Investments in and Advances to Affiliates, Schedule of Investments [Text Block]

12 Months Ended

Dec. 31, 2018

Notes

Investments in and Advances to Affiliates, Schedule of Investments

Note 6.Other Investments, Including Variable Interest Entities 

Other investments consist of the following for the periods indicated (in thousands): 

		December 31,
		2018		2017
Equity method investments	$	12,308	$	15,385
Equity investments carried at cost less impairments		850		3,125
Other investments and securities, at cost		34		37
	$	13,192	$	18,547

In the fourth quarter of 2018, the Company recorded an impairment loss amounting to $2,275,000 related to an equity investment, previously carried at cost, as a result of a bona fide offer to purchase the investment for less than the carrying amount. The impairment loss is included in other income on the Consolidated Statements of Income. In 2017, the Company received a $5,246,000 cash distribution from an equity method investment representing a return of capital.

Included in equity method investments above is our investment in Ebix Health Exchange. Ebix Health Exchange administers various lines of health insurance for IHC’s insurance subsidiaries. The carrying value of the Company’s equity investment in Ebix Health Exchange is $6,425,000 and $8,188,000 at December 31, 2018 and 2017, respectively, and the Company recorded $(1,763,000) and $629,000, respectively, of equity income (loss) from its investment for the years ended December 31, 2018 and 2017.

At December 31, 2018 and 2017, the Company’s Consolidated Balance Sheets includes $1,842,000 and $1,859,000, respectively, of notes and other amounts receivable from Ebix Health Exchange, and include $910,000 and $1,139,000, respectively, of administrative fees and other expenses payable to Ebix Health Exchange, which are included in other assets and accounts payable, accruals and other liabilities, respectively.  For the years ended December 31, 2018 and 2017, the Company’s Consolidated Statements of Income include administrative fee expenses to Ebix Health Exchange, which are included in fee income and selling, general and administrative expenses, of $7,779,000 and $10,306,000, respectively.

Variable Interest Entities

Other investments at December 31, 2018 and 2017 include $2,874,000 and $3,993,000, respectively, of noncontrolling interests in certain limited partnerships that we have determined to be Variable Interest Entities (“VIEs”).  The aforementioned VIEs are not required to be consolidated in the Company’s consolidated financial statements as we are not the primary beneficiary since we do not have the power to direct the activities that most significantly impact the VIEs’ economic performance.

The Company will periodically reassess whether it is the primary beneficiary in any of these investments. The reassessment process will consider whether it has acquired the power to direct the most significant activities of the VIEs through changes in governing documents or other circumstances. The Company’s maximum loss exposure is limited to the combined $2,874,000 carrying value in these equity investments and the Company has no future funding obligations to them.