Stockholder's Equity and Statutory Accounting Principles

3 Months Ended

Mar. 31, 2018

Stockholders Equity And Statutory Accounting Principles [Abstract]

Stockholder's Equity and Statutory Accounting Principles

Note 8. Stockholder’s Equity and Statutory Accounting Principles

The Company’s statutory financial statements are presented on the basis of accounting practices prescribed or permitted by the Insurance Department of the State of Arkansas. The State of Arkansas has adopted the National Association of Insurance Commissioners’ (“NAIC”) statutory accounting principles as the basis of its statutory accounting principles.

The Company’s statutory net income (loss) for the three months ended March 31, 2018 and 2017 was $4,010 and $51,392, respectively. Statutory capital and surplus at March 31, 2018 and December 31, 2017 was $740,115 and $731,065, respectively.

For the three months ended March 31, 2018, the Company received a capital contribution of $15,047 from TA Corp, paid no return of capital and declared a $200,000 dividend to TA Corp, see Note 1 Summary of Significant Accounting Policies, for further discussion. For the three months ended March 31, 2017, the Company received no capital contribution from TA Corp, paid $13,440 return of capital and paid no dividend to TA Corp.