v3.26.1
Cemetery Perpetual Care Trust Investments and Obligation (Tables)
 3 Months Ended
Mar. 31, 2026
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]  
Schedule of Investments and Obligation

The Company’s investments as of March 31, 2026, are summarized as follows:

 

   Amortized Cost   Gross Unrealized Gains   Gross Unrealized Losses (1)   Allowance for Credit Losses   Estimated Fair Value 
March 31, 2026:                    
Fixed maturity securities, available for sale, at estimated fair value:                         
U.S. Treasury securities and obligations of U.S. Government agencies  $65,521,592   $551,988   $(105,766)  $-   $65,967,814 
                          
Obligations of states and political subdivisions   3,093,790    5,517    (180,711)   -    2,918,596 
                          
Corporate securities including public utilities   278,845,730    4,478,480    (4,529,438)   (521,948)   278,272,824 
                          
Mortgage-backed securities   23,391,046    57,503    (3,607,509)   (154,049)   19,686,991 
                          
Redeemable preferred stock   750,000    7,200    (37,500)   -    719,700 
                          
Total fixed maturity securities available for sale  $371,602,158   $5,100,688   $(8,460,924)  $(675,997)  $367,565,925 
                          
Equity securities at estimated fair value:                         
                          
Common stock:                         
                          
Industrial, miscellaneous and all other  $12,477,275   $6,222,419   $(353,380)       $18,346,314 
                          
Total equity securities at estimated fair value  $12,477,275   $6,222,419   $(353,380)       $18,346,314 
                          
Mortgage loans held for investment at amortized cost:                         
Residential  $85,519,490                     
Residential construction   149,601,559                     
Commercial   74,614,673                     
Less: Unamortized deferred loan fees, net   (1,664,276)                    
Less: Allowance for credit losses   (2,553,360)                    
Less: Net discounts   (249,646)                    
                          
Total mortgage loans held for investment  $305,268,440                     
                          
Real estate held for investment - net of accumulated depreciation:                         
Residential  $114,491,810                     
Commercial   119,853,523                     
                          
Total real estate held for investment  $234,345,333                     
                          
Real estate held for sale:                         
Residential  $6,236,823                     
Commercial   151,553                     
                          
Total real estate held for sale  $6,388,376                     
                          
Other investments and policy loans at amortized cost:                         
Policy loans  $14,536,305                     
Insurance assignments   46,315,781                     
Federal Home Loan Bank stock (2)   677,100                     
Other investments   23,490,927                     
Less: Allowance for credit losses for insurance assignments   (1,518,047)                    
                          
Total other investments and policy loans  $83,502,066                     
                          
Accrued investment income  $9,596,277                     
                          
Total investments  $1,025,012,731                     

 

 

(1)Gross unrealized losses are net of allowance for credit losses

(2)Includes $612,300 of Membership stock and $64,800 of Activity stock attributable to short-term borrowings and letters of credit.

 

 

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

March 31, 2026 (Unaudited)

 

2)  Investments (Continued)

 

The Company’s investments as of December 31, 2025, are summarized as follows:

 

   Amortized Cost   Gross Unrealized Gains   Gross Unrealized Losses (1)   Allowance for Credit Losses   Estimated Fair Value 
December 31, 2025:                    
Fixed maturity securities, available for sale, at estimated fair value:                         
U.S. Treasury securities and obligations of U.S. Government agencies  $75,713,307   $982,769   $(89,550)  $-   $76,606,526 
                          
Obligations of states and political subdivisions   3,396,999    11,662    (172,184)   -    3,236,477 
                          
Corporate securities including public utilities   277,708,638    7,029,453    (3,387,651)   (425,401)   280,925,039 
                          
Mortgage-backed securities   24,832,349    161,348    (3,553,214)   (154,049)   21,286,434 
                          
Redeemable preferred stock   750,000    10,942    (37,500)   -    723,442 
                          
Total fixed maturity securities available for sale  $382,401,293   $8,196,174   $(7,240,099)  $(579,450)  $382,777,918 
                          
Equity securities at estimated fair value:                         
                          
Common stock:                         
                          
Industrial, miscellaneous and all other  $12,206,559   $6,176,440   $(332,937)       $18,050,062 
                          
Total equity securities at estimated fair value  $12,206,559   $6,176,440   $(332,937)       $18,050,062 
                          
Mortgage loans held for investment at amortized cost:                         
Residential  $90,644,590                     
Residential construction   157,398,705                     
Commercial   79,231,786                     
Less: Unamortized deferred loan fees, net   (1,995,795)                    
Less: Allowance for credit losses   (2,588,918)                    
Less: Net discounts   (254,983)                    
                          
Total mortgage loans held for investment  $322,435,385                     
                          
Real estate held for investment - net of accumulated depreciation:                         
Residential  $93,638,938                     
Commercial   121,258,192                     
                          
Total real estate held for investment  $214,897,130                     
                          
Real estate held for sale:                         
Residential  $6,272,474                     
Commercial   151,553                     
                          
Total real estate held for sale  $6,424,027                     
                          
Other investments and policy loans at amortized cost:                         
Policy loans  $14,467,357                     
Insurance assignments   46,183,999                     
Federal Home Loan Bank stock (2)   646,500                     
Other investments   25,601,905                     
Less: Allowance for credit losses for insurance assignments   (1,676,468)                    
                          
Total policy loans and other investments  $85,223,293                     
                          
Accrued investment income  $9,054,645                     
                          
Total investments  $1,038,862,460                     

 

(1)Gross unrealized losses are net of allowance for credit losses
(2)Includes $581,600 of Membership stock and $64,900 of Activity stock due to short-term advances and letters of credit.
Schedule of Fair Value of Fixed Maturity Securities

 

   Unrealized Losses for Less than Twelve Months   Fair Value   Unrealized Losses for More than Twelve Months   Fair Value   Total Unrealized Loss   Combined Fair Value 
March 31, 2026                              
U.S. Treasury securities and obligations of U.S. Government agencies  $47,025   $12,992,660   $58,741   $1,581,809   $105,766   $14,574,469 
Obligations of states and political subdivisions   3,152    196,848    177,559    2,081,355    180,711    2,278,203 
Corporate securities including public utilities   1,423,738    76,810,812    3,105,700    37,427,064    4,529,438    114,237,876 
Mortgage-backed securities   12,324    973,482    3,595,185    16,667,312    3,607,509    17,640,794 
Redeemable preferred stock   37,500    212,500    -    -    37,500    212,500 
Totals  $1,523,739   $91,186,302   $6,937,185   $57,757,540   $8,460,924   $148,943,842 
                               
December 31, 2025                              
U.S. Treasury securities and obligations of U.S. Government agencies  $2,591   $2,047,280   $86,959   $11,033,603   $89,550   $13,080,883 
Obligations of states and political subdivisions   4,884    195,116    167,300    2,095,220    172,184    2,290,336 
Corporate securities including public utilities   638,436    30,085,561    2,749,214    42,688,720    3,387,650    72,774,281 
Mortgage-backed securities   4,353    192,242    3,548,862    17,504,265    3,553,215    17,696,507 
Redeemable preferred stock   37,500    212,500    -    -    37,500    212,500 
Totals  $687,764   $32,732,699   $6,552,335   $73,321,808   $7,240,099   $106,054,507 
Schedule of Investments Classified by Contractual Maturity Date

The table below presents the amortized cost and the estimated fair value of fixed maturity securities available for sale as of March 31, 2026, by contractual maturity. Actual or expected maturities may differ from contractual maturities because certain securities afford the issuer the right to call or prepay their obligations.

 

   Amortized
Cost		   Estimated Fair
 Value		 
Due in 1 year  $19,665,703   $19,641,777 
Due in 2-5 years   129,855,952    130,217,565 
Due in 5-10 years   130,676,874    131,821,597 
Due in more than 10 years   67,262,583    65,478,295 
Mortgage-backed securities   23,391,046    19,686,991 
Redeemable preferred stock   750,000    719,700 
Total  $371,602,158   $367,565,925 
Cemetery Perpectual Care Obligation [Member]  
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]  
Schedule of Investments and Obligation

The components of cemetery perpetual care investments and obligation as of March 31, 2026, are as follows:

 

   Amortized Cost   Gross Unrealized Gains   Gross Unrealized Losses   Estimated Fair Value 
March 31, 2026:                    
Fixed maturity securities, available for sale, at estimated fair value:                    
U.S. Treasury securities and obligations of U.S. Government agencies  $154,594   $41   $-   $154,635 
Obligations of states and political subdivisions   119,677    -    (1,909)   117,768 
Total fixed maturity securities available for sale  $274,271   $41   $(1,909)  $272,403 
                     
Equity securities at estimated fair value:                    
Common stock:                    
Industrial, miscellaneous and all other  $5,000,830   $1,687,074   $(172,761)  $6,515,143 
Total equity securities at estimated fair value  $5,000,830   $1,687,074   $(172,761)  $6,515,143 
                     
Mortgage loans held for investment at amortized cost:                     
Residential construction  $612,154                
Less: Allowance for credit losses   (1,224)               
Total mortgage loans held for investment  $610,930                
                     
Other investments  $1,303,245                
                     
Cash and cash equivalents  $1,317,345                
                     
Accrued investment income  $7,540                
                     
Total cemetery perpetual care trust investments  $10,026,606                
                     
Cemetery perpetual care obligation  $(5,998,538)               
                     
Trust investments in excess of trust obligations  $4,028,068                

 

 

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

March 31, 2026 (Unaudited)

 

6) Cemetery Perpetual Care Trust Investments and Obligation (Continued)

 

The components of cemetery perpetual care investments and obligation as of December 31, 2025, are as follows:

 

   Amortized Cost   Gross Unrealized Gains   Gross Unrealized Losses   Estimated Fair Value 
December 31, 2025:                    
Fixed maturity securities, available for sale, at estimated fair value:                    
U.S. Treasury securities and obligations of U.S. Government agencies  $152,738   $842   $-   $153,580 
Obligations of states and political subdivisions   121,423    -    (2,991)   118,432 
Total fixed maturity securities available for sale  $274,161   $842   $(2,991)  $272,012 
                     
Equity securities at estimated fair value:                    
Common stock:                    
Industrial, miscellaneous and all other  $4,835,663   $1,637,554   $(169,485)  $6,303,732 
Total equity securities at estimated fair value  $4,835,663   $1,637,554   $(169,485)  $6,303,732 
                     
Mortgage loans held for investment at amortized cost:                     
Residential construction  $66,342                
Less: Allowance for credit losses   (133)               
Total mortgage loans held for investment  $66,209                
                     
Cash and cash equivalents  $1,935,480                
                     
Other investments  $1,290,271                
                     
Accrued investment income  $4,243                
                     
Total cemetery perpetual care trust investments  $9,871,947                
                     
Cemetery perpetual care obligation  $(5,918,776)               
                     
Trust investments in excess of trust obligations  $3,953,171                
Schedule of Fair Value of Fixed Maturity Securities

The table below summarizes unrealized losses on fixed maturity securities available for sale that were carried at estimated fair value as of March 31, 2026, and December 31, 2025. The tables set forth unrealized losses by duration with the fair value of the related fixed maturity securities:

 

   Unrealized Losses for Less than Twelve Months   Fair Value   Unrealized Losses for More than Twelve Months   Fair Value   Total Unrealized Loss   Fair Value 
March 31, 2026                              
Obligations of states and political subdivisions  $       -   $      -   $1,909   $117,768   $1,909   $117,768 
Totals  $-   $-   $1,909   $117,768   $1,909   $117,768 
                               
December 31, 2025                              
Obligations of states and political subdivisions  $-   $-   $2,991   $118,432   $2,991   $118,432 
Totals  $-   $-   $2,991   $118,432   $2,991   $118,432 
Schedule of Investments Classified by Contractual Maturity Date

The table below presents the amortized cost and estimated fair value of fixed maturity securities available for sale as of March 31, 2026, by contractual maturity. Actual or expected maturities may differ from contractual maturities because certain securities afford the issuer the right to call or prepay their obligations.

 

   Amortized   Estimated Fair 
   Cost   Value 
Due in 1 year  $154,593   $154,634 
Due in 2-5 years   68,914    67,151 
Due in 5-10 years   50,764    50,618 
Due in more than 10 years   -    - 
Total  $274,271   $272,403