Newswires
FIRST TRINITY FINANCIAL CORP – 10-Q – : Management's Discussion and Analysis of Financial Condition and Results of Operations
Overview
First Trinity Financial Corporation ("we" "us", "our", "FTFC" or the "Company") conducts operations as an insurance holding company emphasizing ordinary life insurance products and annuity contracts in niche markets. As an insurance provider, we collect premiums in the current period to pay future benefits to our policy and contract holders. Our core TLIC and FBLIC operations include issuing modified premium whole life insurance with a flexible premium deferred annuity, ordinary whole life, final expense, term and annuity products to predominately middle income households in the states ofAlabama ,Arizona ,Arkansas ,Colorado ,Georgia ,Illinois ,Indiana ,Kansas ,Kentucky ,Louisiana ,Michigan ,Mississippi ,Missouri ,Montana ,Nebraska ,New Mexico ,North Carolina ,North Dakota ,Ohio ,Oklahoma ,Pennsylvania ,South Dakota ,Tennessee ,Texas ,Utah ,Virginia andWest Virginia through independent agents. We also realize revenues from our investment portfolio, which is a key component of our operations. The revenues we collect as premiums from policyholders are invested to ensure future benefit payments under the policy contracts. Life insurance companies earn profits on the investment spread, which reflects the investment income earned on the premiums paid to the insurer between the time of receipt and the time benefits are paid out under policies. Changes in interest rates, changes in economic conditions and volatility in the capital markets can all impact the amount of earnings that we realize from our investment portfolio. Acquisitions The Company expects to facilitate growth through acquisitions of other life insurance companies and/or blocks of life insurance and annuity business. In lateDecember 2008 , the Company completed its acquisition of 100% of the outstanding stock of FLAC for$2,500,000 and had additional acquisition related expenses of$195,234 .
In late
outstanding stock of FBLIC for
OnApril 28, 2015 , the Company acquired a block of life insurance policies and annuity contracts according to the terms of an assumption reinsurance agreement and assumed liabilities of$3,055,916 .
In 2019, FTFC's acquisition of TAI for
West Indies regulators.
EffectiveJanuary 1, 2020 , the Company acquired 100% of the outstanding common stock ofK-TENN Insurance Company ("K-TENN") from its sole shareholder in exchange for 168,866 shares of FTFC's common stock. The aggregate purchase price of K-TENN was$1,746,240 . OnJanuary 4, 2022 , FTFC acquiredRoyalty Capital Life Insurance Company ("RCLIC") fromRoyalty Capital Corporation ("Royalty") in exchange for 722,644 shares of FTFC's Class A common stock issued to unrelated parties. Royalty was dissolved immediately after FTFC acquired RCLIC. OnMarch 1, 2022 , theMissouri Department of Commerce and Insurance approved FTFC's contribution and merger of RCLIC into FBLIC.
Critical Accounting Policies and Estimates
The discussion and analysis of our financial condition, results of operations and liquidity and capital resources is based on our consolidated financial statements that have been prepared in accordance withU.S. GAAP. Preparation of these financial statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses. We evaluate our estimates and assumptions continually, including those related to investments, deferred acquisition costs, allowance for loan losses from mortgages, value of insurance business acquired, policy liabilities, regulatory requirements, contingencies and litigation. We base our estimates on historical experience and on various other factors and assumptions that we believe are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. 32 -------------------------------------------------------------------------------- For a description of the Company's critical accounting policies and estimates, please refer to "Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies and Estimates" in the Company's Annual Report on Form 10-K for the year endedDecember 31, 2021 . The Company considers its most critical accounting estimates to be those applied to investments in fixed maturities securities, mortgage loans on real estate, deferred policy acquisition costs, value of insurance business acquired and future policy benefits. There have been no material changes to the Company's critical accounting policies and estimates sinceDecember 31, 2021 .
