Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 13, 2014 | Jun. 30, 2013 | |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'TMK | ' | ' |
Entity Registrant Name | 'TORCHMARK CORP | ' | ' |
Entity Central Index Key | '0000320335 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 88,555,738 | ' |
Entity Public Float | ' | ' | $5,966,271,678 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Fixed maturities-available for sale, at fair value (amortized cost: 2013-$12,488,875; 2012-$11,963,406) | $12,879,133 | $13,541,193 |
Equity securities, at fair value (cost: 2013-$875; 2012-$14,875) | 1,884 | 15,567 |
Policy loans | 448,887 | 424,050 |
Other long-term investments | 13,207 | 18,539 |
Short-term investments | 76,890 | 94,860 |
Total investments | 13,420,001 | 14,094,209 |
Cash | 36,943 | 61,710 |
Accrued investment income | 200,038 | 195,497 |
Other receivables | 331,103 | 383,709 |
Deferred acquisition costs | 3,337,649 | 3,198,431 |
Goodwill | 441,591 | 441,591 |
Other assets | 424,419 | 401,763 |
Total assets | 18,191,744 | 18,776,910 |
Liabilities: | ' | ' |
Future policy benefits | 11,256,155 | 10,706,219 |
Unearned and advance premiums | 74,174 | 76,088 |
Policy claims and other benefits payable | 223,380 | 228,470 |
Other policyholders' funds | 94,286 | 93,288 |
Total policy liabilities | 11,647,995 | 11,104,065 |
Current and deferred income taxes payable | 1,285,574 | 1,609,828 |
Other liabilities | 261,898 | 392,502 |
Short-term debt | 229,070 | 319,043 |
Long-term debt (estimated fair value: 2013-$1,360,461; 2012-$1,191,320) | 990,865 | 989,686 |
Total liabilities | 14,415,402 | 14,415,124 |
Shareholders' equity: | ' | ' |
Preferred stock, par value $1 per share-Authorized 5,000,000 shares; outstanding: 0 in 2013 and in 2012 | 0 | 0 |
Common stock, par value $1 per share-Authorized 320,000,000 shares; outstanding: (2013-100,812,123 issued, less 11,310,536 held in treasury and 2012-105,812,123 issued, less 11,576,487 held in treasury) | 100,812 | 105,812 |
Additional paid-in capital | 462,058 | 439,782 |
Accumulated other comprehensive income (loss) | 210,981 | 925,275 |
Retained earnings | 3,545,939 | 3,403,338 |
Treasury stock | -543,448 | -512,421 |
Total shareholders' equity | 3,776,342 | 4,361,786 |
Total liabilities and shareholders' equity | $18,191,744 | $18,776,910 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Fixed maturities, available for sale, amortized cost | $12,488,875 | $11,963,406 |
Equity securities, cost | 875 | 14,875 |
Long-term debt, fair value | $1,360,461 | $1,191,320 |
Preferred stock, par value | $1 | $1 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $1 | $1 |
Common stock, shares authorized | 320,000,000 | 320,000,000 |
Common stock, shares issued | 100,812,123 | 105,812,123 |
Common stock, shares held in treasury | 11,310,536 | 11,576,487 |
Consolidated_Statements_Of_Ope
Consolidated Statements Of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue: | ' | ' | ' |
Life premium | $1,885,332 | $1,808,524 | $1,726,244 |
Health premium | 1,166,410 | 1,047,379 | 929,466 |
Other premium | 532 | 559 | 608 |
Total premium | 3,052,274 | 2,856,462 | 2,656,318 |
Net investment income | 709,743 | 693,644 | 693,028 |
Realized investment gains (losses) | 10,668 | 43,433 | 25,924 |
Other-than-temporary impairments | -2,678 | -5,600 | -20 |
Other income | 1,931 | 1,577 | 2,151 |
Total revenue | 3,771,938 | 3,589,516 | 3,377,401 |
Benefits and expenses: | ' | ' | ' |
Life policyholder benefits | 1,227,857 | 1,172,020 | 1,118,909 |
Health policyholder benefits | 817,687 | 739,541 | 631,820 |
Other policyholder benefits | 43,302 | 44,121 | 42,547 |
Total policyholder benefits | 2,088,846 | 1,955,682 | 1,793,276 |
Amortization of deferred acquisition costs | 403,389 | 385,167 | 364,583 |
Commissions, premium taxes, and non-deferred acquisition expenses | 221,426 | 203,986 | 216,216 |
Other operating expense | 214,690 | 198,176 | 201,636 |
Interest expense | 80,461 | 80,512 | 77,908 |
Total benefits and expenses | 3,008,812 | 2,823,523 | 2,653,619 |
Income from continuing operations before income taxes | 763,126 | 765,993 | 723,782 |
Income taxes | -234,654 | -236,669 | -226,166 |
Income from continuing operations | 528,472 | 529,324 | 497,616 |
Discontinued operations-loss on disposal, net of tax benefit of $467 in 2011 | 0 | 0 | -455 |
Net income | $528,472 | $529,324 | $497,161 |
Basic net income per share: | ' | ' | ' |
Continuing operations | $5.76 | $5.48 | $4.60 |
Discontinued operations | $0 | $0 | ($0.01) |
Total basic net income per share | $5.76 | $5.48 | $4.59 |
Diluted net income per share: | ' | ' | ' |
Continuing operations | $5.68 | $5.41 | $4.53 |
Discontinued operations | $0 | $0 | $0 |
Total diluted net income per share | $5.68 | $5.41 | $4.53 |
Dividends declared per common share | $0.68 | $0.60 | $0.46 |
Consolidated_Statements_Of_Ope1
Consolidated Statements Of Operations (Parenthetical) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2011 |
Income Statement [Abstract] | ' |
Loss on disposal, tax benefit | $467 |
Consolidated_Statements_Of_Com
Consolidated Statements Of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net income | $528,472 | $529,324 | $497,161 |
Unrealized gains (losses) on securities: | ' | ' | ' |
Total unrealized investment gains (losses) | -1,183,652 | 614,854 | 856,692 |
Less applicable taxes | 415,481 | -215,194 | -299,843 |
Unrealized gains (losses) on investments, net of tax | -768,171 | 399,660 | 556,849 |
Unrealized gains (losses) attributable to deferred acquisition costs | 14,906 | 7,234 | -28,292 |
Less applicable taxes | -5,217 | -2,532 | 9,902 |
Unrealized gains (losses) attributable to deferred acquisition costs, net of tax | 9,689 | 4,702 | -18,390 |
Foreign exchange translation adjustments, other than securities | -2,962 | 3,487 | -3,261 |
Less applicable taxes | 1,220 | -1,118 | 699 |
Foreign exchange translation adjustments, other than securities, net of tax | -1,742 | 2,369 | -2,562 |
Pension adjustments: | ' | ' | ' |
Amortization of pension costs | 18,366 | 14,799 | 12,146 |
Plan amendments | 0 | -3,452 | 0 |
Experience gain (loss) | 52,296 | -59,613 | -26,106 |
Pension adjustments | 70,662 | -48,266 | -13,960 |
Less applicable taxes | -24,732 | 16,894 | 4,887 |
Pension adjustments, net of tax | 45,930 | -31,372 | -9,073 |
Other comprehensive income (loss) | -714,294 | 375,359 | 526,824 |
Comprehensive income (loss) | -185,822 | 904,683 | 1,023,985 |
Securities [Member] | ' | ' | ' |
Unrealized gains (losses) on securities: | ' | ' | ' |
Unrealized holding gains (losses) arising during period | -1,166,332 | 657,954 | 882,467 |
Reclassification adjustment for (gains) losses included in net income | -13,138 | -41,745 | -27,771 |
Reclassification adjustment for amortization of (discount) premium | -6,569 | 462 | -1,880 |
Foreign exchange adjustment on securities recorded at fair value | -1,173 | -4,334 | 3,510 |
Total unrealized investment gains (losses) | -1,187,212 | 612,337 | 856,326 |
Other Investments [Member] | ' | ' | ' |
Unrealized gains (losses) on securities: | ' | ' | ' |
Unrealized holding gains (losses) arising during period | 28 | 2,517 | 366 |
Reclassification adjustment for (gains) losses included in net income | 3,532 | 0 | 0 |
Total unrealized investment gains (losses) | $3,560 | $2,517 | $366 |
Consolidated_Statements_Of_Sha
Consolidated Statements Of Shareholders' Equity (USD $) | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Treasury Stock [Member] |
In Thousands | |||||||
Beginning Balance at Dec. 31, 2010 | $3,667,329 | $0 | $119,812 | $432,608 | $23,092 | $3,124,436 | ($32,619) |
Comprehensive income (loss) | 1,023,985 | ' | ' | ' | 526,824 | 497,161 | ' |
Common dividends declared ($0.46 in 2011, $.60 in 2012 and $.68 in 2013 a share) | -49,815 | ' | ' | ' | ' | -49,815 | ' |
Acquisition of treasury stock | -972,556 | ' | ' | ' | ' | ' | -972,556 |
Stock-based compensation | 14,954 | ' | ' | 7,631 | ' | ' | 7,323 |
Exercise of stock options | 175,734 | ' | ' | 13,121 | ' | -29,328 | 191,941 |
Retirement of treasury stock | 0 | ' | -7,500 | -28,029 | ' | -277,743 | 313,272 |
Ending Balance at Dec. 31, 2011 | 3,859,631 | 0 | 112,312 | 425,331 | 549,916 | 3,264,711 | -492,639 |
Comprehensive income (loss) | 904,683 | ' | ' | ' | 375,359 | 529,324 | ' |
Common dividends declared ($0.46 in 2011, $.60 in 2012 and $.68 in 2013 a share) | -57,592 | ' | ' | ' | ' | -57,592 | ' |
Acquisition of treasury stock | -570,165 | ' | ' | ' | ' | ' | -570,165 |
Stock-based compensation | 21,605 | ' | ' | 18,413 | ' | ' | 3,192 |
Exercise of stock options | 203,624 | ' | ' | 22,602 | ' | -51,322 | 232,344 |
Retirement of treasury stock | 0 | ' | -6,500 | -26,564 | ' | -281,783 | 314,847 |
Ending Balance at Dec. 31, 2012 | 4,361,786 | 0 | 105,812 | 439,782 | 925,275 | 3,403,338 | -512,421 |
Comprehensive income (loss) | -185,822 | ' | ' | ' | -714,294 | 528,472 | ' |
Common dividends declared ($0.46 in 2011, $.60 in 2012 and $.68 in 2013 a share) | -61,991 | ' | ' | ' | ' | -61,991 | ' |
Acquisition of treasury stock | -482,264 | ' | ' | ' | ' | ' | -482,264 |
Stock-based compensation | 25,642 | ' | ' | 23,464 | ' | 563 | 1,615 |
Exercise of stock options | 118,991 | ' | ' | 21,315 | ' | -25,195 | 122,871 |
Retirement of treasury stock | 0 | ' | -5,000 | -22,503 | ' | -299,248 | 326,751 |
Ending Balance at Dec. 31, 2013 | $3,776,342 | $0 | $100,812 | $462,058 | $210,981 | $3,545,939 | ($543,448) |
Consolidated_Statements_Of_Sha1
Consolidated Statements Of Shareholders' Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Statement Of Stockholders Equity [Abstract] | ' | ' | ' |
Common dividends declared, per share | $0.68 | $0.60 | $0.46 |
Consolidated_Statements_Of_Cas
Consolidated Statements Of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Net income | $528,472 | $529,324 | $497,161 |
Adjustments to reconcile net income to cash provided from operations: | ' | ' | ' |
Increase in future policy benefits | 578,217 | 497,306 | 431,362 |
Increase (decrease) in other policy benefits | -6,006 | -8,115 | -2,776 |
Deferral of policy acquisition costs | -524,263 | -480,818 | -441,825 |
Amortization of deferred policy acquisition costs | 403,389 | 385,167 | 364,583 |
Change in current and deferred income taxes | 76,121 | 122,538 | 30,899 |
Realized (gains) losses on sale of investments and properties | -7,990 | -37,833 | -25,904 |
Change in other receivables | 50,900 | -89,677 | -22,565 |
Loss on disposal of subsidiary | 0 | 0 | 455 |
Other, net | 20,440 | 24,947 | 28,074 |
Cash provided from operations | 1,119,280 | 942,839 | 859,464 |
Investments sold or matured: | ' | ' | ' |
Fixed maturities available for sale-sold | 133,463 | 345,601 | 224,335 |
Fixed maturities available for sale-matured, called, and repaid | 493,885 | 736,900 | 410,356 |
Equity securities | 14,000 | 0 | 28,700 |
Other long-term investments | 1,333 | 9,458 | 18,937 |
Total investments sold or matured | 642,681 | 1,091,959 | 682,328 |
Acquisition of investments: | ' | ' | ' |
Fixed maturities-available for sale | -1,143,840 | -1,431,690 | -1,104,231 |
Equity securities | 0 | 0 | -28,772 |
Other long-term investments | -591 | -1,786 | -6,246 |
Total investments acquired | -1,144,431 | -1,433,476 | -1,139,249 |
Acquisition of Family Heritage, net of cash acquired | 0 | -186,424 | 0 |
Net increase in policy loans | -24,837 | -23,130 | -22,790 |
Net (increase) decrease in short-term investments | 17,970 | -73,616 | 195,435 |
Net change in payable or receivable for securities | -43,987 | 3,647 | 2,664 |
Additions to properties | -11,168 | -4,667 | -5,386 |
Sales of properties | 570 | 56 | 3,089 |
Investments in low-income housing interests | -51,176 | -72,388 | -49,812 |
Proceeds from sale of subsidiary | 0 | 0 | 21,588 |
Cash provided from (used for) investing activities | -614,378 | -698,039 | -312,133 |
Cash provided from (used for) financing activities: | ' | ' | ' |
Issuance of common stock | 97,816 | 181,022 | 162,613 |
Cash dividends paid to shareholders | -60,911 | -55,527 | -49,125 |
Issue expenses of debt offerings | 0 | -7,101 | 0 |
Net borrowing (repayment) of commercial paper | 3,983 | 245 | 25,967 |
Excess tax benefit from stock option exercises | 21,315 | 22,602 | 13,121 |
Acquisition of treasury stock | -482,264 | -570,165 | -972,556 |
Net receipts (payments) from deposit-type product | -21,808 | 8,523 | -4,505 |
Cash provided from (used for) financing activities | -535,919 | -269,112 | -824,485 |
Effect of foreign exchange rate changes on cash | 6,250 | 1,909 | -4,412 |
Increase (decrease) in cash | -24,767 | -22,403 | -281,566 |
Cash at beginning of year | 61,710 | 84,113 | 365,679 |
Cash at end of year | 36,943 | 61,710 | 84,113 |
3.80% Senior Notes due 2022 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 150,000 | 0 |
5.875% Junior subordinated debentures due 2052 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 125,000 | 0 |
7.375% Notes [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Repayment of Notes | -94,050 | 0 | 0 |
7.1% Junior Subordinated Debentures [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Redemption of Junior Subordinated Debentures | $0 | ($123,711) | $0 |
Significant_Accounting_Policie
Significant Accounting Policies | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||
Significant Accounting Policies | ' | ||||||||||||
Note 1—Significant Accounting Policies | |||||||||||||
Business: Torchmark Corporation (Torchmark or alternatively, the Company) through its subsidiaries provides a variety of life and health insurance products and annuities to a broad base of customers. | |||||||||||||
Basis of Presentation: The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), under guidance issued by the Financial Accounting Standards Board (FASB). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||||||
Principles of Consolidation: The consolidated financial statements include the results of Torchmark and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. When Torchmark acquires a subsidiary or a block of business, the assets acquired and the liabilities assumed are measured at fair value at the acquisition date. Any excess of acquisition cost over the fair value of net assets is recorded as goodwill. Expenses incurred to effect the acquisition are charged to earnings as of the acquisition date. Upon acquisition, the accounts and results of operations are consolidated as of and subsequent to the acquisition date. | |||||||||||||
Torchmark accounts for its variable interest entities (VIE’s) under accounting guidance which clarifies the definition of a variable interest and the instructions for consolidating VIE’s. Only primary beneficiaries are required or allowed to consolidate VIE’s. Therefore, a company may have voting control of a VIE, but if it is not the primary beneficiary of the VIE, it is not permitted to consolidate the VIE. The trust that was liable for Torchmark’s Trust Preferred Securities met the definition of a VIE. However, Torchmark was not the primary beneficiary of this entity because its interest was not variable. Therefore, Torchmark was not permitted to consolidate its interest, even though it owned 100% of the voting equity of the trust and guaranteed its performance. For this reason, Torchmark reported its 7.1% Junior Subordinated Debentures due to the trust as “Due to affiliates” each period at its carrying value. However, Torchmark viewed the Trust Preferred Securities as it does any other debt offering and consolidated the trust in its segment analysis because GAAP requires that the segment analysis be reported as management views its operations and financial condition. These Securities were redeemed in October, 2012, as disclosed in Note 11—Debt. | |||||||||||||
Additionally, as further described under the caption Low-Income Housing Tax Credit Interests below in this note, Torchmark holds passive interests in limited partnerships which provide investment returns through the provision of tax benefits (principally from the transfer of Federal or state tax credits related to federal low-income housing). These interests are also considered to be VIEs. They are not consolidated because the Company has no power to control the activities that most significantly affect the economic performance of these entities and therefore the Company is not the primary beneficiary of any of these interests. Torchmark’s involvement is limited to its limited partnership interest in the entities. Torchmark has not provided any other financial support to the entities beyond its commitments to fund its limited partnership interests, and there are no arrangements or agreements with any of the interests to provide other financial support. The maximum loss exposure relative to these interests is limited to their carrying value. | |||||||||||||
When a component of Torchmark’s business is sold or expected to be sold during the ensuing year, Torchmark reports the assets and liabilities of the component as assets and liabilities of subsidiaries held for sale. Assets or liabilities of subsidiaries held for sale are segregated and are recorded in the Consolidated Balance Sheets at the lower of the carrying amount or estimated fair value less cost to sell. If the carrying amount of the business exceeds its estimated fair value, a loss is recognized. Torchmark reports the results of operations of a business as discontinued operations when the component is sold or expected to be sold, the operations and cash flows of the business have been or will be eliminated from the ongoing operations as a result of the disposal transaction, and Torchmark will not have any significant continuing involvement in the operations of the business after the disposal transaction. The results of discontinued operations are reported in discontinued operations in the Consolidated Statements of Operations for current and prior periods commencing in the period in which the business is either disposed of or is accounted for as a disposal group, including any gain or loss recognized on the sale or adjustment of the carrying amount to fair value less cost to sell. | |||||||||||||
Investments: Torchmark classifies all of its fixed-maturity investments, which include bonds and redeemable preferred stocks, as available for sale. Investments classified as available for sale are carried at fair value with unrealized gains and losses, net of deferred taxes, reflected directly in accumulated other comprehensive income. Investments in equity securities, which include common and nonredeemable preferred stocks, are reported at fair value with unrealized gains and losses, net of deferred taxes, reflected directly in accumulated other comprehensive income. Policy loans are carried at unpaid principal balances. Mortgage loans, included in “Other long-term investments,” are carried at amortized cost. Investments in real estate, included in “Other long-term investments,” are reported at cost less allowances for depreciation. Depreciation is calculated on the straight-line method. Short-term investments include investments in interest-bearing time deposits with original maturities of twelve months or less. | |||||||||||||
Gains and losses realized on the disposition of investments are determined on a specific identification basis. Income attributable to investments is included in Torchmark’s net investment income. Net investment income and realized investment gains and losses are not allocated to insurance policyholders’ liabilities. | |||||||||||||
Fair Value Measurements, Investments in Securities: Torchmark measures the fair value of its fixed maturities and equity securities based on a hierarchy consisting of three levels which indicate the quality of the fair value measurements as described below: | |||||||||||||
• | Level 1 – fair values are based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. | ||||||||||||
• | Level 2 – fair values are based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that can otherwise be corroborated by observable market data. | ||||||||||||
• | Level 3 – fair values are based on inputs that are considered unobservable where there is little, if any, market activity for the asset or liability as of the measurement date. In this circumstance, the Company has to rely on values derived by independent brokers or internally-developed assumptions. Unobservable inputs are developed based on the best information available to the Company which may include the Company’s own data or bid and ask prices in the dealer market. | ||||||||||||
The great majority of the Company’s fixed maturities are not actively traded and direct quotes are not generally available. Management therefore determines the fair values of these securities after consideration of data provided by third-party pricing services and independent broker/dealers. Over 99% of the fair value reported at December 31, 2013 was determined using data provided by third-party pricing services. Prices provided by third-party pricing services are not binding offers but are estimated exit values. They are based on observable market data inputs which can vary by security type. Such inputs include benchmark yields, available trades, broker/dealer quotes, issuer spreads, benchmark securities, bids, offers, and other market data. Management reviews and analyzes all prices obtained to insure the reasonableness of the values, taking all available information into account. In addition, management corroborates the prices obtained from third-party sources against other independent sources. When corroborated prices produce small variations, the close correlation indicates observable inputs, and the median value is used. When corroborated prices present greater variations, additional analysis is required to determine which value is the most appropriate. When only one price is available, management evaluates observable inputs and performs additional analysis to confirm that the price is appropriate. All fair value measurements based on prices determined with observable market data are reported as Level 1 or Level 2 measurements. | |||||||||||||
When third-party vendor prices are not available, the Company attempts to obtain at least three quotes from broker/dealers for each security. When at least three quotes are obtained, and the standard deviation of such quotes is less than 3%, (suggesting that the independent quotes were likely derived using similar observable inputs), the Company uses the median quote and classifies the measurement as Level 2. At December 31, 2013 and 2012, there were no assets valued as Level 2 in this manner with broker quotes. | |||||||||||||
When the standard deviation is 3% or greater, or the Company cannot obtain three quotes, then additional information and management judgment are required to establish the fair value. Further review is performed on the available quotes to determine if they can be corroborated within reasonable tolerance to any other observable evidence. If one of the quotes or the median of the available quotes can be corroborated with other observable evidence, then the value is reported as Level 2. Otherwise, the value is classified as Level 3. The Company uses information and valuation techniques deemed appropriate for determining the point within the range of reasonable fair value estimates that is most representative of fair value under current market conditions. As of December 31, 2013 and 2012, fair value measurements classified as Level 3 represented 2.8% and 2.1%, respectively, of total fixed maturities and equity securities. Transfers between levels are recognized as of the end of the period of transfer. | |||||||||||||
Beginning in 2012, Torchmark began investing in a portfolio of private placement bonds which are not actively traded. This portfolio is managed by a third party and was $313 million at amortized cost on December 31, 2013, compared with $184 million a year earlier. The portfolio manager provides valuations for the bonds based on a pricing matrix utilizing observable inputs, such as the benchmark treasury rate and published sector indices, and unobservable inputs such as an internally-developed credit rating. If the unobservable inputs can be closely corroborated with publicly available information, the fair values are classified as Level 2. If they cannot be corroborated, the fair values are classified as Level 3. As of December 31, 2013 and 2012, all private placements were classified as Level 3. | |||||||||||||
The fair values for each class of security and by valuation hierarchy level are indicated in Note 4—Investments under the caption Fair value measurements. | |||||||||||||
Fair Value Measurements, Other Financial Instruments: Fair values for cash, short-term investments, short-term debt, receivables and payables approximate carrying value. The fair values of Torchmark’s long-term debt issues are based on the same methodology as investments in fixed maturities. Because observable inputs were available for these debt securities at December 31, 2013, they were classified as Level 2 in the valuation hierarchy. The fair value for each debt instrument as of December 31, 2013 is disclosed in Note 11—Debt. Mortgage loans are valued using discounted cash flows and are considered to be Level 3 in the valuation hierarchy. The fair values for these loans are presented in Note 4—Investments under the caption Other investment information. As described in Note 9—Postretirement Benefits, Torchmark maintains an unqualified supplemental retirement plan. Because this plan is unfunded, the assets which support the liability for this plan are considered general assets of the Company. These assets consist of the cash value of corporate-owned life insurance policies and exchange traded funds (ETF’s). The fair value of the insurance cash values approximates carrying value. Fair values for the ETF’s are derived from direct quotes and are considered Level 1 in the valuation hierarchy. | |||||||||||||
Impairment of Investments: Torchmark’s portfolio of fixed maturities fluctuates in value due to changes in interest rates in the financial markets as well as other factors. Fluctuations caused by market interest rate changes have little bearing on whether or not the investment will be ultimately recoverable. Therefore, Torchmark considers these declines in value resulting from changes in market interest rates to be temporary. In certain circumstances, however, Torchmark determines that the decline in the value of a security is other-than-temporary and writes the book value of the security down to its fair value, realizing an investment loss. The evaluation of Torchmark’s securities for other-than-temporary impairments is a process that is undertaken at least quarterly and is overseen by a team of Company investment and accounting professionals. Each security which is impaired because the fair value is less than the cost or amortized cost is identified and evaluated. The determination that an impairment is other-than-temporary is highly subjective and involves the careful consideration of many factors. Among the factors considered are: | |||||||||||||
• | The length of time and extent to which the security has been impaired | ||||||||||||
• | The reason(s) for the impairment | ||||||||||||
• | The financial condition of the issuer and the near-term prospects for recovery in fair value of the security | ||||||||||||
• | The Company’s ability and intent to hold the security until anticipated recovery | ||||||||||||
• | Expected future cash flows | ||||||||||||
The relative weight given to each of these factors can change over time as facts and circumstances change. In many cases, management believes it is appropriate to give relatively more weight to prospective factors than to retrospective factors. Prospective factors that are given more weight include prospects for recovery, the Company’s ability and intent to hold the security until anticipated recovery, and expected future cash flows. | |||||||||||||
Among the facts and information considered in the process are: | |||||||||||||
• | Default on a required payment | ||||||||||||
• | Issuer bankruptcy filings | ||||||||||||
• | Financial statements of the issuer | ||||||||||||
• | Changes in credit ratings of the issuer | ||||||||||||
• | The value of underlying collateral | ||||||||||||
• | News and information included in press releases issued by the issuer | ||||||||||||
• | News and information reported in the media concerning the issuer | ||||||||||||
• | News and information published by or otherwise provided by credit analysts | ||||||||||||
• | Recent cash flows | ||||||||||||
While all available information is taken into account, it is difficult to predict the ultimately recoverable amount of a distressed or impaired security. If a security is determined to be other-than-temporarily impaired, the cost basis of the security is written down to fair value and is treated as a realized loss in the period the determination is made. The written-down security will be amortized and revenue recognized in accordance with estimated future cash flows. | |||||||||||||
Current accounting guidance is such that if an entity intends to sell or if it is more likely than not that it will be required to sell an impaired security prior to recovery of its cost basis, the security is to be considered other-than-temporarily impaired and the full amount of impairment must be charged to earnings. Otherwise, losses on fixed maturities which are other-than-temporarily impaired are separated into two categories, the portion of loss which is considered credit loss and the portion of loss which is due to other factors. The credit loss portion is charged to earnings while the loss due to other factors is charged to other comprehensive income. The credit loss portion of an impairment is determined as the difference between the security’s amortized cost and the present value of expected future cash flows discounted at the security’s original effective yield rate. The temporary portion is the difference between this present value of expected future cash flows and fair value (as discounted by a market yield). The expected cash flows are determined using judgment and the best information available to the Company. Inputs used to derive expected cash flows include expected default rates, current levels of subordination, and loan-to-collateral value ratios. Management believes that the present value of future cash flows at the original effective yield is a better measure of valuation, because fair value determined by a discounted market yield is often based on limited observable market data, and the market for these securities is generally neither active nor orderly. | |||||||||||||
Cash: Cash consists of balances on hand and on deposit in banks and financial institutions. Overdrafts arising from the overnight investment of funds offset cash balances on hand and on deposit. | |||||||||||||
Recognition of Premium Revenue and Related Expenses: Premium income for traditional long-duration life and health insurance products is recognized when due from the policyholder. Premiums for short-duration health contracts are recognized as revenue over the contract period in proportion to the insurance protection provided. Profits for limited-payment life insurance contracts are recognized over the contract period. Premiums for universal life-type and annuity contracts are added to the policy account value, and revenues for such products are recognized as charges to the policy account value for mortality, administration, and surrenders (retrospective deposit method). Life premium includes policy charges of $22 million, $23 million, and $25 million for the years ended December 31, 2013, 2012, and 2011, respectively. Other premium consists of annuity policy charges in each year. Profits are also earned to the extent that investment income exceeds policy liability interest requirements. The related benefits and expenses are matched with revenues by means of the provision of future policy benefits and the amortization of deferred acquisition costs in a manner which recognizes profits as they are earned over the same period. | |||||||||||||
Future Policy Benefits: The liability for future policy benefits for universal life-type products is represented by policy account value. The liability for future policy benefits for all other life and health products, approximately 83% of total future policy benefits, is determined on the net level premium method. This method provides for the present value of expected future benefit payments less the present value of expected future net premiums, based on estimated investment yields, mortality, morbidity, persistency and other assumptions which were considered appropriate at the time the policies were issued. For limited-payment contracts, a deferred profit liability is also recorded which causes profits to emerge over the life of the contract in proportion to policies in force. Assumptions used for traditional life and health insurance products are based primarily on Company experience. Assumptions for interest rates range from 2.5% to 7% for Torchmark’s insurance companies with an overall weighted average assumed rate of 5.8%. Mortality tables used for individual life insurance include various statutory tables and modifications of a variety of generally accepted actuarial tables. Morbidity assumptions for individual health are based on either Company experience or the assumptions used in determining statutory reserves. Withdrawal and termination assumptions are based on Torchmark’s experience. Once established, assumptions for these products are generally not changed. An additional provision is made on most products to allow for possible adverse deviation from the assumptions. These estimates are periodically reviewed and compared with actual experience. If it is determined that existing contract liabilities, together with the present value of future gross premiums, will not be sufficient to cover the present value of future benefits and to recover unamortized deferred acquisition costs, then a premium deficiency exists. Such a deficiency would be recognized immediately by a charge to earnings and either a reduction of unamortized deferred acquisition costs or an increase in the liability for future policy benefits. From that point forward, the liability for future policy benefits would be based on the revised assumptions. | |||||||||||||
Deferred Acquisition Costs: Certain costs of acquiring new insurance business are deferred and recorded as an asset. These costs are essential for the acquisition of new insurance business and are directly related to the successful issuance of an insurance contract including sales commissions, policy issue costs, and underwriting costs. Additionally, deferred acquisition costs include the value of insurance purchased, which are the costs of acquiring blocks of insurance from other companies or through the acquisition of other companies. These costs represent the difference between the fair value of the contractual insurance assets acquired and liabilities assumed compared against the assets and liabilities for insurance contracts that the Company issues or holds measured in accordance with GAAP. Deferred acquisition costs and the value of insurance purchased are amortized in a systematic manner which matches these costs with the associated revenues. Policies other than universal life-type policies are amortized with interest over the estimated premium-paying period of the policies in a manner which charges each year’s operations in proportion to the receipt of premium income. Universal life-type policies are amortized with interest in proportion to estimated gross profits. The assumptions used to amortize acquisition costs with regard to interest, mortality, morbidity, and persistency are consistent with those used to estimate the liability for future policy benefits. For interest-sensitive and deposit-balance type products, these assumptions are reviewed on a regular basis and are revised if actual experience differs significantly from original expectations. For all other products, amortization assumptions are generally not revised once established. Deferred acquisition costs are subject to periodic recoverability and loss recognition testing to determine if there is a premium deficiency. These tests ensure that the present value of future contract-related cash flows will support the capitalized deferred acquisition cost asset. These cash flows consist primarily of premium income, less benefits and expenses taking inflation into account. The present value of these cash flows, less the benefit reserve, is then compared with the unamortized deferred acquisition cost balance. In the event the estimated present value of net cash flows is less, the deficiency would be recognized by a charge to earnings and either a reduction of unamortized acquisition costs or an increase in the liability for future benefits, as described under the caption Future Policy Benefits. | |||||||||||||
Advertising Costs: Costs related to advertising are generally charged to expense as incurred. However, certain direct response advertising costs are capitalized when there is a reliable and demonstrated relationship between total costs and future benefits that is a direct result of incurring these costs. Torchmark’s Direct Response advertising costs consist primarily of the production and distribution costs of direct mail advertising materials, and when capitalized are included as a component of deferred acquisition costs. They are amortized in the same manner as other deferred acquisition costs. Direct response advertising costs charged to earnings and included in other operating expense were $6 million, $16 million, and $16 million in 2013, 2012, and 2011, respectively. Capitalized advertising costs included within deferred acquisition costs were $1.09 billion at December 31, 2013 and $1.04 billion at December 31, 2012. | |||||||||||||
Policy Claims and Other Benefits Payable: Torchmark establishes a liability for known policy benefits payable and an estimate of claims that have been incurred but not yet reported to the Company. The estimate of unreported claims is based on prior experience. Torchmark makes an estimate after careful evaluation of all information available to the Company. However, there is no certainty the stated liability for claims and other benefits, including the estimate of unsubmitted claims, will be Torchmark’s ultimate obligation. | |||||||||||||
Income Taxes: Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement book values and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. More information concerning income taxes is provided in Note 8—Income Taxes. | |||||||||||||
Property and Equipment: Property and equipment, included in “Other assets,” is reported at cost less allowances for depreciation. Depreciation is recorded primarily on the straight line method over the estimated useful lives of these assets which range from three to ten years for equipment and five to forty years for buildings and improvements. Ordinary maintenance and repairs are charged to income as incurred. Impairments, if any, are recorded when, based on events and circumstances, it becomes evident that the fair value of the asset is less than its carrying amount. Original cost of property and equipment was $136 million at December 31, 2013 and $125 million at December 31, 2012. Accumulated depreciation was $85 million at year end 2013 and $79 million at the end of 2012. Depreciation expense was $6.4 million in 2013, $7.1 million in 2012, and $6.8 million in 2011. During 2013, Liberty National Life Insurance Company (Liberty National), a Torchmark subsidiary, sold real estate for a loss of $265 thousand after a previous write-down for other-than-temporary impairment of $2.7 million earlier in the year. The sale of this property eliminated substantially all asbestos-related liability for Torchmark. | |||||||||||||
Low-Income Housing Tax Credit Interests: As of December 31, 2013, Torchmark had $290 million invested in limited partnerships that provide low-income housing tax credits and other related Federal income tax and state premium tax benefits to Torchmark. The carrying value of Torchmark’s investment in these entities was $285 million at December 31, 2012. As of December 31, 2013, Torchmark was obligated under future commitments of $58 million, which is included in the above carrying value. Interests for which the return has been guaranteed by unrelated third-parties are accounted for using the effective-yield method. The remaining interests are accounted for using the amortized-cost method. | |||||||||||||
The Federal income benefits accrued during each of the years presented, net of the amortization associated with guaranteed interests, were recorded in “Income taxes.” Amortization associated with non-guaranteed interests and interests providing for state premium tax benefits was reflected as a component of “Net investment income.” All state premium tax benefits, net of the related amortization, were recorded in “Net investment income.” At December 31, 2013, $283 million associated with the Federal interests was included in “Other assets” with the remaining $7 million state-related interests included in “Other invested assets.” At December 31, 2012, the comparable amounts were $275 million and $10 million, respectively. Any unpaid commitments to invest are recorded in “Other liabilities.” In the segment analysis, the amortization associated with the non-guaranteed interests is reflected as a component of “Income tax expenses,” and not “Net investment income,” consistent with the treatment of the guaranteed interests. Management views this presentation as a more accurate matching of costs with the associated revenues with respect to the low-income housing interests. | |||||||||||||
Goodwill: The excess cost of business acquired over the fair value of net assets acquired is reported as goodwill. Goodwill is subject to annual impairment testing based on certain procedures outlined by GAAP. These procedures include a qualitative assessment as to whether it is more likely than not that goodwill is impaired, and they also require consideration of a change in relevant events or circumstances that could possibly affect the valuation of a goodwill reporting unit. If it is determined that an impairment is likely, the procedures then involve measuring the carrying value of each reporting unit of Torchmark’s segments, including the goodwill of that unit, against the estimated fair value of the corresponding unit. If the carrying value of a unit including goodwill exceeds its estimated fair value, then the goodwill in that unit could potentially be impaired. In that event, further testing is required under the accounting guidance to determine the amount of impairment, if any. If there is an impairment in the goodwill of any reporting unit, it is written down and charged to earnings in the period of test. | |||||||||||||
Torchmark has tested its goodwill annually in each of the years 2011 through 2013. These tests, performed in the third quarter each year, involved assigning carrying value by allocating the Company’s net assets to each of the reporting units of Torchmark’s segments, including the portion of goodwill assigned to the unit. In 2012, the qualitative assessment was employed as permitted by accounting guidance. Based on the analyses as outlined in the guidance, it was determined that an impairment of goodwill was not likely. In 2013 and 2011, the fair values of the various reporting units were developed. The fair value of each reporting unit was determined using discounted expected cash flows associated with that unit. Judgment and assumptions are used in developing the projected cash flows for the reporting units, and such estimates are subject to change. The Company also exercises judgment in the determination of the discount rate, which management believes to be appropriate for the risk associated with the cash flow expectations. The fair value of each reporting unit is then measured against that reporting unit’s corresponding carrying value. Because the estimated fair value substantially exceeded the carrying value, including goodwill, of each reporting unit in each period, Torchmark’s goodwill was not impaired in any of those periods. | |||||||||||||
Treasury Stock: Torchmark accounts for purchases of treasury stock on the cost method. Issuance of treasury stock is accounted for using the weighted-average cost method. | |||||||||||||
Settlements and Assessments: During 2011, Torchmark settled a state administrative matter involving issues arising over a period of many years. The settlement resulted in a pre-tax charge of $6.9 million ($4.5 million after tax). Additionally in 2011, the Company accrued a liability for settlement of an insurance litigation matter which was settled in 2012. The liability for this litigation, which arose many years ago, was $12.0 million pretax ($7.8 million after tax). During 2013, Torchmark incurred three non-operating charges: (1) a state guaranty fund assessment in the amount of $1.2 million ($751 thousand after tax), resulting from events in years prior to 2012, (2) a legal settlement related to a non-insurance matter in the amount of $500 thousand ($325 thousand after tax), and (3) the settlement of a litigation matter related to prior years in the amount of $8.6 million ($5.6 million after tax). Management removes items that are related to prior periods when evaluating the operating results of current periods. Management also removes items unrelated to its core insurance activities when evaluating those results. Therefore, these items are excluded in its presentation of segment results as disclosed in Note 14—Business Segments, because accounting guidance requires that operating segment results be presented as management views its business. | |||||||||||||
Postretirement Benefits: Torchmark accounts for its postretirement defined benefit plans by recognizing the funded status of those plans on its Consolidated Balance Sheets in accordance with accounting guidance. Periodic gains and losses attributable to changes in plan assets and liabilities that are not recognized as components of net periodic benefit costs are recognized as components of other comprehensive income, net of tax. More information concerning the accounting and disclosures for postretirement benefits is found in Note 9—Postretirement Benefits. | |||||||||||||
Stock Compensation: Torchmark accounts for stock-based compensation by recognizing an expense in the financial statements based on the “fair value method.” The fair value method requires that a fair value be assigned to a stock option or other stock grant on its grant date and that this value be amortized over the grantees’ service period. | |||||||||||||
The fair value method requires the use of an option valuation model to value employee stock options. Torchmark has elected to use the Black-Scholes valuation model for option expensing. A summary of assumptions for options granted in each of the three years 2011 through 2013 is as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Volatility factor | 38.5 | % | 39.4 | % | 42.3 | % | |||||||
Dividend yield | 1.1 | % | 1 | % | 1 | % | |||||||
Expected term (in years) | 5.62 | 5.55 | 4.66 | ||||||||||
Risk-free rate | 1.1 | % | 1.3 | % | 2 | % | |||||||
The expected term is generally derived from Company experience. However, expected terms are determined based on the simplified method as permitted by Staff Accounting Bulletins 107 and 110 when company experience is insufficient. | |||||||||||||
The Torchmark Corporation 2011 Incentive Plan replaced all previous plans and allows for option grants with a ten-year contractual term which vest over five years in addition to seven-year grants which vest over three years as permitted by the previous plans. The Company has sufficient experience with seven-year grants that vest in three years, but no historical experience with five-year vesting. Therefore, Torchmark has used the simplified method to determine the expected term for the ten-year grants with five-year vesting and will do so until such experience is developed. Volatility and risk-free interest rates are assumed over a period of time consistent with the expected term of the option. Volatility is measured on a historical basis. Monthly data points are utilized to derive volatility for periods greater than three years. Expected dividend yield is based on current dividend yield held constant over the expected term. Once the fair value of an option has been determined, it is amortized on a straight-line basis over the employee’s service period for that grant (from the grant date to the date the grant is fully vested). | |||||||||||||
Torchmark management views all stock-based compensation expense as a corporate or Parent Company expense and, therefore, presents it as such in its segment analysis (See Note 14—Business Segments). It is included in “Other operating expense” in the Consolidated Statements of Operations. | |||||||||||||
Earnings Per Share: Torchmark presents basic and diluted earnings per share (EPS) on the face of the Consolidated Statements of Operations. Basic EPS is computed by dividing income available to common shareholders by the weighted average common shares outstanding for the period. Diluted EPS is calculated by adding to shares outstanding the additional net effect of potentially dilutive securities or contracts, such as stock options, which could be exercised or converted into common shares. For more information on earnings per share, see Note 12—Shareholders’ Equity. |
Statutory_Accounting
Statutory Accounting | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||||||
Statutory Accounting | ' | ||||||||||||||||||||
Note 2—Statutory Accounting | |||||||||||||||||||||
Life insurance subsidiaries of Torchmark are required to file statutory financial statements with state insurance regulatory authorities. Accounting principles used to prepare these statutory financial statements differ from GAAP. Consolidated net income and shareholders’ equity (capital and surplus) on a statutory basis for the insurance subsidiaries were as follows: | |||||||||||||||||||||
Net Income | Shareholders’ Equity | ||||||||||||||||||||
Year Ended December 31, | At December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | |||||||||||||||||
Life insurance subsidiaries | $ | 572,509 | $ | 484,327 | $ | 424,738 | $ | 1,328,803 | $ | 1,358,047 | |||||||||||
The excess, if any, of shareholder’s equity of the insurance subsidiaries on a GAAP basis over that determined on a statutory basis is not available for distribution by the insurance subsidiaries to Torchmark without regulatory approval. Insurance subsidiaries’ statutory capital and surplus necessary to satisfy regulatory requirements in the aggregate was $437 million at December 31, 2013. More information on the restrictions on the payment of dividends can be found in Note 12—Shareholders’ Equity. | |||||||||||||||||||||
Torchmark’s statutory financial statements are presented on the basis of accounting practices prescribed by the insurance department of the state of domicile of each insurance subsidiary. All states have adopted the National Association of Insurance Commissioners’ (NAIC) statutory accounting practices (NAIC SAP) as the basis for statutory accounting. However, certain states have retained the prescribed practices of their respective insurance code or administrative code which can differ from NAIC SAP. There are no significant differences between NAIC SAP and the accounting practices prescribed by the states of domicile for Torchmark’s life insurance companies that affect statutory surplus. |
Supplemental_Information_About
Supplemental Information About Changes to Accumulated Other Comprehensive Income | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||
Supplemental Information About Changes to Accumulated Other Comprehensive Income | ' | ||||||||||||||||||||
Note 3—Supplemental Information About Changes to Accumulated Other Comprehensive Income | |||||||||||||||||||||
Effective during 2013, Torchmark adopted prospectively Accounting Standards Update No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This statement requires an analysis of the changes in the components of accumulated other comprehensive income as well as supplemental information about the amounts reclassified out of other comprehensive income. | |||||||||||||||||||||
An analysis in the change in balance by component of Accumulated Other Comprehensive Income is as follows for the twelve months ended December 31, 2013. | |||||||||||||||||||||
Components of Accumulated Other Comprehensive Income | |||||||||||||||||||||
For the twelve months ended December 31, 2013 | |||||||||||||||||||||
Available | Deferred | Foreign | Pension | Total | |||||||||||||||||
for Sale | Acquisition | Exchange | Adjustments | ||||||||||||||||||
Assets | Costs | ||||||||||||||||||||
Balance at January 1, 2013 | $ | 1,024,367 | $ | (16,417 | ) | $ | 26,608 | $ | (109,283 | ) | $ | 925,275 | |||||||||
Other comprehensive income (loss) before reclassifications, net of tax | (758,857 | ) | 9,689 | (1,742 | ) | 33,992 | (716,918 | ) | |||||||||||||
Reclassifications, net of tax | (9,314 | ) | 0 | 0 | 11,938 | 2,624 | |||||||||||||||
Other comprehensive income (loss) | (768,171 | ) | 9,689 | (1,742 | ) | 45,930 | (714,294 | ) | |||||||||||||
Balance at December 31, 2013 | $ | 256,196 | $ | (6,728 | ) | $ | 24,866 | $ | (63,353 | ) | $ | 210,981 | |||||||||
Reclassifications out of Accumulated Other Comprehensive Income are presented below for the twelve months ended December 31, 2013. | |||||||||||||||||||||
Reclassification Adjustments | |||||||||||||||||||||
Component Line Item | Twelve months | Affected line items in the | |||||||||||||||||||
ended | Statement of Operations | ||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Unrealized gains (losses) on available for sale assets: | |||||||||||||||||||||
Realized (gains) losses | $ | (9,606 | ) | Realized investment gains (losses) | |||||||||||||||||
Amortization of (discount) premium | (6,569 | ) | Net investment income | ||||||||||||||||||
Total before tax | (16,175 | ) | |||||||||||||||||||
Tax | 6,861 | Income Taxes | |||||||||||||||||||
Total after tax | (9,314 | ) | |||||||||||||||||||
