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Schedule II. Condensed Financial Information of Registrant
 12 Months Ended
Dec. 31, 2020
Condensed Financial Information of Registrant [Abstract]  
Scheule II. Condensed Financial Information of Registrant
Schedule II. Condensed Financial Information of Registrant
THE NATIONAL SECURITY GROUP, INC. (PARENT COMPANY)
BALANCE SHEETS
($ in thousands)
December 31,
20202019
Assets
Fixed maturities available-for-sale, at estimated fair value$957 $294 
Investment real estate, at book value356 356 
Cash3,108 3,393 
Investment in subsidiaries (equity method) eliminated upon consolidation57,681 65,329 
Income tax recoverable— 491 
Deferred income tax asset960 714 
Other assets546 525 
       Total Assets$63,608 $71,102 
Liabilities and Shareholders' Equity
Liabilities
Accrued general expenses$3,946 $3,412 
Interest rate swaps619 65 
Short-term notes payable500 500 
Long-term debt13,177 13,664 
       Total Liabilities18,242 17,641 
       Total Shareholders' Equity45,366 53,461 
       Total Liabilities and Shareholders' Equity$63,608 $71,102 
THE NATIONAL SECURITY GROUP, INC. (PARENT COMPANY)
STATEMENTS OF INCOME
($ in thousands)
Years Ended December 31,
20202019
Income
    Dividends (eliminated upon consolidation)$1,100 $2,750 
Net realized investment gains13 16 
Holding company management service fees1,035 1,019 
    Other income60 56 
2,208 3,841 
Expenses
State taxes49 51 
Interest823 1,122 
Other expenses843 1,077 
1,715 2,250 
Income before income taxes and equity in undistributed earnings of
subsidiaries		493 1,591 
Income tax expense (benefit)(122)(243)
Income before equity in undistributed earnings of subsidiaries615 1,834 
Equity in undistributed earnings (losses) of subsidiaries(9,234)2,233 
Net Income (Loss)$(8,619)$4,067 
THE NATIONAL SECURITY GROUP, INC. (PARENT COMPANY)
STATEMENTS OF CASH FLOWS
($ in thousands)
 Years Ended
 December 31,
 20202019
Cash Flows from Operating Activities: 
Net income $(8,619)$4,067 
Adjustments to reconcile net income to net cash provided by (used in) operating activities: 
Equity in undistributed earnings (losses) of subsidiaries9,234 (2,233)
Net realized investment gains(13)(16)
Income taxes364 370 
Other, net531 750 
Net Cash Provided by Operating Activities1,497 2,938 
Cash Flows from Investing Activities: 
Net sales (purchases) of investments(675)663 
Net Cash Provided by (Used in) Investing Activities(675)663 
Cash Flows from Financing Activities: 
Net repayments of debt(500)(200)
Cash dividends(607)(531)
Net Cash Used in Financing Activities(1,107)(731)
Net change in cash and cash equivalents(285)2,870 
Cash and cash equivalents, at beginning of year3,393 523 
Cash and Cash Equivalents, at End of Year$3,108 $3,393 
Notes to Condensed Financial Information of Registrant

Note 1 - Basis of Presentation

Pursuant to the rules and regulations of the Securities and Exchange Commission, the Condensed Financial Information of the Registrant does not include all of the information and notes normally included with financial statements prepared in accordance with generally accepted accounting principles.  It is, therefore, suggested that this Condensed Financial Information be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Registrant’s Annual Report as referenced in Form 10-K, Part II, Item 8, page 47.

Note 2 - Cash Dividends and Asset Transfers from Insurance Subsidiaries
In 2020, cash dividends of $1,100,000 were paid to the Registrant by its subsidiaries ($2,750,000 in 2019).