SPRINGFIELD, Ill., Feb. 5, 2013 /PRNewswire/ -- Horace Mann
Educators Corporation (NYSE:HMN) today reported financial results
for the three and twelve months ended December 31, 2012:
Horace
Mann Financial Highlights
|
|
Three
months ended
December
31,
|
|
Year
ended
December
31,
|
($ in
millions, except per share
amounts)
|
2012
|
2011(A)
|
Change
|
|
2012
|
2011(A)
|
Change
|
Total
revenues
|
$255.4
|
$247.6
|
3.2%
|
|
$1,010.8
|
$998.3
|
1.3%
|
Net
income
|
31.9
|
32.9
|
-3.0%
|
|
103.9
|
70.5
|
47.4%
|
Net income
per diluted share
|
0.77
|
0.79
|
-2.5%
|
|
2.51
|
1.70
|
47.6%
|
Operating
income*
|
27.9
|
29.6
|
-5.7%
|
|
86.3
|
46.1
|
87.2%
|
Operating
income per
diluted share*
|
0.67
|
0.71
|
-5.6%
|
|
2.08
|
1.11
|
87.4%
|
Book value
per share
|
|
|
|
|
31.65
|
26.53
|
19.3%
|
Book value
per share excluding
the fair value adjustment
for investments*
|
|
|
|
|
21.93
|
19.79
|
10.8%
|
Property
and Casualty segment
net income
|
14.5
|
17.4
|
-16.7%
|
|
37.1
|
5.9
|
N.M.
|
Property and Casualty
combined ratio
|
92.4%
|
92.4%
|
-
|
|
98.3%
|
106.6%
|
-8.3
pts
|
Property and Casualty underlying
combined ratio*
|
94.5%
|
92.4%
|
2.1
pts
|
|
93.5%
|
92.8%
|
0.7
pts
|
Annuity
segment net income
|
$
11.1
|
$
10.4
|
6.7%
|
|
$
40.5
|
$
30.9
|
31.1%
|
Life
segment net income
|
5.7
|
5.7
|
-
|
|
21.9
|
19.4
|
12.9%
|
N.M. - Not
meaningful.
|
*
These measures are not based on accounting principles generally
accepted in the United States ("non-GAAP"). They are
reconciled to the most directly comparable GAAP measures in the
supplemental numerical pages of this document. An explanation
of these measures is contained in the Glossary of Selected Terms
included as an exhibit in the company's reports filed with the
SEC.
|
(A)
Reflects the retrospective adoption on January 1, 2012 of new
accounting guidance for deferred policy acquisition costs.
The adoption of this accounting guidance did not have a material
effect on the company's results of operations, but did decrease
shareholders' equity $31.6 million, or 2.9%, after tax at January
1, 2012.
|
"Horace Mann's fourth quarter
operating income was $0.67 per share
-- a strong finish to an excellent year. We are pleased with
another quarter of solid growth and underlying earnings performance
across all three segments of our multiline insurance platform,"
said Horace Mann's President and CEO
Peter H. Heckman. "In property
and casualty, compared to fourth quarter 2011, both written and
earned premiums increased, retention ratios continued to improve,
catastrophe losses were minimal and reserves continued to develop
favorably. In our annuity business, assets under management
were up 10% over prior year, with increased earnings benefitting
from higher fixed annuity spreads and another quarter of positive
deferred policy acquisition cost unlocking. And, in our life
segment, fourth quarter sales of Horace
Mann products increased 57% compared to a year earlier,
while lower than expected mortality losses continued to have a
favorable impact on earnings."
"We are projecting full-year 2013 operating income of between
$1.75 and $1.95 per share," said
Heckman. "This estimate anticipates a modest improvement in
our underlying property and casualty combined ratio, which we
expect to be more than offset by a reduced level of favorable prior
years' reserve development as well as a return to more normal
levels of annuity deferred policy acquisition cost unlocking and
life mortality and $3 million to $4
million in customer experience investments."
Property and Casualty Segment
The property and casualty segment recorded net income of
$14.5 million for the quarter
compared to $17.4 million for the
same period in 2011. The total property and casualty combined
ratio of 92.4% was equal to the fourth quarter of 2011.
Pretax catastrophe losses in the current quarter of $2.8 million decreased $1.9 million compared to a year ago.
Favorable prior years' reserve development totaling $5.7 million was recorded in the fourth quarter,
compared to $4.6 million of favorable
development recorded in the fourth quarter of 2011. The
underlying property and casualty combined ratio of 94.5% increased
2.1 percentage points compared to the prior year quarter,
reflecting less favorable current accident year property results
excluding catastrophes partially offset by an improvement in the
underlying auto combined ratio.
For the year ended December 31,
2012, property and casualty segment net income of
$37.1 million improved $31.2 million compared to 2011, primarily as a
result of a lower level of catastrophe losses. The full year
2012 underlying combined ratio was 93.5%, a slight increase
compared to the prior year reflecting less favorable underlying
auto results partially offset by improvement in current accident
year property results excluding catastrophes.