Pension adjustments: | |||||||||||||||||||||
Amortization of prior service cost | 2,276 | Other operating expenses | |||||||||||||||||||
Amortization of actuarial (gain) loss | 16,090 | Other operating expenses | |||||||||||||||||||
Total before tax | 18,366 | ||||||||||||||||||||
Tax | (6,428 | ) | Income Taxes | ||||||||||||||||||
Total after tax | 11,938 | ||||||||||||||||||||
Total reclassifications (after tax) | $ | 2,624 | |||||||||||||||||||
Investments
Investments | 12 Months Ended | ||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||
Investments Schedule [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Investments | ' | ||||||||||||||||||||||||||||||||||||
Note 4—Investments | |||||||||||||||||||||||||||||||||||||
Portfolio Composition: | |||||||||||||||||||||||||||||||||||||
A summary of fixed maturities available for sale and equity securities by cost or amortized cost and estimated fair value at December 31, 2013 and 2012 is as follows: | |||||||||||||||||||||||||||||||||||||
2013:00:00 | Cost or | Gross | Gross | Fair Value | Amount per | % of Total | |||||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | the Balance | Fixed | |||||||||||||||||||||||||||||||||
Cost | Gains | Losses | Sheet | Maturities* | |||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 428,106 | $ | 362 | $ | (75,295 | ) | $ | 353,173 | $ | 353,173 | 3 | % | ||||||||||||||||||||||||
States, municipalities, and political subdivisions | 1,278,434 | 69,817 | (12,947 | ) | 1,335,304 | 1,335,304 | 10 | ||||||||||||||||||||||||||||||
Foreign governments | 43,811 | 411 | (67 | ) | 44,155 | 44,155 | 0 | ||||||||||||||||||||||||||||||
Corporates | 10,133,868 | 702,867 | (300,389 | ) | 10,536,346 | 10,536,346 | 82 | ||||||||||||||||||||||||||||||
Collateralized debt obligations | 66,173 | 0 | (7,968 | ) | 58,205 | 58,205 | 1 | ||||||||||||||||||||||||||||||
Other asset-backed securities | 35,568 | 2,699 | (98 | ) | 38,169 | 38,169 | 0 | ||||||||||||||||||||||||||||||
Redeemable preferred stocks | 502,915 | 25,064 | (14,198 | ) | 513,781 | 513,781 | 4 | ||||||||||||||||||||||||||||||
Total fixed maturities | 12,488,875 | 801,220 | (410,962 | ) | 12,879,133 | 12,879,133 | 100 | % | |||||||||||||||||||||||||||||
Equity securities | 875 | 1,009 | 0 | 1,884 | 1,884 | ||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 12,489,750 | $ | 802,229 | $ | (410,962 | ) | $ | 12,881,017 | $ | 12,881,017 | ||||||||||||||||||||||||||
2012:00:00 | Cost or | Gross | Gross | Fair Value | Amount per | % of Total | |||||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | the Balance | Fixed | |||||||||||||||||||||||||||||||||
Cost | Gains | Losses | Sheet | Maturities* | |||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 492,928 | $ | 1,948 | $ | (4,773 | ) | $ | 490,103 | $ | 490,103 | 4 | % | ||||||||||||||||||||||||
States, municipalities, and political subdivisions | 1,283,883 | 173,649 | (189 | ) | 1,457,343 | 1,457,343 | 11 | ||||||||||||||||||||||||||||||
Foreign governments | 33,577 | 988 | 0 | 34,565 | 34,565 | 0 | |||||||||||||||||||||||||||||||
Corporates | 9,309,408 | 1,442,638 | (55,023 | ) | 10,697,023 | 10,697,023 | 79 | ||||||||||||||||||||||||||||||
Collateralized debt obligations | 64,622 | 0 | (18,051 | ) | 46,571 | 46,571 | 0 | ||||||||||||||||||||||||||||||
Other asset-backed securities | 43,560 | 3,708 | (401 | ) | 46,867 | 46,867 | 0 | ||||||||||||||||||||||||||||||
Redeemable preferred stocks | 735,428 | 43,897 | (10,604 | ) | 768,721 | 768,721 | 6 | ||||||||||||||||||||||||||||||
Total fixed maturities | 11,963,406 | 1,666,828 | (89,041 | ) | 13,541,193 | 13,541,193 | 100 | % | |||||||||||||||||||||||||||||
Equity securities | 14,875 | 692 | 0 | 15,567 | 15,567 | ||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 11,978,281 | $ | 1,667,520 | $ | (89,041 | ) | $ | 13,556,760 | $ | 13,556,760 | ||||||||||||||||||||||||||
* | At fair value | ||||||||||||||||||||||||||||||||||||
A schedule of fixed maturities by contractual maturity at December 31, 2013 is shown below on an amortized cost basis and on a fair value basis. Actual maturities could differ from contractual maturities due to call or prepayment provisions. | |||||||||||||||||||||||||||||||||||||
Amortized | Fair | ||||||||||||||||||||||||||||||||||||
Cost | Value | ||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Due in one year or less | $ | 102,473 | $ | 104,065 | |||||||||||||||||||||||||||||||||
Due from one to five years | 494,066 | 538,995 | |||||||||||||||||||||||||||||||||||
Due from five to ten years | 911,559 | 979,502 | |||||||||||||||||||||||||||||||||||
Due from ten to twenty years | 3,109,054 | 3,303,084 | |||||||||||||||||||||||||||||||||||
Due after twenty years | 7,766,780 | 7,853,621 | |||||||||||||||||||||||||||||||||||
Mortgage-backed and asset-backed securities | 104,943 | 99,866 | |||||||||||||||||||||||||||||||||||
$ | 12,488,875 | $ | 12,879,133 | ||||||||||||||||||||||||||||||||||
Analysis of investment operations: | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Net investment income is summarized as follows: | |||||||||||||||||||||||||||||||||||||
Fixed maturities | $ | 709,756 | $ | 691,229 | $ | 683,101 | |||||||||||||||||||||||||||||||
Equity securities | 323 | 1,178 | 1,558 | ||||||||||||||||||||||||||||||||||
Policy loans | 33,471 | 30,717 | 29,293 | ||||||||||||||||||||||||||||||||||
Other long-term investments | 1,281 | 2,320 | 2,439 | ||||||||||||||||||||||||||||||||||
Short-term investments | 138 | 311 | 165 | ||||||||||||||||||||||||||||||||||
744,969 | 725,755 | 716,556 | |||||||||||||||||||||||||||||||||||
Less investment expense | (35,226 | ) | (32,111 | ) | (23,528 | ) | |||||||||||||||||||||||||||||||
Net investment income | $ | 709,743 | $ | 693,644 | $ | 693,028 | |||||||||||||||||||||||||||||||
An analysis of realized gains (losses) from investments is as follows: | |||||||||||||||||||||||||||||||||||||
Realized investment gains (losses): | |||||||||||||||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||||||||||||||
Sales and other | $ | 13,138 | $ | 47,345 | $ | 27,790 | |||||||||||||||||||||||||||||||
Other-than-temporary impairments | 0 | (5,600 | ) | (20 | ) | ||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||
Loss on redemption of debt | 0 | (4,109 | ) | 0 | |||||||||||||||||||||||||||||||||
Other | (5,148 | ) | 197 | (1,866 | ) | ||||||||||||||||||||||||||||||||
7,990 | 37,833 | 25,904 | |||||||||||||||||||||||||||||||||||
Applicable tax | (4,025 | ) | (13,242 | ) | (9,066 | ) | |||||||||||||||||||||||||||||||
Realized gains (losses) from investments, net of tax | $ | 3,965 | $ | 24,591 | $ | 16,838 | |||||||||||||||||||||||||||||||
An analysis of the net change in unrealized investment gains (losses) is as follows: | |||||||||||||||||||||||||||||||||||||
Equity securities | $ | 317 | $ | (1,489 | ) | $ | (98 | ) | |||||||||||||||||||||||||||||
Fixed maturities available for sale | (1,187,529 | ) | 613,826 | 856,424 | |||||||||||||||||||||||||||||||||
Net change in unrealized gains (losses) on securities | (1,187,212 | ) | 612,337 | 856,326 | |||||||||||||||||||||||||||||||||
Other investments | 3,560 | 2,517 | 366 | ||||||||||||||||||||||||||||||||||
Net change in unrealized gains (losses) | $ | (1,183,652 | ) | $ | 614,854 | $ | 856,692 | ||||||||||||||||||||||||||||||
Additional information about securities sold is as follows: | |||||||||||||||||||||||||||||||||||||
At December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||||||||||||||
Proceeds from sales | $ | 133,463 | $ | 345,601 | $ | 236,662 | * | ||||||||||||||||||||||||||||||
Gross realized gains | 5,948 | 40,851 | 28,249 | ||||||||||||||||||||||||||||||||||
Gross realized losses | (1,310 | ) | (2,477 | ) | (24,323 | ) | |||||||||||||||||||||||||||||||
* | Includes $12.3 million of unsettled trades | ||||||||||||||||||||||||||||||||||||
Fair value measurements: The following tables represent the fair value of assets measured on a recurring basis at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements at December 31, 2013 Using: | |||||||||||||||||||||||||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total Fair | |||||||||||||||||||||||||||||||||
Active Markets | Observable | Unobservable | Value | ||||||||||||||||||||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 0 | $ | 353,173 | $ | 0 | $ | 353,173 | |||||||||||||||||||||||||||||
States, municipalities, and political subdivisions | 0 | 1,335,304 | 0 | 1,335,304 | |||||||||||||||||||||||||||||||||
Foreign governments | 0 | 44,155 | 0 | 44,155 | |||||||||||||||||||||||||||||||||
Corporates | 47,058 | 10,188,988 | 300,300 | 10,536,346 | |||||||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 58,205 | 58,205 | |||||||||||||||||||||||||||||||||
Other asset-backed securities | 0 | 38,169 | 0 | 38,169 | |||||||||||||||||||||||||||||||||
Redeemable preferred stocks | 22,220 | 491,561 | 0 | 513,781 | |||||||||||||||||||||||||||||||||
Total fixed maturities | 69,278 | 12,451,350 | 358,505 | 12,879,133 | |||||||||||||||||||||||||||||||||
Equity securities | 1,108 | 0 | 776 | 1,884 | |||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 70,386 | $ | 12,451,350 | $ | 359,281 | $ | 12,881,017 | |||||||||||||||||||||||||||||
Percentage of total | 0.5 | % | 96.7 | % | 2.8 | % | 100 | % | |||||||||||||||||||||||||||||
Description | Fair Value Measurements at December 31, 2012 Using: | ||||||||||||||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair | ||||||||||||||||||||||||||||||||||
Active Markets | Observable | Unobservable | Value | ||||||||||||||||||||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 0 | $ | 490,103 | $ | 0 | $ | 490,103 | |||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 0 | 1,457,343 | 0 | 1,457,343 | |||||||||||||||||||||||||||||||||
Foreign governments | 0 | 34,565 | 0 | 34,565 | |||||||||||||||||||||||||||||||||
Corporates | 31,976 | 10,443,526 | 221,521 | 10,697,023 | |||||||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 46,571 | 46,571 | |||||||||||||||||||||||||||||||||
Other asset-backed securities | 0 | 38,886 | 7,981 | 46,867 | |||||||||||||||||||||||||||||||||
Redeemable preferred stocks | 128,473 | 630,697 | 9,551 | 768,721 | |||||||||||||||||||||||||||||||||
Total fixed maturities | 160,449 | 13,095,120 | 285,624 | 13,541,193 | |||||||||||||||||||||||||||||||||
Equity securities | 14,828 | 0 | 739 | 15,567 | |||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 175,277 | $ | 13,095,120 | $ | 286,363 | $ | 13,556,760 | |||||||||||||||||||||||||||||
Percent of total | 1.3 | % | 96.6 | % | 2.1 | % | 100 | % | |||||||||||||||||||||||||||||
The following table represents changes in assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3). | |||||||||||||||||||||||||||||||||||||
Analysis of Changes in Fair Value Measurements Using | |||||||||||||||||||||||||||||||||||||
Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||||||||||
Asset- | Collateralized | Corporates* | Equities | Total | |||||||||||||||||||||||||||||||||
backed | debt | ||||||||||||||||||||||||||||||||||||
securities | Obligations | ||||||||||||||||||||||||||||||||||||
Balance at January 1, 2011 | $ | 8,042 | $ | 22,456 | $ | 73,673 | $ | 670 | $ | 104,841 | |||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | (12,542 | ) | 0 | (12,542 | ) | ||||||||||||||||||||||||||||||
Included in other comprehensive income | (714 | ) | 3,952 | 14,578 | 40 | 17,856 | |||||||||||||||||||||||||||||||
Sales | 0 | 0 | (13,875 | ) | 0 | (13,875 | ) | ||||||||||||||||||||||||||||||
Amortization | (206 | ) | 2,470 | 1,302 | 0 | 3,566 | |||||||||||||||||||||||||||||||
Other ** | 0 | 1,442 | 0 | 0 | 1,442 | ||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 0 | 0 | (51,886 | ) | 0 | (51,886 | ) | ||||||||||||||||||||||||||||||
Balance at December 31, 2011 | 7,122 | 30,320 | 11,250 | 710 | 49,402 | ||||||||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | 1,482 | 0 | 1,482 | ||||||||||||||||||||||||||||||||
Included in other comprehensive income | 1,078 | 12,067 | 3,600 | 29 | 16,774 | ||||||||||||||||||||||||||||||||
Acquisitions | 0 | 0 | 183,676 | 0 | 183,676 | ||||||||||||||||||||||||||||||||
Sales | 0 | 0 | (13,429 | ) | 0 | (13,429 | ) | ||||||||||||||||||||||||||||||
Amortization | (219 | ) | 2,648 | 699 | 0 | 3,128 | |||||||||||||||||||||||||||||||
Other ** | 0 | 1,536 | 0 | 0 | 1,536 | ||||||||||||||||||||||||||||||||
Transfers into Level 3 | 0 | 0 | 43,794 | 0 | 43,794 | ||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | 7,981 | 46,571 | 231,072 | 739 | 286,363 | ||||||||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||
Included in other comprehensive income | 426 | 10,083 | (17,243 | ) | 37 | (6,697 | ) | ||||||||||||||||||||||||||||||
Acquisitions | 0 | 0 | 129,755 | 0 | 129,755 | ||||||||||||||||||||||||||||||||
Sales | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||
Amortization | (57 | ) | 2,838 | 5 | 0 | 2,786 | |||||||||||||||||||||||||||||||
Other ** | 0 | (1,287 | ) | (834 | ) | 0 | (2,121 | ) | |||||||||||||||||||||||||||||
Transfers out of Level 3 | (8,350 | ) | 0 | (42,455 | ) | 0 | (50,805 | ) | |||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 0 | $ | 58,205 | $ | 300,300 | $ | 776 | $ | 359,281 | |||||||||||||||||||||||||||
* | Includes redeemable preferred stocks | ||||||||||||||||||||||||||||||||||||
** | Includes capitalized interest and foreign exchange adjustments. | ||||||||||||||||||||||||||||||||||||
Acquisitions of Level 3 investments in 2013 and 2012 are comprised of private-placement fixed maturities managed by an unaffiliated third-party. | |||||||||||||||||||||||||||||||||||||
Quantitative Information about Level 3 | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Fair Value | Valuation | Unobservable | Range | Weighted | |||||||||||||||||||||||||||||||||
Techniques | Input | Average | |||||||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 58,205 | Discounted | Discount | 15% | 15% | |||||||||||||||||||||||||||||||
cash flows | rate | ||||||||||||||||||||||||||||||||||||
Private placement fixed maturities | 300,300 | Discounted | Credit | BBB- to A+ | BBB | ||||||||||||||||||||||||||||||||
cash flows | rating | ||||||||||||||||||||||||||||||||||||
Other investments | 776 | Third-party | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||
pricing without | |||||||||||||||||||||||||||||||||||||
adjustment | |||||||||||||||||||||||||||||||||||||
$ | 359,281 | ||||||||||||||||||||||||||||||||||||
The collateral underlying collateralized debt obligations for which fair values are reported as Level 3 consists primarily of trust preferred securities issued by banks and insurance companies. None of the collateral is subprime or Alt-A mortgages (loans for which the typical documentation was not provided by the borrower). Collateralized debt obligations are valued at the present value of expected future cash flows using an unobservable discount rate. Expected cash flows are determined by scheduling the projected repayment of the collateral assuming no future defaults, deferrals, or recoveries. The discount rate is risk-adjusted to take these items into account. A significant increase (decrease) in the discount rate will produce a significant decrease (increase) in fair value. Additionally, a significant increase (decrease) in the cash flow expectations would result in a significant increase (decrease) in fair value. | |||||||||||||||||||||||||||||||||||||
The private placements are also valued based on discounted cash flows, resulting from the contractual cash flows discounted by a yield determined as a treasury benchmark adjusted for a credit spread. The credit spread is developed from observable indices for similar public fixed maturities and unobservable indices for private fixed maturities for corresponding credit ratings. However, the credit ratings for the private placements are considered unobservable inputs, as they are assigned by the third party investment manager based on a quantitative and qualitative assessment of the credit underwritten. A higher (lower) credit rating would result in a higher (lower) valuation. For more information regarding valuation procedures, please refer to Note 1 — Significant Accounting Policies under the caption Fair Value Measurements, Investments in Securities. | |||||||||||||||||||||||||||||||||||||
The following table presents transfers in and out of each of the valuation levels of fair values. | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
In | Out | Net | In | Out | Net | In | Out | Net | |||||||||||||||||||||||||||||
Level 1 | $ | 19,416 | $ | 0 | $ | 19,416 | $ | 48,536 | $ | 0 | $ | 48,536 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||
Level 2 | 50,805 | (19,416 | ) | 31,389 | 0 | (92,330 | ) | (92,330 | ) | 51,886 | 0 | 51,886 | |||||||||||||||||||||||||
Level 3 | 0 | (50,805 | ) | (50,805 | ) | 43,794 | 0 | 43,794 | 0 | (51,886 | ) | (51,886 | ) | ||||||||||||||||||||||||
Transfers into Level 2 from Level 3 result from the availability of observable market data when a security is valued at the end of a period. Transfers into Level 3 occur when there is a lack of observable market information. Transfers into Level 1 from Level 2 occur when direct quotes are available; transfers from Level 1 into Level 2 result when only observable market data and no direct quotes are available. | |||||||||||||||||||||||||||||||||||||
Other-than-temporary impairments: Torchmark has determined that certain of its holdings in fixed maturity investments were other-than-temporarily impaired during the three years ended December 31, 2013. The following table presents the writedowns recorded due to these impairments in accordance with accounting guidance and whether the writedown was charged to earnings or other comprehensive income. | |||||||||||||||||||||||||||||||||||||
Writedowns for Other-Than-Temporary Impairments | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Net | Other | Net | Other | Net | Other | ||||||||||||||||||||||||||||||||
Income | Comprehensive | Income | Comprehensive | Income | Comprehensive | ||||||||||||||||||||||||||||||||
Income | Income | Income | |||||||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||||
Corporate bonds | 0 | 0 | 5,600 | 0 | 20 | 0 | |||||||||||||||||||||||||||||||
Total pre-tax | $ | 0 | $ | 0 | $ | 5,600 | $ | 0 | $ | 20 | $ | 0 | |||||||||||||||||||||||||
After tax | $ | 0 | $ | 0 | $ | 3,640 | $ | 0 | $ | 13 | $ | 0 | |||||||||||||||||||||||||
As of year end 2013, previously written down securities remaining in the portfolio were carried at a fair value of $42 million. Otherwise, as of December 31, 2013, Torchmark has no information available to cause it to believe that any of its investments are other-than-temporarily impaired. Torchmark has the ability and intent to hold these investments to recovery, and does not intend to sell nor expects to be required to sell its other impaired securities. | |||||||||||||||||||||||||||||||||||||
Bifurcated credit losses result when there is an other-than-temporary impairment for which a portion of the loss is recognized in other comprehensive income. Torchmark’s balances related to bifurcated credit loss positions included in other comprehensive income were $22 million at December 31, 2013, December 31, 2012, and December 31, 2011. There was no change in this balance since January 1, 2011. | |||||||||||||||||||||||||||||||||||||
Unrealized gains/loss analysis. Conditions in financial markets improved during 2011 and 2012, resulting in increases in net unrealized gains in the portfolio in both years. In 2011, net unrealized gains rose from $108 million in the beginning of the year to $964 million at December 31, and then further increased to $1.6 billion at December 31, 2012. In 2013, however, increases in interest rates in financial markets caused the net unrealized gain balances to decline to $390 million at December 31, 2013. At December 31, 2013, investments in securities in the financial sector were in a $180 million net unrealized gain position. These investments in the financial sector represented 25% of the portfolio at amortized cost and 26% at fair value. This is compared with a net unrealized gain position of $339 million at the end of the prior year. Investments and securities in the other sectors had net unrealized gains of $210 million at year end 2013 and $1.2 billion at year end 2012. The following tables disclose gross unrealized investment losses by class of investment at December 31, 2013 and December 31, 2012 for the period of time in a loss position. Torchmark considers these investments to be only temporarily impaired. | |||||||||||||||||||||||||||||||||||||
ANALYSIS OF GROSS UNREALIZED INVESTMENT LOSSES | |||||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Less than | Twelve Months | Total | |||||||||||||||||||||||||||||||||||
Twelve Months | or Longer | ||||||||||||||||||||||||||||||||||||
Description of Securities | Fair Value | Unrealized | Fair | Unrealized | Fair Value | Unrealized | |||||||||||||||||||||||||||||||
Loss | Value | Loss | Loss | ||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 242,144 | $ | (42,885 | ) | $ | 87,977 | $ | (32,410 | ) | $ | 330,121 | $ | (75,295 | ) | ||||||||||||||||||||||
States, municipalities and political subdivisions | 167,660 | (12,807 | ) | 1,619 | (140 | ) | 169,279 | (12,947 | ) | ||||||||||||||||||||||||||||
Foreign governments | 11,966 | (67 | ) | 0 | 0 | 11,966 | (67 | ) | |||||||||||||||||||||||||||||
Corporates | 2,692,494 | (196,139 | ) | 600,350 | (104,250 | ) | 3,292,844 | (300,389 | ) | ||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 58,080 | (7,968 | ) | 58,080 | (7,968 | ) | |||||||||||||||||||||||||||||
Other asset-backed securities | 6,974 | (26 | ) | 3,873 | (72 | ) | 10,847 | (98 | ) | ||||||||||||||||||||||||||||
Redeemable preferred stocks | 106,229 | (3,694 | ) | 82,287 | (10,504 | ) | 188,516 | (14,198 | ) | ||||||||||||||||||||||||||||
Total fixed maturities | $ | 3,227,467 | $ | (255,618 | ) | $ | 834,186 | $ | (155,344 | ) | $ | 4,061,653 | $ | (410,962 | ) | ||||||||||||||||||||||
ANALYSIS OF GROSS UNREALIZED INVESTMENT LOSSES | |||||||||||||||||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Less than | Twelve Months | Total | |||||||||||||||||||||||||||||||||||
Twelve Months | or Longer | ||||||||||||||||||||||||||||||||||||
Description of Securities | Fair | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||||||||||||||
Value | Loss | Loss | Loss | ||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 316,596 | $ | (4,770 | ) | $ | 199 | $ | (3 | ) | $ | 316,795 | $ | (4,773 | ) | ||||||||||||||||||||||
States, municipalities and political subdivisions | 26,206 | (189 | ) | 0 | 0 | 26,206 | (189 | ) | |||||||||||||||||||||||||||||
Foreign governments | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Corporates | 761,477 | (15,339 | ) | 343,987 | (39,684 | ) | 1,105,464 | (55,023 | ) | ||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 46,446 | (18,051 | ) | 46,446 | (18,051 | ) | |||||||||||||||||||||||||||||
Other asset-backed securities | 7,940 | (88 | ) | 7,981 | (313 | ) | 15,921 | (401 | ) | ||||||||||||||||||||||||||||
Redeemable preferred stocks | 44,132 | (310 | ) | 171,852 | (10,294 | ) | 215,984 | (10,604 | ) | ||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,156,351 | $ | (20,696 | ) | $ | 570,465 | $ | (68,345 | ) | $ | 1,726,816 | $ | (89,041 | ) | ||||||||||||||||||||||
Additional information about investments in an unrealized loss position is as follows: | |||||||||||||||||||||||||||||||||||||
Less than | Twelve | Total | |||||||||||||||||||||||||||||||||||
Twelve | Months | ||||||||||||||||||||||||||||||||||||
Months | or Longer | ||||||||||||||||||||||||||||||||||||
Number of issues (Cusip numbers) held: | |||||||||||||||||||||||||||||||||||||
As of December 31, 2013 | 462 | 130 | 592 | ||||||||||||||||||||||||||||||||||
As of December 31, 2012 | 195 | 95 | 290 | ||||||||||||||||||||||||||||||||||
Torchmark’s entire fixed-maturity and equity portfolio consisted of 1,619 issues at December 31, 2013 and 1,630 issues at December 31, 2012. The weighted-average quality rating of all unrealized loss positions as of December 31, 2013 was BBB+, compared with BBB+ a year earlier. The weighted-average quality ratings are based on amortized cost. | |||||||||||||||||||||||||||||||||||||
Other investment information: | |||||||||||||||||||||||||||||||||||||
Other long-term investments consist of the following: | |||||||||||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Mortgage loans, at cost | $ | 0 | $ | 514 | |||||||||||||||||||||||||||||||||
Investment real estate, at depreciated cost | 203 | 2,816 | |||||||||||||||||||||||||||||||||||
Low-income housing interests | 7,589 | 9,875 | |||||||||||||||||||||||||||||||||||
Other | 5,415 | 5,334 | |||||||||||||||||||||||||||||||||||
Total | $ | 13,207 | $ | 18,539 | |||||||||||||||||||||||||||||||||
The fair value for mortgages was approximately $0.5 million at December 31, 2012. Accumulated depreciation on investment real estate was $1.7 million at December 31, 2013 and $2.1 million at December 31, 2012. | |||||||||||||||||||||||||||||||||||||
Torchmark had $125 thousand in fixed maturities at book value ($126 thousand at fair value) that were non-income producing during the twelve months ended December 31, 2013. Torchmark did not have any other invested assets that were non-income producing during the twelve months ended December 31, 2013. |
Deferred_Acquisition_Costs
Deferred Acquisition Costs | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Insurance [Abstract] | ' | ||||||||||||
Deferred Acquisition Costs | ' | ||||||||||||
Note 5—Deferred Acquisition Costs | |||||||||||||
An analysis of deferred acquisition costs is as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Balance at beginning of year | $ | 3,198,431 | $ | 2,916,732 | $ | 2,869,546 | |||||||
Additions: | |||||||||||||
Deferred during period: | |||||||||||||
Commissions | 331,060 | 312,581 | 283,961 | ||||||||||
Other expenses | 193,203 | 168,237 | 157,864 | ||||||||||
Total deferred | 524,263 | 480,818 | 441,825 | ||||||||||
Value of insurance purchased during year | 8,489 | 175,257 | 0 | ||||||||||
Foreign exchange adjustment | 0 | 3,557 | 0 | ||||||||||
Adjustment attributable to unrealized investment losses(1) | 14,906 | 7,234 | 0 | ||||||||||
Total additions | 547,658 | 666,866 | 441,825 | ||||||||||
Deductions: | |||||||||||||
Amortized during period | (403,389 | ) | (385,167 | ) | (364,583 | ) | |||||||
Foreign exchange adjustment | (5,051 | ) | 0 | (1,765 | ) | ||||||||
Adjustment attributable to unrealized investment gains(1) | 0 | 0 | (28,291 | ) | |||||||||
Total deductions | (408,440 | ) | (385,167 | ) | (394,639 | ) | |||||||
Balance at end of year | $ | 3,337,649 | $ | 3,198,431 | $ | 2,916,732 | |||||||
-1 | Represents amounts pertaining to investments relating to universal life-type products. | ||||||||||||
Acquisition
Acquisition | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Business Combinations [Abstract] | ' | ||||||||
Acquisition | ' | ||||||||
Note 6—Acquisition | |||||||||
On November 1, 2012, Torchmark acquired all of the outstanding common stock of Family Heritage Life Insurance Company of America (Family Heritage), a privately-held supplemental health insurance provider. The purchase price was approximately $234 million, including post-closing adjustments and the assumption of $20 million par value of debt in the form of trust preferred securities issued by Family Heritage’s previous parent company ($20 million fair value at the purchase date). The balance of the purchase price of approximately $214 million was funded primarily with cash provided from borrowings as described in Note 11—Debt. | |||||||||
Family Heritage was founded in 1989 and is headquartered in Cleveland, Ohio. It is a specialty insurer focused primarily on selling protection-oriented individual supplemental health insurance products through a captive agency force. Torchmark believes that Family Heritage is an excellent fit with Torchmark’s existing insurance business, given that Family Heritage’s operations are consistent with Torchmark’s strategy of selling basic protection products in relatively non-competitive markets through controlled distribution channels. Acquisition expenses in connection with the transaction charged to Torchmark’s earnings in 2012 were $2.9 million ($1.9 million after tax). These costs were included as “Other operating expense” in the Consolidated Statement of Operations for 2012. In 2013, a one-time adjustment for the finalization of accounting for the insurance assets and liabilities for the Family Heritage acquisition was completed. The result of this adjustment was a $1.5 million increase in pretax income ($522 thousand after tax), due to the net effect of an increase in the policyholder benefit reserve of $8.5 million and a greater increase in the deferred acquisition asset of $10.0 million. | |||||||||
The acquisition was accounted for under the acquisition method of accounting as required by accounting guidance. This guidance requires that the identifiable assets acquired and liabilities assumed be based on their fair values at the acquisition date. The results of operations since the acquisition date have been consolidated. A summary of the net assets acquired is as follows: | |||||||||
Fair Value as of | |||||||||
November 1, 2012 | |||||||||
Assets acquired: | |||||||||
Investments | $ | 591,947 | |||||||
Cash | 27,323 | ||||||||
Value of insurance purchased | 175,257 | ||||||||
Goodwill | 44,700 | ||||||||
Other assets | 45,573 | ||||||||
Total assets | 884,800 | ||||||||
Liabilities assumed: | |||||||||
Policy liabilities | 643,306 | ||||||||
Other liabilities | 7,747 | ||||||||
Total liabilities | 651,053 | ||||||||
Total net assets acquired | $ | 233,747 | |||||||
The amount recorded as the value of insurance purchased at November 1, 2012, represents the difference between the fair value of the contractual insurance assets acquired and liabilities assumed compared against the assets and liabilities measured in accordance with the Company’s accounting policies for insurance contracts that it issues or holds in accordance with GAAP. The fair value of this asset was determined based on an actuarial analysis performed by management. The value of insurance purchased is included with “Deferred acquisition costs” on the Consolidated Balance Sheets and will be amortized in proportion with the premium income of the acquired insurance business in accordance with accounting guidance. | |||||||||
No goodwill related to the acquisition is deductible for tax purposes. Because the operations of Family Heritage are considered a part of Torchmark’s health segment, goodwill arising from the transition has been assigned to that reporting unit. | |||||||||
During the two-month period commencing on the purchase date of November 1, 2012 and ending December 31, 2012, Family Heritage had revenues of $33 million and net income of $3.1 million included in Torchmark’s 2012 Consolidated Statement of Operations. | |||||||||
The table below presents supplemental unaudited pro forma information for 2012 and 2011 as if the Family Heritage acquisition were completed on January 1, 2011, based on estimates and assumptions considered appropriate: | |||||||||
Year Ended December 31, | |||||||||
2012 | 2011 | ||||||||
Revenues | $ | 197,174 | $ | 180,155 | |||||
Net income | 13,220 | 12,107 | |||||||
Net income per diluted share | 0.14 | 0.11 | |||||||
The supplemental unaudited pro forma information above is presented for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisition been consummated as of that time, nor is it intended to be a projection of future results. | |||||||||
Liability_for_Unpaid_Health_Cl
Liability for Unpaid Health Claims | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Liability for Unpaid Health Claims | ' | ||||||||||||
Note 7—Liability for Unpaid Health Claims | |||||||||||||
Activity in the liability for unpaid health claims is summarized as follows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Balance at beginning of year | $ | 104,870 | $ | 103,517 | $ | 100,598 | |||||||
Acquisition of Family Heritage | 0 | 11,700 | 0 | ||||||||||
Incurred related to: | |||||||||||||
Current year | 720,490 | 704,934 | 628,137 | ||||||||||
Prior years | (11,594 | ) | (17,531 | ) | (10,644 | ) | |||||||
Total incurred | 708,896 | 687,403 | 617,493 | ||||||||||
Paid related to: | |||||||||||||
Current year | 636,150 | 627,495 | 538,910 | ||||||||||
Prior years | 75,897 | 70,255 | 75,664 | ||||||||||
Total paid | 712,047 | 697,750 | 614,574 | ||||||||||
Balance at end of year | $ | 101,719 | $ | 104,870 | $ | 103,517 | |||||||
At the end of each period, the liability for unpaid health claims includes an estimate of claims incurred but not yet reported to the Company. Such estimates are updated regularly based upon the Company’s most recent claims data with recognition of emerging experience trends. Because of the nature of the Company’s health business, the payment lags are relatively short and most claims are fully paid within a year from the time incurred. Fluctuations in claims experience can lead to either over- or under-estimation of the liability for any given year. The difference between the estimate made at the end of the prior period and the actual experience during the period is reflected above under the caption “Incurred related to: Prior years.” | |||||||||||||
Claims paid in each of the years 2011 through 2013 were settled for amounts less than anticipated when estimated at the previous year end. The most significant components of these favorable variances were in Torchmark’s UA Independent, Liberty National Branch, and Medicare Part D distribution channels. The Company’s estimates at each point have reflected the emerging data and trends. In the Medicare Part D channel, the Company is required to estimate claim discounts that will be received from drug manufacturers. In each of the years 2011 through 2013, the discounts from the drug manufacturers received in the current year but related to prior year claims were higher than anticipated when the claim liability was determined. | |||||||||||||
The liability for unpaid health claims is included with “Policy claims and other benefits payable” on the Consolidated Balance Sheets. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Income Taxes | ' | ||||||||||||||||||||||||
Note 8—Income Taxes | |||||||||||||||||||||||||
The components of income taxes were as follows: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Income tax expense from continuing operations | $ | 234,654 | $ | 236,669 | $ | 226,166 | |||||||||||||||||||
Income tax expense (benefit) from discontinued operations | 0 | 0 | (467 | ) | |||||||||||||||||||||
Shareholders’ equity: | |||||||||||||||||||||||||
Other comprehensive income (loss) | (386,752 | ) | 201,950 | 284,355 | |||||||||||||||||||||
Tax basis compensation expense (from the exercise of stock options and vesting of restricted stock awards) in excess of amounts recognized for financial reporting purposes | (21,314 | ) | (22,602 | ) | (13,121 | ) | |||||||||||||||||||
$ | (173,412 | ) | $ | 416,017 | $ | 496,933 | |||||||||||||||||||
Income tax expense from continuing operations consists of: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Current income tax expense | $ | 176,427 | $ | 161,332 | $ | 169,500 | |||||||||||||||||||
Deferred income tax expense | 58,227 | 75,337 | 56,666 | ||||||||||||||||||||||
$ | 234,654 | $ | 236,669 | $ | 226,166 | ||||||||||||||||||||
In each of the years 2011 through 2013, deferred income tax expense was incurred because of certain differences between net income before income taxes as reported on the Consolidated Statements of Operations and taxable income as reported on Torchmark’s income tax returns. As explained in Note 1—Significant Accounting Policies, these differences caused the financial statement book values of some assets and liabilities to be different from their respective tax bases. | |||||||||||||||||||||||||
The effective income tax rate differed from the expected 35% rate as shown below: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | % | 2012 | % | 2011 | % | ||||||||||||||||||||
Expected income taxes | $ | 267,094 | 35 | % | $ | 268,098 | 35 | % | $ | 253,324 | 35 | % | |||||||||||||
Increase (reduction) in income taxes resulting from: | |||||||||||||||||||||||||
Tax-exempt investment income | $ | (3,107 | ) | (.4 | ) | (3,506 | ) | (.4 | ) | (3,468 | ) | (.5 | ) | ||||||||||||
Low income housing investments | (32,417 | ) | (4.2 | ) | (28,877 | ) | (3.8 | ) | (24,258 | ) | (3.4 | ) | |||||||||||||
Other | 3,084 | 0.4 | 954 | 0.1 | 568 | 0.1 | |||||||||||||||||||
Income tax expense | $ | 234,654 | 30.8 | % | $ | 236,669 | 30.9 | % | $ | 226,166 | 31.2 | % | |||||||||||||
The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below: | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Fixed maturity investments | $ | 16,868 | $ | 22,387 | |||||||||||||||||||||
Carryover of tax losses | 11,415 | 14,177 | |||||||||||||||||||||||
Other assets | 0 | 4,084 | |||||||||||||||||||||||
Total gross deferred tax assets | 28,283 | 40,648 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Unrealized gains | 92,772 | 481,804 | |||||||||||||||||||||||
Employee and agent compensation | 68,911 | 65,877 | |||||||||||||||||||||||
Deferred acquisition costs | 829,032 | 791,254 | |||||||||||||||||||||||
Future policy benefits, unearned and advance premiums, and policy claims | 315,291 | 311,366 | |||||||||||||||||||||||
Other liabilities | 1,126 | 0 | |||||||||||||||||||||||
Total gross deferred tax liabilities | 1,307,132 | 1,650,301 | |||||||||||||||||||||||
Net deferred tax liability | $ | 1,278,849 | $ | 1,609,653 | |||||||||||||||||||||
Torchmark and its subsidiaries, excluding Family Heritage, file a life-nonlife consolidated Federal income tax return. Family Heritage files its Federal income tax return on a separate company basis. Torchmark’s consolidated Federal income tax returns are routinely audited by the Internal Revenue Service (IRS). The IRS is currently examining Torchmark’s 2008-2011 consolidated income tax returns. The statutes of limitations for the assessment of additional tax are closed for all tax years prior to 2008 with respect to Torchmark’s consolidated Federal income tax returns and are closed for all tax years prior to 2010 with respect to Family Heritage’s Federal income tax returns. Management believes that adequate provision has been made in the consolidated financial statements for any potential assessments that may result from current or future tax examinations and other tax-related matters for all open years. | |||||||||||||||||||||||||
Torchmark has net operating loss carryforwards of approximately $32.6 million at December 31, 2013 which will begin to expire in 2025 if not otherwise used to offset future taxable income. A valuation allowance is to be provided when it is more likely than not that deferred tax assets will not be realized by the Company. No valuation allowance has been recorded relating to Torchmark’s deferred tax assets since, in management’s judgment, Torchmark will more likely than not have sufficient taxable income in future periods to fully realize its existing deferred tax assets. | |||||||||||||||||||||||||
Torchmark’s tax liability is adjusted to include the provision for uncertain tax positions taken or expected to be taken in a tax return. A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding effects of accrued interest, net of Federal tax benefits) for the years 2011 through 2013 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Balance at January 1, | $ | 0 | $ | 0 | $ | 875 | |||||||||||||||||||
Increase based on tax positions taken in current period | 0 | 0 | 0 | ||||||||||||||||||||||
Increase related to tax positions taken in prior periods | 0 | 0 | 0 | ||||||||||||||||||||||
Decrease related to tax positions taken in prior periods | 0 | 0 | (875 | ) | |||||||||||||||||||||
Decrease due to settlements | 0 | 0 | 0 | ||||||||||||||||||||||
Balance at December 31, | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||
Torchmark’s continuing practice is to recognize interest and/or penalties related to income tax matters in income tax expense. The Company recognized interest income of $0, $56 thousand, and $0, net of Federal income tax benefits, in its Consolidated Statements of Operations for 2013, 2012, and 2011, respectively. The Company had no accrued interest or penalties at December 31, 2013 or 2012. | |||||||||||||||||||||||||
Postretirement_Benefits
Postretirement Benefits | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||||||||||
Postretirement Benefits | ' | ||||||||||||||||||||
Note 9—Postretirement Benefits | |||||||||||||||||||||
Pension Plans: Torchmark has noncontributory retirement benefit plans and contributory savings plans which cover substantially all employees. There are also two nonqualified, noncontributory supplemental benefit pension plans which cover a limited number of employees. The total cost of these retirement plans charged to operations was as follows: | |||||||||||||||||||||
Year Ended | Defined Contribution | Defined Benefit | |||||||||||||||||||
December 31, | Plans | Pension Plans | |||||||||||||||||||
2013 | $ | 3,373 | $ | 33,122 | |||||||||||||||||
2012 | 3,668 | 26,007 | |||||||||||||||||||
2011 | 3,552 | 20,952 | |||||||||||||||||||
Torchmark accrues expense for the defined contribution plans based on a percentage of the employees’ contributions. The plans are funded by the employee contributions and a Torchmark contribution equal to the amount of accrued expense. Plan contributions are both mandatory and discretionary, depending on the terms of the plan. | |||||||||||||||||||||
Cost for the defined benefit pension plans has been calculated on the projected unit credit actuarial cost method. All plan measurements for the defined benefit plans are as of December 31 of the respective year. The defined benefit pension plans covering the majority of employees are funded. Contributions are made to funded pension plans subject to minimums required by regulation and maximums allowed for tax purposes. Defined benefit plan contributions were $10.3 million in 2013, $8.2 million in 2012, and $8.6 million in 2011. Torchmark estimates as of December 31, 2013 that it will contribute an amount not to exceed $20 million to these plans in 2014. The actual amount of contribution may be different from this estimate. | |||||||||||||||||||||
Torchmark has a Supplemental Executive Retirement Plan (SERP), which provides to a limited number of executives an additional supplemental defined pension benefit. The supplemental benefit is based on the participant’s qualified plan benefit without consideration to the regulatory limits on compensation and benefit payments applicable to qualified plans, except that eligible compensation is capped at $1 million. The SERP is unfunded. However, life insurance policies on the lives of plan participants have been established for this plan with an unaffiliated insurance carrier. The premiums for this coverage paid were $2.9 million in 2013, $1.7 million in 2012, and $3.9 million in 2011. The cash value of these policies at December 31, 2013 was $22 million and was $18 million a year earlier. Additionally, a Rabbi Trust which involves an investment account has been established to support the liability for this plan. Deposits of $6 million in 2013, $5 million in 2012, and $5 million in 2011 were added to the investment account in this trust. Investments consist of exchange traded funds. As of December 31, 2013, the combined value of the insurance policies and the trust investments was $66 million, compared with $54 million a year earlier. Because this plan is unqualified, the Rabbi Trust and the policyholder value of these policies are not included as defined benefit plan assets but as assets of the Company. They are included with “Other Assets” in the Consolidated Balance Sheets. The liability for this SERP at December 31, 2013 was $58 million and was $59 million a year earlier. | |||||||||||||||||||||
The other supplemental benefit pension plan is limited to a very select group of employees and was closed as of December 31, 1994. It provides the full benefits that an employee would have otherwise received from a defined benefit plan in the absence of the limitation on benefits payable under a qualified plan. This plan is unfunded. Liability for this closed plan was $3 million at December 31, 2013 and December 31, 2012. Pension cost for both supplemental defined benefit plans is determined in the same manner as for the qualified defined benefit plans. | |||||||||||||||||||||
Plan assets in the funded plans consist primarily of investments in marketable fixed maturities and equity securities and are valued at fair value. Torchmark measures the fair value of its financial assets, including the assets in its benefit plans, in accordance with accounting guidance which establishes a hierarchy for asset values and provides a methodology for the measurement of value. Please refer to Note 1—Significant Accounting Policies under the caption Fair Value Measurements, Investments in Securities for a complete discussion of valuation procedures. The following table presents the assets of Torchmark’s defined benefit pension plans for the years ended December 31, 2013 and 2012. | |||||||||||||||||||||
Pension Assets by Component at December 31, 2013 | |||||||||||||||||||||
Fair Value Determined by: | |||||||||||||||||||||
Quoted Prices in | Significant | Significant | Total | % to | |||||||||||||||||
Active Markets | Observable | Unobservable | Amount | Total | |||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||
Financial | $ | 35,807 | $ | 35,807 | 12 | % | |||||||||||||||
Consumer, Cyclical | 17,915 | 17,915 | 6 | ||||||||||||||||||
Energy | 13,816 | 13,816 | 5 | ||||||||||||||||||
Consumer, Non-Cyclical | 13,187 | 13,187 | 4 | ||||||||||||||||||
Technology | 13,055 | 13,055 | 4 | ||||||||||||||||||
Depository Institutions | 10,523 | 10,523 | 3 | ||||||||||||||||||
Other | 10,153 | $ | 831 | 10,984 | 4 | ||||||||||||||||
Total equity securities | 114,456 | 831 | 115,287 | 38 | |||||||||||||||||
Corporate bonds | 0 | 147,445 | 147,445 | 51 | |||||||||||||||||
Other bonds | 267 | 267 | 0 | ||||||||||||||||||
Guaranteed annuity contract* | 13,769 | 13,769 | 5 | ||||||||||||||||||
Short-term investments | 13,318 | 13,318 | 5 | ||||||||||||||||||
Other | 1,667 | 1,667 | 1 | ||||||||||||||||||
Grand Total | $ | 129,441 | $ | 162,312 | $ | 0 | $ | 291,753 | 100 | % | |||||||||||
* | Annuity contract issued by a Torchmark subsidiary | ||||||||||||||||||||
Pension Assets by Component at December 31, 2012 | |||||||||||||||||||||
Fair Value Determined by: | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | % to | |||||||||||||||||
in Active | Observable | Unobservable | Amount | Total | |||||||||||||||||
Markets for | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Identical | |||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||
Financial | $ | 26,174 | $ | 26,174 | 9 | % | |||||||||||||||
Consumer, Non-Cyclical | 15,894 | 15,894 | 6 | ||||||||||||||||||
Technology | 13,332 | 13,332 | 5 | ||||||||||||||||||
Industrial | 10,353 | 10,353 | 4 | ||||||||||||||||||
General merchandise stores | 11,197 | 11,197 | 4 | ||||||||||||||||||
Other | 12,883 | 12,883 | 4 | ||||||||||||||||||
Total equity securities | 89,833 | 89,833 | 32 | ||||||||||||||||||
Corporate bonds | 4,292 | $ | 165,525 | 169,817 | 61 | ||||||||||||||||
Other bonds | 327 | 327 | 0 | ||||||||||||||||||
Guaranteed annuity contract* | 13,277 | 13,277 | 5 | ||||||||||||||||||
Short-term investments | 2,218 | 2,218 | 1 | ||||||||||||||||||
Other | 2,169 | 2,169 | 1 | ||||||||||||||||||
Grand Total | $ | 98,512 | $ | 179,129 | $ | 0 | $ | 277,641 | 100 | % | |||||||||||
* | Annuity contract issued by a Torchmark subsidiary | ||||||||||||||||||||
Torchmark’s investment objectives for its plan assets include preservation of capital, preservation of purchasing power, and long-term growth. Torchmark seeks to preserve capital through investments made in high quality securities with adequate diversification by issuer and industry sector to minimize risk. The portfolio is monitored continuously for changes in quality and diversification mix. The preservation of purchasing power is intended to be accomplished through asset growth, exclusive of contributions and withdrawals, in excess of the rate of inflation. Torchmark intends to maintain investments that when combined with future plan contributions will produce adequate long-term growth to provide for all plan obligations. The Company’s expectation for the portfolio is to achieve a compound total rate of return of 3% in excess of the inflation rate, to be reviewed on a three-year basis. It is also Torchmark’s objective that the portfolio’s investment return will meet or exceed the return of a balanced market index. | |||||||||||||||||||||
The majority of the securities in the portfolio are highly marketable so that there will be adequate liquidity to meet projected payments. There are no specific policies calling for asset durations to match those of benefit obligations. | |||||||||||||||||||||
Allowed investments are limited to equities, fixed maturities, and short-term investments (invested cash). There is also a guaranteed annuity contract issued by American Income Life Insurance Company to fund the obligations of the American Income Pension Plan. The assets are to be invested in a mix of equity and fixed income investments that best serve the objectives of the pension plan. Factors to be considered in determining the asset mix include funded status, annual pension expense, annual pension contributions, and balance sheet liability. Equities include common and preferred stocks, securities convertible into equities, mutual funds that invest in equities, and other equity-related investments. Equities must be listed on major exchanges and adequate market liquidity is required. Fixed maturities consist of marketable debt securities rated investment grade at purchase by a major rating agency. Short-term investments include fixed maturities with maturities less than one year and invested cash. Short-term investments in commercial paper must be rated at least A-2 by Standard & Poor’s with the issuer rated investment grade. Invested cash is limited to banks rated A or higher. Investments outside of the aforementioned list are not permitted, except by prior approval of the Plan’s Trustees. At December 31, 2013, there were no restricted investments contained in the portfolio. Plan contributions have been invested primarily in fixed maturities during the three years ending December 31, 2013. | |||||||||||||||||||||
The investment portfolio is to be well diversified to avoid undue exposure to a single sector, industry, business, or security. The equity and fixed-maturity portfolios are not permitted to invest in any single issuer that would exceed 10% of total plan assets at the time of purchase. Torchmark does not employ any other special risk management techniques, such as derivatives, in managing the pension investment portfolio. | |||||||||||||||||||||
The following table discloses the assumptions used to determine Torchmark’s pension liabilities and costs for the appropriate periods. The discount and compensation increase rates are used to determine current year projected benefit obligations and subsequent year pension expense. The long-term rate of return is used to determine current year expense. Differences between assumptions and actual experience are included in actuarial gain or loss. | |||||||||||||||||||||
Weighted Average Pension Plan Assumptions | |||||||||||||||||||||
For Benefit Obligations at December 31: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Discount Rate | 5.12 | % | 4.18 | % | |||||||||||||||||
Rate of Compensation Increase | 4.35 | 4.4 | |||||||||||||||||||
For Periodic Benefit Cost for the Year: | 2013 | 2012 | 2011 | ||||||||||||||||||
Discount Rate | 4.18 | % | 5.09 | % | 5.77 | % | |||||||||||||||
Expected Long-Term Returns | 6.96 | 7.2 | 7.24 | ||||||||||||||||||
Rate of Compensation Increase | 4.4 | 4.04 | 4 | ||||||||||||||||||
The discount rate is determined based on the expected duration of plan liabilities. A yield is then derived based on the current market yield of a hypothetical portfolio of higher-quality corporate bonds which match the liability duration. The rate of compensation increase is projected based on Company experience, modified as appropriate for future expectations. The expected long-term rate of return on plan assets is management’s best estimate of the average rate of earnings expected to be received on the assets invested in the plan over the benefit period. In determining this assumption, consideration is given to the historical rate of return earned on the assets, the projected returns over future periods, and the spread between the long-term rate of return on plan assets and the discount rate used to compute benefit obligations. | |||||||||||||||||||||
Net periodic pension cost for the defined benefit plans by expense component was as follows: | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Service cost—benefits earned during the period | $ | 14,984 | $ | 11,215 | $ | 9,277 | |||||||||||||||
Interest cost on projected benefit obligation | 17,043 | 16,796 | 16,106 | ||||||||||||||||||
Expected return on assets | (17,429 | ) | (17,114 | ) | (16,068 | ) | |||||||||||||||
Net amortization | 18,143 | 14,799 | 11,331 | ||||||||||||||||||
Recognition of actuarial loss | 381 | 311 | 306 | ||||||||||||||||||
Net periodic pension cost | $ | 33,122 | $ | 26,007 | $ | 20,952 | |||||||||||||||
An analysis of the impact on other comprehensive income (loss) concerning pensions and other postretirement benefits is as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Balance at January 1 | $ | (168,129 | ) | $ | (119,863 | ) | $ | (105,903 | ) | ||||||||||||
Amortization of: | |||||||||||||||||||||
Prior service cost | 2,276 | 2,146 | 2,080 | ||||||||||||||||||
Net actuarial (gain) loss* | 16,090 | 12,653 | 10,071 | ||||||||||||||||||
Transition obligation | 0 | 0 | (5 | ) | |||||||||||||||||
