Contingencies	9 Months Ended
Sep. 30, 2018
Notes to Financial Statements
Contingencies	NOTE 12 – CONTINGENCIES The Company, by virtue of the nature of the business conducted by it, becomes involved in numerous legal proceedings as either plaintiff or defendant. From time to time, the Company is required to resort to legal proceedings against vendors providing services to the Company or against customers or their agents to enforce collection of premiums, commissions, or fees. These routine items of litigation do not materially affect the Company and are handled on a routine basis by the Company through its counsel. The Company establishes reserves for lawsuits, regulatory actions, and other contingencies for which the Company is able to estimate its potential exposure and believes a loss is probable. For loss contingencies believed to be reasonably possible, the Company discloses the nature of the loss contingency, an estimate of the possible loss, a range of loss, or a statement that such an estimate cannot be made. Likewise, the Company is sometimes named as a cross-defendant in litigation, which is principally directed against an insured who was issued a policy of insurance directly or indirectly through the Company. Incidental actions related to disputes concerning the issuance or non-issuance of individual policies are sometimes brought by customers or others. These items are also handled on a routine basis by counsel, and they do not generally affect the operations of the Company. Management is confident that the ultimate outcome of pending litigation should not have an adverse effect on the Company's consolidated results of operations or financial position. The Company vigorously defends itself unless a reasonable settlement appears appropriate. On August 24, 2018, a former employee filed a lawsuit against the Company in the Superior Court of the State California for the County of Los Angeles, naming the Company and two of its subsidiaries as defendants. The lawsuit alleges that the defendants wrongfully terminated the employee after the employee allegedly complained to the Company’s management about certain business practices. That employee’s lawsuit seeks, among other things, compensatory damages, punitive damages, and attorneys’ fees. The Company has found no evidence to establish the employee’s allegations or any other wrongdoing on the Company’s part. The employee had an at-will employment relationship with the Company, and the Company believes that the employee was properly terminated in full compliance with the law and the rights of that employee. The Company will vigorously defend the lawsuit and exercise and preserve all of its rights. Although the Company anticipates a successful defense verdict in its favor, the nature of California’s legal system is significantly unpredictable as to the timing and outcome of such matters.

Contingencies

9 Months Ended

Sep. 30, 2018

NOTE 12 – CONTINGENCIES

The Company, by virtue of the nature of the business conducted by it, becomes involved in numerous legal proceedings as either plaintiff or defendant. From time to time, the Company is required to resort to legal proceedings against vendors providing services to the Company or against customers or their agents to enforce collection of premiums, commissions, or fees. These routine items of litigation do not materially affect the Company and are handled on a routine basis by the Company through its counsel.

The Company establishes reserves for lawsuits, regulatory actions, and other contingencies for which the Company is able to estimate its potential exposure and believes a loss is probable. For loss contingencies believed to be reasonably possible, the Company discloses the nature of the loss contingency, an estimate of the possible loss, a range of loss, or a statement that such an estimate cannot be made.

Likewise, the Company is sometimes named as a cross-defendant in litigation, which is principally directed against an insured who was issued a policy of insurance directly or indirectly through the Company. Incidental actions related to disputes concerning the issuance or non-issuance of individual policies are sometimes brought by customers or others. These items are also handled on a routine basis by counsel, and they do not generally affect the operations of the Company. Management is confident that the ultimate outcome of pending litigation should not have an adverse effect on the Company's consolidated results of operations or financial position. The Company vigorously defends itself unless a reasonable settlement appears appropriate.

On August 24, 2018, a former employee filed a lawsuit against the Company in the Superior Court of the State California for the County of Los Angeles, naming the Company and two of its subsidiaries as defendants. The lawsuit alleges that the defendants wrongfully terminated the employee after the employee allegedly complained to the Company’s management about certain business practices. That employee’s lawsuit seeks, among other things, compensatory damages, punitive damages, and attorneys’ fees. The Company has found no evidence to establish the employee’s allegations or any other wrongdoing on the Company’s part. The employee had an at-will employment relationship with the Company, and the Company believes that the employee was properly terminated in full compliance with the law and the rights of that employee. The Company will vigorously defend the lawsuit and exercise and preserve all of its rights. Although the Company anticipates a successful defense verdict in its favor, the nature of California’s legal system is significantly unpredictable as to the timing and outcome of such matters.