PERPETUAL CARE TRUSTS (Tables)

3 Months Ended

Mar. 31, 2020

Schedule Of Available For Sale Securities [Line Items]

Reconciliation of Trust Activities

A reconciliation of the Company’s merchandise trust activities for the three months ended March 31, 2020 and 2019 is presented below (in thousands):  

	Three months ended March 31,
	2020			2019
Balance—beginning of period	$	517,192		$	488,248
Contributions		10,697			13,883
Distributions		(14,029	)		(13,639	)
Interest and dividends		5,704			7,325
Capital gain distributions		68			99
Realized gains and losses, net		218			(281	)
Other than temporary impairment		—			(2,314	)
Taxes		118			4
Fees		(3,022	)		(873	)
Unrealized change in fair value		(59,181	)		22,613
Total		457,765			515,065
Less: Assets held for sale		(20,127	)		—
Balance—end of period	$	437,638		$	515,065

Cost and Market Value Associated with Assets Held in Trusts

The cost and market value associated with the assets held in the merchandise trusts as of March 31, 2020 and December 31, 2019 were as follows (in thousands):  

March 31, 2020	Fair Value Hierarchy Level	Cost			Gross Unrealized Gains			Gross Unrealized Losses			Fair Value
Short-term investments	1	$	120,171		$	—		$	—		$	120,171
Fixed maturities:
U.S. governmental securities	2		474			23			(82	)		415
Corporate debt securities	2		6,293			4			(234	)		6,063
Total fixed maturities			6,767			27			(316	)		6,478
Mutual funds—debt securities	1		30,138			160			(2,464	)		27,834
Mutual funds—equity securities	1		46,279			1,577			(25,236	)		22,620
Other investment funds(1)			235,150			10,916			(15,626	)		230,440
Equity securities	1		56,668			1,001			(20,331	)		37,338
Other invested assets	2		4,387			—			(94	)		4,293
Total investments			499,560			13,681			(64,067	)		449,174
West Virginia Trust Receivable			9,506			—			(915	)		8,591
Total		$	509,066		$	13,681		$	(64,982	)	$	457,765
Less: Assets held for sale			(21,778	)		(425	)		2,076			(20,127	)
Total		$	487,288		$	13,256		$	(62,906	)	$	437,638

⁽¹⁾ Other investment funds are measured at fair value using the net asset value per share practical expedient and have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the balance sheet. This asset class is composed of fixed income funds and equity funds, which have redemption periods ranging from 1 to 30 days, and private credit funds, which have lockup periods of one to six years with three potential one year extensions at the discretion of the funds’ general partners. As of March 31, 2020, there were $49.3 million in unfunded investment commitments to the private credit funds, which are callable at any time.  

December 31, 2019	Fair Value Hierarchy Level	Cost			Gross Unrealized Gains			Gross Unrealized Losses			Fair Value
Short-term investments	1	$	144,610		$	—		$	—		$	144,610
Fixed maturities:
U.S. governmental securities	2		456			6			(65	)		397
Corporate debt securities	2		783			14			(133	)		664
Total fixed maturities			1,239			20			(198	)		1,061
Mutual funds—debt securities	1		67,801			1,857			(6	)		69,652
Mutual funds—equity securities	1		46,609			1,744			—			48,353
Other investment funds(1)			213,024			6,366			(2,953	)		216,437
Equity securities	1		24,386			1,327			(4	)		25,709
Other invested assets	2		8,360			32			—			8,392
Total investments			506,029			11,346			(3,161	)		514,214
West Virginia Trust Receivable			9,651			—			—			9,651
Total		$	515,680		$	11,346		$	(3,161	)	$	523,865
Less: Assets held for sale			(6,369	)		(304	)		—			(6,673	)
Total		$	509,311		$	11,042		$	(3,161	)	$	517,192

Other investment funds are measured at fair value using the net asset value per share practical expedient and have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the balance sheet. This asset class is composed of fixed income funds and equity funds, which have redemption periods ranging from 1 to 30 days, and private credit funds, which have lockup periods of one to six years with three potential one year extensions at the discretion of the funds’ general partners. As of December 31, 2019, there were $57.3 million in unfunded investment commitments to the private credit funds, which are callable at any time

Contractual Maturities of Debt Securities Held in Trusts

The contractual maturities of debt securities as of March 31, 2020 and December 31, 2019 were as follows (in thousands):  

