Segment Reporting

9 Months Ended

Sep. 30, 2012

Notes to Financial Statements

Segment Reporting

NOTE 7 – SEGMENT REPORTING

ASC 280 establishes standards for the way information about operating segments are reported in financial statements. The Company has identified its insurance company operation as its primary reporting segment. Revenues from this segment comprised 90% of consolidated revenues for the three and ninemonths ended September 30, 2012, compared to 90% and 89% of consolidated revenues for the three and nine months ended September 30, 2011, respectively. The Company’s remaining operations constitute a variety of specialty insurance services, each with unique characteristics and individually insignificant to consolidated revenues.

Revenues, income before income taxes, and assets by segment are as follows:

	Three Months Ended						Nine Months Ended
	September 30						September 30
	2012			2011			2012			2011
Revenues
Insurance company operation	$	7,385,390		$	8,180,266		$	22,233,819		$	23,404,839
Other insurance operations		3,084,781			3,010,115			9,428,709			9,484,569
Intersegment eliminations (1)		(2,241,707	)		(2,112,562	)		(6,832,043	)		(6,624,745	)
Total other insurance operations		843,074			897,553			2,596,666			2,859,824
Total Revenues	$	8,228,464		$	9,077,819		$	24,830,485		$	26,264,663
Income (Loss) Before Income Taxes
Insurance company operation	$	1,571,586		$	2,846,242		$	3,947,115		$	6,534,840
Other insurance operations		(437,157	)		(899,888	)		(1,840,836	)		(1,774,626	)
Total Income Before Income Taxes	$	1,134,429		$	1,946,354		$	2,106,279		$	4,760,214

	As of
	September 30			December 31
	2012			2011
Assets
Insurance company operation	$	132,742,064		$	138,622,429
Intersegment eliminations (2)		(2,127,071	)		(1,063,558	)
Total Insurance Company Operation		130,614,993			137,558,871
Other insurance operations		16,263,815			12,816,174
Total Assets	$	146,878,808		$	150,375,045

(1) Intersegment revenue eliminations reflect commission paid by Crusader to Unifax Insurance Systems, Inc., (Unifax) a wholly owned subsidiary of Unico.

(2) Intersegment asset eliminations reflect the elimination of Crusader receivables and Unifax payables.