HORACE MANN EDUCATORS CORP /DE/
For the period ended Mar 31, 2025. Filed May 6, 2025.
View on SEC.govAbout this filing
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.
Mar 31, 2025 · Filed May 6, 2025
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Supplemental & Group Benefits
The Supplemental & Group Benefits segment markets group solutions for districts and other public employers, as well as individual supplemental products typically distributed through the employer channel. The Supplemental & Group Benefits segment provides group term life, disability and specialty health insurance, along with supplemental products including cancer, heart, hospital, supplemental disability and accident coverages. The Supplemental & Group Benefits segment represented 18% of total revenues in 2024.
Higher net investment income related to higher limited partnership returns
Higher benefits ratio for group benefits
Improved other income related to group benefits indemnification agreement
| Horace Mann Educators Corporation | 44 | First Quarter 2025 Form 10-Q |
|---|
The following table provides certain information for Supplemental & Group Benefits for the periods indicated.
| ($ in millions) | Three Months EndedMarch 31, | 2025-2024 | |||
|---|---|---|---|---|---|
| 2025 · 2024 · % Change | |||||
| Supplemental & Group Benefits | |||||
| Revenues | |||||
| Net premiums and contract charges earned | $67.1 | $64.2 | 4.5% | ||
| Net investment income | 9.4 | 7.8 | 20.5% | ||
| Other income | (1.1) | (3.0) | 63.3% | ||
| Total revenues | 75.4 | 69.0 | 9.3% | ||
| Benefits and Expenses | |||||
| Benefits, settlement expenses and change in reserves | 28.1 | 22.8 | 23.2% | ||
| Operating expenses (including DAC amortization expense) | 29.5 | 28.6 | 3.1% | ||
| Intangible asset amortization expense | 3.5 | 3.6 | -2.8% | ||
| Total benefits and expenses | 61.1 | 55.0 | 11.1% | ||
| Income before income taxes | 14.3 | 14.0 | 2.1% | ||
| Income tax expense | 3.1 | 3.0 | 3.3% | ||
| Net income | 11.2 | 11.0 | 1.8% | ||
| Core earnings* | 14.0 | 13.8 | 1.4% | ||
| Benefits ratio | 41.8% | 35.6% | 6.2 | pts | |
| Operating expense ratio | 39.1% | 41.5% | -2.4 | pts | |
| Pretax profit margin | 23.7% | 20.2% | 3.5 | pts | |
| Individual supplemental products benefits ratio | 28.4% | 31.1% | -2.7 | pts | |
| Individual supplemental premium persistency (rolling beginning 12 months) | 90.0% | 91.5% | -1.5 | pts | |
| Group benefits products benefits ratio | 53.3% | 39.6% | 13.7 | pts | |
| Group benefits covered lives (in thousands) | 839 | 836 | 0.4% | ||
Supplemental & Group Benefits segment net income for the three months ended March 31, 2025, of $11.2 million was up $0.2 million. The individual supplemental benefits ratio decreased 2.7 point due to lower utilization. The group benefits benefit ratio increased 13.7 points from a favorable 2024 due to higher claims in the long term disability line.
Total sales* for the three months ended March 31, 2025 were $8.4 million with individual supplemental product sales of $11.5 million and group benefits products of $7.9 million. Individual supplemental sales increased 60.6% due to strong customer demand and group benefits sales decreased 6.1%. Group benefits sales may vary significantly between comparable periods due to differences in average case size and specific timing of new cases can result in quarter over quarter variances. Persistency remains strong for the segment.
| Horace Mann Educators Corporation | 45 | First Quarter 2025 Form 10-Q |
|---|
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.