XML 36 R24.htm IDEA: XBRL DOCUMENT v3.25.3

Investments (Tables)

9 Months Ended

Sep. 30, 2025

Investments, Debt and Equity Securities [Abstract]

Schedule of Investments

The Company’s investments as of September 30, 2025, are summarized as follows:

Schedule of Investments

		Amortized Cost				Gross Unrealized Gains				Gross Unrealized Losses (1)				Allowance for Credit Losses				Estimated Fair Value
September 30, 2025:
Fixed maturity securities, available for sale, at estimated fair value:
U.S. Treasury securities and obligations of U.S. Government agencies		$	77,815,616			$	941,844			$	(154,207	)		$	-			$	78,603,253
Obligations of states and political subdivisions			3,416,026				11,280				(175,233	)			-				3,252,073
Corporate securities including public utilities			281,126,441				7,265,563				(3,263,456	)			(378,819	)			284,749,729
Mortgage-backed securities			25,532,582				110,226				(3,622,125	)			(154,049	)			21,866,634
Redeemable preferred stock			750,000				9,400				(37,500	)			-				721,900
Total fixed maturity securities available for sale		$	388,640,665			$	8,338,313			$	(7,252,521	)		$	(532,868	)		$	389,193,589
Equity securities at estimated fair value:
Common stock:
Industrial, miscellaneous and all other		$	12,128,914			$	5,898,600			$	(336,490	)						$	17,691,024
Total equity securities at estimated fair value		$	12,128,914			$	5,898,600			$	(336,490	)						$	17,691,024
Mortgage loans held for investment at amortized cost:
Residential		$	91,948,455
Residential construction			165,869,176
Commercial			76,447,701
Less: Unamortized deferred loan fees, net			(2,159,279	)
Less: Allowance for credit losses			(2,677,001	)
Less: Net discounts			(264,361	)
Total mortgage loans held for investment		$	329,164,691
Real estate held for investment - net of accumulated depreciation:
Residential		$	93,885,033
Commercial			122,678,848
Total real estate held for investment		$	216,563,881
Real estate held for sale:
Residential		$	1,467,850
Commercial			151,553
Total real estate held for sale		$	1,619,403
Other investments and policy loans at amortized cost:
Policy loans		$	14,372,484
Insurance assignments			42,278,320
Federal Home Loan Bank stock (2)			1,590,400
Other investments			26,417,783
Less: Allowance for credit losses for insurance assignments			(1,534,957	)
Total other investments and policy loans		$	83,124,030
Accrued investment income		$	9,746,368
Total investments		$	1,047,102,986

(1) Gross unrealized losses are net of allowance for credit losses

(2) Includes $581,600 of Membership stock and $1,008,800 of Activity stock attributable to short-term borrowings and letters of credit.

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

September 30, 2025 (Unaudited)

3) Investments (Continued)

The Company’s investments as of December 31, 2024, are summarized as follows:

		Amortized Cost				Gross Unrealized Gains				Gross Unrealized Losses (1)				Allowance for Credit Losses				Estimated Fair Value
December 31, 2024:
Fixed maturity securities, available for sale, at estimated fair value:
U.S. Treasury securities and obligations of U.S. Government agencies		$	74,680,606			$	327,618			$	(486,976	)		$	-			$	74,521,248
Obligations of states and political subdivisions			6,416,751				1,762				(290,448	)			-				6,128,065
Corporate securities including public utilities			262,954,278				2,444,842				(6,922,871	)			(408,944	)			258,067,305
Mortgage-backed securities			31,710,436				125,764				(4,244,640	)			(12,049	)			27,579,511
Redeemable preferred stock			250,000				-				-				-				250,000
Total fixed maturity securities available for sale		$	376,012,071			$	2,899,986			$	(11,944,935	)		$	(420,993	)		$	366,546,129
Equity securities at estimated fair value:
Common stock:
Industrial, miscellaneous and all other		$	11,386,454			$	4,976,567			$	(591,340	)						$	15,771,681
Total equity securities at estimated fair value		$	11,386,454			$	4,976,567			$	(591,340	)						$	15,771,681
Mortgage loans held for investment at amortized cost:
Residential		$	92,061,787
Residential construction			151,172,733
Commercial			62,753,085
Less: Unamortized deferred loan fees, net			(2,082,241	)
Less: Allowance for credit losses			(1,885,390	)
Less: Net discounts			(272,616	)
Total mortgage loans held for investment		$	301,747,358
Real estate held for investment - net of accumulated depreciation:
Residential		$	71,618,410
Commercial			126,074,928
Total real estate held for investment		$	197,693,338
Real estate held for sale:
Residential		$	1,126,480
Commercial			151,553
Total real estate held for sale		$	1,278,033
Other investments and policy loans at amortized cost:
Policy loans		$	14,019,248
Insurance assignments			48,493,858
Federal Home Loan Bank stock (2)			2,404,900
Other investments			11,473,961
Less: Allowance for credit losses for insurance assignments			(1,536,926	)
Total policy loans and other investments		$	74,855,041
Accrued investment income		$	8,499,168
Total investments		$	966,390,748

(1) Gross unrealized losses are net of allowance for credit losses

(2) Includes $553,900 of Membership stock and $1,851,000 of Activity stock due to short-term advances and letters of credit.

