Credit Arrangements

3 Months Ended

Mar. 31, 2024

Note 5 – Credit Arrangements

Instrument	Issue Date	Maturity Date	Revolving Credit Limit		December 31, 2023		Borrowings	Repayments	March 31, 2024
Lines of Credit:
UTG	11/20/2013	11/20/2024	$	8,000,000		0	0	0	$	0
UG - CMA	10/21/2021	10/4/2024		25,000,000		19,000,000	0	19,000,000		0

UTG has a variable rate revolving line of credit. As collateral, UTG has pledged 100% of the common voting stock of its wholly owned subsidiary, Universal Guaranty Life Insurance Company. UTG is in the process of renewing this line of credit.

During October of 2023, the Federal Home Loan Bank approved UG’s Cash Management Advance Application (“CMA”). The CMA gives the Company the option of selecting a variable rate of interest for up to 90 days or a fixed rate for a maximum of 30 days. The variable rate CMA is prepayable at any time without a fee, while the fixed CMA is not prepayable prior to maturity. The Company has pledged bonds with a collateral lendable value of $19,698,879. During the first quarter of 2024, the Company repaid the entire outstanding principal balance.