XML 43 R32.htm IDEA: XBRL DOCUMENT v3.24.3

BUSINESS SEGMENTS (Tables)

9 Months Ended

Sep. 30, 2024

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,
			2024						2023						2024						2023
Revenues:
Annuity:
Insurance policy income			$	11.2					$	7.2					$	27.8					$	20.4
Net investment income			142.2						131.0						417.2						384.1
Total annuity revenues			153.4						138.2						445.0						404.5
Health:
Insurance policy income			406.9						397.8						1,208.9						1,196.3
Net investment income			75.0						74.2						224.4						222.5
Total health revenues			481.9						472.0						1,433.3						1,418.8
Life:
Insurance policy income			226.9						221.0						678.2						663.1
Net investment income			36.8						36.3						110.0						108.7
Total life revenues			263.7						257.3						788.2						771.8
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)			67.6						(54.6)						246.2						26.3
Investment income not allocated to product lines			127.1						86.2						307.0						234.3
Fee revenue and other income:
Fee revenue			29.3						27.9						111.8						108.6
Amounts netted in expenses not allocated to product lines			0.7						32.1						3.2						35.2
Total segment revenues			$	1,123.7					$	959.1					$	3,334.7					$	2,999.5

(continued on next page)

(continued from previous page)

			Three months ended												Nine months ended
			September 30,												September 30,
			2024						2023						2024						2023
Expenses:
Annuity:
Insurance policy benefits			$	(25.9)					$	9.8					$	(23.0)					$	29.1
Interest credited			65.2						53.4						184.7						152.1
Amortization and non-deferred commissions			23.0						18.0						64.1						51.9
Total annuity expenses			62.3						81.2						225.8						233.1
Health:
Insurance policy benefits			314.1						308.5						924.9						949.3
Amortization and non-deferred commissions			40.0						40.3						121.7						121.6
Total health expenses			354.1						348.8						1,046.6						1,070.9
Life:
Insurance policy benefits			143.5						140.7						432.1						430.7
Interest credited			13.3						12.1						38.2						36.4
Amortization, non-deferred commissions and advertising expense			43.6						44.7						136.9						139.6
Total life expenses			200.4						197.5						607.2						606.7
Allocated expenses			153.0						153.2						469.2						460.2
Expenses not allocated to product lines			19.2						24.6						56.0						67.1
Market value changes of options credited to fixed indexed annuity and life policyholders			67.6						(54.6)						246.2						26.3
Amounts netted in investment income not allocated to product lines:
Interest expense			60.1						45.1						162.8						122.3
Interest credited			19.9						7.2						37.5						21.6
Impact of annual option forfeitures related to fixed indexed annuity surrenders			(7.4)						(2.5)						(19.6)						(3.9)
Amortization			.7						.4						1.6						1.2
Other expenses			8.3						(2.4)						22.1						11.2
Expenses netted in fee revenue:
Commissions and other operating expenses			32.0						30.8						102.4						95.4
Total segment expenses			970.2						829.3						2,957.8						2,712.1
Pre-tax measure of profitability:
Annuity margin			91.1						57.0						219.2						171.4
Health margin			127.8						123.2						386.7						347.9
Life margin			63.3						59.8						181.0						165.1
Total insurance product margin			282.2						240.0						786.9						684.4
Allocated expenses			(153.0)						(153.2)						(469.2)						(460.2)
Income from insurance products			129.2						86.8						317.7						224.2
Fee income			(2.7)						(2.9)						9.4						13.2
Investment income not allocated to product lines			45.5						38.4						102.6						81.9
Expenses not allocated to product lines			(18.5)						7.5						(52.8)						(31.9)
Operating earnings before taxes			153.5						129.8						376.9						287.4
Income tax expense on operating income			34.3						28.5						85.6						65.2
Net operating income			$	119.2					$	101.3					$	291.3					$	222.2

Schedule of Reconciliation of Segment Revenues and Expenses to Consolidated Revenues and Expenses and Net Income (Loss)

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,
			2024						2023						2024						2023
Total segment revenues			$	1,123.7					$	959.1					$	3,334.7					$	2,999.5
Total investment gains (losses)			1.2						(29.3)						(8.2)						(79.2)
Revenues related to earnings attributable to VIEs			4.7						17.7						25.8						56.0
Consolidated revenues			1,129.6						947.5						3,352.3						2,976.3
Total segment expenses			970.2						829.3						2,957.8						2,712.1
Insurance policy benefits - fair value changes in embedded derivative liabilities			127.1						(109.4)						46.3						(94.7)
Expenses attributable to VIEs			9.5						17.8						32.1						54.0
Fair value changes related to agent deferred compensation plan			3.5						(6.8)						—						(6.8)
Other expenses			8.3						1.0						8.3						1.0
Consolidated expenses			1,118.6						731.9						3,044.5						2,665.6
Income before tax			11.0						215.6						307.8						310.7
Income tax expense			1.7						48.3						69.9						70.5
Net income			$	9.3					$	167.3					$	237.9					$	240.2

X

- 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.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-31

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-30

+ Details

Name:	us-gaap_ReconciliationOfOperatingProfitLossFromSegmentsToConsolidatedTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

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.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 25
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-25

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-22

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-30

+ Details

Name:	us-gaap_ScheduleOfSegmentReportingInformationBySegmentTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_SegmentReportingAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration