to manage the residential portfolio. SNRE cultivates and maintains the preferred vendor relationships necessary to manage costs and quality of work performed on the portfolio of homes across the country. The net ending balance of foreclosed residential real estate included in residential real estate held for sale was $ 200,962 1,190,602 During the three months ended June 30, 2022 and 2021 the Company did not record any impairment losses on residential real estate held for sale or held for investment. During the six months ended June 30, 2022 and 2021 the Company recorded impairment losses on residential real estate held for sale of $ 94,400 nil The Company’s residential real estate held for investment is summarized as follows: Schedule of Residential Real Estate Investment Net Ending Balance June 30 December 31 Utah (1) 38,486,971 $ 41,686,281 Washington (2) - 286,181 $ 38,486,971 $ 41,972,462 (1) Includes subdivision land developments (2) Improved residential lots The following table presents additional information regarding the Company’s subdivision land developments in Utah. June 30 December 31 Lots developed 48 67 Lots to be developed 1,348 548 Ending Balance $ 38,285,419 $ 41,479,434 The Company’s residential real estate held for sale is summarized as follows: June 30 December 31 2021 Net Ending Balance June 30 December 31 2021 Texas $ 200,962 $ 200,962 Nevada - 979,640 Ohio - 10,000 Real estate held for sale $ 200,962 $ 1,190,602 These properties are all actively being marketed with the assistance of residential real estate brokers in the markets where the properties are located. The Company expects these properties to sell within the coming 12 months. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Real Estate Owned and Occupied by the Company The primary business units of the Company occupy a portion of the real estate owned by the Company. As of June 30, 2022, real estate owned and occupied by the Company is summarized as follows: Schedule of Real Estate Owned and Occupied by the Company Location Business Segment Approximate Square Footage Square Footage Occupied by the Company 433 West Ascension Way, Salt Lake City, UT - Center53 Building 2 Corporate Offices, Life Insurance, Cemetery/Mortuary Operations, and Mortgage Operations and Sales 221,000 50 % 1044 River Oaks Dr., Flowood, MS Life Insurance Operations 19,694 28 % 1818 Marshall Street, Shreveport, LA (1) Life Insurance Operations 12,274 100 % 909 Foisy Street, Alexandria, LA (1) Life Insurance Sales 8,059 100 % 812 Sheppard Street, Minden, LA (1) Life Insurance Sales 1,560 100 % 1550 N 3rd Street, Jena, LA (1) Life Insurance Sales 1,737 100 % (1) Included in property and equipment on the consolidated balance sheets Mortgage Loans Held for Investment Mortgage loans held for investment consist of first and second mortgages. The mortgage loans bear interest at rates ranging from 2.0% 10.5% nine months 30 79% 5% 4% 4% 2% 2% 70% 7% 5% 4% 4% 2% Mortgage loans held for investment are carried at their unpaid principal balances adjusted for net deferred fees, charge-offs, premiums, discounts and the related allowance for loan losses. Interest income is included in net investment income on the condensed consolidated statements of earnings and is recognized when earned. The Company defers related material loan origination fees, net of related direct loan origination costs, and amortizes the net fees over the term of the loans. Origination fees are included in net investment income on the condensed consolidated statements of earnings. Mortgage loans are secured by the underlying property and require an appraisal at the time of underwriting and funding. Generally, the Company will fund a loan not to exceed 80% of the fair market value of the loan’s collateral. Amounts over 80% will require additional collateral or mortgage insurance by an approved third-party insurer. The Company provides for losses on its mortgage loans held for investment through an allowance for loan losses (a contra-asset account). The allowance is comprised of two components. The first component is an allowance for collectively evaluated impairment that is based upon the Company’s historical experience in collecting similar receivables. The second component is based upon individual evaluation of loans that are determined to be impaired. As a practical expedient, upon determining impairment, the Company establishes an individual impairment allowance based upon an assessment of the fair value of the underlying collateral. In addition, when a mortgage loan is past due more than 90 days, the Company does not accrue any interest income. When a loan becomes delinquent, the Company proceeds to foreclose on the real estate and all expenses for foreclosure are expensed as incurred. Once foreclosed, an adjustment for the lower of cost or fair value is made, if necessary, and the amount is classified as real estate held for investment or held for sale. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) The allowance for losses on mortgage loans held for investment could change based on changes in the value of the underlying collateral, the performance status of the loans, or the Company’s actual collection experience. The actual losses could change, in the near term, from the established allowance, based upon the occurrence or non-occurrence of these events. For purposes of determining the allowance for losses, the Company has segmented its mortgage loans held for investment by loan type. The Company’s loan types are commercial, residential, and residential construction. The inherent risks within the portfolio vary depending upon the loan type as follows: Commercial Residential Residential construction (including land acquisition and development) SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) The Company establishes a valuation allowance for credit losses in its mortgage loans held for investment portfolio. The following table presents the valuation allowance for loan losses as a contra-asset account. Schedule of Allowance for Loan Losses as Contra -Asset Account Commercial Residential Residential Construction Total June 30, 2022 Allowance for credit losses: Beginning balance - January 1, 2022 $ 187,129 $ 1,469,571 $ 43,202 $ 1,699,902 Charge-offs - - - - Provision - (223,007 ) - (223,007 ) Ending balance - June 30, 2022 $ 187,129 $ 1,246,564 $ 43,202 $ 1,476,895 Ending balance: individually evaluated for impairment $ - $ 63,310 $ - $ 63,310 Ending balance: collectively evaluated for impairment $ 187,129 $ 1,183,254 $ 43,202 $ 1,413,585 Mortgage loans: Ending balance - June 30, 2022 $ 34,050,215 $ 40,355,630 $ 203,130,224 $ 277,536,069 Ending balance: individually evaluated for impairment $ 501,949 $ 1,294,512 $ 415,904 $ 2,212,365 Ending balance: collectively evaluated for impairment $ 33,548,266 $ 39,061,118 $ 202,714,320 $ 275,323,704 December 31, 2021 Allowance for credit losses: Beginning balance - January 1, 2021 $ 187,129 $ 1,774,796 $ 43,202 $ 2,005,127 Charge-offs - - - - Provision - (305,225 ) - (305,225 ) Ending balance - December 31, 2021 $ 187,129 $ 1,469,571 $ 43,202 $ 1,699,902 Ending balance: individually evaluated for impairment $ - $ 105,384 $ - $ 105,384 Ending balance: collectively evaluated for impairment $ 187,129 $ 1,364,187 $ 43,202 $ 1,594,518 Mortgage loans: Ending balance - December 31, 2021 $ 51,683,022 $ 53,533,712 $ 175,117,783 $ 280,334,517 Ending balance: individually evaluated for impairment $ 1,723,372 $ 2,548,656 $ - $ 4,272,028 Ending balance: collectively evaluated for impairment $ 49,959,650 $ 50,985,056 $ 175,117,783 $ 276,062,489 (1) (1) Amount corrected from that previously reported due to a typographical error. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) The following table presents the aging of mortgage loans held for investment. Schedule of Aging of Mortgage Loans Commercial Residential Residential Total June 30, 2022 30-59 Days Past Due $ 2,824,716 $ 2,433,116 $ 683,087 $ 5,940,919 60-89 Days Past Due - 341,870 - 341,870 Greater Than 90 Days (1) - 917,135 415,904 1,333,039 In Process of Foreclosure (1) 501,949 377,377 - 879,326 Total Past Due 3,326,665 4,069,498 1,098,991 8,495,154 Current 30,723,550 36,286,132 202,031,233 269,040,915 Total Mortgage Loans 34,050,215 40,355,630 203,130,224 277,536,069 Allowance for Loan Losses (187,129 ) (1,246,564 ) (43,202 ) (1,476,895 ) Unamortized deferred loan fees, net (71,921 ) (385,559 ) (557,856 ) (1,015,336 ) Unamortized discounts, net (238,128 ) (114,084 ) - (352,212 ) Net Mortgage Loans $ 33,553,037 $ 38,609,423 $ 202,529,166 $ 274,691,626 December 31, 2021 30-59 Days Past Due $ - $ 3,117,826 $ 1,363,127 $ 4,480,953 60-89 Days Past Due 100,204 580,815 - 681,019 Greater Than 90 Days (1) 1,723,372 2,052,062 - 3,775,434 In Process of Foreclosure (1) - 496,594 - 496,594 Total Past Due 1,823,576 6,247,297 1,363,127 9,434,000 Current 49,859,446 47,286,415 173,754,656 270,900,517 Total Mortgage Loans 51,683,022 53,533,712 175,117,783 280,334,517 Allowance for Loan Losses (187,129 ) (1,469,571 ) (43,202 ) (1,699,902 ) Unamortized deferred loan fees, net (36,813 ) (498,600 ) (383,173 ) (918,586 ) Unamortized discounts, net (240,614 ) (169,369 ) - (409,983 ) Net Mortgage Loans $ 51,218,466 $ 51,396,172 $ 174,691,408 $ 277,306,046 (1) Interest income is not recognized on loans past due greater than 90 days or in foreclosure. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Impaired Mortgage Loans Held for Investment Impaired mortgage loans held for investment include loans with a related specific valuation allowance or loans whose carrying amount has been reduced to the expected collectible amount because the impairment has been considered other than temporary. The recorded investment in and unpaid principal balance of impaired loans along with the related loan specific allowance for losses, if any, for each reporting period and the average recorded investment and interest income recognized during the time the loans were impaired are summarized as follows: Schedule of Impairment Mortgage Loans Recorded Unpaid Related Average Interest June 30, 2022 With no related allowance recorded: Commercial $ 501,949 $ 501,949 $ - $ 1,119,350 $ - Residential 650,488 650,488 - 848,525 - Residential construction 415,904 415,904 - 207,952 - With an allowance recorded: Commercial $ - $ - $ - $ - $ - Residential 644,024 644,024 63,310 730,672 - Residential construction - - - - - Total: Commercial $ 501,949 $ 501,949 $ - $ 1,119,350 $ - Residential 1,294,512 1,294,512 63,310 1,579,197 - Residential construction 415,904 415,904 - 207,952 - December 31, 2021 With no related allowance recorded: Commercial $ 1,723,372 $ 1,723,372 $ - $ 1,053,865 $ - Residential 1,591,368 1,591,368 - 2,731,421 - Residential construction - - - 100,481 - With an allowance recorded: Commercial $ - $ - $ - $ - $ - Residential 957,288 957,288 105,384 726,449 - Residential construction - - - - - Total: Commercial $ 1,723,372 $ 1,723,372 $ - $ 1,053,865 $ - Residential 2,548,656 2,548,656 105,384 3,457,870 - Residential construction - - - 100,481 - SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Credit Risk Profile Based on Performance Status The Company’s mortgage loan held for investment portfolio is monitored based on performance of the loans. Monitoring a mortgage loan increases when the loan is delinquent or earlier if there is an indication of impairment. The Company defines non-performing mortgage loans as loans 90 days or greater delinquent or on non-accrual status. The Company’s performing and non-performing mortgage loans held for investment are summarized as follows: Schedule of Credit Risk of Mortgage Loans Based on Performance Status Commercial Residential Residential Construction Total June 30, December June 30, December 31, June 30, December 31, June 30, December 31, Performing $ 33,548,266 $ 49,959,650 $ 39,061,118 $ 50,985,056 $ 202,714,320 $ 175,117,783 $ 275,323,704 $ 276,062,489 Non-performing 501,949 1,723,372 1,294,512 2,548,656 415,904 - 2,212,365 4,272,028 Total $ 34,050,215 $ 51,683,022 $ 40,355,630 $ 53,533,712 $ 203,130,224 $ 175,117,783 $ 277,536,069 $ 280,334,517 Non-Accrual Mortgage Loans Held for Investment Once a loan is past due 90 days, it is the policy of the Company to end the accrual of interest income on the loan and write off any interest income that had been accrued. Payments received for loans on a non-accrual status are recognized on a cash basis. Interest income recognized from any payments received for loans on a non-accrual status was immaterial. Accrual of interest resumes if a loan is brought current. Interest not accrued on these loans totaled approximately $ 135,000 236,000 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Loans Held for Sale
Loans Held for Sale | 6 Months Ended |
Jun. 30, 2022 | |
Loans Held For Sale | |
Loans Held for Sale | 4) Loans Held for Sale The Company has elected the fair value option for loans held for sale. Changes in the fair value of the loans are included in mortgage fee income. Interest income is recorded based on the contractual terms of the loan and in accordance with the Company’s policy on mortgage loans held for investment and is included in mortgage fee income on the condensed consolidated statement of earnings. See Note 8 to the condensed consolidated financial statements for additional disclosures regarding loans held for sale. The following table presents the aggregate fair value and the aggregate unpaid principal balance of loans held for sale. Summary of Aggregate Fair Value - Loans Held for Sale As of June 30 As of December 31 Aggregate fair value $ 209,860,409 $ 302,776,827 Unpaid principal balance 207,409,731 294,481,503 Unrealized gain 2,450,678 8,295,324 Mortgage Fee Income Mortgage fee income consists of origination fees, processing fees, interest income and certain other income related to the origination and sale of mortgage loans held for sale. Major categories of mortgage fee income for loans held for sale are summarized as follows: Schedule of Mortgage Fee Income for Loans Held for Sale 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Loan fees $ 7,950,227 $ 9,154,621 $ 15,037,410 $ 18,694,577 Interest income 2,923,446 2,188,380 4,955,315 4,500,181 Secondary gains 37,161,287 56,020,876 76,763,900 124,459,809 Change in fair value of loan commitments (2,247,244 ) (482,863 ) 428,127 (168,397 ) Change in fair value of loans held for sale (3,463,922 ) (1,114,632 ) (6,210,487 ) (8,060,513 ) Provision for loan loss reserve (292,896 ) (608,569 ) (598,922 ) (1,269,232 ) Mortgage fee income $ 42,030,898 $ 65,157,813 $ 90,375,343 $ 138,156,425 Loan Loss Reserve When a repurchase demand corresponding to a mortgage loan previously held for sale and sold to a third-party investor is received from a third-party investor, the relevant data is reviewed and captured so that an estimated future loss can be calculated. The key factors that are used in the estimated loss calculation are as follows: (i) lien position, (ii) payment status, (iii) claim type, (iv) unpaid principal balance, (v) interest rate, and (vi) validity of the demand. Other data is captured and is useful for management purposes; the actual estimated loss is generally based on these key factors. The Company conducts its own review upon the receipt of a repurchase demand. In many instances, the Company is able to resolve the issues relating to the repurchase demand by the third-party investor without having to make any payments to the investor. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) The loan loss reserve, which is included in other liabilities and accrued expenses, is summarized as follows: 4) Loans Held for Sale (Continued) Summary of Loan Loss Reserve Included in Other Liabilities and Accrued Expenses As of June 30 As of December 31 Balance, beginning of period $ 2,447,139 $ 20,583,618 Provision on current loan originations (1) 598,922 2,211,230 Charge-offs, net of recaptured amounts (1,105,275 ) (20,347,709 ) Balance, end of period $ 1,940,786 $ 2,447,139 (1) Included in mortgage fee income The Company maintains reserves for estimated losses on current production volumes. For the six months ended June 30, 2022, $ 598,922 290 1,000,000 1,269,232 450 1,000,000 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Stock Compensation Plans
Stock Compensation Plans | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Compensation Plans | 5) Stock Compensation Plans The Company has three fixed option plans (the “2013 Plan”, the “2014 Director Plan” and the “2022 Plan”). Compensation expense for options issued of $ 220,175 nil 491,922 39,153 390,714 The fair value of each option granted is estimated on the date of grant using the Black Scholes Option Pricing Model. The Company estimates the expected life of the options using the simplified method. Future volatility is estimated based upon the weighted historical volatility of the Company’s Class A common stock over a period equal to the expected life of the options. The risk-free interest rate for the expected life of the options is based upon the Federal Reserve Board’s daily interest rates in effect at the time of the grant. A summary of the status of the Company’s stock compensation plans as of June 30, 2022, and the changes during the six months ended June 30, 2022, are presented below: Schedule of Activity of Stock Option Plans Number of Weighted Number of Weighted Outstanding at January 1, 2022 1,024,351 $ 4.38 821,146 $ 5.26 Adjustment for effect of stock dividends 47,780 41,057 Granted 4,000 - Exercised (71,330 ) - Cancelled (1,591 ) - Outstanding at June 30, 2022 1,003,210 $ 4.58 862,203 $ 5.26 As of June 30, 2022: Options exercisable 955,460 $ 4.40 747,203 $ 4.78 As of June 30, 2022: Available options for future grant 239,795 17,523 Weighted average contractual term of options outstanding at June 30, 2022 4.32 6.75 Weighted average contractual term of options exercisable at June 30, 2022 4.06 6.50 Aggregated intrinsic value of options outstanding at June 30, 2022 (1) $ 3,891,873 $ 2,758,643 Aggregated intrinsic value of options exercisable at June 30, 2022 (1) $ 3,878,980 $ 2,748,093 (1) The Company used a stock price of $ 8.46 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 5) Stock Compensation Plans A summary of the status of the Company’s stock compensation plans as of June 30, 2021, and the changes during the six months ended June 30, 2021, are presented below: Number of Weighted Number of Weighted Outstanding at January 1, 2021 1,072,863 $ 4.22 662,666 $ 4.61 Adjustment for effect of stock dividends 47,594 33,136 Granted - - Exercised (97,313 ) - Cancelled - - Outstanding at June 30, 2021 1,023,144 $ 4.29 695,802 $ 4.61 As of June 30, 2021: Options exercisable 1,023,144 $ 4.29 695,802 $ 4.61 As of June 30, 2021: Available options for future grant 358,462 279,825 Weighted average contractual term of options outstanding at June 30, 2021 5.18 6.32 Weighted average contractual term of options exercisable at June 30, 2021 5.18 6.32 Aggregated intrinsic value of options outstanding at June 30, 2021 (1) $ 4,135,399 $ 2,585,420 Aggregated intrinsic value of options exercisable at June 30, 2021 (1) $ 4,135,399 $ 2,585,420 (1) The Company used a stock price of $ 8.33 The total intrinsic value (which is the amount by which the fair value of the underlying stock exceeds the exercise price of an option on the exercise date) of stock options exercised during the six months June 30, 2022 and 2021 was $ 521,527 434,318 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 6) Earnings Per Share Earnings per share amounts have been retroactively adjusted for the effect of annual stock dividends. In accordance with GAAP, the basic and diluted earnings per share amounts were calculated as follows: Schedule of Earning Per Share, Basic and Diluted 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Numerator: Net earnings $ 3,574,449 $ 11,257,479 $ 6,803,167 $ 23,386,194 Denominator: Basic weighted-average shares outstanding 21,184,688 21,098,789 21,282,747 21,085,669 Effect of dilutive securities: Employee stock options 833,142 824,058 851,132 867,350 Diluted weighted-average shares outstanding 22,017,830 21,922,847 22,133,879 21,953,019 Basic net earnings per share $ 0.17 $ 0.53 $ 0.32 $ 1.11 Diluted net earnings per share $ 0.16 $ 0.51 $ 0.31 $ 1.07 For the six months June 30, 2022 and 2021, there were 52,500 The following table summarizes the activity in shares of capital stock. Summary of Activities in Shares of Capital Stock Class A Class C Outstanding shares at December 31, 2020 16,595,783 2,679,603 Exercise of stock options 80,948 - Stock dividends 836,263 131,554 Conversion of Class C to Class A 48,527 (48,527 ) Outstanding shares at June 30, 2021 17,561,521 2,762,630 Outstanding shares at December 31, 2021 17,642,722 2,866,565 Exercise of stock options 69,096 - Stock dividends 889,554 139,462 Conversion of Class C to Class A 77,316 (77,316 ) Outstanding shares at June 30, 2022 18,678,688 2,928,711 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Business Segment Information
