Segment Reporting

3 Months Ended

Mar. 31, 2018

Notes to Financial Statements

Segment Reporting

NOTE 7 – SEGMENT REPORTING

Accounting Standards Codification (“ASC”) Topic 280, “Segment Reporting,” establishes standards for the way information about operating segments is reported in financial statements. The Company has identified its insurance company operation as its primary reporting segment. Revenues from this segment comprised 93% and 92% of consolidated revenues for the three months ended March 31, 2018 and 2017, respectively. The Company’s remaining operations constitute a variety of specialty insurance services, each with unique characteristics and individually insignificant to consolidated revenues.

Revenues, loss before income taxes, and assets by segment are as follows:

	Three Months Ended March 31
	2018			2017
Revenues
Insurance company operation	$	8,182,019		$	8,201,097
Other insurance operations		3,042,771			3,389,455
Intersegment eliminations (1)		(2,417,899	)		(2,630,055	)
Total other insurance operations		624,872			759,400
Total revenues	$	8,806,891		$	8,960,497
Loss Before Income Taxes
Insurance company operation	$	(1,952,614	)	$	(3,063,919	)
Other insurance operations		(859,317	)		(203,430	)
Total loss before income taxes	$	(2,811,931	)	$	(3,267,349	)

	As of
	March 31			December 31
	2018			2017
Assets
Insurance company operation	$	118,235,474		$	117,274,626
Intersegment eliminations (2)		(3,223,421	)		(2,486,500	)
Total insurance company operation		115,012,053			114,788,126
Other insurance operations		15,978,259			15,510,632
Total assets	$	130,990,312		$	130,298,758

(1) Intersegment revenue eliminations reflect rents paid by Unico to Crusader for spaced leased in the Calabasas building and commissions paid by Crusader to Unifax Insurance Systems, Inc. (“Unifax”), a wholly owned subsidiary of Unico.

(2) Intersegment asset eliminations reflect the elimination of Crusader receivables from Unifax and Unifax payables to Crusader.