Reconciliation of Statutory Filings to Amounts Reported in the Consolidated Financial Statements

12 Months Ended

Dec. 31, 2021

Reconciliation of Statutory Filings to Amounts Reported in the Consolidated Financial Statements [Abstract]

Reconciliation of Statutory Filings to Amounts Reported in the Consolidated Financial Statements

15 - Reconciliation of Statutory Filings to Amounts Reported in the Consolidated Financial Statements

Our insurance subsidiaries must file financial statements with state insurance regulatory authorities using accounting principles and practices prescribed or permitted by those authorities. We refer to these accounting principles and practices as statutory accounting principles (“SAP”). Accounting principles used to prepare these SAP financial statements differ from those used to prepare financial statements on the basis of GAAP.

Reconciliations of statutory net income and capital and surplus, as determined using SAP, to the net income and stockholders’ equity amounts included in the accompanying consolidated financial statements are as follows:

	Year Ended December 31,
	2021			2020			2019
Statutory net income of insurance subsidiaries	$	10,750,552		$	48,282,517		$	44,680,696
Increases (decreases):
Deferred policy acquisition costs		8,871,415			(127,901	)		(1,330,268	)
Deferred federal income taxes		(1,085,903	)		(6,448	)		639,284
Salvage and subrogation recoverable		2,551,800			713,400			207,000
Consolidating eliminations and adjustments		(18,769	)		(9,516,984	)		(11,048,314	)
Parent-only net income		4,185,079			13,470,668			14,003,346
Net income	$	25,254,174		$	52,815,252		$	47,151,744

	December 31,
	2021			2020			2019
Statutory capital and surplus of insurance subsidiaries	$	466,186,406		$	458,407,568		$	418,449,596
Increases (decreases):
Deferred policy acquisition costs		68,028,373			59,156,958			59,284,859
Deferred federal income taxes		(21,294,388	)		(18,586,428	)		(15,477,843	)
Salvage and subrogation recoverable		23,510,400			20,958,600			20,245,200
Non-admitted assets and other adjustments, net		929,862			1,315,378			1,727,754
Fixed maturities		5,958,434			15,309,610			(326,795	)
Parent-only equity and other adjustments		(12,283,000	)		(18,787,566	)		(32,887,252	)
Stockholders’ equity	$	531,036,087		$	517,774,120		$	451,015,519