Business Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Business Segment Information | 7) Business Segment Information Description of Products and Services by Segment The Company has three reportable business segments: life insurance, cemetery and mortuary, and mortgage. The Company’s life insurance segment consists of life insurance premiums and operating expenses from the sale of insurance products sold by the Company’s independent agency force and net investment income derived from investing policyholder and segment surplus funds. The Company’s cemetery and mortuary segment consists of revenues and operating expenses from the sale of at-need cemetery and mortuary merchandise and services at its mortuaries and cemeteries, pre-need sales of cemetery spaces after collection of 10% or more of the purchase price and the net investment income from investing segment surplus funds. The Company’s mortgage segment consists of fee income and expenses from the originations of residential mortgage loans and interest earned and interest expenses from warehousing loans held for sale. Measurement of Segment Profit or Loss and Segment Assets The accounting policies of the reportable segments are the same as those described in the Significant Accounting Principles of the Form 10-K for the year ended December 31, 2021. Intersegment revenues are recorded at cost plus an agreed upon intercompany profit, and are eliminated upon consolidation. Factors Management Used to Identify the Enterprise’s Reportable Segments The Company’s reportable segments are business units that are managed separately due to the different products provided and the need to report separately to the various regulatory jurisdictions. The Company regularly reviews the quantitative thresholds and other criteria to determine when other business segments may need to be reported. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 7) Business Segment Information Schedule of Revenues and Expenses by Reportable Segment Life Insurance Cemetery/ Mortgage Intercompany Eliminations Consolidated For the Three Months Ended June 30, 2022 Revenues from external customers $ 41,166,269 $ 7,291,018 $ 47,109,367 $ - $ 95,566,654 Intersegment revenues 2,075,987 85,151 77,826 (2,238,964 ) - Segment profit (loss) before income taxes 3,931,784 1,485,938 (687,876 ) - 4,729,846 For the Six Months Ended June 30, 2022 Revenues from external customers $ 82,668,078 $ 14,754,212 $ 100,570,271 $ - $ 197,992,561 Intersegment revenues 3,771,766 267,740 152,535 (4,192,041 ) - Segment profit before income taxes 4,748,269 3,506,255 918,838 - 9,173,362 Identifiable Assets 1,229,780,002 78,739,030 250,312,796 (91,917,796 ) 1,466,914,032 Goodwill 2,765,570 2,488,213 - - 5,253,783 Total Assets 1,232,545,572 81,227,243 250,312,796 (91,917,796 ) 1,472,167,815 For the Three Months Ended June 30, 2021 Revenues from external customers $ 40,657,393 $ 6,807,922 $ 69,285,000 $ - $ 116,750,315 Intersegment revenues 1,750,929 78,302 156,016 (1,985,247 ) - Segment profit before income taxes 4,694,177 2,269,325 7,713,850 - 14,677,352 For the Six Months Ended June 30, 2021 Revenues from external customers $ 79,601,227 $ 13,807,187 $ 146,000,507 $ - $ 239,408,921 Intersegment revenues 3,652,981 155,809 317,032 (4,125,822 ) - Segment profit before income taxes 7,389,205 4,970,270 18,672,932 - 31,032,407 Identifiable Assets 1,193,893,855 59,621,349 317,945,282 (72,923,887 ) 1,498,536,599 Goodwill 2,765,570 754,018 - - 3,519,588 Total Assets 1,196,659,425 60,375,367 317,945,282 (72,923,887 ) 1,502,056,187 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 8) Fair Value of Financial Instruments GAAP defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. GAAP also specifies a fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. Fair value measurements are classified under the following hierarchy: Level 1: Level 2: a) Quoted prices for similar assets or liabilities in active markets; b) Quoted prices for identical or similar assets or liabilities in non-active markets; or c) Valuation models whose inputs are observable, directly or indirectly, for substantially the full term of the asset or liability. Level 3: The Company utilizes a combination of third-party valuation service providers, brokers, and internal valuation models to determine fair value. The following methods and assumptions were used by the Company in estimating the fair value disclosures related to significant financial instruments. The items shown under Level 1 and Level 2 are valued as follows: Fixed Maturity Securities Available for Sale Equity Securities Restricted Assets Cemetery Perpetual Care Trust Investments Call and Put Option Derivatives Additionally, there were no transfers between Level 1 and Level 2 in the fair value hierarchy. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The items shown under Level 3 are valued as follows: Loans Held for Sale Loan Commitments and Forward Sale Commitments The Company estimates the fair value of a loan commitment based on the change in estimated fair value of the underlying mortgage loan, quoted MBS prices, estimates of the fair value of mortgage servicing rights, and an estimate of the probability that the mortgage loan will fund within the terms of the commitment. The change in fair value of the underlying mortgage loan is measured from the date the loan commitment is issued. Following issuance, the value of a mortgage loan commitment can be either positive or negative depending upon the change in value of the underlying mortgage loans. Fallout rates and other factors from the Company’s recent historical data are used to estimate the quantity and value of mortgage loans that will fund within the terms of the commitments. Impaired Mortgage Loans Held for Investment Impaired Real Estate Held for Investment It should be noted that for replacement cost, when determining the fair value of real estate held for investment, the Company uses a provider of building cost information to the real estate construction industry. For the investment analysis, the Company uses market data based upon its real estate operation experience and projected the present value of the net rental income over seven years. The Company also considers area comparable properties and property condition when determining fair value. In addition to this analysis performed by the Company, the Company depreciates Real Estate Held for Investment. This depreciation reduces the book value of these properties and lessens the exposure to the Company from further deterioration in real estate values. Mortgage Servicing Rights SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following tables summarize Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a recurring basis by their classification in the condensed consolidated balance sheet at June 30, 2022. Schedule of Fair Value Assets and Liabilities Measured on a Recurring Basis Total Quoted Prices in Significant Significant Assets accounted for at fair value on a recurring basis Fixed maturity securities available for sale $ 270,676,282 $ - $ 268,713,493 $ 1,962,789 Equity securities 11,198,403 11,198,403 - - Loans held for sale 209,860,409 - - 209,860,409 Restricted assets (1) 1,851,887 - 1,851,887 - Restricted assets (2) 3,741,011 3,741,011 - - Cemetery perpetual care trust investments (1) (1) 653,462 - 653,462 - Cemetery perpetual care trust investments (2) (2) 2,441,876 2,441,876 - - Derivatives - loan commitments (3) 9,864,213 - - 9,864,213 Total assets accounted for at fair value on a recurring basis $ 510,287,543 $ 17,381,290 $ 271,218,842 $ 221,687,411 Liabilities accounted for at fair value on a recurring basis Derivatives - call options (4) $ (13,683 ) $ (13,683 ) $ - $ - Derivatives - put options (4) (19,545 ) (19,545 ) - - Derivatives - loan commitments (4) (2,420,571 ) - - (2,420,571 ) Total liabilities accounted for at fair value on a recurring basis $ (2,453,799 ) $ (33,228 ) $ - $ (2,420,571 ) (1) Fixed maturity securities available for sale (2) Equity securities (3) Included in other assets on the consolidated balance sheets (4) Included in other liabilities and accrued expenses on the consolidated balance sheets SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following tables summarize Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a recurring basis by their classification in the condensed consolidated balance sheet at December 31, 2021. Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a recurring basis Fixed maturity securities available for sale $ 259,287,603 $ - $ 257,264,255 $ 2,023,348 Equity securities 11,596,414 11,596,414 - - Loans held for sale 302,776,827 - - 302,776,827 Restricted assets (1) 1,601,688 - 1,601,688 - Restricted assets (2) 3,603,822 3,603,822 - - Cemetery perpetual care trust investments (1) (1) 784,765 - 784,765 - Cemetery perpetual care trust investments (2) (2) 3,302,480 3,302,480 - - Derivatives - loan commitments (3) 8,563,410 - - 8,563,410 Total assets accounted for at fair value on a recurring basis $ 591,517,009 $ 18,502,716 $ 259,650,708 $ 313,363,585 Liabilities accounted for at fair value on a recurring basis Derivatives - call options (4) $ (50,936 ) $ (50,936 ) $ - $ - Derivatives - put options (4) (4,493 ) (4,493 ) - - Derivatives - loan commitments (4) (1,547,895 ) - - (1,547,895 ) Total liabilities accounted for at fair value on a recurring basis $ (1,603,324 ) $ (55,429 ) $ - $ (1,547,895 ) (1) Fixed maturity securities available for sale (2) Equity securities (3) Included in other assets on the consolidated balance sheets (4) Included in other liabilities and accrued expenses on the consolidated balance sheets SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments For Level 3 assets and liabilities measured at fair value on a recurring basis as of June 30, 2022, the significant unobservable inputs used in the fair value measurements were as follows: Assets and Liabilities Measured at Fair Value on A Recurring Basis Significant Range of Inputs Fair Value at Valuation Unobservable Minimum Maximum Weighted 6/30/2022 Technique Input(s) Value Value Average Loans held for sale $ 209,860,409 Market approach Investor contract pricing as a percentage of unpaid principal balance 86.9 % 106.1 % 100.8 % Derivatives - loan commitments (net) 7,443,642 Market approach Pull-through rate 60.0 % 95.0 % 79.0 % Initial-Value N/A N/A N/A Servicing 0 bps 167 bps 60 bps Fixed maturity securities available for sale 1,962,789 Broker quotes Pricing quotes $ 96.87 $ 111.11 $ 104.86 For Level 3 assets and liabilities measured at fair value on a recurring basis as of December 31, 2021, the significant unobservable inputs used in the fair value measurements were as follows: Significant Range of Inputs Fair Value at Valuation Unobservable Minimum Maximum Weighted 12/31/2021 Technique Input(s) Value Value Average Loans held for sale $ 302,776,827 Market approach Investor contract pricing as a percentage of unpaid principal balance 95.0 % 109.0 % 103.0 % Derivatives - loan commitments (net) 7,015,515 Market approach Pull-through rate 66.0 % 95.0 % 81.0 % Initial-Value N/A N/A N/A Servicing 0 bps 148 bps 61 bps Fixed maturity securities available for sale 2,023,348 Broker quotes Pricing quotes $ 96.87 $ 111.11 $ 106.73 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the six months ending June 30, 2022: Schedule of Changes in the Consolidated Balance Sheet Line Items Measured Using Level 3 Inputs Net Loan Loans Held Fixed Maturity Balance - December 31, 2021 $ 7,015,515 $ 302,776,827 $ 2,023,348 Originations and purchases - 2,049,959,460 - Sales, maturities and paydowns - (2,187,475,867 ) (24,350 ) Total gains (losses): Included in earnings 428,127 (1) 44,599,989 (1) 1,957 (2) Included in other comprehensive income - - (38,166 ) Balance - June 30, 2022 $ 7,443,642 $ 209,860,409 $ 1,962,789 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the six months ending June 30, 2021: Net Loan Loans Held Fixed Maturity Balance - December 31, 2020 $ 10,128,610 $ 422,772,418 $ 2,201,175 Originations and purchases - 2,810,230,507 - Sales, maturities and paydowns - (3,025,027,077 ) (22,400 ) Transfer to mortgage loans held for investment - (201,951 ) - Total gains (losses): Included in earnings (168,397 )(1) 88,954,189 (1) 1,801 (2) Included in other comprehensive income - - 252 Balance - June 30, 2021 $ 9,960,213 $ 296,728,086 $ 2,180,828 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the three months ending June 30, 2022: Net Loan Loans Held Fixed Maturity Balance - March 31, 2022 $ 9,690,886 $ 234,012,872 $ 2,011,772 Originations and purchases - 1,010,742,878 - Sales, maturities and paydowns - (1,055,390,037 ) (12,400 ) Total gains (losses): Included in earnings (2,247,244 )(1) 20,494,696 (1) 996 (2) Included in other comprehensive income - - (37,579 ) Balance - June 30, 2022 $ 7,443,642 $ 209,860,409 $ 1,962,789 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the three months ending June 30, 2021: Net Loan Commitments Loans Held for Sale Fixed Maturity Securities Available for Sale Balance - March 31, 2021 $ 10,443,076 $ 304,030,372 $ 2,191,093 Originations and purchases - 1,360,389,498 - Sales, maturities and paydowns - (1,410,147,019 ) (11,300 ) Total gains (losses): Included in earnings (482,863 )(1) 42,455,235 (1) 908 (2) Included in other comprehensive income - - 127 Balance - June 30, 2021 $ 9,960,213 $ 296,728,086 $ 2,180,828 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following table summarizes Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a nonrecurring basis by their classification in the condensed consolidated balance sheet at June 30, 2022. Schedule of Fair Value Assets Measured on a Nonrecurring Basis Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a nonrecurring basis Impaired mortgage loans held for investment 580,714 - - 580,714 Total assets accounted for at fair value on a nonrecurring basis $ 580,714 $ - $ - $ 580,714 The following table summarizes Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a nonrecurring basis by their classification in the condensed consolidated balance sheet at December 31, 2021. Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a nonrecurring basis Impaired mortgage loans held for investment $ 851,903 $ - $ - $ 851,903 Impaired real estate held for sale 2,000,000 - - 2,000,000 Total assets accounted for at fair value on a nonrecurring basis $ 2,851,903 $ - $ - $ 2,851,903 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments Fair Value of Financial Instruments Carried at Other Than Fair Value ASC 825, Financial Instruments, requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate that value. Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented herein are not necessarily indicative of the amounts the Company could have realized in a sales transaction at June 30, 2022 and December 31, 2021. The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows as of June 30, 2022: Schedule of Financial Instruments Carried at Other Than Fair Value Carrying Value Level 1 Level 2 Level 3 Total Estimated Fair Value Assets Mortgage loans held for investment Residential $ 38,609,423 $ - $ - $ 37,669,281 $ 37,669,281 Residential construction 202,529,166 - - 202,529,166 202,529,166 Commercial 33,553,037 - - 33,070,818 33,070,818 Mortgage loans held for investment, net $ 274,691,626 $ - $ - $ 273,269,265 $ 273,269,265 Policy loans 13,130,188 - - 13,130,188 13,130,188 Insurance assignments, net (1) 41,514,424 - - 41,514,424 41,514,424 Restricted assets (2) 2,284,145 - - 2,284,145 2,284,145 Cemetery perpetual care trust investments (2) 2,275,145 - - 2,275,145 2,275,145 Mortgage servicing rights, net 56,289,255 - - 95,644,506 95,644,506 Liabilities Bank and other loans payable $ (200,344,907 ) $ - $ - $ (200,344,907 ) $ (200,344,907 ) Policyholder account balances (3) (42,060,137 ) - - (35,231,639 ) (35,231,639 ) Future policy benefits - annuities (3) (106,972,838 ) - - (115,674,814 ) (115,674,814 ) (1) Included in other investments and policy loans on the condensed consolidated balance sheets (2) Mortgage loans held for investment (3) Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows as of December 31, 2021: Carrying Value Level 1 Level 2 Level 3 Total Estimated Fair Value Assets Mortgage loans held for investment Residential $ 51,396,172 $ - $ - $ 55,159,167 $ 55,159,167 Residential construction 174,691,408 - - 174,691,408 174,691,408 Commercial 51,218,466 - - 51,008,709 51,008,709 Mortgage loans held for investment, net $ 277,306,046 $ - $ - $ 280,859,284 $ 280,859,284 Policy loans 13,478,214 - - 13,478,214 13,478,214 Insurance assignments, net (1) 46,946,590 - - 46,946,590 46,946,590 Restricted assets (2) 2,732,320 - - 2,732,320 2,732,320 Cemetery perpetual care trust investments (2) 1,823,533 - - 1,823,533 1,823,533 Mortgage servicing rights, net 53,060,455 - - 68,811,809 68,811,809 Liabilities Bank and other loans payable $ (251,286,927 ) $ - $ - $ (251,286,927 ) $ (251,286,927 ) Policyholder account balances (3) (42,939,055 ) - - (35,855,934 ) (35,855,934 ) Future policy benefits - annuities (3) (107,992,830 ) - - (116,215,717 ) (116,215,717 ) (1) Included in other investments and policy loans on the condensed consolidated balance sheets (2) Mortgage loans held for investment (3) Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets The methods, assumptions and significant valuation techniques and inputs used to estimate the fair value of these financial instruments are summarized as follows: Mortgage Loans Held for Investment Residential – The estimated fair value is determined through a combination of discounted cash flows (estimating expected future cash flows of payments and discounting them using current interest rates from single family mortgages) and considering pricing of similar loans that were sold recently. Residential Construction – These loans are primarily short in maturity. Accordingly, the estimated fair value is determined to be the carrying value. Commercial – The estimated fair value is determined by estimating expected future cash flows of payments and discounting them using current interest rates for commercial mortgages. Policy Loans Insurance Assignments, Net SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments Bank and Other Loans Payable Policyholder Account Balances and Future Policy Benefits-Annuities |
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Doubtful Accounts | 9) Allowance for Doubtful Accounts The Company records an allowance and recognizes an expense for potential losses from other investments and receivables in accordance with generally accepted accounting principles. Receivables are the result of cemetery and mortuary operations, mortgage loan operations and life insurance operations. The allowance is based upon the Company’s historical experience for collectively evaluated impairment. Other allowances are based upon receivables individually evaluated for impairment. Collectability of the cemetery and mortuary receivables is significantly influenced by current economic conditions. The critical issues that impact recovery of mortgage loan operations are interest rate risk, loan underwriting, new regulations and the overall economy |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | 10) Derivative Instruments Mortgage Banking Derivatives Loan Commitments The Company is exposed to price risk due to the potential impact of changes in interest rates on the values of loan commitments from the time a loan commitment is made to an applicant to the time the loan that would result from the exercise of that loan commitment is funded. Managing price risk is complicated by the fact that the ultimate percentage of loan commitments that will be exercised (i.e., the number of loans that will be funded) fluctuates. The probability that a loan will not be funded or the loan application is denied or withdrawn within the terms of the commitment is driven by a number of factors, particularly the change, if any, in mortgage rates following the issuance of the loan commitment. In general, the probability of funding increases if mortgage rates rise and decreases if mortgage rates fall. This is due primarily to the relative attractiveness of current mortgage rates compared to the applicant’s committed rate. The probability that a loan will not be funded within the terms of the mortgage loan commitment also is influenced by the source of the applications (retail, broker or correspondent channels), proximity to rate lock expiration, purpose for the loan (purchase or refinance), product type and the application approval status. The Company has developed fallout estimates using historical data that take into account all of the variables, as well as renegotiations of rate and point commitments that tend to occur when mortgage rates fall. These fallout estimates are used to estimate the number of loans that the Company expects to be funded within the terms of the loan commitments and are updated periodically to reflect the most current data. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 10) Derivative Instruments (Continued) The Company estimates the fair value of a loan commitment based on the change in estimated fair value of the underlying mortgage loan, quoted mortgage-backed securities (“MBS”) prices, estimates of the fair value of mortgage servicing rights, and an estimate of the probability that the mortgage loan will fund within the terms of the commitment net of estimated commission expense. The change in fair value of the underlying mortgage loan is measured from the date the loan commitment is issued and is shown net of related expenses. Following issuance, the value of a loan commitment can be either positive or negative depending upon the change in value of the underlying mortgage loans. Fallout rates and other factors from the Company’s recent historical data are used to estimate the quantity and value of mortgage loans that will fund within the terms of the commitments. Forward Sale Commitments The Company utilizes forward commitments to economically hedge the price risk associated with its outstanding mortgage loan commitments. A forward commitment protects the Company from losses on sales of the loans arising from exercise of the loan commitments. Management expects these types of commitments will experience changes in fair value opposite to changes in fair value of the loan commitments, thereby reducing earnings volatility related to the recognition in earnings of changes in the values of the commitments. The net changes in fair value of loan commitments and forward sale commitments are shown in current earnings as a component of mortgage fee income on the consolidated statements of earnings. Mortgage banking derivatives are shown in other assets and other liabilities and accrued expenses on the condensed consolidated balance sheets. Call and Put Options Derivatives The Company uses a strategy of selling “out of the money” call options on its equity securities as a source of revenue. The options give the purchaser the right to buy from the Company specified equity securities at a set price up to a pre-determined date in the future. The Company uses the strategy of selling put options as a means of generating cash or purchasing equity securities at lower than current market prices. The Company receives an immediate payment of cash for the value of the option and establishes a liability for the fair value of the option. The liability for options is adjusted to fair value at each reporting date. In the event a call option is exercised, the Company sells the equity security at a favorable price enhanced by the value of the option that was sold. If the option expires unexercised, the Company recognizes a gain from the expired option. In the event a put option is exercised, the Company acquires an equity security at the strike price of the option reduced by the value received from the sale of the put option. The equity security is then treated as a normal equity security in the Company’s portfolio. The net changes in the fair value of call and put options are shown in current earnings as a component of realized gains (losses) on investments and other assets. Call and put options are shown in other liabilities and accrued expenses on the condensed consolidated balance sheets. The following table shows the fair value and notional amounts of derivative instruments. Schedule of Derivative Assets at Fair Value June 30, 2022 December 31, 2021 Balance Sheet Location Notional Amount Asset Fair Value Liability Fair Value Notional Amount Asset Fair Value Liability Fair Value Derivatives not designated as hedging instruments: Loan commitments Other assets and Other liabilities $ 692,681,295 $ 9,864,213 $ 2,420,571 $ 862,568,967 $ 8,563,410 $ 1,547,895 Call options Other liabilities 696,900 - 13,683 982,500 - 50,936 Put options Other liabilities 482,500 - 19,545 362,900 - 4,493 Total $ 693,860,695 $ 9,864,213 $ 2,453,799 $ 863,914,367 $ 8,563,410 $ 1,603,324 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 10) Derivative Instruments (Continued) The following table presents the gains (losses) on derivatives. There were no gains or losses reclassified from accumulated other comprehensive income into income or gains or losses recognized in income on derivatives ineffective portion or any amounts excluded from effective testing. Schedule of Gains and Losses on Derivatives Net Amount Gain (Loss) Net Amount Gain (Loss) Three Months Ended June 30 Six Months Ended June 30 Derivative Classification 2022 2021 2022 2021 Loan commitments Mortgage fee income $ (2,247,244 ) $ (482,863 ) $ 428,127 $ (168,397 ) Call and put options Gains on investments and other assets $ 65,033 $ 88,522 $ 126,229 $ 115,285 |