Schedule of Fair Value of 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				Total Unrealized Loss				Combined Fair Value
September 30, 2025
U.S. Treasury securities and obligations of U.S. Government agencies		$	5,286			$	2,413,864			$	148,921			$	10,950,745			$	154,207			$	13,364,609
Obligations of states and political subdivisions			322				199,678				174,911				2,107,032				175,233				2,306,710
Corporate securities			456,904				28,709,675				2,806,552				51,662,199				3,263,456				80,371,874
Mortgage-backed securities			6,859				360,565				3,615,266				18,132,086				3,622,125				18,492,651
Redeemable preferred stock			37,500				212,500				-				-				37,500				212,500
Totals		$	506,871			$	31,896,282			$	6,745,650			$	82,852,062			$	7,252,521			$	114,748,344
December 31, 2024
U.S. Treasury securities and obligations of U.S. Government agencies		$	8,737			$	986,365			$	478,239			$	22,110,495			$	486,976			$	23,096,860
Obligations of states and political subdivisions			15,003				2,167,918				275,445				3,008,385				290,448				5,176,303
Corporate securities including public utilities			1,888,022				93,562,219				5,034,849				77,975,776				6,922,871				171,537,995
Mortgage-backed securities			32,150				2,915,192				4,212,490				19,041,442				4,244,640				21,956,634
Totals		$	1,943,912			$	99,631,694			$	10,001,023			$	122,136,098			$	11,944,935			$	221,767,792

Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designation

Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designation

		September 30, 2025								December 31, 2024
NAIC Designation		Amortized Cost				Estimated Fair Value				Amortized Cost				Estimated Fair Value
1		$	201,200,500			$	200,858,163			$	188,386,980			$	183,460,027
2			180,271,273				181,731,893				178,060,265				174,405,442
3			5,748,526				5,407,297				7,961,422				7,342,220
4			406,486				412,461				649,592				600,459
5			262,549				61,875				702,643				487,981
6			1,331				-				1,169				-
Total		$	387,890,665			$	388,471,689			$	375,762,071			$	366,296,129

Schedule of Allowance for Credit Losses on Fixed Maturity Securities Available for Sale

The following tables present a roll forward of the Company’s allowance for credit losses on fixed maturity securities available for sale for the three-month periods ended September 30, 2025, and 2024:

Schedule of Allowance for Credit Losses on Fixed Maturity Securities Available for Sale

		U.S. Treasury securities and obligations of U.S. Government agencies				Obligations of states and political subdivisions				Corporate securities including public utilities				Mortgage- backed securities				Total
		Three Months Ended September 30, 2025
		U.S. Treasury securities and obligations of U.S. Government agencies				Obligations of states and political subdivisions				Corporate securities including public utilities				Mortgage- backed securities				Total
Beginning balance - June 30, 2025		$	-			$	-			$	474,937			$	12,049			$	486,986
Additions for credit losses not previously recorded			-				-				45,882				-				45,882
Change in allowance on securities with previous allowance			-				-				-				-				-
Reductions for securities sold during the period			-				-				-				-				-
Reductions for securities with credit losses due to intent to sell			-				-				-				-				-
Write-offs charged against the allowance			-				-				-				-				-
Recoveries of amounts previously written off			-				-				-				-				-
Ending Balance - September 30, 2025		$	-			$	-			$	520,819			$	12,049			$	532,868

		Three Months Ended September 30, 2024
		U.S. Treasury securities and obligations of U.S. Government agencies				Obligations of states and political subdivisions				Corporate securities including public utilities				Mortgage- backed securities				Total
Beginning balance - June 30, 2024		$	-			$	-			$	382,211			$	12,049			$	394,260
Additions for credit losses not previously recorded			-				-				25,000				-				25,000
Change in allowance on securities with previous allowance			-				-				(4,658	)			-				(4,658	)
Reductions for securities sold during the period			-				-				-				-				-
Reductions for securities with credit losses due to intent to sell			-				-				-				-				-
Write-offs charged against the allowance			-				-				-				-				-
Recoveries of amounts previously written off			-				-				-				-				-
Ending Balance - September 30, 2024		$	-			$	-			$	402,553			$	12,049			$	414,602