March 31, 2020	Less than 1 year		1 year through 5 years		6 years through 10 years		More than 10 years
U.S. governmental securities	$	112	$	81	$	208	$	13
Corporate debt securities		87		3,970		2,007		—
Total fixed maturities	$	199	$	4,051	$	2,215	$	13

December 31, 2019	Less than 1 year		1 year through 5 years		6 years through 10 years		More than 10 years
U.S. governmental securities	$	112	$	78	$	193	$	13
Corporate debt securities		101		546		16		—
Total fixed maturities	$	213	$	624	$	209	$	13

Aging of Unrealized Losses on Investments in Fixed Maturities and Equity Securities Held in Trusts

An aging of unrealized losses on the Company’s investments in debt and equity securities within the merchandise trusts as of March 31, 2020 and December 31, 2019 is presented below (in thousands):  

	Less than 12 months				12 months or more				Total
March 31, 2020	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Fixed maturities:
U.S. governmental securities	$	—	$	—	$	302	$	82	$	302	$	82
Corporate debt securities		5,847		110		457		124		6,304		234
Total fixed maturities		5,847		110		759		206		6,606		316
Mutual funds—debt securities		19,756		2,064		—		400		19,756		2,464
Mutual funds—equity securities		18,857		23,880		—		1,356		18,857		25,236
Other investment funds		59,261		15,626		—		—		59,261		15,626
Equity securities		24,853		20,331		—		—		24,853		20,331
Other invested assets		—		—		905		94		905		94
Total	$	128,574	$	62,011	$	1,664	$	2,056	$	130,238	$	64,067

	Less than 12 months				12 months or more				Total
December 31, 2019	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Fixed maturities:
U.S. governmental securities	$	90	$	1	$	397	$	64	$	487	$	65
Corporate debt securities		198		29		424		104		622		133
Total fixed maturities		288		30		821		168		1,109		198
Mutual funds—debt securities		241		6		—		—		241		6
Mutual funds—equity securities		—		—		—		—		—		—
Other investment funds		54,782		2,953		—		—		54,782		2,953
Equity securities		3		4		—		—		3		4
Other invested assets		—		—		—		—		—		—
Total	$	55,314	$	2,993	$	821	$	168	$	56,135	$	3,161

Variable Interest Entity, Primary Beneficiary | Perpetual care trusts

Schedule Of Available For Sale Securities [Line Items]

Reconciliation of Trust Activities

A reconciliation of the Company’s perpetual care trust activities for the three months ended March 31, 2020 and 2019 is presented below (in thousands):

	Three months ended March 31,
	2020			2019
Balance—beginning of period	$	343,619		$	330,562
Contributions		1,952			1,983
Distributions		(6,294	)		(4,403	)
Interest and dividends		6,624			5,148
Capital gain distributions		99			114
Realized gains and losses, net		163			977
Other than temporary impairment		—			(713	)
Taxes		(37	)		4
Fees		(913	)		(704	)
Unrealized change in fair value		(38,464	)		11,857
Total		306,749			344,825
Less: Assets held for sale		(21,917	)		—
Balance—end of period	$	284,832		$	344,825

Cost and Market Value Associated with Assets Held in Trusts

The cost and market value associated with the assets held in the perpetual care trusts as of March 31, 2020 and December 31, 2019 were as follows (in thousands):

March 31, 2020	Fair Value Hierarchy Level	Cost			Gross Unrealized Gains			Gross Unrealized Losses			Fair Value
Short-term investments	1	$	32,403		$	—		$	—		$	32,403
Fixed maturities:
U.S. governmental securities	2		1,072			90			(58	)		1,104
Corporate debt securities	2		2,751			19			(177	)		2,593
Total fixed maturities			3,823			109			(235	)		3,697
Mutual funds—debt securities	1		17,631			58			(1,178	)		16,511
Mutual funds—equity securities	1		16,964			605			(6,724	)		10,845
Other investment funds(1)			230,401			12,474			(16,219	)		226,656
Equity securities	1		35,467			51			(18,272	)		17,246
Other invested assets	2		(609	)		—			—			(609	)
Total investments		$	336,080		$	13,297		$	(42,628	)	$	306,749
Less: Assets held for sale			(24,002	)		(101	)		2,186			(21,917	)
Total		$	312,078		$	13,196		$	(40,442	)	$	284,832

⁽¹⁾ Other investment funds are measured at fair value using the net asset value per share practical expedient and have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the balance sheet. This asset class is composed of fixed income funds and equity funds, which have a redemption period ranging from 1 to 30 days, and private credit funds, which have lockup periods ranging from one to seven years with three potential one year extensions at the discretion of the funds’ general partners. As of March 31, 2020 there were $56.4 million in unfunded investment commitments to the private credit funds, which are callable at any time.