Reinsurance, Commitments and Co
Reinsurance, Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Reinsurance, Commitments and Contingencies | 11) Reinsurance, Commitments and Contingencies Reinsurance The Company follows the procedure of reinsuring risks in excess of a specified limit, which ranges from $ 25,000 100,000 Mortgage Loan Loss Settlements Future loan losses can be extremely difficult to estimate. However, the Company believes that the Company’s reserve methodology and its current practice of property preservation allow it to estimate its potential losses on loans sold. See Note 4 to the condensed consolidated financial statements for additional information about the Company’s loan loss reserve. Debt Covenants for Mortgage Warehouse Lines of Credit The Company, through its subsidiary SecurityNational Mortgage, has a $ 100,000,000 The agreement charges interest at the 1-Month SOFR rate plus 2.1% June 2, 2023 1.00 The Company, through its subsidiary SecurityNational Mortgage, has a line of credit with Texas Capital Bank N.A. This agreement with the bank allows SecurityNational Mortgage to borrow up to $ 100,000,000 The agreement charges interest at the 1-Month LIBOR rate plus 2% November 9, 2022 1.00 The Company through its subsidiary SecurityNational Mortgage, has a line of credit with Comerica Bank. This agreement with the bank allows SecurityNational Mortgage to borrow up to $ 75,000,000 The agreement charges interest at the 1-Month SOFR rate plus 2.50% May 26, 2023 1.00 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 11) Reinsurance, Commitments and Contingencies The Company through its subsidiary SecurityNational Mortgage, has a line of credit with U.S Bank. This agreement with the bank allows SecurityNational Mortgage to borrow up to $ 100,000,000 The agreement charges interest at 2.10% plus the greater of (i) 0% June 2, 2023 The Company is required to comply with covenants for adjusted tangible net worth, unrestricted cash balance, and minimum combined pre-tax income (excluding any changes in the fair value of mortgage servicing rights) of at least $ 1.00 The agreements for warehouse lines include cross default provisions in that a covenant violation under one agreement constitutes a covenant violation under the other agreement. As of June 30, 2022, the Company was in compliance with all debt covenants. Other Contingencies and Commitments The Company has entered into commitments to fund construction and land development loans and has also provided financing for land acquisition and development. As of June 30, 2022, the Company’s commitments were approximately $ 328,580,000 207,689,514 50 80 5.25 8.00 The Company belongs to a captive insurance group for certain casualty insurance, worker compensation and liability programs. Insurance reserves are maintained relative to these programs. The level of exposure from catastrophic events is limited by the purchase of stop-loss and aggregate liability reinsurance coverage. When estimating the insurance liabilities and related reserves, the captive insurance management considers a number of factors, which include historical claims experience, demographic factors, severity factors and valuations provided by independent third-party actuaries. If actual claims or adverse development of loss reserves occurs and exceed these estimates, additional reserves may be required. The estimation process contains uncertainty since captive insurance management must use judgment to estimate the ultimate cost that will be incurred to settle reported claims and unreported claims for incidents incurred but not reported as of the balance sheet date. The Company is a defendant in various other legal actions arising from the normal conduct of business. Management believes that none of the actions, if adversely determined, will have a material effect on the Company’s financial position or results of operations. Based on management’s assessment and legal counsel’s representations concerning the likelihood of unfavorable outcomes, no amounts have been accrued for the above claims in the consolidated financial statements. The Company is not a party to any other material legal proceedings outside the ordinary course of business or to any other legal proceedings, which, if adversely determined, would have a material adverse effect on its financial condition or results of operations. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Mortgage Servicing Rights
Mortgage Servicing Rights | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Mortgage Servicing Rights | 12) Mortgage Servicing Rights The Company initially records these MSRs at fair value as discussed in Note 8. After being initially recorded at fair value, MSRs backed by mortgage loans are accounted for using the amortization method. Amortization expense is included in other expenses on the consolidated statements of earnings. MSR amortization is determined by amortizing the MSR balance in proportion to, and over the period of the estimated future net servicing income of the underlying financial assets. The Company periodically assesses MSRs for impairment. Impairment occurs when the current fair value of the MSR falls below the asset’s carrying value (carrying value is the amortized cost reduced by any related valuation allowance). If MSRs are impaired, the impairment is recognized in current-period earnings and the carrying value of the MSRs is adjusted through a valuation allowance. Management periodically reviews the various loan strata to determine whether the value of the MSRs in a given stratum is impaired and likely to recover. When management deems recovery of the value to be unlikely in the foreseeable future, a write-down of the cost of the MSRs for that stratum to its estimated recoverable value is charged to the valuation allowance. The following table presents the MSR activity. Schedule of Mortgage Servicing Rights As of June 30 As of December 31 Amortized cost: Balance before valuation allowance at beginning of year $ 53,060,455 $ 35,210,516 MSR additions resulting from loan sales 9,066,637 32,701,819 Amortization (1) (5,837,837 ) (14,851,880 ) Application of valuation allowance to write down MSRs with other than temporary impairment - - Balance before valuation allowance at end of period $ 56,289,255 $ 53,060,455 Valuation allowance for impairment of MSRs: Balance at beginning of year $ - $ - Additions - - Application of valuation allowance to write down MSRs with other than temporary impairment - - Balance at end of period $ - $ - Mortgage servicing rights, net $ 56,289,255 $ 53,060,455 Estimated fair value of MSRs at end of period $ 95,644,506 $ 68,811,809 (1) Included in other expenses on the condensed consolidated statements of earnings SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 12) Mortgage Servicing Rights The following table summarizes the Company’s estimate of future amortization of its existing MSRs carried at amortized cost. This projection was developed using the assumptions made by management in its June 30, 2022 valuation of MSRs. The assumptions underlying the following estimate will change as market conditions and portfolio composition and behavior change, causing both actual and projected amortization levels to change over time. Therefore, the following estimates will change in a manner and amount not presently determinable by management. Schedule of Finite-Lived Intangible Assets, Future Amortization Expense, Mortgage Servicing Rights Estimated MSR Amortization 2021 6,184,893 2022 5,460,823 2023 4,983,934 2024 4,490,584 2025 4,050,463 Thereafter 31,118,558 Total $ 56,289,255 The Company collected the following contractual servicing fee income and late fee income as reported in other revenues on the condensed consolidated statement of earnings. Schedule of Other Revenues 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Contractual servicing fees $ 4,694,969 $ 3,755,294 $ 9,201,229 $ 7,142,765 Late fees 81,597 74,437 181,635 155,487 Total $ 4,776,566 $ 3,829,731 $ 9,382,864 $ 7,298,252 The following is a summary of the unpaid principal balances (“UPB”) of the servicing portfolio. Summary of Unpaid Principal Balances of the Servicing Portfolio As of June 30 As of December 31 2021 Servicing UPB $ 7,502,116,963 $ 7,060,536,350 The following key assumptions were used in determining MSR value: Schedule of Assumptions Used in Determining MSR Value Prepayment Average Discount June 30, 2022 7.50 8.3 9.50 December 31, 2021 11.60 6.64 9.50 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13) Income Taxes The Company’s overall effective tax rate for the three months ended June 30, 2022 and 2021 was 24.4 23.3 1,155,397 3,419,873 25.8 24.6 2,370,195 7,646,213 21 Interim income taxes are based on an estimated annualized effective tax rate applied to the respective quarterly periods, adjusted for discrete tax items in the period in which they occur. Although the Company believes its tax estimates are reasonable, the Company can make no assurance that the final tax outcome of these matters will not be different from that which it has reflected in its historical income tax provisions and accruals. |
Revenues from Contracts with Cu
Revenues from Contracts with Customers | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenues from Contracts with Customers | 14) Revenues from Contracts with Customers The Company reports revenues from contracts with customers pursuant to ASC No. 606, Revenue from Contracts with Customers Information about Performance Obligations and Contract Balances The Company’s cemetery and mortuary segment sells a variety of goods and services to customers in both at-need and pre-need situations. Due to the timing of the fulfillment of the obligation, revenue is deferred until that obligation is fulfilled. The Company’s three types of future obligations are as follows: Pre-need Merchandise and Service Revenue At-need Specialty Merchandise Revenue Deferred Pre-need Land Revenue Complete payment of the contract does not constitute fulfillment of the performance obligation. Goods or services are deferred until such time the service is performed or merchandise is received. Pre-need contracts are required to be paid in full prior to a customer using a good or service from a pre-need contract. Goods and services from pre-need contracts can be transferred when paid in full from one owner to another. In such cases, the Company will act as an agent in transferring the requested goods and services. A transfer of goods and services does not fulfill an obligation and revenue remains deferred. SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 14) Revenues from Contracts with Customers The opening and closing balances of the Company’s receivables, contract assets and contract liabilities are as follows: Schedule of Opening and Closing Balances of Receivables, Contract Assets and Contract Liabilities Contract Balances Receivables (1) Contract Asset Contract Liability Opening (1/1/2022) $ 5,298,636 $ - $ 14,508,022 Closing (6/30/2022) 5,667,019 - 15,519,297 Increase/(decrease) 368,383 - 1,011,275 Contract Balances Receivables (1) Contract Asset Contract Liability Opening (1/1/2021) $ 4,119,988 $ - $ 13,080,179 Closing (12/31/2021) 5,298,636 - 14,508,022 Increase/(decrease) 1,178,648 - 1,427,843 (1) Included in Receivables, net on the condensed consolidated balance sheets The amount of revenue recognized and included in the opening contract liability balance for the three months ended June 30, 2022 and 2021 was $ 1,526,324 1,309,936 2,590,428 2,444,937 The difference between the opening and closing balances of the Company’s contract assets and contract liabilities primarily results from the timing difference between the Company’s performance and the customer’s payment. Disaggregation of Revenue The following table disaggregates revenue for the Company’s cemetery and mortuary contracts. Schedule of Revenues of the Cemetery and Mortuary Contracts 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Major goods/service lines At-need $ 5,598,109 $ 4,001,408 $ 11,464,987 $ 8,043,428 Pre-need 1,652,394 2,316,990 2,991,237 4,217,096 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 Timing of Revenue Recognition Goods transferred at a point in time $ 4,594,656 $ 4,552,154 $ 8,775,201 $ 8,750,827 Services transferred at a point in time 2,655,847 1,766,244 5,681,023 3,509,697 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 14) Revenues from Contracts with Customers The following table reconciles revenues from cemetery and mortuary contracts to Note 7 – Business Segment Information for the Cemetery/Mortuary Segment for the periods presented: Schedule of Reconciliation of Revenues from Cemetery and Mortuary Contracts to Business Segment Information 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 Gains (losses) on investments and other assets (720,135 ) 227,546 (974,660 ) 1,025,886 Net investment income 739,272 240,587 1,235,731 470,891 Other revenues 21,378 21,391 36,917 49,886 Revenues from external customers 7,291,018 6,807,922 14,754,212 13,807,187 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investments | The Company’s investments as of June 30, 2022 are summarized as follows: Schedule of Investments Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value June 30, 2022: Fixed maturity securities, available for sale, at estimated fair value: U.S. Treasury securities and obligations of U.S. Government agencies $ 51,273,582 $ 61,437 $ (1,160,899 ) $ 50,174,120 Obligations of states and political subdivisions 6,051,648 69,721 (163,527 ) 5,957,842 Corporate securities including public utilities 187,219,967 3,656,829 (6,622,423 ) 184,254,373 Mortgage-backed securities 31,598,530 191,301 (1,772,065 ) 30,017,766 Redeemable preferred stock 261,142 11,039 - 272,181 Total fixed maturity securities available for sale $ 276,404,869 $ 3,990,327 $ (9,718,914 ) $ 270,676,282 Equity securities at estimated fair value: Common stock: Industrial, miscellaneous and all other $ 9,730,028 $ 2,309,512 $ (841,137 ) $ 11,198,403 Total equity securities at estimated fair value $ 9,730,028 $ 2,309,512 $ (841,137 ) $ 11,198,403 Mortgage loans held for investment at amortized cost: Residential $ 40,355,630 Residential construction 203,130,224 Commercial 34,050,215 Less: Unamortized deferred loan fees, net (1,015,336 ) Less: Allowance for loan losses (1,476,895 ) Less: Net discounts (352,212 ) Total mortgage loans held for investment $ 274,691,626 Real estate held for investment - net of accumulated depreciation: Residential $ 38,486,971 Commercial 158,068,734 Total real estate held for investment $ 196,555,705 Real estate held for sale: Residential $ 200,962 Commercial 2,540,698 Total real estate held for sale $ 2,741,660 Other investments and policy loans at amortized cost: Policy loans $ 13,130,188 Insurance assignments 43,314,500 Federal Home Loan Bank stock (1) 2,588,400 Other investments 9,177,176 Less: Allowance for doubtful accounts (1,800,076 ) Total policy loans and other investments $ 66,410,188 Accrued investment income $ 8,240,805 Total investments $ 830,514,669 (1) Includes $ 937,600 1,650,800 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments The Company’s investments as of December 31, 2021 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value December 31, 2021: Fixed maturity securities, available for sale, at estimated fair value: U.S. Treasury securities and obligations of U.S. Government agencies $ 22,307,736 $ 578,567 $ - $ 22,886,303 Obligations of states and political subdivisions 4,649,917 212,803 (1,989 ) 4,860,731 Corporate securities including public utilities 174,711,061 21,791,370 (353,668 ) 196,148,763 Mortgage-backed securities 34,365,382 905,159 (161,332 ) 35,109,209 Redeemable preferred stock 269,214 13,383 - 282,597 Total fixed maturity securities available for sale $ 236,303,310 $ 23,501,282 $ (516,989 ) $ 259,287,603 Equity securities at estimated fair value: Common stock: Industrial, miscellaneous and all other $ 8,275,772 $ 3,626,444 $ (305,802 ) $ 11,596,414 Total equity securities at estimated fair value $ 8,275,772 $ 3,626,444 $ (305,802 ) $ 11,596,414 Mortgage loans held for investment at amortized cost: Residential $ 53,533,712 Residential construction 175,117,783 Commercial 51,683,022 Less: Unamortized deferred loan fees, net (918,586 ) Less: Allowance for loan losses (1,699,902 ) Less: Net discounts (409,983 ) Total mortgage loans held for investment $ 277,306,046 Real estate held for investment - net of accumulated depreciation: Residential $ 41,972,462 Commercial 155,393,335 Total real estate held for investment $ 197,365,797 Real estate held for sale: Residential $ 1,190,602 Commercial 2,540,698 Total real estate held for sale $ 3,731,300 Other investments and policy loans at amortized cost: Policy loans $ 13,478,214 Insurance assignments 48,632,808 Federal Home Loan Bank stock (1) 2,547,100 Other investments 4,983,251 Less: Allowance for doubtful accounts (1,686,218 ) Total policy loans and other investments $ 67,955,155 Accrued investment income $ 6,313,012 Total investments $ 823,555,327 (1) Includes $ 905,700 1,641,400 |
Schedule of Fair Value of Fixed Maturity Securities | The following table summarizes unrealized losses on fixed maturity securities available for sale that were carried at estimated fair value at June 30, 2022 and at December 31, 2021. The unrealized losses were primarily related to interest rate fluctuations and uncertainties relating to COVID-19. The tables set forth unrealized losses by duration with the fair value of the related fixed maturity securities: Schedule of Fair Value of Fixed Maturity Securities Unrealized Losses for Less than Twelve Months Fair Value Unrealized Losses for More than Twelve Months Fair Value Combined Unrealized Loss Combined Fair Value At June 30, 2022 U.S. Treasury Securities And Obligations of U.S. Government Agencies $ 1,160,899 $ 48,902,750 $ - $ - $ 1,160,899 $ 48,902,750 Obligations of States and Political Subdivisions 163,527 3,492,894 - - 163,527 3,492,894 Corporate Securities 5,750,763 109,748,965 871,660 3,502,210 6,622,423 113,251,175 Mortgage and other asset-backed securities 1,533,826 23,709,933 238,239 1,576,104 1,772,065 25,286,037 Totals $ 8,609,015 $ 185,854,542 $ 1,109,899 $ 5,078,314 $ 9,718,914 $ 190,932,856 At December 31, 2021 Obligations of States and Political Subdivisions $ 1,989 $ 548,715 $ - $ - $ 1,989 $ 548,715 Corporate Securities 73,507 4,638,750 280,161 3,771,813 353,668 8,410,563 Mortgage and other asset-backed securities 72,952 7,934,760 88,380 1,582,804 161,332 9,517,564 Totals $ 148,448 $ 13,122,225 $ 368,541 $ 5,354,617 $ 516,989 $ 18,476,842 |