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

September 30, 2025 (Unaudited)

3) Investments (Continued)

The following tables present a roll forward of the Company’s allowance for credit losses on fixed maturity securities available for sale for the nine-month periods ended September 30, 2025, and 2024:

		Nine Months Ended Sepember 30, 2025
		U.S. Treasury securities and obligations of U.S. Government agencies				Obligations of states and political subdivisions				Corporate securities including public utilities				Mortgage- backed securities				Total
Beginning balance - December 31, 2024		$	-			$	-			$	408,944			$	12,049			$	420,993
Additions for credit losses not previously recorded			-				-				72,000				-				72,000
Change in allowance on securities with previous allowance			-				-				39,875				-				39,875
Reductions for securities sold during the period			-				-				-				-				-
Reductions for securities with credit losses due to intent to sell			-				-				-				-				-
Write-offs charged against the allowance			-				-				-				-				-
Recoveries of amounts previously written off			-				-				-				-				-
Ending Balance - September 30, 2025		$	-			$	-			$	520,819			$	12,049			$	532,868

		Nine Months Ended Sepember 30, 2024
		U.S. Treasury securities and obligations of U.S. Government agencies				Obligations of states and political subdivisions				Corporate securities including public utilities				Mortgage- backed securities				Total
Beginning balance - December 31, 2023		$	-			$	-			$	308,500			$	6,049			$	314,549
Balance		$	-			$	-			$	308,500			$	6,049			$	314,549
Additions for credit losses not previously recorded			-				-				55,000				6,000				61,000
Change in allowance on securities with previous allowance			-				-				39,053				-				39,053
Reductions for securities sold during the period			-				-				-				-				-
Reductions for securities with credit losses due to intent to sell			-				-				-				-				-
Write-offs charged against the allowance			-				-				-				-				-
Recoveries of amounts previously written off			-				-				-				-				-
Ending Balance - September 30, 2024		$	-			$	-			$	402,553			$	12,049			$	414,602
Balance		$	-			$	-			$	402,553			$	12,049			$	414,602

Schedule of Investments Classified by Contractual Maturity Date

The table below presents the amortized cost and the estimated fair value of fixed maturity securities available for sale as of September 30, 2025, by contractual maturity. Actual or expected maturities may differ from contractual maturities because certain securities afford the issuer the right to call or prepay its obligations.

Schedule of Investments Classified by Contractual Maturity Date

		Amortized Cost				Estimated Fair  Value
Due in 1 year		$	5,431,523			$	5,435,051
Due in 2-5 years			138,658,507				139,348,247
Due in 5-10 years			129,622,596				133,518,158
Due in more than 10 years			88,645,457				88,303,599
Mortgage-backed securities			25,532,582				21,866,634
Redeemable preferred stock			750,000				721,900
Total		$	388,640,665			$	389,193,589

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

		2025				2024				2025				2024
		Three Months Ended September 30,								Nine Months Ended September 30,
		2025				2024				2025				2024
Proceeds from sales		$	377,496			$	181,949			$	3,142,137			$	789,190
Gross realized gains			3,668				-				4,194				2,714
Gross realized losses			(14,777	)			(20,666	)			(15,318	)			(1,522	)

 

Major categories of net investment income were as follows:

		2025				2024				2025				2024
		Three Months Ended September 30,								Nine Months Ended September 30,
		2025				2024				2025				2024
Fixed maturity securities available for sale		$	4,818,558			$	4,301,241			$	14,233,356			$	13,050,503
Equity securities			210,342				171,767				650,605				516,363
Mortgage loans held for investment			10,149,577				7,032,201				30,571,474				22,867,797
Real estate held for investment and sale			2,885,847				3,093,459				8,718,124				9,893,539
Policy loans			256,796				225,393				737,159				715,791
Insurance assignments			4,948,025				5,009,043				15,818,390				14,971,607
Other investments			236,288				272,062				480,123				672,363
Cash and cash equivalents			747,758				1,700,898				3,104,010				5,107,765
Gross investment income			24,253,191				21,806,064				74,313,241				67,795,728
Investment expenses			(4,143,591	)			(4,006,968	)			(14,420,029	)			(12,005,256	)
Net investment income		$	20,109,600			$	17,799,096			$	59,893,212			$	55,790,472

 

Schedule of Assets on Deposit With Life Insurance

Assets on deposit with life insurance regulatory authorities as required by law were as follows:

Schedule of Assets on Deposit With Life Insurance

		As of September 30, 2025				As of December 31, 2024
Fixed maturity securities available for sale at estimated fair value		$	7,756,474			$	6,126,589
Other investments			-				400,000
Cash and cash equivalents			1,538,320				1,444,654
Total assets on deposit		$	9,294,794			$	7,971,243