Total amortization* | 18,366 | 14,799 | 12,146 | ||||||||||||||||||
Plan amendments | 0 | (3,452 | ) | 0 | |||||||||||||||||
Experience gain(loss) | 52,296 | (59,613 | ) | (26,106 | ) | ||||||||||||||||
Balance at December 31 | $ | (97,467 | ) | $ | (168,129 | ) | $ | (119,863 | ) | ||||||||||||
* | Includes amortization of postretirement benefits other than pensions of $224 thousand in 2013. | ||||||||||||||||||||
The following table presents a reconciliation from the beginning to the end of the year of the projected benefit obligation and plan assets for pensions. This table also presents the amounts previously recognized as a component of accumulated other comprehensive income. | |||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||
For the year ended | |||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Changes in benefit obligation: | |||||||||||||||||||||
Obligation at beginning of year | $ | 414,921 | $ | 331,609 | |||||||||||||||||
Service cost | 14,984 | 11,215 | |||||||||||||||||||
Interest cost | 17,043 | 16,796 | |||||||||||||||||||
Actuarial loss (gain) | (45,258 | ) | 67,949 | ||||||||||||||||||
Plan amendments | 0 | 3,452 | |||||||||||||||||||
Benefits paid | (17,831 | ) | (16,100 | ) | |||||||||||||||||
Obligation at end of year | 383,859 | 414,921 | |||||||||||||||||||
Changes in plan assets: | |||||||||||||||||||||
Fair value at beginning of year | 277,641 | 258,067 | |||||||||||||||||||
Return on assets | 21,613 | 27,493 | |||||||||||||||||||
Contributions | 10,330 | 8,181 | |||||||||||||||||||
Benefits paid | (17,831 | ) | (16,100 | ) | |||||||||||||||||
Fair value at end of year | 291,753 | 277,641 | |||||||||||||||||||
Funded status at year end | $ | (92,106 | ) | $ | (137,280 | ) | |||||||||||||||
Amounts recognized in accumulated other comprehensive income consist of: | |||||||||||||||||||||
Net loss (gain) | $ | 90,878 | $ | 156,567 | |||||||||||||||||
Prior service cost | 5,476 | 7,752 | |||||||||||||||||||
Transition obligation | 0 | 0 | |||||||||||||||||||
Net amounts recognized at year end | $ | 96,354 | $ | 164,319 | |||||||||||||||||
The portion of other comprehensive income that is expected to be reflected in pension expense in 2014 is as follows: | |||||||||||||||||||||
Amortization of prior service cost | $ | 2,113 | |||||||||||||||||||
Amortization of net loss (gain) | 8,172 | ||||||||||||||||||||
Amortization of transition obligation | 0 | ||||||||||||||||||||
Total | $ | 10,285 | |||||||||||||||||||
The accumulated benefit obligation (ABO) for Torchmark’s funded defined benefit pension plans was $295 million and $321 million at December 31, 2013 and 2012, respectively. In the unfunded plans, the ABO was $52 million and $52 million at December 31, 2013 and 2012, respectively. | |||||||||||||||||||||
Torchmark has estimated its expected pension benefits to be paid over the next ten years as of December 31, 2013. These estimates use the same assumptions that measure the benefit obligation at December 31, 2013, taking estimated future employee service into account. Those estimated benefits are as follows: | |||||||||||||||||||||
For the year(s) | |||||||||||||||||||||
2014 | $ | 14,973 | |||||||||||||||||||
2015 | 16,759 | ||||||||||||||||||||
2016 | 18,048 | ||||||||||||||||||||
2017 | 19,847 | ||||||||||||||||||||
2018 | 21,183 | ||||||||||||||||||||
2019-2023 | 129,331 | ||||||||||||||||||||
Postretirement Benefit Plans Other Than Pensions: Torchmark provides a small postretirement life insurance benefit for most retired employees, and also provides additional postretirement life insurance benefits for certain key employees. The majority of the life insurance benefits are accrued over the working lives of active employees. Otherwise, Torchmark does not provide postretirement benefits other than pensions and the life insurance benefits described above. | |||||||||||||||||||||
Torchmark’s post-retirement defined benefit plans other than pensions are not funded. Liabilities for these plans are measured as of December 31 for the appropriate year. | |||||||||||||||||||||
The components of net periodic postretirement benefit cost for plans other than pensions are as follows: | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 354 | $ | 392 | $ | 919 | |||||||||||||||
Interest cost on benefit obligation | 1,030 | 1,020 | 999 | ||||||||||||||||||
Expected return on plan assets | 0 | 0 | 0 | ||||||||||||||||||
Net amortization | 224 | 0 | 0 | ||||||||||||||||||
Recognition of net actuarial (gain) loss | 0 | 0 | (815 | ) | |||||||||||||||||
Net periodic postretirement benefit cost | $ | 1,608 | $ | 1,412 | $ | 1,103 | |||||||||||||||
The following table presents a reconciliation of the benefit obligation and plan assets from the beginning to the end of the year. As these plans are unfunded, funded status is equivalent to the accrued benefit liability. | |||||||||||||||||||||
Benefits Other Than Pensions | |||||||||||||||||||||
For the year ended December 31, | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Changes in benefit obligation: | |||||||||||||||||||||
Obligation at beginning of year | $ | 22,367 | $ | 19,008 | |||||||||||||||||
Service cost | 354 | 392 | |||||||||||||||||||
Interest cost | 1,030 | 1,020 | |||||||||||||||||||
Actuarial loss (gain) | (2,475 | ) | 2,358 | ||||||||||||||||||
Benefits paid | (416 | ) | (411 | ) | |||||||||||||||||
Obligation at end of year | 20,860 | 22,367 | |||||||||||||||||||
Changes in plan assets: | |||||||||||||||||||||
Fair value at beginning of year | 0 | 0 | |||||||||||||||||||
Return on assets | 0 | 0 | |||||||||||||||||||
Contributions | 416 | 411 | |||||||||||||||||||
Benefits paid | (416 | ) | (411 | ) | |||||||||||||||||
Fair value at end of year | 0 | 0 | |||||||||||||||||||
Funded status at year end | $ | (20,860 | ) | $ | (22,367 | ) | |||||||||||||||
Amounts recognized in accumulated other comprehensive income: | |||||||||||||||||||||
Net loss* | $ | 1,113 | $ | 3,812 | |||||||||||||||||
Net amounts recognized at year end | $ | 1,113 | $ | 3,812 | |||||||||||||||||
* | The net loss for benefit plans other than pensions reduces other comprehensive income. | ||||||||||||||||||||
The table below presents the assumptions used to determine the liabilities and costs of Torchmark’s post-retirement benefit plans other than pensions. | |||||||||||||||||||||
Weighted Average Assumptions for Post-Retirement | |||||||||||||||||||||
Benefit Plans Other Than Pensions | |||||||||||||||||||||
For Benefit Obligations at December 31: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Discount Rate | 5.12 | % | 4.18 | % | |||||||||||||||||
For Periodic Benefit Cost for the Year: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Discount Rate | 4.18 | % | 5.09 | % | 5.77 | % | |||||||||||||||
Estimated Future Payments for Post-Retirement Benefit Plans Other Than Pensions | |||||||||||||||||||||
For the year(s) | |||||||||||||||||||||
2014 | $ | 899 | |||||||||||||||||||
2015 | 1,007 | ||||||||||||||||||||
2016 | 1,130 | ||||||||||||||||||||
2017 | 1,313 | ||||||||||||||||||||
2018 | 1,516 | ||||||||||||||||||||
2019-2023 | 8,227 |
Supplemental_Disclosures_of_Ca
Supplemental Disclosures of Cash Flow Information | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||||||
Supplemental Disclosures of Cash Flow Information | ' | ||||||||||||
Note 10—Supplemental Disclosures of Cash Flow Information | |||||||||||||
The following table summarizes Torchmark’s noncash transactions, which are not reflected on the Consolidated Statements of Cash Flows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Stock-based compensation not involving cash | $ | 25,642 | $ | 21,605 | $ | 14,954 | |||||||
Commitments for low-income housing interests | 42,525 | 29,759 | 36,722 | ||||||||||
Capitalized investment income | 806 | 1,537 | 5,321 | ||||||||||
Debt assumed to acquire Family Heritage | 0 | 20,000 | 0 | ||||||||||
The following table summarizes certain amounts paid during the period: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Interest paid | $ | 81,322 | $ | 77,686 | $ | 75,653 | |||||||
Income taxes paid | 139,091 | 89,061 | 188,510 | ||||||||||
Debt
Debt | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Debt | ' | ||||||||||||||||||||||||
Note 11—Debt | |||||||||||||||||||||||||
The following table presents information about the terms and outstanding balances of Torchmark’s debt. | |||||||||||||||||||||||||
Selected Information about Debt Issues | |||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Description | Annual | Issue | Periodic | Outstanding | Outstanding | Outstanding | Outstanding | ||||||||||||||||||
Percentage | Date | Interest | Principal | Principal | Principal | Principal | |||||||||||||||||||
Rate | Payments | (Par Value) | (Book Value) | (Fair Value) | (Book Value) | ||||||||||||||||||||
Due | |||||||||||||||||||||||||
Notes, due 5/15/23(1)(2) | 7.875 | % | May-93 | 5/15 & 11/15 | $ | 165,612 | $ | 163,609 | $ | 204,489 | $ | 163,471 | |||||||||||||
Notes, due 8/1/13(1)(3) | 7.375 | % | Jul-93 | 2/1 & 8/1 | 0 | 0 | 0 | 93,956 | |||||||||||||||||
Senior Notes, due 6/15/16(1)(6) | 6.375 | % | 6-Jun | 6/15 & 12/15 | 250,000 | 248,753 | 277,185 | 248,300 | |||||||||||||||||
Senior Notes, due 6/15/19(1)(6) | 9.25 | % | 9-Jun | 6/15 & 12/15 | 292,647 | 290,268 | 376,089 | 289,950 | |||||||||||||||||
Senior Notes, due 9/15/22(1)(6) | 3.8 | % | 12-Sep | 3/15 & 9/15 | 150,000 | 147,392 | 145,178 | 147,148 | |||||||||||||||||
Junior Subordinated | |||||||||||||||||||||||||
Debentures due 12/15/52(4)(8) | 5.875 | % | 12-Sep | quarterly | 125,000 | 120,843 | 108,450 | 120,817 | |||||||||||||||||
Junior Subordinated | |||||||||||||||||||||||||
Debentures due 3/15/36(4)(5) | 3.543 | %(9) | -10 | quarterly | 20,000 | 20,000 | 20,000 | 20,000 | |||||||||||||||||
Total funded debt | 1,003,259 | 990,865 | 1,131,391 | 1,083,642 | |||||||||||||||||||||
Less current maturity of long-term debt | 0 | 0 | 0 | (93,956 | ) | ||||||||||||||||||||
Total long-term debt | 1,003,259 | 990,865 | 1,131,391 | 989,686 | |||||||||||||||||||||
Current maturity of long-term debt(7) | 0 | 0 | 0 | 93,956 | |||||||||||||||||||||
Commercial Paper(7) | 229,140 | 229,070 | 229,070 | 225,087 | |||||||||||||||||||||
Total short-term debt | 229,140 | 229,070 | 229,070 | 319,043 | |||||||||||||||||||||
Total debt | $ | 1,232,399 | $ | 1,219,935 | $ | 1,360,461 | $ | 1,308,729 | |||||||||||||||||
-1 | All securities other than the Junior Subordinated Debentures have equal priority with one another. | ||||||||||||||||||||||||
-2 | Not callable. | ||||||||||||||||||||||||
-3 | Repaid August 1, 2013. | ||||||||||||||||||||||||
-4 | Quarterly payments on the 15th of March, June, Sept., and Dec. | ||||||||||||||||||||||||
-5 | Callable anytime. | ||||||||||||||||||||||||
-6 | Callable subject to “make-whole” premium. | ||||||||||||||||||||||||
-7 | Classified as short-term debt. | ||||||||||||||||||||||||
-8 | Callable as of December 15, 2017. | ||||||||||||||||||||||||
-9 | Interest paid at 3 month LIBOR plus 330 basis points, resets each quarter. | ||||||||||||||||||||||||
-10 | Assumed upon November 1, 2012 acquisition of Family Heritage. | ||||||||||||||||||||||||
The amount of debt that becomes due during each of the next five years is: 2014—$229 million; 2015—$0; 2016—$250 million; 2017—$0; 2018—$0 and thereafter—$753 million. | |||||||||||||||||||||||||
Funded debt: On September 24, 2012, Torchmark issued $300 million principal amount of 3.80% Senior Notes due 2022. Interest on the Senior Notes will be payable semi-annually and will commence on March 15, 2013. As part of the offering, two of Torchmark’s insurance subsidiaries acquired a combined amount of $150 million par value of the Senior Notes. Proceeds from the issuance of this debt, net of underwriters’ discount and expenses, were $147 million with total proceeds to the Parent Company of approximately $297 million. The Senior Notes are redeemable by Torchmark in whole or in part at any time subject to a “make-whole” premium, whereby the Company would be required to pay the greater of the full principal amount of the notes or otherwise the present value of the remaining payment schedule of the notes discounted at a rate of interest equivalent to the rate of a United States Treasury security of comparable term plus a spread of 30 basis points. Torchmark used a portion of the net proceeds from the new Senior Note offering to fund the acquisition of Family Heritage as described in Note 6 - Acquisition. The Parent Company used the remaining proceeds to repay its $94 million principal amount 7 3/8% Notes that matured on August 1, 2013. | |||||||||||||||||||||||||
Additionally, on September 24, 2012, Torchmark completed the public offering of its 5.875% Junior Subordinated Debentures due 2052 for an aggregate principal amount of $125 million. Proceeds from this offering were $121 million, net of underwriters’ discount and issue expenses. These debentures pay interest quarterly commencing December 15, 2012. The securities are redeemable on December 15, 2052, and are first callable in whole or in part by Torchmark on or after December 15, 2017. Expenses of $4.2 million related to the offering have been netted against long-term debt and will be amortized over the forty-year redemption period. Net proceeds were used to fund the redemption of Torchmark’s 7.1% Trust Preferred Securities discussed below. | |||||||||||||||||||||||||
On October 24, 2012, Torchmark’s 7.1% Trust Originated Preferred Securities were redeemed in the amount of $120 million plus accrued dividends at a total cost of $121 million. These securities were originally issued in 2006 as preferred securities of Torchmark’s Capital Trust III, a deconsolidated variable interest entity. Upon redemption of these securities, Capital Trust III as well as the 7.1% Junior Subordinated Debentures due to that Trust in the amount of $124 million were liquidated. An after-tax loss of $2.7 million was recorded on this redemption in the fourth quarter of 2012 within “Realized investment gains (losses),” representing the write-off of the unamortized issue expenses. | |||||||||||||||||||||||||
Capital Trust III, which held the Trust Preferred Securities, was a variable interest entity in which Torchmark was not the primary beneficiary. Therefore, Torchmark was prohibited by accounting rules from consolidating Capital Trust III even though it had 100% ownership, complete voting control, and had guaranteed the performance of the trust. Accordingly, prior to redemption, Torchmark carried its 7.1% Junior Subordinated Debentures due to Capital Trust III as a liability under the caption “Due to Affiliates” on its Consolidated Balance Sheets. Expenses related to the original offering reduced long-term debt and were amortized over the forty-year redemption period. | |||||||||||||||||||||||||
In connection with the purchase of Family Heritage, Torchmark assumed $20 million par amount of Trust Preferred Securities that were liabilities of Family Heritage’s former parent. These securities, which are due March 15, 2036, had a fair value of $20 million on the November 1, 2012 purchase date and were carried at an amortized cost of $20 million at December 31, 2012. They bear interest at a variable rate paid quarterly, determined as the three-month LIBOR plus 330 basis points which is reset each quarter. They are callable by Torchmark at any time. | |||||||||||||||||||||||||
Commercial Paper: In December, 2010, Torchmark entered into a credit facility with a group of lenders allowing unsecured borrowings and stand-by letters of credit up to $600 million. The facility includes a provision which allows Torchmark to increase the facility limit by $200 million if certain conditions are met. The Company also has the ability to request up to $250 million in letters of credit to be issued against the facility. The agreement is set to terminate on January 7, 2015. The credit facility is further designated as a back-up credit line for a commercial paper program, where Torchmark may borrow from either the credit line or issue commercial paper at any time, with total commercial paper outstanding not to exceed the facility limit less any letters of credit issued. Interest is charged at variable rates. The facility does not have a ratings-based acceleration trigger which would require early payment. A facility fee is charged for the entire facility. There is also an issuance fee for letters of credit issued. Torchmark is subject to certain covenants for the agreements regarding capitalization and earnings, with which it was in compliance at December 31, 2013 and throughout the three-year period ended December 31, 2013. Borrowings on the credit facilities are reported as short-term debt on the Consolidated Balance Sheets. A table presenting selected information concerning Torchmark’s short-term borrowings is presented below. | |||||||||||||||||||||||||
Short-Term Borrowings | |||||||||||||||||||||||||
At December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Balance at end of period (at par value) | $ | 229,140 | $ | 225,180 | |||||||||||||||||||||
Annualized interest rate | 0.3 | % | 0.36 | % | |||||||||||||||||||||
Letters of credit outstanding | $ | 198,000 | $ | 198,000 | |||||||||||||||||||||
Remaining amount available under credit line | 172,860 | 176,820 | |||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Average balance outstanding during period | $ | 274,435 | $ | 250,401 | $ | 206,148 | |||||||||||||||||||
Daily-weighted average interest rate* | 0.31 | % | 0.41 | % | 0.39 | % | |||||||||||||||||||
Maximum daily amount outstanding during period | $ | 340,140 | $ | 385,000 | $ | 271,761 | |||||||||||||||||||
* | Annualized |
Shareholders_Equity
Shareholders' Equity | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Shareholders' Equity | ' | ||||||||||||||||
Note 12—Shareholders’ Equity | |||||||||||||||||
Share Data: A summary of preferred and common share activity is as follows: | |||||||||||||||||
Preferred Stock | Common Stock | ||||||||||||||||
Issued | Treasury | Issued | Treasury | ||||||||||||||
Stock | Stock | ||||||||||||||||
2011:00:00 | |||||||||||||||||
Balance at January 1, 2011 | 0 | 0 | 119,812,123 | (947,497 | ) | ||||||||||||
Grants of restricted stock | 173,553 | ||||||||||||||||
Forfeitures of restricted stock | (7,153 | ) | |||||||||||||||
Issuance of common stock due to exercise of stock options | 4,829,892 | ||||||||||||||||
Treasury stock acquired | (23,281,453 | ) | |||||||||||||||
Retirement of treasury stock | (7,500,000 | ) | 7,500,000 | ||||||||||||||
Balance at December 31, 2011 | 0 | 0 | 112,312,123 | (11,732,658 | ) | ||||||||||||
2012:00:00 | |||||||||||||||||
Grants of restricted stock | 69,720 | ||||||||||||||||
Issuance of common stock due to exercise of stock options | 5,357,490 | ||||||||||||||||
Treasury stock acquired | (11,771,039 | ) | |||||||||||||||
Retirement of treasury stock | (6,500,000 | ) | 6,500,000 | ||||||||||||||
Balance at December 31, 2012 | 0 | 0 | 105,812,123 | (11,576,487 | ) | ||||||||||||
2013:00:00 | |||||||||||||||||
Grants of restricted stock | 50,943 | ||||||||||||||||
Forfeitures and surrenders of restricted stock | (24,906 | ) | |||||||||||||||
Issuance of common stock due to exercise of stock options | 2,611,838 | ||||||||||||||||
Issuance of common stock due to settlement of restricted stock units | 7,460 | ||||||||||||||||
Treasury stock acquired | (7,379,384 | ) | |||||||||||||||
Retirement of treasury stock | (5,000,000 | ) | 5,000,000 | ||||||||||||||
Balance at December 31, 2013 | 0 | 0 | 100,812,123 | (11,310,536 | ) | ||||||||||||
Acquisition of Common Shares: Torchmark shares are acquired from time to time through open market purchases under the Torchmark stock repurchase program when it is believed to be the best use of Torchmark’s excess cash flows. Share repurchases under this program were 5.5 million shares at a cost of $360 million in 2013, 7.5 million shares at a cost of $360 million in 2012, and 18.9 million shares at a cost of $788 million in 2011. When stock options are exercised, proceeds from the exercises are generally used to repurchase approximately the number of shares available with those funds in order to reduce dilution. Shares repurchased for dilution purposes were 1.9 million shares at a cost of $122 million in 2013, 4.3 million shares at a cost of $210 million in 2012, and 4.4 million shares at a cost of $185 million in 2011. | |||||||||||||||||
Retirement of Treasury Stock: Torchmark retired 5 million shares of treasury stock in 2013, 6.5 million in 2012, and 7.5 million in 2011. | |||||||||||||||||
Restrictions: Restrictions exist on the flow of funds to Torchmark from its insurance subsidiaries. Statutory regulations require life insurance subsidiaries to maintain certain minimum amounts of capital and surplus. Dividends from insurance subsidiaries of Torchmark are limited to the greater of prior year statutory net income excluding realized capital gains on an annual noncumulative basis, or 10% of prior year surplus, in the absence of special regulatory approval. Additionally, insurance company distributions are generally not permitted in excess of statutory surplus. Subsidiaries are also subject to certain minimum capital requirements. Subsidiaries of Torchmark paid dividends to the parent company in the amount of $488 million in 2013 and $437 million in 2012. In 2011, subsidiaries of Torchmark paid $769 million in dividends to the parent company, including $305 million available from the proceeds from the sale of United Investors completed in 2010. As of December 31, 2013, dividends and transfers from insurance subsidiaries to parent available to be paid in 2014 were limited to the amount of $451 million without regulatory approval, such that $878 million was considered restricted net assets of the subsidiaries. The Company believes that total dividends and transfers of $471 million will be available to the parent in 2014. Please refer to Schedule II. Condensed Financial Information of Registrant for more information about Torchmark’s transactions with its subsidiaries. While there are no legal restrictions on the payment of dividends to shareholders from Torchmark’s retained earnings, retained earnings as of December 31, 2013 were restricted by lenders’ covenants which require the Company to maintain and not distribute $3.18 billion from its total consolidated retained earnings of $3.55 billion. | |||||||||||||||||
Earnings Per Share: A reconciliation of basic and diluted weighted-average shares outstanding used in the computation of basic and diluted earnings per share is as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Basic weighted average shares outstanding | 91,764,590 | 96,614,199 | 108,278,113 | ||||||||||||||
Weighted average dilutive options outstanding | 1,277,933 | 1,284,189 | 1,537,277 | ||||||||||||||
Diluted weighted average shares outstanding | 93,042,523 | 97,898,388 | 109,815,390 | ||||||||||||||
Stock options to purchase 3.5 million shares during the years 2011 were considered to be anti-dilutive and are excluded from the calculation of diluted earnings per share. There were no anti-dilutive shares in 2013 and 2012. Income available to common shareholders for basic earnings per share is equivalent to income available to common shareholders for diluted earnings per share. |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||||||
Note 13—Stock-Based Compensation | |||||||||||||||||||||||||
Torchmark’s stock-based compensation consists of stock options, restricted stock, restricted stock units, and performance shares. Certain employees, directors, and consultants have been granted fixed equity options to buy shares of Torchmark stock at the market value of the stock on the date of grant, under the provisions of the Torchmark stock option plans. The options are exercisable during the period commencing from the date they vest until expiring according to the terms of the grant. Options generally expire the earlier of employee termination or option contract term, which ranges from seven to ten years. Options generally vest in accordance with the following schedule: | |||||||||||||||||||||||||
Grants under the Torchmark Corporation 2011 Incentive Plan: | |||||||||||||||||||||||||
Directors – vest in six months. | |||||||||||||||||||||||||
Employees: | |||||||||||||||||||||||||
Seven year grants – vest one half in two years, and one half in three years. | |||||||||||||||||||||||||
Ten year grants – vest one fourth in two years, and one fourth in each of the next three years. | |||||||||||||||||||||||||
Grants under all previous compensation plans: | |||||||||||||||||||||||||
Directors – vest in six months. | |||||||||||||||||||||||||
Employees – vest one half in two years, and one half in three years. | |||||||||||||||||||||||||
All employee options vest immediately upon retirement on or after the attainment of age 65, upon death, or disability. Torchmark generally issues shares for the exercise of stock options from treasury stock. The Company generally uses the proceeds from option exercises to buy shares of Torchmark common stock in the open market to reduce the dilution from option exercises. | |||||||||||||||||||||||||
An analysis of shares available for grant is as follows: | |||||||||||||||||||||||||
Available for Grant | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Balance at January 1 | 4,536,301 | 6,099,342 | 255,263 | ||||||||||||||||||||||
Approval of Torchmark Corporation 2011 Incentive Plan* | 0 | 0 | 7,950,000 | ||||||||||||||||||||||
Cancellation of available shares from prior plans | 0 | 0 | (229,333 | ) | |||||||||||||||||||||
Options expired and forfeited during year | 85,406 | 5,850 | 0 | ||||||||||||||||||||||
Restricted stock expired and forfeited during year (counted as 3.1 options)* | 6,417 | 0 | 0 | ||||||||||||||||||||||
Options granted during year | (1,084,575 | ) | (1,072,725 | ) | (1,338,013 | ) | |||||||||||||||||||
Restricted stock, restricted stock units, and performance shares granted under the Torchmark Corporation 2011 Incentive Plan (counted as 3.1 options per grant)* | (631,047 | ) | (496,166 | ) | (519,558 | ) | |||||||||||||||||||
Restricted stock and restricted stock units granted during the year under previous plans | 0 | 0 | (19,017 | ) | |||||||||||||||||||||
Balance at December 31 | 2,912,502 | 4,536,301 | 6,099,342 | ||||||||||||||||||||||
* Plan allows for grant of restricted stock such that each stock grant reduces 3.1 options available for grant | |||||||||||||||||||||||||
A summary of stock compensation activity for each of the three years ended December 31, 2013 is presented below: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Stock-based compensation expense recognized* | $ | 25,642 | $ | 21,605 | $ | 14,954 | |||||||||||||||||||
Tax benefit recognized | 8,975 | 7,562 | 5,234 | ||||||||||||||||||||||
Weighted-average grant-date fair value of options granted | 18.55 | 15.7 | 15.48 | ||||||||||||||||||||||
Intrinsic value of options exercised | 72,793 | 80,781 | 40,991 | ||||||||||||||||||||||
Cash received from options exercised | 97,815 | 181,022 | 162,613 | ||||||||||||||||||||||
Actual tax benefit received from exercises | 25,478 | 28,086 | 14,347 | ||||||||||||||||||||||
* No stock-based compensation expense was capitalized in any period. | |||||||||||||||||||||||||
An analysis of option activity for each of the three years ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Options | Weighted Average | Options | Weighted Average | Options | Weighted Average | ||||||||||||||||||||
Exercise Price | Exercise Price | Exercise Price | |||||||||||||||||||||||
Outstanding-beginning of year | 7,332,137 | $ | 38.14 | 11,620,393 | $ | 35.42 | 15,185,729 | $ | 34.09 | ||||||||||||||||
Granted: | |||||||||||||||||||||||||
7-year term | 907,800 | 56.43 | 846,300 | 46.1 | 1,129,663 | 44.37 | |||||||||||||||||||
10-year term | 176,775 | 56.1 | 226,425 | 45.49 | 208,350 | 44.4 | |||||||||||||||||||
Exercised | (2,611,838 | ) | 37.45 | (5,354,381 | ) | 33.82 | (4,829,892 | ) | 33.67 | ||||||||||||||||
Expired and forfeited | (85,406 | ) | 48.49 | (6,600 | ) | 44.63 | (73,425 | ) | 39.17 | ||||||||||||||||
Adjustment due to 7/1/11 stock split | 0 | 0 | 0 | 0 | (32 | ) | 32.96 | ||||||||||||||||||
Outstanding-end of year | 5,719,468 | $ | 41.76 | 7,332,137 | $ | 38.14 | 11,620,393 | $ | 35.42 | ||||||||||||||||
Exercisable at end of year | 2,930,368 | $ | 34.42 | 4,261,817 | $ | 35.37 | 8,265,818 | $ | 36.28 | ||||||||||||||||
A summary of restricted stock and restricted stock units granted during each of the years in the three year period ended December 31, 2013 is presented in the table below. Restricted stock holders are entitled to dividends on the stock and holders of restricted stock units are entitled to dividend equivalents. Executive grants vest over five years and director grants vest over six months. | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Executives restricted stock: | |||||||||||||||||||||||||
Shares | 39,130 | 60,000 | 167,250 | ||||||||||||||||||||||
Price per share | $ | 60.14 | $ | 46.12 | $ | 44.39 | |||||||||||||||||||
Aggregate value | $ | 2,353 | $ | 2,767 | $ | 7,424 | |||||||||||||||||||
Percent vested as of 12/31/13 | 0 | % | 20 | % | 30 | % | |||||||||||||||||||
Directors restricted stock: | |||||||||||||||||||||||||
Shares | 10,030 | 9,720 | 6,303 | ||||||||||||||||||||||
Price per share | $ | 53.18 | $ | 43.74 | $ | 40.45 | |||||||||||||||||||
Aggregate value | $ | 533 | $ | 425 | $ | 255 | |||||||||||||||||||
Percent vested as of 12/31/13 | 100 | % | 100 | % | 100 | % | |||||||||||||||||||
Directors restricted stock units (including dividend equivalents): | |||||||||||||||||||||||||
Shares | 11,332 | 10,331 | 13,063 | ||||||||||||||||||||||
Price per share | $ | 53.98 | $ | 44.03 | $ | 40.49 | |||||||||||||||||||
Aggregate value | $ | 612 | $ | 455 | $ | 529 | |||||||||||||||||||
Percent vested as of 12/31/13 | 100 | % | 100 | % | 100 | % | |||||||||||||||||||
Certain senior executives of the Company have been granted performance shares. On February 27, 2013, a grant was made of 99 thousand performance shares at a price of $56.10 per share for an aggregate grant price of $5.5 million. On February 21 and 22, 2012 grants were made of 80 thousand performance shares with grant prices ranging from $48.72 to $49.09 per share for an aggregate grant price of $3.9 million. Performance grants have a three year contract life, and they do not vest prior to the termination of the contract period. While the target distribution is 99 thousand shares and 80 thousand shares for the 2013 and 2012 grants, respectively, the determination of the actual settlement in shares will be based on the achievement of certain performance objectives of Torchmark over the respective three-year contract periods. The actual shares could be distributed in a range from 0 to 197 thousand shares for the 2013 grants, and 0 to 160 thousand shares for the 2012 grants. The performance shareholders are not entitled to dividend equivalents, and are not entitled to dividend payments until vested and settled. | |||||||||||||||||||||||||
An analysis of unvested restricted stock is as follows: | |||||||||||||||||||||||||
Executives | Executive | Directors | Total | ||||||||||||||||||||||
Restricted Stock | Performance | Restricted | |||||||||||||||||||||||
Shares | Stock | ||||||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Balance at January 1, 2011 | 237,150 | 0 | 0 | 237,150 | |||||||||||||||||||||
Grants | 167,250 | 0 | 6,303 | 173,553 | |||||||||||||||||||||
Restriction lapses | (72,600 | ) | 0 | (6,303 | ) | (78,903 | ) | ||||||||||||||||||
Forfeitures | (4,800 | ) | 0 | 0 | (4,800 | ) | |||||||||||||||||||
Balance at December 31, 2011 | 327,000 | 0 | 0 | 327,000 | |||||||||||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Grants | 60,000 | 80,000 | 9,720 | 149,720 | |||||||||||||||||||||
Restriction lapses | (75,300 | ) | 0 | (9,720 | ) | (85,020 | ) | ||||||||||||||||||
Forfeitures | 0 | 0 | 0 | 0 | |||||||||||||||||||||
Balance at December 31, 2012 | 311,700 | 80,000 | 0 | 391,700 | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Grants | 39,130 | 98,500 | 10,030 | 147,660 | |||||||||||||||||||||
Estimated additional performance shares* | 0 | 63,200 | 0 | 63,200 | |||||||||||||||||||||
Restriction lapses | (100,500 | ) | 0 | (10,030 | ) | (110,530 | ) | ||||||||||||||||||
Forfeitures | (20,700 | ) | 0 | 0 | (20,700 | ) | |||||||||||||||||||
Balance at December 31, 2013 | 229,630 | 241,700 | 0 | 471,330 | |||||||||||||||||||||
*Additional share grants expected due to achievement of performance criteria. | |||||||||||||||||||||||||
Restricted stock units outstanding at each of the year ends 2013, 2012, and 2011 were 57,145, 53,272, and 42,938, respectively. Restricted stock units are only available to directors, and are not converted to shares until the director’s retirement, death, or disability. There were no unvested director restricted shares outstanding at the end of any of the years 2011 through 2013. Director restricted stock and restricted stock units are generally granted on the first working day of the year and vest in six months. Dividend equivalents are earned on restricted stock units only. They are granted in the form of additional restricted stock units and vest immediately upon grant. | |||||||||||||||||||||||||
Additional information about Torchmark’s stock-based compensation as of December 31, 2013 and 2012 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Outstanding options: | |||||||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 4.11 | 3.72 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 208,152 | $ | 99,212 | |||||||||||||||||||||
Exercisable options: | |||||||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 2.49 | 2.29 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 128,150 | $ | 69,472 | |||||||||||||||||||||
Unrecognized compensation* | $ | 37,397 | $ | 32,808 | |||||||||||||||||||||
Weighted average period of expected recognition (in years)* | 0.96 | 0.74 | |||||||||||||||||||||||
* | Includes restricted stock | ||||||||||||||||||||||||
Additional information concerning Torchmark’s unvested options is as follows at December 31: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Number of shares outstanding | 2,789,100 | 3,070,320 | |||||||||||||||||||||||
Weighted-average exercise price (per share) | $ | 49.47 | $ | 41.98 | |||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 5.81 | 5.7 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 80,002 | $ | 29,740 | |||||||||||||||||||||
Torchmark expects that substantially all unvested options will vest. | |||||||||||||||||||||||||
The following table summarizes information about stock options outstanding at December 31, 2013. | |||||||||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||||||
Range of | Number | Weighted- | Weighted- | Number | Weighted- | ||||||||||||||||||||
Exercise Prices | Outstanding | Average | Average | Exercisable | Average | ||||||||||||||||||||
Remaining | Exercise | Exercise | |||||||||||||||||||||||
Contractual | Price | Price | |||||||||||||||||||||||
Life (Years) | |||||||||||||||||||||||||
$15.67 - $30.40 | 461,983 | 2.11 | $ | 17.69 | 457,386 | $ | 17.57 | ||||||||||||||||||
30.87 - 30.87 | 962,124 | 3.03 | 30.87 | 962,124 | 30.87 | ||||||||||||||||||||
35.93 - 42.92 | 986,616 | 1.12 | 40.35 | 979,202 | 40.37 | ||||||||||||||||||||
43.06 - 44.39 | 1,228,295 | 4.68 | 44.37 | 526,806 | 44.35 | ||||||||||||||||||||
44.79 - 48.72 | 1,004,375 | 5.72 | 45.78 | 4,850 | 45.49 | ||||||||||||||||||||
56.10 - 64.59 | 1,076,075 | 6.54 | 56.38 | 0 | 0 | ||||||||||||||||||||
$15.67 - $64.59 | 5,719,468 | 4.11 | $ | 41.76 | 2,930,368 | $ | 34.42 | ||||||||||||||||||
No equity awards were cash settled during the three years ended December 31, 2013. |
Business_Segments
Business Segments | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||||||||||||||||
Business Segments | ' | ||||||||||||||||||||||||||||||||||
Note 14—Business Segments | |||||||||||||||||||||||||||||||||||
Torchmark’s reportable segments are based on the insurance product lines it markets and administers: life insurance, health insurance, and annuities. These major product lines are set out as reportable segments because of the common characteristics of products within these categories, comparability of margins, and the similarity in regulatory environment and management techniques. There is also an investment segment which manages the investment portfolio, debt, and cash flow for the insurance segments and the corporate function. Torchmark’s chief operating decision maker evaluates the overall performance of the operations of the Company in accordance with these segments. | |||||||||||||||||||||||||||||||||||
Life insurance products include traditional and interest-sensitive whole life insurance as well as term life insurance. Health products are generally guaranteed-renewable and include Medicare Supplement, Medicare Part D, cancer, accident, long-term care, and limited-benefit hospital and surgical coverages. Annuities include fixed-benefit contracts. | |||||||||||||||||||||||||||||||||||
Torchmark markets its insurance products through a number of distribution channels, each of which sells the products of one or more of Torchmark’s insurance segments. The tables below present segment premium revenue by each of Torchmark’s marketing groups. | |||||||||||||||||||||||||||||||||||
Torchmark Corporation | |||||||||||||||||||||||||||||||||||
Premium Income By Distribution Channel | |||||||||||||||||||||||||||||||||||
For the Year 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 19,742 | 1 | $ | 298,298 | 25 | $ | 532 | 100 | $ | 318,572 | 10 | |||||||||||||||||||||||
Liberty National Exclusive | 275,980 | 15 | 241,264 | 21 | 517,244 | 17 | |||||||||||||||||||||||||||||
American Income Exclusive | 715,366 | 38 | 79,435 | 7 | 794,801 | 26 | |||||||||||||||||||||||||||||
Family Heritage Exclusive | 1,006 | 0 | 190,923 | 16 | 191,929 | 6 | |||||||||||||||||||||||||||||
Direct Response | 663,544 | 35 | 53,898 | 5 | 717,442 | 24 | |||||||||||||||||||||||||||||
Medicare Part D | 300,008 | 26 | 300,008 | 10 | |||||||||||||||||||||||||||||||
Other | 209,694 | 11 | 209,694 | 7 | |||||||||||||||||||||||||||||||
$ | 1,885,332 | 100 | $ | 1,163,826 | 100 | $ | 532 | 100 | $ | 3,049,690 | 100 | ||||||||||||||||||||||||
For the Year 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 21,127 | 1 | $ | 298,759 | 28 | $ | 559 | 100 | $ | 320,445 | 11 | |||||||||||||||||||||||
Liberty National Exclusive | 281,723 | 15 | 263,535 | 25 | 545,258 | 19 | |||||||||||||||||||||||||||||
American Income Exclusive | 663,696 | 37 | 79,640 | 8 | 743,336 | 26 | |||||||||||||||||||||||||||||
Family Heritage Exclusive | 130 | 0 | 30,119 | 3 | 30,249 | 1 | |||||||||||||||||||||||||||||
Direct Response | 630,111 | 35 | 57,966 | 6 | 688,077 | 24 | |||||||||||||||||||||||||||||
Medicare Part D | 317,764 | 30 | 317,764 | 11 | |||||||||||||||||||||||||||||||
Other | 211,737 | 12 | 211,737 | 8 | |||||||||||||||||||||||||||||||
$ | 1,808,524 | 100 | $ | 1,047,783 | 100 | $ | 559 | 100 | $ | 2,856,866 | 100 | ||||||||||||||||||||||||
For the Year 2011 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 22,846 | 1 | $ | 306,490 | 33 | $ | 608 | 100 | $ | 329,944 | 12 | |||||||||||||||||||||||
Liberty National Exclusive | 288,308 | 17 | 290,107 | 31 | 578,415 | 22 | |||||||||||||||||||||||||||||
American Income Exclusive | 607,914 | 35 | 80,119 | 9 | 688,033 | 26 | |||||||||||||||||||||||||||||
Direct Response | 593,650 | 35 | 57,067 | 6 | 650,717 | 25 | |||||||||||||||||||||||||||||
Medicare Part D | 196,710 | 21 | 196,710 | 7 | |||||||||||||||||||||||||||||||
Other | 213,526 | 12 | 213,526 | 8 | |||||||||||||||||||||||||||||||
$ | 1,726,244 | 100 | $ | 930,493 | 100 | $ | 608 | 100 | $ | 2,657,345 | 100 | ||||||||||||||||||||||||
Because of the nature of the life insurance industry, Torchmark has no individual or group which would be considered a major customer. Substantially all of Torchmark’s business is conducted in the United States, primarily in the Southeastern and Southwestern regions. | |||||||||||||||||||||||||||||||||||
The measure of profitability established by the chief operating decision maker for insurance segments is underwriting margin before other income and administrative expenses, in accordance with the manner the segments are managed. It essentially represents gross profit margin on insurance products before insurance administrative expenses and consists of premium, less net policy obligations, acquisition expenses, and commissions. Interest credited to net policy liabilities (reserves less deferred acquisition costs) is reflected as a component of the Investment segment in order to match this cost to the investment earnings from the assets supporting the net policy liabilities. | |||||||||||||||||||||||||||||||||||
The measure of profitability for the Investment segment is excess investment income, which represents the income earned on the investment portfolio in excess of net policy requirements and financing costs associated with Torchmark’s debt. Other than the above-mentioned interest allocations and an intersegment commission, there are no other intersegment revenues or expenses. Expenses directly attributable to corporate operations are included in the “Corporate” category. Stock-based compensation expense is considered a corporate expense by Torchmark management and is included in this category. All other unallocated revenues and expenses on a pretax basis, including insurance administrative expense, are included in the “Other” segment category. | |||||||||||||||||||||||||||||||||||
Torchmark holds a sizeable investment portfolio to support its insurance liabilities, the yield from which is used to offset policy benefit, acquisition, administrative and tax expenses. This yield or investment income is taken into account when establishing premium rates and profitability expectations of its insurance products. In holding such a portfolio, investments are sold, called, or written down from time to time, resulting in a realized gain or loss. These gains or losses generally occur as a result of disposition due to issuer calls, a downgrade in credit quality, compliance with Company investment policies, or other reasons often beyond management’s control. Unlike investment income, realized gains and losses are incidental to insurance operations, and only overall yields are considered when setting premium rates or insurance product profitability expectations. While these gains and losses are not relevant to segment profitability or core operating results, they can have a material positive or negative result on net income. For these reasons, management removes realized investment gains and losses when it views its segment operations. | |||||||||||||||||||||||||||||||||||
The following tables set forth a reconciliation of Torchmark’s revenues and operations by segment to its major income statement line items. | |||||||||||||||||||||||||||||||||||
For the year 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,885,332 | $ | 1,163,826 | $ | 532 | $ | 2,584 | (1) | $ | 3,052,274 | ||||||||||||||||||||||||
Net investment income | $ | 734,650 | (24,907 | )(4) | 709,743 | ||||||||||||||||||||||||||||||
Other income | $ | 2,208 | (277 | )(3) | 1,931 | ||||||||||||||||||||||||||||||
Total revenue | 1,885,332 | 1,163,826 | 532 | 734,650 | 2,208 | (22,600 | ) | 3,763,948 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,227,857 | 806,478 | 43,302 | 11,209 | (1,6) | 2,088,846 | |||||||||||||||||||||||||||||
Required interest on: | |||||||||||||||||||||||||||||||||||
Policy reserves | (508,236 | ) | (59,858 | ) | (57,294 | ) | 625,388 | 0 | |||||||||||||||||||||||||||
Deferred acquisition costs | 164,981 | 23,233 | 1,811 | (190,025 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 323,950 | 72,244 | 8,714 | (1,519 | )(7) | 403,389 | |||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 131,721 | 89,922 | 60 | (277 | )(3) | 221,426 | |||||||||||||||||||||||||||||
Insurance administrative expense(2) | 178,898 | 1,155 | (5) | 180,053 | |||||||||||||||||||||||||||||||
Parent expense | $ | 8,495 | 500 | (6) | 8,995 | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 25,642 | 25,642 | |||||||||||||||||||||||||||||||||
Interest expense | 80,461 | 80,461 | |||||||||||||||||||||||||||||||||
Total expenses | 1,340,273 | 932,019 | (3,407 | ) | 515,824 | 178,898 | 34,137 | 11,068 | 3,008,812 | ||||||||||||||||||||||||||
Subtotal | 545,059 | 231,807 | 3,939 | 218,826 | (176,690 | ) | (34,137 | ) | (33,668 | ) | 755,136 | ||||||||||||||||||||||||
Non-operating items | 8,761 | (5,6,7) | 8,761 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 24,907 | (4) | 24,907 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 545,059 | $ | 231,807 | $ | 3,939 | $ | 218,826 | $ | (176,690 | ) | $ | (34,137 | ) | $ | 0 | 788,804 | ||||||||||||||||||
Deduct applicable income taxes | (258,137 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 530,667 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 258,137 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 7,990 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(4) | (24,907 | ) | |||||||||||||||||||||||||||||||||
Deduct Guaranty Fund Assessment(5) | (1,155 | ) | |||||||||||||||||||||||||||||||||
Deduct legal settlement expenses(6) | (9,125 | ) | |||||||||||||||||||||||||||||||||
Add Family Heritage Life acquisition adjustments(7) | 1,519 | ||||||||||||||||||||||||||||||||||
Pretax income per Consolidated Statement of Operations | $ | 763,126 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-3 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-4 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-5 | Guaranty Fund Assessment. | ||||||||||||||||||||||||||||||||||
-6 | Legal settlement expenses. | ||||||||||||||||||||||||||||||||||
-7 | Family Heritage Life acquisition adjustments. | ||||||||||||||||||||||||||||||||||
For the Year 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,808,524 | $ | 1,047,783 | $ | 559 | $ | (404 | )(1) | $ | 2,856,462 | ||||||||||||||||||||||||
Net investment income | $ | 715,918 | (22,274 | )(2)(5) | 693,644 | ||||||||||||||||||||||||||||||
Other income | $ | 1,898 | (321 | )(4) | 1,577 | ||||||||||||||||||||||||||||||
Total revenue | 1,808,524 | 1,047,783 | 559 | 715,918 | 1,898 | (22,999 | ) | 3,551,683 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,172,020 | 739,945 | 44,121 | (404 | )(1) | 1,955,682 | |||||||||||||||||||||||||||||
Required interest on: | (483,892 | ) | (40,963 | ) | (59,293 | ) | 584,148 | 0 | |||||||||||||||||||||||||||
Policy reserves | |||||||||||||||||||||||||||||||||||
Deferred acquisition costs | 163,875 | 19,059 | 2,238 | (185,172 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 309,930 | 65,278 | 9,959 | 385,167 | |||||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 137,115 | 67,123 | 69 | (321 | )(4) | 203,986 | |||||||||||||||||||||||||||||
Insurance administrative expense(3) | 165,405 | 165,405 | |||||||||||||||||||||||||||||||||
Parent expense | $ | 8,222 | 2,944 | (6) | 11,166 | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 21,605 | 21,605 | |||||||||||||||||||||||||||||||||
Interest expense | 80,298 | 214 | (2) | 80,512 | |||||||||||||||||||||||||||||||
Total expenses | 1,299,048 | 850,442 | (2,906 | ) | 479,274 | 165,405 | 29,827 | 2,433 | 2,823,523 | ||||||||||||||||||||||||||
Sub total | 509,476 | 197,341 | 3,465 | 236,644 | (163,507 | ) | (29,827 | ) | (25,432 | ) | 728,160 | ||||||||||||||||||||||||
Non operating items | 2,944 | (6) | 2,944 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 22,488 | (5) | 22,488 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 509,476 | $ | 197,341 | $ | 3,465 | $ | 236,644 | $ | (163,507 | ) | $ | (29,827 | ) | $ | 0 | 753,592 | ||||||||||||||||||
Deduct applicable income taxes | (246,945 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 506,647 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 246,945 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 37,833 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(5) | (22,488 | ) | |||||||||||||||||||||||||||||||||
Deduct Family Heritage Life acquisition expense(6) | (2,944 | ) | |||||||||||||||||||||||||||||||||
Pretax income per the Consolidated Statement of Operations | $ | 765,993 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Reclassification of interest amount due to accounting rule requiring deconsolidation of Trust Preferred Securities. | ||||||||||||||||||||||||||||||||||
-3 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-4 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-5 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-6 | Family Heritage Life acquisition expense. | ||||||||||||||||||||||||||||||||||
For the Year 2011 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,726,244 | $ | 930,493 | $ | 608 | $ | (1,027 | )(1) | $ | 2,656,318 | ||||||||||||||||||||||||
Net investment income | $ | 707,041 | (14,013 | )(2,5) | 693,028 | ||||||||||||||||||||||||||||||
Other income | $ | 2,507 | (356 | )(4) | 2,151 | ||||||||||||||||||||||||||||||
Total revenue | 1,726,244 | 930,493 | 608 | 707,041 | 2,507 | (15,396 | ) | 3,351,497 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,118,909 | 632,847 | 42,547 | (1,027 | )(1) | 1,793,276 | |||||||||||||||||||||||||||||
Required interest on: | (458,029 | ) | (36,729 | ) | (57,040 | ) | 551,798 | 0 | |||||||||||||||||||||||||||
Policy reserves | |||||||||||||||||||||||||||||||||||
Deferred acquisition costs | 159,886 | 18,883 | 2,618 | (181,387 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 292,168 | 62,345 | 10,070 | 364,583 | |||||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 152,347 | 64,157 | 68 | (356 | )(4) | 216,216 | |||||||||||||||||||||||||||||
Insurance administrative expense(3) | 159,109 | 19,880 | (6,7,8) | 178,989 | |||||||||||||||||||||||||||||||
Parent expense | $ | 7,693 | 7,693 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 14,954 | 14,954 | |||||||||||||||||||||||||||||||||
Interest expense | 77,644 | 264 | (2) | 77,908 | |||||||||||||||||||||||||||||||
Total expenses | 1,265,281 | 741,503 | (1,737 | ) | 448,055 | 159,109 | 22,647 | 18,761 | 2,653,619 | ||||||||||||||||||||||||||
Sub total | 460,963 | 188,990 | 2,345 | 258,986 | (156,602 | ) | (22,647 | ) | (34,157 | ) | 697,878 | ||||||||||||||||||||||||
Non operating items | 19,880 | (6,7,8) | 19,880 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 14,277 | (5) | 14,277 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 460,963 | $ | 188,990 | $ | 2,345 | $ | 258,986 | $ | (156,602 | ) | $ | (22,647 | ) | $ | 0 | 732,035 | ||||||||||||||||||
Deduct applicable income taxes | (238,335 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 493,700 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 238,335 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 25,904 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(5) | (14,277 | ) | |||||||||||||||||||||||||||||||||
Deduct state administrative settlement expense(6) | (6,901 | ) | |||||||||||||||||||||||||||||||||
Deduct loss on sale of equipment(7) | (979 | ) | |||||||||||||||||||||||||||||||||
Deduct litigation expense(8) | (12,000 | ) | |||||||||||||||||||||||||||||||||
Pretax income per Consolidated Statement of Operations | $ | 723,782 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Reclassification of interest amount due to accounting rule requiring deconsolidation of Trust Preferred Securities. | ||||||||||||||||||||||||||||||||||
-3 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-4 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-5 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-6 | State administrative settlement expense. | ||||||||||||||||||||||||||||||||||
-7 | Loss on sale of equipment. | ||||||||||||||||||||||||||||||||||
-8 | Litigation expense. | ||||||||||||||||||||||||||||||||||
The following table summarizes the measures of segment profitability as determined in the three preceding tables for comparison with prior periods. The table also reconciles segment profits to net income. | |||||||||||||||||||||||||||||||||||
Analysis of Profitability by Segment | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | % | 2012 | % | |||||||||||||||||||||||||||||
Change | Change | ||||||||||||||||||||||||||||||||||
Life insurance underwriting margin | $ | 545,059 | $ | 509,476 | $ | 460,963 | $ | 35,583 | 7 | $ | 48,513 | 11 | |||||||||||||||||||||||
Health insurance underwriting margin | 231,807 | 197,341 | 188,990 | 34,466 | 17 | 8,351 | 4 | ||||||||||||||||||||||||||||
Annuity underwriting margin | 3,939 | 3,465 | 2,345 | 474 | 14 | 1,120 | 48 | ||||||||||||||||||||||||||||
Excess investment income | 218,826 | 236,644 | 258,986 | (17,818 | ) | (8 | ) | (22,342 | ) | (9 | ) | ||||||||||||||||||||||||
Other insurance: | |||||||||||||||||||||||||||||||||||
Other income | 2,208 | 1,898 | 2,507 | 310 | 16 | (609 | ) | (24 | ) | ||||||||||||||||||||||||||
Administrative expense | (178,898 | ) | (165,405 | ) | (159,109 | ) | (13,493 | ) | 8 | (6,296 | ) | 4 | |||||||||||||||||||||||
Corporate and adjustments | (34,137 | ) | (29,827 | ) | (22,647 | ) | (4,310 | ) | 14 | (7,180 | ) | 32 | |||||||||||||||||||||||
Pre-tax total | 788,804 | 753,592 | 732,035 | 35,212 | 5 | 21,557 | 3 | ||||||||||||||||||||||||||||
Applicable taxes | (258,137 | ) | (246,945 | ) | (238,335 | ) | (11,192 | ) | 5 | (8,610 | ) | 4 | |||||||||||||||||||||||
Total | 530,667 | 506,647 | 493,700 | 24,020 | 5 | 12,947 | 3 | ||||||||||||||||||||||||||||
Realized gains (losses)—investments (after tax)* | 3,965 | 24,591 | 16,838 | (20,626 | ) | 7,753 | |||||||||||||||||||||||||||||
Loss on disposal of discontinued operations (after tax) | 0 | 0 | (455 | ) | 0 | 455 | |||||||||||||||||||||||||||||
Acquisition expense and adjustments—Family Heritage (after tax) | 522 | (1,914 | ) | 0 | 2,436 | (1,914 | ) | ||||||||||||||||||||||||||||
Legal settlement expenses (after tax) | (5,931 | ) | 0 | (7,800 | ) | (5,931 | ) | 7,800 | |||||||||||||||||||||||||||
Guaranty Fund assessment (after tax) | (751 | ) | 0 | 0 | (751 | ) | 0 | ||||||||||||||||||||||||||||
State administrative settlement (after tax) | 0 | 0 | (4,486 | ) | 0 | 4,486 | |||||||||||||||||||||||||||||
