9. Deferred Acquisition Costs and Deferred Ceding Commission Revenue (Tables)

12 Months Ended

Dec. 31, 2012

Notes to Financial Statements

Schedule of acquisition costs incurred

Acquisition costs incurred and policy-related ceding commission revenue are deferred, and amortized to income on property and casualty insurance business as follows:

	Year ended
	December 31,
	2012			2011
Net deferred acquisition costs net of ceding
commission revenue, beginning of year	$	553,374		$	399,488
Cost incurred and deferred:
Commissions and brokerage		8,087,355			6,863,504
Other underwriting and acquisition costs		3,012,611			2,316,928
Ceding commission revenue		(9,410,871	)		(7,678,913	)
Net deferred acquisition costs		1,689,095			1,501,519
Amortization		(1,549,621	)		(1,347,633	)
		139,474			153,886
Net deferred acquisition costs net of ceding
commission revenue, end of year	$	692,848		$	553,374

Schedule of Ending balances for deferred acquisition costs and deferred ceding commission revenue

Ending balances for deferred acquisition costs and deferred ceding commission revenue as of December 31, 2012 and 2011 follows:

	December 31,
	2012			2011
Deferred acquisition costs	$	5,569,878		$	4,535,773
Deferred ceding commission revenue		(4,877,030	)		(3,982,399	)
Balance at end of period	$	692,848		$	553,374