PRI - Earnings call transcript Q3 2024

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Operator

Greetings, and welcome to the Primerica Third Quarter 2024 Earnings Call and Webcast. [Operator Instructions].

As a reminder, this conference is being recorded. It is now my pleasure to introduce Nicole Russell, Senior Vice President, Investor Relations. Thank you.

begin. may You

Nicole Russell

today's and Quarter Darryl, release everyone. to our relevant Welcome last Investor on Thank section Relations Call. good A Third of to materials other Earnings along press are copy Primerica's posted night, the you, website. with morning, call, of issued our

Executive Joining Tan. Chief Williams; our Officer, call our are Chief and Glenn today Financial Tracy Officer,

recent XX-K no harbor Reform contain could or of this statements most in risks our and differ actual assume may safe to list morning Act. the Forms implied. that Litigation uncertainties materially Form Securities may expressed information, cause forward-looking be to subsequent statements provision comments these modified those the by and Our with of a results new update to as obligation We for XX-Q accordance reflect you refer to filing from

also We numbers available of additional company's press are into on the reference measures, will to release Relations our believe our respective non-GAAP Reconciliation measures provide will the website. which and end insight included non-GAAP at their results. certain financial earnings we Investor of are GAAP

would to Glenn. call now the over like I to turn

Glenn Williams

our the with families us to double-digit The middle-income Thank thanks, and Canada. everyone, strong for ability grow our entrepreneurial momentum more growth of appeal distribution and serve in to distribution Primerica you, supporting reported continues another joining quarter resonate, in adjusted Nicole, earnings. and solid and today. U.S. operating opportunity business

to assumptions $XX equity income strong results in current savings We pretax a business, and markets in bolster drive our added quarter. benefit and our continue that actuarial to to the from revision investor million favorable investment confidence while

of XX%. to year $XXX common -- of and million net Year-to-date, a through has Strong up flow million increased XX% $XX adjusted enabled while total combination of in stock quarter adjusted per generation to cash the $X.XX share share million Primerica the $XXX $XXX returned million, regular dividends. diluted total, to operating our stockholders was earnings a repurchase operating us In And prior of period, during income repurchases compared and paid dividends.

our effectively opportunity Let's was convention to attractiveness that results. generated of communicate ability and The by our July the field our momentum recruiting efforts. leaders' Primerica's review the boosted distribution additional

During recruit we that the quarter. initiative our closing our of July the the trajectory a beginning fee convention, over of promotion remainder during individuals line for increased discounted strong XXX,XXX the announced helped our and us This and August. already licensing of

of the size attribute quarter, the recruiting last XX,XXX the the and sales force X% life we've The to this During period. year and focus XX% recruiting, our total We XXXX months. licensing reps growth September a for XXXX, of of as license how a with end the X% recruiting the licensed October. XXX,XXX licensed the first to of at XXX,XXX sales and drive to of sustained in success a with years. combined several XX, in life few compared licensed ever, strong our growth of over We project we year-over-year to life reps milestone licensing increase made year over as size increase prior full record fueled process license for improvements individuals, a licensing ending has in time historically of in the our force

prior an unchanged $XX monthly added license per Year-over-year, quarter, new to a at the our X% year turn and life productivity We period billion XX,XXX of term policies new protection increase from issued compared to during of term business. X.XX average new Let's rate remained policies life middle-income issued next Life life Term rep. families. the

grow strong sales last we year expect on around families cost continue and of of sales year's fourth pressures middle-income to life to impact continued the for factoring in full X%. quarter, volume After living

continue offering strong trend Sales more our business. This Looking product equity serve choices. complemented in at portfolio and a returns, is which market benefit improvements positive from Savings as including managed our by driver. variable annuity and Products options to key Investment our attractive accounts in

force our with the set introduced sales experience fund in is mutual Canada there last new product gaining Additionally, year.

during increased year-over-year year XX% the across and U.S. billion the and $X.X XX% fund XX% product increase of the in annuity major mutual variable all a Sales to We expectations. Canada combined in quarter increase saw outpacing compared including sales. period, solid sales prior growth lines,

in of sales results robust of wider custodial quarter as Preliminary new options also fund showed XXXX. of on that the managed Sales clients platform was continued advantage strength. the third available the accounts October in were took launched

As our result, to to we're XX%. XX% of range a raising forecast a XXXX sales ISP

We -- ending the benefited up quarter market positive year-over-year. from again at Client million quarter. appreciation, during asset Net billion, $XXX flows the strong equity $XXX at remained values XX% have

funds. reps Canada In Canada, recently give a Canada segregated distribution provides of to additional will into address which it underserved Life, we new the next This also rolled our expands to choice, agreement Canadian only are needs of beginning not phases out access options entered year. funds to product new Life a with and curated selection reps The to families. but be help expected our

X,XXX than help million of months We're Sales closed volume new in $XXX mortgage more consolidate our XXXX. Year-to-date, to licensed positioned mortgage nearly U.S. refinance first through around business to debt. mortgage to business middle-income consumer in XX started license This we've X families to compared XX% improve. obtain business states also volume, is or in has to the representatives. do well a up

long-term business. potential We -- and have we we lending this about partners, great optimistic are for the

referral We refinancing the border. also mortgages of in new north clients program to opportunities and our a Canada, bringing mortgage have

to of provide lives much to in role compel of efforts. confidence and is clients. our Primerica future the middle-income we to We of Every their as distribution support with what We education to take and the proud our best force look the who committed at families. serve and financial remain I'm field accomplished day, our sales mission needed plays them office teammates clients the grateful action. important my to grow because we home with the our

over With Tracy. that, I'll hand it to

Tracy Tan

morning, Good everyone. Thank you, Glenn.

its XXXX, and has Primerica results discontinued performance senior business our successfully Inc., reported been its exited abandoning e-TeleQuote XX, September permanently periods are operations by segment's and relinquishing The of have now measures As e-TeleQuote. excluded rights in surrendering presented. to and all health from

on and segments my the I an of results capital core earnings In today, will operating and comments discussion our of by cover expenses consolidated other for update a position. each our followed insurance

of quarter $XX highly our million in margins $X while that part increased Under billion of are to Term recognized -- generally LDTI income a are direct are not the in remeasurement XX% variances the quarter. mortality gain limited given Starting segment. Life reinsurance. X% variances, premiums. in million rose a our last with they to sensitive to due growth the by extensive Pretax million accounting Term adjusted $XXX of Revenues by predictable rules, year-over-year, use driven during X% $XXX Life

be When the some in we as make changes during case this to annual was results the our assumption quarter long-term subject actuarial to segment's assumptions, volatility, can the review.

estimates assumptions that the As our future a of short-term best reminder, forecasting set view reflect our long-term avoid and volatility. are as

part rate both impact pandemic. falling at and favorable incident not and February an mortality since under in our been benefits, the assumptions experience disclosed million year, disability As premium debt financial remained since has our declined gain a and quarter. unfavorable XXXX rate in of these reinsurance of Unlike this estimate which not has in resulted best our XX-K filed We lapse our and the for a to of has our are levels. results. similar $XX incident disproportionate is we it Form the current YRT program reflected disability in had benefits rider rates, XXXX Because remeasurement in recognized waiver the which improvement waiver the

resulted remeasurement slight In We impact of net in our assumptions, mortality also and a adjustments to made of these had which aggregate, a $X million reinsurance. neither results. lapse gain to financial our meaningful updates

Experian remained experiences. assumptions. believe for in family assumptions, the on immaterial We elevated over observed to policies lapses mortality had on remains with our an year largely of the in living lapses net a which our durations. remeasurement. cost Turning middle-income last multiple higher higher line contributor impact key from issued updated across and lower We Persistency pressure

to We persistency normalize expect over time. overall the

ADP can lapses current growth impact under key higher future LDTI, our do financial constrain not meaningfully ratios. While lapses

prior key ratios, points basis the and the claims XXX ratio period. period. our prior remeasurement ratio the benefits at and favorable and to in debt a at consistent ratio contributed at period with gain insurance ratio. XX.X% line Looking largely financial XX.X% the year The Adjusting recorded at expense claims X.X% with the in amortization item, benefits the remained year was the current this for year

the year prior XX% revised of the XX%, be XX.X% expect ratio impact quarter, with guidance amortization around the and the of claims and after I for full Finally, period. provide fourth the around line gain, XX%. for the was of DAC In year will benefits adjusting operating ratio we in margin to February. to the XXXX an in margin be operating around remeasurement

Investment product Turning conditions. across which continues from Products benefit market Savings results our demand favorable lines of product and segment, the next all to strong to nearly and equity

