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Business Segment Information
 6 Months Ended
Jun. 30, 2021
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, 2020. 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.

 

               
   Life Insurance  Cemetery/
Mortuary		  Mortgage  Intercompany
Eliminations		  Consolidated
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 Three Months Ended                         
June 30, 2020                         
Revenues from external customers  $37,788,593   $5,306,305   $75,566,844   $—     $118,661,742 
Intersegment revenues   1,816,185    89,799    190,701    (2,096,685)   —   
Segment profit before income taxes   3,670,369    1,548,452    21,974,935    —      27,193,756 
                          
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 
                          
For the Six Months Ended                         
June 30, 2020                         
Revenues from external customers  $70,994,355   $9,320,001   $117,956,335        $198,270,691 
Intersegment revenues   2,724,353    193,313    391,033    (3,308,699)   —   
Segment profit before income taxes   601,202    1,653,253    26,413,535         28,667,990 
                          
Identifiable Assets   1,206,815,231    75,048,428    346,286,603    (110,608,108)   1,517,542,154 
Goodwill   2,765,570    754,018              3,519,588 
Total Assets   1,209,580,801    75,802,446    346,286,603    (110,608,108)   1,521,061,742