December 31, 2019	Fair Value Hierarchy Level	Cost			Gross Unrealized Gains			Gross Unrealized Losses			Fair Value
Short-term investments	1	$	50,358		$	—		$	—		$	50,358
Fixed maturities:
U.S. governmental securities	2		1,069			32			(52	)		1,049
Corporate debt securities	2		2,020			22			(142	)		1,900
Total fixed maturities			3,089			54			(194	)		2,949
Mutual funds—debt securities	1		49,963			1,439			(38	)		51,364
Mutual funds—equity securities	1		16,698			1,617			(66	)		18,249
Other investment funds(1)			186,355			10,526			(5,472	)		191,409
Equity securities	1		30,423			1,333			(12	)		31,744
Other invested assets	2		16			—			—			16
Total investments		$	336,902		$	14,969		$	(5,782	)	$	346,089
Less: Assets held for sale			(2,416	)		(54	)		—			(2,470	)
Total		$	334,486		$	14,915		$	(5,782	)	$	343,619

⁽¹⁾ Other investment funds are measured at fair value using the net asset value per share practical expedient and have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the balance sheet. This asset class is composed of fixed income funds and equity funds, which have a redemption period ranging from 1 to 30 days, and private credit funds, which have lockup periods ranging from one to seven years with three potential one year extensions at the discretion of the funds’ general partners. As of December 31, 2019 there were $62.4 million in unfunded investment commitments to the private credit funds, which are callable at any time.

Contractual Maturities of Debt Securities Held in Trusts

The contractual maturities of debt securities as of March 31, 2020 and December 31, 2019, were as follows (in thousands):

March 31, 2020	Less than 1 year		1 year through 5 years		6 years through 10 years		More than 10 years
U.S. governmental securities	$	85	$	168	$	780	$	70
Corporate debt securities		214		2,018		362		—
Total fixed maturities	$	299	$	2,186	$	1,142	$	70

December 31, 2019	Less than 1 year		1 year through 5 years		6 years through 10 years		More than 10 years
U.S. governmental securities	$	60	$	192	$	684	$	114
Corporate debt securities		294		1,522		84		-
Total fixed maturities	$	354	$	1,714	$	768	$	114

Aging of Unrealized Losses on Investments in Fixed Maturities and Equity Securities Held in Trusts

An aging of unrealized losses on the Company’s investments in debt and equity securities within the perpetual care trusts as of March 31, 2020 and December 31, 2019 is presented below (in thousands):

	Less than 12 months				12 months or more				Total
March 31, 2020	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Fixed maturities:
U.S. governmental securities	$	—	$	—	$	1,002	$	58	$	1,002	$	58
Corporate debt securities		1,759		70		1,829		107		3,588		177
Total fixed maturities		1,759		70		2,831		165		4,590		235
Mutual funds—debt securities		12,800		1,016		19		162		12,819		1,178
Mutual funds—equity securities		7,476		6,517		7		207		7,483		6,724
Other investment funds		58,418		16,219		—		—		58,418		16,219
Equity securities		17,006		18,259		5		13		17,011		18,272
Other invested assets		—		—		9		—		9		—
Total	$	97,459	$	42,081	$	2,871	$	547	$	100,330	$	42,628

	Less than 12 months				12 months or more				Total
December 31, 2019	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Fixed maturities:
U.S. governmental securities	$	291	$	4	$	942	$	48	$	1,233	$	52
Corporate debt securities		463		46		1,887		96		2,350		142
Total fixed maturities		754		50		2,829		144		3,583		194
Mutual funds—debt securities		2,856		38		—		—		2,856		38
Mutual funds—equity securities		566		66		—		—		566		66
Other investment funds		53,426		5,472		—		—		53,426		5,472
Equity securities		121		12		—		—		121		12
Total	$	57,723	$	5,638	$	2,829	$	144	$	60,552	$	5,782