Recent Accounting Pronouncements
Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial
Instruments
InJune 2016 , the FASB issued updated guidance (Accounting Standards Update 2016-13) for the accounting for credit losses for financial instruments. The updated guidance applies a new credit loss model (current expected credit losses or CECL) for determining credit-related impairments for financial instruments measured at amortized cost (e.g. reinsurance recoverables, including structured settlements that are recorded as part of reinsurance recoverables) and requires an entity to estimate the credit losses expected over the life of an exposure or pool of exposures. The estimate of expected credit losses should consider historical information, current information, as well as reasonable and supportable forecasts, including estimates of prepayments. The expected credit losses, and subsequent adjustments to such losses, will be recorded through an allowance account that is deducted from the amortized cost basis of the financial asset, with the net carrying value of the financial asset presented on the consolidated balance sheet at the amount expected to be collected. The updated guidance also amends the current other-than-temporary impairment model for available-for-sale debt securities by requiring the recognition of impairments relating to credit losses through an allowance account and limits the amount of credit loss to the difference between a security's amortized cost basis and its fair value. In addition, the length of time a security has been in an unrealized loss position will no longer impact the determination of whether a credit loss exists.
The updated guidance was effective for reporting periods beginning after
recently changed and the delayed effective date is now for reporting periods
beginning after
Early adoption is permitted for reporting periods beginning afterDecember 15, 2018 . Based on the financial instruments currently held by the Company, there would not be a material effect on the Company's results of operations, financial position or liquidity if the new guidance had been adopted in the current accounting period. The impact on the Company's results of operations, financial position or liquidity at the date of adoption of the updated guidance will be determined by the financial instruments held by the Company and the economic conditions at that time.
Intangibles -
InJanuary 2017 , the FASB issued updated guidance (Accounting Standards Update 2017-04) that eliminates the requirement to calculate the implied fair value of goodwill (i.e., Step 2 of the current goodwill impairment test) to measure a goodwill impairment charge. Instead, entities will record an impairment charge by comparing a reporting unit's fair value with its carrying amount and recognizing an impairment charge for the excess of the carrying amount over estimated fair value (i.e., Step 1 of current guidance). The implied fair value of goodwill is currently determined in Step 2 by deducting the fair value of all assets and liabilities of the reporting unit (determined in the same manner as a business combination) from the reporting unit's fair value as determined in Step 1 (including any corporate-level assets or liabilities that were included in the determination of the carrying amount and fair value of the reporting unit in Step 1). The updated guidance requires an entity to perform its annual, or interim, impairment test by either: (1) an initial qualitative assessment of factors (such as changes in management, key personnel, strategy, key technology or customers) that may impact a reporting unit's fair value and lead to the determination that it is more likely than not that the reporting unit's fair value is less than its carrying value, including goodwill (consistent with current guidance), or (2) applying Step 1. 33 -------------------------------------------------------------------------------- The Company adopted this guidance in first quarter 2020. The adoption of this guidance did not have a material effect on the Company's results of operations, financial position or liquidity.
Targeted Improvements to the Accounting for Long-Duration Contracts
InAugust 2018 , the FASB issued updated guidance (Accounting Standards Update 2018-12) to the existing recognition, measurement, presentation and disclosure requirements for long-duration contracts issued by an insurance entity. This update improves the timeliness of recognizing changes in the liability for future policy benefits, modifies the rate used to discount future cash flows, simplifies and improves accounting for certain market-based options or guarantees associated with deposit (i.e., account balance) contracts, simplifies the amortization of deferred acquisitions costs and expands required disclosures. The expanded disclosure requires an insurance entity to provide disaggregated roll forwards of beginning to ending balances of the following: liability for future policy benefits, policyholder account balances, market risk benefits, separate account liabilities and deferred acquisition costs including disclosure about, changes to and effect of changes for significant inputs, judgments, assumptions and methods used in measurements. The updated guidance was effective for reporting periods beginning afterDecember 15, 2020 . As aSmaller Reporting Company , the effective date has been changed twice and the delayed effective date is now for reporting periods beginning afterDecember 15, 2024 . Early adoption is permitted but not elected by the Company. With respect to the liability for future policyholder benefits for traditional and limited-payment contracts and deferred acquisition costs, an insurance entity may elect to apply the amendments retrospectively as of the beginning of the earliest period presented. With respect to the market risk benefits, an insurance entity should apply the amendments retrospectively as of the beginning of the earliest period presented. The Company expects that the impact on the Company's results of operations, financial position and liquidity at the date of adoption of the updated guidance in 2024 will be determined by the long-duration contracts then held by the Company and the economic conditions at that time.