Total property and casualty premiums written of $137.2 million and $550.8
million increased 3% and 1% compared to the three and twelve
months ended December 31, 2011,
respectively, with increases in average property and auto premiums
per policy somewhat offset by fewer policies in force for both
lines.
True new auto sales units -- units associated with new
Horace Mann auto policyholders --
decreased 3% in the current quarter but increased 20% compared to
full year 2011. The full year growth in total new auto units
of 12% included a modest increase in the number of additional
vehicles added to existing policies. Meanwhile, property new
sales units increased 12% and 16% compared to the fourth quarter
and twelve months of 2011, respectively.
Annuity Segment
Annuity segment net income was $11.1
million for the three months ended December 31, 2012, increasing $0.7 million compared to the same period in 2011,
which contributed to a $9.6 million
increase for the full year. The net interest margin on fixed
annuity assets increased 15% compared to full year 2011, with the
related net interest spread of 2.11% increasing 9 basis
points. The evaluation of deferred policy acquisition costs
in the quarter had a $2.5 million
pretax positive impact on annuity segment earnings compared to a
$2.2 million positive impact in the
prior year. Largely due to the change in financial market
performance, the respective evaluations had a positive impact of
$3.8 million pretax for full year
2012 and a negative impact of $2.5
million pretax in 2011. Total accumulated account
value of $4.8 billion increased 10%
compared to December 31, 2011, and
total cash value persistency of 95.0% improved approximately 1
percentage point compared to a year earlier.
For the three months ended December 31,
2012, annuity deposits received of $114.7 million were comparable to the prior year,
while full year deposits received of $417.6
million decreased 4% compared to 2011, primarily due to a
decrease in scheduled deposit receipts in 2012.
Total annuity sales were up 3% compared to fourth quarter 2011
and increased 1% for the full year. Within the full year
result, annuity sales by Horace
Mann's agency force increased 14%, while sales from the
supplemental independent agent distribution channel declined
year-over-year.
Life Segment
Life segment net income of $5.7
million for the fourth quarter was equal to the same period
in 2011. Compared to full year 2011, life segment net income
increased $2.5 million largely due to
favorable mortality experience in 2012. Life persistency of
96% improved approximately 1 percentage point compared to 12 months
earlier.
Life segment insurance premiums and contract deposits of
$27.6 million and $99.3 million increased approximately 1% compared
to the three and twelve months ended December 31, 2011, respectively.
Total new life sales continued to be strong compared to the
prior year, with fourth quarter and full year growth rates of 57%
and 40%, respectively, in sales of Horace
Mann-manufactured products -- consistent with the company's
strategic intent to significantly increase its underwritten,
mortality-based business.
Investment Results
In 2012, total net investment income increased 4% and 6%
compared to the three and twelve months ended December 31, 2011, respectively. Pretax net
realized investment gains were $6.2
million in the current quarter and $27.3 million for the full year. No
impairment write-downs on securities were recorded in 2012.
Horace Mann's net unrealized
investment gains on fixed maturity and equity securities of
$651.9 million at December 31, 2012 increased slightly compared to
September 30, 2012. Net
unrealized gains were $441.1 million
at December 31, 2011.
Capital Management
During the fourth quarter of 2012, the company repurchased
114,809 shares of its common stock at an aggregate cost of
$2.1 million, or an average price per
share of $18.23, under its
$50 million share repurchase
program. As of December 31,
2012, the program had a remaining authorization of
$32.2 million. There were
39,367,862 shares outstanding on December
31, 2012.
Webcast Conference Call
Horace Mann's senior management
will discuss the company's fourth quarter and full year
performance, as well as 2013 operating income guidance, with
investors and analysts on February 6,
2013 at 9:00 a.m. Eastern
Time. The conference call will be webcast live on the
Internet at www.horacemann.com and archived later in the day for
replay, which will be available for one month.
Horace Mann -- the largest
national multiline insurance company focusing on educators'
financial needs -- provides auto and homeowners insurance,
retirement annuities, life insurance and other financial
solutions. Founded by Educators for
Educators® in 1945, the company is headquartered in
Springfield, Ill. For more
information, visit www.horacemann.com.
Statements included in this news release that are not historical
in nature are forward-looking within the meaning of the Private
Securities Litigation Reform Act of 1995 and are subject to certain
risks and uncertainties. Horace Mann is not under any
obligation to (and expressly disclaims any such obligation to)
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. Please
refer to the company's Quarterly Report on Form 10-Q for the period
ended September 30, 2012 and the
company's past and future filings and reports filed with the
Securities and Exchange Commission for information concerning the
important factors that could cause actual results to differ
materially from those in forward-looking statements. The
information contained in this press release includes financial
measures which are based on methodologies other than United States generally accepted accounting
principles ("GAAP"). Reconciliations of non-GAAP measures to
the closest GAAP measures are contained in the supplemental
numerical pages of this release and additional descriptions of the
non-GAAP measures are contained in the Glossary of Selected Terms
included as an exhibit to the company's SEC filings.