Loss on sale of equipment (after tax) | 0 | 0 | (636 | ) | 0 | 636 | |||||||||||||||||||||||||||||
Net income | $ | 528,472 | $ | 529,324 | $ | 497,161 | $ | -852 | 0 | $ | 32,163 | 6 | |||||||||||||||||||||||
Assets for each segment are reported based on a specific identification basis. The insurance segments’ assets contain deferred acquisition costs (including the value of insurance purchased). The investment segment includes the investment portfolio, cash, and accrued investment income. Goodwill is assigned to the insurance segments at the time of purchase based on the excess of cost over the fair value of assets acquired for the benefit of that segment. All other assets, representing approximately 4% of total assets, are included in the other category. The table below reconciles segment assets to total assets as reported in the consolidated financial statements. | |||||||||||||||||||||||||||||||||||
Assets by Segment | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Consolidated | ||||||||||||||||||||||||||||||
Cash and invested assets | $ | 13,456,944 | $ | 13,456,944 | |||||||||||||||||||||||||||||||
Accrued investment income | 200,038 | 200,038 | |||||||||||||||||||||||||||||||||
Deferred acquisition costs | $ | 2,809,199 | $ | 497,743 | $ | 30,707 | 3,337,649 | ||||||||||||||||||||||||||||
Goodwill | 309,609 | 131,982 | 441,591 | ||||||||||||||||||||||||||||||||
Other assets | $ | 755,522 | 755,522 | ||||||||||||||||||||||||||||||||
Total assets | $ | 3,118,808 | $ | 629,725 | $ | 30,707 | $ | 13,656,982 | $ | 755,522 | $ | 18,191,744 | |||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Consolidated | ||||||||||||||||||||||||||||||
Cash and invested assets | $ | 14,155,919 | $ | 14,155,919 | |||||||||||||||||||||||||||||||
Accrued investment income | 195,497 | 195,497 | |||||||||||||||||||||||||||||||||
Deferred acquisition costs | $ | 2,688,876 | $ | 481,725 | $ | 27,830 | 3,198,431 | ||||||||||||||||||||||||||||
Goodwill | 309,609 | 131,982 | 441,591 | ||||||||||||||||||||||||||||||||
Other assets | $ | 785,472 | 785,472 | ||||||||||||||||||||||||||||||||
Total assets | $ | 2,998,485 | $ | 613,707 | $ | 27,830 | $ | 14,351,416 | $ | 785,472 | $ | 18,776,910 | |||||||||||||||||||||||
Other Balances by Segment | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Consolidated | |||||||||||||||||||||||||||||||
Future policy benefits | $ | 8,493,972 | $ | 1,384,365 | $ | 1,377,818 | $ | 11,256,155 | |||||||||||||||||||||||||||
Unearned and advance premium | 16,970 | 57,204 | 74,174 | ||||||||||||||||||||||||||||||||
Policy claims and other benefits payable | 121,661 | 101,719 | 223,380 | ||||||||||||||||||||||||||||||||
Debt | $ | 1,219,935 | 1,219,935 | ||||||||||||||||||||||||||||||||
Total | $ | 8,632,603 | $ | 1,543,288 | $ | 1,377,818 | $ | 1,219,935 | $ | 12,773,644 | |||||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Consolidated | |||||||||||||||||||||||||||||||
Future policy benefits | $ | 8,093,618 | $ | 1,264,540 | $ | 1,348,061 | $ | 10,706,219 | |||||||||||||||||||||||||||
Unearned and advance premium | 16,856 | 59,232 | 76,088 | ||||||||||||||||||||||||||||||||
Policy claims and other benefits payable | 123,600 | 104,870 | 228,470 | ||||||||||||||||||||||||||||||||
Debt | $ | 1,308,729 | 1,308,729 | ||||||||||||||||||||||||||||||||
Total | $ | 8,234,074 | $ | 1,428,642 | $ | 1,348,061 | $ | 1,308,729 | $ | 12,319,506 | |||||||||||||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Commitments and Contingencies | ' | ||||
Note 15—Commitments and Contingencies | |||||
Reinsurance: Insurance affiliates of Torchmark reinsure that portion of insurance risk which is in excess of their retention limits. Retention limits for ordinary life insurance range up to $2.0 million per life. Life insurance ceded represented .5% of total life insurance in force at December 31, 2013. Insurance ceded on life and accident and health products represented .3% of premium income for 2013. Torchmark would be liable for the reinsured risks ceded to other companies to the extent that such reinsuring companies are unable to meet their obligations. | |||||
Insurance affiliates also assume insurance risks of other companies. Life reinsurance assumed represented 2.5% of life insurance in force at December 31, 2013 and reinsurance assumed on life and accident and health products represented .9% of premium income for 2013. | |||||
Leases: Torchmark leases office space and office equipment under a variety of operating lease arrangements. Rental expense for operating leases was $4.1 million in 2013, $3.6 million in 2012, and $4.8 million in 2011. Future minimum rental commitments required under operating leases having remaining noncancelable lease terms in excess of one year at December 31, 2013 were as follows: 2014, $3.4 million; 2015, $3.3 million; 2016, $1.9 million; 2017, $1.1 million; 2018, $1.0 million and in the aggregate, $11.4 million. | |||||
Low-Income Housing Tax Credit Interests: As described in Note 1, Torchmark had $290 million invested in entities which provide certain tax benefits at December 31, 2013. As of December 31, 2013, Torchmark remained obligated under these commitments for $58 million, of which $41 million is due in 2014, $8 million in 2015, $0 million in 2016, and $9 million thereafter. | |||||
Investment Commitment: As of December 31, 2013, Torchmark had committed to purchase $33.8 million of private placement investments. | |||||
Concentrations of Credit Risk: Torchmark maintains a diversified investment portfolio with limited concentration in any given issuer. At December 31, 2013, the investment portfolio, at fair value, consisted of the following: | |||||
Investment-grade corporate securities | 79 | % | |||
Securities of state and municipal governments | 10 | ||||
Below-investment-grade securities | 4 | ||||
Policy loans, which are secured by the underlying insurance policy values | 3 | ||||
Government-sponsored enterprises | 2 | ||||
Other fixed maturities, equity securities, mortgages, real estate, other long-term investments, and short-term investments | 2 | ||||
100 | % | ||||
As of December 31, 2013, securities of state and municipal governments represented 10% of invested assets at fair value. Such investments are made throughout the U.S. At year-end 2013, 5% or more of the state and municipal bond portfolio at fair value was invested in securities issued within the following states: Texas (31%), Ohio (7%), Washington (7%), Illinois (6%), and Alabama (5%). Otherwise, there was no significant concentration within any given state. | |||||
Corporate debt and equity investments are made in a wide range of industries. Below are the ten largest industry concentrations held in the corporate portfolio at December 31, 2013, based on fair value: | |||||
Insurance | 17 | % | |||
Electric utilities and services | 17 | % | |||
Pipelines | 7 | % | |||
Banks | 6 | % | |||
Oil and gas extraction | 6 | % | |||
Transportation | 5 | % | |||
Mining | 4 | % | |||
Chemicals | 4 | % | |||
Telecommunications | 3 | % | |||
REITs | 3 | % | |||
At year-end 2013, 4% of invested assets at fair value was represented by fixed maturities rated below investment grade (BB or lower as determined by the weighted average of available ratings from rating services). Par value of these investments was $681 million, amortized cost was $566 million, and fair value was $523 million. While these investments could be subject to additional credit risk, such risk should generally be reflected in their fair value. | |||||
Collateral Requirements: Torchmark requires collateral for investments in instruments where collateral is available and is typically required because of the nature of the investment. Torchmark’s mortgages are secured by the underlying real estate. | |||||
Guarantees: At December 31, 2013, Torchmark had in place three guarantee agreements, of which were either parent company guarantees of subsidiary obligations to a third party, or parent company guarantees of obligations between wholly-owned subsidiaries. As of December 31, 2013, Torchmark had no liability with respect to these guarantees. | |||||
Letters of Credit: Torchmark has guaranteed letters of credit in connection with its credit facility with a group of banks. The letters of credit were issued by TMK Re, Ltd., a wholly-owned subsidiary, to secure TMK Re, Ltd.’s obligation for claims on certain policies reinsured by TMK Re, Ltd. that were sold by other Torchmark insurance companies. These letters of credit facilitate TMK Re, Ltd.’s ability to reinsure the business of Torchmark’s insurance carriers. The agreement expires in 2015. The maximum amount of letters of credit available is $250 million. Torchmark (parent company) would be liable to the extent that TMK Re, Ltd. does not pay the reinsured party. At December 31, 2013, $198 million of letters of credit were outstanding. | |||||
Equipment leases: Torchmark has guaranteed performance of a subsidiary as lessee under two leasing arrangements for aviation equipment. One of the leases expires in January, 2017 and the other expires in August, 2019. At December 31, 2013, total remaining undiscounted payments under the leases were approximately $6.5 million. Torchmark (parent company) would be responsible for any subsidiary obligation in the event the subsidiary did not make payments or otherwise perform under the terms of the lease. | |||||
Unclaimed Property Audits. Torchmark subsidiaries are currently the subject of audits regarding the identification, reporting, and escheatment of unclaimed property arising from life insurance policies and a limited number of annuity contracts. These audits are being conducted by private entities that have contracted with forty seven states through their respective Departments of Revenue, and have not resulted in any financial assessment from any state nor indicated any Company liability. These audits are wide-ranging, and seek large amounts of data regarding claims handling, procedures, and payments of contract benefits arising from unreported death claims. Additionally, the Torchmark subsidiary companies are the subject of multiple regulatory departments’ inquiries and examinations with similar focus on abandoned property and unreported claims, but also which deal with the accounting for general expenses, commissions, and other payments. These audits and examinations could result in additional payments to insurance beneficiaries, the escheatment of abandoned property to various states, and/or possible administrative penalties. Amounts that could be payable to insurance beneficiaries and to the states for the escheatment of abandoned property represent insurance liabilities and are included in the Company’s estimate of policy benefits under the caption “Total policy liabilities” on the Consolidated Balance Sheets. No estimate of range can be made for loss contingencies related to possible administrative penalties at this time. | |||||
Litigation: Torchmark and its subsidiaries, in common with the insurance industry in general, are subject to litigation, including claims involving tax matters, alleged breaches of contract, torts, including bad faith and fraud claims based on alleged wrongful or fraudulent acts of agents of Torchmark’s subsidiaries, employment discrimination, and miscellaneous other causes of action. Based upon information presently available, and in light of legal and other factual defenses available to Torchmark and its subsidiaries, management does not believe that such litigation will have a material adverse effect on Torchmark’s financial condition, future operating results or liquidity; however, assessing the eventual outcome of litigation necessarily involves forward-looking speculation as to judgments to be made by judges, juries and appellate courts in the future. This bespeaks caution, particularly in states with reputations for high punitive damage verdicts. Torchmark’s management recognizes that large punitive damage awards bearing little or no relation to actual damages continue to be awarded by juries in jurisdictions in which Torchmark and its subsidiaries have substantial business, creating the potential for unpredictable material adverse judgments in any given punitive damage suit. | |||||
In January 2013, the West Virginia Treasurer filed actions against Torchmark subsidiaries, United American, Globe and American Income in the Circuit Court of Putnam County, West Virginia (State of West Virginia ex rel. John D. Perdue v. United American Insurance Company, et al, Civil Action No. 12-C-439). The actions, which also name numerous other unaffiliated insurance companies, allege violations of the West Virginia Uniform Unclaimed Property Act and seek to compel compliance with that Act through the reporting and remittance of unclaimed life insurance proceeds to the State Treasurer as administrator of the West Virginia Unclaimed Property Fund. This litigation was stayed as to these Torchmark subsidiaries pending completion of the unclaimed property audits being conducted by various State Departments of Revenue, discussed more fully under the caption Unclaimed Property Audits in this footnote, and a motion to dismiss the West Virginia litigation was subsequently granted as to all defendants in the case by the Court in January 2014. West Virginia has filed an appeal of this decision and thus, the stay of the litigation against the Torchmark subsidiaries has been reinstated. | |||||
With respect to its current litigation, at this time management believes that the possibility of a material judgment adverse to Torchmark is remote, and no estimate of range can be made for loss contingencies that are at least reasonably possible but not accrued. |
Selected_Quarterly_Data_Unaudi
Selected Quarterly Data (Unaudited) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Selected Quarterly Data (Unaudited) | ' | ||||||||||||||||
Note 16—Selected Quarterly Data (Unaudited) | |||||||||||||||||
The following is a summary of quarterly results for the two years ended December 31, 2013. The information is unaudited but includes all adjustments (consisting of normal accruals) which management considers necessary for a fair presentation of the results of operations for these periods. | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2013:00:00 | |||||||||||||||||
Premium and policy charges | $ | 784,814 | $ | 765,851 | $ | 750,998 | $ | 750,611 | |||||||||
Net investment income | 176,839 | 177,964 | 176,656 | 178,284 | |||||||||||||
Realized investment gains(losses) | (3,907 | ) | 5,913 | 4,459 | 1,525 | ||||||||||||
Total revenues | 958,216 | 950,339 | 932,789 | 930,594 | |||||||||||||
Policy benefits | 552,003 | 524,499 | 516,783 | 495,561 | |||||||||||||
Amortization of acquisition expenses | 101,714 | 102,488 | 98,444 | 100,743 | |||||||||||||
Pretax income | 173,063 | 192,784 | 190,850 | 206,429 | |||||||||||||
Net income | 119,632 | 133,901 | 132,122 | 142,817 | |||||||||||||
Basic net income per common share* | 1.28 | 1.45 | 1.45 | 1.59 | |||||||||||||
Diluted net income per common share* | 1.27 | 1.44 | 1.43 | 1.56 | |||||||||||||
2012:00:00 | |||||||||||||||||
Premium and policy charges | $ | 718,475 | $ | 705,582 | $ | 699,860 | $ | 732,545 | |||||||||
Net investment income | 174,121 | 175,176 | 169,400 | 174,947 | |||||||||||||
Realized investment gains(losses) | 5,006 | 4,661 | 7,283 | 20,883 | |||||||||||||
Total revenues | 897,923 | 885,795 | 877,100 | 928,698 | |||||||||||||
Policy benefits | 512,647 | 484,807 | 479,119 | 479,109 | |||||||||||||
Amortization of acquisition expenses | 96,498 | 96,601 | 94,016 | 98,052 | |||||||||||||
Pretax income | 170,235 | 186,380 | 188,791 | 220,587 | |||||||||||||
Net income | 118,677 | 128,988 | 130,672 | 150,987 | |||||||||||||
Basic net income per common share* | 1.19 | 1.33 | 1.37 | 1.6 | |||||||||||||
Diluted net income per common share* | 1.17 | 1.32 | 1.36 | 1.58 | |||||||||||||
* | Basic and diluted net income per share by quarter may not add to per share income on a year-to-date basis due to share weighting and rounding. |
Schedule_II_Condensed_Financia
Schedule II - Condensed Financial Information of Registrant | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||
Schedule II - Condensed Financial Information of Registrant | ' | ||||||||||||
TORCHMARK CORPORATION | |||||||||||||
(PARENT COMPANY) | |||||||||||||
SCHEDULE II. CONDENSED FINANCIAL INFORMATION OF REGISTRANT | |||||||||||||
CONDENSED BALANCE SHEETS | |||||||||||||
(Amounts in thousands) | |||||||||||||
December 31, | |||||||||||||
2013 | 2012 | ||||||||||||
Assets: | |||||||||||||
Investments: | |||||||||||||
Long-term investments | $ | 34,816 | $ | 31,060 | |||||||||
Short-term investments | 8,415 | 1,610 | |||||||||||
Total investments | 43,231 | 32,670 | |||||||||||
Cash | 0 | 0 | |||||||||||
Investment in affiliates | 5,074,326 | 5,780,762 | |||||||||||
Due from affiliates | 50,766 | 156,995 | |||||||||||
Taxes receivable | 66,168 | 86,391 | |||||||||||
Other assets | 45,533 | 27,635 | |||||||||||
Total assets | $ | 5,280,024 | $ | 6,084,453 | |||||||||
Liabilities and shareholders’ equity: | |||||||||||||
Liabilities: | |||||||||||||
Short-term debt | $ | 229,070 | $ | 319,043 | |||||||||
Long-term debt | 1,140,469 | 1,139,253 | |||||||||||
Due to affiliates | 652 | 59,358 | |||||||||||
Other liabilities | 133,491 | 205,013 | |||||||||||
Total liabilities | 1,503,682 | 1,722,667 | |||||||||||
Shareholders’ equity: | |||||||||||||
Preferred stock | 351 | 351 | |||||||||||
Common stock | 100,812 | 105,812 | |||||||||||
Additional paid-in capital | 812,569 | 790,293 | |||||||||||
Accumulated other comprehensive income | 210,981 | 925,275 | |||||||||||
Retained earnings | 3,545,939 | 3,403,338 | |||||||||||
Treasury stock | (894,310 | ) | (863,283 | ) | |||||||||
Total shareholders’ equity | 3,776,342 | 4,361,786 | |||||||||||
Total liabilities and shareholders’ equity | $ | 5,280,024 | $ | 6,084,453 | |||||||||
See Notes to Condensed Financial Statements and accompanying Report of Independent Registered | |||||||||||||
Public Accounting Firm. | |||||||||||||
CONDENSED STATEMENTS OF OPERATIONS | |||||||||||||
(Amounts in thousands) | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Net investment income | $ | 24,268 | $ | 22,968 | $ | 23,542 | |||||||
Realized investment gains (losses) | 0 | (3,534 | ) | 508 | |||||||||
Total revenue | 24,268 | 19,434 | 24,050 | ||||||||||
General operating expenses | 53,255 | 49,549 | 30,945 | ||||||||||
Reimbursements from affiliates | (46,855 | ) | (31,184 | ) | (19,335 | ) | |||||||
Interest expense | 84,273 | 81,145 | 75,426 | ||||||||||
Total expenses | 90,673 | 99,510 | 87,036 | ||||||||||
Operating income (loss) before income taxes and equity in earnings of affiliates | (66,405 | ) | (80,076 | ) | (62,986 | ) | |||||||
Income taxes | 17,390 | 24,916 | 14,380 | ||||||||||
Net operating loss before equity in earnings of affiliates | (49,015 | ) | (55,160 | ) | (48,606 | ) | |||||||
Equity in earnings of affiliates | 577,487 | 584,484 | 545,767 | ||||||||||
Net income | 528,472 | 529,324 | 497,161 | ||||||||||
Other comprehensive income (loss): | |||||||||||||
Attributable to Parent Company | 38,557 | (31,388 | ) | (5,410 | ) | ||||||||
Attributable to affiliates | (752,851 | ) | 406,747 | 532,234 | |||||||||
Comprehensive income | $ | (185,822 | ) | $ | 904,683 | $ | 1,023,985 | ||||||
See Notes to Condensed Financial Statements and accompanying Report of Independent Registered | |||||||||||||
Public Accounting Firm. | |||||||||||||
CONDENSED STATEMENTS OF CASH FLOWS | |||||||||||||
(Amounts in thousands) | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Cash provided from (used for) operations before dividends from subsidiaries | $ | (54,213 | ) | $ | (5,652 | ) | $ | (33,042 | ) | ||||
Cash dividends from subsidiaries | 488,376 | 436,814 | 769,139 | ||||||||||
Cash provided from operations | 434,163 | 431,162 | 736,097 | ||||||||||
Cash provided from (used for) investing activities: | |||||||||||||
Disposition of investments | 514 | 3,955 | 11,828 | ||||||||||
Net decrease (increase) in short-term investments | (6,805 | ) | (17,524 | ) | 62,524 | ||||||||
Acquisition of Family Heritage | 0 | (213,747 | ) | 0 | |||||||||
Investment in other subsidiaries | 0 | (205 | ) | (25,000 | ) | ||||||||
Cash provided from (used for) investing activities | (6,291 | ) | (227,521 | ) | 49,352 | ||||||||
Cash provided from (used for) financing activities: | |||||||||||||
Issuance of 3.8% Senior Notes | 0 | 296,646 | 0 | ||||||||||
Issuance of 5.875% Junior Subordinated Debentures | 0 | 120,811 | 0 | ||||||||||
Repayment of 7.375% Notes | (94,050 | ) | 0 | 0 | |||||||||
Redemption of 7.1% Junior Subordinated Debentures | 0 | (123,711 | ) | 0 | |||||||||
Net issuance (repayment) of commercial paper | 3,983 | 245 | 25,967 | ||||||||||
Issuance of stock | 97,677 | 181,022 | 162,613 | ||||||||||
Acquisitions of treasury stock | (482,264 | ) | (570,165 | ) | (972,556 | ) | |||||||
Net borrowings (to)/from subsidiaries | 120,000 | (69,000 | ) | 96,000 | |||||||||
Excess tax benefit on stock option exercises | 10,963 | 12,209 | 2,021 | ||||||||||
Payment of dividends | (84,181 | ) | (78,797 | ) | (72,395 | ) | |||||||
Cash provided from (used for) financing activities | (427,872 | ) | (230,740 | ) | (758,350 | ) | |||||||
Net increase (decrease) in cash | 0 | (27,099 | ) | 27,099 | |||||||||
Cash balance at beginning of period | 0 | 27,099 | 0 | ||||||||||
Cash balance at end of period | $ | 0 | $ | 0 | $ | 27,099 | |||||||
See Notes to Condensed Financial Statements and accompanying Report of Independent Registered | |||||||||||||
Public Accounting Firm. | |||||||||||||
TORCHMARK CORPORATION | |||||||||||||
(PARENT COMPANY) | |||||||||||||
NOTES TO CONDENSED FINANCIAL STATEMENTS | |||||||||||||
(Amounts in thousands) | |||||||||||||
Note A—Dividends from Subsidiaries | |||||||||||||
Cash dividends paid to Torchmark from the subsidiaries were as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Dividends from subsidiaries | $ | 488,376 | $ | 436,814 | $ | 769,139 | |||||||
Note B—Supplemental Disclosures of Cash Flow Information | |||||||||||||
The following table summarizes noncash transactions, which are not reflected on the Condensed Statements of Cash Flows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Stock-based compensation not involving cash | $ | 25,642 | $ | 21,605 | $ | 14,954 | |||||||
Debt assumed to acquire Family Heritage | 0 | 20,000 | 0 | ||||||||||
Dividend of subsidiary to Parent | 1,246,557 | 0 | 0 | ||||||||||
Dividend of subsidiary applied to loan balance | 72,000 | 0 | 0 | ||||||||||
The following table summarizes certain amounts paid (received) during the period: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Interest paid | $ | 85,443 | $ | 76,833 | $ | 74,569 | |||||||
Income taxes received | 27,820 | 29,251 | 22,893 | ||||||||||
Note C—Preferred Stock | |||||||||||||
As of December 31, 2013, Torchmark had 351 thousand shares of Cumulative Preferred Stock, Series A, issued and outstanding, of which 280 thousand shares were 6.50% Cumulative Preferred Stock, Series A, and 71 thousand shares were 7.15% Cumulative Preferred Stock, Series A (collectively, the “Series A Preferred Stock”). All issued and outstanding shares of Series A Preferred Stock were held by wholly-owned insurance subsidiaries. In the event of liquidation, the holders of the Series A Preferred Stock at the time outstanding would be entitled to receive a liquidating distribution out of the assets legally available to stockholders in the amount of $1 thousand per share or $351 million in the aggregate, plus any accrued and unpaid dividends, before any distribution is made to holders of Torchmark common stock. Holders of Series A Preferred Stock do not have any voting rights nor have rights to convert such shares into shares of any other class of Torchmark capital stock. |
Schedule_IV_Reinsurance
Schedule IV - Reinsurance | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Supplemental Schedule Of Reinsurance Premiums For Insurance Companies [Abstract] | ' | ||||||||||||||||||||
Schedule IV - Reinsurance | ' | ||||||||||||||||||||
TORCHMARK CORPORATION | |||||||||||||||||||||
SCHEDULE IV. REINSURANCE (CONSOLIDATED) | |||||||||||||||||||||
(Amounts in thousands) | |||||||||||||||||||||
Gross | Ceded | Assumed | Net | Percentage | |||||||||||||||||
Amount | to Other | from Other | Amount | of Amount | |||||||||||||||||
Companies(1) | Companies | Assumed | |||||||||||||||||||
to Net | |||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||
Life insurance in force | $ | 154,488,511 | $ | 782,125 | $ | 3,882,237 | $ | 157,588,623 | 2.5 | % | |||||||||||
Premiums:(2) | |||||||||||||||||||||
Life insurance | $ | 1,841,425 | $ | 4,645 | $ | 26,960 | $ | 1,863,740 | 1.4 | % | |||||||||||
Health insurance | 1,169,534 | 3,124 | 0 | 1,166,410 | 0 | % | |||||||||||||||
Total premium | $ | 3,010,959 | $ | 7,769 | $ | 26,960 | $ | 3,030,150 | 0.9 | % | |||||||||||
For the Year Ended December 31, | |||||||||||||||||||||
2012:00:00 | |||||||||||||||||||||
Life insurance in force | $ | 150,107,614 | $ | 800,905 | $ | 4,138,180 | $ | 153,444,889 | 2.7 | % | |||||||||||
Premiums:(2) | |||||||||||||||||||||
Life insurance | $ | 1,762,640 | $ | 7,592 | $ | 30,725 | $ | 1,785,773 | 1.7 | % | |||||||||||
Health insurance | 1,049,608 | 2,229 | 0 | 1,047,379 | 0 | % | |||||||||||||||
Total premium | $ | 2,812,248 | $ | 9,821 | $ | 30,725 | $ | 2,833,152 | 1.1 | % | |||||||||||
For the Year Ended December 31, | |||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||
Life insurance in force | $ | 144,778,793 | $ | 738,935 | $ | 4,414,247 | $ | 148,454,105 | 3 | % | |||||||||||
Premiums:(2) | |||||||||||||||||||||
Life insurance | $ | 1,675,307 | $ | 4,716 | $ | 31,311 | $ | 1,701,902 | 1.8 | % | |||||||||||
Health insurance | 931,751 | 2,285 | 0 | 929,466 | 0 | % | |||||||||||||||
Total premium | $ | 2,607,058 | $ | 7,001 | $ | 31,311 | $ | 2,631,368 | 1.2 | % | |||||||||||
-1 | No amounts have been netted against ceded premium | ||||||||||||||||||||
-2 | Excludes policy charges of $22,124, $23,310, and $24,950 in each of the years 2013, 2012, and 2011, respectively. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Business | ' | ||||||||||||
Business: Torchmark Corporation (Torchmark or alternatively, the Company) through its subsidiaries provides a variety of life and health insurance products and annuities to a broad base of customers. | |||||||||||||
Basis of Presentation | ' | ||||||||||||
Basis of Presentation: The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), under guidance issued by the Financial Accounting Standards Board (FASB). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |||||||||||||
Principles of Consolidation | ' | ||||||||||||
Principles of Consolidation: The consolidated financial statements include the results of Torchmark and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. When Torchmark acquires a subsidiary or a block of business, the assets acquired and the liabilities assumed are measured at fair value at the acquisition date. Any excess of acquisition cost over the fair value of net assets is recorded as goodwill. Expenses incurred to effect the acquisition are charged to earnings as of the acquisition date. Upon acquisition, the accounts and results of operations are consolidated as of and subsequent to the acquisition date. | |||||||||||||
Torchmark accounts for its variable interest entities (VIE’s) under accounting guidance which clarifies the definition of a variable interest and the instructions for consolidating VIE’s. Only primary beneficiaries are required or allowed to consolidate VIE’s. Therefore, a company may have voting control of a VIE, but if it is not the primary beneficiary of the VIE, it is not permitted to consolidate the VIE. The trust that was liable for Torchmark’s Trust Preferred Securities met the definition of a VIE. However, Torchmark was not the primary beneficiary of this entity because its interest was not variable. Therefore, Torchmark was not permitted to consolidate its interest, even though it owned 100% of the voting equity of the trust and guaranteed its performance. For this reason, Torchmark reported its 7.1% Junior Subordinated Debentures due to the trust as “Due to affiliates” each period at its carrying value. However, Torchmark viewed the Trust Preferred Securities as it does any other debt offering and consolidated the trust in its segment analysis because GAAP requires that the segment analysis be reported as management views its operations and financial condition. These Securities were redeemed in October, 2012, as disclosed in Note 11—Debt. | |||||||||||||
Additionally, as further described under the caption Low-Income Housing Tax Credit Interests below in this note, Torchmark holds passive interests in limited partnerships which provide investment returns through the provision of tax benefits (principally from the transfer of Federal or state tax credits related to federal low-income housing). These interests are also considered to be VIEs. They are not consolidated because the Company has no power to control the activities that most significantly affect the economic performance of these entities and therefore the Company is not the primary beneficiary of any of these interests. Torchmark’s involvement is limited to its limited partnership interest in the entities. Torchmark has not provided any other financial support to the entities beyond its commitments to fund its limited partnership interests, and there are no arrangements or agreements with any of the interests to provide other financial support. The maximum loss exposure relative to these interests is limited to their carrying value. | |||||||||||||
When a component of Torchmark’s business is sold or expected to be sold during the ensuing year, Torchmark reports the assets and liabilities of the component as assets and liabilities of subsidiaries held for sale. Assets or liabilities of subsidiaries held for sale are segregated and are recorded in the Consolidated Balance Sheets at the lower of the carrying amount or estimated fair value less cost to sell. If the carrying amount of the business exceeds its estimated fair value, a loss is recognized. Torchmark reports the results of operations of a business as discontinued operations when the component is sold or expected to be sold, the operations and cash flows of the business have been or will be eliminated from the ongoing operations as a result of the disposal transaction, and Torchmark will not have any significant continuing involvement in the operations of the business after the disposal transaction. The results of discontinued operations are reported in discontinued operations in the Consolidated Statements of Operations for current and prior periods commencing in the period in which the business is either disposed of or is accounted for as a disposal group, including any gain or loss recognized on the sale or adjustment of the carrying amount to fair value less cost to sell. | |||||||||||||
Investments | ' | ||||||||||||
Investments: Torchmark classifies all of its fixed-maturity investments, which include bonds and redeemable preferred stocks, as available for sale. Investments classified as available for sale are carried at fair value with unrealized gains and losses, net of deferred taxes, reflected directly in accumulated other comprehensive income. Investments in equity securities, which include common and nonredeemable preferred stocks, are reported at fair value with unrealized gains and losses, net of deferred taxes, reflected directly in accumulated other comprehensive income. Policy loans are carried at unpaid principal balances. Mortgage loans, included in “Other long-term investments,” are carried at amortized cost. Investments in real estate, included in “Other long-term investments,” are reported at cost less allowances for depreciation. Depreciation is calculated on the straight-line method. Short-term investments include investments in interest-bearing time deposits with original maturities of twelve months or less. | |||||||||||||
Gains and losses realized on the disposition of investments are determined on a specific identification basis. Income attributable to investments is included in Torchmark’s net investment income. Net investment income and realized investment gains and losses are not allocated to insurance policyholders’ liabilities. | |||||||||||||
Impairment of Investments | ' | ||||||||||||
Impairment of Investments: Torchmark’s portfolio of fixed maturities fluctuates in value due to changes in interest rates in the financial markets as well as other factors. Fluctuations caused by market interest rate changes have little bearing on whether or not the investment will be ultimately recoverable. Therefore, Torchmark considers these declines in value resulting from changes in market interest rates to be temporary. In certain circumstances, however, Torchmark determines that the decline in the value of a security is other-than-temporary and writes the book value of the security down to its fair value, realizing an investment loss. The evaluation of Torchmark’s securities for other-than-temporary impairments is a process that is undertaken at least quarterly and is overseen by a team of Company investment and accounting professionals. Each security which is impaired because the fair value is less than the cost or amortized cost is identified and evaluated. The determination that an impairment is other-than-temporary is highly subjective and involves the careful consideration of many factors. Among the factors considered are: | |||||||||||||
• | The length of time and extent to which the security has been impaired | ||||||||||||
• | The reason(s) for the impairment | ||||||||||||
• | The financial condition of the issuer and the near-term prospects for recovery in fair value of the security | ||||||||||||
• | The Company’s ability and intent to hold the security until anticipated recovery | ||||||||||||
• | Expected future cash flows | ||||||||||||
The relative weight given to each of these factors can change over time as facts and circumstances change. In many cases, management believes it is appropriate to give relatively more weight to prospective factors than to retrospective factors. Prospective factors that are given more weight include prospects for recovery, the Company’s ability and intent to hold the security until anticipated recovery, and expected future cash flows. | |||||||||||||
Among the facts and information considered in the process are: | |||||||||||||
• | Default on a required payment | ||||||||||||
• | Issuer bankruptcy filings | ||||||||||||
• | Financial statements of the issuer | ||||||||||||
• | Changes in credit ratings of the issuer | ||||||||||||
• | The value of underlying collateral | ||||||||||||
• | News and information included in press releases issued by the issuer | ||||||||||||
• | News and information reported in the media concerning the issuer | ||||||||||||
• | News and information published by or otherwise provided by credit analysts | ||||||||||||
• | Recent cash flows | ||||||||||||
While all available information is taken into account, it is difficult to predict the ultimately recoverable amount of a distressed or impaired security. If a security is determined to be other-than-temporarily impaired, the cost basis of the security is written down to fair value and is treated as a realized loss in the period the determination is made. The written-down security will be amortized and revenue recognized in accordance with estimated future cash flows. | |||||||||||||
Current accounting guidance is such that if an entity intends to sell or if it is more likely than not that it will be required to sell an impaired security prior to recovery of its cost basis, the security is to be considered other-than-temporarily impaired and the full amount of impairment must be charged to earnings. Otherwise, losses on fixed maturities which are other-than-temporarily impaired are separated into two categories, the portion of loss which is considered credit loss and the portion of loss which is due to other factors. The credit loss portion is charged to earnings while the loss due to other factors is charged to other comprehensive income. The credit loss portion of an impairment is determined as the difference between the security’s amortized cost and the present value of expected future cash flows discounted at the security’s original effective yield rate. The temporary portion is the difference between this present value of expected future cash flows and fair value (as discounted by a market yield). The expected cash flows are determined using judgment and the best information available to the Company. Inputs used to derive expected cash flows include expected default rates, current levels of subordination, and loan-to-collateral value ratios. Management believes that the present value of future cash flows at the original effective yield is a better measure of valuation, because fair value determined by a discounted market yield is often based on limited observable market data, and the market for these securities is generally neither active nor orderly. | |||||||||||||
Cash | ' | ||||||||||||
Cash: Cash consists of balances on hand and on deposit in banks and financial institutions. Overdrafts arising from the overnight investment of funds offset cash balances on hand and on deposit. | |||||||||||||
Recognition of Premium Revenue and Related Expenses | ' | ||||||||||||
Recognition of Premium Revenue and Related Expenses: Premium income for traditional long-duration life and health insurance products is recognized when due from the policyholder. Premiums for short-duration health contracts are recognized as revenue over the contract period in proportion to the insurance protection provided. Profits for limited-payment life insurance contracts are recognized over the contract period. Premiums for universal life-type and annuity contracts are added to the policy account value, and revenues for such products are recognized as charges to the policy account value for mortality, administration, and surrenders (retrospective deposit method). Life premium includes policy charges of $22 million, $23 million, and $25 million for the years ended December 31, 2013, 2012, and 2011, respectively. Other premium consists of annuity policy charges in each year. Profits are also earned to the extent that investment income exceeds policy liability interest requirements. The related benefits and expenses are matched with revenues by means of the provision of future policy benefits and the amortization of deferred acquisition costs in a manner which recognizes profits as they are earned over the same period. | |||||||||||||
Future Policy Benefits | ' | ||||||||||||
Future Policy Benefits: The liability for future policy benefits for universal life-type products is represented by policy account value. The liability for future policy benefits for all other life and health products, approximately 83% of total future policy benefits, is determined on the net level premium method. This method provides for the present value of expected future benefit payments less the present value of expected future net premiums, based on estimated investment yields, mortality, morbidity, persistency and other assumptions which were considered appropriate at the time the policies were issued. For limited-payment contracts, a deferred profit liability is also recorded which causes profits to emerge over the life of the contract in proportion to policies in force. Assumptions used for traditional life and health insurance products are based primarily on Company experience. Assumptions for interest rates range from 2.5% to 7% for Torchmark’s insurance companies with an overall weighted average assumed rate of 5.8%. Mortality tables used for individual life insurance include various statutory tables and modifications of a variety of generally accepted actuarial tables. Morbidity assumptions for individual health are based on either Company experience or the assumptions used in determining statutory reserves. Withdrawal and termination assumptions are based on Torchmark’s experience. Once established, assumptions for these products are generally not changed. An additional provision is made on most products to allow for possible adverse deviation from the assumptions. These estimates are periodically reviewed and compared with actual experience. If it is determined that existing contract liabilities, together with the present value of future gross premiums, will not be sufficient to cover the present value of future benefits and to recover unamortized deferred acquisition costs, then a premium deficiency exists. Such a deficiency would be recognized immediately by a charge to earnings and either a reduction of unamortized deferred acquisition costs or an increase in the liability for future policy benefits. From that point forward, the liability for future policy benefits would be based on the revised assumptions. | |||||||||||||
Deferred Acquisition Costs | ' | ||||||||||||
Deferred Acquisition Costs: Certain costs of acquiring new insurance business are deferred and recorded as an asset. These costs are essential for the acquisition of new insurance business and are directly related to the successful issuance of an insurance contract including sales commissions, policy issue costs, and underwriting costs. Additionally, deferred acquisition costs include the value of insurance purchased, which are the costs of acquiring blocks of insurance from other companies or through the acquisition of other companies. These costs represent the difference between the fair value of the contractual insurance assets acquired and liabilities assumed compared against the assets and liabilities for insurance contracts that the Company issues or holds measured in accordance with GAAP. Deferred acquisition costs and the value of insurance purchased are amortized in a systematic manner which matches these costs with the associated revenues. Policies other than universal life-type policies are amortized with interest over the estimated premium-paying period of the policies in a manner which charges each year’s operations in proportion to the receipt of premium income. Universal life-type policies are amortized with interest in proportion to estimated gross profits. The assumptions used to amortize acquisition costs with regard to interest, mortality, morbidity, and persistency are consistent with those used to estimate the liability for future policy benefits. For interest-sensitive and deposit-balance type products, these assumptions are reviewed on a regular basis and are revised if actual experience differs significantly from original expectations. For all other products, amortization assumptions are generally not revised once established. Deferred acquisition costs are subject to periodic recoverability and loss recognition testing to determine if there is a premium deficiency. These tests ensure that the present value of future contract-related cash flows will support the capitalized deferred acquisition cost asset. These cash flows consist primarily of premium income, less benefits and expenses taking inflation into account. The present value of these cash flows, less the benefit reserve, is then compared with the unamortized deferred acquisition cost balance. In the event the estimated present value of net cash flows is less, the deficiency would be recognized by a charge to earnings and either a reduction of unamortized acquisition costs or an increase in the liability for future benefits, as described under the caption Future Policy Benefits. | |||||||||||||
Advertising Costs | ' | ||||||||||||
Advertising Costs: Costs related to advertising are generally charged to expense as incurred. However, certain direct response advertising costs are capitalized when there is a reliable and demonstrated relationship between total costs and future benefits that is a direct result of incurring these costs. Torchmark’s Direct Response advertising costs consist primarily of the production and distribution costs of direct mail advertising materials, and when capitalized are included as a component of deferred acquisition costs. They are amortized in the same manner as other deferred acquisition costs. Direct response advertising costs charged to earnings and included in other operating expense were $6 million, $16 million, and $16 million in 2013, 2012, and 2011, respectively. Capitalized advertising costs included within deferred acquisition costs were $1.09 billion at December 31, 2013 and $1.04 billion at December 31, 2012. | |||||||||||||
Policy Claims and Other Benefits Payable | ' | ||||||||||||
Policy Claims and Other Benefits Payable: Torchmark establishes a liability for known policy benefits payable and an estimate of claims that have been incurred but not yet reported to the Company. The estimate of unreported claims is based on prior experience. Torchmark makes an estimate after careful evaluation of all information available to the Company. However, there is no certainty the stated liability for claims and other benefits, including the estimate of unsubmitted claims, will be Torchmark’s ultimate obligation. | |||||||||||||
Income Taxes | ' | ||||||||||||
Income Taxes: Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement book values and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. More information concerning income taxes is provided in Note 8—Income Taxes. | |||||||||||||
Property and Equipment | ' | ||||||||||||
Property and Equipment: Property and equipment, included in “Other assets,” is reported at cost less allowances for depreciation. Depreciation is recorded primarily on the straight line method over the estimated useful lives of these assets which range from three to ten years for equipment and five to forty years for buildings and improvements. Ordinary maintenance and repairs are charged to income as incurred. Impairments, if any, are recorded when, based on events and circumstances, it becomes evident that the fair value of the asset is less than its carrying amount. Original cost of property and equipment was $136 million at December 31, 2013 and $125 million at December 31, 2012. Accumulated depreciation was $85 million at year end 2013 and $79 million at the end of 2012. Depreciation expense was $6.4 million in 2013, $7.1 million in 2012, and $6.8 million in 2011. During 2013, Liberty National Life Insurance Company (Liberty National), a Torchmark subsidiary, sold real estate for a loss of $265 thousand after a previous write-down for other-than-temporary impairment of $2.7 million earlier in the year. The sale of this property eliminated substantially all asbestos-related liability for Torchmark. | |||||||||||||
Low-Income Housing Tax Credit Interests | ' | ||||||||||||
Low-Income Housing Tax Credit Interests: As of December 31, 2013, Torchmark had $290 million invested in limited partnerships that provide low-income housing tax credits and other related Federal income tax and state premium tax benefits to Torchmark. The carrying value of Torchmark’s investment in these entities was $285 million at December 31, 2012. As of December 31, 2013, Torchmark was obligated under future commitments of $58 million, which is included in the above carrying value. Interests for which the return has been guaranteed by unrelated third-parties are accounted for using the effective-yield method. The remaining interests are accounted for using the amortized-cost method. | |||||||||||||
The Federal income benefits accrued during each of the years presented, net of the amortization associated with guaranteed interests, were recorded in “Income taxes.” Amortization associated with non-guaranteed interests and interests providing for state premium tax benefits was reflected as a component of “Net investment income.” All state premium tax benefits, net of the related amortization, were recorded in “Net investment income.” At December 31, 2013, $283 million associated with the Federal interests was included in “Other assets” with the remaining $7 million state-related interests included in “Other invested assets.” At December 31, 2012, the comparable amounts were $275 million and $10 million, respectively. Any unpaid commitments to invest are recorded in “Other liabilities.” In the segment analysis, the amortization associated with the non-guaranteed interests is reflected as a component of “Income tax expenses,” and not “Net investment income,” consistent with the treatment of the guaranteed interests. Management views this presentation as a more accurate matching of costs with the associated revenues with respect to the low-income housing interests. | |||||||||||||
Goodwill | ' | ||||||||||||
Goodwill: The excess cost of business acquired over the fair value of net assets acquired is reported as goodwill. Goodwill is subject to annual impairment testing based on certain procedures outlined by GAAP. These procedures include a qualitative assessment as to whether it is more likely than not that goodwill is impaired, and they also require consideration of a change in relevant events or circumstances that could possibly affect the valuation of a goodwill reporting unit. If it is determined that an impairment is likely, the procedures then involve measuring the carrying value of each reporting unit of Torchmark’s segments, including the goodwill of that unit, against the estimated fair value of the corresponding unit. If the carrying value of a unit including goodwill exceeds its estimated fair value, then the goodwill in that unit could potentially be impaired. In that event, further testing is required under the accounting guidance to determine the amount of impairment, if any. If there is an impairment in the goodwill of any reporting unit, it is written down and charged to earnings in the period of test. | |||||||||||||
Torchmark has tested its goodwill annually in each of the years 2011 through 2013. These tests, performed in the third quarter each year, involved assigning carrying value by allocating the Company’s net assets to each of the reporting units of Torchmark’s segments, including the portion of goodwill assigned to the unit. In 2012, the qualitative assessment was employed as permitted by accounting guidance. Based on the analyses as outlined in the guidance, it was determined that an impairment of goodwill was not likely. In 2013 and 2011, the fair values of the various reporting units were developed. The fair value of each reporting unit was determined using discounted expected cash flows associated with that unit. Judgment and assumptions are used in developing the projected cash flows for the reporting units, and such estimates are subject to change. The Company also exercises judgment in the determination of the discount rate, which management believes to be appropriate for the risk associated with the cash flow expectations. The fair value of each reporting unit is then measured against that reporting unit’s corresponding carrying value. Because the estimated fair value substantially exceeded the carrying value, including goodwill, of each reporting unit in each period, Torchmark’s goodwill was not impaired in any of those periods. | |||||||||||||
Treasury Stock | ' | ||||||||||||
Treasury Stock: Torchmark accounts for purchases of treasury stock on the cost method. Issuance of treasury stock is accounted for using the weighted-average cost method. | |||||||||||||
Settlements and Assessments | ' | ||||||||||||
Settlements and Assessments: During 2011, Torchmark settled a state administrative matter involving issues arising over a period of many years. The settlement resulted in a pre-tax charge of $6.9 million ($4.5 million after tax). Additionally in 2011, the Company accrued a liability for settlement of an insurance litigation matter which was settled in 2012. The liability for this litigation, which arose many years ago, was $12.0 million pretax ($7.8 million after tax). During 2013, Torchmark incurred three non-operating charges: (1) a state guaranty fund assessment in the amount of $1.2 million ($751 thousand after tax), resulting from events in years prior to 2012, (2) a legal settlement related to a non-insurance matter in the amount of $500 thousand ($325 thousand after tax), and (3) the settlement of a litigation matter related to prior years in the amount of $8.6 million ($5.6 million after tax). Management removes items that are related to prior periods when evaluating the operating results of current periods. Management also removes items unrelated to its core insurance activities when evaluating those results. Therefore, these items are excluded in its presentation of segment results as disclosed in Note 14—Business Segments, because accounting guidance requires that operating segment results be presented as management views its business. | |||||||||||||
Postretirement Benefits | ' | ||||||||||||
Postretirement Benefits: Torchmark accounts for its postretirement defined benefit plans by recognizing the funded status of those plans on its Consolidated Balance Sheets in accordance with accounting guidance. Periodic gains and losses attributable to changes in plan assets and liabilities that are not recognized as components of net periodic benefit costs are recognized as components of other comprehensive income, net of tax. More information concerning the accounting and disclosures for postretirement benefits is found in Note 9—Postretirement Benefits. | |||||||||||||
Stock Compensation | ' | ||||||||||||
Stock Compensation: Torchmark accounts for stock-based compensation by recognizing an expense in the financial statements based on the “fair value method.” The fair value method requires that a fair value be assigned to a stock option or other stock grant on its grant date and that this value be amortized over the grantees’ service period. | |||||||||||||
The fair value method requires the use of an option valuation model to value employee stock options. Torchmark has elected to use the Black-Scholes valuation model for option expensing. A summary of assumptions for options granted in each of the three years 2011 through 2013 is as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Volatility factor | 38.4 | % | 39.4 | % | 42.3 | % | |||||||
Dividend yield | 1.1 | % | 1 | % | 1 | % | |||||||
Expected term (in years) | 5.62 | 5.55 | 4.66 | ||||||||||
Risk-free rate | 1.1 | % | 1.3 | % | 2 | % | |||||||
The expected term is generally derived from Company experience. However, expected terms are determined based on the simplified method as permitted by Staff Accounting Bulletins 107 and 110 when company experience is insufficient. | |||||||||||||
The Torchmark Corporation 2011 Incentive Plan replaced all previous plans and allows for option grants with a ten-year contractual term which vest over five years in addition to seven-year grants which vest over three years as permitted by the previous plans. The Company has sufficient experience with seven-year grants that vest in three years, but no historical experience with five-year vesting. Therefore, Torchmark has used the simplified method to determine the expected term for the ten-year grants with five-year vesting and will do so until such experience is developed. Volatility and risk-free interest rates are assumed over a period of time consistent with the expected term of the option. Volatility is measured on a historical basis. Monthly data points are utilized to derive volatility for periods greater than three years. Expected dividend yield is based on current dividend yield held constant over the expected term. Once the fair value of an option has been determined, it is amortized on a straight-line basis over the employee’s service period for that grant (from the grant date to the date the grant is fully vested). | |||||||||||||
Torchmark management views all stock-based compensation expense as a corporate or Parent Company expense and, therefore, presents it as such in its segment analysis (See Note 14—Business Segments). It is included in “Other operating expense” in the Consolidated Statements of Operations. | |||||||||||||
Earnings Per Share | ' | ||||||||||||
Earnings Per Share: Torchmark presents basic and diluted earnings per share (EPS) on the face of the Consolidated Statements of Operations. Basic EPS is computed by dividing income available to common shareholders by the weighted average common shares outstanding for the period. Diluted EPS is calculated by adding to shares outstanding the additional net effect of potentially dilutive securities or contracts, such as stock options, which could be exercised or converted into common shares. For more information on earnings per share, see Note 12—Shareholders’ Equity. | |||||||||||||
Other Financial Instruments [Member] | ' | ||||||||||||
Fair Value Measurements, Investments in Securities | ' | ||||||||||||
Fair Value Measurements, Other Financial Instruments: Fair values for cash, short-term investments, short-term debt, receivables and payables approximate carrying value. The fair values of Torchmark’s long-term debt issues are based on the same methodology as investments in fixed maturities. Because observable inputs were available for these debt securities at December 31, 2013, they were classified as Level 2 in the valuation hierarchy. The fair value for each debt instrument as of December 31, 2013 is disclosed in Note 11—Debt. Mortgage loans are valued using discounted cash flows and are considered to be Level 3 in the valuation hierarchy. The fair values for these loans are presented in Note 4—Investments under the caption Other investment information. As described in Note 9—Postretirement Benefits, Torchmark maintains an unqualified supplemental retirement plan. Because this plan is unfunded, the assets which support the liability for this plan are considered general assets of the Company. These assets consist of the cash value of corporate-owned life insurance policies and exchange traded funds (ETF’s). The fair value of the insurance cash values approximates carrying value. Fair values for the ETF’s are derived from direct quotes and are considered Level 1 in the valuation hierarchy. | |||||||||||||
Equity Securities [Member] | ' | ||||||||||||
Fair Value Measurements, Investments in Securities | ' | ||||||||||||
Fair Value Measurements, Investments in Securities: Torchmark measures the fair value of its fixed maturities and equity securities based on a hierarchy consisting of three levels which indicate the quality of the fair value measurements as described below: | |||||||||||||
• | Level 1 – fair values are based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. | ||||||||||||
• | Level 2 – fair values are based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that can otherwise be corroborated by observable market data. | ||||||||||||
• | Level 3 – fair values are based on inputs that are considered unobservable where there is little, if any, market activity for the asset or liability as of the measurement date. In this circumstance, the Company has to rely on values derived by independent brokers or internally-developed assumptions. Unobservable inputs are developed based on the best information available to the Company which may include the Company’s own data or bid and ask prices in the dealer market. | ||||||||||||
The great majority of the Company’s fixed maturities are not actively traded and direct quotes are not generally available. Management therefore determines the fair values of these securities after consideration of data provided by third-party pricing services and independent broker/dealers. Over 99% of the fair value reported at December 31, 2013 was determined using data provided by third-party pricing services. Prices provided by third-party pricing services are not binding offers but are estimated exit values. They are based on observable market data inputs which can vary by security type. Such inputs include benchmark yields, available trades, broker/dealer quotes, issuer spreads, benchmark securities, bids, offers, and other market data. Management reviews and analyzes all prices obtained to insure the reasonableness of the values, taking all available information into account. In addition, management corroborates the prices obtained from third-party sources against other independent sources. When corroborated prices produce small variations, the close correlation indicates observable inputs, and the median value is used. When corroborated prices present greater variations, additional analysis is required to determine which value is the most appropriate. When only one price is available, management evaluates observable inputs and performs additional analysis to confirm that the price is appropriate. All fair value measurements based on prices determined with observable market data are reported as Level 1 or Level 2 measurements. | |||||||||||||
When third-party vendor prices are not available, the Company attempts to obtain at least three quotes from broker/dealers for each security. When at least three quotes are obtained, and the standard deviation of such quotes is less than 3%, (suggesting that the independent quotes were likely derived using similar observable inputs), the Company uses the median quote and classifies the measurement as Level 2. At December 31, 2013 and 2012, there were no assets valued as Level 2 in this manner with broker quotes. | |||||||||||||
When the standard deviation is 3% or greater, or the Company cannot obtain three quotes, then additional information and management judgment are required to establish the fair value. Further review is performed on the available quotes to determine if they can be corroborated within reasonable tolerance to any other observable evidence. If one of the quotes or the median of the available quotes can be corroborated with other observable evidence, then the value is reported as Level 2. Otherwise, the value is classified as Level 3. The Company uses information and valuation techniques deemed appropriate for determining the point within the range of reasonable fair value estimates that is most representative of fair value under current market conditions. As of December 31, 2013 and 2012, fair value measurements classified as Level 3 represented 2.8% and 2.1%, respectively, of total fixed maturities and equity securities. Transfers between levels are recognized as of the end of the period of transfer. | |||||||||||||
Beginning in 2012, Torchmark began investing in a portfolio of private placement bonds which are not actively traded. This portfolio is managed by a third party and was $313 million at amortized cost on December 31, 2013, compared with $184 million a year earlier. The portfolio manager provides valuations for the bonds based on a pricing matrix utilizing observable inputs, such as the benchmark treasury rate and published sector indices, and unobservable inputs such as an internally-developed credit rating. If the unobservable inputs can be closely corroborated with publicly available information, the fair values are classified as Level 2. If they cannot be corroborated, the fair values are classified as Level 3. As of December 31, 2013 and 2012, all private placements were classified as Level 3. | |||||||||||||
The fair values for each class of security and by valuation hierarchy level are indicated in Note 4—Investments under the caption Fair value measurements. |
Significant_Accounting_Policie2
Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||
Summary Of Assumptions for Options Granted | ' | ||||||||||||
A summary of assumptions for options granted in each of the three years 2011 through 2013 is as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Volatility factor | 38.5 | % | 39.4 | % | 42.3 | % | |||||||
Dividend yield | 1.1 | % | 1 | % | 1 | % | |||||||
Expected term (in years) | 5.62 | 5.55 | 4.66 | ||||||||||
Risk-free rate | 1.1 | % | 1.3 | % | 2 | % |
Statutory_Accounting_Tables
Statutory Accounting (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||||||
Consolidated Net Income And Shareholders' Equity for Insurance Companies | ' | ||||||||||||||||||||
Consolidated net income and shareholders’ equity (capital and surplus) on a statutory basis for the insurance subsidiaries were as follows: | |||||||||||||||||||||
Net Income | Shareholders’ Equity | ||||||||||||||||||||
Year Ended December 31, | At December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | |||||||||||||||||
Life insurance subsidiaries | $ | 572,509 | $ | 484,327 | $ | 424,738 | $ | 1,328,803 | $ | 1,358,047 |
Supplemental_Information_About1
Supplemental Information About Changes to Accumulated Other Comprehensive Income (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||
Schedule of Change in Balance by Component of Accumulated Other Comprehensive Income | ' | ||||||||||||||||||||
An analysis in the change in balance by component of Accumulated Other Comprehensive Income is as follows for the twelve months ended December 31, 2013. | |||||||||||||||||||||
Components of Accumulated Other Comprehensive Income | |||||||||||||||||||||
For the twelve months ended December 31, 2013 | |||||||||||||||||||||
Available | Deferred | Foreign | Pension | Total | |||||||||||||||||
for Sale | Acquisition | Exchange | Adjustments | ||||||||||||||||||
Assets | Costs | ||||||||||||||||||||
Balance at January 1, 2013 | $ | 1,024,367 | $ | (16,417 | ) | $ | 26,608 | $ | (109,283 | ) | $ | 925,275 | |||||||||
Other comprehensive income (loss) before reclassifications, net of tax | (758,857 | ) | 9,689 | (1,742 | ) | 33,992 | (716,918 | ) | |||||||||||||
Reclassifications, net of tax | (9,314 | ) | 0 | 0 | 11,938 | 2,624 | |||||||||||||||
Other comprehensive income (loss) | (768,171 | ) | 9,689 | (1,742 | ) | 45,930 | (714,294 | ) | |||||||||||||
Balance at December 31, 2013 | $ | 256,196 | $ | (6,728 | ) | $ | 24,866 | $ | (63,353 | ) | $ | 210,981 | |||||||||
Summary of Reclassifications Out of Accumulated Other Comprehensive Income | ' | ||||||||||||||||||||
Reclassifications out of Accumulated Other Comprehensive Income are presented below for the twelve months ended December 31, 2013. | |||||||||||||||||||||
Reclassification Adjustments | |||||||||||||||||||||
Component Line Item | Twelve months | Affected line items in the | |||||||||||||||||||
ended | Statement of Operations | ||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Unrealized gains (losses) on available for sale assets: | |||||||||||||||||||||
Realized (gains) losses | $ | (9,606 | ) | Realized investment gains (losses) | |||||||||||||||||
Amortization of (discount) premium | (6,569 | ) | Net investment income | ||||||||||||||||||
Total before tax | (16,175 | ) | |||||||||||||||||||
Tax | 6,861 | Income Taxes | |||||||||||||||||||
Total after tax | (9,314 | ) | |||||||||||||||||||
Pension adjustments: | |||||||||||||||||||||
Amortization of prior service cost | 2,276 | Other operating expenses | |||||||||||||||||||
Amortization of actuarial (gain) loss | 16,090 | Other operating expenses | |||||||||||||||||||
Total before tax | 18,366 | ||||||||||||||||||||
Tax | (6,428 | ) | Income Taxes | ||||||||||||||||||
Total after tax | 11,938 | ||||||||||||||||||||
Total reclassifications (after tax) | $ | 2,624 | |||||||||||||||||||
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||
Investments Schedule [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Summary of Fixed Maturities and Equity Securities Available for Sale by Component | ' | ||||||||||||||||||||||||||||||||||||
A summary of fixed maturities available for sale and equity securities by cost or amortized cost and estimated fair value at December 31, 2013 and 2012 is as follows: | |||||||||||||||||||||||||||||||||||||
2013:00:00 | Cost or | Gross | Gross | Fair Value | Amount per | % of Total | |||||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | the Balance | Fixed | |||||||||||||||||||||||||||||||||
Cost | Gains | Losses | Sheet | Maturities* | |||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 428,106 | $ | 362 | $ | (75,295 | ) | $ | 353,173 | $ | 353,173 | 3 | % | ||||||||||||||||||||||||
States, municipalities, and political subdivisions | 1,278,434 | 69,817 | (12,947 | ) | 1,335,304 | 1,335,304 | 10 | ||||||||||||||||||||||||||||||
Foreign governments | 43,811 | 411 | (67 | ) | 44,155 | 44,155 | 0 | ||||||||||||||||||||||||||||||
Corporates | 10,133,868 | 702,867 | (300,389 | ) | 10,536,346 | 10,536,346 | 82 | ||||||||||||||||||||||||||||||
Collateralized debt obligations | 66,173 | 0 | (7,968 | ) | 58,205 | 58,205 | 1 | ||||||||||||||||||||||||||||||
Other asset-backed securities | 35,568 | 2,699 | (98 | ) | 38,169 | 38,169 | 0 | ||||||||||||||||||||||||||||||
Redeemable preferred stocks | 502,915 | 25,064 | (14,198 | ) | 513,781 | 513,781 | 4 | ||||||||||||||||||||||||||||||
Total fixed maturities | 12,488,875 | 801,220 | (410,962 | ) | 12,879,133 | 12,879,133 | 100 | % | |||||||||||||||||||||||||||||
Equity securities | 875 | 1,009 | 0 | 1,884 | 1,884 | ||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 12,489,750 | $ | 802,229 | $ | (410,962 | ) | $ | 12,881,017 | $ | 12,881,017 | ||||||||||||||||||||||||||
2012:00:00 | Cost or | Gross | Gross | Fair Value | Amount per | % of Total | |||||||||||||||||||||||||||||||
Amortized | Unrealized | Unrealized | the Balance | Fixed | |||||||||||||||||||||||||||||||||
Cost | Gains | Losses | Sheet | Maturities* | |||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 492,928 | $ | 1,948 | $ | (4,773 | ) | $ | 490,103 | $ | 490,103 | 4 | % | ||||||||||||||||||||||||
States, municipalities, and political subdivisions | 1,283,883 | 173,649 | (189 | ) | 1,457,343 | 1,457,343 | 11 | ||||||||||||||||||||||||||||||
Foreign governments | 33,577 | 988 | 0 | 34,565 | 34,565 | 0 | |||||||||||||||||||||||||||||||
Corporates | 9,309,408 | 1,442,638 | (55,023 | ) | 10,697,023 | 10,697,023 | 79 | ||||||||||||||||||||||||||||||
Collateralized debt obligations | 64,622 | 0 | (18,051 | ) | 46,571 | 46,571 | 0 | ||||||||||||||||||||||||||||||
Other asset-backed securities | 43,560 | 3,708 | (401 | ) | 46,867 | 46,867 | 0 | ||||||||||||||||||||||||||||||
Redeemable preferred stocks | 735,428 | 43,897 | (10,604 | ) | 768,721 | 768,721 | 6 | ||||||||||||||||||||||||||||||
Total fixed maturities | 11,963,406 | 1,666,828 | (89,041 | ) | 13,541,193 | 13,541,193 | 100 | % | |||||||||||||||||||||||||||||
Equity securities | 14,875 | 692 | 0 | 15,567 | 15,567 | ||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 11,978,281 | $ | 1,667,520 | $ | (89,041 | ) | $ | 13,556,760 | $ | 13,556,760 | ||||||||||||||||||||||||||
* | At fair value | ||||||||||||||||||||||||||||||||||||
Schedule of Fixed Maturities by Contractual Maturity | ' | ||||||||||||||||||||||||||||||||||||
A schedule of fixed maturities by contractual maturity at December 31, 2013 is shown below on an amortized cost basis and on a fair value basis. Actual maturities could differ from contractual maturities due to call or prepayment provisions. | |||||||||||||||||||||||||||||||||||||
Amortized | Fair | ||||||||||||||||||||||||||||||||||||
Cost | Value | ||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Due in one year or less | $ | 102,473 | $ | 104,065 | |||||||||||||||||||||||||||||||||
Due from one to five years | 494,066 | 538,995 | |||||||||||||||||||||||||||||||||||
Due from five to ten years | 911,559 | 979,502 | |||||||||||||||||||||||||||||||||||
Due from ten to twenty years | 3,109,054 | 3,303,084 | |||||||||||||||||||||||||||||||||||
Due after twenty years | 7,766,780 | 7,853,621 | |||||||||||||||||||||||||||||||||||
Mortgage-backed and asset-backed securities | 104,943 | 99,866 | |||||||||||||||||||||||||||||||||||
$ | 12,488,875 | $ | 12,879,133 | ||||||||||||||||||||||||||||||||||
Schedule of Analysis of Investment Operations | ' | ||||||||||||||||||||||||||||||||||||
Analysis of investment operations: | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Net investment income is summarized as follows: | |||||||||||||||||||||||||||||||||||||
Fixed maturities | $ | 709,756 | $ | 691,229 | $ | 683,101 | |||||||||||||||||||||||||||||||
Equity securities | 323 | 1,178 | 1,558 | ||||||||||||||||||||||||||||||||||
Policy loans | 33,471 | 30,717 | 29,293 | ||||||||||||||||||||||||||||||||||
Other long-term investments | 1,281 | 2,320 | 2,439 | ||||||||||||||||||||||||||||||||||
Short-term investments | 138 | 311 | 165 | ||||||||||||||||||||||||||||||||||
744,969 | 725,755 | 716,556 | |||||||||||||||||||||||||||||||||||
Less investment expense | (35,226 | ) | (32,111 | ) | (23,528 | ) | |||||||||||||||||||||||||||||||
Net investment income | $ | 709,743 | $ | 693,644 | $ | 693,028 | |||||||||||||||||||||||||||||||
Realized Gain (Loss) on Investments | ' | ||||||||||||||||||||||||||||||||||||
Analysis of investment operations: | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
An analysis of realized gains (losses) from investments is as follows: | |||||||||||||||||||||||||||||||||||||
Realized investment gains (losses): | |||||||||||||||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||||||||||||||
Sales and other | $ | 13,138 | $ | 47,345 | $ | 27,790 | |||||||||||||||||||||||||||||||
Other-than-temporary impairments | 0 | (5,600 | ) | (20 | ) | ||||||||||||||||||||||||||||||||
Equity securities | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||
Loss on redemption of debt | 0 | (4,109 | ) | 0 | |||||||||||||||||||||||||||||||||
Other | (5,148 | ) | 197 | (1,866 | ) | ||||||||||||||||||||||||||||||||
7,990 | 37,833 | 25,904 | |||||||||||||||||||||||||||||||||||
Applicable tax | (4,025 | ) | (13,242 | ) | (9,066 | ) | |||||||||||||||||||||||||||||||
Realized gains (losses) from investments, net of tax | $ | 3,965 | $ | 24,591 | $ | 16,838 | |||||||||||||||||||||||||||||||
Unrealized Gain (Loss) on Investments | ' | ||||||||||||||||||||||||||||||||||||
Analysis of investment operations: | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
An analysis of the net change in unrealized investment gains (losses) is as follows: | |||||||||||||||||||||||||||||||||||||
Equity securities | $ | 317 | $ | (1,489 | ) | $ | (98 | ) | |||||||||||||||||||||||||||||
Fixed maturities available for sale | (1,187,529 | ) | 613,826 | 856,424 | |||||||||||||||||||||||||||||||||
Net change in unrealized gains (losses) on securities | (1,187,212 | ) | 612,337 | 856,326 | |||||||||||||||||||||||||||||||||
Other investments | 3,560 | 2,517 | 366 | ||||||||||||||||||||||||||||||||||
Net change in unrealized gains (losses) | $ | (1,183,652 | ) | $ | 614,854 | $ | 856,692 | ||||||||||||||||||||||||||||||
Assets Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||||||||||||||||||||||
The following tables represent the fair value of assets measured on a recurring basis at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements at December 31, 2013 Using: | |||||||||||||||||||||||||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total Fair | |||||||||||||||||||||||||||||||||
Active Markets | Observable | Unobservable | Value | ||||||||||||||||||||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 0 | $ | 353,173 | $ | 0 | $ | 353,173 | |||||||||||||||||||||||||||||
States, municipalities, and political subdivisions | 0 | 1,335,304 | 0 | 1,335,304 | |||||||||||||||||||||||||||||||||
Foreign governments | 0 | 44,155 | 0 | 44,155 | |||||||||||||||||||||||||||||||||
Corporates | 47,058 | 10,188,988 | 300,300 | 10,536,346 | |||||||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 58,205 | 58,205 | |||||||||||||||||||||||||||||||||
Other asset-backed securities | 0 | 38,169 | 0 | 38,169 | |||||||||||||||||||||||||||||||||
Redeemable preferred stocks | 22,220 | 491,561 | 0 | 513,781 | |||||||||||||||||||||||||||||||||
Total fixed maturities | 69,278 | 12,451,350 | 358,505 | 12,879,133 | |||||||||||||||||||||||||||||||||
Equity securities | 1,108 | 0 | 776 | 1,884 | |||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 70,386 | $ | 12,451,350 | $ | 359,281 | $ | 12,881,017 | |||||||||||||||||||||||||||||
Percentage of total | 0.5 | % | 96.7 | % | 2.8 | % | 100 | % | |||||||||||||||||||||||||||||
Description | Fair Value Measurements at December 31, 2012 Using: | ||||||||||||||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Total Fair | ||||||||||||||||||||||||||||||||||
Active Markets | Observable | Unobservable | Value | ||||||||||||||||||||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
Bonds: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 0 | $ | 490,103 | $ | 0 | $ | 490,103 | |||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 0 | 1,457,343 | 0 | 1,457,343 | |||||||||||||||||||||||||||||||||
Foreign governments | 0 | 34,565 | 0 | 34,565 | |||||||||||||||||||||||||||||||||
Corporates | 31,976 | 10,443,526 | 221,521 | 10,697,023 | |||||||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 46,571 | 46,571 | |||||||||||||||||||||||||||||||||
Other asset-backed securities | 0 | 38,886 | 7,981 | 46,867 | |||||||||||||||||||||||||||||||||
Redeemable preferred stocks | 128,473 | 630,697 | 9,551 | 768,721 | |||||||||||||||||||||||||||||||||
Total fixed maturities | 160,449 | 13,095,120 | 285,624 | 13,541,193 | |||||||||||||||||||||||||||||||||
Equity securities | 14,828 | 0 | 739 | 15,567 | |||||||||||||||||||||||||||||||||
Total fixed maturities and equity securities | $ | 175,277 | $ | 13,095,120 | $ | 286,363 | $ | 13,556,760 | |||||||||||||||||||||||||||||
Percent of total | 1.3 | % | 96.6 | % | 2.1 | % | 100 | % | |||||||||||||||||||||||||||||
Schedule of Changes in Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs | ' | ||||||||||||||||||||||||||||||||||||
The following table represents changes in assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3). | |||||||||||||||||||||||||||||||||||||
Analysis of Changes in Fair Value Measurements Using | |||||||||||||||||||||||||||||||||||||
Significant Unobservable Inputs (Level 3) | |||||||||||||||||||||||||||||||||||||
Asset- | Collateralized | Corporates* | Equities | Total | |||||||||||||||||||||||||||||||||
backed | debt | ||||||||||||||||||||||||||||||||||||
securities | Obligations | ||||||||||||||||||||||||||||||||||||
Balance at January 1, 2011 | $ | 8,042 | $ | 22,456 | $ | 73,673 | $ | 670 | $ | 104,841 | |||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | (12,542 | ) | 0 | (12,542 | ) | ||||||||||||||||||||||||||||||
Included in other comprehensive income | (714 | ) | 3,952 | 14,578 | 40 | 17,856 | |||||||||||||||||||||||||||||||
Sales | 0 | 0 | (13,875 | ) | 0 | (13,875 | ) | ||||||||||||||||||||||||||||||
Amortization | (206 | ) | 2,470 | 1,302 | 0 | 3,566 | |||||||||||||||||||||||||||||||
Other ** | 0 | 1,442 | 0 | 0 | 1,442 | ||||||||||||||||||||||||||||||||
Transfers out of Level 3 | 0 | 0 | (51,886 | ) | 0 | (51,886 | ) | ||||||||||||||||||||||||||||||
Balance at December 31, 2011 | 7,122 | 30,320 | 11,250 | 710 | 49,402 | ||||||||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | 1,482 | 0 | 1,482 | ||||||||||||||||||||||||||||||||
Included in other comprehensive income | 1,078 | 12,067 | 3,600 | 29 | 16,774 | ||||||||||||||||||||||||||||||||
Acquisitions | 0 | 0 | 183,676 | 0 | 183,676 | ||||||||||||||||||||||||||||||||
Sales | 0 | 0 | (13,429 | ) | 0 | (13,429 | ) | ||||||||||||||||||||||||||||||
Amortization | (219 | ) | 2,648 | 699 | 0 | 3,128 | |||||||||||||||||||||||||||||||
Other ** | 0 | 1,536 | 0 | 0 | 1,536 | ||||||||||||||||||||||||||||||||
Transfers into Level 3 | 0 | 0 | 43,794 | 0 | 43,794 | ||||||||||||||||||||||||||||||||
Balance at December 31, 2012 | 7,981 | 46,571 | 231,072 | 739 | 286,363 | ||||||||||||||||||||||||||||||||
Total gains or losses: | |||||||||||||||||||||||||||||||||||||
Included in realized gains/losses | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||
Included in other comprehensive income | 426 | 10,083 | (17,243 | ) | 37 | (6,697 | ) | ||||||||||||||||||||||||||||||
Acquisitions | 0 | 0 | 129,755 | 0 | 129,755 | ||||||||||||||||||||||||||||||||
Sales | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||
Amortization | (57 | ) | 2,838 | 5 | 0 | 2,786 | |||||||||||||||||||||||||||||||
Other ** | 0 | (1,287 | ) | (834 | ) | 0 | (2,121 | ) | |||||||||||||||||||||||||||||
Transfers out of Level 3 | (8,350 | ) | 0 | (42,455 | ) | 0 | (50,805 | ) | |||||||||||||||||||||||||||||
Balance at December 31, 2013 | $ | 0 | $ | 58,205 | $ | 300,300 | $ | 776 | $ | 359,281 | |||||||||||||||||||||||||||
* | Includes redeemable preferred stocks | ||||||||||||||||||||||||||||||||||||
** | Includes capitalized interest and foreign exchange adjustments. | ||||||||||||||||||||||||||||||||||||
Schedule of Selected Information about Sales of Fixed Maturities | ' | ||||||||||||||||||||||||||||||||||||
Additional information about securities sold is as follows: | |||||||||||||||||||||||||||||||||||||
At December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||||||||||||||
Proceeds from sales | $ | 133,463 | $ | 345,601 | $ | 236,662 | * | ||||||||||||||||||||||||||||||
Gross realized gains | 5,948 | 40,851 | 28,249 | ||||||||||||||||||||||||||||||||||
Gross realized losses | (1,310 | ) | (2,477 | ) | (24,323 | ) | |||||||||||||||||||||||||||||||
* | Includes $12.3 million of unsettled trades | ||||||||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements | ' | ||||||||||||||||||||||||||||||||||||
Acquisitions of Level 3 investments in 2013 and 2012 are comprised of private-placement fixed maturities managed by an unaffiliated third-party. | |||||||||||||||||||||||||||||||||||||
Quantitative Information about Level 3 | |||||||||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Fair Value | Valuation | Unobservable | Range | Weighted | |||||||||||||||||||||||||||||||||
Techniques | Input | Average | |||||||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 58,205 | Discounted | Discount | 15% | 15% | |||||||||||||||||||||||||||||||
cash flows | rate | ||||||||||||||||||||||||||||||||||||
Private placement fixed maturities | 300,300 | Discounted | Credit | BBB- to A+ | BBB | ||||||||||||||||||||||||||||||||
cash flows | rating | ||||||||||||||||||||||||||||||||||||
Other investments | 776 | Third-party | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||
pricing without | |||||||||||||||||||||||||||||||||||||
adjustment | |||||||||||||||||||||||||||||||||||||
$ | 359,281 | ||||||||||||||||||||||||||||||||||||
Transfers in and Out of Each of the Valuation Levels of Fair Values | ' | ||||||||||||||||||||||||||||||||||||
The following table presents transfers in and out of each of the valuation levels of fair values. | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
In | Out | Net | In | Out | Net | In | Out | Net | |||||||||||||||||||||||||||||
Level 1 | $ | 19,416 | $ | 0 | $ | 19,416 | $ | 48,536 | $ | 0 | $ | 48,536 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||
Level 2 | 50,805 | (19,416 | ) | 31,389 | 0 | (92,330 | ) | (92,330 | ) | 51,886 | 0 | 51,886 | |||||||||||||||||||||||||
Level 3 | 0 | (50,805 | ) | (50,805 | ) | 43,794 | 0 | 43,794 | 0 | (51,886 | ) | (51,886 | ) | ||||||||||||||||||||||||
Writedowns for Other-than-Temporary Impairments | ' | ||||||||||||||||||||||||||||||||||||
The following table presents the writedowns recorded due to these impairments in accordance with accounting guidance and whether the writedown was charged to earnings or other comprehensive income. | |||||||||||||||||||||||||||||||||||||
Writedowns for Other-Than-Temporary Impairments | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||||||
Net | Other | Net | Other | Net | Other | ||||||||||||||||||||||||||||||||
Income | Comprehensive | Income | Comprehensive | Income | Comprehensive | ||||||||||||||||||||||||||||||||
Income | Income | Income | |||||||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||||
Corporate bonds | 0 | 0 | 5,600 | 0 | 20 | 0 | |||||||||||||||||||||||||||||||
Total pre-tax | $ | 0 | $ | 0 | $ | 5,600 | $ | 0 | $ | 20 | $ | 0 | |||||||||||||||||||||||||
After tax | $ | 0 | $ | 0 | $ | 3,640 | $ | 0 | $ | 13 | $ | 0 | |||||||||||||||||||||||||
Schedule of Unrealized Investment Losses by Class of Investment | ' | ||||||||||||||||||||||||||||||||||||
The following tables disclose gross unrealized investment losses by class of investment at December 31, 2013 and December 31, 2012 for the period of time in a loss position. Torchmark considers these investments to be only temporarily impaired. | |||||||||||||||||||||||||||||||||||||
ANALYSIS OF GROSS UNREALIZED INVESTMENT LOSSES | |||||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Less than | Twelve Months | Total | |||||||||||||||||||||||||||||||||||
Twelve Months | or Longer | ||||||||||||||||||||||||||||||||||||
Description of Securities | Fair Value | Unrealized | Fair | Unrealized | Fair Value | Unrealized | |||||||||||||||||||||||||||||||
Loss | Value | Loss | Loss | ||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 242,144 | $ | (42,885 | ) | $ | 87,977 | $ | (32,410 | ) | $ | 330,121 | $ | (75,295 | ) | ||||||||||||||||||||||
States, municipalities and political subdivisions | 167,660 | (12,807 | ) | 1,619 | (140 | ) | 169,279 | (12,947 | ) | ||||||||||||||||||||||||||||
Foreign governments | 11,966 | (67 | ) | 0 | 0 | 11,966 | (67 | ) | |||||||||||||||||||||||||||||
Corporates | 2,692,494 | (196,139 | ) | 600,350 | (104,250 | ) | 3,292,844 | (300,389 | ) | ||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 58,080 | (7,968 | ) | 58,080 | (7,968 | ) | |||||||||||||||||||||||||||||
Other asset-backed securities | 6,974 | (26 | ) | 3,873 | (72 | ) | 10,847 | (98 | ) | ||||||||||||||||||||||||||||
Redeemable preferred stocks | 106,229 | (3,694 | ) | 82,287 | (10,504 | ) | 188,516 | (14,198 | ) | ||||||||||||||||||||||||||||
Total fixed maturities | $ | 3,227,467 | $ | (255,618 | ) | $ | 834,186 | $ | (155,344 | ) | $ | 4,061,653 | $ | (410,962 | ) | ||||||||||||||||||||||
ANALYSIS OF GROSS UNREALIZED INVESTMENT LOSSES | |||||||||||||||||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||||
Less than | Twelve Months | Total | |||||||||||||||||||||||||||||||||||
Twelve Months | or Longer | ||||||||||||||||||||||||||||||||||||
Description of Securities | Fair | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | |||||||||||||||||||||||||||||||
Value | Loss | Loss | Loss | ||||||||||||||||||||||||||||||||||
Fixed maturities available for sale: | |||||||||||||||||||||||||||||||||||||
U.S. Government direct, guaranteed, and government-sponsored enterprises | $ | 316,596 | $ | (4,770 | ) | $ | 199 | $ | (3 | ) | $ | 316,795 | $ | (4,773 | ) | ||||||||||||||||||||||
States, municipalities and political subdivisions | 26,206 | (189 | ) | 0 | 0 | 26,206 | (189 | ) | |||||||||||||||||||||||||||||
Foreign governments | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Corporates | 761,477 | (15,339 | ) | 343,987 | (39,684 | ) | 1,105,464 | (55,023 | ) | ||||||||||||||||||||||||||||
Collateralized debt obligations | 0 | 0 | 46,446 | (18,051 | ) | 46,446 | (18,051 | ) | |||||||||||||||||||||||||||||
Other asset-backed securities | 7,940 | (88 | ) | 7,981 | (313 | ) | 15,921 | (401 | ) | ||||||||||||||||||||||||||||
Redeemable preferred stocks | 44,132 | (310 | ) | 171,852 | (10,294 | ) | 215,984 | (10,604 | ) | ||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,156,351 | $ | (20,696 | ) | $ | 570,465 | $ | (68,345 | ) | $ | 1,726,816 | $ | (89,041 | ) | ||||||||||||||||||||||
Schedule of Additional Information About Investments in Unrealized Loss Position | ' | ||||||||||||||||||||||||||||||||||||
Additional information about investments in an unrealized loss position is as follows: | |||||||||||||||||||||||||||||||||||||
Less than | Twelve | Total | |||||||||||||||||||||||||||||||||||
Twelve | Months | ||||||||||||||||||||||||||||||||||||
Months | or Longer | ||||||||||||||||||||||||||||||||||||
Number of issues (Cusip numbers) held: | |||||||||||||||||||||||||||||||||||||
As of December 31, 2013 | 462 | 130 | 592 | ||||||||||||||||||||||||||||||||||
As of December 31, 2012 | 195 | 95 | 290 | ||||||||||||||||||||||||||||||||||
Schedule of Other Long-Term Investments | ' | ||||||||||||||||||||||||||||||||||||
Other long-term investments consist of the following: | |||||||||||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Mortgage loans, at cost | $ | 0 | $ | 514 | |||||||||||||||||||||||||||||||||
Investment real estate, at depreciated cost | 203 | 2,816 | |||||||||||||||||||||||||||||||||||
Low-income housing interests | 7,589 | 9,875 | |||||||||||||||||||||||||||||||||||
Other | 5,415 | 5,334 | |||||||||||||||||||||||||||||||||||
Total | $ | 13,207 | $ | 18,539 | |||||||||||||||||||||||||||||||||
Deferred_Acquisition_Costs_Tab
Deferred Acquisition Costs (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Insurance [Abstract] | ' | ||||||||||||
Schedule Of Analysis Deferred Acquisition Costs | ' | ||||||||||||
An analysis of deferred acquisition costs is as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Balance at beginning of year | $ | 3,198,431 | $ | 2,916,732 | $ | 2,869,546 | |||||||
Additions: | |||||||||||||
Deferred during period: | |||||||||||||
Commissions | 331,060 | 312,581 | 283,961 | ||||||||||
Other expenses | 193,203 | 168,237 | 157,864 | ||||||||||
Total deferred | 524,263 | 480,818 | 441,825 | ||||||||||
Value of insurance purchased during year | 8,489 | 175,257 | 0 | ||||||||||
Foreign exchange adjustment | 0 | 3,557 | 0 | ||||||||||
Adjustment attributable to unrealized investment losses(1) | 14,906 | 7,234 | 0 | ||||||||||
Total additions | 547,658 | 666,866 | 441,825 | ||||||||||
Deductions: | |||||||||||||
Amortized during period | (403,389 | ) | (385,167 | ) | (364,583 | ) | |||||||
Foreign exchange adjustment | (5,051 | ) | 0 | (1,765 | ) | ||||||||
Adjustment attributable to unrealized investment gains(1) | 0 | 0 | (28,291 | ) | |||||||||
Total deductions | (408,440 | ) | (385,167 | ) | (394,639 | ) | |||||||
Balance at end of year | $ | 3,337,649 | $ | 3,198,431 | $ | 2,916,732 | |||||||
-1 | Represents amounts pertaining to investments relating to universal life-type products. |
Acquisition_Tables
Acquisition (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Business Combinations [Abstract] | ' | ||||||||
Net Assets Acquired | ' | ||||||||
A summary of the net assets acquired is as follows: | |||||||||
Fair Value as of | |||||||||
November 1, 2012 | |||||||||
Assets acquired: | |||||||||
Investments | $ | 591,947 | |||||||
Cash | 27,323 | ||||||||
Value of insurance purchased | 175,257 | ||||||||
Goodwill | 44,700 | ||||||||
Other assets | 45,573 | ||||||||
Total assets | 884,800 | ||||||||
Liabilities assumed: | |||||||||
Policy liabilities | 643,306 | ||||||||
Other liabilities | 7,747 | ||||||||
Total liabilities | 651,053 | ||||||||
Total net assets acquired | $ | 233,747 | |||||||
Business Acquisition Pro Forma Adjustments | ' | ||||||||
The table below presents supplemental unaudited pro forma information for 2012 and 2011 as if the Family Heritage acquisition were completed on January 1, 2011, based on estimates and assumptions considered appropriate: | |||||||||
Year Ended December 31, | |||||||||
2012 | 2011 | ||||||||
Revenues | $ | 197,174 | $ | 180,155 | |||||
Net income | 13,220 | 12,107 | |||||||
Net income per diluted share | 0.14 | 0.11 |
Liability_for_Unpaid_Health_Cl1
Liability for Unpaid Health Claims (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Summary of Liability for Unpaid Health Claims | ' | ||||||||||||
Activity in the liability for unpaid health claims is summarized as follows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Balance at beginning of year | $ | 104,870 | $ | 103,517 | $ | 100,598 | |||||||
Acquisition of Family Heritage | 0 | 11,700 | 0 | ||||||||||
Incurred related to: | |||||||||||||
Current year | 720,490 | 704,934 | 628,137 | ||||||||||
Prior years | (11,594 | ) | (17,531 | ) | (10,644 | ) | |||||||
Total incurred | 708,896 | 687,403 | 617,493 | ||||||||||
Paid related to: | |||||||||||||
Current year | 636,150 | 627,495 | 538,910 | ||||||||||
Prior years | 75,897 | 70,255 | 75,664 | ||||||||||
Total paid | 712,047 | 697,750 | 614,574 | ||||||||||
Balance at end of year | $ | 101,719 | $ | 104,870 | $ | 103,517 | |||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Components of Income Taxes | ' | ||||||||||||||||||||||||
The components of income taxes were as follows: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Income tax expense from continuing operations | $ | 234,654 | $ | 236,669 | $ | 226,166 | |||||||||||||||||||
Income tax expense (benefit) from discontinued operations | 0 | 0 | (467 | ) | |||||||||||||||||||||
Shareholders’ equity: | |||||||||||||||||||||||||
Other comprehensive income (loss) | (386,752 | ) | 201,950 | 284,355 | |||||||||||||||||||||
Tax basis compensation expense (from the exercise of stock options and vesting of restricted stock awards) in excess of amounts recognized for financial reporting purposes | (21,314 | ) | (22,602 | ) | (13,121 | ) | |||||||||||||||||||
$ | (173,412 | ) | $ | 416,017 | $ | 496,933 | |||||||||||||||||||
Income Tax Expense from Continuing Operations | ' | ||||||||||||||||||||||||
Income tax expense from continuing operations consists of: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Current income tax expense | $ | 176,427 | $ | 161,332 | $ | 169,500 | |||||||||||||||||||
Deferred income tax expense | 58,227 | 75,337 | 56,666 | ||||||||||||||||||||||
$ | 234,654 | $ | 236,669 | $ | 226,166 | ||||||||||||||||||||
Summary of Effective Income Tax Rate | ' | ||||||||||||||||||||||||
The effective income tax rate differed from the expected 35% rate as shown below: | |||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||
2013 | % | 2012 | % | 2011 | % | ||||||||||||||||||||
Expected income taxes | $ | 267,094 | 35 | % | $ | 268,098 | 35 | % | $ | 253,324 | 35 | % | |||||||||||||
Increase (reduction) in income taxes resulting from: | |||||||||||||||||||||||||
Tax-exempt investment income | $ | (3,107 | ) | (.4 | ) | (3,506 | ) | (.4 | ) | (3,468 | ) | (.5 | ) | ||||||||||||
Low income housing investments | (32,417 | ) | (4.2 | ) | (28,877 | ) | (3.8 | ) | (24,258 | ) | (3.4 | ) | |||||||||||||
Other | 3,084 | 0.4 | 954 | 0.1 | 568 | 0.1 | |||||||||||||||||||
Income tax expense | $ | 234,654 | 30.8 | % | $ | 236,669 | 30.9 | % | $ | 226,166 | 31.2 | % | |||||||||||||
Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities | ' | ||||||||||||||||||||||||
The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below: | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Fixed maturity investments | $ | 16,868 | $ | 22,387 | |||||||||||||||||||||
Carryover of tax losses | 11,415 | 14,177 | |||||||||||||||||||||||
Other assets | 0 | 4,084 | |||||||||||||||||||||||
Total gross deferred tax assets | 28,283 | 40,648 | |||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Unrealized gains | 92,772 | 481,804 | |||||||||||||||||||||||
Employee and agent compensation | 68,911 | 65,877 | |||||||||||||||||||||||
Deferred acquisition costs | 829,032 | 791,254 | |||||||||||||||||||||||
Future policy benefits, unearned and advance premiums, and policy claims | 315,291 | 311,366 | |||||||||||||||||||||||
Other liabilities | 1,126 | 0 | |||||||||||||||||||||||
Total gross deferred tax liabilities | 1,307,132 | 1,650,301 | |||||||||||||||||||||||
Net deferred tax liability | $ | 1,278,849 | $ | 1,609,653 | |||||||||||||||||||||
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | ' | ||||||||||||||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding effects of accrued interest, net of Federal tax benefits) for the years 2011 through 2013 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Balance at January 1, | $ | 0 | $ | 0 | $ | 875 | |||||||||||||||||||
Increase based on tax positions taken in current period | 0 | 0 | 0 | ||||||||||||||||||||||
Increase related to tax positions taken in prior periods | 0 | 0 | 0 | ||||||||||||||||||||||
Decrease related to tax positions taken in prior periods | 0 | 0 | (875 | ) | |||||||||||||||||||||
Decrease due to settlements | 0 | 0 | 0 | ||||||||||||||||||||||
Balance at December 31, | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||
Postretirement_Benefits_Tables
Postretirement Benefits (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Total Cost of Retirement Plans Charged to Operations | ' | ||||||||||||||||||||
The total cost of these retirement plans charged to operations was as follows: | |||||||||||||||||||||
Year Ended | Defined Contribution | Defined Benefit | |||||||||||||||||||
December 31, | Plans | Pension Plans | |||||||||||||||||||
2013 | $ | 3,373 | $ | 33,122 | |||||||||||||||||
2012 | 3,668 | 26,007 | |||||||||||||||||||
2011 | 3,552 | 20,952 | |||||||||||||||||||
Pension Assets by Component at Fair Value | ' | ||||||||||||||||||||
The following table presents the assets of Torchmark’s defined benefit pension plans for the years ended December 31, 2013 and 2012. | |||||||||||||||||||||
Pension Assets by Component at December 31, 2013 | |||||||||||||||||||||
Fair Value Determined by: | |||||||||||||||||||||
Quoted Prices in | Significant | Significant | Total | % to | |||||||||||||||||
Active Markets | Observable | Unobservable | Amount | Total | |||||||||||||||||
for Identical | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||
Financial | $ | 35,807 | $ | 35,807 | 12 | % | |||||||||||||||
Consumer, Cyclical | 17,915 | 17,915 | 6 | ||||||||||||||||||
Energy | 13,816 | 13,816 | 5 | ||||||||||||||||||
Consumer, Non-Cyclical | 13,187 | 13,187 | 4 | ||||||||||||||||||
Technology | 13,055 | 13,055 | 4 | ||||||||||||||||||
Depository Institutions | 10,523 | 10,523 | 3 | ||||||||||||||||||
Other | 10,153 | $ | 831 | 10,984 | 4 | ||||||||||||||||
Total equity securities | 114,456 | 831 | 115,287 | 38 | |||||||||||||||||
Corporate bonds | 0 | 147,445 | 147,445 | 51 | |||||||||||||||||
Other bonds | 267 | 267 | 0 | ||||||||||||||||||
Guaranteed annuity contract* | 13,769 | 13,769 | 5 | ||||||||||||||||||
Short-term investments | 13,318 | 13,318 | 5 | ||||||||||||||||||
Other | 1,667 | 1,667 | 1 | ||||||||||||||||||
Grand Total | $ | 129,441 | $ | 162,312 | $ | 0 | $ | 291,753 | 100 | % | |||||||||||
* | Annuity contract issued by a Torchmark subsidiary | ||||||||||||||||||||
Pension Assets by Component at December 31, 2012 | |||||||||||||||||||||
Fair Value Determined by: | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | % to | |||||||||||||||||
in Active | Observable | Unobservable | Amount | Total | |||||||||||||||||
Markets for | Inputs (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Identical | |||||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||
Financial | $ | 26,174 | $ | 26,174 | 9 | % | |||||||||||||||
Consumer, Non-Cyclical | 15,894 | 15,894 | 6 | ||||||||||||||||||
Technology | 13,332 | 13,332 | 5 | ||||||||||||||||||
Industrial | 10,353 | 10,353 | 4 | ||||||||||||||||||
General merchandise stores | 11,197 | 11,197 | 4 | ||||||||||||||||||
Other | 12,883 | 12,883 | 4 | ||||||||||||||||||
Total equity securities | 89,833 | 89,833 | 32 | ||||||||||||||||||
Corporate bonds | 4,292 | $ | 165,525 | 169,817 | 61 | ||||||||||||||||
Other bonds | 327 | 327 | 0 | ||||||||||||||||||
Guaranteed annuity contract* | 13,277 | 13,277 | 5 | ||||||||||||||||||
Short-term investments | 2,218 | 2,218 | 1 | ||||||||||||||||||
Other | 2,169 | 2,169 | 1 | ||||||||||||||||||
Grand Total | $ | 98,512 | $ | 179,129 | $ | 0 | $ | 277,641 | 100 | % | |||||||||||
* | Annuity contract issued by a Torchmark subsidiary | ||||||||||||||||||||
Analysis of Impact on Other Comprehensive Income (Loss) | ' | ||||||||||||||||||||
An analysis of the impact on other comprehensive income (loss) concerning pensions and other postretirement benefits is as follows: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Balance at January 1 | $ | (168,129 | ) | $ | (119,863 | ) | $ | (105,903 | ) | ||||||||||||
Amortization of: | |||||||||||||||||||||
Prior service cost | 2,276 | 2,146 | 2,080 | ||||||||||||||||||
Net actuarial (gain) loss* | 16,090 | 12,653 | 10,071 | ||||||||||||||||||
Transition obligation | 0 | 0 | (5 | ) | |||||||||||||||||
Total amortization* | 18,366 | 14,799 | 12,146 | ||||||||||||||||||
Plan amendments | 0 | (3,452 | ) | 0 | |||||||||||||||||
Experience gain(loss) | 52,296 | (59,613 | ) | (26,106 | ) | ||||||||||||||||
Balance at December 31 | $ | 97,467 | $ | (168,129 | ) | $ | (119,863 | ) | |||||||||||||
* | Includes amortization of postretirement benefits other than pensions of $224 thousand in 2013. | ||||||||||||||||||||
Portion of Other Comprehensive Income Expected to Be Reflected in Pension Expense in Next Year | ' | ||||||||||||||||||||
The portion of other comprehensive income that is expected to be reflected in pension expense in 2014 is as follows: | |||||||||||||||||||||
Amortization of prior service cost | $ | 2,113 | |||||||||||||||||||
Amortization of net loss (gain) | 8,172 | ||||||||||||||||||||
Amortization of transition obligation | 0 | ||||||||||||||||||||
Total | $ | 10,285 | |||||||||||||||||||
Pension Benefits [Member] | ' | ||||||||||||||||||||
Weighted Average Assumptions | ' | ||||||||||||||||||||
Weighted Average Pension Plan Assumptions | |||||||||||||||||||||
For Benefit Obligations at December 31: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Discount Rate | 5.12 | % | 4.18 | % | |||||||||||||||||
Rate of Compensation Increase | 4.35 | 4.4 | |||||||||||||||||||
For Periodic Benefit Cost for the Year: | 2013 | 2012 | 2011 | ||||||||||||||||||
Discount Rate | 4.18 | % | 5.09 | % | 5.77 | % | |||||||||||||||
Expected Long-Term Returns | 6.96 | 7.2 | 7.24 | ||||||||||||||||||
Rate of Compensation Increase | 4.4 | 4.04 | 4 | ||||||||||||||||||
Components of Net Periodic Pension Costs and Post-Retirement Benefit Costs | ' | ||||||||||||||||||||
Net periodic pension cost for the defined benefit plans by expense component was as follows: | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Service cost—benefits earned during the period | $ | 14,984 | $ | 11,215 | $ | 9,277 | |||||||||||||||
Interest cost on projected benefit obligation | 17,043 | 16,796 | 16,106 | ||||||||||||||||||
Expected return on assets | (17,429 | ) | (17,114 | ) | (16,068 | ) | |||||||||||||||
Net amortization | 18,143 | 14,799 | 11,331 | ||||||||||||||||||
Recognition of actuarial loss | 381 | 311 | 306 | ||||||||||||||||||
Net periodic pension cost | $ | 33,122 | $ | 26,007 | $ | 20,952 | |||||||||||||||
Reconciliation of Benefit Obligation and Plan Assets | ' | ||||||||||||||||||||
The following table presents a reconciliation from the beginning to the end of the year of the projected benefit obligation and plan assets for pensions. This table also presents the amounts previously recognized as a component of accumulated other comprehensive income. | |||||||||||||||||||||
Pension Benefits | |||||||||||||||||||||
For the year ended | |||||||||||||||||||||
December 31, | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Changes in benefit obligation: | |||||||||||||||||||||
Obligation at beginning of year | $ | 414,921 | $ | 331,609 | |||||||||||||||||
Service cost | 14,984 | 11,215 | |||||||||||||||||||
Interest cost | 17,043 | 16,796 | |||||||||||||||||||
Actuarial loss (gain) | (45,258 | ) | 67,949 | ||||||||||||||||||
Plan amendments | 0 | 3,452 | |||||||||||||||||||
Benefits paid | (17,831 | ) | (16,100 | ) | |||||||||||||||||
Obligation at end of year | 383,859 | 414,921 | |||||||||||||||||||
Changes in plan assets: | |||||||||||||||||||||
Fair value at beginning of year | 277,641 | 258,067 | |||||||||||||||||||
Return on assets | 21,613 | 27,493 | |||||||||||||||||||
Contributions | 10,330 | 8,181 | |||||||||||||||||||
Benefits paid | (17,831 | ) | (16,100 | ) | |||||||||||||||||
Fair value at end of year | 291,753 | 277,641 | |||||||||||||||||||
Funded status at year end | $ | (92,106 | ) | $ | (137,280 | ) | |||||||||||||||
Schedule of Amounts Recognized as Components Accumulated Other Comprehensive Income | ' | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income consist of: | |||||||||||||||||||||
Net loss (gain) | $ | 90,878 | $ | 156,567 | |||||||||||||||||
Prior service cost | 5,476 | 7,752 | |||||||||||||||||||
Transition obligation | 0 | 0 | |||||||||||||||||||
Net amounts recognized at year end | $ | 96,354 | $ | 164,319 | |||||||||||||||||
Estimated Expected Pension Benefits to Be Paid Over Next Ten Years | ' | ||||||||||||||||||||
Torchmark has estimated its expected pension benefits to be paid over the next ten years as of December 31, 2013. These estimates use the same assumptions that measure the benefit obligation at December 31, 2013, taking estimated future employee service into account. Those estimated benefits are as follows: | |||||||||||||||||||||
For the year(s) | |||||||||||||||||||||
2014 | $ | 14,973 | |||||||||||||||||||
2015 | 16,759 | ||||||||||||||||||||
2016 | 18,048 | ||||||||||||||||||||
2017 | 19,847 | ||||||||||||||||||||
2018 | 21,183 | ||||||||||||||||||||
2019-2023 | 129,331 | ||||||||||||||||||||
Other Benefits [Member] | ' | ||||||||||||||||||||
Weighted Average Assumptions | ' | ||||||||||||||||||||
Weighted Average Assumptions for Post-Retirement | |||||||||||||||||||||
Benefit Plans Other Than Pensions | |||||||||||||||||||||
For Benefit Obligations at December 31: | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Discount Rate | 5.12 | % | 4.18 | % | |||||||||||||||||
For Periodic Benefit Cost for the Year: | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Discount Rate | 4.18 | % | 5.09 | % | 5.77 | % | |||||||||||||||
Components of Net Periodic Pension Costs and Post-Retirement Benefit Costs | ' | ||||||||||||||||||||
The components of net periodic postretirement benefit cost for plans other than pensions are as follows: | |||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Service cost | $ | 354 | $ | 392 | $ | 919 | |||||||||||||||
Interest cost on benefit obligation | 1,030 | 1,020 | 999 | ||||||||||||||||||
Expected return on plan assets | 0 | 0 | 0 | ||||||||||||||||||
Net amortization | 224 | 0 | 0 | ||||||||||||||||||
Recognition of net actuarial (gain) loss | 0 | 0 | (815 | ) | |||||||||||||||||
Net periodic postretirement benefit cost | $ | 1,608 | $ | 1,412 | $ | 1,103 | |||||||||||||||
Reconciliation of Benefit Obligation and Plan Assets | ' | ||||||||||||||||||||
The following table presents a reconciliation of the benefit obligation and plan assets from the beginning to the end of the year. As these plans are unfunded, funded status is equivalent to the accrued benefit liability. | |||||||||||||||||||||
Benefits Other Than Pensions | |||||||||||||||||||||
For the year ended December 31, | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
Changes in benefit obligation: | |||||||||||||||||||||
Obligation at beginning of year | $ | 22,367 | $ | 19,008 | |||||||||||||||||
Service cost | 354 | 392 | |||||||||||||||||||
Interest cost | 1,030 | 1,020 | |||||||||||||||||||
Actuarial loss (gain) | (2,475 | ) | 2,358 | ||||||||||||||||||
Benefits paid | (416 | ) | (411 | ) | |||||||||||||||||
Obligation at end of year | 20,860 | 22,367 | |||||||||||||||||||
Changes in plan assets: | |||||||||||||||||||||
Fair value at beginning of year | 0 | 0 | |||||||||||||||||||
Return on assets | 0 | 0 | |||||||||||||||||||
Contributions | 416 | 411 | |||||||||||||||||||
Benefits paid | (416 | ) | (411 | ) | |||||||||||||||||
Fair value at end of year | 0 | 0 | |||||||||||||||||||
Funded status at year end | $ | (20,860 | ) | $ | (22,367 | ) | |||||||||||||||
Schedule of Amounts Recognized as Components Accumulated Other Comprehensive Income | ' | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive income: | |||||||||||||||||||||
Net loss* | $ | 1,113 | $ | 3,812 | |||||||||||||||||
Net amounts recognized at year end | $ | 1,113 | $ | 3,812 | |||||||||||||||||
* | The net loss for benefit plans other than pensions reduces other comprehensive income. | ||||||||||||||||||||
Estimated Future Payments for Post-Retirement Benefit Plans Other Than Pensions | ' | ||||||||||||||||||||
Estimated Future Payments for Post-Retirement Benefit Plans Other Than Pensions | |||||||||||||||||||||
For the year(s) | |||||||||||||||||||||
2014 | $ | 899 | |||||||||||||||||||
2015 | 1,007 | ||||||||||||||||||||
2016 | 1,130 | ||||||||||||||||||||
2017 | 1,313 | ||||||||||||||||||||
2018 | 1,516 | ||||||||||||||||||||
2019-2023 | 8,227 | ||||||||||||||||||||
Supplemental_Disclosures_of_Ca1
Supplemental Disclosures of Cash Flow Information (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||||||||