Disclosure Framework - Changes to the Disclosure Requirements for Fair Value
Measurement
In
to modify the disclosure requirements related to fair value measurements
including the consideration of costs and benefits of producing the modified
disclosures.
The Company adopted this guidance in first quarter 2020. The adoption of this guidance did not have a material effect on the Company's results of operations, financial position or liquidity.
Income Taxes - Simplifying the Accounting for Income Taxes
InDecember 2019 , the FASB issued updated guidance (Accounting Standards Update 2019-12) for the accounting for income taxes. The updated guidance is intended to simplify the accounting for income taxes by removing several exceptions contained in existing guidance and amending other existing guidance to simplify several other income tax accounting matters. The Company adopted this guidance in first quarter 2021. The adoption of this guidance did not have a material effect on the Company's results of operations, financial position or liquidity.
Troubled Debt Restructurings and Vintage Disclosures
InMarch 2022 , the FASB issued amendments (Accounting Standards Update 2022-2) for the accounting of troubled debt restructuring and disclosures. The amendments introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulties. The amendments promulgate that an entity must apply specific loam refinancing and restructuring guidance to determine whether a modification results in a new loan or the continuation of an existing loan. The amendments also require that an entity disclose current-period gross writeoffs by year of origination for financing receivables and net investment in leases. The amendments in this guidance are effective for fiscal years beginning afterDecember 15, 2022 , including interim periods and should be applied prospectively. The adoption of his guidance should not have a material effect on the Company's results of operations, financial position or liquidity. 34 --------------------------------------------------------------------------------
Business Segments FASB guidance requires a "management approach" in the presentation of business segments based on how management internally evaluates the operating performance of business units. The discussion of segment operating results that follows is being provided based on segment data prepared in accordance with this methodology.
Our business segments are as follows:
? Life insurance operations, consisting of the life insurance operations of
TLIC, FBLIC and TAI;
? Annuity operations, consisting of the annuity operations of TLIC, FBLIC and
TAI and
? Corporate operations, which includes the results of the parent company and TMC
after the elimination of intercompany amounts. Please see below and Note 4 to the Consolidated Financial Statements for the three months endedMarch 31, 2022 and 2021 and as ofMarch 31, 2022 andDecember 31, 2021 for additional information regarding segment information.
The following is a discussion and analysis of our financial condition, results
of operations and liquidity and capital resources.
FINANCIAL HIGHLIGHTS Consolidated Condensed Results of Operations for the Three Months EndedMarch 31, 2022 and 2021 (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Premiums$ 8,228,782 $ 6,979,876 $ 1,248,906 Net investment income 6,448,995 6,148,842 300,153 Net realized investment gains 1,237,806 52,095 1,185,711 Service fees 57,540 97,987 (40,447 ) Other income 58,497 13,774 44,723 Total revenues 16,031,620 13,292,574 2,739,046 Benefits and claims 10,789,536 9,219,254 1,570,282 Expenses 4,112,525 4,592,764 (480,239 ) Total benefits, claims and expenses 14,902,061 13,812,018 1,090,043 Income (loss) before federal income tax expense (benefit) 1,129,559 (519,444 ) 1,649,003 Federal income tax expense (benefit) 217,024 (58,792 ) 275,816 Net income (loss)$ 912,535 $ (460,652 ) $ 1,373,187 Net income (loss) per common share basic and duluted Class A common stock$ 0.0964 $ (0.0527 ) $ 0.1491 Class B common stock$ 0.0819 $ (0.0448 ) $ 0.1267 35
-------------------------------------------------------------------------------- Consolidated Condensed Financial Position as ofMarch 31, 2022 andDecember 31, 2021 (Unaudited) Amount Change March 31, 2022 December 31, 2021 2022 to 2021 Investment assets$ 429,477,295 $ 434,120,334 $ (4,643,039 ) Assets held in trust under coinsurance agreement 101,327,251 106,210,246 (4,882,995 ) Other assets 120,202,729 119,428,354 774,375 Total assets$ 651,007,275 $ 659,758,934 $ (8,751,659 ) Policy liabilities$ 474,931,540 $ 464,853,615 $ 10,077,925 Funds withheld under coinsurance agreement 101,508,074 106,586,633 (5,078,559 ) Deferred federal income taxes 5,694,754 8,966,303 (3,271,549 ) Other liabilities 8,061,627 10,957,832 (2,896,205 ) Total liabilities 590,195,995 591,364,383 (1,168,388 ) Shareholders' equity 60,811,280 68,394,551 (7,583,271 ) Total liabilities and shareholders' equity$ 651,007,275 $ 659,758,934 $ (8,751,659 ) Shareholders' equity per common share Class A common stock $ 6.4213 $ 7.8186$ (1.3973 ) Class B common stock $ 5.4581 $ 6.6458$ (1.1877 )
Results of Operations - Three Months Ended
Revenues Our primary sources of revenue are life insurance premium income and investment income. Premium payments are classified as first-year, renewal and single. In addition, realized gains on investment holdings can significantly impact revenues from period to period. Our revenues for the three months endedMarch 31, 2022 and 2021 are summarized as follows: (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Premiums$ 8,228,782 $ 6,979,876 $ 1,248,906 Net investment income 6,448,995 6,148,842 300,153 Net realized investment gains 1,237,806 52,095 1,185,711 Service fees 57,540 97,987 (40,447 ) Other income 58,497 13,774 44,723 Total revenues$ 16,031,620 $ 13,292,574 $ 2,739,046
The
2022
36
--------------------------------------------------------------------------------
Premiums Our premiums for the three months endedMarch 31, 2022 and 2021 are summarized as follows: (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Ordinary life first year$ 458,139 $ 305,591 $ 152,548 Ordinary life renewal 899,975 798,234 101,741 Final expense first year 1,236,375 1,425,313 (188,938 ) Final expense renewal 5,634,293 4,450,738 1,183,555 Total premiums$ 8,228,782 $ 6,979,876 $ 1,248,906 The$1,248,906 increase in premiums for the three months endedMarch 31, 2022 is primarily due to a$1,183,555 increase in final expense renewal premiums,$152,548 increase in ordinary life first year premiums and a$101,741 increase in ordinary life renewal premiums that exceeded a$188,938 decrease in final expense first year premiums. The increase in final expense renewal premiums reflects the persistency of prior years' final expense production. The increase in ordinary life renewal premiums and ordinary life first year premiums primarily reflects ordinary dollar denominated life insurance policies sold in the international market by TAI. The decrease in final expense first year premiums reflects tightening of underwriting guidelines. Net Investment Income
The major components of our net investment income for the three months ended
(Unaudited)
Three Months Ended March 31, Amount Change
2022 2021 2022 less 2021
Fixed maturity
securities $ 1,935,754 $ 1,695,894 $ 239,860
Preferred stock and
equity securities 65,073 16,999 48,074
Other long-term
investments 1,311,694 1,282,894 28,800
Mortgage loans 3,778,025 3,748,232 29,793
Policy loans 43,322 38,618 4,704
Short-term and other
investments 21,272 9,295 11,977
Gross investment
income 7,155,140 6,791,932 363,208
Investment expenses (706,145 ) (643,090 ) 63,055
Net investment
income $ 6,448,995 $ 6,148,842 $ 300,153
The $363,208 increase in gross investment income for the three months ended
March 31, 2022 is primarily due to the increased investments in fixed maturity
securities held during most of 2022 but sold during March 2022 to acquire higher
yielding investments.