Schedule of Earnings on Fixed Maturity Securities | The following table presents a rollforward of the Company’s cumulative other than temporary credit impairments (“OTTI”) recognized in earnings on fixed maturity securities available for sale. Schedule of Earnings on Fixed Maturity Securities 2022 2021 Balance of credit-related OTTI at January 1 $ 264,977 $ 370,975 Additions for credit impairments recognized on: Securities not previously impaired - - Securities previously impaired - - Reductions for credit impairments previously recognized on: Securities that matured or were sold during the period (realized) (39,502 ) - Securities due to an increase in expected cash flows - - Balance of credit-related OTTI at June 30 $ 225,475 $ 370,975 |
Schedule of Investments Classified by Contractual Maturity Date | The following table presents the amortized cost and estimated fair value of fixed maturity securities available for sale at June 30, 2022, by contractual maturity. Expected maturities may differ from contractual maturities because certain borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Schedule of Investments Classified by Contractual Maturity Date Amortized Estimated Fair Due in 1 year $ 12,212,759 $ 12,193,769 Due in 2-5 years 96,106,175 94,530,894 Due in 5-10 years 59,527,119 58,074,435 Due in more than 10 years 76,699,144 75,587,237 Mortgage-backed securities 31,598,530 30,017,766 Redeemable preferred stock 261,142 272,181 Total $ 276,404,869 $ 270,676,282 |
Schedule of Gain (Loss) on Investments | The following table presents the net realized gains and losses from sales, calls, and maturities, unrealized gains and losses on equity securities, and other than temporary impairments from investments and other assets. Schedule of Gain (Loss) on Investments 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Fixed maturity securities: Gross realized gains $ 129,512 $ 188,266 $ 175,635 $ 273,659 Gross realized losses (9,828 ) (2,119 ) (10,758 ) (14,886 ) Equity securities: Gains on securities sold 81,596 146,011 71,317 252,580 Unrealized gains and (losses) on securities held at the end of the period (2,106,375 ) 490,394 (2,713,422 ) 1,442,424 Other assets: Gross realized gains 994,522 737,443 1,833,030 1,846,801 Gross realized losses (3,822 ) (82,791 ) (98,222 ) (363,261 ) Total $ (914,395 ) $ 1,477,204 $ (742,420 ) $ 3,437,317 |
Schedule of Major Categories of Net Investment Income | Information regarding sales of fixed maturity securities available for sale is presented as follows. Schedule of Major Categories of Net Investment Income 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Proceeds from sales $ 233,000 $ 1,163,366 $ 688,651 $ 1,982,931 Gross realized gains - 149,338 2,354 209,132 Gross realized losses (7,825 ) - (7,845 ) - SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 3) Investments (Continued) Major categories of net investment income were as follows: 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Fixed maturity securities available for sale $ 2,811,650 $ 2,698,011 $ 5,447,866 $ 5,522,122 Equity securities 119,798 106,041 242,834 234,270 Mortgage loans held for investment 9,244,464 6,902,466 17,204,642 12,986,883 Real estate held for investment and sale 4,012,192 3,002,650 7,052,226 6,045,479 Policy loans 207,301 232,135 513,583 464,488 Insurance assignments 4,093,723 4,171,318 9,490,710 9,517,047 Other investments 98,361 39,299 169,006 53,006 Cash and cash equivalents 108,431 34,030 183,732 73,624 Gross investment income 20,695,920 17,185,950 40,304,599 34,896,919 Investment expenses (4,724,632 ) (3,008,632 ) (9,139,005 ) (6,425,714 ) Net investment income $ 15,971,288 $ 14,177,318 $ 31,165,594 $ 28,471,205 |
Schedule of Commercial Real Estate Investment | The Company’s commercial real estate held for investment is summarized as follows: Schedule of Commercial Real Estate Investment Net Ending Balance Total Square Footage June 30 December 31 June 30 December 31 Utah (1) 152,758,740 150,105,948 625,920 625,920 Louisiana 2,403,729 2,426,612 31,778 31,778 Mississippi 2,906,265 2,860,775 19,694 19,694 $ 158,068,734 $ 155,393,335 677,392 677,392 (1) Includes Center53 phase 1 and phase 2 The Company’s commercial real estate held for sale is summarized as follows: Net Ending Balance Total Square Footage June 30 December 31 June 30 2022 December 31 Kansas 2,000,000 2,000,000 222,679 222,679 California 389,145 389,145 2,872 2,872 Mississippi (1) 151,553 151,553 - - $ 2,540,698 $ 2,540,698 225,551 225,551 (1) Approximately 93 acres of undeveloped land |
Schedule of Residential Real Estate Investment | The Company’s residential real estate held for investment is summarized as follows: Schedule of Residential Real Estate Investment Net Ending Balance June 30 December 31 Utah (1) 38,486,971 $ 41,686,281 Washington (2) - 286,181 $ 38,486,971 $ 41,972,462 (1) Includes subdivision land developments (2) Improved residential lots The following table presents additional information regarding the Company’s subdivision land developments in Utah. June 30 December 31 Lots developed 48 67 Lots to be developed 1,348 548 Ending Balance $ 38,285,419 $ 41,479,434 The Company’s residential real estate held for sale is summarized as follows: June 30 December 31 2021 Net Ending Balance June 30 December 31 2021 Texas $ 200,962 $ 200,962 Nevada - 979,640 Ohio - 10,000 Real estate held for sale $ 200,962 $ 1,190,602 |
Schedule of Real Estate Owned and Occupied by the Company | The primary business units of the Company occupy a portion of the real estate owned by the Company. As of June 30, 2022, real estate owned and occupied by the Company is summarized as follows: Schedule of Real Estate Owned and Occupied by the Company Location Business Segment Approximate Square Footage Square Footage Occupied by the Company 433 West Ascension Way, Salt Lake City, UT - Center53 Building 2 Corporate Offices, Life Insurance, Cemetery/Mortuary Operations, and Mortgage Operations and Sales 221,000 50 % 1044 River Oaks Dr., Flowood, MS Life Insurance Operations 19,694 28 % 1818 Marshall Street, Shreveport, LA (1) Life Insurance Operations 12,274 100 % 909 Foisy Street, Alexandria, LA (1) Life Insurance Sales 8,059 100 % 812 Sheppard Street, Minden, LA (1) Life Insurance Sales 1,560 100 % 1550 N 3rd Street, Jena, LA (1) Life Insurance Sales 1,737 100 % (1) Included in property and equipment on the consolidated balance sheets |
Schedule of Allowance for Loan Losses as Contra -Asset Account | The Company establishes a valuation allowance for credit losses in its mortgage loans held for investment portfolio. The following table presents the valuation allowance for loan losses as a contra-asset account. Schedule of Allowance for Loan Losses as Contra -Asset Account Commercial Residential Residential Construction Total June 30, 2022 Allowance for credit losses: Beginning balance - January 1, 2022 $ 187,129 $ 1,469,571 $ 43,202 $ 1,699,902 Charge-offs - - - - Provision - (223,007 ) - (223,007 ) Ending balance - June 30, 2022 $ 187,129 $ 1,246,564 $ 43,202 $ 1,476,895 Ending balance: individually evaluated for impairment $ - $ 63,310 $ - $ 63,310 Ending balance: collectively evaluated for impairment $ 187,129 $ 1,183,254 $ 43,202 $ 1,413,585 Mortgage loans: Ending balance - June 30, 2022 $ 34,050,215 $ 40,355,630 $ 203,130,224 $ 277,536,069 Ending balance: individually evaluated for impairment $ 501,949 $ 1,294,512 $ 415,904 $ 2,212,365 Ending balance: collectively evaluated for impairment $ 33,548,266 $ 39,061,118 $ 202,714,320 $ 275,323,704 December 31, 2021 Allowance for credit losses: Beginning balance - January 1, 2021 $ 187,129 $ 1,774,796 $ 43,202 $ 2,005,127 Charge-offs - - - - Provision - (305,225 ) - (305,225 ) Ending balance - December 31, 2021 $ 187,129 $ 1,469,571 $ 43,202 $ 1,699,902 Ending balance: individually evaluated for impairment $ - $ 105,384 $ - $ 105,384 Ending balance: collectively evaluated for impairment $ 187,129 $ 1,364,187 $ 43,202 $ 1,594,518 Mortgage loans: Ending balance - December 31, 2021 $ 51,683,022 $ 53,533,712 $ 175,117,783 $ 280,334,517 Ending balance: individually evaluated for impairment $ 1,723,372 $ 2,548,656 $ - $ 4,272,028 Ending balance: collectively evaluated for impairment $ 49,959,650 $ 50,985,056 $ 175,117,783 $ 276,062,489 (1) (1) Amount corrected from that previously reported due to a typographical error. |
Schedule of Aging of Mortgage Loans | The following table presents the aging of mortgage loans held for investment. Schedule of Aging of Mortgage Loans Commercial Residential Residential Total June 30, 2022 30-59 Days Past Due $ 2,824,716 $ 2,433,116 $ 683,087 $ 5,940,919 60-89 Days Past Due - 341,870 - 341,870 Greater Than 90 Days (1) - 917,135 415,904 1,333,039 In Process of Foreclosure (1) 501,949 377,377 - 879,326 Total Past Due 3,326,665 4,069,498 1,098,991 8,495,154 Current 30,723,550 36,286,132 202,031,233 269,040,915 Total Mortgage Loans 34,050,215 40,355,630 203,130,224 277,536,069 Allowance for Loan Losses (187,129 ) (1,246,564 ) (43,202 ) (1,476,895 ) Unamortized deferred loan fees, net (71,921 ) (385,559 ) (557,856 ) (1,015,336 ) Unamortized discounts, net (238,128 ) (114,084 ) - (352,212 ) Net Mortgage Loans $ 33,553,037 $ 38,609,423 $ 202,529,166 $ 274,691,626 December 31, 2021 30-59 Days Past Due $ - $ 3,117,826 $ 1,363,127 $ 4,480,953 60-89 Days Past Due 100,204 580,815 - 681,019 Greater Than 90 Days (1) 1,723,372 2,052,062 - 3,775,434 In Process of Foreclosure (1) - 496,594 - 496,594 Total Past Due 1,823,576 6,247,297 1,363,127 9,434,000 Current 49,859,446 47,286,415 173,754,656 270,900,517 Total Mortgage Loans 51,683,022 53,533,712 175,117,783 280,334,517 Allowance for Loan Losses (187,129 ) (1,469,571 ) (43,202 ) (1,699,902 ) Unamortized deferred loan fees, net (36,813 ) (498,600 ) (383,173 ) (918,586 ) Unamortized discounts, net (240,614 ) (169,369 ) - (409,983 ) Net Mortgage Loans $ 51,218,466 $ 51,396,172 $ 174,691,408 $ 277,306,046 (1) Interest income is not recognized on loans past due greater than 90 days or in foreclosure. |
Schedule of Impairment Mortgage Loans | Schedule of Impairment Mortgage Loans Recorded Unpaid Related Average Interest June 30, 2022 With no related allowance recorded: Commercial $ 501,949 $ 501,949 $ - $ 1,119,350 $ - Residential 650,488 650,488 - 848,525 - Residential construction 415,904 415,904 - 207,952 - With an allowance recorded: Commercial $ - $ - $ - $ - $ - Residential 644,024 644,024 63,310 730,672 - Residential construction - - - - - Total: Commercial $ 501,949 $ 501,949 $ - $ 1,119,350 $ - Residential 1,294,512 1,294,512 63,310 1,579,197 - Residential construction 415,904 415,904 - 207,952 - December 31, 2021 With no related allowance recorded: Commercial $ 1,723,372 $ 1,723,372 $ - $ 1,053,865 $ - Residential 1,591,368 1,591,368 - 2,731,421 - Residential construction - - - 100,481 - With an allowance recorded: Commercial $ - $ - $ - $ - $ - Residential 957,288 957,288 105,384 726,449 - Residential construction - - - - - Total: Commercial $ 1,723,372 $ 1,723,372 $ - $ 1,053,865 $ - Residential 2,548,656 2,548,656 105,384 3,457,870 - Residential construction - - - 100,481 - |
Schedule of Credit Risk of Mortgage Loans Based on Performance Status | The Company’s performing and non-performing mortgage loans held for investment are summarized as follows: Schedule of Credit Risk of Mortgage Loans Based on Performance Status Commercial Residential Residential Construction Total June 30, December June 30, December 31, June 30, December 31, June 30, December 31, Performing $ 33,548,266 $ 49,959,650 $ 39,061,118 $ 50,985,056 $ 202,714,320 $ 175,117,783 $ 275,323,704 $ 276,062,489 Non-performing 501,949 1,723,372 1,294,512 2,548,656 415,904 - 2,212,365 4,272,028 Total $ 34,050,215 $ 51,683,022 $ 40,355,630 $ 53,533,712 $ 203,130,224 $ 175,117,783 $ 277,536,069 $ 280,334,517 |
Loans Held for Sale (Tables)
Loans Held for Sale (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Loans Held For Sale | |
Summary of Aggregate Fair Value - Loans Held for Sale | The following table presents the aggregate fair value and the aggregate unpaid principal balance of loans held for sale. Summary of Aggregate Fair Value - Loans Held for Sale As of June 30 As of December 31 Aggregate fair value $ 209,860,409 $ 302,776,827 Unpaid principal balance 207,409,731 294,481,503 Unrealized gain 2,450,678 8,295,324 |
Schedule of Mortgage Fee Income for Loans Held for Sale | Major categories of mortgage fee income for loans held for sale are summarized as follows: Schedule of Mortgage Fee Income for Loans Held for Sale 2022 2021 2022 2021 Three Months Ended June 30 Six Months Ended June 30 2022 2021 2022 2021 Loan fees $ 7,950,227 $ 9,154,621 $ 15,037,410 $ 18,694,577 Interest income 2,923,446 2,188,380 4,955,315 4,500,181 Secondary gains 37,161,287 56,020,876 76,763,900 124,459,809 Change in fair value of loan commitments (2,247,244 ) (482,863 ) 428,127 (168,397 ) Change in fair value of loans held for sale (3,463,922 ) (1,114,632 ) (6,210,487 ) (8,060,513 ) Provision for loan loss reserve (292,896 ) (608,569 ) (598,922 ) (1,269,232 ) Mortgage fee income $ 42,030,898 $ 65,157,813 $ 90,375,343 $ 138,156,425 |
Summary of Loan Loss Reserve Included in Other Liabilities and Accrued Expenses | Summary of Loan Loss Reserve Included in Other Liabilities and Accrued Expenses As of June 30 As of December 31 Balance, beginning of period $ 2,447,139 $ 20,583,618 Provision on current loan originations (1) 598,922 2,211,230 Charge-offs, net of recaptured amounts (1,105,275 ) (20,347,709 ) Balance, end of period $ 1,940,786 $ 2,447,139 (1) Included in mortgage fee income |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Activity of Stock Option Plans | A summary of the status of the Company’s stock compensation plans as of June 30, 2022, and the changes during the six months ended June 30, 2022, are presented below: Schedule of Activity of Stock Option Plans Number of Weighted Number of Weighted Outstanding at January 1, 2022 1,024,351 $ 4.38 821,146 $ 5.26 Adjustment for effect of stock dividends 47,780 41,057 Granted 4,000 - Exercised (71,330 ) - Cancelled (1,591 ) - Outstanding at June 30, 2022 1,003,210 $ 4.58 862,203 $ 5.26 As of June 30, 2022: Options exercisable 955,460 $ 4.40 747,203 $ 4.78 As of June 30, 2022: Available options for future grant 239,795 17,523 Weighted average contractual term of options outstanding at June 30, 2022 4.32 6.75 Weighted average contractual term of options exercisable at June 30, 2022 4.06 6.50 Aggregated intrinsic value of options outstanding at June 30, 2022 (1) $ 3,891,873 $ 2,758,643 Aggregated intrinsic value of options exercisable at June 30, 2022 (1) $ 3,878,980 $ 2,748,093 (1) The Company used a stock price of $ 8.46 SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 5) Stock Compensation Plans A summary of the status of the Company’s stock compensation plans as of June 30, 2021, and the changes during the six months ended June 30, 2021, are presented below: Number of Weighted Number of Weighted Outstanding at January 1, 2021 1,072,863 $ 4.22 662,666 $ 4.61 Adjustment for effect of stock dividends 47,594 33,136 Granted - - Exercised (97,313 ) - Cancelled - - Outstanding at June 30, 2021 1,023,144 $ 4.29 695,802 $ 4.61 As of June 30, 2021: Options exercisable 1,023,144 $ 4.29 695,802 $ 4.61 As of June 30, 2021: Available options for future grant 358,462 279,825 Weighted average contractual term of options outstanding at June 30, 2021 5.18 6.32 Weighted average contractual term of options exercisable at June 30, 2021 5.18 6.32 Aggregated intrinsic value of options outstanding at June 30, 2021 (1) $ 4,135,399 $ 2,585,420 Aggregated intrinsic value of options exercisable at June 30, 2021 (1) $ 4,135,399 $ 2,585,420 (1) The Company used a stock price of $ 8.33 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earning Per Share, Basic and Diluted | Earnings per share amounts have been retroactively adjusted for the effect of annual stock dividends. In accordance with GAAP, the basic and diluted earnings per share amounts were calculated as follows: Schedule of Earning Per Share, Basic and Diluted 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Numerator: Net earnings $ 3,574,449 $ 11,257,479 $ 6,803,167 $ 23,386,194 Denominator: Basic weighted-average shares outstanding 21,184,688 21,098,789 21,282,747 21,085,669 Effect of dilutive securities: Employee stock options 833,142 824,058 851,132 867,350 Diluted weighted-average shares outstanding 22,017,830 21,922,847 22,133,879 21,953,019 Basic net earnings per share $ 0.17 $ 0.53 $ 0.32 $ 1.11 Diluted net earnings per share $ 0.16 $ 0.51 $ 0.31 $ 1.07 |
Summary of Activities in Shares of Capital Stock | The following table summarizes the activity in shares of capital stock. Summary of Activities in Shares of Capital Stock Class A Class C Outstanding shares at December 31, 2020 16,595,783 2,679,603 Exercise of stock options 80,948 - Stock dividends 836,263 131,554 Conversion of Class C to Class A 48,527 (48,527 ) Outstanding shares at June 30, 2021 17,561,521 2,762,630 Outstanding shares at December 31, 2021 17,642,722 2,866,565 Exercise of stock options 69,096 - Stock dividends 889,554 139,462 Conversion of Class C to Class A 77,316 (77,316 ) Outstanding shares at June 30, 2022 18,678,688 2,928,711 |
Business Segment Information (T
Business Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Revenues and Expenses by Reportable Segment | Schedule of Revenues and Expenses by Reportable Segment Life Insurance Cemetery/ Mortgage Intercompany Eliminations Consolidated For the Three Months Ended June 30, 2022 Revenues from external customers $ 41,166,269 $ 7,291,018 $ 47,109,367 $ - $ 95,566,654 Intersegment revenues 2,075,987 85,151 77,826 (2,238,964 ) - Segment profit (loss) before income taxes 3,931,784 1,485,938 (687,876 ) - 4,729,846 For the Six Months Ended June 30, 2022 Revenues from external customers $ 82,668,078 $ 14,754,212 $ 100,570,271 $ - $ 197,992,561 Intersegment revenues 3,771,766 267,740 152,535 (4,192,041 ) - Segment profit before income taxes 4,748,269 3,506,255 918,838 - 9,173,362 Identifiable Assets 1,229,780,002 78,739,030 250,312,796 (91,917,796 ) 1,466,914,032 Goodwill 2,765,570 2,488,213 - - 5,253,783 Total Assets 1,232,545,572 81,227,243 250,312,796 (91,917,796 ) 1,472,167,815 For the Three Months Ended June 30, 2021 Revenues from external customers $ 40,657,393 $ 6,807,922 $ 69,285,000 $ - $ 116,750,315 Intersegment revenues 1,750,929 78,302 156,016 (1,985,247 ) - Segment profit before income taxes 4,694,177 2,269,325 7,713,850 - 14,677,352 For the Six Months Ended June 30, 2021 Revenues from external customers $ 79,601,227 $ 13,807,187 $ 146,000,507 $ - $ 239,408,921 Intersegment revenues 3,652,981 155,809 317,032 (4,125,822 ) - Segment profit before income taxes 7,389,205 4,970,270 18,672,932 - 31,032,407 Identifiable Assets 1,193,893,855 59,621,349 317,945,282 (72,923,887 ) 1,498,536,599 Goodwill 2,765,570 754,018 - - 3,519,588 Total Assets 1,196,659,425 60,375,367 317,945,282 (72,923,887 ) 1,502,056,187 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Assets and Liabilities Measured on a Recurring Basis | The following tables summarize Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a recurring basis by their classification in the condensed consolidated balance sheet at June 30, 2022. Schedule of Fair Value Assets and Liabilities Measured on a Recurring Basis Total Quoted Prices in Significant Significant Assets accounted for at fair value on a recurring basis Fixed maturity securities available for sale $ 270,676,282 $ - $ 268,713,493 $ 1,962,789 Equity securities 11,198,403 11,198,403 - - Loans held for sale 209,860,409 - - 209,860,409 Restricted assets (1) 1,851,887 - 1,851,887 - Restricted assets (2) 3,741,011 3,741,011 - - Cemetery perpetual care trust investments (1) (1) 653,462 - 653,462 - Cemetery perpetual care trust investments (2) (2) 2,441,876 2,441,876 - - Derivatives - loan commitments (3) 9,864,213 - - 9,864,213 Total assets accounted for at fair value on a recurring basis $ 510,287,543 $ 17,381,290 $ 271,218,842 $ 221,687,411 Liabilities accounted for at fair value on a recurring basis Derivatives - call options (4) $ (13,683 ) $ (13,683 ) $ - $ - Derivatives - put options (4) (19,545 ) (19,545 ) - - Derivatives - loan commitments (4) (2,420,571 ) - - (2,420,571 ) Total liabilities accounted for at fair value on a recurring basis $ (2,453,799 ) $ (33,228 ) $ - $ (2,420,571 ) (1) Fixed maturity securities available for sale (2) Equity securities (3) Included in other assets on the consolidated balance sheets (4) Included in other liabilities and accrued expenses on the consolidated balance sheets SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following tables summarize Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a recurring basis by their classification in the condensed consolidated balance sheet at December 31, 2021. Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a recurring basis Fixed maturity securities available for sale $ 259,287,603 $ - $ 257,264,255 $ 2,023,348 Equity securities 11,596,414 11,596,414 - - Loans held for sale 302,776,827 - - 302,776,827 Restricted assets (1) 1,601,688 - 1,601,688 - Restricted assets (2) 3,603,822 3,603,822 - - Cemetery perpetual care trust investments (1) (1) 784,765 - 784,765 - Cemetery perpetual care trust investments (2) (2) 3,302,480 3,302,480 - - Derivatives - loan commitments (3) 8,563,410 - - 8,563,410 Total assets accounted for at fair value on a recurring basis $ 591,517,009 $ 18,502,716 $ 259,650,708 $ 313,363,585 Liabilities accounted for at fair value on a recurring basis Derivatives - call options (4) $ (50,936 ) $ (50,936 ) $ - $ - Derivatives - put options (4) (4,493 ) (4,493 ) - - Derivatives - loan commitments (4) (1,547,895 ) - - (1,547,895 ) Total liabilities accounted for at fair value on a recurring basis $ (1,603,324 ) $ (55,429 ) $ - $ (1,547,895 ) (1) Fixed maturity securities available for sale (2) Equity securities (3) Included in other assets on the consolidated balance sheets (4) Included in other liabilities and accrued expenses on the consolidated balance sheets |
