U-Haul 2008 Annual Report Download - page 66

AMERCO AND CONSOLIDATED ENTITIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Intercompany accounts and transactions have been eliminated.
Description of Legal Entities
AMERCO, a Nevada corporation (“AMERCO”), is the holding company for:
U-Haul International, Inc. (“U-Haul”),
Amerco Real Estate Company (“Real Estate”),
Republic Western Insurance Company (“RepWest”),
Oxford Life Insurance Company (“Oxford”).
Unless the context otherwise requires, the term “Company,” “we,” “us” or “our” refers to AMERCO and all of its legal
subsidiaries.
Description of Operating Segments
AMERCO has four reportable segments. They are Moving and Storage, Property and Casualty Insurance, Life Insurance
and SAC Holding II (through October 2007).
Moving and Storage operations include AMERCO, U-Haul, and Real Estate and the wholly-owned subsidiaries of U-
Haul and Real Estate and consist of the rental of trucks and trailers, sales of moving supplies, sales of towing accessories,
sales of propane, the rental of self-storage spaces to the “do-it-yourself” mover and management of self-storage properties
owned by others. Operations are conducted under the registered trade name U-Haul® throughout the United States and
Canada.
Property and Casualty Insurance includes RepWest and its wholly-owned subsidiaries. RepWest provides loss adjusting
and claims handling for U-Haul through regional offices across North America. RepWest also underwrites components of
the Safemove, Safetow and Safestor protection packages to U-Haul customers.
Life Insurance includes Oxford and its wholly-owned subsidiaries. Oxford provides life and health insurance products
primarily to the senior market through the direct writing or reinsuring of life insurance, Medicare supplement and annuity
policies. Additionally, Oxford administers the self-insured employee health and dental plans for Arizona employees of the
Company.
SAC Holding Corporation and its subsidiaries, and SAC Holding II Corporation and its subsidiaries, collectively referred
to as “SAC Holdings”, own self-storage properties that are managed by U-Haul under property management agreements
and act as independent U-Haul rental equipment dealers. AMERCO, through its subsidiaries, has contractual interests in
certain of SAC Holdings’ properties entitling AMERCO to potential future income based on the financial performance of
these properties. With respect to SAC Holding II, AMERCO was considered the primary beneficiary of these contractual
interests prior to November 2007. Consequently, for those reporting periods prior to November 2007, we included the
results of SAC Holding II in the consolidated financial statements of AMERCO, as required by FIN 46(R).
Note 3: Accounting Policies
Use of Estimates
The preparation of financial statements in conformity with the generally accepted accounting principles (“GAAP”) in the
United States requires management to make estimates and judgments that affect the amounts reported in the financial
statements and accompanying notes. The accounting policies that we deem most critical to us and that require
management’ s most difficult and subjective judgments include the principles of consolidation, the recoverability of
property, plant and equipment, the adequacy of insurance reserves, the recognition and measurement of impairments for
investments accounted for under SFAS 115, and the recognition and measurement of income tax assets and liabilities. The
actual results experienced by the Company may differ from management’ s estimates.
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