37
--------------------------------------------------------------------------------
Net Realized Investment Gains (Losses)
Our net realized investment gains result from sales of fixed maturity securities available-for-sale, investment real estate, equity securities and changes in fair value of equity securities. Our net realized investment gains for the three months endedMarch 31, 2022 and 2021 are summarized as follows: (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Fixed maturity securities available-for-sale: Sale proceeds / maturities$ 30,949,960 $ 2,419,079 $ 28,530,881 Amortized cost at sale date 29,725,885 2,381,428 27,344,457 Net realized gains$ 1,224,075 $ 37,651 $ 1,186,424 Investment real estate: Sales proceeds $ 49,371 $ -$ 49,371 Cost at sale date 53,067 - 53,067 Net realized loss $ (3,696 ) $ -$ (3,696 ) Equity securities at fair value: Sales proceeds $ - $ 88 $ (88 ) Cost at sale date 8,000 (1 ) 8,001 Net realized gains $ (8,000 ) $ 89$ (8,089 ) Equity securities, changes in fair value $ 25,427$ 14,355 $ 11,072 Net realized investment gains$ 1,237,806 $ 52,095 $ 1,185,711 Service Fees
The
is primarily due to a decrease in fees from
brokering mortgage loans for a fee to third parties.
38 --------------------------------------------------------------------------------
Total Benefits, Claims and Expenses
Our benefits, claims and expenses are primarily generated from benefit payments, surrenders, interest credited to policyholders, change in reserves, commissions and other underwriting, insurance and acquisition expenses. Benefit payments can significantly impact expenses from period to period.
Our benefits, claims and expenses for the three months ended
2021 are summarized as follows:
(Unaudited)
Three Months Ended March 31, Amount Change
2022 2021 2022 less 2021
Benefits and
claims
Increase in
future policy
benefits $ 3,214,973 $ 2,156,185 $ 1,058,788
Death benefits 4,006,240 3,523,718 482,522
Surrenders 315,390 348,906 (33,516 )
Interest
credited to
policyholders 3,176,136 3,118,535 57,601
Dividend,
endowment and
supplementary
life contract
benefits 76,797 71,910 4,887
Total benefits
and claims 10,789,536 9,219,254 1,570,282
Expenses
Policy
acquisition
costs deferred (2,852,880 ) (2,829,473 ) (23,407 )
Amortization
of deferred
policy
acquisition
costs 1,368,983 1,789,823 (420,840 )
Amortization
of value of
insurance
business
acquired 72,209 75,169 (2,960 )
Commissions 2,661,129 2,872,583 (211,454 )
Other
underwriting,
insurance and
acquisition
expenses 2,863,084 2,684,662 178,422
Total expenses 4,112,525 4,592,764 (480,239 )
Total
benefits,
claims and
expenses $ 14,902,061 $ 13,812,018 $ 1,090,043
The
months ended
Benefits and Claims
The
31, 2022
?
increased number of life policies in force and the aging of existing life
policies. ?$482,522 increase in death benefits is primarily due to increased final expense death benefits.
Deferral and Amortization of Deferred Acquisition Costs
Certain costs related to the successful acquisition of traditional life
insurance policies are capitalized and amortized over the premium-paying period
of the policies. Certain costs related to the successful acquisition of
insurance and annuity policies that subject us to mortality or morbidity risk
over a period that extends beyond the period or periods in which premiums are
collected and that have terms that are fixed and guaranteed (i.e.,
limited-payment long-duration annuity contracts) are capitalized and amortized
in relation to the present value of actual and expected gross profits on the
policies.
39
-------------------------------------------------------------------------------- These acquisition costs, which are referred to as deferred policy acquisition costs, include commissions and other successful costs of acquiring policies and contracts, which vary with, and are primarily related to, the successful production of new and renewal life insurance policies and annuity contracts.
For the three months ended
acquisition costs for the three months ended
There was a$420,840 decrease in the 2022 amortization of deferred acquisition costs is primarily due to contacts and polices no longer insured having minimal deferred cost.
Amortization of Value of Insurance Business Acquired
The cost of acquiring insurance business is amortized over the emerging profit of the related policies using the same assumptions that were used in computing liabilities for future policy benefits. Amortization of the value of insurance business acquired was$72,209 and$75,169 for the three months endedMarch 31, 2022 and 2021, respectively. Commissions Our commissions for the three months endedMarch 31, 2022 and 2021 are summarized as follows: (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Annuity$ 59,469 $ 344,706 $ (285,237 ) Ordinary life first year 492,800 330,720 162,080 Ordinary life renewal 89,929 69,813 20,116 Final expense first year 1,474,665 1,701,441 (226,776 ) Final expense renewal 544,266 425,903 118,363 Total commissions$ 2,661,129 $ 2,872,583 $ (211,454 ) The$211,454 decrease in commissions for the three months endedMarch 31, 2022 is primarily due to a$285,237 decrease annuity commissions (corresponding to$5,436,865 of decrease annuity deposits retained) and a$226,776 decrease in final expense first year commissions (corresponding to$188,938 decreased final expense first year premiums) that exceed a$162,080 increase in ordinary life first year commissions (corresponding to$152,548 increased ordinary life first year premiums) and a$118,363 increase in final expense renewal commissions (corresponding to$1,183,555 increased final expense renewal premiums) .
Other Underwriting, Insurance and Acquisition Expenses
There was a$178,422 increase in other underwriting, insurance and acquisition expenses for the three months endedMarch 31, 2022 is due to increased legal cost. Federal Income Taxes FTFC filed its 2020 consolidated federal income tax return with TLIC, FBLIC and TMC. Certain items included in income reported for financial statement purposes are not included in taxable income for the current period, resulting in deferred income taxes. For the three months endedMarch 31, 2022 , current federal income tax expense was$8,270 . For the three months endedMarch 31, 2022 and 2021, deferred federal income tax expense (benefit) was$208,754 and ($58,792 ), respectively. 40 --------------------------------------------------------------------------------
Net Income (Loss) Per Common Share Basic and Diluted
For the three months endedMarch 31, 2022 , the net income allocated to the Class B shareholders is the total net income multiplied by the right to receive dividends at 85% for Class B shares (85,937) as of the reporting date divided by the allocated total shares (9,470,277) of Class A shares (9,384,340) and Class B shares (85,937) as of the reporting date. For the three months endedMarch 31, 2021 , the net income allocated to the Class B shareholders is the total net income multiplied by the right to receive dividends at 85% for Class B shares (85,937) as of the reporting date divided by the allocated total shares (8,747,633) of Class A shares (8,661,696) and Class B shares (85,937) as of the reporting date. For the three months endedMarch 31, 2022 , the net income allocated to the Class A shareholders of$904,254 is the total net income$912,535 less the net income allocated to the Class B shareholders$8,281 . For the three months endedMarch 31, 2021 , the net loss allocated to the Class A shareholders$456,127 is the total net loss$460,652 less the net loss allocated to the Class B shareholders$4,525 .
The weighted average outstanding common shares basic for the three months ended
respectively and 101,102 for Class B shares.
Business Segments
The Company has a life insurance segment, consisting of the life insurance
operations of TLIC, FBLIC and TAI, an annuity segment, consisting of the annuity
operations of TLIC, FBLIC and TAI and a corporate segment. Results for the
parent company and the operations of TMC, after elimination of intercompany
amounts, are allocated to the corporate segment.