Assets and Liabilities Measured at Fair Value on A Recurring Basis | For Level 3 assets and liabilities measured at fair value on a recurring basis as of June 30, 2022, the significant unobservable inputs used in the fair value measurements were as follows: Assets and Liabilities Measured at Fair Value on A Recurring Basis Significant Range of Inputs Fair Value at Valuation Unobservable Minimum Maximum Weighted 6/30/2022 Technique Input(s) Value Value Average Loans held for sale $ 209,860,409 Market approach Investor contract pricing as a percentage of unpaid principal balance 86.9 % 106.1 % 100.8 % Derivatives - loan commitments (net) 7,443,642 Market approach Pull-through rate 60.0 % 95.0 % 79.0 % Initial-Value N/A N/A N/A Servicing 0 bps 167 bps 60 bps Fixed maturity securities available for sale 1,962,789 Broker quotes Pricing quotes $ 96.87 $ 111.11 $ 104.86 For Level 3 assets and liabilities measured at fair value on a recurring basis as of December 31, 2021, the significant unobservable inputs used in the fair value measurements were as follows: Significant Range of Inputs Fair Value at Valuation Unobservable Minimum Maximum Weighted 12/31/2021 Technique Input(s) Value Value Average Loans held for sale $ 302,776,827 Market approach Investor contract pricing as a percentage of unpaid principal balance 95.0 % 109.0 % 103.0 % Derivatives - loan commitments (net) 7,015,515 Market approach Pull-through rate 66.0 % 95.0 % 81.0 % Initial-Value N/A N/A N/A Servicing 0 bps 148 bps 61 bps Fixed maturity securities available for sale 2,023,348 Broker quotes Pricing quotes $ 96.87 $ 111.11 $ 106.73 |
Schedule of Changes in the Consolidated Balance Sheet Line Items Measured Using Level 3 Inputs | The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the six months ending June 30, 2022: Schedule of Changes in the Consolidated Balance Sheet Line Items Measured Using Level 3 Inputs Net Loan Loans Held Fixed Maturity Balance - December 31, 2021 $ 7,015,515 $ 302,776,827 $ 2,023,348 Originations and purchases - 2,049,959,460 - Sales, maturities and paydowns - (2,187,475,867 ) (24,350 ) Total gains (losses): Included in earnings 428,127 (1) 44,599,989 (1) 1,957 (2) Included in other comprehensive income - - (38,166 ) Balance - June 30, 2022 $ 7,443,642 $ 209,860,409 $ 1,962,789 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the six months ending June 30, 2021: Net Loan Loans Held Fixed Maturity Balance - December 31, 2020 $ 10,128,610 $ 422,772,418 $ 2,201,175 Originations and purchases - 2,810,230,507 - Sales, maturities and paydowns - (3,025,027,077 ) (22,400 ) Transfer to mortgage loans held for investment - (201,951 ) - Total gains (losses): Included in earnings (168,397 )(1) 88,954,189 (1) 1,801 (2) Included in other comprehensive income - - 252 Balance - June 30, 2021 $ 9,960,213 $ 296,728,086 $ 2,180,828 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the three months ending June 30, 2022: Net Loan Loans Held Fixed Maturity Balance - March 31, 2022 $ 9,690,886 $ 234,012,872 $ 2,011,772 Originations and purchases - 1,010,742,878 - Sales, maturities and paydowns - (1,055,390,037 ) (12,400 ) Total gains (losses): Included in earnings (2,247,244 )(1) 20,494,696 (1) 996 (2) Included in other comprehensive income - - (37,579 ) Balance - June 30, 2022 $ 7,443,642 $ 209,860,409 $ 1,962,789 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings The following table is a summary of changes in the condensed consolidated balance sheet line items measured using level 3 inputs for the three months ending June 30, 2021: Net Loan Commitments Loans Held for Sale Fixed Maturity Securities Available for Sale Balance - March 31, 2021 $ 10,443,076 $ 304,030,372 $ 2,191,093 Originations and purchases - 1,360,389,498 - Sales, maturities and paydowns - (1,410,147,019 ) (11,300 ) Total gains (losses): Included in earnings (482,863 )(1) 42,455,235 (1) 908 (2) Included in other comprehensive income - - 127 Balance - June 30, 2021 $ 9,960,213 $ 296,728,086 $ 2,180,828 (1) As a component of Mortgage fee income on the condensed consolidated statements of earnings (2) As a component of Net investment income on the condensed consolidated statements of earnings |
Schedule of Fair Value Assets Measured on a Nonrecurring Basis | The following table summarizes Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a nonrecurring basis by their classification in the condensed consolidated balance sheet at June 30, 2022. Schedule of Fair Value Assets Measured on a Nonrecurring Basis Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a nonrecurring basis Impaired mortgage loans held for investment 580,714 - - 580,714 Total assets accounted for at fair value on a nonrecurring basis $ 580,714 $ - $ - $ 580,714 The following table summarizes Level 1, 2 and 3 financial assets and financial liabilities measured at fair value on a nonrecurring basis by their classification in the condensed consolidated balance sheet at December 31, 2021. Total Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs Significant Unobservable Inputs Assets accounted for at fair value on a nonrecurring basis Impaired mortgage loans held for investment $ 851,903 $ - $ - $ 851,903 Impaired real estate held for sale 2,000,000 - - 2,000,000 Total assets accounted for at fair value on a nonrecurring basis $ 2,851,903 $ - $ - $ 2,851,903 |
Schedule of Financial Instruments Carried at Other Than Fair Value | The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows as of June 30, 2022: Schedule of Financial Instruments Carried at Other Than Fair Value Carrying Value Level 1 Level 2 Level 3 Total Estimated Fair Value Assets Mortgage loans held for investment Residential $ 38,609,423 $ - $ - $ 37,669,281 $ 37,669,281 Residential construction 202,529,166 - - 202,529,166 202,529,166 Commercial 33,553,037 - - 33,070,818 33,070,818 Mortgage loans held for investment, net $ 274,691,626 $ - $ - $ 273,269,265 $ 273,269,265 Policy loans 13,130,188 - - 13,130,188 13,130,188 Insurance assignments, net (1) 41,514,424 - - 41,514,424 41,514,424 Restricted assets (2) 2,284,145 - - 2,284,145 2,284,145 Cemetery perpetual care trust investments (2) 2,275,145 - - 2,275,145 2,275,145 Mortgage servicing rights, net 56,289,255 - - 95,644,506 95,644,506 Liabilities Bank and other loans payable $ (200,344,907 ) $ - $ - $ (200,344,907 ) $ (200,344,907 ) Policyholder account balances (3) (42,060,137 ) - - (35,231,639 ) (35,231,639 ) Future policy benefits - annuities (3) (106,972,838 ) - - (115,674,814 ) (115,674,814 ) (1) Included in other investments and policy loans on the condensed consolidated balance sheets (2) Mortgage loans held for investment (3) Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements June 30, 2022 (Unaudited) 8) Fair Value of Financial Instruments The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows as of December 31, 2021: Carrying Value Level 1 Level 2 Level 3 Total Estimated Fair Value Assets Mortgage loans held for investment Residential $ 51,396,172 $ - $ - $ 55,159,167 $ 55,159,167 Residential construction 174,691,408 - - 174,691,408 174,691,408 Commercial 51,218,466 - - 51,008,709 51,008,709 Mortgage loans held for investment, net $ 277,306,046 $ - $ - $ 280,859,284 $ 280,859,284 Policy loans 13,478,214 - - 13,478,214 13,478,214 Insurance assignments, net (1) 46,946,590 - - 46,946,590 46,946,590 Restricted assets (2) 2,732,320 - - 2,732,320 2,732,320 Cemetery perpetual care trust investments (2) 1,823,533 - - 1,823,533 1,823,533 Mortgage servicing rights, net 53,060,455 - - 68,811,809 68,811,809 Liabilities Bank and other loans payable $ (251,286,927 ) $ - $ - $ (251,286,927 ) $ (251,286,927 ) Policyholder account balances (3) (42,939,055 ) - - (35,855,934 ) (35,855,934 ) Future policy benefits - annuities (3) (107,992,830 ) - - (116,215,717 ) (116,215,717 ) (1) Included in other investments and policy loans on the condensed consolidated balance sheets (2) Mortgage loans held for investment (3) Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Assets at Fair Value | The following table shows the fair value and notional amounts of derivative instruments. Schedule of Derivative Assets at Fair Value June 30, 2022 December 31, 2021 Balance Sheet Location Notional Amount Asset Fair Value Liability Fair Value Notional Amount Asset Fair Value Liability Fair Value Derivatives not designated as hedging instruments: Loan commitments Other assets and Other liabilities $ 692,681,295 $ 9,864,213 $ 2,420,571 $ 862,568,967 $ 8,563,410 $ 1,547,895 Call options Other liabilities 696,900 - 13,683 982,500 - 50,936 Put options Other liabilities 482,500 - 19,545 362,900 - 4,493 Total $ 693,860,695 $ 9,864,213 $ 2,453,799 $ 863,914,367 $ 8,563,410 $ 1,603,324 |
Schedule of Gains and Losses on Derivatives | The following table presents the gains (losses) on derivatives. There were no gains or losses reclassified from accumulated other comprehensive income into income or gains or losses recognized in income on derivatives ineffective portion or any amounts excluded from effective testing. Schedule of Gains and Losses on Derivatives Net Amount Gain (Loss) Net Amount Gain (Loss) Three Months Ended June 30 Six Months Ended June 30 Derivative Classification 2022 2021 2022 2021 Loan commitments Mortgage fee income $ (2,247,244 ) $ (482,863 ) $ 428,127 $ (168,397 ) Call and put options Gains on investments and other assets $ 65,033 $ 88,522 $ 126,229 $ 115,285 |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Mortgage Servicing Rights | The following table presents the MSR activity. Schedule of Mortgage Servicing Rights As of June 30 As of December 31 Amortized cost: Balance before valuation allowance at beginning of year $ 53,060,455 $ 35,210,516 MSR additions resulting from loan sales 9,066,637 32,701,819 Amortization (1) (5,837,837 ) (14,851,880 ) Application of valuation allowance to write down MSRs with other than temporary impairment - - Balance before valuation allowance at end of period $ 56,289,255 $ 53,060,455 Valuation allowance for impairment of MSRs: Balance at beginning of year $ - $ - Additions - - Application of valuation allowance to write down MSRs with other than temporary impairment - - Balance at end of period $ - $ - Mortgage servicing rights, net $ 56,289,255 $ 53,060,455 Estimated fair value of MSRs at end of period $ 95,644,506 $ 68,811,809 (1) Included in other expenses on the condensed consolidated statements of earnings |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense, Mortgage Servicing Rights | The following table summarizes the Company’s estimate of future amortization of its existing MSRs carried at amortized cost. This projection was developed using the assumptions made by management in its June 30, 2022 valuation of MSRs. The assumptions underlying the following estimate will change as market conditions and portfolio composition and behavior change, causing both actual and projected amortization levels to change over time. Therefore, the following estimates will change in a manner and amount not presently determinable by management. Schedule of Finite-Lived Intangible Assets, Future Amortization Expense, Mortgage Servicing Rights Estimated MSR Amortization 2021 6,184,893 2022 5,460,823 2023 4,983,934 2024 4,490,584 2025 4,050,463 Thereafter 31,118,558 Total $ 56,289,255 |
Schedule of Other Revenues | The Company collected the following contractual servicing fee income and late fee income as reported in other revenues on the condensed consolidated statement of earnings. Schedule of Other Revenues 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Contractual servicing fees $ 4,694,969 $ 3,755,294 $ 9,201,229 $ 7,142,765 Late fees 81,597 74,437 181,635 155,487 Total $ 4,776,566 $ 3,829,731 $ 9,382,864 $ 7,298,252 |
Summary of Unpaid Principal Balances of the Servicing Portfolio | The following is a summary of the unpaid principal balances (“UPB”) of the servicing portfolio. Summary of Unpaid Principal Balances of the Servicing Portfolio As of June 30 As of December 31 2021 Servicing UPB $ 7,502,116,963 $ 7,060,536,350 |
Schedule of Assumptions Used in Determining MSR Value | The following key assumptions were used in determining MSR value: Schedule of Assumptions Used in Determining MSR Value Prepayment Average Discount June 30, 2022 7.50 8.3 9.50 December 31, 2021 11.60 6.64 9.50 |
Revenues from Contracts with _2
Revenues from Contracts with Customers (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Opening and Closing Balances of Receivables, Contract Assets and Contract Liabilities | The opening and closing balances of the Company’s receivables, contract assets and contract liabilities are as follows: Schedule of Opening and Closing Balances of Receivables, Contract Assets and Contract Liabilities Contract Balances Receivables (1) Contract Asset Contract Liability Opening (1/1/2022) $ 5,298,636 $ - $ 14,508,022 Closing (6/30/2022) 5,667,019 - 15,519,297 Increase/(decrease) 368,383 - 1,011,275 Contract Balances Receivables (1) Contract Asset Contract Liability Opening (1/1/2021) $ 4,119,988 $ - $ 13,080,179 Closing (12/31/2021) 5,298,636 - 14,508,022 Increase/(decrease) 1,178,648 - 1,427,843 (1) Included in Receivables, net on the condensed consolidated balance sheets |
Schedule of Revenues of the Cemetery and Mortuary Contracts | The following table disaggregates revenue for the Company’s cemetery and mortuary contracts. Schedule of Revenues of the Cemetery and Mortuary Contracts 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Major goods/service lines At-need $ 5,598,109 $ 4,001,408 $ 11,464,987 $ 8,043,428 Pre-need 1,652,394 2,316,990 2,991,237 4,217,096 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 Timing of Revenue Recognition Goods transferred at a point in time $ 4,594,656 $ 4,552,154 $ 8,775,201 $ 8,750,827 Services transferred at a point in time 2,655,847 1,766,244 5,681,023 3,509,697 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 |
Schedule of Reconciliation of Revenues from Cemetery and Mortuary Contracts to Business Segment Information | The following table reconciles revenues from cemetery and mortuary contracts to Note 7 – Business Segment Information for the Cemetery/Mortuary Segment for the periods presented: Schedule of Reconciliation of Revenues from Cemetery and Mortuary Contracts to Business Segment Information 2022 2021 2022 2021 Three Months Ended Six Months Ended 2022 2021 2022 2021 Net mortuary and cemetery sales $ 7,250,503 $ 6,318,398 $ 14,456,224 $ 12,260,524 Gains (losses) on investments and other assets (720,135 ) 227,546 (974,660 ) 1,025,886 Net investment income 739,272 240,587 1,235,731 470,891 Other revenues 21,378 21,391 36,917 49,886 Revenues from external customers 7,291,018 6,807,922 14,754,212 13,807,187 |
Schedule of Investments (Detail
Schedule of Investments (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | $ 276,404,869 | $ 236,303,310 | |||
Available for sale securities, unrecognized holding gain | 3,990,327 | 23,501,282 | |||
Available for sale securities, unrecognized holding loss | (9,718,914) | (516,989) | |||
Available for sale securities, estimated fair value | 270,676,282 | 259,287,603 | |||
Available-for-sale securities, amortized cost basis | 9,730,028 | 8,275,772 | |||
Available-for-sale securities, gross unrealized gain | 11,198,403 | 11,596,414 | |||
Mortgage loans on real estate and construction | 277,536,069 | 280,334,517 | |||
Mortgage loans on real estate and construction, unamortized deferred loan fees, net | (1,015,336) | (918,586) | |||
Mortgage loans on real estate and construction, allowance for losses | (1,476,895) | (1,699,902) | $ (2,005,127) | ||
Mortgage loans on real estate and construction, discount | (352,212) | (409,983) | |||
Mortgage loans on real estate and construction | 274,691,626 | 277,306,046 | |||
Real estate held for investment, net of depreciation | 196,555,705 | 197,365,797 | |||
Real estate held for sale | 2,741,660 | 3,731,300 | |||
Policy loans | 13,130,188 | 13,478,214 | |||
Insurance assignments | 43,314,500 | 48,632,808 | |||
Federal home loan bank stock | 2,588,400 | [1] | 2,547,100 | [2] | |
Other investments | 9,177,176 | 4,983,251 | |||
Allowance for doubtful accounts | (1,800,076) | (1,686,218) | |||
Total policy loans and other investments | 66,410,188 | 67,955,155 | |||
Accrued investment income | 8,240,805 | 6,313,012 | |||
Total investments | 830,514,669 | 823,555,327 | |||
US Treasury Securities [Member] | |||||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | 51,273,582 | 22,307,736 | |||
Available for sale securities, unrecognized holding gain | 61,437 | 578,567 | |||
Available for sale securities, unrecognized holding loss | (1,160,899) | ||||
Available for sale securities, estimated fair value | 50,174,120 | 22,886,303 | |||
US States and Political Subdivisions Debt Securities [Member] | |||||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | 6,051,648 | 4,649,917 | |||
Available for sale securities, unrecognized holding gain | 69,721 | 212,803 | |||
Available for sale securities, unrecognized holding loss | (163,527) | (1,989) | |||
Available for sale securities, estimated fair value | 5,957,842 | 4,860,731 | |||
Corporate Debt Securities [Member] | |||||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | 187,219,967 | 174,711,061 | |||
Available for sale securities, unrecognized holding gain | 3,656,829 | 21,791,370 | |||
Available for sale securities, unrecognized holding loss | (6,622,423) | (353,668) | |||
Available for sale securities, estimated fair value | 184,254,373 | 196,148,763 | |||
Mortgage-Backed Securities, Issued by US Government Sponsored Enterprises [Member] | |||||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | 31,598,530 | 34,365,382 | |||
Available for sale securities, unrecognized holding gain | 191,301 | 905,159 | |||
Available for sale securities, unrecognized holding loss | (1,772,065) | (161,332) | |||
Available for sale securities, estimated fair value | 30,017,766 | 35,109,209 | |||
Redeemable Preferred Stock [Member] | |||||
Marketable Securities [Line Items] | |||||
Available for sale securities, amortized cost | 261,142 | 269,214 | |||
Available for sale securities, unrecognized holding gain | 11,039 | 13,383 | |||
Available for sale securities, unrecognized holding loss | |||||
Available for sale securities, estimated fair value | 272,181 | 282,597 | |||
Industrial Miscellaneous And All Other [Member] | |||||
Marketable Securities [Line Items] | |||||
Available-for-sale securities, amortized cost basis | 9,730,028 | 8,275,772 | |||
Available for sale securities, unrecognized holding gain | 2,309,512 | 3,626,444 | |||
Available for sale securities, unrecognized holding loss | (841,137) | (305,802) | |||
Available-for-sale securities, gross unrealized gain | 11,198,403 | 11,596,414 | |||
Equity Securities One [Member] | |||||
Marketable Securities [Line Items] | |||||
Available-for-sale securities, amortized cost basis | 9,730,028 | 8,275,772 | |||
Available for sale securities, unrecognized holding gain | 2,309,512 | 3,626,444 | |||
Available for sale securities, unrecognized holding loss | (841,137) | (305,802) | |||
Available-for-sale securities, gross unrealized gain | 11,198,403 | 11,596,414 | |||
Residential Mortgage [Member] | |||||
Marketable Securities [Line Items] | |||||
Mortgage loans on real estate and construction | 40,355,630 | 53,533,712 | |||
Mortgage loans on real estate and construction, unamortized deferred loan fees, net | (385,559) | (498,600) | |||
Mortgage loans on real estate and construction, allowance for losses | (1,246,564) | (1,469,571) | (1,774,796) | ||
Mortgage loans on real estate and construction, discount | (114,084) | (169,369) | |||
Mortgage loans on real estate and construction | 38,609,423 | 51,396,172 | |||
Real estate held for investment, net of depreciation | 38,486,971 | 41,972,462 | |||
Real estate held for sale | 200,962 | 1,190,602 | |||
Residential Construction [Member] | |||||
Marketable Securities [Line Items] | |||||
Mortgage loans on real estate and construction | 203,130,224 | 175,117,783 | |||
Mortgage loans on real estate and construction, unamortized deferred loan fees, net | (557,856) | (383,173) | |||
Mortgage loans on real estate and construction, allowance for losses | (43,202) | (43,202) | $ (43,202) | ||
Mortgage loans on real estate and construction, discount | |||||
Mortgage loans on real estate and construction | 202,529,166 | 174,691,408 | |||
Commercial [Member] | |||||
Marketable Securities [Line Items] | |||||
Mortgage loans on real estate and construction | 34,050,215 | 51,683,022 | |||
Real estate held for investment, net of depreciation | 158,068,734 | 155,393,335 | |||
Real estate held for sale | $ 2,540,698 | $ 2,540,698 | |||
[1]Includes $ 937,600 1,650,800 905,700 1,641,400 |
Schedule of Investments (Deta_2
Schedule of Investments (Details) (Parenthethical) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | ||
Short term investment | $ 2,588,400 | [1] | $ 2,547,100 | [2] |
Membership [Member] | ||||
Short term investment | 937,600 | 905,700 | ||
Activity Stock Due [Member] | ||||
Short term investment | $ 1,650,800 | $ 1,641,400 | ||
[1]Includes $ 937,600 1,650,800 905,700 1,641,400 |
Schedule of Fair Value of Fixed
Schedule of Fair Value of Fixed Maturity Securities (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Marketable Securities [Line Items] | ||
Available for Sale Securities, Unrealized Losses for Less than Twelve Months | $ 8,609,015 | $ 148,448 |
Available for Sale Securities, Unrealized Losses for Less than Twelve Months, Fair Value | 185,854,542 | 13,122,225 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months | 1,109,899 | 368,541 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months, Fair Value | 5,078,314 | 5,354,617 |
Available for Sale Securities, Unrealized Losses | 9,718,914 | 516,989 |
Available for Sale Securities, Fair Value | 190,932,856 | 18,476,842 |
US Treasury Securities [Member] | ||