Assets held in trust related to third-party reinsurance agreements were as follows:

		As of September 30, 2025				As of December 31, 2024
Fixed maturity securities available for sale at estimated fair value		$	26,013,241			$	25,309,270
Cash and cash equivalents			1,310,683				4,417,683
Total assets on deposit		$	27,323,924			$	29,726,953

The Company, through two of its life insurance subsidiaries, is a member of the Federal Home Loan Banks of Des Moines and Dallas (“FHLBs”). Assets pledged as collateral with the FHLBs are presented below. These pledged securities are used as collateral for any FHLB cash advances. As of September 30, 2025, the Company owed $21,000,000 to the FHLBs for advances, which is included in Bank and other loans payable on the condensed consolidated balance sheets. The Company received $69,000,000 in advances and repaid $48,000,000 of these advances during the nine months ended September 30, 2025.

		As of September 30, 2025				As of December 31, 2024
Fixed maturity securities available for sale at estimated fair value		$	62,730,848			$	63,800,454
Total assets pledged as collateral		$	62,730,848			$	63,800,454

Schedule of Commercial Real Estate Investment

The Company’s commercial real estate held for investment is summarized as follows as of the respective dates indicated:

Schedule of Commercial Real Estate Investment

		Net Book Value								Total Square Footage
		September 30, 2025				December 31, 2024				September 30, 2025				December 31, 2024
Utah (1)		$	122,660,759			$	126,056,342				546,941				546,941
Louisiana			18,089				18,586				1,622				1,622
		$	122,678,848			$	126,074,928				548,563				548,563

(1) Includes Center53

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

September 30, 2025 (Unaudited)

3) Investments (Continued)

The Company’s commercial real estate held for sale is summarized as follows as of the respective dates indicated:

		Net Book Value
		September 30, 2025				December 31, 2024
Mississippi (1)		$	151,553			$	151,553
		$	151,553			$	151,553

(1) Consists of approximately 93 acres of undeveloped land

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 September 30, 2025, 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 Ascension Way, Floors 4, 5 and 6, Salt Lake City, UT - Center53 Building 2 (1)		Corporate Offices, Life Insurance, Cemetery/Mortuary Operations, and Mortgage Operations and Sales			216,865				50	%
1818 Marshall Street, Shreveport, LA (2)		Life Insurance Operations			12,274				100	%
812 Sheppard Street, Minden, LA (2) (3)		Life Insurance Sales			1,560				100	%

(1) Included in real estate held for investment on the condensed consolidated balance sheets

(2) Included in property and equipment on the condensed consolidated balance sheets

(3) Listed for sale

Schedule of Residential Real Estate Investment

The Company’s residential real estate held for investment is summarized as follows as of the respective dates indicated:

Schedule of Residential Real Estate Investment

		Net Book Value
		September 30, 2025				December 31, 2024
Utah (1)		$	93,885,033			$	71,618,410
		$	93,885,033			$	71,618,410

(1) Includes multiple residential subdivision development projects, refer to the following tables.

The Company also invests in residential subdivision developments. The following table presents additional information regarding the Company’s residential subdivision development projects in Utah:

		September 30, 2025				December 31, 2024
Lots developed			184				231
Lots to be developed			1,238				1,046
Book Value		$	93,718,118			$	71,443,356

The Company’s residential real estate held for sale is summarized as follows as of the respective dates indicated:

		Net Book Value
		September 30, 2025				December 31, 2024
Utah		$	455,000			$	849,900
Florida			442,355				276,580
Georgia			380,000				-
Colorado			190,495				-
		$	1,467,850			$	1,126,480

Schedule of Allowance for Loan Losses

The following table presents a roll forward of the allowance for credit losses as of the dates indicated:

Schedule of Allowance for Loan Losses

		Three Months Ended
		Commercial				Residential				Residential Construction				Total
Beginning balance - June 30, 2025		$	1,179,267			$	1,129,892			$	331,585			$	2,640,744
Change in provision for credit losses (1)			375,839				(340,049	)			467				36,257
Charge-offs			-				-				-				-
Ending balance - September 30, 2025		$	1,555,106			$	789,843			$	332,052			$	2,677,001
Beginning balance - June 30, 2024		$	849,323			$	1,779,386			$	225,143			$	2,853,852
Change in provision for credit losses (1)			(87,611	)			(127,239	)			36,229				(178,621	)
Charge-offs			-				(1,095,485	)			-				(1,095,485	)
Ending balance - September 30, 2024		$	761,712			$	556,662			$	261,372			$	1,579,746