The revenues and income before federal income taxes from our business segments for the three months endedMarch 31, 2022 and 2021 are summarized as follows: (Unaudited) Three Months Ended March 31, Amount Change 2022 2021 2022 less 2021 Revenues: Life insurance operations$ 9,948,321 $ 8,036,885 $ 1,911,436 Annuity operations 5,905,263 5,041,530 863,733 Corporate operations 178,036 214,159 (36,123 ) Total$ 16,031,620 $ 13,292,574 $ 2,739,046 Income before federal income taxes: Life insurance operations$ (80,665 ) $ (623,469 ) $ 542,804 Annuity operations 1,075,636 205,990 869,646 Corporate operations 134,588 (101,965 ) 236,553 Total$ 1,129,559 $ (519,444 ) $ 1,649,003 41
-------------------------------------------------------------------------------- The increases and decreases of revenues and profitability from our business segments for the three months endedMarch 31, 2022 and 2021 are summarized as follows: Life Insurance Annuity Corporate Operations Operations Operations Total Revenues Premiums$ 1,248,906 $ - $ -$ 1,248,906 Net investment income 341,936 (65,927 ) 24,144 300,153 Net realized investment gains (losses) 255,777 937,934 (8,000 ) 1,185,711 Service fees and other income 64,817 (8,274 ) (52,267 ) 4,276 Total revenue 1,911,436 863,733 (36,123 ) 2,739,046 Benefits and claims Increase in future policy benefits 1,058,788 - - 1,058,788 Death benefits 482,522 - - 482,522 Surrenders (33,516 ) - - (33,516 ) Interest credited to policyholders - 57,601 - 57,601 Dividend, endowment and supplementary life contract benefits 4,887 - - 4,887 Total benefits and claims 1,512,681 57,601 - 1,570,282 Expenses Policy acquisition costs deferred net of amortization (484,722 ) 40,475 - (444,247 ) Amortization of value of insurance business acquired (1,481 ) (1,479 ) - (2,960 ) Commissions 73,783 (285,237 ) - (211,454 ) Other underwriting, insurance and acquisition expenses 268,371 182,727 (272,676 ) 178,422 Total expenses (144,049 ) (63,514 ) (272,676 ) (480,239 ) Total benefits, claims and expenses 1,368,632 (5,913 ) (272,676 ) 1,090,043 Income (loss) before federal income taxes (benefits)$ 542,804 $ 869,646 $
236,553
AM Best Affirms Credit Ratings of Nectaris Re Ltd.
Global Travel Insurance Sourcing and Procurement Market to Witness Nearly USD 5.67 Billion Growth by 2026| SpendEdge
Advisor News
- CFP Board announces CEO leadership transition
- State Street study looks at why AUM in model portfolios is increasing
- Supreme Court to look at ERISA rules in upcoming Cornell case
- FPA announces passing of CEO, succession plan
- Study: Do most affluent investors prefer a single financial services provider?
More Advisor NewsAnnuity News
Health/Employee Benefits News
- Sanders' maternal health plan would make it easier to get Medicaid — but not to keep it
- Anti-LGBTQ+ policies harm the health of not only LGBTQ+ people, but all Americans
- New behavioral health clinic focusing on rural communities opens doors in Mankato
- Nebraska senators Brian Hardin, Mike Jacobson pitch Unicam bills on federal help for rural health care
- Jacobson, Hardin pitch Unicam bills on help for rural health care
More Health/Employee Benefits NewsLife Insurance News
- AM Best Revises Outlooks to Stable for Lincoln National Corporation and Most of Its Subsidiaries
- Aflac Northern Ireland: Helping Children, Caregivers and the Community
- AM Best Affirms Credit Ratings of Well Link Life Insurance Company Limited
- Top 8 trends that will impact insurance in 2025
- 59% of insurance sector breaches caused by third-party attacks.
More Life Insurance News