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BUSINESS SEGMENTS (Tables)

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

Schedule of Operating Information by Segment

Operating information by segment is as follows (dollars in millions):

			Three months ended												Six months ended
			June 30,												June 30,
			2021						2020						2021						2020
Revenues:
Annuity:
Insurance policy income			$	4.3					$	4.5					$	9.7					$	10.1
Net investment income			114.9						116.6						230.6						234.0
Total annuity revenues			119.2						121.1						240.3						244.1
Health:
Insurance policy income			415.4						426.5						831.9						855.5
Net investment income			71.6						70.1						143.1						140.5
Total health revenues			487.0						496.6						975.0						996.0
Life:
Insurance policy income			210.8						194.3						421.3						388.4
Net investment income			36.1						34.7						71.9						69.0
Total life revenues			246.9						229.0						493.2						457.4
Change in market values of the underlying options supporting the fixed index annuity and life products (offset by market value changes credited to policyholder balances)			76.1						50.7						118.6						(85.8)
Investment income not allocated to product lines			72.5						37.1						137.4						109.5
Fee revenue and other income:
Fee income			31.1						20.7						63.4						49.5
Amounts netted in expenses not allocated to product lines			1.8						1.7						8.6						3.5
Total segment revenues			$	1,034.6					$	956.9					$	2,036.5					$	1,774.2

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			Three months ended												Six months ended
			June 30,												June 30,
			2021						2020						2021						2020
Expenses:
Annuity:
Insurance policy benefits			$	1.3					$	(107.7)					$	7.5					$	(102.2)
Interest credited			36.9						43.6						75.6						85.6
Amortization and non-deferred commissions			15.0						61.4						33.3						77.4
Total annuity expenses			53.2						(2.7)						116.4						60.8
Health:
Insurance policy benefits			323.3						359.0						629.9						712.8
Amortization and non-deferred commissions			42.8						42.1						99.5						100.8
Total health expenses			366.1						401.1						729.4						813.6
Life:
Insurance policy benefits			149.5						147.8						313.1						279.7
Interest credited			11.0						10.9						21.6						21.2
Amortization, non-deferred commissions and advertising expense			46.7						34.2						91.7						76.1
Total life expenses			207.2						192.9						426.4						377.0
Allocated expenses			141.6						128.1						282.7						264.7
Expenses not allocated to product lines			25.6						40.2						54.4						55.8
Market value changes of options credited to fixed index annuity and life policyholders			76.1						50.7						118.6						(85.8)
Amounts netted in investment income not allocated to product lines:
Interest expense			18.1						19.4						36.3						42.1
Other expenses			6.6						9.5						10.3						1.8
Expenses netted in fee revenue:
Distribution and commission expenses			24.5						15.5						49.5						36.5
Total segment expenses			919.0						854.7						1,824.0						1,566.5
Pre-tax measure of profitability:
Annuity margin			66.0						123.8						123.9						183.3
Health margin			120.9						95.5						245.6						182.4
Life margin			39.7						36.1						66.8						80.4
Total insurance product margin			226.6						255.4						436.3						446.1
Allocated expenses			(141.6)						(128.1)						(282.7)						(264.7)
Income from insurance products			85.0						127.3						153.6						181.4
Fee income			6.6						5.2						13.9						13.0
Investment income not allocated to product lines			47.8						8.2						90.8						65.6
Expenses not allocated to product lines			(23.8)						(38.5)						(45.8)						(52.3)
Operating earnings before taxes			115.6						102.2						212.5						207.7
Income tax expense on operating income			26.5						22.8						48.2						44.0
Net operating income			$	89.1					$	79.4					$	164.3					$	163.7

Reconciliation of Segment Revenues and Expenses to Consolidated Revenues and Expenses and Net Income

A reconciliation of segment revenues and expenses to consolidated revenues and expenses and net income is as follows (dollars in millions):

			Three months ended												Six months ended
			June 30,												June 30,
			2021						2020						2021						2020
Total segment revenues			$	1,034.6					$	956.9					$	2,036.5					$	1,774.2
Net realized investment gains (losses)			31.3						43.8						28.5						(71.7)
Revenues related to earnings attributable to VIEs			7.2						8.7						14.1						19.4
Fee revenue related to transition services agreement			—						4.8						—						9.5
Consolidated revenues			1,073.1						1,014.2						2,079.1						1,731.4
Total segment expenses			919.0						854.7						1,824.0						1,566.5
Insurance policy benefits - fair value changes in embedded derivative liabilities			59.3						36.0						(49.8)						119.8
Amortization related to fair value changes in embedded derivative liabilities			(14.4)						(8.9)						12.6						(26.0)
Amortization related to net realized investment gains (losses)			1.3						.3						1.3						(3.1)
Expenses attributable to VIEs			6.3						9.4						12.6						20.4
Fair value changes related to agent deferred compensation plan			—						13.2						(13.2)						13.2
Expenses related to transition services agreement			—						4.1						—						6.2
Consolidated expenses			971.5						908.8						1,787.5						1,697.0
Income before tax			101.6						105.4						291.6						34.4
Income tax expense (benefit):
Tax expense on period income			23.6						23.4						66.2						7.6
Valuation allowance for deferred tax assets and other tax items			—						—						—						(34.0)
Net income			$	78.0					$	82.0					$	225.4					$	60.8

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- Definition

Tabular disclosure of the reconciliation of profit (loss) from reportable segments to the consolidated income (loss) before income tax expense (benefit) and discontinued operations. Includes, but is not limited to, reconciliation after income tax if income tax is allocated to the reportable segment.

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Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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