Goodwill and Intangible Assets Disclosure [Text Block]

12 Months Ended

Dec. 31, 2018

Notes

Goodwill and Intangible Assets Disclosure

Note 8.Goodwill and Other Intangible Assets 

The carrying amount of goodwill is $50,697,000 at both December 31, 2018 and December 31, 2017, all of which is attributable to the Specialty Health Segment.

The Company has net other intangible assets of $13,163,000 and $14,669,000 at December 31, 2018 and 2017, respectively, which are included in other assets in the Consolidated Balance Sheets. These intangible assets consist of: (i) finite-lived intangible assets, principally the fair value of acquired agent and broker relationships, which are subject to amortization; and (ii) indefinite-lived intangible assets which consist of the estimated fair value of insurance licenses that are not subject to amortization.

The gross carrying amounts of these other intangible assets are as follows for the periods indicated (in thousands):

		December 31, 2018				December 31, 2017
		Gross				Gross
		Carrying		Accumulated		Carrying		Accumulated
		Amount		Amortization		Amount		Amortization
Finite-lived Intangible Assets:
Agent and broker relationships	$	17,253	$	13,419	$	17,253	$	12,140
Domain		1,000		225		1,000		125
Software systems		780		203		780		76
Total finite-lived	$	19,033	$	13,847	$	19,033	$	12,341

		December 31,
		2018		2017
Indefinite-lived Intangible Assets:
Insurance licenses	$	7,977	$	7,977
Total indefinite-lived	$	7,977	$	7,977

As discussed in Note 7, in connection with the acquisition of PetPartners in 2017, the Company recorded $9,124,000 of goodwill and $5,880,000 of intangible assets associated with the Specialty Health segment. None of the goodwill is deductible for income tax purposes.

Amortization expense was $1,506,000 and $1,333,000 for the years ended December 31, 2018 and 2017, respectively. Estimated amortization expense for each of the next five years is as follows (in thousands):

		Amortization
Year		Expense
2019	$	1,138
2020		862
2021		667
2022		579
2023		524