Statutory Net Income and Surplus	3 Months Ended
Mar. 31, 2020
Statutory Net Income and Surplus [Abstract]
Statutory Net Income and Surplus	Note 15. Statutory Net Income and Surplus American Life is required to prepare statutory financial statements in accordance with statutory accounting practices prescribed or permitted by the Nebraska Department of Insurance. Statutory practices primarily differ from GAAP by charging policy acquisition costs to expense as incurred, establishing future policy benefit liabilities using different actuarial assumptions as well as valuing investments and certain assets and accounting for deferred taxes on a different basis. As filed in the statutory-basis annual statement with the Nebraska Department of Insurance, American Life’s statutory net gains (losses) for the three months ended March 31, 2020 and 2019 were $423,474 and $(1,308,563), respectively. Capital and surplus of American Life as of March 31, 2020 and December 31, 2019 was $18,504,524 and $19,507,325, respectively. The net gain was primarily due to the ceding commission and reserve adjustments earned on the Ironbound and SDA reinsurance transactions; offset by continuing expenses incurred to provide services on new software and related technology to distribute products through national marketing organizations. For the quarter ended March 31, 2020, the MYGA and FIA sales were $31,565,506 and $16,249,504 compared to the $8,292,617 of MYGA sales as of March 31, 2019. An additional $8,092,612 of MYGA and $6,786,557 of FIA sales were pending as of March 31, 2020. As discussed in Note 9 Reinsurance above, American Life entered into the FW/Modco Agreement with Ironbound to cede 95% of American Life’s MYGA business. On March 1, 2020, the quota share ceded to Ironbound was reduced to 30% and on March 11, 2020 the quota share was further reduced to 0%. Premiums net of commissions and ceding commission and administrative fees ceded to Ironbound were $17,757,301 and $128,760,161 and the reserve requirement of $20,701,016 and $139,093,289 was ceded to Ironbound as of March 31, 2020 and December 31, 2019, respectively. Also included in Note 9. Reinsurance above, American Life entered into the FW/Modco Agreement with SDA to cede 5% of the MYGA and 95% of the FIA business through December 31, 2019. Effective January 1, 2020, the FIA quota share was reduced to 30%. Premiums net of commissions and ceding commission and administrative fees ceded to SDA were $5,427,396 and $18,984,045 and the reserve requirements of $6,111,782 and $20,822,364 were ceded to SDA for the quarter ended March 31, 2020 and the year ended December 31, 2019. State insurance laws require American Life to maintain certain minimum capital and surplus amounts on a statutory basis. Our insurance subsidiary is subject to regulations that restrict the payment of dividends from statutory surplus and may require prior approval from its domiciliary insurance regulatory authorities. American Life is also subject to risk-based capital (“RBC”) requirements that may further affect its ability to pay dividends. American Life’s statutory capital and surplus as March 31, 2020 and December 31, 2019, exceeded the amount of statutory capital and surplus necessary to satisfy regulatory requirements, including the RBC requirements. As of March 31, 2020, and December 31, 2019, American Life did not hold any participating policyholder contracts where dividends were required to be paid.

Note 15. Statutory Net Income and Surplus

American Life is required to prepare statutory financial statements in accordance with statutory accounting practices prescribed or permitted by the Nebraska Department of Insurance. Statutory practices primarily differ from GAAP by charging policy acquisition costs to expense as incurred, establishing future policy benefit liabilities using different actuarial assumptions as well as valuing investments and certain assets and accounting for deferred taxes on a different basis. As filed in the statutory-basis annual statement with the Nebraska Department of Insurance, American Life’s statutory net gains (losses) for the three months ended March 31, 2020 and 2019 were $423,474 and $(1,308,563), respectively. Capital and surplus of American Life as of March 31, 2020 and December 31, 2019 was $18,504,524 and $19,507,325, respectively. The net gain was primarily due to the ceding commission and reserve adjustments earned on the Ironbound and SDA reinsurance transactions; offset by continuing expenses incurred to provide services on new software and related technology to distribute products through national marketing organizations. For the quarter ended March 31, 2020, the MYGA and FIA sales were $31,565,506 and $16,249,504 compared to the $8,292,617 of MYGA sales as of March 31, 2019. An additional $8,092,612 of MYGA and $6,786,557 of FIA sales were pending as of March 31, 2020.

As discussed in Note 9 Reinsurance above, American Life entered into the FW/Modco Agreement with Ironbound to cede 95% of American Life’s MYGA business. On March 1, 2020, the quota share ceded to Ironbound was reduced to 30% and on March 11, 2020 the quota share was further reduced to 0%. Premiums net of commissions and ceding commission and administrative fees ceded to Ironbound were $17,757,301 and $128,760,161 and the reserve requirement of $20,701,016 and $139,093,289 was ceded to Ironbound as of March 31, 2020 and December 31, 2019, respectively.

Also included in Note 9. Reinsurance above, American Life entered into the FW/Modco Agreement with SDA to cede 5% of the MYGA and 95% of the FIA business through December 31, 2019. Effective January 1, 2020, the FIA quota share was reduced to 30%. Premiums net of commissions and ceding commission and administrative fees ceded to SDA were $5,427,396 and $18,984,045 and the reserve requirements of $6,111,782 and $20,822,364 were ceded to SDA for the quarter ended March 31, 2020 and the year ended December 31, 2019.

State insurance laws require American Life to maintain certain minimum capital and surplus amounts on a statutory basis. Our insurance subsidiary is subject to regulations that restrict the payment of dividends from statutory surplus and may require prior approval from its domiciliary insurance regulatory authorities. American Life is also subject to risk-based capital (“RBC”) requirements that may further affect its ability to pay dividends. American Life’s statutory capital and surplus as March 31, 2020 and December 31, 2019, exceeded the amount of statutory capital and surplus necessary to satisfy regulatory requirements, including the RBC requirements.

As of March 31, 2020, and December 31, 2019, American Life did not hold any participating policyholder contracts where dividends were required to be paid.