HORACE
MANN EDUCATORS CORPORATION
|
Financial
Highlights (Unaudited)
|
(Dollars
in Millions, Except Per Share Data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
EARNINGS SUMMARY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
$
31.9
|
|
$
32.9
|
|
-3.0%
|
|
$
103.9
|
|
$
70.5
|
|
47.4%
|
|
Net
realized investment gains, after tax
|
4.0
|
|
3.3
|
|
21.2%
|
|
17.6
|
|
24.4
|
|
-27.9%
|
Operating
income (B)
|
27.9
|
|
29.6
|
|
-5.7%
|
|
86.3
|
|
46.1
|
|
87.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per
diluted share:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
$
0.77
|
|
$
0.79
|
|
-2.5%
|
|
$
2.51
|
|
$
1.70
|
|
47.6%
|
|
|
Net
realized investment gains, after tax
|
$
0.10
|
|
$
0.08
|
|
25.0%
|
|
$
0.43
|
|
$
0.59
|
|
-27.1%
|
|
Operating
income (B)
|
$
0.67
|
|
$
0.71
|
|
-5.6%
|
|
$
2.08
|
|
$
1.11
|
|
87.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average number of shares
|
|
|
|
|
|
|
|
|
|
|
|
|
and
equivalent shares (in millions) - Diluted
|
41.3
|
|
41.4
|
|
-0.2%
|
|
41.4
|
|
41.4
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on
equity (C)
|
|
|
|
|
|
|
9.0%
|
|
7.5%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Insurance
premiums written and contract deposits
|
$
279.5
|
|
$
276.1
|
|
1.2%
|
|
$
1,067.7
|
|
$
1,078.4
|
|
-1.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property
& Casualty combined ratio
|
92.4%
|
|
92.4%
|
|
-
|
|
98.3%
|
|
106.6%
|
|
N.M.
|
Property
& Casualty combined ratio excluding
|
|
|
|
|
|
|
|
|
|
|
|
|
the
effects of catastrophe costs and prior years'
|
|
|
|
|
|
|
|
|
|
|
|
|
reserve
development ("underlying combined ratio") (B)
|
94.5%
|
|
92.4%
|
|
N.M.
|
|
93.5%
|
|
92.8%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FINANCIAL POSITION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per share
(D):
|
|
|
|
|
|
|
|
|
|
|
|
|
Book
value
|
|
|
|
|
|
|
$
31.65
|
|
$
26.53
|
|
19.3%
|
|
|
Effect of
the fair value adjustment for investments (E)
|
|
|
|
|
|
|
$
9.72
|
|
$
6.74
|
|
44.2%
|
|
Book value
excluding the fair value adjustment for investments (B)
|
|
|
|
|
|
|
$
21.93
|
|
$
19.79
|
|
10.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends
paid
|
$
0.16
|
|
$
0.13
|
|
23.1%
|
|
$
0.55
|
|
$
0.46
|
|
19.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending
number of shares outstanding (in millions) (D)
|
|
|
|
|
|
|
39.4
|
|
39.8
|
|
-1.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
|
|
|
|
$
8,167.7
|
|
$
7,435.2
|
|
9.9%
|
Short-term
debt
|
|
|
|
|
|
|
38.0
|
|
38.0
|
|
-
|
Long-term
debt
|
|
|
|
|
|
|
199.8
|
|
199.7
|
|
0.1%
|
Total
shareholders' equity
|
|
|
|
|
|
|
1,245.8
|
|
1,055.4
|
|
18.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ADDITIONAL INFORMATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exclusive
agencies (F)
|
|
|
|
|
|
|
624
|
|
549
|
|
13.7%
|
Employee
agents (G)
|
|
|
|
|
|
|
136
|
|
196
|
|
-30.6%
|
|
Total
|
|
|
|
|
|
|
760
|
|
745
|
|
2.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
|
Adjusted
to reflect the January 1, 2012 adoption and retrospective
application by the company of new accounting guidance
for
|
|
|
|
deferred
policy acquisition costs. The adoption of this accounting
guidance did not have a material effect on the company's results
of
|
|
|
|
operations, but did decrease shareholders' equity
$31.6 million, or 2.9%, after tax at January 1, 2012.
|
(B)
|
|
These
measures are not based on accounting principles generally accepted
in the United States ("non-GAAP"). An explanation of
these
|
|
|
|
measures
is contained in the Glossary of Selected Terms included as an
exhibit in the company's reports filed with the SEC.
|
(C)
|
|
Based on
trailing 12-month net income and average quarter-end shareholders'
equity.
|
(D)
|
|
Ending
shares outstanding were 39,367,862 at December 31, 2012 and
39,775,432 at December 31, 2011.
|
|
|
|
|
(E)
|
|
Net of the
related impact on deferred policy acquisition costs and the
applicable deferred taxes.
|
(F)
|
|
Local
Horace Mann agencies created and owned by independent contractors
who have signed Exclusive Agent agreements with the
|
|
|
|
Company
("Exclusive Agents"). Those agreements state that only the
Company's products and limited additional third-party
vendor
|
|
|
|
products
authorized by the Company will be marketed by the agencies.
An independent contractor may sign multiple Exclusive
Agent
|
|
|
|
agreements
with the Company and manage more than one Exclusive
Agency.
|
(G)
|
|
Agents who
have employee status with the Company and by contract market only
the Company's products and limited additional
|
|
|
|
third-party vendor products authorized by the
Company.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 1
-
|
|
|
HORACE
MANN EDUCATORS CORPORATION
|
Statements
of Operations and Supplemental Consolidated Data
(Unaudited)
|
(Dollars
in Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
STATEMENTS OF OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Insurance
premiums and contract charges earned
|
$
170.8
|
|
$
167.0
|
|
2.3%
|
|
$
670.5
|
|
$
667.1
|
|
0.5%
|
Net
investment income
|
77.3
|
|
74.6
|
|
3.6%
|
|
306.0
|
|
288.3
|
|
6.1%
|
Net
realized investment gains
|
6.2
|
|
5.0
|
|
24.0%
|
|
27.3
|
|
37.7
|
|
-27.6%
|
Other
income
|
1.1
|
|
1.0
|
|
10.0%
|
|
7.0
|
|
5.2
|
|
34.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
255.4
|
|
247.6
|
|
3.2%
|
|
1,010.8
|
|
998.3
|
|
1.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Benefits,
claims and settlement expenses
|
103.3
|
|
103.6
|
|
-0.3%
|
|
448.2
|
|
502.4
|
|
-10.8%
|
Interest
credited
|
41.8
|
|
39.9
|
|
4.8%
|
|
163.6
|
|
154.9
|
|
5.6%
|
Policy
acquisition expenses amortized
|
19.0
|
|
18.7
|
|
1.6%
|
|
79.5
|
|
83.4
|
|
-4.7%
|
Operating
expenses
|
41.6
|
|
39.6
|
|
5.1%
|
|
156.1
|
|
148.7
|
|
5.0%
|
Interest
expense
|
3.5
|
|
3.6
|
|
-2.8%
|
|
14.2
|
|
14.0
|
|
1.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
benefits, losses and expenses
|
209.2
|
|
205.4
|
|
1.9%
|
|
861.6
|
|
903.4
|
|
-4.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income
before income taxes
|
46.2
|
|
42.2
|
|
9.5%
|
|
149.2
|
|
94.9
|
|
57.2%
|
|
Income tax
expense
|
14.3
|
|
9.3
|
|
53.8%
|
|
45.3
|
|
24.4
|
|
85.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
$
31.9
|
|
$
32.9
|
|
-3.0%
|
|
$
103.9
|
|
$
70.5
|
|
47.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANALYSIS OF PREMIUMS WRITTEN
|
|
|
|
|
|
|
|
|
|
|
|
AND CONTRACT
DEPOSITS
__
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property
& Casualty
|
|
|
|
|
|
|
|
|
|
|
|
|
Automobile
and property (voluntary)
|
$
135.8
|
|
$
132.1
|
|
2.8%
|
|
$
547.2
|
|
$
542.0
|
|
1.0%
|
|
Involuntary and other property &
casualty
|
1.4
|
|
1.6
|
|
-12.5%
|
|
3.6
|
|
3.9
|
|
-7.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Property & Casualty
|
137.2
|
|
133.7
|
|
2.6%
|
|
550.8
|
|
545.9
|
|
0.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annuity
deposits
|
114.7
|
|
115.0
|
|
-0.3%
|
|
417.6
|
|
433.9
|
|
-3.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Life
|
27.6
|
|
27.4
|
|
0.7%
|
|
99.3
|
|
98.6
|
|
0.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
$
279.5
|
|
$
276.1
|
|
1.2%
|
|
$
1,067.7
|
|
$
1,078.4
|
|
-1.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ANALYSIS OF SEGMENT NET INCOME
(LOSS)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property
& Casualty
|
$
14.5
|
|
$
17.4
|
|
-16.7%
|
|
$
37.1
|
|
$
5.9
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annuity
|
11.1
|
|
10.4
|
|
6.7%
|
|
40.5
|
|
30.9
|
|
31.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Life
|
5.7
|
|
5.7
|
|
-
|
|
21.9
|
|
19.4
|
|
12.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate
and other (B)
|
0.6
|
|
(0.6)
|
|
N.M.
|
|
4.4
|
|
14.3
|
|
-69.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
31.9
|
|
32.9
|
|
-3.0%
|
|
103.9
|
|
70.5
|
|
47.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
|
See
footnote (A) on page 1 of these supplemental numerical
pages.
|
(B)
|
|
The
Corporate and Other segment includes interest expense on debt and
the impact of realized investment gains and losses
|
|
|
|
and other
corporate level items. The Company does not allocate the
impact of corporate level transactions to the insurance
|
|
|
|
segments
consistent with how management evaluates the results of those
segments. See detail for this segment on page 5.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 2
-
|
|
|
HORACE
MANN EDUCATORS CORPORATION
|
Supplemental Business Segment Overview
(Unaudited)
|
(Dollars
in Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
PROPERTY & CASUALTY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premiums
written
|
$
137.2
|
|
$
133.7
|
|
2.6%
|
|
$
550.8
|
|
$
545.9
|
|
0.9%
|
Premiums
earned
|
138.8
|
|
137.0
|
|
1.3%
|
|
546.3
|
|
547.5
|
|
-0.2%
|
Net
investment income
|
9.6
|
|
9.5
|
|
1.1%
|
|
36.8
|
|
36.9
|
|
-0.3%
|
Other
income
|
-
|
|
-
|
|
-
|
|
1.5
|
|
0.3
|
|
N.M.
|
Losses and
loss adjustment expenses (LAE)
|
89.1
|
|
89.9
|
|
-0.9%
|
|
389.4
|
|
442.5
|
|
-12.0%
|
Operating
expenses (includes policy
|
|
|
|
|
|
|
|
|
|
|
|
|
acquisition expenses amortized)
|
39.1
|
|
36.9
|
|
6.0%
|
|
147.3
|
|
141.6
|
|
4.0%
|
Income
before tax
|
20.2
|
|
19.7
|
|
2.5%
|
|
47.9
|
|
0.6
|
|
N.M.
|
Net
income
|
14.5
|
|
17.4
|
|
-16.7%
|
|
37.1
|
|
5.9
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
investment income, after tax
|
8.0
|
|
8.1
|
|
-1.2%
|
|
31.1
|
|
31.4
|
|
-1.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Catastrophe costs, after tax (B)
|
1.9
|
|
3.1
|
|
-38.7%
|
|
28.2
|
|
55.9
|
|
-49.6%
|
|
Catastrophe losses and LAE, before tax
|
2.8
|
|
4.7
|
|
-40.4%
|
|
43.3
|
|
86.0
|
|
-49.7%
|
|
Reinsurance reinstatement premiums, before
tax
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Prior
years' reserves favorable (adverse)
|
|
|
|
|
|
|
|
|
|
|
|
|
development, pretax
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voluntary
automobile
|
$
5.3
|
|
$
1.9
|
|
178.9%
|
|
$
14.4
|
|
$
5.7
|
|
152.6%
|
|
|
Total
property
|
0.4
|
|
2.7
|
|
-85.2%
|
|
2.8
|
|
4.6
|
|
-39.1%
|
|
|
Other
property and casualty
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
5.7
|
|
4.6
|
|
23.9%
|
|
17.2
|
|
10.3
|
|
67.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
statistics:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss and
loss adjustment expense ratio
|
64.2%
|
|
65.6%
|
|
N.M.
|
|
71.3%
|
|
80.8%
|
|
N.M.
|
|
Expense
ratio
|
28.2%
|
|
26.8%
|
|
N.M.
|
|
27.0%
|
|
25.8%
|
|
N.M.
|
|
Combined
ratio
|
92.4%
|
|
92.4%
|
|
-
|
|
98.3%
|
|
106.6%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect on
the combined ratio of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Catastrophe costs (B)
|
2.0%
|
|
3.4%
|
|
N.M.
|
|
8.0%
|
|
15.7%
|
|
N.M.
|
|
|
|
Prior
years' reserve development
|
-4.1%
|
|
-3.4%
|
|
N.M.
|
|
-3.2%
|
|
-1.9%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Combined
ratio excluding the effects of catastrophe
|
|
|
|
|
|
|
|
|
|
|
|
|
|
costs and
prior years' reserve development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
("underlying combined ratio") (C)
|
94.5%
|
|
92.4%
|
|
N.M.
|
|
93.5%
|
|
92.8%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
|
See
footnote (A) on page 1 of these supplemental numerical
pages.
|
(B)
|
|
Includes
allocated loss adjustment expenses and catastrophe reinsurance
reinstatement premiums.
|
(C)
|
|
These
measures are not based on accounting principles generally accepted
in the United States ("non-GAAP").
|
|
|
|
See
footnote (B) on page 1 of these supplemental numerical
pages.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 3
-
|
|
|
HORACE
MANN EDUCATORS CORPORATION
|
Supplemental Business Segment Overview
(Unaudited)
|
(Dollars
in Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
PROPERTY & CASUALTY - continued
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional
Operating Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Automobile
and property detail:
|
|
|
|
|
|
|
|
|
|
|
|
|
Premiums
written (voluntary) (B)
|
$
135.8
|
|
$
132.1
|
|
2.8%
|
|
$
547.2
|
|
$
542.0
|
|
1.0%
|
|
|
Automobile
|
90.7
|
|
88.6
|
|
2.4%
|
|
360.3
|
|
359.9
|
|
0.1%
|
|
|
Property
|
45.1
|
|
43.5
|
|
3.7%
|
|
186.9
|
|
182.1
|
|
2.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premiums
earned (voluntary) (B)
|
136.9
|
|
135.0
|
|
1.4%
|
|
542.6
|
|
544.1
|
|
-0.3%
|
|
|
Automobile
|
90.1
|
|
89.7
|
|
0.4%
|
|
357.1
|
|
363.0
|
|
-1.6%
|
|
|
Property
|
46.8
|
|
45.3
|
|
3.3%
|
|
185.5
|
|
181.1
|
|
2.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Policies
in force (voluntary) (in thousands)
|
|
|
|
|
|
|
721
|
|
725
|
|
-0.6%
|
|
|
Automobile
|
|
|
|
|
|
|
484
|
|
486
|
|
-0.4%
|
|
|
Property
|
|
|
|
|
|
|
237
|
|
239
|
|
-0.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Policy
renewal rate (voluntary)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Automobile
(6 months)
|
|
|
|
|
|
|
91.8%
|
|
90.5%
|
|
N.M.
|
|
|
Automobile
(12 months)
|
|
|
|
|
|
|
84.7%
|
|
83.0%
|
|
N.M.
|
|
|
Property
(12 months)
|
|
|
|
|
|
|
88.1%
|
|
85.6%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voluntary
automobile operating statistics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss and
loss adjustment expense ratio
|
72.5%
|
|
78.5%
|
|
N.M.
|
|
72.3%
|
|
74.0%
|
|
N.M.
|
|
|
Expense
ratio
|
28.3%
|
|
27.4%
|
|
N.M.
|
|
27.3%
|
|
26.1%
|
|
N.M.
|
|
|
Combined
ratio
|
100.8%
|
|
105.9%
|
|
N.M.
|
|
99.6%
|
|
100.1%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect on
the combined ratio of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Catastrophe costs (C)
|
0.4%
|
|
0.3%
|
|
N.M.
|
|
1.4%
|
|
1.8%
|
|
N.M.
|
|
|
|
Prior
years' reserve development
|
-5.9%
|
|
-2.1%
|
|
N.M.
|
|
-4.0%
|
|
-1.6%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Combined
ratio excluding the effects of catastrophe
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
costs and
prior years' reserve development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
("underlying combined ratio") (D)
|
106.3%
|
|
107.7%
|
|
N.M.
|
|
102.2%
|
|
99.9%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
property operating statistics:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss and
loss adjustment expense ratio
|
47.3%
|
|
40.2%
|
|
N.M.
|
|
68.6%
|
|
94.3%
|
|
N.M.
|
|
|
Expense
ratio
|
28.1%
|
|
26.1%
|
|
N.M.
|
|
26.4%
|
|
25.4%
|
|
N.M.
|
|
|
Combined
ratio
|
75.4%
|
|
66.3%
|
|
N.M.
|
|
95.0%
|
|
119.7%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect on
the combined ratio of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Catastrophe costs (C)
|
5.1%
|
|
9.6%
|
|
N.M.
|
|
20.6%
|
|
44.0%
|
|
N.M.
|
|
|
|
Prior
years' reserve development
|
-0.8%
|
|
-5.8%
|
|
N.M.
|
|
-1.5%
|
|
-2.6%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Combined
ratio excluding the effects of catastrophe
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
costs and
prior years' reserve development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
("underlying combined ratio") (D)
|
71.1%
|
|
62.5%
|
|
N.M.
|
|
75.9%
|
|
78.3%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
|
See
footnote (A) on page 1 of these supplemental numerical
pages.
|
(B)
|
|
Amounts
are net of additional ceded premiums to reinstate the Company's
property and casualty catastrophe reinsurance
|
|
|
|
coverage,
if any, as quantified on page 3.
|
(C)
|
|
Includes
allocated loss adjustment expenses and catastrophe reinsurance
reinstatement premiums.
|
(D)
|
|
These
measures are not based on accounting principles generally accepted
in the United States ("non-GAAP").
|
|
|
|
See
footnote (B) on page 1 of these supplemental numerical
pages.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 4
-
|
|
|
HORACE
MANN EDUCATORS CORPORATION
|
Supplemental Business Segment Overview
(Unaudited)
|
(Dollars
in Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
ANNUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contract
deposits
|
$
114.7
|
|
$
115.0
|
|
-0.3%
|
|
$
417.6
|
|
$
433.9
|
|
-3.8%
|
|
Variable
|
30.0
|
|
28.0
|
|
7.1%
|
|
113.2
|
|
109.0
|
|
3.9%
|
|
Fixed
|
84.7
|
|
87.0
|
|
-2.6%
|
|
304.4
|
|
324.9
|
|
-6.3%
|
Contract
charges earned
|
5.8
|
|
4.5
|
|
28.9%
|
|
21.8
|
|
18.9
|
|
15.3%
|
Net
investment income
|
50.8
|
|
47.8
|
|
6.3%
|
|
200.8
|
|
182.8
|
|
9.8%
|
Net
interest margin (without realized investment gains and
losses)
|
19.7
|
|
18.3
|
|
7.7%
|
|
79.4
|
|
69.2
|
|
14.7%
|
Other
income
|
0.3
|
|
0.3
|
|
-
|
|
2.7
|
|
2.3
|
|
17.4%
|
Mortality
loss and other reserve changes
|
(1.0)
|
|
(0.3)
|
|
N.M.
|
|
(3.3)
|
|
(1.9)
|
|
N.M.
|
Operating
expenses (includes policy
|
|
|
|
|
|
|
|
|
|
|
|
|
acquisition expenses amortized)
|
9.2
|
|
8.4
|
|
9.5%
|
|
41.0
|
|
44.1
|
|
-7.0%
|
Income
before tax
|
15.6
|
|
14.4
|
|
8.3%
|
|
59.6
|
|
44.4
|
|
34.2%
|
Net
income
|
11.1
|
|
10.4
|
|
6.7%
|
|
40.5
|
|
30.9
|
|
31.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pretax
income increase (decrease) due to
|
|
|
|
|
|
|
|
|
|
|
|
|
evaluation
of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred
policy acquisition costs
|
$
2.5
|
|
$
2.2
|
|
13.6%
|
|
$
3.8
|
|
$
(2.5)
|
|
N.M.
|
|
|
Guaranteed
minimum death benefit reserve
|
-
|
|
0.1
|
|
-100.0%
|
|
0.2
|
|
(0.3)
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annuity
contracts in force (in thousands)
|
|
|
|
|
|
|
189
|
|
184
|
|
2.7%
|
Accumulated value on deposit / Assets under
management
|
|
|
|
|
|
|
$
4,762.5
|
|
$
4,335.5
|
|
9.8%
|
|
Variable
|
|
|
|
|
|
|
1,398.3
|
|
1,273.8
|
|
9.8%
|
|
Fixed
|
|
|
|
|
|
|
3,364.2
|
|
3,061.7
|
|
9.9%
|
Annuity
accumulated value retention - 12 months
|
|
|
|
|
|
|
|
|
|
|
|
|
Variable
accumulations
|
|
|
|
|
|
|
94.3%
|
|
93.5%
|
|
N.M.
|
|
Fixed
accumulations
|
|
|
|
|
|
|
95.4%
|
|
94.9%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIFE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premiums
and contract deposits
|
$
27.6
|
|
$
27.4
|
|
0.7%
|
|
$
99.3
|
|
$
98.6
|
|
0.7%
|
Premiums
and contract charges earned
|
26.2
|
|
25.5
|
|
2.7%
|
|
102.4
|
|
100.7
|
|
1.7%
|
Net
investment income
|
17.2
|
|
17.6
|
|
-2.3%
|
|
69.4
|
|
69.6
|
|
-0.3%
|
Income
before tax
|
8.8
|
|
8.7
|
|
1.1%
|
|
34.2
|
|
30.8
|
|
11.0%
|
Net
income
|
5.7
|
|
5.7
|
|
-
|
|
21.9
|
|
19.4
|
|
12.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pretax
income increase (decrease) due to
|
|
|
|
|
|
|
|
|
|
|
|
|
evaluation
of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred
policy acquisition costs
|
$
(0.5)
|
|
$
(0.7)
|
|
-28.6%
|
|
$
(0.8)
|
|
$
(1.2)
|
|
-33.3%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Life
policies in force (in thousands)
|
|
|
|
|
|
|
202
|
|
204
|
|
-1.0%
|
Life
insurance in force
|
|
|
|
|
|
|
$
14,632
|
|
$
14,161
|
|
3.3%
|
Lapse
ratio - 12 months
|
|
|
|
|
|
|
|
|
|
|
|
|
(Ordinary
life insurance)
|
|
|
|
|
|
|
4.2%
|
|
4.7%
|
|
N.M.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CORPORATE AND OTHER (B)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Components
of income (loss) before tax:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
realized investment gains
|
$
6.2
|
|
$
5.0
|
|
24.0%
|
|
$
27.3
|
|
$
37.7
|
|
-27.6%
|
|
Interest
expense
|
(3.5)
|
|
(3.6)
|
|
-2.8%
|
|
(14.2)
|
|
(14.0)
|
|
1.4%
|
|
Other
operating expenses, net investment income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
and other
income
|
(1.1)
|
|
(2.0)
|
|
-45.0%
|
|
(5.6)
|
|
(4.6)
|
|
21.7%
|
Income
(loss) before tax
|
1.6
|
|
(0.6)
|
|
N.M.
|
|
7.5
|
|
19.1
|
|
-60.7%
|
Net income
(loss)
|
0.6
|
|
(0.6)
|
|
N.M.
|
|
4.4
|
|
14.3
|
|
-69.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
|
See
footnote (A) on page 1 of these supplemental numerical
pages.
|
(B)
|
|
The
Corporate and Other segment includes interest expense on debt and
the impact of realized investment gains and losses
|
|
|
|
and other
corporate level items. The Company does not allocate the
impact of corporate level transactions to the insurance
|
|
|
|
segments
consistent with how management evaluates the results of those
segments.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 5
-
|
|
|
HORACE
MANN EDUCATORS CORPORATION
|
Supplemental Business Segment Overview
(Unaudited)
|
(Dollars
in Millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
|
|
December
31,
|
|
|
|
|
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
|
2012
|
|
2011
(A)
|
|
%
Change
|
INVESTMENTS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annuity
and Life
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed
maturities, at fair value (amortized
|
|
|
|
|
|
|
|
|
|
|
|
|
|
cost 2012,
$4,543.3; 2011, $4,225.1)
|
|
|
|
|
|
|
$
5,129.9
|
|
$
4,621.1
|
|
11.0%
|
|
Equity
securities, at fair value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(cost
2012, $6.6; 2011, $9.7)
|
|
|
|
|
|
|
6.5
|
|
10.7
|
|
-39.3%
|
|
Short-term
investments
|
|
|
|
|
|
|
49.3
|
|
56.7
|
|
-13.1%
|
|
Short-term
investments, securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
lending
collateral
|
|
|
|
|
|
|
-
|
|
-
|
|
-
|
|
Policy
loans
|
|
|
|
|
|
|
135.0
|
|
128.5
|
|
5.1%
|
|
Other
investments
|
|
|
|
|
|
|
53.8
|
|
-
|
|
N.M.
|
|
|
|
Total
Annuity and Life investments
|
|
|
|
|
|
|
5,374.5
|
|
4,817.0
|
|
11.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property
& Casualty
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed
maturities, at fair value (amortized
|
|
|
|
|
|
|
|
|
|
|
|
|
|
cost 2012,
$768.1; 2011, $759.3)
|
|
|
|
|
|
|
832.3
|
|
800.7
|
|
3.9%
|
|
Equity
securities, at fair value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(cost
2012, $45.8; 2011, $13.4)
|
|
|
|
|
|
|
47.0
|
|
16.1
|
|
191.9%
|
|
Short-term
investments
|
|
|
|
|
|
|
8.9
|
|
25.1
|
|
-64.5%
|
|
Short-term
investments, securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
lending
collateral
|
|
|
|
|
|
|
-
|
|
-
|
|
-
|
|
|
|
Total
Property & Casualty investments
|
|
|
|
|
|
|
888.2
|
|
841.9
|
|
5.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate
investments
|
|
|
|
|
|
|
29.4
|
|
18.6
|
|
58.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
investments
|
|
|
|
|
|
|
6,292.1
|
|
5,677.5
|
|
10.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
investment income
|
|
|
|
|
|
|
|
|
|
|
|
|
Before
tax
|
$
77.3
|
|
$
74.6
|
|
3.6%
|
|
$
306.0
|
|
$
288.3
|
|
6.1%
|
|
After
tax
|
52.0
|
|
50.4
|
|
3.2%
|
|
206.1
|
|
194.8
|
|
5.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
realized investment gains
|
|
|
|
|
|
|
|
|
|
|
|
by
investment portfolio included in the
|
|
|
|
|
|
|
|
|
|
|
|
Corporate
and Other segment income
|
|
|
|
|
|
|
|
|
|
|
|
|
Property
& Casualty
|
$
3.5
|
|
$
3.0
|
|
16.7%
|
|
$
12.2
|
|
$
12.2
|
|
-
|
|
Annuity
|
2.4
|
|
-
|
|
N.M.
|
|
10.7
|
|
12.3
|
|
-13.0%
|
|
Life
|
|
0.3
|
|
2.0
|
|
-85.0%
|
|
4.4
|
|
13.2
|
|
-66.7%
|
|
Corporate
and Other
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
Total,
before tax
|
6.2
|
|
5.0
|
|
24.0%
|
|
27.3
|
|
37.7
|
|
-27.6%
|
|
|
Total,
after tax
|
4.0
|
|
3.3
|
|
21.2%
|
|
17.6
|
|
24.4
|
|
-27.9%
|
|
|
|
Per share,
diluted
|
$
0.10
|
|
$
0.08
|
|
25.0%
|
|
$
0.43
|
|
$
0.59
|
|
-27.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N.M. - Not
meaningful.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 6
-
|
SOURCE Horace Mann Educators Corporation