XML 49 R16.htm IDEA: XBRL DOCUMENT v3.22.0.1
Segment and Other Operating Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting Information, Operating Income (Loss) [Abstract]  
Segment and Other Operating Information
The Company has two reportable segments:  Life Insurance and Home Service Insurance. Our Life Insurance segment primarily issues endowment contracts, which are principally accumulation contracts that incorporate an element of life insurance protection, and ordinary whole life insurance to non-U.S. residents through CICA International.  These contracts are designed to provide a fixed amount of insurance coverage over the life of the insured and may utilize rider benefits to provide additional coverage and annuity benefits to enhance accumulations. CICA issues credit life and disability and accident and health related policies throughout the Midwest and southern U.S. CNLIC issues ordinary whole life policies in Florida.

Our Home Service Insurance segment operates through our subsidiaries SPLIC, MGLIC and SPFIC, and focuses on the life insurance needs of the middle- and lower-income markets, primarily in Louisiana, Mississippi and Arkansas.  Our policies are sold and serviced through 169 funeral homes and 397 independent agents who sell policies, collect premiums and service policyholders.  Our Home Service Insurance segment also sells property insurance policies in Louisiana.

The Life Insurance and Home Service Insurance portions of the Company constitute separate businesses. In addition to the Life Insurance and Home Service Insurance business, the Company also operates other non-insurance portions of the Company ("Other Non-Insurance Enterprises"), which primarily include the Company’s IT and Corporate-support functions that are included in the tables presented below to properly reconcile the segment information with the consolidated financial statements of the Company.

The accounting policies of the reportable segments and Other Non-Insurance Enterprises are presented in accordance with U.S. GAAP and are the same as those described in the summary of significant accounting policies.  The Company evaluates profit and loss performance based on U.S. GAAP net income before federal income taxes for its two reportable segments.
The Company's Other Non-Insurance Enterprises represents the only difference between segments and reported consolidated operations.

Year ended December 31, 2021
(In thousands)
Life
Insurance		Home
Service Insurance		Other
Non-Insurance
Enterprises		Consolidated
Revenues:    
Premiums
Life insurance$125,558 44,243 — 169,801 
Accident and health insurance500 750 — 1,250 
Property insurance— 3,677 — 3,677 
Net investment income (loss)47,216 13,224 1,055 61,495 
Investment related gains (losses), net9,176 618 1,197 10,991 
Other income (loss)3,362 7 (37)3,332 
Total revenue185,812 62,519 2,215 250,546 
Benefits and expenses:    
Insurance benefits paid or provided:    
Claims and surrenders91,390 28,345 — 119,735 
Increase in future policy benefit reserves29,407 7,037 — 36,444 
Policyholders' dividends6,140 40 — 6,180 
Total insurance benefits paid or provided126,937 35,422 — 162,359 
Commissions18,747 16,716 — 35,463 
Other general expenses20,846 14,739 7,785 43,370 
Capitalization of deferred policy acquisition costs(16,174)(6,566)— (22,740)
Amortization of deferred policy acquisition costs21,571 3,381 — 24,952 
Amortization of cost of insurance acquired343 863 — 1,206 
Goodwill impairment12,624 — — 12,624 
Total benefits and expenses184,894 64,555 7,785 257,234 
Income (loss) before federal income tax$918 (2,036)(5,570)(6,688)
Year ended December 31, 2020
(In thousands)
Life
Insurance		Home
Service Insurance		Other
Non-Insurance
Enterprises		Consolidated
Revenues:    
Premiums
Life insurance$128,900 41,428 — 170,328 
Accident and health insurance301 718 — 1,019 
Property insurance— 3,982 — 3,982 
Net investment income (loss)45,885 13,051 1,261 60,197 
Investment related gains (losses), net1,340 223 (61)1,502 
Other income (loss)1,806 19 3 1,828 
Total revenue178,232 59,421 1,203 238,856 
Benefits and expenses:    
Insurance benefits paid or provided:    
Claims and surrenders93,813 27,332 — 121,145 
Increase in future policy benefit reserves25,825 4,098 — 29,923 
Policyholders' dividends5,554 33 — 5,587 
Total insurance benefits paid or provided125,192 31,463 — 156,655 
Commissions17,944 14,125 — 32,069 
Other general expenses16,323 17,402 19,944 53,669 
Capitalization of deferred policy acquisition costs(15,568)(4,907)— (20,475)
Amortization of deferred policy acquisition costs23,987 3,452 — 27,439 
Amortization of cost of insurance acquired460 1,356 — 1,816 
Total benefits and expenses168,338 62,891 19,944 251,173 
Income (loss) before federal income tax$9,894 (3,470)(18,741)(12,317)
Year ended December 31, 2019
(In thousands)
Life
Insurance		Home
Service Insurance		Other
Non-Insurance
Enterprises		Consolidated
Revenues:    
Premiums    
Life insurance$136,941 41,410 — 178,351 
Accident and health insurance725 658 — 1,383 
Property insurance— 4,613 — 4,613 
Net investment income (loss)44,779 13,058 1,694 59,531 
Investment related gains (losses), net6,795 1,470 (3,016)5,249 
Other income (loss)1,412 4 2 1,418 
Total revenue190,652 61,213 (1,320)250,545 
Benefits and expenses:    
Insurance benefits paid or provided:    
Claims and surrenders82,964 23,863 — 106,827 
Increase in future policy benefit reserves39,873 1,839 — 41,712 
Policyholders' dividends6,004 36 — 6,040 
Total insurance benefits paid or provided128,841 25,738 — 154,579 
Commissions20,128 14,094 — 34,222 
Other general expenses23,012 19,517 5,911 48,440 
Capitalization of deferred policy acquisition costs(17,448)(4,807)— (22,255)
Amortization of deferred policy acquisition costs23,832 4,436 — 28,268 
Amortization of cost of insurance acquired492 1,054 — 1,546 
Total benefits and expenses178,857 60,032 5,911 244,800 
Income (loss) before federal income tax$11,795 1,181 (7,231)5,745 

The table below summarizes assets by segment.

December 31,
(In thousands)
20212020
Assets:  
Life Insurance$1,390,392 1,381,723 
Home Service Insurance407,603 385,931 
Other Non-Insurance Enterprises56,516 75,766 
Total assets$1,854,511 1,843,420 
GEOGRAPHIC INFORMATION

The following table sets forth, by country, the Company's annual total of earned premiums from geographic area for the years indicated:

Years ended December 31,
(In thousands)
202120202019
Area:   
United States$56,000 52,667 53,656 
Colombia24,829 25,783 26,768 
Taiwan19,042 19,078 19,403 
Venezuela17,788 19,956 22,353 
Ecuador13,115 13,301 14,198 
Argentina9,160 9,175 10,069 
Other foreign countries38,871 38,993 40,562 
Net reinsurance(4,077)(3,624)(2,662)
Total premiums$174,728 175,329 184,347