XML 82 R50.htm IDEA: XBRL DOCUMENT v3.20.4
Share-Based Payments (Tables)
12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]  
Schedule Of Share-Based Compensation Plan Approval
PlanApprovals
Stock PlanApproved effective as of May 1, 2014 by stockholders on April 23, 2014.
Most recently amended and restated plan was approved effective May 2, 2018 by stockholders on May 2, 2018.
Cash PlanApproved effective April 1, 2005 by stockholders on April 27, 2005.
Most recently amended and restated plan was approved effective May 1, 2014 by stockholders on April 23, 2014.
ESPPApproved by stockholders on April 29, 2009 effective July 1, 2009.
Agent PlanApproved by stockholders on April 26, 2006.
Most recently amended, effective November 1, 2020, by the Salary and Employee Benefits Committee of the Parent's Board on October 26, 2020.
Schedule of Types of Share-Based Payments Issued
PlanTypes of Share-Based Payments Issued
Stock PlanQualified and nonqualified stock options, stock appreciation rights ("SARs"), restricted stock, restricted stock units ("RSUs"), stock grants, and other awards valued in whole or in part by reference to the Parent's common stock. The maximum exercise period for an option grant under this plan is 10 years from the date of the grant. Dividend equivalent units ("DEUs") are earned during the vesting period on RSU grants. The DEUs are reinvested in the Parent's common stock at fair value on each dividend payment date. The requisite service period for grants to employees under this plan is the lesser of: (i) the stated vested date, which is typically three years from issuance; or (ii) the date the employee becomes eligible to retire.
Cash PlanCash incentive units (“CIUs”). The initial dollar value of each CIU will be adjusted to reflect the percentage increase or decrease in the total shareholder return on the Parent's common stock over a specified performance period. In addition, for certain grants, the number of CIUs granted will be increased or decreased to reflect our performance on specified performance indicators compared to targeted peer companies. The requisite service period for grants under this plan is the lesser of: (i) the stated vested date, which is typically three years from issuance; or (ii) the date the employee becomes eligible to retire.
ESPPEnables employees to purchase shares of the Parent’s common stock. The purchase price is the lower of: (i) 85% of the closing market price at the time the option is granted; or (ii) 85% of the closing price at the time the option is exercised. Shares are generally issued on June 30 and December 31 of each year.
Agent PlanQuarterly offerings to purchase the Parent's common stock at a 10% discount with a one-year restricted period during which the shares purchased cannot be sold or transferred. Only our independent retail insurance agencies and wholesale general agencies, and certain eligible persons associated with the agencies, are eligible to participate in this plan.
Schedule of Share-Based Compensation Shares Authorized and Available for Issuance
As of December 31, 2020AuthorizedAvailable for IssuanceAwards Outstanding
Stock Plan4,750,000 2,959,819 686,325 
ESPP1,500,000 257,088 — 
Agent Plan3,000,000 1,659,233 — 
Schedule of Share-Based Compensation Retired Plans
December 31, 2020Types of Share-Based Payments IssuedReserve Shares
Awards Outstanding1
Plan
2005 Omnibus Stock Plan ("2005 Stock Plan")Qualified and nonqualified stock options, SARs, restricted stock, RSUs, phantom stock, stock bonuses, and other awards in such amounts and with such terms and conditions as it determined, subject to the provisions of the 2005 Stock Plan. The maximum exercise period for an option grant under this plan is 10 years from the date of the grant. DEUs are earned during the vesting period on RSU grants. The DEUs are reinvested in the Parent's common stock at fair value on each dividend payment date.1,958,306 32,906 
Parent's Stock Compensation Plan for Non-employee Directors ("Directors Stock Compensation Plan")Directors could elect to receive a portion of their annual compensation in shares of the Parent's common stock.44,468 44,468 
1Awards outstanding under the 2005 Stock Plan represent shares deferred by our non-employee directors.
Schedule of Summary of Restricted Stock Units Transactions under Share-Based Payment Plans
Number
of Shares
Weighted
Average
Grant Date
Fair Value
Unvested RSU awards at December 31, 2019746,725 $53.48 
Granted in 2020247,680 62.91 
Vested in 2020(311,951)44.50 
Forfeited in 2020(14,780)60.30 
Unvested RSU awards at December 31, 2020667,674 $61.02 
Schedule of Summary of Stock Option Transactions under Share Based Payment Plans
Number
of Shares
Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Life in Years
Aggregate
Intrinsic Value
($ in thousands)
Outstanding at December 31, 201926,823 $16.71   
Granted in 2020— —   
Exercised in 202026,823 16.71   
Forfeited or expired in 2020— —   
Outstanding at December 31, 2020— $— 0.00$— 
Exercisable at December 31, 2020— $— 0.00$— 
Schedule of Share-Based Compensation ESPP and ASPP Shares Granted
202020192018
ESPP Issuances99,141 72,952 70,448 
Agent Plan Issuances69,238 47,888 41,134 
Schedule of Weighted Average Assumptions for Employee Stock Purchase Plan
 ESPP
 202020192018
Risk-free interest rate0.76 %2.33 1.88 
Expected term6 months6 months6 months
Dividend yield1.6 %1.2 1.3 
Expected volatility37 %26 18 
Schedule of Weighted-Average Fair Value of Options and Stock Per Share
 202020192018
RSUs$62.91 63.60 55.96 
ESPP:  
Six month option4.82 4.32 2.67 
Discount of grant date market value8.61 9.99 8.50 
Total ESPP13.43 14.31 11.17 
Agent Plan:   
Discount of grant date market value5.73 7.00 5.99 
Schedule of Compensation Cost for Share-based Payment Arrangements
($ in millions)202020192018
Share-based compensation expense, pre-tax$19.8 24.5 19.3 
Income tax benefit, including the benefit related to stock grants that vested during the year(5.7)(8.2)(7.0)
Share-based compensation expense, after-tax$14.1 16.3 12.3