GLOBE LIFE INC.
For the period ended Jun 30, 2026. Filed Aug 5, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Aug 5, 2026
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Other Long-Term Investments
Analysis of Profitability by Segment
| Six Months Ended June 30, | ||||
|---|---|---|---|---|
| 2026 | 2025 | Change | % | |
| Life insurance underwriting margin | $708,408 | $677,338 | $31,070 | 5 |
| Health insurance underwriting margin | 193,789 | 182,778 | 11,011 | 6 |
| Excess investment income | 74,969 | 70,698 | 4,271 | 6 |
| Segment profit or (loss) | 977,166 | 930,814 | 46,352 | 5 |
| Annuity and other income | 6,229 | 3,971 | 2,258 | 57 |
| Administrative expense | (185,732) | (173,596) | (12,136) | 7 |
| Other corporate expense | (108,729) | (102,544) | (6,185) | 6 |
| Pre-tax total | 688,934 | 658,645 | 30,289 | 5 |
| Applicable taxes | (130,729) | (128,213) | (2,516) | 2 |
| Net operating income | 558,205 | 530,432 | 27,773 | 5 |
| Reconciling items, net of tax: | ||||
| Realized gains (losses) | 4,472 | (14,607) | 19,079 | |
| Other expenses | (72) | — | (72) | |
| Legal proceedings | (4,332) | (8,513) | 4,181 | |
| Net income | $558,273 | $507,312 | $50,961 | 10 |
The life insurance segment is our primary segment and is the largest contributor to earnings in each period presented. The life insurance segment underwriting margin increased $31 million compared with the prior period, driven by premium growth and lower policy obligations as a percent of premium. Excess investment income increased $4 million compared with the prior period, primarily due to higher yields on fixed maturities, commercial mortgage loans and other long-term investments. The health segment experienced favorable underwriting margin as a result of higher premiums from strong growth in Medicare Supplement sales in addition to the positive impact of higher premium rates on individual Medicare Supplement policies as a result of approved rate increases.
In 2026, the largest contributor of total underwriting margin was the life insurance segment and the primary distribution channel was American Income. The following charts represent the breakdown of total underwriting margin by operating segment and distribution channel for the six months ended June 30, 2026.
Total premium income rose 6% for the six months ended June 30, 2026 to $2.6 billion. Total net sales increased 10% to $484 million when compared with 2025. Total first-year collected premium (defined in the following section) increased 19% to $408 million for 2026, compared to $343 million in 2025.
Life insurance premium income increased 3% to $1.71 billion compared to $1.67 billion in the prior-year period. Life net sales increased 1% to $307 million for the six months ended June 30, 2026 as compared to the year-ago period. First-year collected life premium increased 2% to $234 million. Life underwriting margin, as a percent of premium, was flat at 41% for 2026. Underwriting margin increased to $708 million in 2026, compared to $677 million in 2025.
Health insurance premium income increased 14% to $854 million compared to $748 million in the prior-year period. Health net sales rose 30% to $177 million for the six months ended June 30, 2026. First-year collected health premium rose 54% to $174 million. Health underwriting margin, as a percent of premium, was 23% for 2026, a 1% decrease from 2025 as a result of increased group claims experience. Health underwriting margin increased to $194 million for the six months ended June 30, 2026, compared to $183 million in 2025.
Excess investment income, the measure of profitability of our investment segment, increased 6% during the six months ended June 30, 2026 to $75 million from $71 million in 2025. Excess investment income per common share, reflecting the impact of our share repurchase program, increased 11% to $0.94 from $0.85 when compared with the same period in 2025.
Insurance administrative expenses increased 7% primarily due to higher employee costs, which include salaries and other costs in addition to higher information technology expenses in 2026 when compared with the prior-year period. These expenses were 7.2% as a percent of premium for 2026, unchanged from 2025.
For the six months ended June 30, 2026, the Company repurchased 2.6 million shares of Globe Life Inc. common stock at a total cost of $378 million for an average share price of $146.99.
The discussions of our segments are presented in the manner we view our operations, as described in Note 12—Business Segments.
We use three measures as indicators of premium growth and sales over the near term: “annualized premium in force,” "net sales,” and “first-year collected premium.”
Annualized premium in force is defined as the premium income that would be received over the following twelve months at any given date on all active policies if those policies remain in force throughout the 12-month period.
Net sales is calculated as annualized premium issued, net of cancellations in the first 30 days after issue, except in the case of Direct to Consumer, where net sales is annualized premium issued at the time the first full premium is paid after any introductory offer period (typically one month) has expired. Management considers net sales to be a better indicator of incremental premium growth than annualized premium issued since net sales are after cancellations, as cancellations do not contribute to premium income.
First-year collected premium is defined as the premium collected during the reporting period for all policies in their first policy year. First-year collected premium takes lapses into account in the first year when lapses are more likely to occur, and thus is a useful indicator of how much new premium is expected to be added to premium income in the future. First-year collected premiums are lower than net sales over the prior 12 months because premiums are not collected on lapsed policies after the date of lapse. In addition, cancellations are not considered as lapses related to net sales and first-year collected premiums.
See further discussion of the distribution channels below for Life and Health.
LIFE INSURANCE
Life insurance is the Company's predominant segment. During 2026, life premium represented 67% of total premium and life underwriting margin represented 79% of the total underwriting margin. Additionally, investments supporting the reserves for life products produce the majority of income attributable to the investment segment.
The following table presents the summary of results of life insurance. Further discussion of the results by distribution channel is included below.
Summary of Results
| Six Months Ended June 30, · Change | ||||||
|---|---|---|---|---|---|---|
| 2026 · 2025 | ||||||
| Amount | % of Premium | Amount | % of Premium | Amount | % | |
| Premium and policy charges | $1,713,972 | 100 | $1,669,407 | 100 | $44,565 | 3 |
| Policy obligations | 1,032,809 | 60 | 1,029,111 | 62 | 3,698 | — |
| Required interest on reserves | (435,078) | (25) | (419,696) | (25) | (15,382) | 4 |
| Net policy obligations | 597,731 | 35 | 609,415 | 37 | (11,684) | (2) |
| Amortization of acquisition costs | 207,345 | 12 | 186,834 | 11 | 20,511 | 11 |
| Commission expense | 87,707 | 5 | 87,924 | 5 | (217) | — |
| Premium taxes | 36,033 | 2 | 34,693 | 2 | 1,340 | 4 |
| Non-deferred acquisition costs | 76,748 | 5 | 73,203 | 4 | 3,545 | 5 |
| Total expense | 1,005,564 | 59 | 992,069 | 59 | 13,495 | 1 |
| Insurance underwriting margin | $708,408 | 41 | $677,338 | 41 | $31,070 | 5 |
Net policy obligations decreased to 35% of premium for the six months ended June 30, 2026 reflecting improved mortality results when compared with 37% of premium in the year-ago period.
The table below summarizes life underwriting margin by distribution channel.
Underwriting Margin by Distribution Channel
| Six Months Ended June 30, | ||||||
|---|---|---|---|---|---|---|
| 2026 · 2025 · Change | ||||||
| Amount | % of Premium | Amount | % of Premium | Amount | % | |
| American Income | $422,612 | 46 | $400,702 | 45 | $21,910 | 5 |
| Direct to Consumer | 149,514 | 31 | 133,159 | 27 | 16,355 | 12 |
| Liberty National | 71,944 | 36 | 65,218 | 34 | 6,726 | 10 |
| Other(1) | 64,338 | 65 | 78,259 | 78 | (13,921) | (18) |
| Total | $708,408 | 41 | $677,338 | 41 | $31,070 | 5 |
(1) Includes a gain of $14 million related to the recapture of reinsurance for six months ended June 30, 2025.
The following table presents Globe Life's life insurance premium by distribution channel.
Premium by Distribution Channel
| Six Months Ended June 30, · Change | ||||||
|---|---|---|---|---|---|---|
| 2026 · 2025 | ||||||
| Amount | % of Total | Amount | % of Total | Amount | % | |
| American Income | $925,534 | 54 | $883,377 | 53 | $42,157 | 5 |
| Direct to Consumer | 488,443 | 28 | 491,823 | 29 | (3,380) | (1) |
| Liberty National | 200,401 | 12 | 193,445 | 12 | 6,956 | 4 |
| Other | 99,594 | 6 | 100,762 | 6 | (1,168) | (1) |
| Total | $1,713,972 | 100 | $1,669,407 | 100 | $44,565 | 3 |
Annualized life premium in force was $3.46 billion at June 30, 2026, an increase of 2% over $3.38 billion a year earlier.
An analysis of life net sales, an indicator of new business production, by distribution channel is presented below.
Net Sales by Distribution Channel
| Six Months Ended June 30, · Change | ||||||
|---|---|---|---|---|---|---|
| 2026 · 2025 | ||||||
| Amount | % of Total | Amount | % of Total | Amount | % | |
| American Income | $196,070 | 64 | $194,782 | 64 | $1,288 | 1 |
| Direct to Consumer | 53,766 | 17 | 56,271 | 19 | (2,505) | (4) |
| Liberty National | 51,489 | 17 | 47,084 | 15 | 4,405 | 9 |
| Other | 5,653 | 2 | 5,099 | 2 | 554 | 11 |
| Total | $306,978 | 100 | $303,236 | 100 | $3,742 | 1 |
First-year collected life premium by distribution channel is presented in the table below.
First-Year Collected Premium by Distribution Channel
| Six Months Ended June 30, · Change | ||||||
|---|---|---|---|---|---|---|
| 2026 · 2025 | ||||||
| Amount | % of Total | Amount | % of Total | Amount | % | |
| American Income | $158,273 | 68 | $157,171 | 68 | $1,102 | 1 |
| Direct to Consumer | 31,407 | 13 | 30,676 | 13 | 731 | 2 |
| Liberty National | 39,908 | 17 | 38,799 | 17 | 1,109 | 3 |
| Other | 4,703 | 2 | 3,900 | 2 | 803 | |
| Total | $234,291 | 100 | $230,546 | 100 | $3,745 | 2 |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.