Unum Group

The Colonial Life segment includes insurance for accident, sickness, and disability products, which includes dental and vision products, life products, and cancer and critical illness products. These products are marketed to employees, on both a group and an individual basis, at the workplace through an independent contractor agent sales force and brokers.

Shown below are financial results and key performance indicators for the Colonial Life segment.

Premium income increased in the first quarter of 2026 compared to the same period of 2025 due to prior period sales and stable overall persistency. Net investment income was higher in the first quarter of 2026 compared to the same period of 2025 due to an increase in the allocation of net investment income from our corporate owned excess assets and an increase in the level of invested assets.

The benefit ratio in the first quarter of 2026 was favorable relative to the same period of 2025 primarily due to favorable benefits experience in the life and cancer and critical illness product lines.

Commissions were higher in the first quarter of 2026 relative to the same period of 2025 due to prior period sales. The deferral of acquisition costswas higher in the first quarter of 2026 relative to the same period of 2025 due to the increase in commissions and other sales-related costs. The amortization of deferred acquisition costs in the first quarter of 2026 was higher relative to the same period of 2025 due to growth in the level of the deferred asset. The other expense ratio increased in the first quarter of 2026 relative to the same period of 2025 due primarily to an increase in employee-related costs.

Sales

Commercial sector sales increased during the first quarter of 2026 compared to the same period of 2025 due to higher sales to new customers in the core market, which we define as accounts with less than 1,000 employees, partially offset by lower sales to existing customers in the core market. Public sector sales were generally consistent in the first quarter of 2026 compared to the same period of 2025.

We remain committed to providing employees and their families with simple, modern, and personal benefit solutions. By continuing to utilize our extensive distribution system of independent agents, benefit counselors and broker partnerships during 2026, we believe we will deliver business growth. We will also continue to invest in solutions and digital capabilities to expand our reach and effectiveness, which we believe will drive growth and improve productivity while enhancing the customer experience. In 2026, we will continue to bring an enhanced engagement and enrollment platform to market, which we believe will enable deeper connections with employees through the enrollment process and help us maintain stronger relationships throughout the customer lifecycle. We believe our distribution system, customer service capabilities, digital tools, and ability to serve all market sizes position us well for future growth.

In 2026, we expect growth in segment adjusted operating income for the full year with continued premium growth and stable claim experience. We continuously monitor key indicators to assess our risks and adjust our business plans accordingly.