Marketable Securities [Line Items] | ||
Available for Sale Securities, Unrealized Losses for Less than Twelve Months | 1,160,899 | |
Available for Sale Securities, Unrealized Losses for Less than Twelve Months, Fair Value | 48,902,750 | |
Available for Sale Securities, Unrealized Losses for More than Twelve Months | ||
Available for Sale Securities, Unrealized Losses for More than Twelve Months, Fair Value | ||
Available for Sale Securities, Unrealized Losses | 1,160,899 | |
Available for Sale Securities, Fair Value | 48,902,750 | |
US States and Political Subdivisions Debt Securities [Member] | ||
Marketable Securities [Line Items] | ||
Available for Sale Securities, Unrealized Losses for Less than Twelve Months | 163,527 | 1,989 |
Available for Sale Securities, Unrealized Losses for Less than Twelve Months, Fair Value | 3,492,894 | 548,715 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months | ||
Available for Sale Securities, Unrealized Losses for More than Twelve Months, Fair Value | ||
Available for Sale Securities, Unrealized Losses | 163,527 | 1,989 |
Available for Sale Securities, Fair Value | 3,492,894 | 548,715 |
Corporate Securities [Member] | ||
Marketable Securities [Line Items] | ||
Available for Sale Securities, Unrealized Losses for Less than Twelve Months | 5,750,763 | 73,507 |
Available for Sale Securities, Unrealized Losses for Less than Twelve Months, Fair Value | 109,748,965 | 4,638,750 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months | 871,660 | 280,161 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months, Fair Value | 3,502,210 | 3,771,813 |
Available for Sale Securities, Unrealized Losses | 6,622,423 | 353,668 |
Available for Sale Securities, Fair Value | 113,251,175 | 8,410,563 |
Mortgage-Backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Marketable Securities [Line Items] | ||
Available for Sale Securities, Unrealized Losses for Less than Twelve Months | 1,533,826 | 72,952 |
Available for Sale Securities, Unrealized Losses for Less than Twelve Months, Fair Value | 23,709,933 | 7,934,760 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months | 238,239 | 88,380 |
Available for Sale Securities, Unrealized Losses for More than Twelve Months, Fair Value | 1,576,104 | 1,582,804 |
Available for Sale Securities, Unrealized Losses | 1,772,065 | 161,332 |
Available for Sale Securities, Fair Value | $ 25,286,037 | $ 9,517,564 |
Schedule of Earnings on Fixed M
Schedule of Earnings on Fixed Maturity Securities (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | ||
Balance of credit-related OTTI at January 1 | $ 264,977 | $ 370,975 |
Securities not previously impaired | ||
Securities previously impaired | ||
Securities that matured or were sold during the period (realized) | (39,502) | |
Securities due to an increase in expected cash flows | ||
Balance of credit-related OTTI at June 30 | $ 225,475 | $ 370,975 |
Schedule of Investments Classif
Schedule of Investments Classified by Contractual Maturity Date (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Marketable Securities [Line Items] | ||
Amortized cost | $ 276,404,869 | $ 236,303,310 |
Estimated fair value | 270,676,282 | 259,287,603 |
Mortgage-Backed Securities, Issued by US Government Sponsored Enterprises [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 31,598,530 | 34,365,382 |
Estimated fair value | 30,017,766 | 35,109,209 |
Redeemable Preferred Stock [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 261,142 | 269,214 |
Estimated fair value | 272,181 | $ 282,597 |
Due in 1 year [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 12,212,759 | |
Estimated fair value | 12,193,769 | |
Due in 2-5 years [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 96,106,175 | |
Estimated fair value | 94,530,894 | |
Due in 5-10 years [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 59,527,119 | |
Estimated fair value | 58,074,435 | |
Due in more than 10 years [Member] | ||
Marketable Securities [Line Items] | ||
Amortized cost | 76,699,144 | |
Estimated fair value | $ 75,587,237 |
Schedule of Gain (Loss) on Inve
Schedule of Gain (Loss) on Investments (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net Investment Income [Line Items] | ||||
Gross realized gains | $ 149,338 | $ 2,354 | $ 209,132 | |
Gross realized losses | (7,825) | (7,845) | ||
Total | (914,395) | 1,477,204 | (742,420) | 3,437,317 |
Fixed Maturity Securities [Member] | ||||
Net Investment Income [Line Items] | ||||
Gross realized gains | 129,512 | 188,266 | 175,635 | 273,659 |
Gross realized losses | (9,828) | (2,119) | (10,758) | (14,886) |
Equity Securities One [Member] | ||||
Net Investment Income [Line Items] | ||||
Gains on securities sold | 81,596 | 146,011 | 71,317 | 252,580 |
Unrealized gains and (losses) on securities held at the end of the period | (2,106,375) | 490,394 | (2,713,422) | 1,442,424 |
Other Assets One [Member] | ||||
Net Investment Income [Line Items] | ||||
Gross realized gains | 994,522 | 737,443 | 1,833,030 | 1,846,801 |
Gross realized losses | $ (3,822) | $ (82,791) | $ (98,222) | $ (363,261) |
Schedule of Major Categories of
Schedule of Major Categories of Net Investment Income (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Marketable Securities [Line Items] | ||||
Proceeds from sales | $ 233,000 | $ 1,163,366 | $ 688,651 | $ 1,982,931 |
Gross realized gains | 149,338 | 2,354 | 209,132 | |
Gross realized losses | (7,825) | (7,845) | ||
Gross investment income | 20,695,920 | 17,185,950 | 40,304,599 | 34,896,919 |
Investment expenses | (4,724,632) | (3,008,632) | (9,139,005) | (6,425,714) |
Net investment income | 15,971,288 | 14,177,318 | 31,165,594 | 28,471,205 |
Fixed Maturity Securities [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 2,811,650 | 2,698,011 | 5,447,866 | 5,522,122 |
Equity Securities 1 [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 119,798 | 106,041 | 242,834 | 234,270 |
Mortgage Loans Real Estate [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 9,244,464 | 6,902,466 | 17,204,642 | 12,986,883 |
Real Estate 1 [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 4,012,192 | 3,002,650 | 7,052,226 | 6,045,479 |
Policy Student And Other Loans [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 207,301 | 232,135 | 513,583 | 464,488 |
Insurance Assignments [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 4,093,723 | 4,171,318 | 9,490,710 | 9,517,047 |
Other Investments 1 [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | 98,361 | 39,299 | 169,006 | 53,006 |
Cash And Cash Equivalents 1 [Member] | ||||
Marketable Securities [Line Items] | ||||
Gross investment income | $ 108,431 | $ 34,030 | $ 183,732 | $ 73,624 |
Schedule of Commercial Real Est
Schedule of Commercial Real Estate Investment (Details) | Jun. 30, 2022 USD ($) ft² | Dec. 31, 2021 USD ($) ft² | |
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | $ 196,555,705 | $ 197,365,797 | |
Real estate held for sale | 2,741,660 | 3,731,300 | |
Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | $ 158,068,734 | $ 155,393,335 | |
Total square footage | ft² | 677,392 | 677,392 | |
Real estate held for sale | $ 2,540,698 | $ 2,540,698 | |
Total square footage | ft² | 225,551 | 225,551 | |
UTAH | Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | [1] | $ 152,758,740 | $ 150,105,948 |
Total square footage | ft² | [1] | 625,920 | 625,920 |
LOUISIANA | Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | $ 2,403,729 | $ 2,426,612 | |
Total square footage | ft² | 31,778 | 31,778 | |
MISSISSIPPI | Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | $ 2,906,265 | $ 2,860,775 | |
Total square footage | ft² | 19,694 | 19,694 | |
Real estate held for sale | [2] | $ 151,553 | $ 151,553 |
Total square footage | ft² | [2] | ||
KANSAS | Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | $ 2,000,000 | $ 2,000,000 | |
Total square footage | ft² | 222,679 | 222,679 | |
CALIFORNIA | Commercial Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | $ 389,145 | $ 389,145 | |
Total square footage | ft² | 2,872 | 2,872 | |
[1]Includes Center53 phase 1 and phase 2[2]Approximately 93 acres of undeveloped land |
Schedule of Residential Real Es
Schedule of Residential Real Estate Investment (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | ||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | $ 196,555,705 | $ 197,365,797 | |
Real estate held for sale | 2,741,660 | 3,731,300 | |
Residential Real Estate [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | 38,486,971 | 41,972,462 | |
Residential Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | 200,962 | 1,190,602 | |
UTAH | Land Developments [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | 38,285,419 | 41,479,434 | |
Lots developed | 48 | 67 | |
Lots to be developed | 1,348 | 548 | |
UTAH | Residential Real Estate [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | [1] | 38,486,971 | 41,686,281 |
WASHINGTON | Residential Real Estate [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for investment (net of accumulated depreciation) | [2] | 286,181 | |
TEXAS | Residential Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | 200,962 | 200,962 | |
NEVADA | Residential Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | 979,640 | ||
OHIO | Residential Real Estate One [Member] | |||
Net Investment Income [Line Items] | |||
Real estate held for sale | $ 10,000 | ||
[1]Includes subdivision land developments[2]Improved residential lots |
Schedule of Real Estate Owned a
Schedule of Real Estate Owned and Occupied by the Company (Details) | Jun. 30, 2022 ft² | |
Mortgage Operations [Member] | ||
Approximate square footage | 221,000 | |
Square footage occupied by the company | 50% | |
Life Insurance Operations [Member] | ||
Approximate square footage | 19,694 | |
Square footage occupied by the company | 28% | |
Life Insurance Operations 1 [Member] | ||
Approximate square footage | 12,274 | [1] |
Square footage occupied by the company | 100% | [1] |
Life Insurance Sales [Member] | ||
Approximate square footage | 8,059 | [1] |
Square footage occupied by the company | 100% | [1] |
Life Insurance Sales 1 [Member] | ||
Approximate square footage | 1,560 | [1] |
Square footage occupied by the company | 100% | [1] |
Life Insurance Sales 2 [Member] | ||
Approximate square footage | 1,737 | [1] |
Square footage occupied by the company | 100% | [1] |
[1]Included in property and equipment on the consolidated balance sheets |
Schedule of Allowance for Loan
Schedule of Allowance for Loan Losses as Contra -Asset Account (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | ||
Marketable Securities [Line Items] | |||
Financing receivable, allowance for credit loss, beginning | $ 1,699,902 | $ 2,005,127 | |
Allowance for credit losses, charge-offs | |||
Allowance for credit losses, provision | (223,007) | (305,225) | |
Financing receivable, allowance for credit loss, ending balance | 1,476,895 | 1,699,902 | |
Financing receivable, allowance for credit losses, individually evaluated for impairment | 63,310 | 105,384 | |
Financing receivable, allowance for credit losses, collectively evaluated for impairment | 1,413,585 | 1,594,518 | |
Mortgage loans | 277,536,069 | 280,334,517 | |
Financing receivable, individually evaluated for impairment | 2,212,365 | 4,272,028 | |
Financing receivable, collectively evaluated for impairment | 275,323,704 | 276,062,489 | [1] |
Commercial Loan [Member] | |||
Marketable Securities [Line Items] | |||
Financing receivable, allowance for credit loss, beginning | 187,129 | 187,129 | |
Allowance for credit losses, charge-offs | |||
Allowance for credit losses, provision | |||
Financing receivable, allowance for credit loss, ending balance | 187,129 | 187,129 | |
Financing receivable, allowance for credit losses, individually evaluated for impairment | |||
Financing receivable, allowance for credit losses, collectively evaluated for impairment | 187,129 | 187,129 | |
Mortgage loans | 34,050,215 | 51,683,022 | |
Financing receivable, individually evaluated for impairment | 501,949 | 1,723,372 | |
Financing receivable, collectively evaluated for impairment | 33,548,266 | 49,959,650 | |
Residential Mortgage [Member] | |||
Marketable Securities [Line Items] | |||
Financing receivable, allowance for credit loss, beginning | 1,469,571 | 1,774,796 | |
Allowance for credit losses, charge-offs | |||
Allowance for credit losses, provision | (223,007) | (305,225) | |
Financing receivable, allowance for credit loss, ending balance | 1,246,564 | 1,469,571 | |
Financing receivable, allowance for credit losses, individually evaluated for impairment | 63,310 | 105,384 | |
Financing receivable, allowance for credit losses, collectively evaluated for impairment | 1,183,254 | 1,364,187 | |
Mortgage loans | 40,355,630 | 53,533,712 | |
Financing receivable, individually evaluated for impairment | 1,294,512 | 2,548,656 | |
Financing receivable, collectively evaluated for impairment | 39,061,118 | 50,985,056 | |
Residential Construction [Member] | |||
Marketable Securities [Line Items] | |||
Financing receivable, allowance for credit loss, beginning | 43,202 | 43,202 | |
Allowance for credit losses, charge-offs | |||
Allowance for credit losses, provision | |||
Financing receivable, allowance for credit loss, ending balance | 43,202 | 43,202 | |
Financing receivable, allowance for credit losses, individually evaluated for impairment | |||
Financing receivable, allowance for credit losses, collectively evaluated for impairment | 43,202 | 43,202 | |
Mortgage loans | 203,130,224 | 175,117,783 | |
Financing receivable, individually evaluated for impairment | 415,904 | ||
Financing receivable, collectively evaluated for impairment | $ 202,714,320 | $ 175,117,783 | |
[1]Amount corrected from that previously reported due to a typographical error. |
Schedule of Aging of Mortgage L
Schedule of Aging of Mortgage Loans (Details) - USD ($) | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | $ 277,536,069 | $ 280,334,517 | ||
Mortgage Loans, Allowance for Loan Losses | (1,476,895) | (1,699,902) | $ (2,005,127) | |
Mortgage Loans, Unamortized deferred loan fees, net | (1,015,336) | (918,586) | ||
Mortgage Loans, Unamortized discounts, net | (352,212) | (409,983) | ||
Past Due 30 to 59 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 5,940,919 | 4,480,953 | ||
Past Due 60 to 89 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 341,870 | 681,019 | ||
Past Due 90 or More Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 1,333,039 | 3,775,434 | |
In Foreclosure [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 879,326 | 496,594 | |
Total Past Due [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 8,495,154 | 9,434,000 | ||
Current [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 269,040,915 | 270,900,517 | ||
Net Mortgage Loans [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 274,691,626 | 277,306,046 | ||
Commercial Loan [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 34,050,215 | 51,683,022 | ||
Mortgage Loans, Allowance for Loan Losses | (187,129) | (187,129) | (187,129) | |
Mortgage Loans, Unamortized deferred loan fees, net | (71,921) | (36,813) | ||
Mortgage Loans, Unamortized discounts, net | (238,128) | (240,614) | ||
Commercial Loan [Member] | Past Due 30 to 59 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 2,824,716 | |||
Commercial Loan [Member] | Past Due 60 to 89 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 100,204 | |||
Commercial Loan [Member] | Past Due 90 or More Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 1,723,372 | ||
Commercial Loan [Member] | In Foreclosure [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 501,949 | ||
Commercial Loan [Member] | Total Past Due [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 3,326,665 | 1,823,576 | ||
Commercial Loan [Member] | Current [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 30,723,550 | 49,859,446 | ||
Commercial Loan [Member] | Net Mortgage Loans [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 33,553,037 | 51,218,466 | ||
Residential Mortgage [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 40,355,630 | 53,533,712 | ||
Mortgage Loans, Allowance for Loan Losses | (1,246,564) | (1,469,571) | (1,774,796) | |
Mortgage Loans, Unamortized deferred loan fees, net | (385,559) | (498,600) | ||
Mortgage Loans, Unamortized discounts, net | (114,084) | (169,369) | ||
Residential Mortgage [Member] | Past Due 30 to 59 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 2,433,116 | 3,117,826 | ||
Residential Mortgage [Member] | Past Due 60 to 89 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 341,870 | 580,815 | ||
Residential Mortgage [Member] | Past Due 90 or More Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 917,135 | 2,052,062 | |
Residential Mortgage [Member] | In Foreclosure [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 377,377 | 496,594 | |
Residential Mortgage [Member] | Total Past Due [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 4,069,498 | 6,247,297 | ||
Residential Mortgage [Member] | Current [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 36,286,132 | 47,286,415 | ||
Residential Mortgage [Member] | Net Mortgage Loans [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 38,609,423 | 51,396,172 | ||
Residential Construction [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 203,130,224 | 175,117,783 | ||
Mortgage Loans, Allowance for Loan Losses | (43,202) | (43,202) | $ (43,202) | |
Mortgage Loans, Unamortized deferred loan fees, net | (557,856) | (383,173) | ||
Mortgage Loans, Unamortized discounts, net | ||||
Residential Construction [Member] | Past Due 30 to 59 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 683,087 | 1,363,127 | ||
Residential Construction [Member] | Past Due 60 to 89 Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | ||||
Residential Construction [Member] | Past Due 90 or More Days [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | 415,904 | ||
Residential Construction [Member] | In Foreclosure [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | [1] | |||
Residential Construction [Member] | Total Past Due [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 1,098,991 | 1,363,127 | ||
Residential Construction [Member] | Current [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | 202,031,233 | 173,754,656 | ||
Residential Construction [Member] | Net Mortgage Loans [Member] | ||||
Marketable Securities [Line Items] | ||||
Mortgage Loans during period | $ 202,529,166 | $ 174,691,408 | ||
[1]Interest income is not recognized on loans past due greater than 90 days or in foreclosure. |
Schedule of Impairment Mortgage
Schedule of Impairment Mortgage Loans (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Commercial Loan [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | $ 501,949 | $ 1,723,372 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 501,949 | 1,723,372 |
Impaired Financing Receivable, with No Related Allowance | ||
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment | 1,119,350 | 1,053,865 |
Impaired Financing Receivable, with No Interest Income Recognized | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | ||
Impaired Financing Receivable, Related Allowance | ||
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | ||
Impaired Financing Receivable, with Interest Income Recognized | ||
Commercial Loan [Member] | Total [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 501,949 | 1,723,372 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 501,949 | 1,723,372 |
Impaired Financing Receivable, Related Allowance | ||
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | 1,119,350 | 1,053,865 |
Impaired Financing Receivable, with Interest Income Recognized | ||
Residential Mortgage [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 650,488 | 1,591,368 |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 650,488 | 1,591,368 |
Impaired Financing Receivable, with No Related Allowance | ||
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment | 848,525 | 2,731,421 |
Impaired Financing Receivable, with No Interest Income Recognized | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 644,024 | 957,288 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 644,024 | 957,288 |
Impaired Financing Receivable, Related Allowance | 63,310 | |
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | 730,672 | 726,449 |
Impaired Financing Receivable, with Interest Income Recognized | ||
Residential Mortgage [Member] | Total [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with No Interest Income Recognized | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 1,294,512 | 2,548,656 |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 1,294,512 | 2,548,656 |
Impaired Financing Receivable, Related Allowance | 63,310 | 105,384 |
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | 1,579,197 | 3,457,870 |
Impaired Financing Receivable, with Interest Income Recognized | ||
Residential Construction [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with No Related Allowance, Recorded Investment | 415,904 | |
Impaired Financing Receivable, with No Related Allowance, Unpaid Principal Balance | 415,904 | |
Impaired Financing Receivable, with No Related Allowance | ||
Impaired Financing Receivable, with No Related Allowance, Average Recorded Investment | 207,952 | 100,481 |
Impaired Financing Receivable, with No Interest Income Recognized | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | ||
Impaired Financing Receivable, Related Allowance | ||
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | ||
Impaired Financing Receivable, with Interest Income Recognized | ||
Residential Construction [Member] | Total [Member] | ||
Marketable Securities [Line Items] | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 415,904 | |
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 415,904 | |
