Segment Reporting

3 Months Ended

Mar. 31, 2017

Notes to Financial Statements

Segment Reporting

NOTE 7 – SEGMENT REPORTING

ASC Topic 280, “Segment Reporting,” establishes standards for the way information about operating segments is reported in financial statements. The Company has identified its insurance company operation as its primary reporting segment. Revenues from this segment comprised 92% of consolidated revenues for the three months ended March 31, 2017 and 2016. The Company’s remaining operations constitute a variety of specialty insurance services, each with unique characteristics and individually insignificant to consolidated revenues.

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

	Three Months Ended
	March 31
	2017			2016
Revenues
Insurance company operation	$	8,201,097		$	7,850,731
Other insurance operations		3,389,455			3,198,146
Intersegment eliminations (1)		(2,630,055	)		(2,519,199	)
Total other insurance operations		759,400			678,947
Total revenues	$	8,960,497		$	8,529,678
Income (Loss) before Income Taxes
Insurance company operation	$	(3,063,919	)	$	253,754
Other insurance operations		(203,430	)		(523,780	)
Total loss before income taxes	$	(3,267,349	)	$	(270,026	)

	As of
	March 31			December 31
	2017			2015
Assets
Insurance company operation	$	126,857,152		$	124,325,620
Intersegment eliminations (2)		(2,456,298	)		(1,579,820	)
Total insurance company operation		124,400,854			122,745,800
Other insurance operations		14,559,271			15,476,405
Total assets	$	138,960,125		$	138,222,205

(1) Intersegment revenue eliminations reflect rents paid by Unico to Crusader for spaced leased in the Calabasas building and commissions 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 from Unifax and Unifax payables to Crusader.