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BUSINESS SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2023

Segment Reporting [Abstract]

Schedule of Operating Information by Segment

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

			Three months ended												Nine months ended
			September 30,												September 30,
			2023						2022						2023						2022
Revenues:
Annuity:
Insurance policy income			$	7.2					$	6.3					$	20.4					$	17.1
Net investment income			131.0						121.1						384.1						356.4
Total annuity revenues			138.2						127.4						404.5						373.5
Health:
Insurance policy income			397.8						403.5						1,196.3						1,213.7
Net investment income			74.2						73.3						222.5						219.6
Total health revenues			472.0						476.8						1,418.8						1,433.3
Life:
Insurance policy income			221.0						213.4						663.1						643.0
Net investment income			36.3						35.4						108.7						106.1
Total life revenues			257.3						248.8						771.8						749.1
Change in market values of the underlying options supporting the fixed indexed annuity and life products (offset by market value changes credited to policyholder balances)			(54.6)						(34.9)						26.3						(199.2)
Investment income not allocated to product lines			86.2						59.6						234.3						187.4
Fee revenue and other income:
Fee income			27.9						30.6						108.6						102.0
Amounts netted in expenses not allocated to product lines			32.1						1.8						35.2						28.9
Total segment revenues			$	959.1					$	910.1					$	2,999.5					$	2,675.0

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			Three months ended												Nine months ended
			September 30,												September 30,
			2023						2022						2023						2022
Expenses:
Annuity:
Insurance policy benefits			$	9.8					$	6.5					$	29.1					$	22.8
Interest credited			53.4						44.8						152.1						128.7
Amortization and non-deferred commissions			18.0						16.0						51.9						45.9
Total annuity expenses			81.2						67.3						233.1						197.4
Health:
Insurance policy benefits			308.5						310.8						949.3						943.8
Amortization and non-deferred commissions			40.3						42.7						121.6						125.5
Total health expenses			348.8						353.5						1,070.9						1,069.3
Life:
Insurance policy benefits			140.7						138.7						430.7						419.5
Interest credited			12.1						12.6						36.4						36.3
Amortization, non-deferred commissions and advertising expense			44.7						41.8						139.6						131.4
Total life expenses			197.5						193.1						606.7						587.2
Allocated expenses			153.2						150.5						460.2						447.5
Expenses not allocated to product lines			24.6						17.9						67.1						56.9
Market value changes of options credited to fixed indexed annuity and life policyholders			(54.6)						(34.9)						26.3						(199.2)
Amounts netted in investment income not allocated to product lines:
Interest expense			45.1						25.9						122.3						64.3
Interest credited			7.2						7.2						21.6						21.3
Impact of annual option forfeitures related to fixed indexed annuity surrenders			(2.5)						1.1						(3.9)						—
Amortization			.4						.3						1.2						1.1
Other expenses			(2.4)						(2.0)						11.2						(18.0)
Expenses netted in fee revenue:
Commissions and other operating expenses			30.8						29.2						95.4						87.5
Total segment expenses			829.3						809.1						2,712.1						2,315.3
Pre-tax measure of profitability:
Annuity margin			57.0						60.1						171.4						176.1
Health margin			123.2						123.3						347.9						364.0
Life margin			59.8						55.7						165.1						161.9
Total insurance product margin			240.0						239.1						684.4						702.0
Allocated expenses			(153.2)						(150.5)						(460.2)						(447.5)
Income from insurance products			86.8						88.6						224.2						254.5
Fee income			(2.9)						1.4						13.2						14.5
Investment income not allocated to product lines			38.4						27.1						81.9						118.7
Expenses not allocated to product lines			7.5						(16.1)						(31.9)						(28.0)
Operating earnings before taxes			129.8						101.0						287.4						359.7
Income tax expense on operating income			28.5						23.1						65.2						82.2
Net operating income			$	101.3					$	77.9					$	222.2					$	277.5

Schedule of 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												Nine months ended
			September 30,												September 30,
			2023						2022						2023						2022
Total segment revenues			$	959.1					$	910.1					$	2,999.5					$	2,675.0
Total investment losses			(29.3)						(17.7)						(79.2)						(99.2)
Revenues related to earnings attributable to VIEs			17.7						12.9						56.0						27.4
Consolidated revenues			947.5						905.3						2,976.3						2,603.2
Total segment expenses			829.3						809.1						2,712.1						2,315.3
Insurance policy benefits - changes in fair value of embedded derivative liabilities and market risk benefits			(109.4)						(130.6)						(94.7)						(456.6)
Expenses attributable to VIEs			17.8						11.9						54.0						26.2
Fair value changes related to agent deferred compensation plan			(6.8)						(12.0)						(6.8)						(48.7)
Other expenses			1.0						(1.0)						1.0						(1.0)
Consolidated expenses			731.9						677.4						2,665.6						1,835.2
Income before tax			215.6						227.9						310.7						768.0
Income tax expense on period income			48.3						52.0						70.5						175.4
Net income			167.3						$	175.9					$	240.2					$	592.6

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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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