Summary of Noncash Transactions | ' | ||||||||||||
The following table summarizes Torchmark’s noncash transactions, which are not reflected on the Consolidated Statements of Cash Flows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Stock-based compensation not involving cash | $ | 25,642 | $ | 21,605 | $ | 14,954 | |||||||
Commitments for low-income housing interests | 42,525 | 29,759 | 36,722 | ||||||||||
Capitalized investment income | 806 | 1,537 | 5,321 | ||||||||||
Debt assumed to acquire Family Heritage | 0 | 20,000 | 0 | ||||||||||
Summary of Amounts Paid | ' | ||||||||||||
The following table summarizes certain amounts paid during the period: | |||||||||||||
Year Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Interest paid | $ | 81,322 | $ | 77,686 | $ | 75,653 | |||||||
Income taxes paid | 139,091 | 89,061 | 188,510 |
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Selected Information about Debt Issues | ' | ||||||||||||||||||||||||
The following table presents information about the terms and outstanding balances of Torchmark’s debt. | |||||||||||||||||||||||||
Selected Information about Debt Issues | |||||||||||||||||||||||||
As of December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Description | Annual | Issue | Periodic | Outstanding | Outstanding | Outstanding | Outstanding | ||||||||||||||||||
Percentage | Date | Interest | Principal | Principal | Principal | Principal | |||||||||||||||||||
Rate | Payments | (Par Value) | (Book Value) | (Fair Value) | (Book Value) | ||||||||||||||||||||
Due | |||||||||||||||||||||||||
Notes, due 5/15/23(1)(2) | 7.875 | % | May-93 | 5/15 & 11/15 | $ | 165,612 | $ | 163,609 | $ | 204,489 | $ | 163,471 | |||||||||||||
Notes, due 8/1/13(1)(3) | 7.375 | % | Jul-93 | 2/1 & 8/1 | 0 | 0 | 0 | 93,956 | |||||||||||||||||
Senior Notes, due 6/15/16(1)(6) | 6.375 | % | 6-Jun | 6/15 & 12/15 | 250,000 | 248,753 | 277,185 | 248,300 | |||||||||||||||||
Senior Notes, due 6/15/19(1)(6) | 9.25 | % | 9-Jun | 6/15 & 12/15 | 292,647 | 290,268 | 376,089 | 289,950 | |||||||||||||||||
Senior Notes, due 9/15/22(1)(6) | 3.8 | % | 12-Sep | 3/15 & 9/15 | 150,000 | 147,392 | 145,178 | 147,148 | |||||||||||||||||
Junior Subordinated | |||||||||||||||||||||||||
Debentures due 12/15/52(4)(8) | 5.875 | % | 12-Sep | quarterly | 125,000 | 120,843 | 108,450 | 120,817 | |||||||||||||||||
Junior Subordinated | |||||||||||||||||||||||||
Debentures due 3/15/36(4)(5) | 3.543 | %(9) | -10 | quarterly | 20,000 | 20,000 | 20,000 | 20,000 | |||||||||||||||||
Total funded debt | 1,003,259 | 990,865 | 1,131,391 | 1,083,642 | |||||||||||||||||||||
Less current maturity of long-term debt | 0 | 0 | 0 | (93,956 | ) | ||||||||||||||||||||
Total long-term debt | 1,003,259 | 990,865 | 1,131,391 | 989,686 | |||||||||||||||||||||
Current maturity of long-term debt(7) | 0 | 0 | 0 | 93,956 | |||||||||||||||||||||
Commercial Paper(7) | 229,140 | 229,070 | 229,070 | 225,087 | |||||||||||||||||||||
Total short-term debt | 229,140 | 229,070 | 229,070 | 319,043 | |||||||||||||||||||||
Total debt | $ | 1,232,399 | $ | 1,219,935 | $ | 1,360,461 | $ | 1,308,729 | |||||||||||||||||
-1 | All securities other than the Junior Subordinated Debentures have equal priority with one another. | ||||||||||||||||||||||||
-2 | Not callable. | ||||||||||||||||||||||||
-3 | Repaid August 1, 2013. | ||||||||||||||||||||||||
-4 | Quarterly payments on the 15th of March, June, Sept., and Dec. | ||||||||||||||||||||||||
-5 | Callable anytime. | ||||||||||||||||||||||||
-6 | Callable subject to “make-whole” premium. | ||||||||||||||||||||||||
-7 | Classified as short-term debt. | ||||||||||||||||||||||||
-8 | Callable as of December 15, 2017. | ||||||||||||||||||||||||
-9 | Interest paid at 3 month LIBOR plus 330 basis points, resets each quarter. | ||||||||||||||||||||||||
-10 | Assumed upon November 1, 2012 acquisition of Family Heritage. | ||||||||||||||||||||||||
Short Term Borrowing | ' | ||||||||||||||||||||||||
A table presenting selected information concerning Torchmark’s short-term borrowings is presented below. | |||||||||||||||||||||||||
Short-Term Borrowings | |||||||||||||||||||||||||
At December 31, | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Balance at end of period (at par value) | $ | 229,140 | $ | 225,180 | |||||||||||||||||||||
Annualized interest rate | 0.3 | % | 0.36 | % | |||||||||||||||||||||
Letters of credit outstanding | $ | 198,000 | $ | 198,000 | |||||||||||||||||||||
Remaining amount available under credit line | 172,860 | 176,820 | |||||||||||||||||||||||
For the Year Ended December 31, | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Average balance outstanding during period | $ | 274,435 | $ | 250,401 | $ | 206,148 | |||||||||||||||||||
Daily-weighted average interest rate* | 0.31 | % | 0.41 | % | 0.39 | % | |||||||||||||||||||
Maximum daily amount outstanding during period | $ | 340,140 | $ | 385,000 | $ | 271,761 | |||||||||||||||||||
* | Annualized |
Shareholders_Equity_Tables
Shareholders' Equity (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Summary of Preferred and Common Share Activity | ' | ||||||||||||||||
A summary of preferred and common share activity is as follows: | |||||||||||||||||
Preferred Stock | Common Stock | ||||||||||||||||
Issued | Treasury | Issued | Treasury | ||||||||||||||
Stock | Stock | ||||||||||||||||
2011:00:00 | |||||||||||||||||
Balance at January 1, 2011 | 0 | 0 | 119,812,123 | (947,497 | ) | ||||||||||||
Grants of restricted stock | 173,553 | ||||||||||||||||
Forfeitures of restricted stock | (7,153 | ) | |||||||||||||||
Issuance of common stock due to exercise of stock options | 4,829,892 | ||||||||||||||||
Treasury stock acquired | (23,281,453 | ) | |||||||||||||||
Retirement of treasury stock | (7,500,000 | ) | 7,500,000 | ||||||||||||||
Balance at December 31, 2011 | 0 | 0 | 112,312,123 | (11,732,658 | ) | ||||||||||||
2012:00:00 | |||||||||||||||||
Grants of restricted stock | 69,720 | ||||||||||||||||
Issuance of common stock due to exercise of stock options | 5,357,490 | ||||||||||||||||
Treasury stock acquired | (11,771,039 | ) | |||||||||||||||
Retirement of treasury stock | (6,500,000 | ) | 6,500,000 | ||||||||||||||
Balance at December 31, 2012 | 0 | 0 | 105,812,123 | (11,576,487 | ) | ||||||||||||
2013:00:00 | |||||||||||||||||
Grants of restricted stock | 50,943 | ||||||||||||||||
Forfeitures and surrenders of restricted stock | (24,906 | ) | |||||||||||||||
Issuance of common stock due to exercise of stock options | 2,611,838 | ||||||||||||||||
Issuance of common stock due to settlement of restricted stock units | 7,460 | ||||||||||||||||
Treasury stock acquired | (7,379,384 | ) | |||||||||||||||
Retirement of treasury stock | (5,000,000 | ) | 5,000,000 | ||||||||||||||
Balance at December 31, 2013 | 0 | 0 | 100,812,123 | (11,310,536 | ) | ||||||||||||
Reconciliation of Basic and Diluted Weighted Average Shares Outstanding | ' | ||||||||||||||||
A reconciliation of basic and diluted weighted-average shares outstanding used in the computation of basic and diluted earnings per share is as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Basic weighted average shares outstanding | 91,764,590 | 96,614,199 | 108,278,113 | ||||||||||||||
Weighted average dilutive options outstanding | 1,277,933 | 1,284,189 | 1,537,277 | ||||||||||||||
Diluted weighted average shares outstanding | 93,042,523 | 97,898,388 | 109,815,390 | ||||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Analysis of Shares Available for Grant | ' | ||||||||||||||||||||||||
An analysis of shares available for grant is as follows: | |||||||||||||||||||||||||
Available for Grant | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Balance at January 1 | 4,536,301 | 6,099,342 | 255,263 | ||||||||||||||||||||||
Approval of Torchmark Corporation 2011 Incentive Plan* | 0 | 0 | 7,950,000 | ||||||||||||||||||||||
Cancellation of available shares from prior plans | 0 | 0 | (229,333 | ) | |||||||||||||||||||||
Options expired and forfeited during year | 85,406 | 5,850 | 0 | ||||||||||||||||||||||
Restricted stock expired and forfeited during year (counted as 3.1 options)* | 6,417 | 0 | 0 | ||||||||||||||||||||||
Options granted during year | (1,084,575 | ) | (1,072,725 | ) | (1,338,013 | ) | |||||||||||||||||||
Restricted stock, restricted stock units, and performance shares granted under the Torchmark Corporation 2011 Incentive Plan (counted as 3.1 options per grant)* | (631,047 | ) | (496,166 | ) | (519,558 | ) | |||||||||||||||||||
Restricted stock and restricted stock units granted during the year under previous plans | 0 | 0 | (19,017 | ) | |||||||||||||||||||||
Balance at December 31 | 2,912,502 | 4,536,301 | 6,099,342 | ||||||||||||||||||||||
* Plan allows for grant of restricted stock such that each stock grant reduces 3.1 options available for grant | |||||||||||||||||||||||||
Summary of Stock Compensation Activity | ' | ||||||||||||||||||||||||
A summary of stock compensation activity for each of the three years ended December 31, 2013 is presented below: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Stock-based compensation expense recognized* | $ | 25,642 | $ | 21,605 | $ | 14,954 | |||||||||||||||||||
Tax benefit recognized | 8,975 | 7,562 | 5,234 | ||||||||||||||||||||||
Weighted-average grant-date fair value of options granted | 18.55 | 15.7 | 15.48 | ||||||||||||||||||||||
Intrinsic value of options exercised | 72,793 | 80,781 | 40,991 | ||||||||||||||||||||||
Cash received from options exercised | 97,815 | 181,022 | 162,613 | ||||||||||||||||||||||
Actual tax benefit received from exercises | 25,478 | 28,086 | 14,347 | ||||||||||||||||||||||
* No stock-based compensation expense was capitalized in any period. | |||||||||||||||||||||||||
Analysis of Option Activity | ' | ||||||||||||||||||||||||
An analysis of option activity for each of the three years ended December 31, 2013 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Options | Weighted Average | Options | Weighted Average | Options | Weighted Average | ||||||||||||||||||||
Exercise Price | Exercise Price | Exercise Price | |||||||||||||||||||||||
Outstanding-beginning of year | 7,332,137 | $ | 38.14 | 11,620,393 | $ | 35.42 | 15,185,729 | $ | 34.09 | ||||||||||||||||
Granted: | |||||||||||||||||||||||||
7-year term | 907,800 | 56.43 | 846,300 | 46.1 | 1,129,663 | 44.37 | |||||||||||||||||||
10-year term | 176,775 | 56.1 | 226,425 | 45.49 | 208,350 | 44.4 | |||||||||||||||||||
Exercised | (2,611,838 | ) | 37.45 | (5,354,381 | ) | 33.82 | (4,829,892 | ) | 33.67 | ||||||||||||||||
Expired and forfeited | (85,406 | ) | 48.49 | (6,600 | ) | 44.63 | (73,425 | ) | 39.17 | ||||||||||||||||
Adjustment due to 7/1/11 stock split | 0 | 0 | 0 | 0 | (32 | ) | 32.96 | ||||||||||||||||||
Outstanding-end of year | 5,719,468 | $ | 41.76 | 7,332,137 | $ | 38.14 | 11,620,393 | $ | 35.42 | ||||||||||||||||
Exercisable at end of year | 2,930,368 | $ | 34.42 | 4,261,817 | $ | 35.37 | 8,265,818 | $ | 36.28 | ||||||||||||||||
Summary of Restricted Stock and Restricted Stock Units Granted | ' | ||||||||||||||||||||||||
A summary of restricted stock and restricted stock units granted during each of the years in the three year period ended December 31, 2013 is presented in the table below. Restricted stock holders are entitled to dividends on the stock and holders of restricted stock units are entitled to dividend equivalents. Executive grants vest over five years and director grants vest over six months. | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Executives restricted stock: | |||||||||||||||||||||||||
Shares | 39,130 | 60,000 | 167,250 | ||||||||||||||||||||||
Price per share | $ | 60.14 | $ | 46.12 | $ | 44.39 | |||||||||||||||||||
Aggregate value | $ | 2,353 | $ | 2,767 | $ | 7,424 | |||||||||||||||||||
Percent vested as of 12/31/13 | 0 | % | 20 | % | 30 | % | |||||||||||||||||||
Directors restricted stock: | |||||||||||||||||||||||||
Shares | 10,030 | 9,720 | 6,303 | ||||||||||||||||||||||
Price per share | $ | 53.18 | $ | 43.74 | $ | 40.45 | |||||||||||||||||||
Aggregate value | $ | 533 | $ | 425 | $ | 255 | |||||||||||||||||||
Percent vested as of 12/31/13 | 100 | % | 100 | % | 100 | % | |||||||||||||||||||
Directors restricted stock units (including dividend equivalents): | |||||||||||||||||||||||||
Shares | 11,332 | 10,331 | 13,063 | ||||||||||||||||||||||
Price per share | $ | 53.98 | $ | 44.03 | $ | 40.49 | |||||||||||||||||||
Aggregate value | $ | 612 | $ | 455 | $ | 529 | |||||||||||||||||||
Percent vested as of 12/31/13 | 100 | % | 100 | % | 100 | % | |||||||||||||||||||
Analysis of Unvested Restricted Stock | ' | ||||||||||||||||||||||||
An analysis of unvested restricted stock is as follows: | |||||||||||||||||||||||||
Executives | Executive | Directors | Total | ||||||||||||||||||||||
Restricted Stock | Performance | Restricted | |||||||||||||||||||||||
Shares | Stock | ||||||||||||||||||||||||
2011:00:00 | |||||||||||||||||||||||||
Balance at January 1, 2011 | 237,150 | 0 | 0 | 237,150 | |||||||||||||||||||||
Grants | 167,250 | 0 | 6,303 | 173,553 | |||||||||||||||||||||
Restriction lapses | (72,600 | ) | 0 | (6,303 | ) | (78,903 | ) | ||||||||||||||||||
Forfeitures | (4,800 | ) | 0 | 0 | (4,800 | ) | |||||||||||||||||||
Balance at December 31, 2011 | 327,000 | 0 | 0 | 327,000 | |||||||||||||||||||||
2012:00:00 | |||||||||||||||||||||||||
Grants | 60,000 | 80,000 | 9,720 | 149,720 | |||||||||||||||||||||
Restriction lapses | (75,300 | ) | 0 | (9,720 | ) | (85,020 | ) | ||||||||||||||||||
Forfeitures | 0 | 0 | 0 | 0 | |||||||||||||||||||||
Balance at December 31, 2012 | 311,700 | 80,000 | 0 | 391,700 | |||||||||||||||||||||
2013:00:00 | |||||||||||||||||||||||||
Grants | 39,130 | 98,500 | 10,030 | 147,660 | |||||||||||||||||||||
Estimated additional performance shares* | 0 | 63,200 | 0 | 63,200 | |||||||||||||||||||||
Restriction lapses | (100,500 | ) | 0 | (10,030 | ) | (110,530 | ) | ||||||||||||||||||
Forfeitures | (20,700 | ) | 0 | 0 | (20,700 | ) | |||||||||||||||||||
Balance at December 31, 2013 | 229,630 | 241,700 | 0 | 471,330 | |||||||||||||||||||||
*Additional share grants expected due to achievement of performance criteria. | |||||||||||||||||||||||||
Schedule of Additional Information of Stock-Based Compensation | ' | ||||||||||||||||||||||||
Additional information about Torchmark’s stock-based compensation as of December 31, 2013 and 2012 is as follows: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Outstanding options: | |||||||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 4.11 | 3.72 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 208,152 | $ | 99,212 | |||||||||||||||||||||
Exercisable options: | |||||||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 2.49 | 2.29 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 128,150 | $ | 69,472 | |||||||||||||||||||||
Unrecognized compensation* | $ | 37,397 | $ | 32,808 | |||||||||||||||||||||
Weighted average period of expected recognition (in years)* | 0.96 | 0.74 | |||||||||||||||||||||||
* | Includes restricted stock | ||||||||||||||||||||||||
Schedule of Additional Information on Unvested Options | ' | ||||||||||||||||||||||||
Additional information concerning Torchmark’s unvested options is as follows at December 31: | |||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||
Number of shares outstanding | 2,789,100 | 3,070,320 | |||||||||||||||||||||||
Weighted-average exercise price (per share) | $ | 49.47 | $ | 41.98 | |||||||||||||||||||||
Weighted-average remaining contractual term (in years) | 5.81 | 5.7 | |||||||||||||||||||||||
Aggregate intrinsic value | $ | 80,002 | $ | 29,740 | |||||||||||||||||||||
Summary of Options Outstanding | ' | ||||||||||||||||||||||||
The following table summarizes information about stock options outstanding at December 31, 2013. | |||||||||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||||||
Range of | Number | Weighted- | Weighted- | Number | Weighted- | ||||||||||||||||||||
Exercise Prices | Outstanding | Average | Average | Exercisable | Average | ||||||||||||||||||||
Remaining | Exercise | Exercise | |||||||||||||||||||||||
Contractual | Price | Price | |||||||||||||||||||||||
Life (Years) | |||||||||||||||||||||||||
$15.67 - $30.40 | 461,983 | 2.11 | $ | 17.69 | 457,386 | $ | 17.57 | ||||||||||||||||||
30.87 - 30.87 | 962,124 | 3.03 | 30.87 | 962,124 | 30.87 | ||||||||||||||||||||
35.93 - 42.92 | 986,616 | 1.12 | 40.35 | 979,202 | 40.37 | ||||||||||||||||||||
43.06 - 44.39 | 1,228,295 | 4.68 | 44.37 | 526,806 | 44.35 | ||||||||||||||||||||
44.79 - 48.72 | 1,004,375 | 5.72 | 45.78 | 4,850 | 45.49 | ||||||||||||||||||||
56.10 - 64.59 | 1,076,075 | 6.54 | 56.38 | 0 | 0 | ||||||||||||||||||||
$15.67 - $64.59 | 5,719,468 | 4.11 | $ | 41.76 | 2,930,368 | $ | 34.42 | ||||||||||||||||||
Business_Segments_Tables
Business Segments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||||||||||||||||
Schedule of Segment Premium Revenue by Each Marketing Group | ' | ||||||||||||||||||||||||||||||||||
The tables below present segment premium revenue by each of Torchmark’s marketing groups. | |||||||||||||||||||||||||||||||||||
Torchmark Corporation | |||||||||||||||||||||||||||||||||||
Premium Income By Distribution Channel | |||||||||||||||||||||||||||||||||||
For the Year 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 19,742 | 1 | $ | 298,298 | 25 | $ | 532 | 100 | $ | 318,572 | 10 | |||||||||||||||||||||||
Liberty National Exclusive | 275,980 | 15 | 241,264 | 21 | 517,244 | 17 | |||||||||||||||||||||||||||||
American Income Exclusive | 715,366 | 38 | 79,435 | 7 | 794,801 | 26 | |||||||||||||||||||||||||||||
Family Heritage Exclusive | 1,006 | 0 | 190,923 | 16 | 191,929 | 6 | |||||||||||||||||||||||||||||
Direct Response | 663,544 | 35 | 53,898 | 5 | 717,442 | 24 | |||||||||||||||||||||||||||||
Medicare Part D | 300,008 | 26 | 300,008 | 10 | |||||||||||||||||||||||||||||||
Other | 209,694 | 11 | 209,694 | 7 | |||||||||||||||||||||||||||||||
$ | 1,885,332 | 100 | $ | 1,163,826 | 100 | $ | 532 | 100 | $ | 3,049,690 | 100 | ||||||||||||||||||||||||
For the Year 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 21,127 | 1 | $ | 298,759 | 28 | $ | 559 | 100 | $ | 320,445 | 11 | |||||||||||||||||||||||
Liberty National Exclusive | 281,723 | 15 | 263,535 | 25 | 545,258 | 19 | |||||||||||||||||||||||||||||
American Income Exclusive | 663,696 | 37 | 79,640 | 8 | 743,336 | 26 | |||||||||||||||||||||||||||||
Family Heritage Exclusive | 130 | 0 | 30,119 | 3 | 30,249 | 1 | |||||||||||||||||||||||||||||
Direct Response | 630,111 | 35 | 57,966 | 6 | 688,077 | 24 | |||||||||||||||||||||||||||||
Medicare Part D | 317,764 | 30 | 317,764 | 11 | |||||||||||||||||||||||||||||||
Other | 211,737 | 12 | 211,737 | 8 | |||||||||||||||||||||||||||||||
$ | 1,808,524 | 100 | $ | 1,047,783 | 100 | $ | 559 | 100 | $ | 2,856,866 | 100 | ||||||||||||||||||||||||
For the Year 2011 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Total | ||||||||||||||||||||||||||||||||
Distribution Channel | Amount | % of | Amount | % of | Amount | % of | Amount | % of | |||||||||||||||||||||||||||
Total | Total | Total | Total | ||||||||||||||||||||||||||||||||
United American Independent | $ | 22,846 | 1 | $ | 306,490 | 33 | $ | 608 | 100 | $ | 329,944 | 12 | |||||||||||||||||||||||
Liberty National Exclusive | 288,308 | 17 | 290,107 | 31 | 578,415 | 22 | |||||||||||||||||||||||||||||
American Income Exclusive | 607,914 | 35 | 80,119 | 9 | 688,033 | 26 | |||||||||||||||||||||||||||||
Direct Response | 593,650 | 35 | 57,067 | 6 | 650,717 | 25 | |||||||||||||||||||||||||||||
Medicare Part D | 196,710 | 21 | 196,710 | 7 | |||||||||||||||||||||||||||||||
Other | 213,526 | 12 | 213,526 | 8 | |||||||||||||||||||||||||||||||
$ | 1,726,244 | 100 | $ | 930,493 | 100 | $ | 608 | 100 | $ | 2,657,345 | 100 | ||||||||||||||||||||||||
Reconciliation of Revenues and Operations by Segment to Major Income Statement Line Items | ' | ||||||||||||||||||||||||||||||||||
The following tables set forth a reconciliation of Torchmark’s revenues and operations by segment to its major income statement line items. | |||||||||||||||||||||||||||||||||||
For the year 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,885,332 | $ | 1,163,826 | $ | 532 | $ | 2,584 | (1) | $ | 3,052,274 | ||||||||||||||||||||||||
Net investment income | $ | 734,650 | (24,907 | )(4) | 709,743 | ||||||||||||||||||||||||||||||
Other income | $ | 2,208 | (277 | )(3) | 1,931 | ||||||||||||||||||||||||||||||
Total revenue | 1,885,332 | 1,163,826 | 532 | 734,650 | 2,208 | (22,600 | ) | 3,763,948 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,227,857 | 806,478 | 43,302 | 11,209 | (1,6) | 2,088,846 | |||||||||||||||||||||||||||||
Required interest on: | |||||||||||||||||||||||||||||||||||
Policy reserves | (508,236 | ) | (59,858 | ) | (57,294 | ) | 625,388 | 0 | |||||||||||||||||||||||||||
Deferred acquisition costs | 164,981 | 23,233 | 1,811 | (190,025 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 323,950 | 72,244 | 8,714 | (1,519 | )(7) | 403,389 | |||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 131,721 | 89,922 | 60 | (277 | )(3) | 221,426 | |||||||||||||||||||||||||||||
Insurance administrative expense(2) | 178,898 | 1,155 | (5) | 180,053 | |||||||||||||||||||||||||||||||
Parent expense | $ | 8,495 | 500 | (6) | 8,995 | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 25,642 | 25,642 | |||||||||||||||||||||||||||||||||
Interest expense | 80,461 | 80,461 | |||||||||||||||||||||||||||||||||
Total expenses | 1,340,273 | 932,019 | (3,407 | ) | 515,824 | 178,898 | 34,137 | 11,068 | 3,008,812 | ||||||||||||||||||||||||||
Subtotal | 545,059 | 231,807 | 3,939 | 218,826 | (176,690 | ) | (34,137 | ) | (33,668 | ) | 755,136 | ||||||||||||||||||||||||
Non-operating items | 8,761 | (5,6,7) | 8,761 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 24,907 | (4) | 24,907 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 545,059 | $ | 231,807 | $ | 3,939 | $ | 218,826 | $ | (176,690 | ) | $ | (34,137 | ) | $ | 0 | 788,804 | ||||||||||||||||||
Deduct applicable income taxes | (258,137 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 530,667 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 258,137 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 7,990 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(4) | (24,907 | ) | |||||||||||||||||||||||||||||||||
Deduct Guaranty Fund Assessment(5) | (1,155 | ) | |||||||||||||||||||||||||||||||||
Deduct legal settlement expenses(6) | (9,125 | ) | |||||||||||||||||||||||||||||||||
Add Family Heritage Life acquisition adjustments(7) | 1,519 | ||||||||||||||||||||||||||||||||||
Pretax income per Consolidated Statement of Operations | $ | 763,126 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-3 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-4 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-5 | Guaranty Fund Assessment. | ||||||||||||||||||||||||||||||||||
-6 | Legal settlement expenses. | ||||||||||||||||||||||||||||||||||
-7 | Family Heritage Life acquisition adjustments. | ||||||||||||||||||||||||||||||||||
For the Year 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,808,524 | $ | 1,047,783 | $ | 559 | $ | (404 | )(1) | $ | 2,856,462 | ||||||||||||||||||||||||
Net investment income | $ | 715,918 | (22,274 | )(2)(5) | 693,644 | ||||||||||||||||||||||||||||||
Other income | $ | 1,898 | (321 | )(4) | 1,577 | ||||||||||||||||||||||||||||||
Total revenue | 1,808,524 | 1,047,783 | 559 | 715,918 | 1,898 | (22,999 | ) | 3,551,683 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,172,020 | 739,945 | 44,121 | (404 | )(1) | 1,955,682 | |||||||||||||||||||||||||||||
Required interest on: | (483,892 | ) | (40,963 | ) | (59,293 | ) | 584,148 | 0 | |||||||||||||||||||||||||||
Policy reserves | |||||||||||||||||||||||||||||||||||
Deferred acquisition costs | 163,875 | 19,059 | 2,238 | (185,172 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 309,930 | 65,278 | 9,959 | 385,167 | |||||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 137,115 | 67,123 | 69 | (321 | )(4) | 203,986 | |||||||||||||||||||||||||||||
Insurance administrative expense(3) | 165,405 | 165,405 | |||||||||||||||||||||||||||||||||
Parent expense | $ | 8,222 | 2,944 | (6) | 11,166 | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 21,605 | 21,605 | |||||||||||||||||||||||||||||||||
Interest expense | 80,298 | 214 | (2) | 80,512 | |||||||||||||||||||||||||||||||
Total expenses | 1,299,048 | 850,442 | (2,906 | ) | 479,274 | 165,405 | 29,827 | 2,433 | 2,823,523 | ||||||||||||||||||||||||||
Sub total | 509,476 | 197,341 | 3,465 | 236,644 | (163,507 | ) | (29,827 | ) | (25,432 | ) | 728,160 | ||||||||||||||||||||||||
Non operating items | 2,944 | (6) | 2,944 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 22,488 | (5) | 22,488 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 509,476 | $ | 197,341 | $ | 3,465 | $ | 236,644 | $ | (163,507 | ) | $ | (29,827 | ) | $ | 0 | 753,592 | ||||||||||||||||||
Deduct applicable income taxes | (246,945 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 506,647 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 246,945 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 37,833 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(5) | (22,488 | ) | |||||||||||||||||||||||||||||||||
Deduct Family Heritage Life acquisition expense(6) | (2,944 | ) | |||||||||||||||||||||||||||||||||
Pretax income per the Consolidated Statement of Operations | $ | 765,993 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Reclassification of interest amount due to accounting rule requiring deconsolidation of Trust Preferred Securities. | ||||||||||||||||||||||||||||||||||
-3 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-4 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-5 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-6 | Family Heritage Life acquisition expense. | ||||||||||||||||||||||||||||||||||
For the Year 2011 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Corporate | Adjustments | Consolidated | ||||||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||||
Premium | $ | 1,726,244 | $ | 930,493 | $ | 608 | $ | (1,027 | )(1) | $ | 2,656,318 | ||||||||||||||||||||||||
Net investment income | $ | 707,041 | (14,013 | )(2,5) | 693,028 | ||||||||||||||||||||||||||||||
Other income | $ | 2,507 | (356 | )(4) | 2,151 | ||||||||||||||||||||||||||||||
Total revenue | 1,726,244 | 930,493 | 608 | 707,041 | 2,507 | (15,396 | ) | 3,351,497 | |||||||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||||||||
Policy benefits | 1,118,909 | 632,847 | 42,547 | (1,027 | )(1) | 1,793,276 | |||||||||||||||||||||||||||||
Required interest on: | (458,029 | ) | (36,729 | ) | (57,040 | ) | 551,798 | 0 | |||||||||||||||||||||||||||
Policy reserves | |||||||||||||||||||||||||||||||||||
Deferred acquisition costs | 159,886 | 18,883 | 2,618 | (181,387 | ) | 0 | |||||||||||||||||||||||||||||
Amortization of acquisition costs | 292,168 | 62,345 | 10,070 | 364,583 | |||||||||||||||||||||||||||||||
Commissions, premium taxes, and non-deferred acquisition costs | 152,347 | 64,157 | 68 | (356 | )(4) | 216,216 | |||||||||||||||||||||||||||||
Insurance administrative expense(3) | 159,109 | 19,880 | (6,7,8) | 178,989 | |||||||||||||||||||||||||||||||
Parent expense | $ | 7,693 | 7,693 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 14,954 | 14,954 | |||||||||||||||||||||||||||||||||
Interest expense | 77,644 | 264 | (2) | 77,908 | |||||||||||||||||||||||||||||||
Total expenses | 1,265,281 | 741,503 | (1,737 | ) | 448,055 | 159,109 | 22,647 | 18,761 | 2,653,619 | ||||||||||||||||||||||||||
Sub total | 460,963 | 188,990 | 2,345 | 258,986 | (156,602 | ) | (22,647 | ) | (34,157 | ) | 697,878 | ||||||||||||||||||||||||
Non operating items | 19,880 | (6,7,8) | 19,880 | ||||||||||||||||||||||||||||||||
Amortization of low-income housing interests | 14,277 | (5) | 14,277 | ||||||||||||||||||||||||||||||||
Measure of segment profitability (pretax) | $ | 460,963 | $ | 188,990 | $ | 2,345 | $ | 258,986 | $ | (156,602 | ) | $ | (22,647 | ) | $ | 0 | 732,035 | ||||||||||||||||||
Deduct applicable income taxes | (238,335 | ) | |||||||||||||||||||||||||||||||||
Segment profits after tax | 493,700 | ||||||||||||||||||||||||||||||||||
Add back income taxes applicable to segment profitability | 238,335 | ||||||||||||||||||||||||||||||||||
Add (deduct) realized investment gains (losses) | 25,904 | ||||||||||||||||||||||||||||||||||
Deduct amortization of low-income housing(5) | (14,277 | ) | |||||||||||||||||||||||||||||||||
Deduct state administrative settlement expense(6) | (6,901 | ) | |||||||||||||||||||||||||||||||||
Deduct loss on sale of equipment(7) | (979 | ) | |||||||||||||||||||||||||||||||||
Deduct litigation expense(8) | (12,000 | ) | |||||||||||||||||||||||||||||||||
Pretax income per Consolidated Statement of Operations | $ | 723,782 | |||||||||||||||||||||||||||||||||
-1 | Medicare Part D items adjusted to GAAP from the segment analysis, which matches expected benefits with policy premium. | ||||||||||||||||||||||||||||||||||
-2 | Reclassification of interest amount due to accounting rule requiring deconsolidation of Trust Preferred Securities. | ||||||||||||||||||||||||||||||||||
-3 | Administrative expense is not allocated to insurance segments. | ||||||||||||||||||||||||||||||||||
-4 | Elimination of intersegment commission. | ||||||||||||||||||||||||||||||||||
-5 | Amortization of low-income housing interests. | ||||||||||||||||||||||||||||||||||
-6 | State administrative settlement expense. | ||||||||||||||||||||||||||||||||||
-7 | Loss on sale of equipment. | ||||||||||||||||||||||||||||||||||
-8 | Litigation expense. | ||||||||||||||||||||||||||||||||||
Analysis of Profitability by Segment | ' | ||||||||||||||||||||||||||||||||||
The following table summarizes the measures of segment profitability as determined in the three preceding tables for comparison with prior periods. The table also reconciles segment profits to net income. | |||||||||||||||||||||||||||||||||||
Analysis of Profitability by Segment | |||||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2013 | % | 2012 | % | |||||||||||||||||||||||||||||
Change | Change | ||||||||||||||||||||||||||||||||||
Life insurance underwriting margin | $ | 545,059 | $ | 509,476 | $ | 460,963 | $ | 35,583 | 7 | $ | 48,513 | 11 | |||||||||||||||||||||||
Health insurance underwriting margin | 231,807 | 197,341 | 188,990 | 34,466 | 17 | 8,351 | 4 | ||||||||||||||||||||||||||||
Annuity underwriting margin | 3,939 | 3,465 | 2,345 | 474 | 14 | 1,120 | 48 | ||||||||||||||||||||||||||||
Excess investment income | 218,826 | 236,644 | 258,986 | (17,818 | ) | (8 | ) | (22,342 | ) | (9 | ) | ||||||||||||||||||||||||
Other insurance: | |||||||||||||||||||||||||||||||||||
Other income | 2,208 | 1,898 | 2,507 | 310 | 16 | (609 | ) | (24 | ) | ||||||||||||||||||||||||||
Administrative expense | (178,898 | ) | (165,405 | ) | (159,109 | ) | (13,493 | ) | 8 | (6,296 | ) | 4 | |||||||||||||||||||||||
Corporate and adjustments | (34,137 | ) | (29,827 | ) | (22,647 | ) | (4,310 | ) | 14 | (7,180 | ) | 32 | |||||||||||||||||||||||
Pre-tax total | 788,804 | 753,592 | 732,035 | 35,212 | 5 | 21,557 | 3 | ||||||||||||||||||||||||||||
Applicable taxes | (258,137 | ) | (246,945 | ) | (238,335 | ) | (11,192 | ) | 5 | (8,610 | ) | 4 | |||||||||||||||||||||||
Total | 530,667 | 506,647 | 493,700 | 24,020 | 5 | 12,947 | 3 | ||||||||||||||||||||||||||||
Realized gains (losses)—investments (after tax)* | 3,965 | 24,591 | 16,838 | (20,626 | ) | 7,753 | |||||||||||||||||||||||||||||
Loss on disposal of discontinued operations (after tax) | 0 | 0 | (455 | ) | 0 | 455 | |||||||||||||||||||||||||||||
Acquisition expense and adjustments—Family Heritage (after tax) | 522 | (1,914 | ) | 0 | 2,436 | (1,914 | ) | ||||||||||||||||||||||||||||
Legal settlement expenses (after tax) | (5,931 | ) | 0 | (7,800 | ) | (5,931 | ) | 7,800 | |||||||||||||||||||||||||||
Guaranty Fund assessment (after tax) | (751 | ) | 0 | 0 | (751 | ) | 0 | ||||||||||||||||||||||||||||
State administrative settlement (after tax) | 0 | 0 | (4,486 | ) | 0 | 4,486 | |||||||||||||||||||||||||||||
Loss on sale of equipment (after tax) | 0 | 0 | (636 | ) | 0 | 636 | |||||||||||||||||||||||||||||
Net income | $ | 528,472 | $ | 529,324 | $ | 497,161 | $ | -852 | 0 | $ | 32,163 | 6 | |||||||||||||||||||||||
Assets by Segment | ' | ||||||||||||||||||||||||||||||||||
The table below reconciles segment assets to total assets as reported in the consolidated financial statements. | |||||||||||||||||||||||||||||||||||
Assets by Segment | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Consolidated | ||||||||||||||||||||||||||||||
Cash and invested assets | $ | 13,456,944 | $ | 13,456,944 | |||||||||||||||||||||||||||||||
Accrued investment income | 200,038 | 200,038 | |||||||||||||||||||||||||||||||||
Deferred acquisition costs | $ | 2,809,199 | $ | 497,743 | $ | 30,707 | 3,337,649 | ||||||||||||||||||||||||||||
Goodwill | 309,609 | 131,982 | 441,591 | ||||||||||||||||||||||||||||||||
Other assets | $ | 755,522 | 755,522 | ||||||||||||||||||||||||||||||||
Total assets | $ | 3,118,808 | $ | 629,725 | $ | 30,707 | $ | 13,656,982 | $ | 755,522 | $ | 18,191,744 | |||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Other | Consolidated | ||||||||||||||||||||||||||||||
Cash and invested assets | $ | 14,155,919 | $ | 14,155,919 | |||||||||||||||||||||||||||||||
Accrued investment income | 195,497 | 195,497 | |||||||||||||||||||||||||||||||||
Deferred acquisition costs | $ | 2,688,876 | $ | 481,725 | $ | 27,830 | 3,198,431 | ||||||||||||||||||||||||||||
Goodwill | 309,609 | 131,982 | 441,591 | ||||||||||||||||||||||||||||||||
Other assets | $ | 785,472 | 785,472 | ||||||||||||||||||||||||||||||||
Total assets | $ | 2,998,485 | $ | 613,707 | $ | 27,830 | $ | 14,351,416 | $ | 785,472 | $ | 18,776,910 | |||||||||||||||||||||||
Other Balances by Segment | ' | ||||||||||||||||||||||||||||||||||
Other Balances by Segment | |||||||||||||||||||||||||||||||||||
At December 31, 2013 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Consolidated | |||||||||||||||||||||||||||||||
Future policy benefits | $ | 8,493,972 | $ | 1,384,365 | $ | 1,377,818 | $ | 11,256,155 | |||||||||||||||||||||||||||
Unearned and advance premium | 16,970 | 57,204 | 74,174 | ||||||||||||||||||||||||||||||||
Policy claims and other benefits payable | 121,661 | 101,719 | 223,380 | ||||||||||||||||||||||||||||||||
Debt | $ | 1,219,935 | 1,219,935 | ||||||||||||||||||||||||||||||||
Total | $ | 8,632,603 | $ | 1,543,288 | $ | 1,377,818 | $ | 1,219,935 | $ | 12,773,644 | |||||||||||||||||||||||||
At December 31, 2012 | |||||||||||||||||||||||||||||||||||
Life | Health | Annuity | Investment | Consolidated | |||||||||||||||||||||||||||||||
Future policy benefits | $ | 8,093,618 | $ | 1,264,540 | $ | 1,348,061 | $ | 10,706,219 | |||||||||||||||||||||||||||
Unearned and advance premium | 16,856 | 59,232 | 76,088 | ||||||||||||||||||||||||||||||||
Policy claims and other benefits payable | 123,600 | 104,870 | 228,470 | ||||||||||||||||||||||||||||||||
Debt | $ | 1,308,729 | 1,308,729 | ||||||||||||||||||||||||||||||||
Total | $ | 8,234,074 | $ | 1,428,642 | $ | 1,348,061 | $ | 1,308,729 | $ | 12,319,506 | |||||||||||||||||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Schedule Of Percentages Of Investments By Major Components At Fair Value | ' | ||||
At December 31, 2013, the investment portfolio, at fair value, consisted of the following: | |||||
Investment-grade corporate securities | 79 | % | |||
Securities of state and municipal governments | 10 | ||||
Below-investment-grade securities | 4 | ||||
Policy loans, which are secured by the underlying insurance policy values | 3 | ||||
Government-sponsored enterprises | 2 | ||||
Other fixed maturities, equity securities, mortgages, real estate, other long-term investments, and short-term investments | 2 | ||||
100 | % | ||||
Schedule Of Industry Concentrations Held In The Corporate Portfolio Based On Fair Value | ' | ||||
Below are the ten largest industry concentrations held in the corporate portfolio at December 31, 2013, based on fair value: | |||||
Insurance | 17 | % | |||
Electric utilities and services | 17 | % | |||
Pipelines | 7 | % | |||
Banks | 6 | % | |||
Oil and gas extraction | 6 | % | |||
Transportation | 5 | % | |||
Mining | 4 | % | |||
Chemicals | 4 | % | |||
Telecommunications | 3 | % | |||
REITs | 3 | % |
Selected_Quarterly_Data_Unaudi1
Selected Quarterly Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of Selected Quarterly Data | ' | ||||||||||||||||
The following is a summary of quarterly results for the two years ended December 31, 2013. The information is unaudited but includes all adjustments (consisting of normal accruals) which management considers necessary for a fair presentation of the results of operations for these periods. | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2013:00:00 | |||||||||||||||||
Premium and policy charges | $ | 784,814 | $ | 765,851 | $ | 750,998 | $ | 750,611 | |||||||||
Net investment income | 176,839 | 177,964 | 176,656 | 178,284 | |||||||||||||
Realized investment gains(losses) | (3,907 | ) | 5,913 | 4,459 | 1,525 | ||||||||||||
Total revenues | 958,216 | 950,339 | 932,789 | 930,594 | |||||||||||||
Policy benefits | 552,003 | 524,499 | 516,783 | 495,561 | |||||||||||||
Amortization of acquisition expenses | 101,714 | 102,488 | 98,444 | 100,743 | |||||||||||||
Pretax income | 173,063 | 192,784 | 190,850 | 206,429 | |||||||||||||
Net income | 119,632 | 133,901 | 132,122 | 142,817 | |||||||||||||
Basic net income per common share* | 1.28 | 1.45 | 1.45 | 1.59 | |||||||||||||
Diluted net income per common share* | 1.27 | 1.44 | 1.43 | 1.56 | |||||||||||||
2012:00:00 | |||||||||||||||||
Premium and policy charges | $ | 718,475 | $ | 705,582 | $ | 699,860 | $ | 732,545 | |||||||||
Net investment income | 174,121 | 175,176 | 169,400 | 174,947 | |||||||||||||
Realized investment gains(losses) | 5,006 | 4,661 | 7,283 | 20,883 | |||||||||||||
Total revenues | 897,923 | 885,795 | 877,100 | 928,698 | |||||||||||||
Policy benefits | 512,647 | 484,807 | 479,119 | 479,109 | |||||||||||||
Amortization of acquisition expenses | 96,498 | 96,601 | 94,016 | 98,052 | |||||||||||||
Pretax income | 170,235 | 186,380 | 188,791 | 220,587 | |||||||||||||
Net income | 118,677 | 128,988 | 130,672 | 150,987 | |||||||||||||
Basic net income per common share* | 1.19 | 1.33 | 1.37 | 1.6 | |||||||||||||
Diluted net income per common share* | 1.17 | 1.32 | 1.36 | 1.58 | |||||||||||||
* | Basic and diluted net income per share by quarter may not add to per share income on a year-to-date basis due to share weighting and rounding. |
Significant_Accounting_Policie3
Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Level 3 Proportion to fixed maturities and equity securities | 2.80% | 2.10% | ' |
Private placement corporate bonds managed by a third party | $313,000,000 | $184,000,000 | ' |
Insurance policy charges | 22,124,000 | 23,310,000 | 24,950,000 |
Advertising costs charged to earnings and included in other operating expense | 6,000,000 | 16,000,000 | 16,000,000 |
Capitalized advertising costs | 1,090,000,000 | 1,040,000,000 | ' |
Original cost of property and equipment | 136,000,000 | 125,000,000 | ' |
Accumulated depreciation | 85,000,000 | 79,000,000 | ' |
Depreciation expense | 6,400,000 | 7,100,000 | 6,800,000 |
Loss on sale of real estate | 265,000 | ' | ' |
Write-down of real estate | 2,700,000 | ' | ' |
Carrying value of investment in low-income housing interests | 290,000,000 | 285,000,000 | ' |
Obligations under future commitments for low-income housing interests | 58,000,000 | ' | ' |
Pretax state administrative issue expense | ' | ' | 6,900,000 |
After tax state administrative issue expense | ' | ' | 4,500,000 |
Litigation settlement expense | 9,125,000 | ' | 12,000,000 |
State guaranty fund assessment expense | 1,200,000 | ' | ' |
State guaranty fund assessment expense, After tax | 751,000 | ' | ' |
Life Insurance [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Proportion of future policy reserves which are not universal life type | 0.83 | ' | ' |
Liability for future policy benefits, interest rate assumptions, low end | 2.50% | ' | ' |
Liability for future policy benefits, interest rate assumptions, high end | 7.00% | ' | ' |
Liability for future policy benefits, interest rate assumptions | 5.80% | ' | ' |
Minimum [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Option grants contractual term | '7 years | ' | ' |
Vesting period | '3 years | ' | ' |
Minimum [Member] | Equipment [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Property and equipment, estimated useful life | '3 years | ' | ' |
Minimum [Member] | Building and Building Improvements [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Property and equipment, estimated useful life | '5 years | ' | ' |
Maximum [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Option grants contractual term | '10 years | ' | ' |
Vesting period | '5 years | ' | ' |
Maximum [Member] | Equipment [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Property and equipment, estimated useful life | '10 years | ' | ' |
Maximum [Member] | Building and Building Improvements [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Property and equipment, estimated useful life | '40 years | ' | ' |
Other Assets [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Carrying value of investment in low-income housing interests | 283,000,000 | 275,000,000 | ' |
Other Invested Assets [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Carrying value of investment in low-income housing interests | 7,000,000 | 10,000,000 | ' |
Pre Tax [Member] | Prior Year Litigation Matter [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Litigation settlement expense | 8,600,000 | ' | 12,000,000 |
Pre Tax [Member] | Non-Insurance Matter [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Litigation settlement expense | 500,000 | ' | ' |
After Tax [Member] | Prior Year Litigation Matter [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Litigation settlement expense | 5,600,000 | ' | 7,800,000 |
After Tax [Member] | Non-Insurance Matter [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Litigation settlement expense | $325,000 | ' | ' |
Third Party [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Fair value determined by third party | 99.00% | ' | ' |
7.1% Junior Subordinated Debentures [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Percentage rate of junior subordinated debentures | 7.10% | ' | ' |
Significant_Accounting_Policie4
Significant Accounting Policies - Summary Of Assumptions For Options Granted (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Accounting Policies [Abstract] | ' | ' | ' |
Volatility factor | 38.50% | 39.40% | 42.30% |
Dividend yield | 1.10% | 1.00% | 1.00% |
Expected term (in years) | '5 years 7 months 13 days | '5 years 6 months 18 days | '4 years 7 months 28 days |
Risk-free rate | 1.10% | 1.30% | 2.00% |
Statutory_Accounting_Consolida
Statutory Accounting - Consolidated Net Income And Shareholders' Equity for Insurance Companies (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statutory Accounting Consolidated Net Income And Shareholders Equity For Insurance Companies [Abstract] | ' | ' | ' |
Life insurance subsidiaries, Net Income | $572,509 | $484,327 | $424,738 |
Life insurance subsidiaries, Shareholders' Equity | $1,328,803 | $1,358,047 | ' |
Statutory_Accounting_Additiona
Statutory Accounting - Additional Information (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Statutory Accounting [Abstract] | ' |
Surplus adequate to satisfy regulatory compliance | $437 |
Recovered_Sheet1
Supplemental Information about Changes to Accumulated Other Comprehensive Income - Schedule of Change in Balance by Component of Accumulated Other Comprehensive Income (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated other comprehensive income (loss), Beginning Balance | $925,275 | ' | ' |
Other comprehensive income (loss) before reclassifications, net of tax | -716,918 | ' | ' |
Reclassifications, net of tax | 2,624 | ' | ' |
Other comprehensive income (loss) | -714,294 | 375,359 | 526,824 |
Accumulated other comprehensive income (loss), Ending Balance | 210,981 | 925,275 | ' |
Pension Adjustments [Member] | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated other comprehensive income (loss), Beginning Balance | -109,283 | ' | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 33,992 | ' | ' |
Reclassifications, net of tax | 11,938 | ' | ' |
Other comprehensive income (loss) | 45,930 | ' | ' |
Accumulated other comprehensive income (loss), Ending Balance | -63,353 | ' | ' |
Foreign Exchange [Member] | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated other comprehensive income (loss), Beginning Balance | 26,608 | ' | ' |
Other comprehensive income (loss) before reclassifications, net of tax | -1,742 | ' | ' |
Reclassifications, net of tax | 0 | ' | ' |
Other comprehensive income (loss) | -1,742 | ' | ' |
Accumulated other comprehensive income (loss), Ending Balance | 24,866 | ' | ' |
Deferred Acquisition Costs [Member] | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated other comprehensive income (loss), Beginning Balance | -16,417 | ' | ' |
Other comprehensive income (loss) before reclassifications, net of tax | 9,689 | ' | ' |
Reclassifications, net of tax | 0 | ' | ' |
Other comprehensive income (loss) | 9,689 | ' | ' |
Accumulated other comprehensive income (loss), Ending Balance | -6,728 | ' | ' |
Available for Sale Assets [Member] | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Accumulated other comprehensive income (loss), Beginning Balance | 1,024,367 | ' | ' |
Other comprehensive income (loss) before reclassifications, net of tax | -758,857 | ' | ' |
Reclassifications, net of tax | -9,314 | ' | ' |
Other comprehensive income (loss) | -768,171 | ' | ' |
Accumulated other comprehensive income (loss), Ending Balance | $256,196 | ' | ' |
Recovered_Sheet2
Supplemental Information about Changes to Accumulated Other Comprehensive Income - Summary of Reclassification out of Accumulated Other Comprehensive Income (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Comprehensive Income Loss Reclassification Adjustments [Line Items] | ' | ' | ' |
Amortization of Prior service cost | $2,276 | $2,146 | $2,080 |
Amortization of actuarial (gain) loss | 16,090 | 12,653 | 10,071 |
Total amortization | 18,366 | 14,799 | 12,146 |
Tax | -234,654 | -236,669 | -226,166 |
Tax | -24,732 | 16,894 | 4,887 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustments [Line Items] | ' | ' | ' |
Total after tax | 2,624 | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized gains (losses) on available for sale assets [Member] | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustments [Line Items] | ' | ' | ' |
Realized (gains) losses | -9,606 | ' | ' |
Amortization of (discount) premium | -6,569 | ' | ' |
Total before tax | -16,175 | ' | ' |
Tax | 6,861 | ' | ' |
Total after tax | -9,314 | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Pension adjustments [Member] | ' | ' | ' |
Other Comprehensive Income Loss Reclassification Adjustments [Line Items] | ' | ' | ' |
Amortization of Prior service cost | 2,276 | ' | ' |
Amortization of actuarial (gain) loss | 16,090 | ' | ' |
Total amortization | 18,366 | ' | ' |
Tax | -6,428 | ' | ' |
Total after tax | $11,938 | ' | ' |
Investments_Summary_of_Fixed_M
Investments - Summary of Fixed Maturities and Equity Securities Available for Sale by Component (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 28, 2012 |
In Thousands, unless otherwise specified | |||
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | $12,488,875 | $11,963,406 | ' |
Total Available for Sale Securities Cost | 12,489,750 | ' | 11,978,281 |
Gross Unrealized Gains | 802,229 | ' | 1,667,520 |
Gross Unrealized Losses | -410,962 | ' | -89,041 |
Debt Securities Fair Value | 12,879,133 | 13,541,193 | ' |
Total Available for Sale Securities Fair Value | 12,881,017 | 13,556,760 | 13,556,760 |
Total Available for Sale Amount per the Balance Sheet | 12,881,017 | ' | 13,556,760 |
Equity Securities Cost or Amortized Cost | 875 | 14,875 | ' |
Gross Unrealized Gains | 1,009 | 692 | ' |
Gross Unrealized Losses | 0 | 0 | ' |
Equity Securities Fair Value | 1,884 | 15,567 | ' |
Equity Securities Amount per the Balance Sheet | 1,884 | 15,567 | ' |
Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 12,488,875 | 11,963,406 | ' |
Gross Unrealized Gains | 801,220 | 1,666,828 | ' |
Gross Unrealized Losses | -410,962 | -89,041 | ' |
Debt Securities Fair Value | 12,879,133 | 13,541,193 | ' |
Debt Securities Amount per the Balance Sheet | 12,879,133 | 13,541,193 | ' |
% of Total Fixed Maturities At Fair Value | 100.00% | 100.00% | ' |
U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 428,106 | 492,928 | ' |
Gross Unrealized Gains | 362 | 1,948 | ' |
Gross Unrealized Losses | -75,295 | -4,773 | ' |
Debt Securities Fair Value | 353,173 | 490,103 | ' |
Debt Securities Amount per the Balance Sheet | 353,173 | 490,103 | ' |
% of Total Fixed Maturities At Fair Value | 3.00% | 4.00% | ' |
States, Municipalities, and Political Subdivisions [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 1,278,434 | 1,283,883 | ' |
Gross Unrealized Gains | 69,817 | 173,649 | ' |
Gross Unrealized Losses | -12,947 | -189 | ' |
Debt Securities Fair Value | 1,335,304 | 1,457,343 | ' |
Debt Securities Amount per the Balance Sheet | 1,335,304 | 1,457,343 | ' |
% of Total Fixed Maturities At Fair Value | 10.00% | 11.00% | ' |
Foreign Governments [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 43,811 | 33,577 | ' |
Gross Unrealized Gains | 411 | 988 | ' |
Gross Unrealized Losses | -67 | 0 | ' |
Debt Securities Fair Value | 44,155 | 34,565 | ' |
Debt Securities Amount per the Balance Sheet | 44,155 | 34,565 | ' |
% of Total Fixed Maturities At Fair Value | 0.00% | 0.00% | ' |
Corporates [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 10,133,868 | 9,309,408 | ' |
Gross Unrealized Gains | 702,867 | 1,442,638 | ' |
Gross Unrealized Losses | -300,389 | -55,023 | ' |
Debt Securities Fair Value | 10,536,346 | 10,697,023 | ' |
Debt Securities Amount per the Balance Sheet | 10,536,346 | 10,697,023 | ' |
% of Total Fixed Maturities At Fair Value | 82.00% | 79.00% | ' |
Collateralized Debt Obligations [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 66,173 | 64,622 | ' |
Gross Unrealized Gains | 0 | 0 | ' |
Gross Unrealized Losses | -7,968 | -18,051 | ' |
Debt Securities Fair Value | 58,205 | 46,571 | ' |
Debt Securities Amount per the Balance Sheet | 58,205 | 46,571 | ' |
% of Total Fixed Maturities At Fair Value | 1.00% | 0.00% | ' |
Other Asset-backed Securities [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 35,568 | 43,560 | ' |
Gross Unrealized Gains | 2,699 | 3,708 | ' |
Gross Unrealized Losses | -98 | -401 | ' |
Debt Securities Fair Value | 38,169 | 46,867 | ' |
Debt Securities Amount per the Balance Sheet | 38,169 | 46,867 | ' |
% of Total Fixed Maturities At Fair Value | 0.00% | 0.00% | ' |
Redeemable Preferred Stocks [Member] | Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Debt Securities Cost or Amortized Cost | 502,915 | 735,428 | ' |
Gross Unrealized Gains | 25,064 | 43,897 | ' |
Gross Unrealized Losses | -14,198 | -10,604 | ' |
Debt Securities Fair Value | 513,781 | 768,721 | ' |
Debt Securities Amount per the Balance Sheet | $513,781 | $768,721 | ' |
% of Total Fixed Maturities At Fair Value | 4.00% | 6.00% | ' |
Investments_Schedule_of_Fixed_
Investments - Schedule of Fixed Maturities by Contractual Maturity (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments Debt And Equity Securities [Abstract] | ' | ' |
Fixed maturities available for sale, Amortized Cost - Due in one year or less | $102,473 | ' |
Fixed maturities available for sale, Amortized Cost - Due from one to five years | 494,066 | ' |
Fixed maturities available for sale, Amortized Cost - Due from five to ten years | 911,559 | ' |
Fixed maturities available for sale, Amortized Cost - Due from ten to twenty years | 3,109,054 | ' |
Fixed maturities available for sale, Amortized Cost - Due after twenty years | 7,766,780 | ' |
Mortgage-backed and asset-backed securities, Amortized Cost | 104,943 | ' |
Total fixed maturities available for sale, Amortized Cost | 12,488,875 | 11,963,406 |
Fixed maturities available for sale, Fair Value - Due in one year or less | 104,065 | ' |
Fixed maturities available for sale, Fair Value - Due from one to five years | 538,995 | ' |
Fixed maturities available for sale, Fair Value - Due from five to ten years | 979,502 | ' |
Fixed maturities available for sale, Fair Value - Due from ten to twenty years | 3,303,084 | ' |
Fixed maturities available for sale, Fair Value - Due after twenty years | 7,853,621 | ' |
Mortgage-backed and asset-backed securities, Fair Value | 99,866 | ' |
Debt Securities Fair Value | $12,879,133 | $13,541,193 |
Investments_Schedule_of_Analys
Investments - Schedule of Analysis of Investment Operations (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | $744,969 | $725,755 | $716,556 |
Less investment expense | ' | ' | ' | ' | ' | ' | ' | ' | -35,226 | -32,111 | -23,528 |
Net investment income | 178,284 | 176,656 | 177,964 | 176,839 | 174,947 | 169,400 | 175,176 | 174,121 | 709,743 | 693,644 | 693,028 |
Long-term Debt [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | 1,281 | 2,320 | 2,439 |
Short-term Debt [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | 138 | 311 | 165 |
Fixed Maturities [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | 709,756 | 691,229 | 683,101 |
Equity Securities [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | 323 | 1,178 | 1,558 |
Policy Loans [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment income, gross | ' | ' | ' | ' | ' | ' | ' | ' | $33,471 | $30,717 | $29,293 |
Investments_Realized_Gain_Loss
Investments - Realized Gain (Loss) on Investments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | $1,525 | $4,459 | $5,913 | ($3,907) | $20,883 | $7,283 | $4,661 | $5,006 | $7,990 | $37,833 | $25,904 |
Applicable tax | ' | ' | ' | ' | ' | ' | ' | ' | -4,025 | -13,242 | -9,066 |
Realized gains (losses) from investments, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | 3,965 | 24,591 | 16,838 |
Other Investments [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | -5,148 | 197 | -1,866 |
Loss On Redemption Of Debt [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -4,109 | 0 |
Fixed Maturities [Member] | Sales And Other [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | 13,138 | 47,345 | 27,790 |
Fixed Maturities [Member] | Writedowns [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -5,600 | -20 |
Equity Securities [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | $0 |
Investments_Unrealized_Gain_Lo
Investments - Unrealized Gain (Loss) on Investments (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Investment Securities [Line Items] | ' | ' | ' |
Total unrealized investment gains (losses) | ($1,183,652) | $614,854 | $856,692 |
Equity Securities [Member] | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' |
Total unrealized investment gains (losses) | 317 | -1,489 | -98 |
Fixed Maturities [Member] | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' |
Total unrealized investment gains (losses) | -1,187,529 | 613,826 | 856,424 |
Securities [Member] | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' |
Total unrealized investment gains (losses) | -1,187,212 | 612,337 | 856,326 |
Other Investments [Member] | ' | ' | ' |
Investment Securities [Line Items] | ' | ' | ' |
Total unrealized investment gains (losses) | $3,560 | $2,517 | $366 |
Investments_Assets_Measured_at
Investments - Assets Measured at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 28, 2012 |
In Thousands, unless otherwise specified | |||
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | $12,879,133 | $13,541,193 | ' |
Equity securities | 1,884 | 15,567 | ' |
Total fixed maturities and equity securities | 12,881,017 | 13,556,760 | 13,556,760 |
Percent of total | 100.00% | 100.00% | ' |
Fixed Maturities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 12,879,133 | 13,541,193 | ' |
Fixed Maturities [Member] | U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 353,173 | 490,103 | ' |
Fixed Maturities [Member] | States, Municipalities, and Political Subdivisions [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 1,335,304 | 1,457,343 | ' |
Fixed Maturities [Member] | Foreign Governments [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 44,155 | 34,565 | ' |
Fixed Maturities [Member] | Corporates [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 10,536,346 | 10,697,023 | ' |
Fixed Maturities [Member] | Collateralized Debt Obligations [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 58,205 | 46,571 | ' |
Fixed Maturities [Member] | Other Asset-backed Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 38,169 | 46,867 | ' |
Fixed Maturities [Member] | Redeemable Preferred Stocks [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 513,781 | 768,721 | ' |
Equity Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Equity securities | 1,884 | 15,567 | ' |
Fair Value, Inputs, Level 1 [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Total fixed maturities and equity securities | 70,386 | 175,277 | ' |
Percent of total | 0.50% | 1.30% | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 69,278 | 160,449 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | States, Municipalities, and Political Subdivisions [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | Foreign Governments [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | Corporates [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 47,058 | 31,976 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | Collateralized Debt Obligations [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | Other Asset-backed Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturities [Member] | Redeemable Preferred Stocks [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 22,220 | 128,473 | ' |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Equity securities | 1,108 | 14,828 | ' |
Fair Value, Inputs, Level 2 [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Total fixed maturities and equity securities | 12,451,350 | 13,095,120 | ' |
Percent of total | 96.70% | 96.60% | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 12,451,350 | 13,095,120 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 353,173 | 490,103 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | States, Municipalities, and Political Subdivisions [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 1,335,304 | 1,457,343 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | Foreign Governments [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 44,155 | 34,565 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | Corporates [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 10,188,988 | 10,443,526 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | Collateralized Debt Obligations [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | Other Asset-backed Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 38,169 | 38,886 | ' |
Fair Value, Inputs, Level 2 [Member] | Fixed Maturities [Member] | Redeemable Preferred Stocks [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 491,561 | 630,697 | ' |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Equity securities | 0 | 0 | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 359,281 | ' | ' |
Total fixed maturities and equity securities | 359,281 | 286,363 | ' |
Percent of total | 2.80% | 2.10% | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 358,505 | 285,624 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | States, Municipalities, and Political Subdivisions [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | Foreign Governments [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 0 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | Corporates [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 300,300 | 221,521 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | Collateralized Debt Obligations [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 58,205 | 46,571 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | Other Asset-backed Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 7,981 | ' |
Fair Value, Inputs, Level 3 [Member] | Fixed Maturities [Member] | Redeemable Preferred Stocks [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | 0 | 9,551 | ' |
Fair Value, Inputs, Level 3 [Member] | Equity Securities [Member] | ' | ' | ' |
Fair Value Assets Measured On Recurring Basis [Line Items] | ' | ' | ' |
Equity securities | $776 | $739 | ' |
Investments_Schedule_of_Change
Investments - Schedule of Changes in Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Investment [Line Items] | ' | ' | ' |
Beginning Balance | $286,363 | $49,402 | $104,841 |
Included in realized gains/losses | 0 | 1,482 | -12,542 |
Included in other comprehensive income | -6,697 | 16,774 | 17,856 |
Acquisitions | 129,755 | 183,676 | ' |
Sales | 0 | -13,429 | -13,875 |
Amortization | 2,786 | 3,128 | 3,566 |
Other | -2,121 | 1,536 | 1,442 |
Transfers out of Level 3 | -50,805 | ' | -51,886 |
Transfers into Level 3 | ' | 43,794 | ' |
Ending Balance | 359,281 | 286,363 | 49,402 |
Equities [Member] | ' | ' | ' |
Investment [Line Items] | ' | ' | ' |
Beginning Balance | 739 | 710 | 670 |
Included in realized gains/losses | 0 | 0 | 0 |
Included in other comprehensive income | 37 | 29 | 40 |
Acquisitions | 0 | 0 | ' |
Sales | 0 | 0 | 0 |
Amortization | 0 | 0 | 0 |
Other | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | ' | 0 |
Transfers into Level 3 | ' | 0 | ' |
Ending Balance | 776 | 739 | 710 |
Asset-backed Securities [Member] | ' | ' | ' |
Investment [Line Items] | ' | ' | ' |
Beginning Balance | 7,981 | 7,122 | 8,042 |
Included in realized gains/losses | 0 | 0 | 0 |
Included in other comprehensive income | 426 | 1,078 | -714 |
Acquisitions | 0 | 0 | ' |
Sales | 0 | 0 | 0 |
Amortization | -57 | -219 | -206 |
Other | 0 | 0 | 0 |
Transfers out of Level 3 | -8,350 | ' | 0 |
Transfers into Level 3 | ' | 0 | ' |
Ending Balance | 0 | 7,981 | 7,122 |
Collateralized Debt Obligations [Member] | ' | ' | ' |
Investment [Line Items] | ' | ' | ' |
Beginning Balance | 46,571 | 30,320 | 22,456 |
Included in realized gains/losses | 0 | 0 | 0 |
Included in other comprehensive income | 10,083 | 12,067 | 3,952 |
Acquisitions | 0 | 0 | ' |
Sales | 0 | 0 | 0 |
Amortization | 2,838 | 2,648 | 2,470 |
Other | -1,287 | 1,536 | 1,442 |
Transfers out of Level 3 | 0 | ' | 0 |
Transfers into Level 3 | ' | 0 | ' |
Ending Balance | 58,205 | 46,571 | 30,320 |
Corporates [Member] | ' | ' | ' |
Investment [Line Items] | ' | ' | ' |
Beginning Balance | 231,072 | 11,250 | 73,673 |
Included in realized gains/losses | 0 | 1,482 | -12,542 |
Included in other comprehensive income | -17,243 | 3,600 | 14,578 |
Acquisitions | 129,755 | 183,676 | ' |
Sales | 0 | -13,429 | -13,875 |
Amortization | 5 | 699 | 1,302 |
Other | -834 | 0 | 0 |
Transfers out of Level 3 | -42,455 | ' | -51,886 |
Transfers into Level 3 | ' | 43,794 | ' |
Ending Balance | $300,300 | $231,072 | $11,250 |
Investments_Schedule_of_Select
Investments - Schedule of Selected Information about Sales of Fixed Maturities (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Proceeds from sales | $133,463 | $345,601 | $224,335 |
Fixed Maturities [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Proceeds from sales | 133,463 | 345,601 | 236,662 |
Gross realized gains | 5,948 | 40,851 | 28,249 |
Gross realized losses | ($1,310) | ($2,477) | ($24,323) |
Investments_Schedule_of_Select1
Investments - Schedule of Selected Information about Sales of Fixed Maturities (Parenthetical) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Investments Debt And Equity Securities [Abstract] | ' |
Proceeds from unsettled trades | $12.30 |
Investments_Quantitative_Infor
Investments - Quantitative Information about Level 3 Fair Value Measurements (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | Fair Value, Inputs, Level 3 [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Inputs, Level 3 [Member] | Weighted Average [Member] | Weighted Average [Member] | ||
Other Investments [Member] | Collateralized Debt Obligations [Member] | Private Placement Bonds [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Third-party Pricing Without Adjustment [Member] | Discounted Cash Flows Valuation Technique [Member] | Discounted Cash Flows Valuation Technique [Member] | Collateralized Debt Obligations [Member] | Private Placement Bonds [Member] | ||||
Discounted Cash Flows Valuation Technique [Member] | Discounted Cash Flows Valuation Technique [Member] | |||||||
Quantitative Information About Significant Unobservable Inputs [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value fixed maturities measured on recurring basis | $12,879,133 | $13,541,193 | $359,281 | $776 | $58,205 | $300,300 | ' | ' |
Discount rate | ' | ' | ' | ' | 15.00% | ' | 15.00% | ' |
Credit rating | ' | ' | ' | ' | ' | 'BBB- to A+ | ' | 'BBB |
Investments_Transfers_in_and_O
Investments - Transfers in and Out of Each of Valuation Levels of Fair Values (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Fair Value, Inputs, Level 1 [Member] | ' | ' | ' |
Transfers In And Out Of Each Of The Valuation Levels Of Fair Values Of Investments[Line Items] | ' | ' | ' |
Transfers In | $19,416 | $48,536 | $0 |
Transfers Out | 0 | 0 | 0 |
Transfers Net | 19,416 | 48,536 | 0 |
Fair Value, Inputs, Level 2 [Member] | ' | ' | ' |
Transfers In And Out Of Each Of The Valuation Levels Of Fair Values Of Investments[Line Items] | ' | ' | ' |
Transfers In | 50,805 | 0 | 51,886 |
Transfers Out | -19,416 | -92,330 | 0 |
Transfers Net | 31,389 | -92,330 | 51,886 |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ' |
Transfers In And Out Of Each Of The Valuation Levels Of Fair Values Of Investments[Line Items] | ' | ' | ' |
Transfers In | 0 | 43,794 | 0 |
Transfers Out | -50,805 | 0 | -51,886 |
Transfers Net | ($50,805) | $43,794 | ($51,886) |
Investments_Writedowns_for_Oth
Investments - Writedowns for Other-than-Temporary Impairments (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Than Temporary Impairment Losses Recognized [Line Items] | ' | ' | ' |
Writedowns for Other-Than-Temporary Impairments, Net Income, Pre-tax | $0 | $5,600 | $20 |
Writedowns for Other-Than-Temporary Impairments, Net Income, After tax | 0 | 3,640 | 13 |
Writedowns for Other-Than-Temporary Impairments, Other Comprehensive Income, Pre-tax | 0 | 0 | 0 |
Writedowns for Other-Than-Temporary Impairments, Other Comprehensive Income, After tax | 0 | 0 | 0 |
Collateralized Debt Obligations [Member] | ' | ' | ' |
Other Than Temporary Impairment Losses Recognized [Line Items] | ' | ' | ' |
Writedowns for Other-Than-Temporary Impairments, Net Income, Pre-tax | 0 | 0 | 0 |
Writedowns for Other-Than-Temporary Impairments, Other Comprehensive Income, Pre-tax | 0 | 0 | 0 |
Corporate Bonds [Member] | ' | ' | ' |
Other Than Temporary Impairment Losses Recognized [Line Items] | ' | ' | ' |
Writedowns for Other-Than-Temporary Impairments, Net Income, Pre-tax | 0 | 5,600 | 20 |
Writedowns for Other-Than-Temporary Impairments, Other Comprehensive Income, Pre-tax | $0 | $0 | $0 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Investment [Line Items] | ' | ' | ' | ' |
Written down securities carried at fair value | $42,000,000 | ' | ' | ' |
Balances related to bifurcated credit loss positions included in other comprehensive income | 22,000,000 | 22,000,000 | 22,000,000 | ' |
Unrealized gain (loss) on investments | 390,000,000 | 1,600,000,000 | 964,000,000 | 108,000,000 |
Percentage of portfolio in financial assets at fair value | 26.00% | ' | ' | ' |
Percentage of portfolio in financial assets at amortized cost | 25.00% | ' | ' | ' |
Total issues of fixed-maturities and equities | 1,619 | 1,630 | ' | ' |
Estimated fair value of mortgage loans | ' | 500,000 | ' | ' |
Accumulated depreciation on investment real estate | 1,700,000 | 2,100,000 | ' | ' |
Non-income producing fixed maturities at book value | 125,000 | ' | ' | ' |
Non-income producing fixed maturities at fair value | 126,000 | ' | ' | ' |
Financial Sector [Member] | ' | ' | ' | ' |
Investment [Line Items] | ' | ' | ' | ' |
Unrealized gain (loss) on investments | 180,000,000 | 339,000,000 | ' | ' |
Other Sectors [Member] | ' | ' | ' | ' |
Investment [Line Items] | ' | ' | ' | ' |
Unrealized gain (loss) on investments | $210,000,000 | $1,200,000,000 | ' | ' |
Investments_Schedule_of_Unreal
Investments - Schedule of Unrealized Investment Losses by Class of Investment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fixed Maturities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | $3,227,467 | $1,156,351 |
Fair Value, Twelve Months or Longer | 834,186 | 570,465 |
Fair Value, Total | 4,061,653 | 1,726,816 |
Unrealized Loss Less Than Twelve Months | -255,618 | -20,696 |
Unrealized Loss Twelve Months or Longer | -155,344 | -68,345 |
Unrealized Loss Total | -410,962 | -89,041 |
U.S. Government Direct, Guaranteed, and Government-Sponsored Enterprises [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 242,144 | 316,596 |
Fair Value, Twelve Months or Longer | 87,977 | 199 |
Fair Value, Total | 330,121 | 316,795 |
Unrealized Loss Less Than Twelve Months | -42,885 | -4,770 |
Unrealized Loss Twelve Months or Longer | -32,410 | -3 |
Unrealized Loss Total | -75,295 | -4,773 |
States, Municipalities, and Political Subdivisions [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 167,660 | 26,206 |
Fair Value, Twelve Months or Longer | 1,619 | 0 |
Fair Value, Total | 169,279 | 26,206 |
Unrealized Loss Less Than Twelve Months | -12,807 | -189 |
Unrealized Loss Twelve Months or Longer | -140 | 0 |
Unrealized Loss Total | -12,947 | -189 |
Foreign Governments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 11,966 | 0 |
Fair Value, Twelve Months or Longer | 0 | 0 |
Fair Value, Total | 11,966 | 0 |
Unrealized Loss Less Than Twelve Months | -67 | 0 |
Unrealized Loss Twelve Months or Longer | 0 | 0 |
Unrealized Loss Total | -67 | 0 |
Corporates [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 2,692,494 | 761,477 |
Fair Value, Twelve Months or Longer | 600,350 | 343,987 |
Fair Value, Total | 3,292,844 | 1,105,464 |
Unrealized Loss Less Than Twelve Months | -196,139 | -15,339 |
Unrealized Loss Twelve Months or Longer | -104,250 | -39,684 |
Unrealized Loss Total | -300,389 | -55,023 |
Collateralized Debt Obligations [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 0 | 0 |
Fair Value, Twelve Months or Longer | 58,080 | 46,446 |
Fair Value, Total | 58,080 | 46,446 |
Unrealized Loss Less Than Twelve Months | 0 | 0 |
Unrealized Loss Twelve Months or Longer | -7,968 | -18,051 |
Unrealized Loss Total | -7,968 | -18,051 |
Other Asset-backed Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 6,974 | 7,940 |
Fair Value, Twelve Months or Longer | 3,873 | 7,981 |
Fair Value, Total | 10,847 | 15,921 |
Unrealized Loss Less Than Twelve Months | -26 | -88 |
Unrealized Loss Twelve Months or Longer | -72 | -313 |
Unrealized Loss Total | -98 | -401 |
Redeemable Preferred Stocks [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 106,229 | 44,132 |
Fair Value, Twelve Months or Longer | 82,287 | 171,852 |
Fair Value, Total | 188,516 | 215,984 |
Unrealized Loss Less Than Twelve Months | -3,694 | -310 |
Unrealized Loss Twelve Months or Longer | -10,504 | -10,294 |
Unrealized Loss Total | ($14,198) | ($10,604) |
Investments_Schedule_of_Additi
Investments - Schedule of Additional Information about Investments in Unrealized Loss Position (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Investments Debt And Equity Securities [Abstract] | ' | ' |
Number of issues (Cusip numbers) held, Less than Twelve Months | 462 | 195 |
Number of issues (Cusip numbers) held, Twelve Months or Longer | 130 | 95 |
Number of issues (Cusip numbers) held, Total | 592 | 290 |
Investments_Schedule_of_Other_
Investments - Schedule of Other Long-Term Investments (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment [Line Items] | ' | ' |
Other long-term investments | $13,207 | $18,539 |
Mortgage Loans, At Cost [Member] | ' | ' |
Investment [Line Items] | ' | ' |
Other long-term investments | 0 | 514 |
Investment Real Estate, At Depreciated Cost [Member] | ' | ' |
Investment [Line Items] | ' | ' |
Other long-term investments | 203 | 2,816 |
Low-Income Housing Interests [Member] | ' | ' |
Investment [Line Items] | ' | ' |
Other long-term investments | 7,589 | 9,875 |
Other [Member] | ' | ' |
Investment [Line Items] | ' | ' |
Other long-term investments | $5,415 | $5,334 |
Deferred_Acquisition_Costs_Sch
Deferred Acquisition Costs - Schedule of Analysis Deferred Acquisition Costs (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Insurance [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Acquisition Costs, Balance at beginning of year | ' | ' | ' | $3,198,431 | ' | ' | ' | $2,916,732 | $3,198,431 | $2,916,732 | $2,869,546 |
Deferred Acquisition Costs, Commissions | ' | ' | ' | ' | ' | ' | ' | ' | 331,060 | 312,581 | 283,961 |
Deferred Acquisition Costs, Other expenses | ' | ' | ' | ' | ' | ' | ' | ' | 193,203 | 168,237 | 157,864 |
Deferred Acquisition Costs, Total deferred costs | ' | ' | ' | ' | ' | ' | ' | ' | 524,263 | 480,818 | 441,825 |
Deferred Acquisition Costs, Value of insurance purchased during year | ' | ' | ' | ' | ' | ' | ' | ' | 8,489 | 175,257 | 0 |
Deferred Acquisition Costs, Foreign exchange adjustment | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 3,557 | 0 |
Deferred Acquisition Costs, Adjustment attributable to unrealized investment losses | ' | ' | ' | ' | ' | ' | ' | ' | 14,906 | 7,234 | 0 |
Deferred Acquisition Costs, Total additions | ' | ' | ' | ' | ' | ' | ' | ' | -547,658 | -666,866 | -441,825 |
Deferred Acquisition Costs, Amortized during period | -100,743 | -98,444 | -102,488 | -101,714 | -98,052 | -94,016 | -96,601 | -96,498 | -403,389 | -385,167 | -364,583 |
Deferred Acquisition Costs, Foreign exchange adjustment | ' | ' | ' | ' | ' | ' | ' | ' | -5,051 | 0 | -1,765 |
Deferred Acquisition Costs, Adjustment attributable to unrealized investment gains | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -28,291 |
Deferred Acquisition Costs, Total deductions | ' | ' | ' | ' | ' | ' | ' | ' | -408,440 | -385,167 | -394,639 |
Deferred Acquisition Costs, Balance at end of period | $3,337,649 | ' | ' | ' | $3,198,431 | ' | ' | ' | $3,337,649 | $3,198,431 | $2,916,732 |
Acquisition_Additional_Informa
Acquisition - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 1 Months Ended | 2 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Nov. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Family Heritage [Member] | Family Heritage [Member] | Family Heritage [Member] | Family Heritage [Member] | ||||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business acquisition purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $234,000,000 | ' | ' | ' |
Debt assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,000,000 | ' | ' | ' |
Fair value of debt securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,000,000 | ' | ' | ' |
Purchase price funded with cash | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 214,000,000 | ' | ' | ' |
Acquisition expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,944,000 | ' | ' | ' | ' | 2,900,000 |
Acquisition expenses net of tax | ' | ' | ' | ' | ' | ' | ' | ' | -522,000 | 1,914,000 | 0 | ' | ' | ' | 1,900,000 |
Adjustment for finalization of accounting for a business combination pretax | 100,743,000 | 98,444,000 | 102,488,000 | 101,714,000 | 98,052,000 | 94,016,000 | 96,601,000 | 96,498,000 | 403,389,000 | 385,167,000 | 364,583,000 | ' | ' | 1,519,000 | ' |
Adjustment for finalization of accounting for a business combination after tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 522,000 | ' |
Increase in policy holder benefit reserve | ' | ' | ' | ' | ' | ' | ' | ' | 578,217,000 | 497,306,000 | 431,362,000 | ' | ' | 8,500,000 | ' |
Increase in deferred acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' |
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33,000,000 | ' | ' |
Net Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,100,000 | ' | ' |
Acquisition_Summary_of_Net_Ass
Acquisition - Summary of Net Assets Acquired (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 01, 2012 |
In Thousands, unless otherwise specified | |||
Assets acquired: | ' | ' | ' |
Investments | ' | ' | $591,947 |
Cash | ' | ' | 27,323 |
Value of insurance purchased | ' | ' | 175,257 |
Goodwill | 441,591 | 441,591 | 44,700 |
Other assets | ' | ' | 45,573 |
Total assets | ' | ' | 884,800 |
Liabilities assumed: | ' | ' | ' |
Policy liabilities | ' | ' | 643,306 |
Other liabilities | ' | ' | 7,747 |
Total liabilities | ' | ' | 651,053 |
Total net assets acquired | ' | ' | $233,747 |
Acquisition_Supplemental_Unaud
Acquisition - Supplemental Unaudited Pro Forma Information (Detail) (Family Heritage [Member], USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2011 |
Family Heritage [Member] | ' | ' |
Business Acquisition, Pro Forma Information [Line Items] | ' | ' |
Revenues | $197,174 | $180,155 |
Net income | $13,220 | $12,107 |
Net income per diluted share | $0.14 | $0.11 |
Liability_for_Unpaid_Health_Cl2
Liability for Unpaid Health Claims - Summary of Liability for Unpaid Health Claims (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Insurance [Abstract] | ' | ' | ' |
Balance at beginning of year | $104,870 | $103,517 | $100,598 |
Acquisition of Family Heritage | 0 | 11,700 | 0 |
Incurred related to Current year | 720,490 | 704,934 | 628,137 |
Incurred related to Prior years | -11,594 | -17,531 | -10,644 |
Total incurred | 708,896 | 687,403 | 617,493 |
Paid related to Current year | 636,150 | 627,495 | 538,910 |
Paid related to Prior years | 75,897 | 70,255 | 75,664 |
Total paid | 712,047 | 697,750 | 614,574 |
Balance at end of year | $101,719 | $104,870 | $103,517 |
Income_Taxes_Components_of_Inc
Income Taxes - Components of Income Taxes (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Income tax expense from continuing operations | $234,654 | $236,669 | $226,166 |
Income tax expense (benefit) from discontinued operations | 0 | 0 | -467 |
Other comprehensive income (loss) | -386,752 | 201,950 | 284,355 |
Tax basis compensation expense (from the exercise of stock options and vesting of restricted stock awards) in excess of amounts recognized for financial reporting purposes | -21,314 | -22,602 | -13,121 |
Income tax expense, Total | ($173,412) | $416,017 | $496,933 |
Income_Taxes_Income_Taxes_Expe
Income Taxes - Income Taxes Expense from Continuing Operations (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Current income tax expense | $176,427 | $161,332 | $169,500 |
Deferred income tax expense | 58,227 | 75,337 | 56,666 |
Income tax expense | $234,654 | $236,669 | $226,166 |
Income_Taxes_Summary_of_Effect
Income Taxes - Summary of Effective Income Tax Rate (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Expected income taxes | $267,094 | $268,098 | $253,324 |
Tax-exempt investment income | -3,107 | -3,506 | -3,468 |
Low income housing investments | -32,417 | -28,877 | -24,258 |
Other | 3,084 | 954 | 568 |
Income tax expense | $234,654 | $236,669 | $226,166 |
Expected income taxes | 35.00% | 35.00% | 35.00% |
Tax-exempt investment income | -0.40% | -0.40% | -0.50% |
Low income housing investments | -4.20% | -3.80% | -3.40% |
Other | 0.40% | 0.10% | 0.10% |
Income tax expense | 30.80% | 30.90% | 31.20% |
Income_Taxes_Significant_Porti
Income Taxes - Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Fixed maturity investments | $16,868 | $22,387 |
Carryover of tax losses | 11,415 | 14,177 |
Other assets | 0 | 4,084 |
Total gross deferred tax assets | 28,283 | 40,648 |
Unrealized gains | 92,772 | 481,804 |
Employee and agent compensation | 68,911 | 65,877 |
Deferred acquisition costs | 829,032 | 791,254 |
Future policy benefits, unearned and advance premiums, and policy claims | 315,291 | 311,366 |
Other Liabilities | 1,126 | 0 |
Total gross deferred tax liabilities | 1,307,132 | 1,650,301 |
Net deferred tax liability | $1,278,849 | $1,609,653 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Operating loss carryforwards | $32,600,000 | ' | ' |
Recognized interest income, net of Federal income tax expense | 0 | 56,000 | 0 |
Amount of accrued interest or penalties | $0 | $0 | ' |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Beginning and Ending Amount of Uncertain Tax Positions (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Balance at January 1, | $0 | $0 | $875 |
Increase based on tax positions taken in current period | 0 | 0 | 0 |
Increase related to tax positions taken in prior periods | 0 | 0 | 0 |
Decrease related to tax positions taken in prior periods | 0 | 0 | -875 |
Decrease due to settlements | 0 | 0 | 0 |
Balance at December 31, | $0 | $0 | $0 |
Postretirement_Benefits_Total_
Postretirement Benefits - Total Cost of Retirement Plans Charged to Operations (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Defined Contribution Plans | $3,373 | $3,668 | $3,552 |
Defined Benefit Pension Plans | $33,122 | $26,007 | $20,952 |
Postretirement_Benefits_Additi
Postretirement Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Defined benefit plan contributions | $10,300,000 | $8,200,000 | $8,600,000 |
Insurance premium paid for supplemental pension plan | 2,900,000 | 1,700,000 | 3,900,000 |
Insurance cash value of supplemental pension plan | 22,000,000 | 18,000,000 | ' |
Cash deposited into Rabbi Trust | 6,000,000 | 5,000,000 | 5,000,000 |
Insurance cash value and Rabbi Trust investments supporting supplemental pension plan liability | 66,000,000 | 54,000,000 | ' |
Unqualified supplemental retirement pension plan liability | 58,000,000 | 59,000,000 | ' |
Liability for closed supplemental retirement pension plans | 3,000,000 | 3,000,000 | ' |
Maximum allowed investment percentage in any single issuer in pension plan assets at time of purchase | 10.00% | ' | ' |
Maximum [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Contributions to benefit plans, future | 20,000,000 | ' | ' |
Supplemental Employee Retirement Plans, Defined Benefit [Member] | Maximum [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Capped eligible compensation | 1,000,000 | ' | ' |
Funded Defined Benefit Pension Plans [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Accumulated benefit obligation | 295,000,000 | 321,000,000 | ' |
Unfunded Plans [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Accumulated benefit obligation | $52,000,000 | $52,000,000 | ' |
Postretirement_Benefits_Pensio
Postretirement Benefits - Pension Assets by Components at Fair Value (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | $291,753 | $277,641 |
Total percentage | 100.00% | 100.00% |
Equity Securities [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 115,287 | 89,833 |
Total percentage | 38.00% | 32.00% |
Corporate Bonds [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 147,445 | 169,817 |
Total percentage | 51.00% | 61.00% |
Short-term Investments [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,318 | 2,218 |
Total percentage | 5.00% | 1.00% |
Equity Securities, Financial [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 35,807 | 26,174 |
Total percentage | 12.00% | 9.00% |
Equity Securities, Consumer Cyclical [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 17,915 | ' |
Total percentage | 6.00% | ' |
Equity Securities, Energy [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,816 | ' |
Total percentage | 5.00% | ' |
Equity Securities, Consumer, Non-Cyclical [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,187 | 15,894 |
Total percentage | 4.00% | 6.00% |
Equity Securities, Technology [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,055 | 13,332 |
Total percentage | 4.00% | 5.00% |
Equity Securities, Depository Institutions [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 10,523 | ' |
Total percentage | 3.00% | ' |
Equity Securities Industrial [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | ' | 10,353 |
Total percentage | ' | 4.00% |
Equity Securities, General Merchandise Stores [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | ' | 11,197 |
Total percentage | ' | 4.00% |
Equity Securities, Other [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 10,984 | 12,883 |
Total percentage | 4.00% | 4.00% |
Other Bonds [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 267 | 327 |
Total percentage | 0.00% | 0.00% |
Guaranteed Annuity Contract [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,769 | 13,277 |
Total percentage | 5.00% | 5.00% |
Other [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 1,667 | 2,169 |
Total percentage | 1.00% | 1.00% |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 129,441 | 98,512 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 114,456 | 89,833 |
Fair Value, Inputs, Level 1 [Member] | Corporate Bonds [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 0 | 4,292 |
Fair Value, Inputs, Level 1 [Member] | Short-term Investments [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,318 | 2,218 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Financial [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 35,807 | 26,174 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Consumer Cyclical [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 17,915 | ' |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Energy [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,816 | ' |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Consumer, Non-Cyclical [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,187 | 15,894 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Technology [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,055 | 13,332 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Depository Institutions [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 10,523 | ' |
Fair Value, Inputs, Level 1 [Member] | Equity Securities Industrial [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | ' | 10,353 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, General Merchandise Stores [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | ' | 11,197 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities, Other [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 10,153 | 12,883 |
Fair Value, Inputs, Level 1 [Member] | Other [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 1,667 | 2,169 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 162,312 | 179,129 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 831 | ' |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 147,445 | 165,525 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities, Other [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 831 | ' |
Fair Value, Inputs, Level 2 [Member] | Other Bonds [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 267 | 327 |
Fair Value, Inputs, Level 2 [Member] | Guaranteed Annuity Contract [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | 13,769 | 13,277 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Schedule of Pension and Other Postretirerment Plan Assets by Fair Value [Line Items] | ' | ' |
Defined benefit pension plans-Fair value of plan assets | $0 | $0 |
Postretirement_Benefits_Weight
Postretirement Benefits - Weighted Average Pension Plan Assumptions and Weighted Average Assumptions for Post-Retirement Benefit Plans Other Than Pensions (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Pension Benefits [Member] | ' | ' | ' |
Weighted Average Pension Plan Assumptions and Weighted Average Assumptions For Post Retirement Benefit Plans Other Than Pensions [Line Items] | ' | ' | ' |
Benefit Obligations, Discount Rate | 5.12% | 4.18% | ' |
Benefit Obligations, Rate of Compensation Increase | 4.35% | 4.40% | ' |
Periodic Benefit Cost, Discount Rate | 4.18% | 5.09% | 5.77% |
Periodic Benefit Cost, Expected Long-Term Returns | 6.96% | 7.20% | 7.24% |
Periodic Benefit Cost, Rate of Compensation Increase | 4.40% | 4.04% | 4.00% |
Other Benefits [Member] | ' | ' | ' |
Weighted Average Pension Plan Assumptions and Weighted Average Assumptions For Post Retirement Benefit Plans Other Than Pensions [Line Items] | ' | ' | ' |
Benefit Obligations, Discount Rate | 5.12% | 4.18% | ' |
Periodic Benefit Cost, Discount Rate | 4.18% | 5.09% | 5.77% |
Postretirement_Benefits_Compon
Postretirement Benefits - Components of Net Periodic Pension Costs and Post-Retirement Benefit Costs (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Net periodic pension cost | $33,122 | $26,007 | $20,952 |
Pension Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 14,984 | 11,215 | 9,277 |
Interest cost on benefit obligation | 17,043 | 16,796 | 16,106 |
Expected return on assets | -17,429 | -17,114 | -16,068 |
Net amortization | 18,143 | 14,799 | 11,331 |
Recognition of net actuarial (gain) loss | 381 | 311 | 306 |
Net periodic pension cost | 33,122 | 26,007 | 20,952 |
Other Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Service cost | 354 | 392 | 919 |
Interest cost on benefit obligation | 1,030 | 1,020 | 999 |
Expected return on assets | 0 | 0 | 0 |
Net amortization | 224 | 0 | 0 |
Recognition of net actuarial (gain) loss | 0 | 0 | -815 |
Net periodic pension cost | $1,608 | $1,412 | $1,103 |
Postretirement_Benefits_Analys
Postretirement Benefits - Analysis of Impact on Other Comprehensive Income (Loss) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Balance at January 1 | ($168,129) | ($119,863) | ($105,903) |
Amortization of Prior service cost | 2,276 | 2,146 | 2,080 |
Amortization of Net actuarial (gain) loss | 16,090 | 12,653 | 10,071 |
Amortization of Transition obligation | 0 | 0 | -5 |
Total amortization | 18,366 | 14,799 | 12,146 |
Plan amendments | 0 | -3,452 | 0 |
Experience gain (loss) | 52,296 | -59,613 | -26,106 |
Balance at December 31 | ($97,467) | ($168,129) | ($119,863) |
Postretirement_Benefits_Analys1
Postretirement Benefits - Analysis of Impact on Other Comprehensive Income (Loss) (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Amortization of postretirement benefits other than pensions | ($16,090) | ($12,653) | ($10,071) |
Other Benefits [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Amortization of postretirement benefits other than pensions | $224 | ' | ' |
Postretirement_Benefits_Reconc
Postretirement Benefits - Reconciliation of Benefit Obligation and Plan Assets, Pension Benefits (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Changes in plan assets: | ' | ' | ' |
Fair value at beginning of year | $277,641 | ' | ' |
Contributions | 10,300 | 8,200 | 8,600 |
Fair value at end of year | 291,753 | 277,641 | ' |
Pension Benefits [Member] | ' | ' | ' |
Changes in benefit obligation: | ' | ' | ' |
Obligation at beginning of year | 414,921 | 331,609 | ' |
Service cost | 14,984 | 11,215 | 9,277 |
Interest cost | 17,043 | 16,796 | 16,106 |
Actuarial loss (gain) | -45,258 | 67,949 | ' |
Plan amendments | 0 | 3,452 | ' |
Benefits paid | -17,831 | -16,100 | ' |
Obligation at end of year | 383,859 | 414,921 | 331,609 |
Changes in plan assets: | ' | ' | ' |
Fair value at beginning of year | 277,641 | 258,067 | ' |
Return on assets | 21,613 | 27,493 | ' |
Contributions | 10,330 | 8,181 | ' |
Benefits paid | -17,831 | -16,100 | ' |
Fair value at end of year | 291,753 | 277,641 | 258,067 |
Funded status at year end | ($92,106) | ($137,280) | ' |
Postretirement_Benefits_Schedu
Postretirement Benefits - Schedule of Amounts Recognized in Accumulated Other Comprehensive Income (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Schedule of Pension and Other Postretirement Benefits Recognized in Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Net amounts recognized at year end | ($97,467) | ($168,129) | ($119,863) | ($105,903) |
Pension Benefits [Member] | ' | ' | ' | ' |
Schedule of Pension and Other Postretirement Benefits Recognized in Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Net loss (gain) | 90,878 | 156,567 | ' | ' |
Prior service cost | 5,476 | 7,752 | ' | ' |
Transition obligation | 0 | 0 | ' | ' |
Net amounts recognized at year end | $96,354 | $164,319 | ' | ' |
Postretirement_Benefits_Portio
Postretirement Benefits - Portion of Other Comprehensive Income Expected to Be Reflected in Pension Expense in Next Year (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Compensation And Retirement Disclosure [Abstract] | ' |
Amortization of prior service cost | $2,113 |
Amortization of net loss (gain) | 8,172 |
Amortization of transition obligation | 0 |
Total | $10,285 |
Postretirement_Benefits_Estima
Postretirement Benefits - Estimated Future Payments for Pension Benefits and Other Postretirement Benefit Plans (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Other Benefits [Member] | ' |
Pension and Postretirement Benefits [Abstract] | ' |
2014 | $899 |
2015 | 1,007 |
2016 | 1,130 |
2017 | 1,313 |
2018 | 1,516 |
2019-2023 | 8,227 |
Pension Benefits [Member] | ' |
Pension and Postretirement Benefits [Abstract] | ' |
2014 | 14,973 |
2015 | 16,759 |
2016 | 18,048 |
2017 | 19,847 |
2018 | 21,183 |
2019-2023 | $129,331 |
Postretirement_Benefits_Reconc1
Postretirement Benefits - Reconciliation of Benefit Obligation and Plan Assets, Other Benefits (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Changes in plan assets: | ' | ' | ' | ' |
Contributions | $10,300 | $8,200 | $8,600 | ' |
Net amounts recognized at year end | -97,467 | -168,129 | -119,863 | -105,903 |
Other Benefits [Member] | ' | ' | ' | ' |
Changes in benefit obligation: | ' | ' | ' | ' |
Obligation at beginning of year | 22,367 | 19,008 | ' | ' |
Service cost | 354 | 392 | 919 | ' |
Interest cost | 1,030 | 1,020 | 999 | ' |
Actuarial loss (gain) | -2,475 | 2,358 | ' | ' |
Benefits paid | -416 | -411 | ' | ' |
Obligation at end of year | 20,860 | 22,367 | 19,008 | ' |
Changes in plan assets: | ' | ' | ' | ' |
Fair value at beginning of year | 0 | 0 | ' | ' |
Return on assets | 0 | 0 | ' | ' |
Contributions | 416 | 411 | ' | ' |
Benefits paid | -416 | -411 | ' | ' |
Fair value at end of year | 0 | 0 | 0 | ' |
Funded status at year end | -20,860 | -22,367 | ' | ' |
Net loss | 1,113 | 3,812 | ' | ' |
Net amounts recognized at year end | $1,113 | $3,812 | ' | ' |
Supplemental_Disclosures_of_Ca2
Supplemental Disclosures of Cash Flow Information - Summary of Noncash Transactions (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Significant Noncash Transactions [Line Items] | ' | ' | ' |
Stock-based compensation not involving cash | $25,642 | $21,605 | $14,954 |
Commitments for low-income housing interests | 42,525 | 29,759 | 36,722 |
Capitalized investment income | 806 | 1,537 | 5,321 |
Debt assumed to acquire Family Heritage | 0 | 20,000 | 0 |
Parent Company [Member] | ' | ' | ' |
Other Significant Noncash Transactions [Line Items] | ' | ' | ' |
Stock-based compensation not involving cash | 25,642 | 21,605 | 14,954 |
Debt assumed to acquire Family Heritage | $0 | $20,000 | $0 |
Supplemental_Disclosures_of_Ca3
Supplemental Disclosures of Cash Flow Information - Summary of Amount Paid (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Supplemental Cash Flow Elements [Abstract] | ' | ' | ' |
Interest paid | $81,322 | $77,686 | $75,653 |
Income taxes paid | $139,091 | $89,061 | $188,510 |
Debt_Selected_Information_abou
Debt - Selected Information about Debt Issues (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 24, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | $1,232,399 | ' |
Less current maturity of long-term debt, fair value | ' | 0 | ' |
Total long-term debt, fair value | ' | 1,360,461 | 1,191,320 |
Total short-term debt, fair value | ' | 229,070 | ' |
Outstanding Principal (Fair Value) | ' | 1,360,461 | ' |
Total long-term debt, book value | ' | 990,865 | 989,686 |
Total short-term debt, book value | ' | 229,070 | 319,043 |
Outstanding Principal (Book Value) | ' | 1,219,935 | 1,308,729 |
Notes, Due 5/15/23 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | ' | 7.88% | ' |
Debt instrument, maturity date | ' | 15-May-23 | ' |
Issue Date | ' | '1993-05 | ' |
Periodic Interest Payments Due | ' | '5/15 & 11/15 | ' |
Outstanding Principal (Par Value) | ' | 165,612 | ' |
Outstanding Principal (Fair Value) | ' | 204,489 | ' |
Outstanding Principal (Book Value) | ' | 163,609 | 163,471 |
Notes, Due 8/1/13 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | ' | 7.38% | ' |
Debt instrument, maturity date | ' | 1-Aug-13 | ' |
Issue Date | ' | '1993-07 | ' |
Periodic Interest Payments Due | ' | '2/1 & 8/1 | ' |
Outstanding Principal (Par Value) | ' | 0 | ' |
Outstanding Principal (Fair Value) | ' | 0 | ' |
Outstanding Principal (Book Value) | ' | 0 | 93,956 |
Senior Notes, Due 6/15/16 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | ' | 6.38% | ' |
Debt instrument, maturity date | ' | 15-Jun-16 | ' |
Issue Date | ' | '2006-06 | ' |
Periodic Interest Payments Due | ' | '6/15 & 12/15 | ' |
Outstanding Principal (Par Value) | ' | 250,000 | ' |
Outstanding Principal (Fair Value) | ' | 277,185 | ' |
Outstanding Principal (Book Value) | ' | 248,753 | 248,300 |
Senior Notes, Due 6/15/19 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | ' | 9.25% | ' |
Debt instrument, maturity date | ' | 15-Jun-19 | ' |
Issue Date | ' | '2009-06 | ' |
Periodic Interest Payments Due | ' | '6/15 & 12/15 | ' |
Outstanding Principal (Par Value) | ' | 292,647 | ' |
Outstanding Principal (Fair Value) | ' | 376,089 | ' |
Outstanding Principal (Book Value) | ' | 290,268 | 289,950 |
Senior Notes, Due 9/15/22 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | 3.80% | 3.80% | ' |
Debt instrument, maturity date | ' | 15-Sep-22 | ' |
Issue Date | ' | '2012-09 | ' |
Periodic Interest Payments Due | 'Semi-annually | '3/15 & 9/15 | ' |
Outstanding Principal (Par Value) | 300,000 | 150,000 | ' |
Outstanding Principal (Fair Value) | ' | 145,178 | ' |
Outstanding Principal (Book Value) | ' | 147,392 | 147,148 |
Junior Subordinated Debentures Due 12/15/52 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | 5.88% | 5.88% | ' |
Debt instrument, maturity date | ' | 15-Dec-52 | ' |
Issue Date | ' | '2012-09 | ' |
Periodic Interest Payments Due | 'Quarterly | 'quarterly | ' |
Outstanding Principal (Par Value) | 125,000 | 125,000 | ' |
Outstanding Principal (Fair Value) | ' | 108,450 | ' |
Outstanding Principal (Book Value) | ' | 120,843 | 120,817 |
Junior Subordinated Debentures Due 3/15/36 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Annual Percentage Rate | ' | 3.54% | ' |
Debt instrument, maturity date | ' | 15-Mar-36 | ' |
Issue Date | ' | ' | ' |
Periodic Interest Payments Due | ' | 'quarterly | ' |
Outstanding Principal (Par Value) | ' | 20,000 | ' |
Outstanding Principal (Fair Value) | ' | 20,000 | ' |
Outstanding Principal (Book Value) | ' | 20,000 | 20,000 |
Total Funded Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | 1,003,259 | ' |
Outstanding Principal (Fair Value) | ' | 1,131,391 | ' |
Outstanding Principal (Book Value) | ' | 990,865 | 1,083,642 |
Long-term Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | 1,003,259 | ' |
Short-term Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | 229,140 | ' |
Current Maturity of Long-term Debt [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | 0 | ' |
Total short-term debt, fair value | ' | 0 | ' |
Total short-term debt, book value | ' | 0 | 93,956 |
Commercial Paper [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Outstanding Principal (Par Value) | ' | 229,140 | ' |
Total short-term debt, fair value | ' | 229,070 | ' |
Total short-term debt, book value | ' | $229,070 | $225,087 |
Debt_Amount_of_Debt_Due_in_Nex
Debt - Amount of Debt Due in Next Five Years - Additional Information (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Debt Disclosure [Abstract] | ' |
Debt due in 2014 | $229 |
Debt due in 2015 | 0 |
Debt due in 2016 | 250 |
Debt due in 2017 | 0 |
Debt due in 2018 | 0 |
Debt due thereafter 2019 | $753 |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Oct. 24, 2012 | Oct. 24, 2012 | Sep. 24, 2012 | Dec. 31, 2013 | Aug. 01, 2013 | Sep. 24, 2012 | Sep. 24, 2012 | Dec. 31, 2013 | Sep. 24, 2012 |
Family Heritage [Member] | 7.1% Trust Preferred Securities [Member] | Junior Subordinated Debentures Due 6/1/46 [Member] | Senior Notes, Due 9/15/22 [Member] | Senior Notes, Due 9/15/22 [Member] | 7.375% Notes [Member] | 7.375% Notes [Member] | Junior Subordinated Debentures Due 12/15/52 [Member] | Junior Subordinated Debentures Due 12/15/52 [Member] | Insurance Subsidiary [Member] | |||
Senior Notes, Due 9/15/22 [Member] | ||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt issued, par amount | $1,232,399,000 | ' | ' | ' | ' | $300,000,000 | $150,000,000 | ' | ' | $125,000,000 | $125,000,000 | $150,000,000 |
Periodic Interest Payments Due | ' | ' | ' | ' | ' | 'Semi-annually | '3/15 & 9/15 | ' | ' | 'Quarterly | 'quarterly | ' |
Interest rate | ' | ' | ' | ' | 7.10% | 3.80% | 3.80% | 7.38% | ' | 5.88% | 5.88% | ' |
Commencement date for interest payable | ' | ' | ' | ' | ' | 15-Mar-13 | ' | ' | ' | 15-Dec-12 | ' | ' |
Proceeds from issuance of debt | ' | ' | ' | ' | ' | 297,000,000 | ' | ' | ' | 121,000,000 | ' | 147,000,000 |
Debt instrument spread | ' | ' | ' | ' | ' | 0.003 | ' | ' | ' | ' | ' | ' |
Remaining proceeds to repay principal amount | ' | ' | ' | ' | 124,000,000 | ' | ' | 94,000,000 | ' | ' | ' | ' |
Debt instrument, maturity date | ' | ' | 15-Mar-36 | ' | ' | ' | 15-Sep-22 | ' | 1-Aug-13 | ' | 15-Dec-52 | ' |
Issuance Cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,200,000 | ' | ' |
Redemption Period | ' | ' | ' | ' | '40 years | ' | ' | ' | ' | '40 years | ' | ' |
Preferred Securities redeemed | ' | ' | ' | 120,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption of preferred securities and accrued dividend | ' | ' | ' | 121,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
After tax expected loss on repurchase | ' | ' | ' | 2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Debt assumed | ' | ' | 20,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, Fair Value | 1,360,461,000 | ' | 20,000,000 | ' | ' | ' | 145,178,000 | ' | ' | ' | 108,450,000 | ' |
Debt instrument, amortized cost | $990,865,000 | $989,686,000 | $20,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, basis spread | ' | ' | 3.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt_Commercial_Paper_Addition
Debt - Commercial Paper - Additional Information (Detail) (USD $) | Dec. 31, 2010 |
In Millions, unless otherwise specified | |
Debt Disclosure [Abstract] | ' |
Line of credit facility limit | $600 |
Line of credit facility extendable limit | 200 |
Maximum daily amount letters of credit facility | $250 |
Debt_ShortTerm_Borrowings_Deta
Debt - Short-Term Borrowings (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Debt Disclosure [Abstract] | ' | ' | ' |
Balance at end of period (at par value) | $229,140 | $225,180 | ' |
Annualized interest rate | 0.30% | 0.36% | ' |
Letters of credit outstanding | 198,000 | 198,000 | ' |
Remaining amount available under credit line | 172,860 | 176,820 | ' |
Average balance outstanding during period | 274,435 | 250,401 | 206,148 |
Daily-weighted average interest rate | 0.31% | 0.41% | 0.39% |
Maximum daily amount outstanding during period | $340,140 | $385,000 | $271,761 |
Shareholders_Equity_Summary_of
Shareholders' Equity - Summary of Preferred and Common Share Activity (Detail) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Preferred Stock [Member] | Preferred Stock [Member] | Preferred Stock [Member] | Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | ||||
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance, Preferred Stock, Issued, Beginning Balance | ' | ' | ' | 0 | 0 | 0 | 0 | ' | ' | ' |
Balance, Preferred Stock, Issued, Ending Balance | ' | ' | ' | 0 | 0 | 0 | 0 | ' | ' | ' |
Balance, Common Stock, Issued, Beginning Balance | 105,812,123 | ' | ' | ' | ' | ' | ' | 105,812,123 | 112,312,123 | 119,812,123 |
Retirement of treasury stock, Issued | ' | ' | ' | ' | ' | ' | ' | -5,000,000 | -6,500,000 | -7,500,000 |
Balance, Common Stock, Issued, Ending Balance | 100,812,123 | 105,812,123 | ' | ' | ' | ' | ' | 100,812,123 | 105,812,123 | 112,312,123 |
Treasury Stock, beginning balance | -11,576,487 | ' | ' | 0 | 0 | 0 | 0 | -11,576,487 | -11,732,658 | -947,497 |
Grants of restricted stock | 147,660 | 149,720 | 173,553 | ' | ' | ' | ' | 50,943 | 69,720 | 173,553 |
Forfeitures of restricted stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($7,153) |
Forfeitures and surrenders of restricted stock | ' | ' | ' | ' | ' | ' | ' | ($24,906) | ' | ' |
Issuance of common stock due to exercise of stock options, Treasury Stock | 2,611,838 | 5,354,381 | 4,829,892 | ' | ' | ' | ' | 2,611,838 | 5,357,490 | 4,829,892 |
Issuance of common stock due to settlement of restricted stock units | ' | ' | ' | ' | ' | ' | ' | 7,460 | ' | ' |
Treasury stock acquired | ' | ' | ' | ' | ' | ' | ' | -7,379,384 | -11,771,039 | -23,281,453 |
Retirement of treasury stock | 5,000,000 | 6,500,000 | 7,500,000 | ' | ' | ' | ' | 5,000,000 | 6,500,000 | 7,500,000 |
Treasury Stock, ending balance | -11,310,536 | -11,576,487 | ' | 0 | 0 | 0 | 0 | -11,310,536 | -11,576,487 | -11,732,658 |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Share data in Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Equity [Abstract] | ' | ' | ' |
Stock acquired, shares | 5.5 | 7.5 | 18.9 |
Share repurchases under stock repurchase program, amount | $360,000,000 | $360,000,000 | $788,000,000 |
Shares repurchased for dilution purposes, shares | 1.9 | 4.3 | 4.4 |
Shares repurchased for dilution purposes, amount | 122,000,000 | 210,000,000 | 185,000,000 |
Retirement of treasury stock | 5 | 6.5 | 7.5 |
Dividends paid by subsidiaries to parent company | 488,376,000 | 436,814,000 | 769,139,000 |
Proceeds from Sale of United Investors | ' | ' | 305,000,000 |
Maximum amount of dividends expected to be available from subsidiaries without regulatory approval during 2014 | 451,000,000 | ' | ' |
Restricted net assets | 878,000,000 | ' | ' |
Dividend | 471,000,000 | ' | ' |
Retained earnings restricted by lenders' covenants | 3,180,000,000 | ' | ' |
Retained earnings | $3,545,939,000 | $3,403,338,000 | ' |
Anti-dilutive shares | 0 | 0 | 3.5 |
Shareholders_Equity_Reconcilia
Shareholders' Equity - Reconciliation of Basic and Diluted Weighted Average Shares Outstanding (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Equity [Abstract] | ' | ' | ' |
Basic weighted average shares outstanding | 91,764,590 | 96,614,199 | 108,278,113 |
Weighted average dilutive options outstanding | 1,277,933 | 1,284,189 | 1,537,277 |
Diluted weighted average shares outstanding | 93,042,523 | 97,898,388 | 109,815,390 |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Shares granted | 147,660 | 149,720 | 173,553 | ' |
Restricted stock units outstanding | 57,145 | 53,272 | 42,938 | ' |
Unvested restricted shares outstanding | 471,330 | 391,700 | 327,000 | 237,150 |
Equity awards, settled in cash | $0 | $0 | $0 | ' |
Minimum [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Option contractual term | '7 years | ' | ' | ' |
Vesting period | '3 years | ' | ' | ' |
Maximum [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Option contractual term | '10 years | ' | ' | ' |
Vesting period | '5 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Director [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '6 months | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Seven Year Grants [Member] | One-Half [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '2 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Seven Year Grants [Member] | One-Half [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '3 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Ten Year Grants [Member] | One-Fourth [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '2 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Ten Year Grants [Member] | One-Fourth [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '3 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Ten Year Grants [Member] | One-Fourth [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '4 years | ' | ' | ' |
Equity Option [Member] | Torchmark Corporation 2011 Incentive Plan [Member] | Employees [Member] | Ten Year Grants [Member] | One-Fourth [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '5 years | ' | ' | ' |
Equity Option [Member] | Previous Plan [Member] | Director [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '6 months | ' | ' | ' |
Equity Option [Member] | Previous Plan [Member] | Employees [Member] | One-Half [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '2 years | ' | ' | ' |
Equity Option [Member] | Previous Plan [Member] | Employees [Member] | One-Half [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Vesting period | '3 years | ' | ' | ' |
Equity Option [Member] | Minimum [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Option contractual term | '7 years | ' | ' | ' |
Equity Option [Member] | Maximum [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Option contractual term | '10 years | ' | ' | ' |
Performance Shares [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Shares granted | 99,000 | 80,000 | ' | ' |
Shares grant price | $56.10 | ' | ' | ' |
Shares aggregate grant price | 5,500,000 | 3,900,000 | ' | ' |
Contractual period | '3 years | '3 years | ' | ' |
Performance Shares [Member] | Minimum [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Shares grant price | ' | $48.72 | ' | ' |
Performance shares target distribution | 0 | 0 | ' | ' |
Performance Shares [Member] | Maximum [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Shares grant price | ' | $49.09 | ' | ' |
Performance shares target distribution | 197,000 | 160,000 | ' | ' |
Directors Restricted Stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Shares granted | 10,030 | 9,720 | 6,303 | ' |
Shares grant price | $53.18 | $43.74 | $40.45 | ' |
Shares aggregate grant price | $533,000 | $425,000 | $255,000 | ' |
Unvested restricted shares outstanding | 0 | 0 | 0 | 0 |
StockBased_Compensation_Analys
Stock-Based Compensation - Analysis of Shares Available for Grant (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Shares available for grant, beginning balance | 4,536,301 | 6,099,342 | 255,263 |
Cancellation of available shares from prior plans | 0 | 0 | -229,333 |
Options expired and forfeited during year | 85,406 | 5,850 | 0 |
Restricted stock expired and forfeited, available for grant during year (counted as 3.1 options) | 6,417 | 0 | 0 |
Shares available for grant, ending balance | 2,912,502 | 4,536,301 | 6,099,342 |
Stock Options [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation grants | -1,084,575 | -1,072,725 | -1,338,013 |
Torchmark Corporation 2011 Incentive Plan [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Approval of shares under incentive plan | 0 | 0 | 7,950,000 |
Torchmark Corporation 2011 Incentive Plan [Member] | Restricted Stock, Restricted Stock Units And Performance Shares [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation grants | -631,047 | -496,166 | -519,558 |
Previous Plan [Member] | Restricted Stock and Restricted Stock Units [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation grants | 0 | 0 | -19,017 |
StockBased_Compensation_Analys1
Stock-Based Compensation - Analysis of Shares Available for Grant (Parenthetical) (Detail) | Dec. 31, 2013 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Ratio by which each grant of restricted stock reduces shares available for options | 3.1 |
StockBased_Compensation_Schedu
Stock-Based Compensation - Schedule of Stock Compensation Activity (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' |
Stock-based compensation expense recognized | $25,642 | $21,605 | $14,954 |
Tax benefit recognized | 8,975 | 7,562 | 5,234 |
Weighted-average grant-date fair value of options granted | $18.55 | $15.70 | $15.48 |
Intrinsic value of options exercised | 72,793 | 80,781 | 40,991 |
Cash received from options exercised | 97,815 | 181,022 | 162,613 |
Actual tax benefit received from exercises | $25,478 | $28,086 | $14,347 |
StockBased_Compensation_Analys2
Stock-Based Compensation - Analysis of Option Activity (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Outstanding-beginning of year | 7,332,137 | 11,620,393 | 15,185,729 |
Options Exercised | -2,611,838 | -5,354,381 | -4,829,892 |
Options Expired and forfeited | -85,406 | -6,600 | -73,425 |
Adjustment to options for stock split - shares | 0 | 0 | -32 |
Options Outstanding-end of year | 5,719,468 | 7,332,137 | 11,620,393 |
Options Exercisable at end of year | 2,930,368 | 4,261,817 | 8,265,818 |
Weighted Average Exercise Price Outstanding-beginning of year | $38.14 | $35.42 | $34.09 |
Options exercised in the period - weighted average exercise price | $37.45 | $33.82 | $33.67 |
Options expired and forfeited in the period - weighted average exercise price | $48.49 | $44.63 | $39.17 |
Adjustment due to stock split, Weighted Average Exercise Price | $0 | $0 | $32.96 |
Weighted Average Exercise Price Outstanding-end of year | $41.76 | $38.14 | $35.42 |
Weighted Average Exercise Price Exercisable at end of year | $34.42 | $35.37 | $36.28 |
7-year term [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Granted | 907,800 | 846,300 | 1,129,663 |
Options granted in the period- weighted average exercise price | $56.43 | $46.10 | $44.37 |
10-year term [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Granted | 176,775 | 226,425 | 208,350 |
Options granted in the period- weighted average exercise price | $56.10 | $45.49 | $44.40 |
StockBased_Compensation_Summar
Stock-Based Compensation - Summary of Restricted Stock and Restricted Stock Units Granted (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Restricted stock, Shares | 147,660 | 149,720 | 173,553 |
Executives Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Restricted stock, Shares | 39,130 | 60,000 | 167,250 |
Restricted stock, Price per share | 60.14 | 46.12 | 44.39 |
Restricted stock, Aggregate value | 2,353 | 2,767 | 7,424 |
Percent vested | 0.00% | 20.00% | 30.00% |
Directors Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Restricted stock, Shares | 10,030 | 9,720 | 6,303 |
Restricted stock, Price per share | 53.18 | 43.74 | 40.45 |
Restricted stock, Aggregate value | 533 | 425 | 255 |
Percent vested | 100.00% | 100.00% | 100.00% |
Directors Restricted Stock Units [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Restricted stock, Shares | 11,332 | 10,331 | 13,063 |
Restricted stock, Price per share | 53.98 | 44.03 | 40.49 |
Restricted stock, Aggregate value | 612 | 455 | 529 |
Percent vested | 100.00% | 100.00% | 100.00% |
StockBased_Compensation_Analys3
Stock-Based Compensation - Analysis of Unvested Restricted Stock (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Beginning Balance | 391,700 | 327,000 | 237,150 |
Grants | 147,660 | 149,720 | 173,553 |
Estimated additional performance shares | 63,200 | ' | ' |
Restriction lapses | -110,530 | -85,020 | -78,903 |
Forfeitures | -20,700 | 0 | -4,800 |
Ending Balance | 471,330 | 391,700 | 327,000 |
Executives Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Beginning Balance | 311,700 | 327,000 | 237,150 |
Grants | 39,130 | 60,000 | 167,250 |
Estimated additional performance shares | 0 | ' | ' |
Restriction lapses | -100,500 | -75,300 | -72,600 |
Forfeitures | -20,700 | 0 | -4,800 |
Ending Balance | 229,630 | 311,700 | 327,000 |
Executive Performance Shares [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Beginning Balance | 80,000 | 0 | 0 |
Grants | 98,500 | 80,000 | 0 |
Estimated additional performance shares | 63,200 | ' | ' |
Restriction lapses | 0 | 0 | 0 |
Forfeitures | 0 | 0 | 0 |
Ending Balance | 241,700 | 80,000 | 0 |
Directors Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Beginning Balance | 0 | 0 | 0 |
Grants | 10,030 | 9,720 | 6,303 |
Estimated additional performance shares | 0 | ' | ' |
Restriction lapses | -10,030 | -9,720 | -6,303 |
Forfeitures | 0 | 0 | 0 |
Ending Balance | 0 | 0 | 0 |
StockBased_Compensation_Schedu1
Stock-Based Compensation - Schedule of Additional Information of Stock-Based Compensation (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' |
Outstanding options, Weighted-average remaining contractual term (in years) | '4 years 1 month 10 days | '3 years 8 months 19 days |
Outstanding options, Aggregate intrinsic value | $208,152 | $99,212 |
Exercisable options, Weighted-average remaining contractual term (in years) | '2 years 5 months 27 days | '2 years 3 months 15 days |
Exercisable options, Aggregate intrinsic value | 128,150 | 69,472 |
Unrecognized compensation | $37,397 | $32,808 |
Unrecognized compensation, Weighted average period of expected recognition (in years) | '11 months 16 days | '8 months 27 days |
StockBased_Compensation_Schedu2
Stock-Based Compensation - Schedule of Additional Information on Unvested Options (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Weighted-average remaining contractual term (in years) | '4 years 1 month 10 days | '3 years 8 months 19 days |
Aggregate intrinsic value | $208,152 | $99,212 |
Unvested Options [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Number of shares outstanding | 2,789,100 | 3,070,320 |
Weighted-average exercise price (per share) | $49.47 | $41.98 |
Weighted-average remaining contractual term (in years) | '5 years 9 months 22 days | '5 years 8 months 12 days |
Aggregate intrinsic value | $80,002 | $29,740 |
StockBased_Compensation_Summar1
Stock-Based Compensation - Summary of Options Outstanding (Detail) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Number Of Options Outstanding | 5,719,468 | 7,332,137 | 11,620,393 | 15,185,729 |
Weighted-average remaining contractual term (in years) | '4 years 1 month 10 days | '3 years 8 months 19 days | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $41.76 | $38.14 | $35.42 | $34.09 |
Options Exercisable, Number Exercisable | 2,930,368 | 4,261,817 | 8,265,818 | ' |
Options Exercisable, Weighted- Average Exercise Price | $34.42 | $35.37 | $36.28 | ' |
15.67 - 30.40 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $15.67 | ' | ' | ' |
Range of Exercise Prices, Maximum | $30.40 | ' | ' | ' |
Number Of Options Outstanding | 461,983 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '2 years 1 month 10 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $17.69 | ' | ' | ' |
Options Exercisable, Number Exercisable | 457,386 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $17.57 | ' | ' | ' |
30.87 - 30.87 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $30.87 | ' | ' | ' |
Range of Exercise Prices, Maximum | $30.87 | ' | ' | ' |
Number Of Options Outstanding | 962,124 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '3 years 11 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $30.87 | ' | ' | ' |
Options Exercisable, Number Exercisable | 962,124 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $30.87 | ' | ' | ' |
35.93 - 42.92 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $35.93 | ' | ' | ' |
Range of Exercise Prices, Maximum | $42.92 | ' | ' | ' |
Number Of Options Outstanding | 986,616 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '1 year 1 month 13 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $40.35 | ' | ' | ' |
Options Exercisable, Number Exercisable | 979,202 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $40.37 | ' | ' | ' |
43.06 - 44.39 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $43.06 | ' | ' | ' |
Range of Exercise Prices, Maximum | $44.39 | ' | ' | ' |
Number Of Options Outstanding | 1,228,295 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '4 years 8 months 5 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $44.37 | ' | ' | ' |
Options Exercisable, Number Exercisable | 526,806 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $44.35 | ' | ' | ' |
44.79 - 48.72 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $44.79 | ' | ' | ' |
Range of Exercise Prices, Maximum | $48.72 | ' | ' | ' |
Number Of Options Outstanding | 1,004,375 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '5 years 8 months 19 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $45.78 | ' | ' | ' |
Options Exercisable, Number Exercisable | 4,850 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $45.49 | ' | ' | ' |
56.10 - 64.59 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $56.10 | ' | ' | ' |
Range of Exercise Prices, Maximum | $64.59 | ' | ' | ' |
Number Of Options Outstanding | 1,076,075 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '6 years 6 months 15 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $56.38 | ' | ' | ' |
Options Exercisable, Number Exercisable | 0 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $0 | ' | ' | ' |
15.67 - 64.59 [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Range of Exercise Prices, Minimum | $15.67 | ' | ' | ' |
Range of Exercise Prices, Maximum | $64.59 | ' | ' | ' |
Number Of Options Outstanding | 5,719,468 | ' | ' | ' |
Weighted-average remaining contractual term (in years) | '4 years 1 month 10 days | ' | ' | ' |
Options Outstanding, Weighted-Average Exercise Price | $41.76 | ' | ' | ' |
Options Exercisable, Number Exercisable | 2,930,368 | ' | ' | ' |
Options Exercisable, Weighted- Average Exercise Price | $34.42 | ' | ' | ' |
Business_Segments_Schedule_of_
Business Segments - Schedule of Segment Premium Revenue by Each Marketing Groups (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | $3,049,690 | $2,856,866 | $2,657,345 |
Distribution channel premium as percentage of segment premium | 100.00% | 100.00% | 100.00% |
United American Independent [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 318,572 | 320,445 | 329,944 |
Distribution channel premium as percentage of segment premium | 10.00% | 11.00% | 12.00% |
Liberty National Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 517,244 | 545,258 | 578,415 |
Distribution channel premium as percentage of segment premium | 17.00% | 19.00% | 22.00% |
American Income Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 794,801 | 743,336 | 688,033 |
Distribution channel premium as percentage of segment premium | 26.00% | 26.00% | 26.00% |
Family Heritage [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 191,929 | 30,249 | ' |
Distribution channel premium as percentage of segment premium | 6.00% | 1.00% | ' |
Direct Response [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 717,442 | 688,077 | 650,717 |
Distribution channel premium as percentage of segment premium | 24.00% | 24.00% | 25.00% |
Medicare Part D [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 300,008 | 317,764 | 196,710 |
Distribution channel premium as percentage of segment premium | 10.00% | 11.00% | 7.00% |
Other [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 209,694 | 211,737 | 213,526 |
Distribution channel premium as percentage of segment premium | 7.00% | 8.00% | 8.00% |
Life Insurance [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 1,885,332 | 1,808,524 | 1,726,244 |
Distribution channel premium as percentage of segment premium | 100.00% | 100.00% | 100.00% |
Life Insurance [Member] | United American Independent [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 19,742 | 21,127 | 22,846 |
Distribution channel premium as percentage of segment premium | 1.00% | 1.00% | 1.00% |
Life Insurance [Member] | Liberty National Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 275,980 | 281,723 | 288,308 |
Distribution channel premium as percentage of segment premium | 15.00% | 15.00% | 17.00% |
Life Insurance [Member] | American Income Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 715,366 | 663,696 | 607,914 |
Distribution channel premium as percentage of segment premium | 38.00% | 37.00% | 35.00% |
Life Insurance [Member] | Family Heritage [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 1,006 | 130 | ' |
Distribution channel premium as percentage of segment premium | 0.00% | 0.00% | ' |
Life Insurance [Member] | Direct Response [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 663,544 | 630,111 | 593,650 |
Distribution channel premium as percentage of segment premium | 35.00% | 35.00% | 35.00% |
Life Insurance [Member] | Other [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 209,694 | 211,737 | 213,526 |
Distribution channel premium as percentage of segment premium | 11.00% | 12.00% | 12.00% |
Health Insurance [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 1,163,826 | 1,047,783 | 930,493 |
Distribution channel premium as percentage of segment premium | 100.00% | 100.00% | 100.00% |
Health Insurance [Member] | United American Independent [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 298,298 | 298,759 | 306,490 |
Distribution channel premium as percentage of segment premium | 25.00% | 28.00% | 33.00% |
Health Insurance [Member] | Liberty National Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 241,264 | 263,535 | 290,107 |
Distribution channel premium as percentage of segment premium | 21.00% | 25.00% | 31.00% |
Health Insurance [Member] | American Income Exclusive [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 79,435 | 79,640 | 80,119 |
Distribution channel premium as percentage of segment premium | 7.00% | 8.00% | 9.00% |
Health Insurance [Member] | Family Heritage [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 190,923 | 30,119 | ' |
Distribution channel premium as percentage of segment premium | 16.00% | 3.00% | ' |
Health Insurance [Member] | Direct Response [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 53,898 | 57,966 | 57,067 |
Distribution channel premium as percentage of segment premium | 5.00% | 6.00% | 6.00% |
Health Insurance [Member] | Medicare Part D [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 300,008 | 317,764 | 196,710 |
Distribution channel premium as percentage of segment premium | 26.00% | 30.00% | 21.00% |
Annuity [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | 532 | 559 | 608 |
Distribution channel premium as percentage of segment premium | 100.00% | 100.00% | 100.00% |
Annuity [Member] | United American Independent [Member] | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Segment premium revenue, Amount | $532 | $559 | $608 |
Distribution channel premium as percentage of segment premium | 100.00% | 100.00% | 100.00% |
Business_Segments_Reconciliati
Business Segments - Reconciliation of Revenues and Operations by Segment to Major Income Statement Line Items (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium | $750,611 | $750,998 | $765,851 | $784,814 | $732,545 | $699,860 | $705,582 | $718,475 | $3,052,274 | $2,856,462 | $2,656,318 |
Net investment income | 178,284 | 176,656 | 177,964 | 176,839 | 174,947 | 169,400 | 175,176 | 174,121 | 709,743 | 693,644 | 693,028 |
Other income | ' | ' | ' | ' | ' | ' | ' | ' | 1,931 | 1,577 | 2,151 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 3,763,948 | 3,551,683 | 3,351,497 |
Policy benefits | 495,561 | 516,783 | 524,499 | 552,003 | 479,109 | 479,119 | 484,807 | 512,647 | 2,088,846 | 1,955,682 | 1,793,276 |
Required interest on policy reserves | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Required interest on deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Acquisition expense and adjustments | 100,743 | 98,444 | 102,488 | 101,714 | 98,052 | 94,016 | 96,601 | 96,498 | 403,389 | 385,167 | 364,583 |
Commissions, premium taxes, and non-deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 221,426 | 203,986 | 216,216 |
Insurance administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 180,053 | 165,405 | 178,989 |
Parent expense | ' | ' | ' | ' | ' | ' | ' | ' | 8,995 | 11,166 | 7,693 |
Stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 25,642 | 21,605 | 14,954 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 80,461 | 80,512 | 77,908 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 3,008,812 | 2,823,523 | 2,653,619 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | 755,136 | 728,160 | 697,878 |
Non operating items | ' | ' | ' | ' | ' | ' | ' | ' | 8,761 | 2,944 | 19,880 |
Amortization of low-income housing interests | ' | ' | ' | ' | ' | ' | ' | ' | 24,907 | 22,488 | 14,277 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 788,804 | 753,592 | 732,035 |
Deduct applicable income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -258,137 | -246,945 | -238,335 |
Segment profits after tax | ' | ' | ' | ' | ' | ' | ' | ' | 530,667 | 506,647 | 493,700 |
Add back income taxes applicable to segment profitability | ' | ' | ' | ' | ' | ' | ' | ' | 258,137 | 246,945 | 238,335 |
Add (deduct) realized investment gains (losses) | 1,525 | 4,459 | 5,913 | -3,907 | 20,883 | 7,283 | 4,661 | 5,006 | 7,990 | 37,833 | 25,904 |
Deduct amortization of low-income housing | ' | ' | ' | ' | ' | ' | ' | ' | -24,907 | -22,488 | -14,277 |
Deduct state administrative settlement expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -6,901 |
Deduct Guaranty Fund Assessment | ' | ' | ' | ' | ' | ' | ' | ' | -1,155 | ' | ' |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,944 | ' |
Deduct loss on sale of equipment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -979 |
Deduct legal settlement expenses | ' | ' | ' | ' | ' | ' | ' | ' | -9,125 | ' | -12,000 |
Operating income (loss) before income taxes and equity in earnings of affiliates | 206,429 | 190,850 | 192,784 | 173,063 | 220,587 | 188,791 | 186,380 | 170,235 | 763,126 | 765,993 | 723,782 |
Family Heritage [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 1,519 | ' | ' |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,900 | ' |
Operating Segments [Member] | Life Insurance [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium | ' | ' | ' | ' | ' | ' | ' | ' | 1,885,332 | 1,808,524 | 1,726,244 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 1,885,332 | 1,808,524 | 1,726,244 |
Policy benefits | ' | ' | ' | ' | ' | ' | ' | ' | 1,227,857 | 1,172,020 | 1,118,909 |
Required interest on policy reserves | ' | ' | ' | ' | ' | ' | ' | ' | -508,236 | -483,892 | -458,029 |
Required interest on deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 164,981 | 163,875 | 159,886 |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 323,950 | 309,930 | 292,168 |
Commissions, premium taxes, and non-deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 131,721 | 137,115 | 152,347 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 1,340,273 | 1,299,048 | 1,265,281 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | 545,059 | 509,476 | 460,963 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 545,059 | 509,476 | 460,963 |
Operating Segments [Member] | Health Insurance [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium | ' | ' | ' | ' | ' | ' | ' | ' | 1,163,826 | 1,047,783 | 930,493 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 1,163,826 | 1,047,783 | 930,493 |
Policy benefits | ' | ' | ' | ' | ' | ' | ' | ' | 806,478 | 739,945 | 632,847 |
Required interest on policy reserves | ' | ' | ' | ' | ' | ' | ' | ' | -59,858 | -40,963 | -36,729 |
Required interest on deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 23,233 | 19,059 | 18,883 |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 72,244 | 65,278 | 62,345 |
Commissions, premium taxes, and non-deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 89,922 | 67,123 | 64,157 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 932,019 | 850,442 | 741,503 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | 231,807 | 197,341 | 188,990 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 231,807 | 197,341 | 188,990 |
Operating Segments [Member] | Annuity [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium | ' | ' | ' | ' | ' | ' | ' | ' | 532 | 559 | 608 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 532 | 559 | 608 |
Policy benefits | ' | ' | ' | ' | ' | ' | ' | ' | 43,302 | 44,121 | 42,547 |
Required interest on policy reserves | ' | ' | ' | ' | ' | ' | ' | ' | -57,294 | -59,293 | -57,040 |
Required interest on deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 1,811 | 2,238 | 2,618 |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | 8,714 | 9,959 | 10,070 |
Commissions, premium taxes, and non-deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | 60 | 69 | 68 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | -3,407 | -2,906 | -1,737 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | 3,939 | 3,465 | 2,345 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 3,939 | 3,465 | 2,345 |
Operating Segments [Member] | Investment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net investment income | ' | ' | ' | ' | ' | ' | ' | ' | 734,650 | 715,918 | 707,041 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 734,650 | 715,918 | 707,041 |
Required interest on policy reserves | ' | ' | ' | ' | ' | ' | ' | ' | 625,388 | 584,148 | 551,798 |
Required interest on deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | -190,025 | -185,172 | -181,387 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 80,461 | 80,298 | 77,644 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 515,824 | 479,274 | 448,055 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | 218,826 | 236,644 | 258,986 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 218,826 | 236,644 | 258,986 |
Operating Segments [Member] | Other [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other income | ' | ' | ' | ' | ' | ' | ' | ' | 2,208 | 1,898 | 2,507 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 2,208 | 1,898 | 2,507 |
Insurance administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 178,898 | 165,405 | 159,109 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 178,898 | 165,405 | 159,109 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | -176,690 | -163,507 | -156,602 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | -176,690 | -163,507 | -156,602 |
Corporate [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Parent expense | ' | ' | ' | ' | ' | ' | ' | ' | 8,495 | 8,222 | 7,693 |
Stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 25,642 | 21,605 | 14,954 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 34,137 | 29,827 | 22,647 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | -34,137 | -29,827 | -22,647 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | -34,137 | -29,827 | -22,647 |
Adjustments [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium | ' | ' | ' | ' | ' | ' | ' | ' | 2,584 | -404 | -1,027 |
Net investment income | ' | ' | ' | ' | ' | ' | ' | ' | -24,907 | -22,274 | -14,013 |
Other income | ' | ' | ' | ' | ' | ' | ' | ' | -277 | -321 | -356 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | -22,600 | -22,999 | -15,396 |
Policy benefits | ' | ' | ' | ' | ' | ' | ' | ' | 11,209 | -404 | -1,027 |
Acquisition expense and adjustments | ' | ' | ' | ' | ' | ' | ' | ' | -1,519 | ' | ' |
Commissions, premium taxes, and non-deferred acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | -277 | -321 | -356 |
Insurance administrative expense | ' | ' | ' | ' | ' | ' | ' | ' | 1,155 | ' | 19,880 |
Parent expense | ' | ' | ' | ' | ' | ' | ' | ' | 500 | 2,944 | ' |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 214 | 264 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 11,068 | 2,433 | 18,761 |
Sub total | ' | ' | ' | ' | ' | ' | ' | ' | -33,668 | -25,432 | -34,157 |
Non operating items | ' | ' | ' | ' | ' | ' | ' | ' | 8,761 | 2,944 | 19,880 |
Amortization of low-income housing interests | ' | ' | ' | ' | ' | ' | ' | ' | 24,907 | 22,488 | 14,277 |
Measure of segment profitability (pretax) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Deduct amortization of low-income housing | ' | ' | ' | ' | ' | ' | ' | ' | ($24,907) | ($22,488) | ($14,277) |
Business_Segments_Analysis_of_
Business Segments - Analysis of Profitability by Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | $788,804 | $753,592 | $732,035 |
Applicable taxes | ' | ' | ' | ' | ' | ' | ' | ' | -258,137 | -246,945 | -238,335 |
Net operating income | ' | ' | ' | ' | ' | ' | ' | ' | 530,667 | 506,647 | 493,700 |
Realized gains (losses)-investments (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | 3,965 | 24,591 | 16,838 |
Loss on disposal of discontinued operations (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -455 |
Acquisition expense and adjustments-Family Heritage (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | 522 | -1,914 | 0 |
Legal settlement expenses (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | -5,931 | 0 | -7,800 |
Guaranty Fund assessment (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | -751 | 0 | 0 |
State administrative settlement (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -4,486 |
Loss on sale of equipment (after tax) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | -636 |
Net income | 142,817 | 132,122 | 133,901 | 119,632 | 150,987 | 130,672 | 128,988 | 118,677 | 528,472 | 529,324 | 497,161 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | 35,212 | 21,557 | ' |
Applicable taxes, Change | ' | ' | ' | ' | ' | ' | ' | ' | -11,192 | -8,610 | ' |
Net operating income, change | ' | ' | ' | ' | ' | ' | ' | ' | 24,020 | 12,947 | ' |
Realized gains (losses)-investments (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | -20,626 | 7,753 | ' |
Loss on disposal of discontinued operations (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 455 | ' |
Acquisition expense and adjustments-Family Heritage (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | 2,436 | -1,914 | ' |
Legal settlement expenses (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | -5,931 | 7,800 | ' |
Guaranty Fund assessment (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | -751 | 0 | ' |
State administrative settlement (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 4,486 | ' |
Loss on sale of equipment (after tax), Change | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 636 | ' |
Net income, Change | ' | ' | ' | ' | ' | ' | ' | ' | -852 | 32,163 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 3.00% | ' |
Applicable taxes, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 4.00% | ' |
Net operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 3.00% | ' |
Net income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | 6.00% | ' |
Operating Segments [Member] | Life Insurance [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | 545,059 | 509,476 | 460,963 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | 35,583 | 48,513 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 7.00% | 11.00% | ' |
Operating Segments [Member] | Health Insurance [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | 231,807 | 197,341 | 188,990 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | 34,466 | 8,351 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 17.00% | 4.00% | ' |
Operating Segments [Member] | Annuity [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | 3,939 | 3,465 | 2,345 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | 474 | 1,120 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 14.00% | 48.00% | ' |
Operating Segments [Member] | Investment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | 218,826 | 236,644 | 258,986 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | -17,818 | -22,342 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | -8.00% | -9.00% | ' |
Operating Segments [Member] | Other [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | -176,690 | -163,507 | -156,602 |
Operating Segments [Member] | Other [Member] | Other Income [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | 2,208 | 1,898 | 2,507 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | 310 | -609 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 16.00% | -24.00% | ' |
Operating Segments [Member] | Other [Member] | Administrative Expense [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | -178,898 | -165,405 | -159,109 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | -13,493 | -6,296 | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 8.00% | 4.00% | ' |
Corporate [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pretax operating income | ' | ' | ' | ' | ' | ' | ' | ' | -34,137 | -29,827 | -22,647 |
Pretax operating income, Change | ' | ' | ' | ' | ' | ' | ' | ' | ($4,310) | ($7,180) | ' |
Pretax operating income, Change % | ' | ' | ' | ' | ' | ' | ' | ' | 14.00% | 32.00% | ' |
Business_Segments_Additional_I
Business Segments - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Segment Reporting [Abstract] | ' |
Other assets represented in percentage of total assets | 4.00% |
Business_Segments_Assets_by_Se
Business Segments - Assets by Segment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 01, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | |||||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Cash and invested assets | $13,456,944 | $14,155,919 | ' | ' | ' |
Accrued investment income | 200,038 | 195,497 | ' | ' | ' |
Deferred acquisition costs | 3,337,649 | 3,198,431 | ' | 2,916,732 | 2,869,546 |
Goodwill | 441,591 | 441,591 | 44,700 | ' | ' |
Other assets | 755,522 | 785,472 | ' | ' | ' |
Total assets | 18,191,744 | 18,776,910 | ' | ' | ' |
Life Insurance [Member] | ' | ' | ' | ' | ' |
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Deferred acquisition costs | 2,809,199 | 2,688,876 | ' | ' | ' |
Goodwill | 309,609 | 309,609 | ' | ' | ' |
Total assets | 3,118,808 | 2,998,485 | ' | ' | ' |
Health Insurance [Member] | ' | ' | ' | ' | ' |
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Deferred acquisition costs | 497,743 | 481,725 | ' | ' | ' |
Goodwill | 131,982 | 131,982 | ' | ' | ' |
Total assets | 629,725 | 613,707 | ' | ' | ' |
Annuity [Member] | ' | ' | ' | ' | ' |
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Deferred acquisition costs | 30,707 | 27,830 | ' | ' | ' |
Total assets | 30,707 | 27,830 | ' | ' | ' |
Investment [Member] | ' | ' | ' | ' | ' |
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Cash and invested assets | 13,456,944 | 14,155,919 | ' | ' | ' |
Accrued investment income | 200,038 | 195,497 | ' | ' | ' |
Total assets | 13,656,982 | 14,351,416 | ' | ' | ' |
Other [Member] | ' | ' | ' | ' | ' |
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ' | ' | ' |
Other assets | 755,522 | 785,472 | ' | ' | ' |
Total assets | $755,522 | $785,472 | ' | ' | ' |
Business_Segments_Other_Balanc
Business Segments - Other Balances by Segment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ' | ' |
Future policy benefits | $11,256,155 | $10,706,219 |
Unearned and advance premium | 74,174 | 76,088 |
Policy claims and other benefits payable | 223,380 | 228,470 |
Debt | 1,219,935 | 1,308,729 |
Total | 12,773,644 | 12,319,506 |
Life Insurance [Member] | ' | ' |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ' | ' |
Future policy benefits | 8,493,972 | 8,093,618 |
Unearned and advance premium | 16,970 | 16,856 |
Policy claims and other benefits payable | 121,661 | 123,600 |
Total | 8,632,603 | 8,234,074 |
Health Insurance [Member] | ' | ' |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ' | ' |
Future policy benefits | 1,384,365 | 1,264,540 |
Unearned and advance premium | 57,204 | 59,232 |
Policy claims and other benefits payable | 101,719 | 104,870 |
Total | 1,543,288 | 1,428,642 |
Annuity [Member] | ' | ' |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ' | ' |
Future policy benefits | 1,377,818 | 1,348,061 |
Total | 1,377,818 | 1,348,061 |
Investment [Member] | ' | ' |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ' | ' |
Debt | 1,219,935 | 1,308,729 |
Total | $1,219,935 | $1,308,729 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Contract | ||||
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
Retention limits per life | $2,000,000 | ' | ' | ' |
Percentage of insurance ceded on total life insurance in force | 0.50% | ' | ' | ' |
Ratio of reinsurance ceded to premium income | 0.30% | ' | ' | ' |
Life reinsurance assumed ratio to life insurance in force | 2.50% | ' | ' | ' |
Reinsurance assumed ratio on premium income | 0.90% | 1.10% | 1.20% | ' |
Rental expense for operating leases | 4,100,000 | 3,600,000 | 4,800,000 | ' |
Future minimum rental commitments in 2014 | 3,400,000 | ' | ' | ' |
Future minimum rental commitments in 2015 | 3,300,000 | ' | ' | ' |
Future minimum rental commitments in 2016 | 1,900,000 | ' | ' | ' |
Future minimum rental commitments in 2017 | 1,100,000 | ' | ' | ' |
Future minimum rental commitments in 2018 | 1,000,000 | ' | ' | ' |
Future minimum rental commitments in aggregate | 11,400,000 | ' | ' | ' |
Investment in low-income housing interests | 290,000,000 | 285,000,000 | ' | ' |
Obligations under commitments | 58,000,000 | ' | ' | ' |
Obligations under commitments due in 2014 | 41,000,000 | ' | ' | ' |
Obligations under commitments due in 2015 | 8,000,000 | ' | ' | ' |
Obligations under commitments due in 2016 | 0 | ' | ' | ' |
Recorded unconditional purchase obligation thereafter | 9,000,000 | ' | ' | ' |
Commitment to purchase private placement Investment | 33,800,000 | ' | ' | ' |
Securities of state and municipal governments | 10.00% | ' | ' | ' |
Proportion of state and municipal government securities at fair value invested in selected states | 5.00% | ' | ' | ' |
Par value of investment in fixed maturities rated below investment grade | 681,000,000 | ' | ' | ' |
Amortized cost of investment in fixed maturities rated below investment grade | 566,000,000 | ' | ' | ' |
Fair value of investment in fixed maturities rated below investment grade | 523,000,000 | ' | ' | ' |
Percentage of invested assets rated below investment grade | 4.00% | ' | ' | ' |
Number of guarantee agreements in place | 3 | ' | ' | ' |
Guaranty liability | 0 | ' | ' | ' |
Letter of credit maximum available amount | ' | ' | ' | 250,000,000 |
Letters of credit facility outstanding | 198,000,000 | 198,000,000 | ' | ' |
Letter of Credit [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
Letter of credit maximum available amount | 250,000,000 | ' | ' | ' |
Equipment Lease Guarantees [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
Maximum exposure under guarantees | $6,500,000 | ' | ' | ' |
Texas [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
State and municipal government securities at fair value invested by state | -0.31 | ' | ' | ' |
Ohio [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
State and municipal government securities at fair value invested by state | -0.07 | ' | ' | ' |
Washington [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
State and municipal government securities at fair value invested by state | -0.07 | ' | ' | ' |
Illinois [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
State and municipal government securities at fair value invested by state | -0.06 | ' | ' | ' |
Alabama [Member] | ' | ' | ' | ' |
Commitment And Contingencies [Line Items] | ' | ' | ' | ' |
State and municipal government securities at fair value invested by state | -0.05 | ' | ' | ' |
Commitment_and_Contingencies_S
Commitment and Contingencies - Schedule Of Percentages Of Investments By Major Components At Fair Value (Detail) | Dec. 31, 2013 |
Commitments And Contingencies Disclosure [Abstract] | ' |
Investment-grade corporate securities | 79.00% |
Securities of state and municipal governments | 10.00% |
Below-investment-grade securities | 4.00% |
Policy loans, which are secured by the underlying insurance policy values | 3.00% |
Government-sponsored enterprises | 2.00% |
Other fixed maturities, equity securities, mortgages, real estate, other long-term investments, and short-term investments | 2.00% |
Proportion of total securities at fair value in investment portfolio, Total | 100.00% |
Commitment_and_Contingencies_S1
Commitment and Contingencies - Schedule Of Industry Concentrations Held In Corporate Portfolio Based On Fair Value (Detail) | Dec. 31, 2013 |
Commitments And Contingencies Disclosure [Abstract] | ' |
Insurance | 17.00% |
Electric utilities and services | 17.00% |
Pipelines | 7.00% |
Banks | 6.00% |
Oil and gas extraction | 6.00% |
Transportation | 5.00% |
Mining | 4.00% |
Chemicals | 4.00% |
Telecommunications | 3.00% |
REITs | 3.00% |
Selected_Quarterly_Data_Unaudi2
Selected Quarterly Data (Unaudited) - Schedule of Selected Quarterly Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premium and policy charges | $750,611 | $750,998 | $765,851 | $784,814 | $732,545 | $699,860 | $705,582 | $718,475 | $3,052,274 | $2,856,462 | $2,656,318 |
Net investment income | 178,284 | 176,656 | 177,964 | 176,839 | 174,947 | 169,400 | 175,176 | 174,121 | 709,743 | 693,644 | 693,028 |
Realized investment gains (losses) | 1,525 | 4,459 | 5,913 | -3,907 | 20,883 | 7,283 | 4,661 | 5,006 | 7,990 | 37,833 | 25,904 |
Total revenues | 930,594 | 932,789 | 950,339 | 958,216 | 928,698 | 877,100 | 885,795 | 897,923 | 3,771,938 | 3,589,516 | 3,377,401 |
Policy benefits | 495,561 | 516,783 | 524,499 | 552,003 | 479,109 | 479,119 | 484,807 | 512,647 | 2,088,846 | 1,955,682 | 1,793,276 |
Amortization of acquisition expenses | 100,743 | 98,444 | 102,488 | 101,714 | 98,052 | 94,016 | 96,601 | 96,498 | 403,389 | 385,167 | 364,583 |
Pretax income | 206,429 | 190,850 | 192,784 | 173,063 | 220,587 | 188,791 | 186,380 | 170,235 | 763,126 | 765,993 | 723,782 |
Net income | $142,817 | $132,122 | $133,901 | $119,632 | $150,987 | $130,672 | $128,988 | $118,677 | $528,472 | $529,324 | $497,161 |
Basic net income per common share | $1.59 | $1.45 | $1.45 | $1.28 | $1.60 | $1.37 | $1.33 | $1.19 | $5.76 | $5.48 | $4.59 |
Diluted net income per common share | $1.56 | $1.43 | $1.44 | $1.27 | $1.58 | $1.36 | $1.32 | $1.17 | $5.68 | $5.41 | $4.53 |
Schedule_II_Condensed_Financia1
Schedule II - Condensed Financial Information of Registrant (Condensed Balance Sheets) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Assets: | ' | ' | ' | ' |
Total investments | $13,420,001 | $14,094,209 | ' | ' |
Cash | 36,943 | 61,710 | 84,113 | 365,679 |
Other assets | 424,419 | 401,763 | ' | ' |
Total assets | 18,191,744 | 18,776,910 | ' | ' |
Liabilities: | ' | ' | ' | ' |
Short-term debt | 229,070 | 319,043 | ' | ' |
Other liabilities | 261,898 | 392,502 | ' | ' |
Total liabilities | 14,415,402 | 14,415,124 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Preferred stock | 0 | 0 | ' | ' |
Common stock | 100,812 | 105,812 | ' | ' |
Additional paid-in capital | 462,058 | 439,782 | ' | ' |
Accumulated other comprehensive income | 210,981 | 925,275 | ' | ' |
Retained earnings | 3,545,939 | 3,403,338 | ' | ' |
Treasury stock | -543,448 | -512,421 | ' | ' |
Total shareholders' equity | 3,776,342 | 4,361,786 | 3,859,631 | 3,667,329 |
Total liabilities and shareholders' equity | 18,191,744 | 18,776,910 | ' | ' |
Parent Company [Member] | ' | ' | ' | ' |
Assets: | ' | ' | ' | ' |
Long-term investments | 34,816 | 31,060 | ' | ' |
Short-term investments | 8,415 | 1,610 | ' | ' |
Total investments | 43,231 | 32,670 | ' | ' |
Cash | 0 | 0 | ' | ' |
Investment in affiliates | 5,074,326 | 5,780,762 | ' | ' |
Due from affiliates | 50,766 | 156,995 | ' | ' |
Taxes receivable | 66,168 | 86,391 | ' | ' |
Other assets | 45,533 | 27,635 | ' | ' |
Total assets | 5,280,024 | 6,084,453 | ' | ' |
Liabilities: | ' | ' | ' | ' |
Short-term debt | 229,070 | 319,043 | ' | ' |
Long-term debt | 1,140,469 | 1,139,253 | ' | ' |
Due to affiliates | 652 | 59,358 | ' | ' |
Other liabilities | 133,491 | 205,013 | ' | ' |
Total liabilities | 1,503,682 | 1,722,667 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Preferred stock | 351 | 351 | ' | ' |
Common stock | 100,812 | 105,812 | ' | ' |
Additional paid-in capital | 812,569 | 790,293 | ' | ' |
Accumulated other comprehensive income | 210,981 | 925,275 | ' | ' |
Retained earnings | 3,545,939 | 3,403,338 | ' | ' |
Treasury stock | -894,310 | -863,283 | ' | ' |
Total shareholders' equity | 3,776,342 | 4,361,786 | ' | ' |
Total liabilities and shareholders' equity | $5,280,024 | $6,084,453 | ' | ' |
Schedule_II_Condensed_Financia2
Schedule II - Condensed Financial Information of Registrant (Condensed Statements of Operations) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net investment income | $178,284 | $176,656 | $177,964 | $176,839 | $174,947 | $169,400 | $175,176 | $174,121 | $709,743 | $693,644 | $693,028 |
Realized investment gains (losses) | 1,525 | 4,459 | 5,913 | -3,907 | 20,883 | 7,283 | 4,661 | 5,006 | 7,990 | 37,833 | 25,904 |
Total revenue | 930,594 | 932,789 | 950,339 | 958,216 | 928,698 | 877,100 | 885,795 | 897,923 | 3,771,938 | 3,589,516 | 3,377,401 |
General operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 214,690 | 198,176 | 201,636 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 80,461 | 80,512 | 77,908 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 3,008,812 | 2,823,523 | 2,653,619 |
Operating income (loss) before income taxes and equity in earnings of affiliates | 206,429 | 190,850 | 192,784 | 173,063 | 220,587 | 188,791 | 186,380 | 170,235 | 763,126 | 765,993 | 723,782 |
Income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 234,654 | 236,669 | 226,166 |
Net income | 142,817 | 132,122 | 133,901 | 119,632 | 150,987 | 130,672 | 128,988 | 118,677 | 528,472 | 529,324 | 497,161 |
Other comprehensive income (loss): | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | -185,822 | 904,683 | 1,023,985 |
Parent Company [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net investment income | ' | ' | ' | ' | ' | ' | ' | ' | 24,268 | 22,968 | 23,542 |
Realized investment gains (losses) | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -3,534 | 508 |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 24,268 | 19,434 | 24,050 |
General operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 53,255 | 49,549 | 30,945 |
Reimbursements from affiliates | ' | ' | ' | ' | ' | ' | ' | ' | -46,855 | -31,184 | -19,335 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 84,273 | 81,145 | 75,426 |
Total benefits and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 90,673 | 99,510 | 87,036 |
Operating income (loss) before income taxes and equity in earnings of affiliates | ' | ' | ' | ' | ' | ' | ' | ' | -66,405 | -80,076 | -62,986 |
Income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 17,390 | 24,916 | 14,380 |
Net operating loss before equity in earnings of affiliates | ' | ' | ' | ' | ' | ' | ' | ' | -49,015 | -55,160 | -48,606 |
Equity in earnings of affiliates | ' | ' | ' | ' | ' | ' | ' | ' | 577,487 | 584,484 | 545,767 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | 528,472 | 529,324 | 497,161 |
Other comprehensive income (loss): | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Attributable to Parent Company | ' | ' | ' | ' | ' | ' | ' | ' | 38,557 | -31,388 | -5,410 |
Attributable to affiliates | ' | ' | ' | ' | ' | ' | ' | ' | -752,851 | 406,747 | 532,234 |
Comprehensive income (loss) | ' | ' | ' | ' | ' | ' | ' | ' | ($185,822) | $904,683 | $1,023,985 |
Schedule_II_Condensed_Financia3
Schedule II - Condensed Financial Information of Registrant (Condensed Statement of Cash Flows) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Cash provided from operations | $1,119,280 | $942,839 | $859,464 |
Cash provided from (used for) investing activities: | ' | ' | ' |
Disposition of investments | 642,681 | 1,091,959 | 682,328 |
Net decrease (increase) in short-term investments | 17,970 | -73,616 | 195,435 |
Acquisition of Family Heritage | 0 | -186,424 | 0 |
Cash provided from (used for) investing activities | -614,378 | -698,039 | -312,133 |
Cash provided from (used for) financing activities: | ' | ' | ' |
Net issuance (repayment) of commercial paper | 3,983 | 245 | 25,967 |
Issuance of stock | 97,816 | 181,022 | 162,613 |
Acquisitions of treasury stock | -482,264 | -570,165 | -972,556 |
Excess tax benefit on stock option exercises | 21,315 | 22,602 | 13,121 |
Payment of dividends | -60,911 | -55,527 | -49,125 |
Cash provided from (used for) financing activities | -535,919 | -269,112 | -824,485 |
Increase (decrease) in cash | -24,767 | -22,403 | -281,566 |
3.80% Senior Notes due 2022 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 150,000 | 0 |
5.875% Junior subordinated debentures due 2052 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 125,000 | 0 |
7.375% Notes [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Repayment of Notes | -94,050 | 0 | 0 |
7.1% Junior Subordinated Debentures [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Redemption of Junior Subordinated Debentures | 0 | -123,711 | 0 |
Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Cash provided from (used for) operations before dividends from subsidiaries | -54,213 | -5,652 | -33,042 |
Cash dividends from subsidiaries | 488,376 | 436,814 | 769,139 |
Cash provided from operations | 434,163 | 431,162 | 736,097 |
Cash provided from (used for) investing activities: | ' | ' | ' |
Disposition of investments | 514 | 3,955 | 11,828 |
Net decrease (increase) in short-term investments | -6,805 | -17,524 | 62,524 |
Acquisition of Family Heritage | 0 | -213,747 | 0 |
Investment in other subsidiaries | 0 | -205 | -25,000 |
Cash provided from (used for) investing activities | -6,291 | -227,521 | 49,352 |
Cash provided from (used for) financing activities: | ' | ' | ' |
Net issuance (repayment) of commercial paper | 3,983 | 245 | 25,967 |
Issuance of stock | 97,677 | 181,022 | 162,613 |
Acquisitions of treasury stock | -482,264 | -570,165 | -972,556 |
Excess tax benefit on stock option exercises | 10,963 | 12,209 | 2,021 |
Payment of dividends | -84,181 | -78,797 | -72,395 |
Cash provided from (used for) financing activities | -427,872 | -230,740 | -758,350 |
Increase (decrease) in cash | 0 | -27,099 | 27,099 |
Cash balance at beginning of period | 0 | 27,099 | 0 |
Cash balance at end of period | 0 | 0 | 27,099 |
Parent Company [Member] | Subsidiaries [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Net borrowings (to)/from subsidiaries | 120,000 | -69,000 | 96,000 |
Parent Company [Member] | 3.80% Senior Notes due 2022 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 296,646 | 0 |
Parent Company [Member] | 5.875% Junior subordinated debentures due 2052 [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Proceeds from issuance of debt | 0 | 120,811 | 0 |
Parent Company [Member] | 7.375% Notes [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Repayment of Notes | -94,050 | 0 | 0 |
Parent Company [Member] | 7.1% Junior Subordinated Debentures [Member] | ' | ' | ' |
Cash provided from (used for) financing activities: | ' | ' | ' |
Redemption of Junior Subordinated Debentures | $0 | ($123,711) | $0 |
Schedule_II_Condensed_Financia4
Schedule II - Condensed Financial Information of Registrant (Notes To Condensed Financial Statements) (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Dividend of subsidiary to Parent | $488,376,000 | $436,814,000 | $769,139,000 |
Stock-based compensation not involving cash | 25,642,000 | 21,605,000 | 14,954,000 |
Debt assumed to acquire Family Heritage | 0 | 20,000,000 | 0 |
Interest paid | 81,322,000 | 77,686,000 | 75,653,000 |
Income taxes paid | 139,091,000 | 89,061,000 | 188,510,000 |
Preferred stock, shares outstanding | 0 | 0 | ' |
Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Dividend of subsidiary to Parent | 1,246,557,000 | 0 | 0 |
Stock-based compensation not involving cash | 25,642,000 | 21,605,000 | 14,954,000 |
Debt assumed to acquire Family Heritage | 0 | 20,000,000 | 0 |
Dividend of subsidiary applied to loan balance | 72,000,000 | 0 | 0 |
Interest paid | 85,443,000 | 76,833,000 | 74,569,000 |
Income taxes paid | 27,820,000 | 29,251,000 | 22,893,000 |
Preferred stock, liquidation distribution available to stockholders, per share in thousands | $1,000 | ' | ' |
Preferred stock, liquidating distribution legally available, aggregate value | $351,000,000 | ' | ' |
Cumulative Series A Preferred Stock [Member] | Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Preferred stock, shares issued | 351,000 | ' | ' |
Preferred stock, shares outstanding | 351,000 | ' | ' |
6.50% Cumulative Preferred Stock, Series A [Member] | Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Preferred stock, shares issued | 280,000 | ' | ' |
Preferred stock, shares outstanding | 280,000 | ' | ' |
Preferred stock, dividend rate, percentage | 6.50% | ' | ' |
7.15% Cumulative Preferred Stock, Series A [Member] | Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' |
Preferred stock, shares issued | 71,000 | ' | ' |
Preferred stock, shares outstanding | 71,000 | ' | ' |
Preferred stock, dividend rate, percentage | 7.15% | ' | ' |
Schedule_IV_Reinsurance_Detail
Schedule IV - Reinsurance (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Reinsurance Premiums And Life Insurance In force For Insurance Companies By Product Segment Line Items | ' | ' | ' |
Life Insurance in Force, gross amount | $154,488,511 | $150,107,614 | $144,778,793 |
Life Insurance in Force, ceded to other companies | 782,125 | 800,905 | 738,935 |
Life Insurance in Force, assumed from other companies | 3,882,237 | 4,138,180 | 4,414,247 |
Life Insurance in Force, Net Amount | 157,588,623 | 153,444,889 | 148,454,105 |
Life Insurance in Force, percentage of amount assumed to net | 2.50% | 2.70% | 3.00% |
Premium, gross amount | 3,010,959 | 2,812,248 | 2,607,058 |
Premium, ceded to other companies | 7,769 | 9,821 | 7,001 |
Premium, assumed from other companies | 26,960 | 30,725 | 31,311 |
Premium income | 3,030,150 | 2,833,152 | 2,631,368 |
Percentage of assumed premiums earned to net premiums earned | 0.90% | 1.10% | 1.20% |
Life Insurance [Member] | ' | ' | ' |
Reinsurance Premiums And Life Insurance In force For Insurance Companies By Product Segment Line Items | ' | ' | ' |
Premium, gross amount | 1,841,425 | 1,762,640 | 1,675,307 |
Premium, ceded to other companies | 4,645 | 7,592 | 4,716 |
Premium, assumed from other companies | 26,960 | 30,725 | 31,311 |
Premium income | 1,863,740 | 1,785,773 | 1,701,902 |
Percentage of assumed premiums earned to net premiums earned | 1.40% | 1.70% | 1.80% |
Health Insurance [Member] | ' | ' | ' |
Reinsurance Premiums And Life Insurance In force For Insurance Companies By Product Segment Line Items | ' | ' | ' |
Premium, gross amount | 1,169,534 | 1,049,608 | 931,751 |
Premium, ceded to other companies | 3,124 | 2,229 | 2,285 |
Premium, assumed from other companies | 0 | 0 | 0 |
Premium income | $1,166,410 | $1,047,379 | $929,466 |
Percentage of assumed premiums earned to net premiums earned | 0.00% | 0.00% | 0.00% |
Schedule_IV_Reinsurance_Parent
Schedule IV - Reinsurance (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Supplemental Schedule Of Reinsurance Premiums For Insurance Companies [Abstract] | ' | ' | ' |
Policy charges | $22,124 | $23,310 | $24,950 |