Note 16. Dividend Restrictions On Insurance Subsidiary	12 Months Ended
Dec. 31, 2012
Notes
Note 16. Dividend Restrictions On Insurance Subsidiary	16. Dividend Restrictions on Insurance Subsidiary Dividends from Independence American to its parent, a subsidiary of AMIC, are subject to the prior notification to the Delaware Insurance Commissioner, if such dividends, together with the fair market value of other dividends or distributions made within the preceding twelve months, exceed the greater of (i) 10% of surplus as regards policyholders as of the preceding December 31 or (ii) net income, not including realized capital gains, for the twelve-month period ending the December 31 next preceding. Such dividends may be paid as long as they have not been disapproved by the Delaware Insurance Commissioner within 30 days of its receipt of notice thereof. Independence American paid dividends of $2,000,000 in 2012 and of $1,000,000 in 2011. Independence American is required to maintain a certain minimum amount of statutory surplus to satisfy its state insurance department of domicile. Risk-based capital (“RBC”) requirements are designed to assess capital adequacy and to raise the level of protection that statutory surplus provides for policyholders. At December 31, 2012 and 2011, the statutory capital of Independence American was significantly in excess of regulatory RBC requirements. Independence American’s statutory capital and surplus was $54,427,000 as of December 31, 2012 and $51,407,000 as of December 31, 2011. Independence American’s statutory net income was $3,271,000 for 2012, $4,542,000 for 2011, and $2,697,000 for 2010.

Note 16. Dividend Restrictions On Insurance Subsidiary

12 Months Ended

Dec. 31, 2012

Note 16. Dividend Restrictions On Insurance Subsidiary

16. Dividend Restrictions on Insurance Subsidiary

Dividends from Independence American to its parent, a subsidiary of AMIC, are subject to the prior notification to the Delaware Insurance Commissioner, if such dividends, together with the fair market value of other dividends or distributions made within the preceding twelve months, exceed the greater of (i) 10% of surplus as regards policyholders as of the preceding December 31 or (ii) net income, not including realized capital gains, for the twelve-month period ending the December 31 next preceding. Such dividends may be paid as long as they have not been disapproved by the Delaware Insurance Commissioner within 30 days of its receipt of notice thereof. Independence American paid dividends of $2,000,000 in 2012 and of $1,000,000 in 2011.

Independence American is required to maintain a certain minimum amount of statutory surplus to satisfy its state insurance department of domicile. Risk-based capital (“RBC”) requirements are designed to assess capital adequacy and to raise the level of protection that statutory surplus provides for policyholders. At December 31, 2012 and 2011, the statutory capital of Independence American was significantly in excess of regulatory RBC requirements.

Independence American’s statutory capital and surplus was $54,427,000 as of December 31, 2012 and $51,407,000 as of December 31, 2011. Independence American’s statutory net income was $3,271,000 for 2012, $4,542,000 for 2011, and $2,697,000 for 2010.