Impaired Financing Receivable, Related Allowance | ||
Impaired Financing Receivable, with Related Allowance, Average Recorded Investment | 207,952 | 100,481 |
Impaired Financing Receivable, with Interest Income Recognized |
Schedule of Credit Risk of Mort
Schedule of Credit Risk of Mortgage Loans Based on Performance Status (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Marketable Securities [Line Items] | ||
Mortgage loans | $ 277,536,069 | $ 280,334,517 |
Commercial Loan [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 34,050,215 | 51,683,022 |
Residential Mortgage [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 40,355,630 | 53,533,712 |
Residential Construction [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 203,130,224 | 175,117,783 |
Performing Financing Receivable [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 275,323,704 | 276,062,489 |
Performing Financing Receivable [Member] | Commercial Loan [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 33,548,266 | 49,959,650 |
Performing Financing Receivable [Member] | Residential Mortgage [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 39,061,118 | 50,985,056 |
Performing Financing Receivable [Member] | Residential Construction [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 202,714,320 | 175,117,783 |
Nonperforming Financing Receivable [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 2,212,365 | 4,272,028 |
Nonperforming Financing Receivable [Member] | Commercial Loan [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 501,949 | 1,723,372 |
Nonperforming Financing Receivable [Member] | Residential Mortgage [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 1,294,512 | 2,548,656 |
Nonperforming Financing Receivable [Member] | Residential Construction [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 415,904 | |
Performing and Non-Performing [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 277,536,069 | 280,334,517 |
Performing and Non-Performing [Member] | Commercial Loan [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 34,050,215 | 51,683,022 |
Performing and Non-Performing [Member] | Residential Mortgage [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | 40,355,630 | 53,533,712 |
Performing and Non-Performing [Member] | Residential Construction [Member] | ||
Marketable Securities [Line Items] | ||
Mortgage loans | $ 203,130,224 | $ 175,117,783 |
Investments (Details Narrative)
Investments (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Net Investment Income [Line Items] | |||||
Average market value over amortized cost | 95.20% | 95.20% | 97.30% | ||
Credit loss recognized | $ 0 | $ 0 | $ 0 | $ 0 | |
Maximum borrowing capacity | 56,103,252 | 56,103,252 | |||
Remaining borrowing capacity | 51,524,955 | 51,524,955 | |||
Net investment income | 15,971,288 | 14,177,318 | 31,165,594 | 28,471,205 | |
Collateral for bank loans | 196,555,705 | 196,555,705 | $ 197,365,797 | ||
Real estate held for investment (net of accumulated depreciation of $20,686,607 and $17,692,038 for 2022 and 2021) | 196,555,705 | 196,555,705 | 197,365,797 | ||
Loans payable to bank | 200,344,907 | 200,344,907 | 251,286,927 | ||
Foreclosed residential real estate included in residential real estate held for investment | 200,962 | 1,190,602 | |||
Interest not accrued on non-performing loans | $ 135,000 | $ 135,000 | $ 236,000 | ||
UTAH | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 79% | 79% | 70% | ||
FLORIDA | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 5% | 5% | 7% | ||
TEXAS | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 4% | 4% | 4% | ||
CALIFORNIA | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 4% | 4% | 5% | ||
NEVADA | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 2% | 2% | 4% | ||
ARIZONA | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 2% | 2% | 2% | ||
Minimum [Member] | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 2% | 2% | |||
Loan term | 9 months | ||||
Maximum [Member] | |||||
Net Investment Income [Line Items] | |||||
Loan interest rate | 10.50% | 10.50% | |||
Loan term | 30 years | ||||
Commercial Real Estate 1 [Member] | |||||
Net Investment Income [Line Items] | |||||
Collateral for bank loans | $ 134,069,866 | $ 134,069,866 | $ 134,251,205 | ||
Real estate held for investment (net of accumulated depreciation of $20,686,607 and $17,692,038 for 2022 and 2021) | 134,069,866 | 134,069,866 | 134,251,205 | ||
Loans payable to bank | 100,503,091 | 100,503,091 | 85,663,148 | ||
Residential Real Estate [Member] | |||||
Net Investment Income [Line Items] | |||||
Foreclosed residential real estate included in residential real estate held for investment | 94,400 | 94,400 | |||
Restricted Investments [Member] | |||||
Net Investment Income [Line Items] | |||||
Securities deposit | 10,114,458 | 10,114,458 | $ 10,168,853 | ||
Cemeteries and Mortuaries [Member] | |||||
Net Investment Income [Line Items] | |||||
Net investment income | $ 730,534 | $ 190,668 | $ 1,207,243 | $ 351,879 |
Summary of Aggregate Fair Value
Summary of Aggregate Fair Value - Loans Held for Sale (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Loans Held For Sale | ||
Aggregate fair value | $ 209,860,409 | $ 302,776,827 |
Unpaid principal balance | 207,409,731 | 294,481,503 |
Unrealized gain | $ 2,450,678 | $ 8,295,324 |
Schedule of Mortgage Fee Income
Schedule of Mortgage Fee Income for Loans Held for Sale (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | [1] | ||
Loans Held For Sale | |||||||
Loan fees | $ 7,950,227 | $ 9,154,621 | $ 15,037,410 | $ 18,694,577 | |||
Interest income | 2,923,446 | 2,188,380 | 4,955,315 | 4,500,181 | |||
Secondary gains | 37,161,287 | 56,020,876 | 76,763,900 | 124,459,809 | |||
Change in fair value of loan commitments | (2,247,244) | (482,863) | 428,127 | (168,397) | |||
Change in fair value of loans held for sale | (3,463,922) | (1,114,632) | (6,210,487) | (8,060,513) | |||
Provision for loan loss reserve | (292,896) | (608,569) | (598,922) | [1] | (1,269,232) | $ (2,211,230) | |
Mortgage fee income | $ 42,030,898 | $ 65,157,813 | $ 90,375,343 | $ 138,156,425 | |||
[1]Included in mortgage fee income |
Summary of Loan Loss Reserve In
Summary of Loan Loss Reserve Included in Other Liabilities and Accrued Expenses (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |||
Loans Held For Sale | |||||||
Balance, beginning of period | $ 2,447,139 | $ 20,583,618 | $ 20,583,618 | ||||
Provision on current loan originations (1) | $ 292,896 | $ 608,569 | 598,922 | [1] | $ 1,269,232 | 2,211,230 | [1] |
Charge-offs, net of recaptured amounts | (1,105,275) | (20,347,709) | |||||
Balance, end of period | $ 1,940,786 | $ 1,940,786 | $ 2,447,139 | ||||
[1]Included in mortgage fee income |
Loans Held for Sale (Details Na
Loans Held for Sale (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Loans Held For Sale | ||
Provision on current loan originations | $ 598,922 | $ 1,269,232 |
Loan increase per point | $ 290 | $ 450 |
Amount of loan increased, per point | $ 1,000,000 | $ 1,000,000 |
Schedule of Activity of Stock O
Schedule of Activity of Stock Option Plans (Details) - USD ($) | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | |||
Common Class A [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Number of shares, outstanding, beginning | 1,024,351 | 1,072,863 | ||
Weighted average exercise price, outstanding, beginning | $ 4.38 | $ 4.22 | ||
Number of Shares, adjustment for effect of stock dividends | 47,780 | 47,594 | ||
Number of shares, granted | 4,000 | |||
Number of shares, exercised | (71,330) | (97,313) | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross | (4,000) | |||
Number of shares, cancelled | (1,591) | |||
Number of shares, outstanding, ending | 1,003,210 | 1,023,144 | ||
Weighted average exercise price, outstanding, ending | $ 4.58 | $ 4.29 | ||
Number of shares, options exercisable | 955,460 | 1,023,144 | ||
Weighted average exercise price, options exercisable | $ 4.40 | $ 4.29 | ||
Number of shares, available options for future grant | 239,795 | 358,462 | ||
Weighted average contractual term of options outstanding | 4 years 3 months 25 days | 5 years 2 months 4 days | ||
Weighted average contractual term of options exercisable | 4 years 21 days | 5 years 2 months 4 days | ||
Aggregated intrinsic value of options outstanding | $ 3,891,873 | [1] | $ 4,135,399 | [2] |
Aggregated intrinsic value of options exercisable | $ 3,878,980 | [1] | $ 4,135,399 | [2] |
Number of shares, options exercisable | 955,460 | 1,023,144 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant | 239,795 | 358,462 | ||
Common Class C [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Number of shares, outstanding, beginning | 821,146 | 662,666 | ||
Weighted average exercise price, outstanding, beginning | $ 5.26 | $ 4.61 | ||
Number of Shares, adjustment for effect of stock dividends | 41,057 | 33,136 | ||
Number of shares, granted | ||||
Number of shares, exercised | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross | ||||
Number of shares, cancelled | ||||
Number of shares, outstanding, ending | 862,203 | 695,802 | ||
Weighted average exercise price, outstanding, ending | $ 5.26 | $ 4.61 | ||
Number of shares, options exercisable | 747,203 | 695,802 | ||
Weighted average exercise price, options exercisable | $ 4.78 | $ 4.61 | ||
Number of shares, available options for future grant | 17,523 | 279,825 | ||
Weighted average contractual term of options outstanding | 6 years 9 months | 6 years 3 months 25 days | ||
Weighted average contractual term of options exercisable | 6 years 6 months | 6 years 3 months 25 days | ||
Aggregated intrinsic value of options outstanding | $ 2,758,643 | [1] | $ 2,585,420 | [2] |
Aggregated intrinsic value of options exercisable | $ 2,748,093 | [1] | $ 2,585,420 | [2] |
Number of shares, options exercisable | 747,203 | 695,802 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant | 17,523 | 279,825 | ||
[1]The Company used a stock price of $ 8.46 8.33 |
Schedule of Activity of Stock_2
Schedule of Activity of Stock Option Plans (Details) (Parenthetical) - $ / shares | Jun. 30, 2022 | Jun. 30, 2021 |
Share-Based Payment Arrangement [Abstract] | ||
Stock price | $ 8.46 | $ 8.33 |
Stock Compensation Plans (Detai
Stock Compensation Plans (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Shares based compensation expenses | $ 220,175 | $ 271,747 | $ 39,153 | ||
Total unrecognized compensation expense | 390,714 | $ 390,714 | |||
Intrinsic value stock options exercised | 521,527 | $ 434,318 | |||
Option Plans [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Shares based compensation expenses | $ 220,175 | $ 491,922 | $ 39,153 |
Schedule of Earning Per Share,
Schedule of Earning Per Share, Basic and Diluted (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | ||
Earnings Per Share [Abstract] | |||||||
Net earnings | $ 3,574,449 | $ 3,228,718 | $ 11,257,479 | $ 12,128,715 | $ 6,803,167 | $ 23,386,194 | |
Basic weighted-average shares outstanding | [1] | 21,184,688 | 21,098,789 | 21,282,747 | 21,085,669 | ||
Employee stock options | 833,142 | 824,058 | 851,132 | 867,350 | |||
Diluted weighted-average shares outstanding | [1] | 22,017,830 | 21,922,847 | 22,133,879 | 21,953,019 | ||
Basic net earnings per share | [1] | $ 0.17 | $ 0.53 | $ 0.32 | $ 1.11 | ||
Diluted net earnings per share | [1] | $ 0.16 | $ 0.51 | $ 0.31 | $ 1.07 | ||
[1]Net earnings per share amounts have been adjusted retroactively for the effect of annual stock dividends. The weighted-average shares outstanding includes the weighted-average Class A common shares and the weighted-average Class C common shares determined on an equivalent Class A common stock basis. Net earnings per common share represent net earnings per equivalent Class A common share. |
Summary of Activities in Shares
Summary of Activities in Shares of Capital Stock (Details) - shares | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Common Class A [Member] | ||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Common stock, shares, outstanding, beginning | 17,642,722 | 16,595,783 |
Exercise of stock options | 69,096 | 80,948 |
Stock dividends, shares | 889,554 | 836,263 |
Conversion of class C to class A | 77,316 | 48,527 |
Common stock, shares, outstanding, ending | 18,678,688 | 17,561,521 |
Common Class C [Member] | ||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Common stock, shares, outstanding, beginning | 2,866,565 | 2,679,603 |
Exercise of stock options | ||
Stock dividends, shares | 139,462 | 131,554 |
Conversion of class C to class A | (77,316) | (48,527) |
Common stock, shares, outstanding, ending | 2,928,711 | 2,762,630 |
Earnings Per Share (Details Nar
Earnings Per Share (Details Narrative) - shares | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 52,500 | 52,500 |
Schedule of Revenues and Expens
Schedule of Revenues and Expenses by Reportable Segment (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | $ 95,566,654 | $ 116,750,315 | $ 197,992,561 | $ 239,408,921 | |
Intersegment revenues | |||||
Segment profit before income taxes | 4,729,846 | 14,677,352 | 9,173,362 | 31,032,407 | |
Identifiable Assets | 1,466,914,032 | 1,498,536,599 | 1,466,914,032 | 1,498,536,599 | |
Goodwill | 5,253,783 | 3,519,588 | 5,253,783 | 3,519,588 | $ 5,253,783 |
Total Assets | 1,472,167,815 | 1,502,056,187 | 1,472,167,815 | 1,502,056,187 | |
Life Insurance [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 41,166,269 | 40,657,393 | 82,668,078 | 79,601,227 | |
Intersegment revenues | 2,075,987 | 1,750,929 | 3,771,766 | 3,652,981 | |
Segment profit before income taxes | 3,931,784 | 4,694,177 | 4,748,269 | 7,389,205 | |
Identifiable Assets | 1,229,780,002 | 1,193,893,855 | 1,229,780,002 | 1,193,893,855 | |
Goodwill | 2,765,570 | 2,765,570 | 2,765,570 | 2,765,570 | |
Total Assets | 1,232,545,572 | 1,196,659,425 | 1,232,545,572 | 1,196,659,425 | |
Cemetery And Mortuary [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 7,291,018 | 6,807,922 | 14,754,212 | 13,807,187 | |
Intersegment revenues | 85,151 | 78,302 | 267,740 | 155,809 | |
Segment profit before income taxes | 1,485,938 | 2,269,325 | 3,506,255 | 4,970,270 | |
Identifiable Assets | 78,739,030 | 59,621,349 | 78,739,030 | 59,621,349 | |
Goodwill | 2,488,213 | 754,018 | 2,488,213 | 754,018 | |
Total Assets | 81,227,243 | 60,375,367 | 81,227,243 | 60,375,367 | |
Mortgage [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 47,109,367 | 69,285,000 | 100,570,271 | 146,000,507 | |
Intersegment revenues | 77,826 | 156,016 | 152,535 | 317,032 | |
Segment profit before income taxes | (687,876) | 7,713,850 | 918,838 | 18,672,932 | |
Identifiable Assets | 250,312,796 | 317,945,282 | 250,312,796 | 317,945,282 | |
Goodwill | |||||
Total Assets | 250,312,796 | 317,945,282 | 250,312,796 | 317,945,282 | |
Intercompany Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | |||||
Intersegment revenues | (2,238,964) | (1,985,247) | (4,192,041) | (4,125,822) | |
Segment profit before income taxes | |||||
Identifiable Assets | (91,917,796) | (72,923,887) | (91,917,796) | (72,923,887) | |
Goodwill | |||||
Total Assets | $ (91,917,796) | $ (72,923,887) | $ (91,917,796) | $ (72,923,887) |
Schedule of Fair Value Assets a
Schedule of Fair Value Assets and Liabilities Measured on a Recurring Basis (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fixed maturity securities available for sale | $ 270,676,282 | $ 259,287,603 | ||
Equity securities | 11,198,403 | 11,596,414 | ||
Loans held for sale | 209,860,409 | 302,776,827 | ||
Restricted assets (1) | 1,851,887 | [1] | 1,601,688 | [2] |
Restricted assets (2) | 3,741,011 | [3] | 3,603,822 | [4] |
Cemetery perpetual care trust investments (1) | 653,462 | [1] | 784,765 | [2] |
Cemetery perpetual care trust investments (2) | 2,441,876 | [3] | 3,302,480 | [4] |
Derivatives - loan commitments (3) | 9,864,213 | [5] | 8,563,410 | [6] |
Total assets accounted for at fair value on a recurring basis | 510,287,543 | 591,517,009 | ||
Derivatives - call options (4) | (13,683) | [7] | (50,936) | [8] |
Derivatives - put options (4) | (19,545) | [7] | (4,493) | [8] |
Derivatives - loan commitments (4) | (2,420,571) | [7] | (1,547,895) | [8] |
Total liabilities accounted for at fair value on a recurring basis | (2,453,799) | (1,603,324) | ||
Fair Value, Inputs, Level 1 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fixed maturity securities available for sale | ||||
Equity securities | 11,198,403 | 11,596,414 | ||
Loans held for sale | ||||
Restricted assets (1) | [1] | [2] | ||
Restricted assets (2) | 3,741,011 | [3] | 3,603,822 | [4] |
Cemetery perpetual care trust investments (1) | [1] | [2] | ||
Cemetery perpetual care trust investments (2) | 2,441,876 | [3] | 3,302,480 | [4] |
Derivatives - loan commitments (3) | [5] | [6] | ||
Total assets accounted for at fair value on a recurring basis | 17,381,290 | 18,502,716 | ||
Derivatives - call options (4) | (13,683) | [7] | (50,936) | [8] |
Derivatives - put options (4) | (19,545) | [7] | (4,493) | [8] |
Derivatives - loan commitments (4) | [7] | [8] | ||
Total liabilities accounted for at fair value on a recurring basis | (33,228) | (55,429) | ||
Fair Value, Inputs, Level 2 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fixed maturity securities available for sale | 268,713,493 | 257,264,255 | ||
Equity securities | ||||
Loans held for sale | ||||
Restricted assets (1) | 1,851,887 | [1] | 1,601,688 | [2] |
Restricted assets (2) | [3] | [4] | ||
Cemetery perpetual care trust investments (1) | 653,462 | [1] | 784,765 | [2] |
Cemetery perpetual care trust investments (2) | [3] | [4] | ||
Derivatives - loan commitments (3) | [5] | [6] | ||
Total assets accounted for at fair value on a recurring basis | 271,218,842 | 259,650,708 | ||
Derivatives - call options (4) | [7] | [8] | ||
Derivatives - put options (4) | [7] | [8] | ||
Derivatives - loan commitments (4) | [7] | [8] | ||
Total liabilities accounted for at fair value on a recurring basis | ||||
Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fixed maturity securities available for sale | 1,962,789 | 2,023,348 | ||
Equity securities | ||||
Loans held for sale | 209,860,409 | 302,776,827 | ||
Restricted assets (1) | [1] | [2] | ||
Restricted assets (2) | [3] | [4] | ||
Cemetery perpetual care trust investments (1) | [1] | [2] | ||
Cemetery perpetual care trust investments (2) | [3] | [4] | ||
Derivatives - loan commitments (3) | 9,864,213 | [5] | 8,563,410 | [6] |
Total assets accounted for at fair value on a recurring basis | 221,687,411 | 313,363,585 | ||
Derivatives - call options (4) | [7] | [8] | ||
Derivatives - put options (4) | [7] | [8] | ||
Derivatives - loan commitments (4) | (2,420,571) | [7] | (1,547,895) | [8] |
Total liabilities accounted for at fair value on a recurring basis | $ (2,420,571) | $ (1,547,895) | ||
[1]Fixed maturity securities available for sale[2]Fixed maturity securities available for sale[3]Equity securities[4]Equity securities[5]Included in other assets on the consolidated balance sheets[6]Included in other assets on the consolidated balance sheets[7]Included in other liabilities and accrued expenses on the consolidated balance sheets[8]Included in other liabilities and accrued expenses on the consolidated balance sheets |
Assets and Liabilities Measured
Assets and Liabilities Measured at Fair Value on A Recurring Basis (Details) - USD ($) | 6 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2022 | Dec. 31, 2021 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | |||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Fair Value Balance | $ 209,860,409 | $ 302,776,827 | ||||||
Fair Value Balance | 9,864,213 | [1] | 8,563,410 | [2] | ||||
Fixed maturity securities, available for sale, at estimated fair value (amortized cost of $276,404,869 and $236,303,310 for 2022 and 2021) | 270,676,282 | 259,287,603 | ||||||
Loans Held For Sale [Member] | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Fair Value Balance | $ 209,860,409 | $ 302,776,827 | $ 234,012,872 | $ 296,728,086 | $ 304,030,372 | $ 422,772,418 | ||
Fair Value Measurement, Range of Inputs, Minimum Value | 86.90% | 95% | ||||||
Fair Value Measurement, Range of Inputs, Maximum Value | 106.10% | 109% | ||||||
Fair Value Measurement With Unobservable Inputs Reconciliation, Recurring Basis, Asset And Liability, Weighted Average | 100.80% | 103% | ||||||
Net Derivatives Loan Commitments [Member] | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Fair Value Measurement, Range of Inputs, Minimum Value | 60% | 66% | ||||||
Fair Value Measurement, Range of Inputs, Maximum Value | 95% | 95% | ||||||
Fair Value Measurement With Unobservable Inputs Reconciliation, Recurring Basis, Asset And Liability, Weighted Average | 79% | 81% | ||||||
Fair Value Balance | $ 7,443,642 | $ 7,015,515 | 9,690,886 | 9,960,213 | 10,443,076 | 10,128,610 | ||
Fixed Maturity Securities Available For Sale 1 [Member] | ||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||
Fixed maturity securities, available for sale, at estimated fair value (amortized cost of $276,404,869 and $236,303,310 for 2022 and 2021) | $ 1,962,789 | $ 2,023,348 | $ 2,011,772 | $ 2,180,828 | $ 2,191,093 | $ 2,201,175 | ||
Fair Value Measurement, Range of Inputs, Minimum Value, price per share | $ 96.87 | $ 96.87 | ||||||
Fair Value Measurement, Range of Inputs, Maximum Value, price per share | 111.11 | 111.11 | ||||||
Fair Value Measurement With Unobservable Inputs Reconciliation, Recurring Basis, Asset And Liability, Weighted Average, price per share | $ 104.86 | $ 106.73 | ||||||
[1]Included in other assets on the consolidated balance sheets[2]Included in other assets on the consolidated balance sheets |
Schedule of Changes in the Cons
Schedule of Changes in the Consolidated Balance Sheet Line Items Measured Using Level 3 Inputs (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | ||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||
Net Loan Commitments, Beginning | [1] | $ 8,563,410 | |||||||
Loans Held for Sale, Beginning | 302,776,827 | ||||||||
Fixed Maturity Securities Available for Sale, Beginning | 259,287,603 | ||||||||
Net Loan Commitments, Ending | [2] | $ 9,864,213 | 9,864,213 | ||||||
Loans Held for Sale, Ending | 209,860,409 | 209,860,409 | |||||||
Fixed Maturity Securities Available for Sale, Ending | 270,676,282 | 270,676,282 | |||||||
Net Derivatives Loan Commitments [Member] | |||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||
Net Loan Commitments, Beginning | 9,690,886 | $ 10,443,076 | 7,015,515 | $ 10,128,610 | |||||
Originations and purchases | |||||||||
Sales, maturities and paydowns | |||||||||
Total gains (losses) included in earnings | (2,247,244) | [3] | (482,863) | [4] | 428,127 | [5] | (168,397) | [6] | |
Total gains (losses) included in other comprehensive income | |||||||||
Net Loan Commitments, Ending | 7,443,642 | 9,960,213 | 7,443,642 | 9,960,213 | |||||
Transfer to mortgage loans held for investment | |||||||||
Loans Held For Sale [Member] | |||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||
Loans Held for Sale, Beginning | 234,012,872 | 304,030,372 | 302,776,827 | 422,772,418 | |||||
Originations and purchases | 1,010,742,878 | 1,360,389,498 | 2,049,959,460 | 2,810,230,507 | |||||
Sales, maturities and paydowns | (1,055,390,037) | (1,410,147,019) | (2,187,475,867) | (3,025,027,077) | |||||
Total gains (losses) included in earnings | 20,494,696 | [3] | 42,455,235 | [4] | 44,599,989 | [5] | 88,954,189 | [6] | |
Total gains (losses) included in other comprehensive income | |||||||||
Loans Held for Sale, Ending | 209,860,409 | 296,728,086 | 209,860,409 | 296,728,086 | |||||
Transfer to mortgage loans held for investment | (201,951) | ||||||||
Fixed Maturity Securities Available For Sale 1 [Member] | |||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||
Fixed Maturity Securities Available for Sale, Beginning | 2,011,772 | 2,191,093 | 2,023,348 | 2,201,175 | |||||
Originations and purchases | |||||||||
Sales, maturities and paydowns | (12,400) | (11,300) | (24,350) | (22,400) | |||||
Total gains (losses) included in earnings | 996 | [7] | 908 | [8] | 1,957 | [9] | 1,801 | [10] | |
Total gains (losses) included in other comprehensive income | (37,579) | 127 | (38,166) | 252 | |||||
Fixed Maturity Securities Available for Sale, Ending | $ 1,962,789 | $ 2,180,828 | $ 1,962,789 | 2,180,828 | |||||
Transfer to mortgage loans held for investment | |||||||||
[1]Included in other assets on the consolidated balance sheets[2]Included in other assets on the consolidated balance sheets[3]As a component of Mortgage fee income on the condensed consolidated statements of earnings[4]As a component of Mortgage fee income on the condensed consolidated statements of earnings[5]As a component of Mortgage fee income on the condensed consolidated statements of earnings[6]As a component of Mortgage fee income on the condensed consolidated statements of earnings[7]As a component of Net investment income on the condensed consolidated statements of earnings[8]As a component of Net investment income on the condensed consolidated statements of earnings[9]As a component of Net investment income on the condensed consolidated statements of earnings[10]As a component of Net investment income on the condensed consolidated statements of earnings |
Schedule of Fair Value Assets M
Schedule of Fair Value Assets Measured on a Nonrecurring Basis (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired mortgage loans held for investment | $ 274,691,626 | $ 277,306,046 |
Impaired real estate held for sale | 2,741,660 | 3,731,300 |
Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired mortgage loans held for investment | 580,714 | 851,903 |
Assets fair value disclosure nonrecurring | 580,714 | 2,851,903 |
Impaired real estate held for sale | 2,000,000 | |
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired mortgage loans held for investment | ||
Assets fair value disclosure nonrecurring | ||
Impaired real estate held for sale | ||
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired mortgage loans held for investment | ||
Assets fair value disclosure nonrecurring | ||
Impaired real estate held for sale | ||
Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired mortgage loans held for investment | 580,714 | 851,903 |
Assets fair value disclosure nonrecurring | $ 580,714 | 2,851,903 |
Impaired real estate held for sale | $ 2,000,000 |
Schedule of Financial Instrumen
Schedule of Financial Instruments Carried at Other Than Fair Value (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | $ 274,691,626 | $ 277,306,046 | ||||
Other investments and policy loans | 66,410,188 | 67,955,155 | ||||
Restricted assets | 17,531,716 | 16,938,122 | ||||
Cemetery perpetual care trust investments | 7,533,312 | 7,835,721 | ||||
Mortgage servicing rights | 56,289,255 | 53,060,455 | $ 35,210,516 | |||
Mortgage servicing rights, estimated fair value | 95,644,506 | 68,811,809 | ||||
Bank and other loans payable | (200,344,907) | (251,286,927) | ||||
Bank and other loans payable | 200,344,907 | 251,286,927 | ||||
Future policy benefits and unpaid claims | (875,727,865) | (863,274,693) | ||||
Future policy benefits and unpaid claims | 875,727,865 | 863,274,693 | ||||
Residential Mortgage [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 38,609,423 | 51,396,172 | ||||
Mortgage loans held for investment, estimated fair value | 37,669,281 | 55,159,167 | ||||
Residential Mortgage [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Residential Mortgage [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Residential Mortgage [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 37,669,281 | 55,159,167 | ||||
Residential Construction [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 202,529,166 | 174,691,408 | ||||
Mortgage loans held for investment, estimated fair value | 202,529,166 | 174,691,408 | ||||
Residential Construction [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Residential Construction [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Residential Construction [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 202,529,166 | 174,691,408 | ||||
Commercial Loan [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 33,553,037 | 51,218,466 | ||||
Mortgage loans held for investment, estimated fair value | 33,070,818 | 51,008,709 | ||||
Commercial Loan [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Commercial Loan [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Commercial Loan [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 33,070,818 | 51,008,709 | ||||
Mortgage Loans Net [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 274,691,626 | 277,306,046 | ||||
Mortgage loans held for investment, estimated fair value | 273,269,265 | 280,859,284 | ||||
Mortgage Loans Net [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Mortgage Loans Net [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | ||||||
Mortgage Loans Net [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage loans held for investment (net of allowances for loan losses of $1,476,895 and $1,699,902 for 2022 and 2021) | 273,269,265 | 280,859,284 | ||||
Policy Loan [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | 13,130,188 | 13,478,214 | ||||
Other investments and policy loans, estimated fair value | 13,478,214 | |||||
Policy Loan [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | ||||||
Policy Loan [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | ||||||
Policy Loan [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | 13,130,188 | 13,478,214 | ||||
Insurance Assignments [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | 41,514,424 | [1] | 46,946,590 | [2] | ||
Other investments and policy loans, estimated fair value | [2] | 46,946,590 | ||||
Insurance Assignments [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | [1] | [2] | ||||
Insurance Assignments [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | [1] | [2] | ||||
Insurance Assignments [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Other investments and policy loans | 41,514,424 | [1] | 46,946,590 | [2] | ||
Restricted Assets [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Restricted assets | 2,284,145 | [3] | 2,732,320 | |||
Restricted assets, estimated fair value | 2,732,320 | |||||
Restricted Assets [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Restricted assets | [3] | |||||
Restricted Assets [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Restricted assets | [3] | |||||
Restricted Assets [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Restricted assets | 2,284,145 | [3] | 2,732,320 | |||
Cemetery Perpetual Care Trust Investments [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Cemetery perpetual care trust investments | 2,275,145 | [3] | 1,823,533 | |||
Cemetery perpetual care trust investments, estimated fair value | 1,823,533 | |||||
Cemetery Perpetual Care Trust Investments [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Cemetery perpetual care trust investments | [3] | |||||
Cemetery Perpetual Care Trust Investments [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Cemetery perpetual care trust investments | [3] | |||||
Cemetery Perpetual Care Trust Investments [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Cemetery perpetual care trust investments | 2,275,145 | [3] | 1,823,533 | |||
Mortgage Servicing Rights [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage servicing rights | 56,289,255 | 53,060,455 | ||||
Mortgage servicing rights, estimated fair value | 95,644,506 | 68,811,809 | ||||
Mortgage Servicing Rights [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage servicing rights | ||||||
Mortgage Servicing Rights [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage servicing rights | ||||||
Mortgage Servicing Rights [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Mortgage servicing rights | 95,644,506 | 68,811,809 | ||||
Bank and Other Loans Payable [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Bank and other loans payable | (200,344,907) | (251,286,927) | ||||
Bank and other loans payable | 200,344,907 | 251,286,927 | ||||
Bank and other loans payable, fair value | (251,286,927) | |||||
Bank and Other Loans Payable [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Bank and other loans payable | ||||||
Bank and other loans payable | ||||||
Bank and Other Loans Payable [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Bank and other loans payable | ||||||
Bank and other loans payable | ||||||
Bank and Other Loans Payable [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Bank and other loans payable | (200,344,907) | (251,286,927) | ||||
Bank and other loans payable | 200,344,907 | 251,286,927 | ||||
Policyholder Account Balances [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | (42,060,137) | [4] | (42,939,055) | [5] | ||
Future policy benefits and unpaid claims | 42,060,137 | [4] | 42,939,055 | [5] | ||
Future policy benefits and unpaid claims, estimated fair value | (35,231,639) | [4] | (35,855,934) | [5] | ||
Policyholder Account Balances [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Policyholder Account Balances [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Policyholder Account Balances [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | (35,231,639) | [4] | (35,855,934) | [5] | ||
Future policy benefits and unpaid claims | 35,231,639 | [4] | 35,855,934 | [5] | ||
Future Policy Benefits Annuities [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | (106,972,838) | [4] | (107,992,830) | [5] | ||
Future policy benefits and unpaid claims | 106,972,838 | [4] | 107,992,830 | [5] | ||
Future policy benefits and unpaid claims, estimated fair value | (115,674,814) | [4] | (116,215,717) | [5] | ||
Future Policy Benefits Annuities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future Policy Benefits Annuities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future policy benefits and unpaid claims | [4] | [5] | ||||
Future Policy Benefits Annuities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||
Fair Value, off-Balance-Sheet Risks, Disclosure Information [Line Items] | ||||||
Future policy benefits and unpaid claims | (115,674,814) | [4] | (116,215,717) | [5] | ||
Future policy benefits and unpaid claims | $ 115,674,814 | [4] | $ 116,215,717 | [5] | ||
[1]Included in other investments and policy loans on the condensed consolidated balance sheets[2]Included in other investments and policy loans on the condensed consolidated balance sheets[3]Mortgage loans held for investment[4]Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets[5]Included in future policy benefits and unpaid claims on the condensed consolidated balance sheets |
Schedule of Derivative Assets a
Schedule of Derivative Assets at Fair Value (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Loan Commitments [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ||
Derivative, notional amount | $ 692,681,295 | $ 862,568,967 |
Derivative asset, notional amount | 9,864,213 | 8,563,410 |
Derivative liability, notional amount | 2,420,571 | 1,547,895 |
Call Options [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ||
Derivative, notional amount | 696,900 | 982,500 |
Derivative asset, notional amount | ||
Derivative liability, notional amount | 13,683 | 50,936 |
Put Options [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ||
Derivative, notional amount | 482,500 | 362,900 |
Derivative asset, notional amount | ||
Derivative liability, notional amount | 19,545 | 4,493 |
Net Derivatives Loan Commitments [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ||
Derivative, notional amount | 693,860,695 | 863,914,367 |
Derivative asset, notional amount | 9,864,213 | 8,563,410 |
Derivative liability, notional amount | $ 2,453,799 | $ 1,603,324 |
Schedule of Gains and Losses on
Schedule of Gains and Losses on Derivatives (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Loan Commitments [Member] | ||||
Subsidiary, Sale of Stock [Line Items] | ||||
Gain (loss) on derivatives | $ (2,247,244) | $ (482,863) | $ 428,127 | $ (168,397) |
Call and Put Options [Member] | ||||
Subsidiary, Sale of Stock [Line Items] | ||||
Gain (loss) on derivatives | $ 65,033 | $ 88,522 | $ 126,229 | $ 115,285 |
Reinsurance, Commitments and _2
Reinsurance, Commitments and Contingencies (Details Narrative) | 6 Months Ended |
Jun. 30, 2022 USD ($) $ / shares | |
Loss Contingencies [Line Items] | |
Line of credit, maximum borrowing capacity | $ 56,103,252 |
Other commitments | 328,580,000 |
Payment for other liabilities | 207,689,514 |
Wells Fargo Bank N.A. [Member] | |
Loss Contingencies [Line Items] | |
Line of credit, maximum borrowing capacity | $ 100,000,000 |
Line of credit, interest rate, description | The agreement charges interest at the 1-Month SOFR rate plus 2.1% |
Line of credit, maturity date | Jun. 02, 2023 |
Adjustment of debt | $ / shares | $ 1 |
Texas Capital Bank N.A. [Member] | |
Loss Contingencies [Line Items] | |
Line of credit, maximum borrowing capacity | $ 100,000,000 |
Line of credit, interest rate, description | The agreement charges interest at the 1-Month LIBOR rate plus 2% |
Line of credit, maturity date | Nov. 09, 2022 |
Adjustment of debt | $ / shares | $ 1 |
Comerica Bank [Member] | |
Loss Contingencies [Line Items] | |
Line of credit, maximum borrowing capacity | $ 75,000,000 |
Line of credit, interest rate, description | The agreement charges interest at the 1-Month SOFR rate plus 2.50% |
Line of credit, maturity date | May 26, 2023 |
Adjustment of debt | $ / shares | $ 1 |
U.S. Bank [Member] | |
Loss Contingencies [Line Items] | |
Line of credit, maximum borrowing capacity | $ 100,000,000 |
Line of credit, interest rate, description | The agreement charges interest at 2.10% plus the greater of (i) 0% |
Line of credit, maturity date | Jun. 02, 2023 |
Adjustment of debt | $ / shares | $ 1 |
Minimum [Member] | |
Loss Contingencies [Line Items] | |
Reinsurance payable | $ 25,000 |
Interest rate | 2% |
Minimum [Member] | Loans [Member] | |
Loss Contingencies [Line Items] | |
Loan commitment ranges | 50% |
Interest rate | 5.25% |
Maximum [Member] | |
Loss Contingencies [Line Items] | |
Reinsurance payable | $ 100,000 |
Interest rate | 10.50% |
Maximum [Member] | Loans [Member] | |
Loss Contingencies [Line Items] | |
Loan commitment ranges | 80% |
Interest rate | 8% |
Schedule of Mortgage Servicing
Schedule of Mortgage Servicing Rights (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | ||
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Balance before valuation allowance at beginning of year | $ 53,060,455 | $ 35,210,516 | |
MSR additions resulting from loan sales | 9,066,637 | 32,701,819 | |
Amortization (1) | [1] | (5,837,837) | (14,851,880) |
Application of valuation allowance to write down MSRs with other than temporary impairment | |||
Balance before valuation allowance at end of period | 56,289,255 | 53,060,455 | |
Balance at beginning of year | |||
Additions | |||
Balance at end of period | |||
Mortgage servicing rights, net | 56,289,255 | 53,060,455 | |
Estimated fair value of MSRs at end of period | $ 95,644,506 | $ 68,811,809 | |
[1]Included in other expenses on the condensed consolidated statements of earnings |
Schedule of Finite-Lived Intang
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense, Mortgage Servicing Rights (Details) | Jun. 30, 2022 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2021 | $ 6,184,893 |
2022 | 5,460,823 |
2023 | 4,983,934 |
2024 | 4,490,584 |
2025 | 4,050,463 |
Thereafter | 31,118,558 |
Total | $ 56,289,255 |
Schedule of Other Revenues (Det
Schedule of Other Revenues (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Late fees | $ 5,316,365 | $ 4,660,554 | $ 10,483,873 | $ 8,774,212 |
Total | 4,776,566 | 3,829,731 | 9,382,864 | 7,298,252 |
Contractual Servicing Fees [Member] | ||||
Late fees | 4,694,969 | 3,755,294 | 9,201,229 | 7,142,765 |
Late Fees [Member] | ||||
Late fees | $ 81,597 | $ 74,437 | $ 181,635 | $ 155,487 |
Summary of Unpaid Principal Bal
Summary of Unpaid Principal Balances of the Servicing Portfolio (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Servicing unpaid principal balance | $ 7,502,116,963 | $ 7,060,536,350 |
Schedule of Assumptions Used in
Schedule of Assumptions Used in Determining MSR Value (Details) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Prepayment speed | 7.50 | 11.60 |
Average life | 8 years 3 months 18 days | 6 years 7 months 20 days |
Discount rate | 9.50 | 9.50 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate reconciliation, percent | 24.40% | 23.30% | 25.80% | 24.60% |
Provision for income taxes | $ 1,155,397 | $ 3,419,873 | $ 2,370,195 | $ 7,646,213 |
Federal statutory income tax rate, percent | 21% |
Schedule of Opening and Closing
Schedule of Opening and Closing Balances of Receivables, Contract Assets and Contract Liabilities (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | ||
Impairment Effects on Earnings Per Share [Line Items] | |||
Contract asset, beginning balance | |||
Contract liability, beginning balance | 14,508,022 | 13,080,179 | |
Contract asset, ending balance | |||
Contract liability, ending balance | 15,519,297 | 14,508,022 | |
Increase (decrease) in accounts receivable | [1] | 368,383 | 1,178,648 |
Increase (decrease) in contract asset | |||
Increase (decrease) in contract liability | 1,011,275 | 1,427,843 | |
Accounts Receivable [Member] | |||
Impairment Effects on Earnings Per Share [Line Items] | |||
Receivables, beginning balance | [1] | 5,298,636 | 4,119,988 |
Receivables, ending balance | [1] | $ 5,667,019 | $ 5,298,636 |
[1]Included in Receivables, net on the condensed consolidated balance sheets |
Schedule of Revenues of the Cem
Schedule of Revenues of the Cemetery and Mortuary Contracts (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net mortuary and cemetery sales | $ 7,250,503 | $ 6,318,398 | $ 14,456,224 | $ 12,260,524 |
Major Goods Or Services Lines At Need [Member] | ||||
Net mortuary and cemetery sales | 5,598,109 | 4,001,408 | 11,464,987 | 8,043,428 |
Major Goods Or Services Lines Pre Need [Member] | ||||
Net mortuary and cemetery sales | 1,652,394 | 2,316,990 | 2,991,237 | 4,217,096 |
Timing Of Revenue Recognition Goods Transferred At A Point In Time [Member] | ||||
Net mortuary and cemetery sales | 4,594,656 | 4,552,154 | 8,775,201 | 8,750,827 |
Timing Of Revenue Recognition Services Transferred At A Point In Time [Member] | ||||
Net mortuary and cemetery sales | $ 2,655,847 | $ 1,766,244 | $ 5,681,023 | $ 3,509,697 |
Schedule of Reconciliation of R
Schedule of Reconciliation of Revenues from Cemetery and Mortuary Contracts to Business Segment Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net mortuary and cemetery sales | $ 7,250,503 | $ 6,318,398 | $ 14,456,224 | $ 12,260,524 |
Gains (losses) on investments and other assets | (914,395) | 1,477,204 | (742,420) | 3,437,317 |
Net investment income | 15,971,288 | 14,177,318 | 31,165,594 | 28,471,205 |
Other revenues | 5,316,365 | 4,660,554 | 10,483,873 | 8,774,212 |
Revenues from external customers | 95,566,654 | 116,750,315 | 197,992,561 | 239,408,921 |
Cemetery And Mortuary [Member] | ||||
Net mortuary and cemetery sales | 7,250,503 | 6,318,398 | 14,456,224 | 12,260,524 |
Gains (losses) on investments and other assets | (720,135) | 227,546 | (974,660) | 1,025,886 |
Net investment income | 739,272 | 240,587 | 1,235,731 | 470,891 |
Other revenues | 21,378 | 21,391 | 36,917 | 49,886 |
Revenues from external customers | $ 7,291,018 | $ 6,807,922 | $ 14,754,212 | $ 13,807,187 |
Revenues from Contracts with _3
Revenues from Contracts with Customers (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | ||||
Revenue recognized included in the opening contract liability | $ 1,526,324 | $ 1,309,936 | $ 2,590,428 | $ 2,444,937 |