		Nine Months Ended
		Commercial				Residential				Residential Construction				Total
Beginning balance - December 31, 2024		$	732,494			$	850,550			$	302,346			$	1,885,390
Change in provision for credit losses (1)			822,612				(60,707	)			29,706				791,611
Charge-offs			-				-				-				-
Ending balance - September 30, 2025		$	1,555,106			$	789,843			$	332,052			$	2,677,001
Beginning balance - December 31, 2023		$	1,219,653			$	2,390,894			$	208,106			$	3,818,653
Change in provision for credit losses (1)			(457,941	)			(738,747	)			53,266				(1,143,422	)
Charge-offs			-				(1,095,485	)			-				(1,095,485	)
Ending balance - September 30, 2024		$	761,712			$	556,662			$	261,372			$	1,579,746

(1) Included in other expenses on the condensed consolidated statements of earnings

Schedule of Aging of Mortgage Loans

The following table presents the aging of mortgage loans held for investment by loan type as of the dates indicated:

Schedule of Aging of Mortgage Loans

		Commercial				Residential				Residential  Construction				Total
September 30, 2025
30-59 days past due		$	132,237			$	6,057,452			$	-			$	6,189,689
60-89 days past due			-				1,687,873				-				1,687,873
Over 90 days past due (1)			3,196,505				3,014,258				-				6,210,763
In process of foreclosure (1)			191,508				2,427,736				-				2,619,244
Total past due			3,520,250				13,187,319				-				16,707,569
Current			72,927,451				78,761,136				165,869,176				317,557,763
Total mortgage loans			76,447,701				91,948,455				165,869,176				334,265,332
Allowance for credit losses			(1,555,106	)			(789,843	)			(332,052	)			(2,677,001	)
Unamortized deferred loan fees, net			(319,736	)			(1,321,211	)			(518,332	)			(2,159,279	)
Unamortized discounts, net			(145,419	)			(118,942	)			-				(264,361	)
Net mortgage loans held for investment		$	74,427,440			$	89,718,459			$	165,018,792			$	329,164,691
December 31, 2024
30-59 days past due		$	2,100,000			$	5,818,334			$	-			$	7,918,334
60-89 days past due			-				845,980				-				845,980
Over 90 days past due (1)			4,205,000				3,061,450				-				7,266,450
In process of foreclosure (1)			191,508				3,942,392				-				4,133,900
Total past due			6,496,508				13,668,156				-				20,164,664
Current			56,256,577				78,393,631				151,172,733				285,822,941
Total mortgage loans			62,753,085				92,061,787				151,172,733				305,987,605
Allowance for credit losses			(732,494	)			(850,550	)			(302,346	)			(1,885,390	)
Unamortized deferred loan fees, net			(115,555	)			(1,307,539	)			(659,147	)			(2,082,241	)
Unamortized discounts, net			(149,268	)			(123,348	)			-				(272,616	)
Net mortgage loans held for investment		$	61,755,768			$	89,780,350			$	150,211,240			$	301,747,358

(1) Interest income is not recognized on loans which are more than 90 days past due or in foreclosure.

Schedule of Commercial and Residential Mortgage Loans By Credit Quality Indicator

The aggregate unpaid principal balance of commercial mortgage loans by credit quality indicator and origination year was as follows as of September 30, 2025:

Schedule of Commercial and Residential Mortgage Loans By Credit Quality Indicator

Credit Quality Indicator		2025				2024				2023				2022				2021				Prior				Total				% of Total
LTV:
Less than 65%		$	19,847,653			$	3,892,248			$	15,600,000			$	462,761			$	824,305			$	8,475,563			$	49,102,530				64.23	%
65% to 80%			14,381,076				10,432,942				1,840,776				293,872				-				-				26,948,666				35.25	%
Greater than 80%			-				-				-				-				396,505				-				396,505				0.52	%
Total		$	34,228,729			$	14,325,190			$	17,440,776			$	756,633			$	1,220,810			$	8,475,563			$	76,447,701				100.00	%
DSCR
>1.20x		$	8,542,000			$	13,892,248			$	13,640,000			$	-			$	-			$	5,322,035			$	41,396,283				54.15	%
1.00x - 1.20x			20,161,729				432,942				3,800,776				756,633				1,220,810				3,153,528				29,526,418				38.62	%
<1.00x			5,525,000				-				-				-				-				-				5,525,000				7.23	%
Total		$	34,228,729			$	14,325,190			$	17,440,776			$	756,633			$	1,220,810			$	8,475,563			$	76,447,701				100.00	%

The aggregate unpaid principal balance of commercial mortgage loans by credit quality indicator and origination year was as follows as of December 31, 2024:

