look great earnings goals of continuing and Thank to to forward I you, am Tom, alongside team pleased as to Genworth achieve call to value first and on morning, our CFO Genworth. shareholders. made building progress Tom has good and join deliver work the our the and to I my everyone.
LDTI. results, the GAAP targeted I on improvements accounting long-duration to segment adoption of discussing standard, Before will update or reporting an our our and provide changes the highlight new
our are, segments The Care business. Insurance, and Effective the operating manage and currently January Life segments we with Long-Term to operating how Mortgage Xst, Annuities. changed we better align Enact Insurance
Debt, Company and Holding Company our includes primarily which Operating Other, and Expenses Public Corporate have we addition, In CareScout.
LDTI, This Enact does to any activities. and Corporate levels that Regarding does is accounting remember strategy, segments. new important or our only not this GAAP Life to our accounting or or accounting Care impact and and impact Other. Insurance standard it statutory flows Long-Term It capital applies is not capital cash of change non-economic and our management Annuities
recast quarter as of XXXX, With and Insurance LDTI, we new of the sheet the the first Life adoption Long-Term balance for under results guidance. have Annuities as XXXX the well Care XXXX and first financial segments the and of reported quarter for the
provide the August. our earnings XXXX financials of by quarter re-casted remaining for We to early are second quarters the in of announcement time targeting
market I has to recent turmoil the to the quarter, Turning address want experienced. the banking
exposure no or As Bank. Silicon has Tom mentioned, Valley Genworth to Signature Bank
of with a quarter. did, through debt to and have mainly majority small positions. however, the in on regional record second loss position their in to sold with hold of exposure in We holdings limited our down comfortable first GAAP expect and our net banks Republic a are a the basis. subsequently million We quarter, overall First $XX exposure We the
bond exposure to to which In we by to had Credit expected is importantly, Suisse’s acquired more no limited Suisse, additional Tier addition, X UBS. we bonds. Credit have be exposure very And riskier
economic over the interest environment attention uncertainty. manage portfolio We higher to money allows investment market rate and our remains proactively invest which and rates, to in well manage the paying and new the the to our current positioned holdings through us pressures at portfolio time. attractive close will concerns are We benefit
support the have hold buy Because As our risk. liabilities of the are long generally Insurance duration, to are in liquidity Care liabilities. we Life very reminder, for fixed Long-Term U.S. Insurance, maturities especially we assets a majority and company’s that the investment-grade limited
has in estate We modest on assets basis. closely office exposure, our higher are estate real slide commercial is approximately investment-grade than and portfolio. quality monitoring The weighted was less eight concentrated which shown is our portfolio XX% XX% and exposure commercial on real total average a of of
proactive and yield positioned commercial enhancing managing amidst estate portfolio believe all exposure opportunities we asset remain well is office in across volatility and classes. real We our finding
quarter company Now holding I results position. first and liquidity financial will turn to our capital and
For share operating the first were income net or $X.XX of income and led loss income or of diluted million reported $X.XX Enact’s $XX $XXX we per performance. per to performance by by million quarter, favorable in very $XX strong Results driven share. million operating adjusted Genworth, of diluted
Turning to high Enact’s force increased driven $XXX insurance slide NIW or persistency and in nine, insurance by to X% of primary new continued XX%. year-over-year billion written
primary year-over-year increase origination mortgage lower NIW interest lower by see to in driven continue environment. the We rate
is Enact execute and and pressures capitalized continues highlighted, Enact to while to its are there that a well business, resilient mortgage pricing, return. new portfolio, risk housing strategy. has As on the continues the profitable origination team in write has market and and balancing
favorable XX, a cures delinquencies. to ratio primarily release reserve X%. on release, loss drove COVID-XX Enact Moving million slide of had The which reflects $XX negative pretax reserve a favorable
Prior $XX strong year a or billion release results remain flat approximately requirements the million relatively due PMIER XXX% and included COVID-XX for largely delinquencies. estimated of quarter. cures $X.X The to ratio and also sufficiency on reserve above pretax
Enact’s of Genworth. quarterly generated of $X.XX proceeds payment dividend million per share $XX to
We are June. payable share our the to quarterly per dividend announcement to pleased in raise $X.XX with
is Enact’s XXXX come XX.X% on returns repurchase in dividend. quarterly expected program capital return of its Based last line a and our with ownership. share to million Enact $XXX from to receiving year, anticipate in $XXX This its combination million on shareholders we special of a through to year, approximately based dividends, this expectation their
assumptions be Annuity our mark-to-market. assumptions out at In level risk now Market cohort the lays annually. benefits XX pricing Slide our original at new Annuities versus our segments. to changes an GAAP updated be overview on and and for will best of will are locked-in accounting summary, Life a related based LTC and least estimates products
AOCI. liability our Finally, reserves a benefits AOCI required single-A other are or at through to recorded will volatility we create This corporate accumulated with our and policy basis. bond rate, discount quarterly for in income future on changes comprehensive
at these quarter, assumptions are we our date. issue flow our original best required experience estimate each a measure versus and contract income cohort Policy will cohorts based actual are Additionally, through differences policy the statement. to the level on
premium our versus policy the evaluating take assumptions, our When ratio. estimate account we experience will actual best into cohorts net
profits Our from basis net or cohorts ratio premium actual as expect we more with earnings a XXX% so margin, have blocks modest below we experience. these impacts quarterly on a evaluate
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our to may driver of impacts GAAP material The earnings these unprofitable a going be story forward. cohorts
why to also we our GAAP disclosures. As reinforces results, statutory Tom particularly mentioned, encouraged quarterly have review going forward, expected LTC volatility in the investors
GAAP Care quarter turn let’s Long-Term to our results. Insurance Now first
of reported loss business adjusted the $XX operating adjusted to LTC an million, prior $XX Our of year. compared in million income operating
less timing an estimate certain Current versus so in or favorable unprofitable update assumption quarter This was GAAP the prior best the reflect IFAs. current implementation cohorts, delays the related although in-force under rate of results experience assumptions, unfavorable actions partially to expectations our year. offset actual principally by for than
year. in claims the high This prior Terminations higher and quarter seasonally expectations, than of elevated in prior benefit due the to although quarter to experience the were than year. the to partly new compared included the expected lower utilization first year, current mortality compared
implemented paid-up income For from loans increased the versus up impact limited IFAs, year year XX, from offset prior and the rates which yields. investment premium reaching from runoff Net investment bank the prior policies of were status. block a higher and up premiums slide versus partnerships, was
and of indicated, agencies. we the managing statutory focus focus in more to have is our the regulators rating as for continued materials provide our this business As and quarterly disclosures our is
estimated Statutory from slide earnings As of quarter, current visibility positive piece of XX, $XXX in and impact more from driven $XXX IFAs. pretax to have initiative which million our into earnings to million, block shown on key a and by on bring breakeven. business, to LTC it is statutory provides the income be the IFAs our the the strategy stabilize our vital our are LTC
It our is noteworthy include under that accounting, LDTI assumptions expectations settlements IFAs best reserves. our now related to estimate legal in impacts and
IFAs we related change how However, expenses LDTI to premiums settlements. or not did IFA and report
on forward, when expected a liability the updated are to in experience. differences estimate basis, or an earnings Going our only GAAP actual assumptions will there see if best are impact
we While a our result through GAAP we earnings be generally IFA statutory how quarterly earnings future, can’t to earnings. LTC significantly the than and releases less reserve benefit expect flow our of predict reductions as
on plan, We of net make as million $XXX incremental our on continue gross progress to million multiyear action slide this approved, rate quarter achieving of an XX. on premiums shown present $XX value
year first of are of processes state submissions XX planning but generally completed filing year, team as complete we us our the record lower premium. upcoming $XXX and plan quarter our and XXXX. of start filings terms in performance the the each the new in IFA year to XXXX on we quarter a good have this multiyear year-end in-force rate first for year million a of for action in nearly was
from time, reduce which cumulative at now more billion Our is tail $XX.X fourth these our Over benefits, LTC value on have risk of policyholders policies. allows their $XX.X reduce the chosen present quarter IFAs to us to billion, net turn, of up XXXX. achieved in
electing XX.X% to slide the response reduce quarter rate to benefits. policyholder the cumulative premium through shows XX, first For actions
LTC and August to PCS covers I block. and midway our of through of a implementation LTC We which II approximately began the are legal little Xst related XX% policies, on second our settlement now over
As election settlement we a a from so impacts reminder, would policyholders this see of year. expect into have the period, to XX-day quarter the fourth financial
our Choice the LTC to process approved II court is legal complete. related been policy The large settlement third by and the block has appeals
earlier settlement XX% Choice of letters begun largest election week to This going We as the block of are with our pleased is II our block to this have represents first mailings LTC of implementation business. out policyholders. settlement
are both Genworth. and Overall, settlements to favorable the the policyholders to
claims settlements helped as LTC to which and I us, block, as on Choice our the higher the tail For continue risk our important is we policies II new age. reduce see
slide XX. to Turning
adjusted by an primary Annuity of was $XX Our loss driver from operating in experience. of operating driven fixed product adjusted reported Life unfavorable offset variable The $XX $X Annuities. and mortality partially Life income loss segment adjusted of life million, million, from $X loss Annuities the our million an million and in of Insurance operating by insurance
related However, it year the $XX for year pretax expense did prior mortality to reoccur. accrual as saw also versus we year Insurance products. was included a the Life COVID-XX improved legal The a not last prior our Universal settlement million
results Fixed from Variable the offset by had Annuities from higher prior net prior lower to Annuities payout lower partially and impacts of fixed value. reflected the favorable year, lower account year. block compared spreads the annuity versus aging mortality the fee income
As mentioned, rates. improved Annuities shown impact equity we related favorability million, driven of in be for the I and net lower by $XXX market driven million, $XXX predominantly performance income pretax Insurance IFAs companies our and statutory to variable LTC pretax estimating on are slide interest LTC as U.S. to Life of by XX, million of $XXX our earnings
for of at current statutory earnings fourth Life capital Insurance GLIC, reflecting or Genworth the XXX% the in the end risk-based strong at consolidated quarter. the quarter, up XXX% is from estimated ratio at March, Company The
of as of compared balance with surplus billion, year-end. at as to billion sound estimated GLIC and March XXst consolidated of $X.X The sheet remains capital $X.X
improvement although surplus continued of the growth negative time. capital surplus, this at and with pleased are our We still in unassigned and
that reiterate changed to the the will dividends our have we I expect companies into or it. contribute receive Insurance for to business and do plans U.S. Life not capital not from
block Insurance standalone a manage on and continue it breakeven. on LTC bringing U.S. to will the companies stabilizing Life the basis We to focusing
statutory quarter statutory with available final be later our first investor will our this website filings results month. Our on
and higher expense. GAAP by prior results Others growth higher quarter to out current Rounding compared CareScout and investment of loss million with $XX Corporate interest adjusted operating the for quarter. driven in was year, the future
and on intercompany service. target of capital Turning to $XX and company from above holding $XX the the received tax quarter. million We liquid assets, $XXX with Enact quarter X We of cash from cash million of slide debt the million payments our times XX. in ended annual
$XXX we company million For the holding full and to intercompany net expect year, approximately million to the payments. tax $XXX
repurchased We the of X.X% coupon principal during maturity our quarter. million debt current XXXX $XX
to we for capital as the will said As consideration repurchase available our by compensation larger of and our are in which free look reimbursed businesses. annual we employee repurchase opportunistically program XXXX quarter timing have the other The related outflows have our we cash before, priorities. flows of subsidiary debt our and payments, to share the
the years, our Given our significant few holding over debt significantly improved. past reduction has company position financial
We strength are flexibility enhanced and have a company. position now of as our from a operating
proactive As think will we be managing free flows. cash going in capital forward, allocation our about strategy our we
in We invest our capital growth CareScout to down pay program will return to repurchase new through and opportunistically debt. share continue shareholders initiatives, our
We and Life Moody’s. ratings start reflected had upgrades S&P and from in in earnings performance, our our strong Enact’s Insurance U.S. a year, companies the to statutory strong
strategic accelerated continue priorities repurchase program, and pace value Genworth execute shareholders. We driving on the our our to of share
the Now, Operator the call I to for your questions. turn will back
