Investments (Tables)

9 Months Ended

Sep. 30, 2020

Investments in available for sale securities are summarized as follows:

September 30, 2020		Original or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Investments available for sale:
Fixed maturities
U.S. Government and govt. agencies and authorities	$	44,789,865	$	1,418,625	$	0	$	46,208,490
U.S. special revenue and assessments		14,356,937		1,487,743		0		15,844,680
All other corporate bonds		97,851,836		16,815,941		0		114,667,777
	$	156,998,638	$	19,722,309	$	0	$	176,720,947

December 31, 2019		Original or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Investments available for sale:
Fixed maturities
U.S. Government and govt. agencies and authorities	$	35,761,440	$	402,832	$	(35,529)	$	36,128,743
U.S. special revenue and assessments		14,371,263		832,100		0		15,203,363
All other corporate bonds		109,827,152		10,470,115		0		120,297,267
	$	159,959,855	$	11,705,047	$	(35,529)	$	171,629,373

Debt Securities by Contractual Maturity

The amortized cost and estimated market value of debt securities at September 30, 2020, by contractual maturity, is shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Fixed Maturities Available for Sale September 30, 2020		Amortized Cost		Fair Value
Due in one year or less	$	26,793,810	$	27,113,305
Due after one year through five years		46,406,659		49,706,585
Due after five years through ten years		32,831,635		37,877,774
Due after ten years		24,192,862		28,870,286
Fixed maturities with no single maturity date		26,773,672		33,152,997
Total	$	156,998,638	$	176,720,947

Fair Value of Investments with Sustained Gross Unrealized Losses

The fair value of investments with sustained gross unrealized losses at September 30, 2020 and December 31, 2019 are as follows:

September 30, 2020	Less than 12 months				12 months or longer				Total
	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
All other corporate bonds	$	0		0		0		0		0	$	0
Total fixed maturities	$	0		0		0		0		0	$	0

December 31, 2019	Less than 12 months				12 months or longer				Total
	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
U.S. Government and govt. agencies and authorities	$	6,059,380		(35,529)		0		0		6,059,380	$	(35,529)
Total fixed maturities	$	6,059,380		(35,529)		0		0		6,059,380	$	(35,529)

Securities in Continuous Unrealized Loss Position

Additional information regarding investments in an unrealized loss position is as follows:

	Less than 12 months	12 months or longer	Total
As of September 30, 2020
Fixed maturities	0	0	0
As of December 31, 2019
Fixed maturities	3	0	3

Net Investment Gains (Losses) and Change in Net Unrealized Gains on AFS Investments

The following table presents net investment gains (losses) and the change in net unrealized gains (losses) on investments.

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
Realized gains:
Sales of fixed maturities	$	0	$	0	$	403,215	$	116,690
Sales of equity securities		884,559		3,738,333		9,500,176		6,504,246
Sales of real estate		869,756		20,000		869,756		3,796,850
Other		0		0		0		0
Total realized gains		1,754,315		3,758,333		10,773,147		10,417,786
Realized losses:
Sales of fixed maturities		0		(30,795)		(64,992)		(142,254)
Sales of equity securities		0		0		0		0
Sales of real estate		0		0		0		0
Other-than-temporary impairments		0		0		0		0
Other		0		0		0		(132,518)
Total realized losses		0		(30,795)		(64,992)		(274,772)
Net realized investment gains (losses)		1,754,315		3,727,538		10,708,155		10,143,014
Change in fair value of equity securities:
Change in fair value of equity securities held at the end of the period		(2,277,902)		(4,046,457)		(14,016,065)		10,838,322
Change in fair value of equity securities		(2,277,902)		(4,046,457)		(14,016,065)		10,838,322
Net investment gains (losses)	$	(523,587)	$	(318,919)	$	(3,307,910)	$	20,981,336
Change in net unrealized gains (losses) on available-for-sale investments included in other comprehensive income:
Fixed maturities	$	169,058	$	3,184,769	$	8,237,909	$	12,044,690
Net increase (decrease)	$	169,058	$	3,184,769	$	8,237,909	$	12,044,690

The following table presents net gains (losses) and the change in net unrealized gains (losses) on equity securities.

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
		2020		2019		2020		2019
Net gains (losses) recognized during the period on equity securities	$	(1,393,343)	$	(308,124)	$	(4,515,889)	$	17,342,568
Less: Net gains (losses) recognized during the period on equity securities sold during the period		884,559		3,738,333		9,500,176		6,504,246
Unrealized gains (losses) recognized during the reporting period on equity securities still held at the reporting date	$	(2,277,902)	$	(4,046,457)	$	(14,016,065)	$	10,838,322

Trading Revenue Charged to Investment Income from Trading Securities

Trading revenue charged to net investment income from trading securities was:

	Three Months Ended
	September 30,
		2020		2019
Net unrealized gains (losses)	$	1,581	$	0
Net realized gains (losses)		0		0
Net unrealized and realized gains (losses)	$	1,581	$	0

	Nine Months Ended
	September 30,
		2020		2019
Net unrealized gains (losses)	$	1,581	$	0
Net realized gains (losses)		0		0
Net unrealized and realized gains (losses)	$	1,581	$	0

Maximum and Minimum Lending Rates for Mortgage Loan

During 2020 and 2019, the maximum and minimum lending rates for mortgage loans were:

	2020		2019
	Maximum rate	Minimum rate	Maximum rate	Minimum rate
Farm Loans	5.00%	5.00%	5.00%	5.00%
Commercial Loans	7.50%	4.24%	7.50%	4.82%
Residential Loans	5.50%	5.50%	5.50%	5.50%

Mortgage Loan Holdings

The following table summarizes the mortgage loan holdings of the Company for the periods ended:

		September 30, 2020		December 31, 2019
In good standing	$	18,319,413	$	8,223,286
Overdue interest over 90 days		2,072,640		0
Total mortgage loans	$	20,392,053	$	8,223,286

Investment Real Estate by Type

The following table provides an allocation of the Company's investment real estate by type:

		September 30, 2020		December 31, 2019
Raw land	$	9,915,856	$	16,089,540
Commercial		5,414,238		4,908,028
Residential		2,235,678		2,251,772
Land, minerals and royalty interests		18,855,855		21,094,896
Total investment real estate	$	36,421,627	$	44,344,236