Credit Quality Indicator		2024				2023				2022				2021				2020				Prior				Total				% of Total
LTV:
Less than 65%		$	7,653,600			$	24,600,000			$	2,352,150			$	864,128			$	-			$	8,867,779			$	44,337,657				70.65	%
65% to 80%			10,432,942				1,840,776				823,397				-				4,913,313				-				18,010,428				28.70	%
Greater than 80%			-				-				-				405,000				-				-				405,000				0.65	%
Total		$	18,086,542			$	26,440,776			$	3,175,547			$	1,269,128			$	4,913,313			$	8,867,779			$	62,753,085				100.00	%
DSCR
>1.20x		$	16,300,000			$	20,990,000			$	1,000,000			$	-			$	4,913,313			$	5,414,274			$	48,617,587				77.47	%
1.00x - 1.20x			432,942				5,450,776				2,175,547				1,269,128				-				3,453,505				12,781,898				20.37	%
<1.00x			1,353,600				-				-				-				-				-				1,353,600				2.16	%
Total		$	18,086,542			$	26,440,776			$	3,175,547			$	1,269,128			$	4,913,313			$	8,867,779			$	62,753,085				100.00	%

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

September 30, 2025 (Unaudited)

3) Investments (Continued)

The Company evaluates and monitors the credit quality of its residential mortgage loans by analyzing LTV and loan performance. The Company defines non-performing mortgage loans as loans more than 90 days past due and on a non-accrual status. Monitoring a residential mortgage loan increases when the loan is delinquent or earlier if there is an indication of impairment.

The aggregate unpaid principal balance of residential mortgage loans by credit quality indicator and origination year was as follows as of September 30, 2025:

Credit Quality Indicator		2025				2024				2023				2022				2021				Prior				Total				% of Total
Performance Indicators:
Performing		$	9,761,488			$	11,925,652			$	8,846,498			$	39,491,126			$	2,894,338			$	13,587,359			$	86,506,461				94.08	%
Non-performing (1)			546,602				-				3,013,370				943,125				-				938,897				5,441,994				5.92	%
Total		$	10,308,090			$	11,925,652			$	11,859,868			$	40,434,251			$	2,894,338			$	14,526,256			$	91,948,455				100.00	%

(1) Includes residential mortgage loans in the process of foreclosure of $2,427,736

LTV:
Less than 65%		$	3,581,292			$	5,723,881			$	4,547,440			$	6,670,677			$	1,337,492			$	7,570,352			$	29,431,134				32.01	%
65% to 80%			5,742,730				6,046,634				6,638,395				32,174,154				1,556,846				6,416,327				58,575,086				63.70	%
Greater than 80%			984,068				155,137				674,033				1,589,420				-				539,577				3,942,235				4.29	%
Total		$	10,308,090			$	11,925,652			$	11,859,868			$	40,434,251			$	2,894,338			$	14,526,256			$	91,948,455				100.00	%

The aggregate unpaid principal balance of residential mortgage loans by credit quality indicator and origination year was as follows as of December 31, 2024:

Credit Quality Indicator		2024				2023				2022				2021				2020				Prior				Total				% of Total
Performance Indicators:
Performing		$	14,861,098			$	10,030,848			$	42,634,670			$	3,076,901			$	5,513,462			$	8,940,966			$	85,057,945				92.39	%
Non-performing (1)			-				3,442,992				1,451,039				291,359				311,116				1,507,336				7,003,842				7.61	%
Total		$	14,861,098			$	13,473,840			$	44,085,709			$	3,368,260			$	5,824,578			$	10,448,302			$	92,061,787				100.00	%

(1) Includes residential mortgage loans in the process of foreclosure of $3,942,392

		Year 1				Year 2				Year 3				Year 4				Year 5
LTV:
Less than 65%		$	6,241,730			$	4,931,376			$	5,488,954			$	1,790,036			$	2,440,002			$	5,273,672			$	26,165,770				28.42	%
65% to 80%			7,802,984				7,662,200				37,509,634				1,578,224				2,701,008				5,107,289				62,361,339				67.74	%
Greater than 80%			816,384				880,264				1,087,121				-				683,568				67,341				3,534,678				3.84	%
Total		$	14,861,098			$	13,473,840			$	44,085,709			$	3,368,260			$	5,824,578			$	10,448,302			$	92,061,787				100.00	%

Schedule of Residential Construction Mortgage Loans

The aggregate unpaid principal balance of residential construction mortgage loans by credit quality indicator and origination year was as follows as of September 30, 2025:

Schedule of Residential Construction Mortgage Loans

Credit Quality Indicator		2025				2024				2023				2022				2021				Total				% of Total
Performance Indicators:
Performing		$	97,416,837			$	55,925,032			$	7,751,304			$	-			$	4,776,003			$	165,869,176				100.00	%
Non-performing			-				-				-				-				-				-				0.00	%
Total		$	97,416,837			$	55,925,032			$	7,751,304			$	-			$	4,776,003			$	165,869,176				100.00	%
LTV:
Less than 65%		$	27,347,365			$	30,938,061			$	7,751,304			$	-			$	4,776,003			$	70,812,733				42.69	%
65% to 80%			65,953,712				24,986,971				-				-				-				90,940,683				54.83	%
Greater than 80%			4,115,760				-				-				-				-				4,115,760				2.48	%
Total		$	97,416,837			$	55,925,032			$	7,751,304			$	-			$	4,776,003			$	165,869,176				100.00	%

The aggregate unpaid principal balance of residential construction mortgage loans by credit quality indicator and origination year was as follows as of December 31, 2024:

Credit Quality Indicator		2024				2023				2022				2021				Total				% of Total
Performance Indicators:
Performing		$	118,863,944			$	21,375,552			$	972,468			$	9,960,769			$	151,172,733				100.00	%
Non-performing			-				-				-				-				-				0.00	%
Total		$	118,863,944			$	21,375,552			$	972,468			$	9,960,769			$	151,172,733				100.00	%
LTV:
Less than 65%		$	48,065,177			$	21,375,552			$	518,590			$	9,960,769			$	79,920,088				52.87	%
65% to 80%			70,798,767				-				453,878				-				71,252,645				47.13	%
Greater than 80%							-				-				-				-				0.00	%
Total		$	118,863,944			$	21,375,552			$	972,468			$	9,960,769			$	151,172,733				100.00	%

Schedule of Aging of Insurance Assignments

The following table presents the aging of insurance assignments, included in other investments and policy loans on the condensed consolidated balance sheets:

Schedule of Aging of Insurance Assignments

		As of September 30, 2025				As of December 31, 2024
30-59 days past due		$	7,982,177			$	8,785,184
60-89 days past due			2,834,811				4,046,731
Over 90 days past due			4,883,289				5,320,216
Total past due			15,700,277				18,152,131
Current			26,578,043				30,341,727
Total insurance assignments			42,278,320				48,493,858
Allowance for credit losses			(1,534,957	)			(1,536,926	)
Net insurance assignments		$	40,743,363			$	46,956,932

Schedule of Allowance for Credit Losses

The following table presents a roll forward of the allowance for credit losses for insurance assignments as of the dates indicated:

Schedule of Allowance for Credit Losses

		Three Months Ended
Beginning balance - June 30, 2025		$	1,481,032
Change in provision for credit losses (1)			248,408
Charge-offs			(194,483	)
Ending balance - September 30, 2025		$	1,534,957
Beginning balance - June 30, 2024		$	1,535,324
Change in provision for credit losses (1)			259,643
Charge-offs			(254,132	)
Ending balance - September 30, 2024		$	1,540,835

		Nine Months Ended
Beginning balance - December 31, 2024		$	1,536,926
Change in provision for credit losses (1)			799,460
Charge-offs			(801,429	)
Ending balance - September 30, 2025		$	1,534,957
Beginning balance - December 31, 2023		$	1,553,836
Change in provision for credit losses (1)			752,256
Charge-offs			(765,257	)
Ending balance - September 30, 2024		$	1,540,835

(1) Included in other expenses on the condensed consolidated statements of earnings

Schedule of Gain (Loss) on Investments

The following table presents the realized gains and losses from sales, calls, and maturities, and unrealized gains and losses on equity securities from investments and other assets:

Schedule of Gain (Loss) on Investments

		2025				2024				2025				2024
		Three Months Ended September 30,								Nine Months Ended September 30,
		2025				2024				2025				2024
Fixed maturity securities:
Gross realized gains		$	3,904			$	7,929			$	5,425			$	13,120
Gross realized losses			(24,168	)			(43,184	)			(36,426	)			(61,539	)
Net credit loss provision			(45,882	)			(20,342	)			(111,875	)			(100,053	)
Equity securities:
Gains (losses) on securities sold			(990,140	)			708				(860,032	)			(16,662	)
Unrealized gains on securities held at the end of the period			2,477,603				2,415,881				3,544,484				3,534,285
Mortgage loans held for investment:
Gross realized gains			-				-				-				-
Gross realized losses			-				(1,161,364	)			-				(1,161,364	)
Real estate held for investment and sale:
Gross realized gains			644,370				71,622				1,241,285				360,474
Gross realized losses			(12,099	)			-				(12,099	)			-
Other assets:
Gross realized gains			448				95,690				11,252				92,095
Gross realized losses			(81,838	)			(19,284	)			(81,088	)			(20,513	)
Total		$	1,972,198			$	1,347,656			$	3,700,926			$	2,639,843

Schedule of Accrued Investment Income

Accrued investment income consists of the following:

Schedule of Accrued Investment Income

		As of September 30, 2025				As of December 31, 2024
Fixed maturity securities available for sale		$	4,530,512			$	3,795,581
Equity securities			14,147				11,049
Mortgage loans held for investment			981,754				1,049,489
Real estate held for investment			4,181,528				3,559,463
Other investments			4,667				-
Cash and cash equivalents			33,760				83,586
Total accrued investment income		$	9,746,368			$	8,499,168

X

- Definition

Schedule of Residential Real Estate Investment [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ResidentialRealEstateInvestmentTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Aging of Insurance Assignments [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfAgingOfInsuranceAssignmentsTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Aging of Mortgage Loans [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfAgingOfMortgageLoansTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of allowance for credit losses [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfAllowanceForCreditLossesTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Allowance for Loan Losses [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfAllowanceForLoanLossesTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Fair Value of Fixed Maturity Securities [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfFairValueOfFixedMaturitySecuritiesTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Major Categories of Net Investment Income [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfMajorCategoriesOfNetInvestmentIncomeTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Residential Construction Mortgage Loans [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleOfResidentialConstructionMortgageLoansTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designation [Table Text Block]

+ References

No definition available.

+ Details

Name:	SNFCA_ScheduleofCreditQualityofFixedMaturitySecurityPortfoliobyNAICDesignationTableTextBlock
Namespace Prefix:	SNFCA_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of allowance for credit loss on investment in debt security measured at fair value with change in fair value recognized in other comprehensive income (available-for-sale).

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 326
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479106/326-30-50-9

+ Details

Name:	us-gaap_DebtSecuritiesAvailableForSaleAllowanceForCreditLossTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivables by credit quality indicator. The credit quality indicator is a statistic about the credit quality of financing receivables. Examples include, but not limited to, consumer credit risk scores, credit-rating-agency ratings, an entity's internal credit risk grades, loan-to-value ratios, collateral, collection experience and other internal metrics.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 326
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479319/326-20-50-5

+ Details

Name:	us-gaap_FinancingReceivableCreditQualityIndicatorsTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of realized and unrealized gain (loss) on investment in security.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(9)(a))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(7)(c))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

+ Details

Name:	us-gaap_GainLossOnInvestmentsTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of investment income, including, but not limited to, interest and dividend income and amortization of discount (premium) derived from debt and equity securities. Excludes realized and unrealized gain (loss) on investments.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(8))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(7)(a))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(7)(b))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(9))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 944
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(2))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477250/944-220-S99-1

+ Details

Name:	us-gaap_InvestmentIncomeTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of maturities of an entity's investments as well as any other information pertinent to the investments.

+ References

No definition available.

+ Details

Name:	us-gaap_InvestmentsClassifiedByContractualMaturityDateTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of nonconsolidated investments in real estate including interests in corporations, partnerships and joint ventures. Disclosures may include summarized aggregate financial statements for the real estate investments.

+ References

No definition available.

+ Details

Name:	us-gaap_RealEstateInvestmentFinancialStatementsDisclosureTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

The entire disclosure for real estate owned (as defined). Generally, the largest component of real estate owned by lenders is assets taken in settlement of troubled loans through surrender or foreclosure. Real estate investments, real estate loans that qualify as investments in real estate, and premises that are no longer used in operations may also be included in real estate owned.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 310
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481990/310-10-45-3

+ Details

Name:	us-gaap_RealEstateOwnedTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the reconciliation of available-for-sale securities from cost basis to fair value.

+ References

No definition available.

+ Details

Name:	us-gaap_ScheduleOfAvailableForSaleSecuritiesReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of how the entity's reporting under GAAP as of the balance sheet date differs from the results based on prescribed and permitted accounting practices of the state or country of domicile in which a relevant statutory filing is made, or differences in results based on the National Association of Insurance Commissioners (NAIC) prescribed practices, or a combination thereof. Describes the accounting practices used and the related monetary effect on statutory surplus, net income, and risk-based capital. If an insurance enterprise's risk-based capital would have triggered a regulatory event had it not used a permitted practice, that fact is disclosed in the financial statements. Permitted statutory accounting practices include practices not prescribed but allowed by the domiciliary state insurance department regulatory authority.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 944
-SubTopic 505
-Name Accounting Standards Codification
-Section 55
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478420/944-505-55-2

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 944
-SubTopic 505
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477908/944-505-50-5

Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 944
-SubTopic 505
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477908/944-505-50-3

Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 944
-SubTopic 505
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477908/944-505-50-1

Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 944
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-03(a)(23)(c))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478777/944-210-S99-1

+ Details

Name:	us-gaap_StatutoryAccountingPracticesDisclosureTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration