Pan-American Life Reports 2013 Revenues And Income

Pan-American Life Insurance Group, a provider of insurance and financial services throughout the Americas, announced financial results for the full year ending Dec. 31, 2013.

In a release dated Feb. 20, the Company said revenues grew 17.5 percent to $653.7 million, while GAAP pre-tax operating earnings increased by 107 percent to close the year at $56 million. Excluding one-time acquisition-related charges in both 2012 and 2013, pre-tax operating earnings grew $16 million or 34.5 percent in 2013. Revenue gains were primarily attributable to continued strong growth both in the Latin America markets where Pan-American Life Insurance Group operates and the new markets from the acquisition of MetLife's Algico/Alico operations in the Caribbean, Panama, and Costa Rica. Net income for the year was $53 million compared to $24 million in 2012, reflecting strong operating results in all segments, investment gains and a positive variance of $13.2 million in one- time acquisition-related expenses.

"The effect of the 2012 acquisition is now showing throughout the organization and in the company's bottom line. PALIG is now operating on a greater scale, across many more countries and lines of business," said Jose Suquet, Chairman of the Board, President and CEO of Pan-American Life Insurance Group. "While we continue to solidify the foundation of the core business that is the underpinning of our financial strength and we maintain a conservative financial management and prudent risk profile, our team has been focusing on nurturing growth in new areas that promise to accelerate the momentum we built after the acquisition and will propel us to new heights."

In addition to completing the integration of the newly-acquired operations, during 2013 PALIG placed a renewed emphasis on customer service through a corporate-wide employee initiative, Service for Life, and on capturing greater productivity synergies across all regions. Several product introductions underscored PALIG's drive for product innovation in 2013, including PALIGMED, the company's proprietary international medical network. Additional product innovations include, the introduction of Pan-American Life Access, a Universal Life product; enhanced multinational and corporate benefit solutions, customized mass marketing programs; and the introduction of WorldAccess and PreferredAccess in Mexico and Trinidad. On the domestic side of the business, Pan-American Benefits Solutions, posting a growth of 7.1 percent in 2013, continues to generate creative and affordable product alternatives for companies that are seeking to comply with provisions of the healthcare reform law.

"PALIG is now in a stronger competitive position and we will move assertively to take advantage of the opportunities that the market presents us both domestically and internationally," said Suquet. "We are the preferred provider in many of the markets and segments in which we operate, and we are in a position to leverage the company's added scale, financial strength, depth of product offering and expertise to capitalize on those growth opportunities."

PALIG's financial strength and stability continue to be recognized within the industry. In 2013, Fitch Ratings reaffirmed Pan-American Life's 'A' Insurer Financial Strength rating and Stable Outlook, and Pan-American Life maintained it's A (excellent) rating from A.M. Best with a Stable Outlook.

2013 financial and sales highlights follow:

2013 Financial Highlights

-Total Assets: $3 billion

-Total Equity: $616 million

-Net Income: $53 million

-Total Revenues: $654 million

2013 Sales Highlights

-Overall sales in 2013 increased 10 percent

-Global Life showed a 11 percent increase

-International Group increased 29 percent

-Pan-American Benefits Solutions increased 7.1 percent

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