v3.26.1
Cemetery Perpetual Care Trust Investments and Obligation (Tables)
 6 Months Ended
Jun. 30, 2026
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]  
Schedule of Investments and Obligation

The Company’s investments as of June 30, 2026, are summarized as follows:

 

   Amortized Cost  

Gross

Unrealized

Gains

  

Gross

Unrealized

Losses (1)

  

Allowance

for Credit

Losses

  

Estimated Fair

Value

 
June 30, 2026:                         
Fixed maturity securities, available for sale, at estimated fair value:                         
U.S. Treasury securities and obligations of U.S. Government agencies  $75,537,690   $212,461   $(337,267)  $-   $75,412,884 
Obligations of states and political subdivisions   3,090,544    262    (185,443)   -    2,905,363 
Corporate securities including public utilities   284,497,104    4,003,915    (4,153,173)   (636,611)   283,711,235 
Mortgage-backed securities   21,228,233    37,490    (3,384,006)   (204,049)   17,677,668 
Redeemable preferred stock   750,000    9,200    (37,500)   -    721,700 
Total fixed maturity securities available for sale  $385,103,571   $4,263,328   $(8,097,389)  $(840,660)  $380,428,850 
                          
Equity securities at estimated fair value:                         
Common stock:                         
Industrial, miscellaneous and all other  $12,540,527   $8,479,971   $(237,925)       $20,782,573 
Total equity securities at estimated fair value  $12,540,527   $8,479,971   $(237,925)       $20,782,573 
                          
Mortgage loans held for investment at amortized cost:                         
Residential  $85,963,856                     
Residential construction   140,692,240                     
Commercial   68,081,034                     
Less: Unamortized deferred loan fees, net   (1,552,440)                    
Less: Allowance for credit losses   (2,255,193)                    
Less: Net discounts   (244,309)                    
                          
Total mortgage loans held for investment  $290,685,188                     
                          
Real estate held for investment - net of accumulated depreciation:                         
Residential  $116,634,085                     
Commercial   118,437,302                     
                          
Total real estate held for investment  $235,071,387                     
                          
Real estate held for sale:                         
Residential  $6,345,029                     
Commercial   3,236,285                     
                          
Total real estate held for sale  $9,581,314                     
                          
Other investments and policy loans at amortized cost:                         
Policy loans  $14,616,118                     
Insurance assignments   44,009,510                     
Federal Home Loan Bank stock (2)   680,200                     
Other investments   22,223,337                     
Less: Allowance for credit losses for insurance assignments   (1,476,295)                    
                          
Total other investments and policy loans  $80,052,870                     
Accrued investment income  $9,393,407                     
Total investments  $1,025,995,589                     

 

 

(1) Gross unrealized losses are net of allowance for credit losses
(2) Includes $612,800 of Membership stock and $67,400 of Activity stock attributable to short-term borrowings and letters of credit.

 

 

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

June 30, 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

 
June 30, 2026                              
U.S. Treasury securities and obligations of U.S. Government agencies  $273,354   $32,972,686   $63,913   $1,566,865   $337,267   $34,539,551 
Obligations of states and political subdivisions   3,662    196,338    181,781    2,073,479    185,443    2,269,817 
Corporate securities including public utilities   1,190,106    86,172,801    2,963,067    37,121,227    4,153,173    123,294,028 
Mortgage-backed securities   14,268    993,191    3,369,738    14,700,113    3,384,006    15,693,304 
Redeemable preferred stock   37,500    212,500    -    -    37,500    212,500 
Totals  $1,518,890   $120,547,516   $6,578,499   $55,461,684   $8,097,389   $176,009,200 
                               
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 June 30, 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  $11,711,839   $11,709,904 
Due in 2-5 years   129,271,705    129,040,087 
Due in 5-10 years   140,558,359    141,414,746 
Due in more than 10 years   81,583,435    79,864,745 
Mortgage-backed securities   21,228,233    17,677,668 
Redeemable preferred stock   750,000    721,700 
Total  $385,103,571   $380,428,850 
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 June 30, 2026, are as follows:

 

  

Amortized

Cost

  

Gross

Unrealized

Gains

  

Gross

Unrealized

Losses

  

Estimated Fair

Value

 
June 30, 2026:                    
Fixed maturity securities, available for sale, at estimated fair value:                    
Obligations of states and political subdivisions  $118,671   $-   $(1,468)  $117,203 
Total fixed maturity securities available for sale  $118,671   $-   $(1,468)  $117,203 
                     
Equity securities at estimated fair value:                    
Common stock:                    
Industrial, miscellaneous and all other  $5,220,548   $1,940,328   $(136,641)  $7,024,235 
Total equity securities at estimated fair value  $5,220,548   $1,940,328   $(136,641)  $7,024,235 
                     
Mortgage loans held for investment at amortized cost:                    
Residential construction  $1,008,730                
Less: Allowance for credit losses   (2,017)               
Total mortgage loans held for investment  $1,006,713                
                     
Other investments  $1,333,656                
                     
Cash and cash equivalents  $981,088                
                     
Accrued investment income  $7,755                
                     
Total cemetery perpetual care trust investments  $10,470,650                
                     
Cemetery perpetual care obligation  $(6,086,723)               
                     
Trust investments in excess of trust obligations  $4,383,927                

 

 

SECURITY NATIONAL FINANCIAL CORPORATION AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements

June 30, 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 June 30, 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 
June 30, 2026                              
Obligations of states and political subdivisions  $-   $-   $1,468   $117,203   $1,468   $117,203 
Totals  $-   $-   $1,468   $117,203   $1,468   $117,203 
                               
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 June 30, 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  $-   $- 
Due in 2-5 years   68,233    66,839 
Due in 5-10 years   50,438    50,364 
Due in more than 10 years   -    - 
Total  $118,671   $117,203