XX%. sales due the I combination Revenue income while During of sales-based of generating of values. client and average XX%. million client sales to demand increased million XX%, fees of $XX a benefiting -- XX% asset $XXX rose higher million strong revenue and from rose revenues commissions quarter, Pretax $XX increased from

grew line commission variable -- a Sales-based revenues sales. correlated strong -- due annuities. sales generally for are at rose than with expenses correlated We continued rate higher slightly demand to in

with while grew expenses XX%, commission XX% value Asset-based revenues client rose associated in similar line of $XXX at average in asset a million increase rate.

growth Other the remeasurement net compared million the $X.X to of included non-term the portfolio. book a income continues of assumptions of insurance and a of during current in closed $X.X quarter subset third year pretax Distributed investment from loss compared combination The period. on Products yielding due in income higher to $X.X and prior of Corporate operating million $X loss to the incurred quarter segment The to refinement a of the the The which in prior million a pretax benefit business. to year operating investments segment million added size life period.

and increase the insurance production due the as well rising and ISP higher higher Term XX% year-over-year. variable resulting sales costs strong adjusted operating the XXXX. were recruiting other growth to during expenses in company's and and to and Finally, consolidated performance employee-related is as licensing Life $XXX segment the quarter, in third The primarily due million from in expenses up

future, other to -- in year million. $XX we and full As we quarter growth approximately the into X%, and insurance or grow expect of X% around resulting look fourth operating expenses

higher guidance projection asset ISP costs. variable and higher growth-related Our and client our XXXX previous above because in is employee of levels

of end our XXXX. and invested September the capital Moving of to company position. million cash had $XXX holding The assets at

$XXX end During purchased the of And quarter, stock. repurchase program we third $XXX completed third quarter, since we authorized the of million million. of current common our

Primerica of XXX%. As RBC XX, was ratio XXXX, Life September estimated

questions. With I'll operator, open the line for that,

Operator

[Operator Instructions].

Our come the questions Krueger of first KBW. from line with Ryan

Ryan Krueger

My give us first you recruiting. was I it the expiration into discounted the the some was been recruiting the perspective influenced by guess, strong September Can has discounted and question following know on some of how fees, fee. I of on October?

Glenn Williams

excellent to going Sure. have the momentum We convention. were into fortunate

sustainable the are process since the it and fees we is of we discounted the to to was already experience fees good so having expired. momentum -- going going discounting great in, already And just and have add those believe in,

good the strong continue quarter. through in of rest we October. growth so to a And recruiting, see and had did the

we good feel where So are. about we

reminder, will you the of us arrive with for with giving fee to good be affiliate the it come that to license impact with that generate who people as and a Primerica, to cost a a no but boost we've the some it of talk it's time a reason fee levels does license, Clearly, strong fundamentals. -- pay, and just period during we recruiting just underlying some excitement, time, that to where people discount licensing have a at to news no very if got there's of Primerica

continue So strong recruiting well. be we continue to as will to

Ryan Krueger

quick a just on Great. expense And guidance. then -- the clarification another

make to basis. it's want the Just sure on same

or year full relative million Is longer So $XX that XXXX that house. the that's increase to correct? no includes X% senior the increase

Tracy Tan

Yes.

for house So . senior periods, all the the yes. comparisons now exclude all

Operator

of next come the from questions Bergman with Securities. Our line TD Dan

Daniel Bergman

with strong touched sales end but it I mid-single-digit sounds know been just force year like guess the X% recruiting, you start above -- really initial growth and you'll kind on of guidance also I the the has this year. year, likely provided the at growth the of you

relative the been what Just upside some if wanted to of could to surprise see the have that initial give main details you drivers around guidance?

you slowdown And seen could there forward, recent some we've Or time sustainable? as ahead that is period the then and mid-single-digit for of be a year year pace looking growth? last this strong digest

Glenn Williams

ingredients. at our start, me more over I the time, both is mean just Dan, of our I let the a we've important the same in the focus So pipeline process. as even but with front very factor, the significant clearly, if and time could, end are strong improvements important at recruiting or made perhaps the

of give and I've credit a our caught their leadership obviously, the It growing got to benefits the it field but they has vision Primerica the sales all, as also benefits who size of of the to importance business clients first of the them whole. force. build as

on size, focused And ever growing so sales leadership field so more I've than them. force seen our is

exam the discussed make difficult make and we've all that. paperwork seen as times way, along from we've benefits as hard, process improving worked process as we have can we course, And of it. our fairly many to on administration a then, simple of And

to of part So our is the for feel very it's a feel combination We message conditions an the And every we of strong. recruiting like like message resonating. pipeline. improve effort our is do

similar the as there don't of that previous continued a are any expect that, as long the And but as changes are momentum there. from pending the moving So we believe do in today, circumstances, parts. we see they we lot are question, environment

it cost in them money have means also sudden And against living has but look some so have and positives both makes of if living for less that going us, you available, people opportunities. change cost negatives, of

push There there's there. processing got change, state capabilities. pull and a of regulatory province lot you So a got things that and a be you are adjusted. could

we've the have there positively but to see can for to those always last probably. on that be momentum ability feel been time in the processes some continue we can can't few of real we got things nor our horizon out -- we the there negatives could that and years. adjusted impact are very very like But about feel we control, most in Unfortunately, good we future. sensitive the the

Daniel Bergman

then it. ISP X, this been step business quarter. rate that to or over assets, the drifting And a business. past as steadily upward the maybe nominally Got redemption percent both had pretty in just down Well, it the of moving beginning and a year took

that thoughts can just you in there's seeing wanted other on whether little Any and or to impact Just ISP sense a how going in you're forward. rate. a that redemption more from if any any seasonality of color see give might just what slowdown terms trend on of . maybe -- inflation, drivers

Glenn Williams

Yes.

budgets, we time have can quarter-to-quarter be the period of in population could comparisons occurrence retirement whether middle-income cases, people's both withdraw you in to happen But some . support XX-day because clients. the do the of stress it's standard order difficult. a continued a think I getting of little age and kind in you middle-income any clients have the in or careful and I more our upper are many of seeing, living these that ongoing to think are odd it and make is mean clients, aging

we our from pressure little rate. But of are and client some trend. of are term. recent seeing a long all that. the I out sustainable drop trends, a pressure the think over pressure average that we're that you age upward on quarter of same all now to economic our don't be mentioned the either the So one the little putting dynamics redemption It most the significant probably the clients or of up either this the about should is seeing right a of base

Operator

Piper Sandler. line next the questions of come John Barnidge Our with from

John Barnidge

was the Primerica's that I it's opportunity? about convention. talk view Life Certainly, the know Canada in that? big How do pretty in we you large team a Can at the brand market. Canada and operation sizable loud Quebec

So to about we've more got their I'd hear love presence. that.

Glenn Williams

quarters, we product X in off there. have as segregated regulatory that or Well, due you've set Sure. over some probably fund changes our we've run X, seen slowly be numbers which to last over And the own because . And had looking product our aware, that Canada quarters. X differences John, you VA for with significant an important few product, is kind may time kind of fills do most need. U.S. there VA need It's that an important of some tax product. although regime. under a the been believe we alternative we Canada. similar to for in pretty the But an it's the product

than a try retool that product a reasonable time. any had shelf for could product experience and look period been an our in to of more own And rather alternative we looking provider broader for than it capabilities, so decided create we larger to was more probably we've

we're believe that have, maybe And see excited years look We Life. about same for it that at our our business pressure quite Canada that a before flow maybe back so of because some numbers will been replace has relationship with from under and fund little we a time. do the couple ago,

it pretty that not plays it but that years So significant important in were It's of there at by the that most ago. back across the us business we an part our country. means, ISP few puts we believe certainly in game any Canada role a good

And it opportunities of next see it what when grow so kind to rolls that creates year. excited watch and out we're

John Barnidge

How the control wallets to My refinancing long the the within living is maybe end free your do or you highlighted end increases view dollars you up opportunity of follow-up happen curve question backdrop might even of not seems might. customers' of Fed mortgage like comments? in the and cost the wave that more the than short it your in

Glenn Williams

about the at and clients is pretty traditional do sit mortgage something money business talk is and finding accelerated for rate, and faster. hopefully mortgage the but purchase to lower serve mortgages get do payments with down yes, interest get business. kind The current benefit the unique average interesting a of we rate lower this thing, Primerica so a John, and a market of their debt them consolidating plus about weighted we they bit on load accelerating the them

but the other business living elsewhere. purpose for that go can is offer the can we Many our are also of to So money it directly lending used it to times, up access freeing budget, services elsewhere. into client's needs financial needed that redeployed be be that and sometimes

sensitive. So clearly, it's interest rate

interest when clients that normally we However, rates existing mortgage we more. on interest rates the find which the is debt go up, headwind business, up find consumer do in out a goes even

X so the difference the point, And consolidate sometimes accelerate. conversation It is I've called excellent the an it's debt. between time of people's the that's it right emotional lightning rod the discussion is when finances gives to us

And so And dynamics debt them may conversation. then out other to debt want talk we a have about getting the we of about conversation can broader have not they'll conversation initially. a when with have after they

door service. So it tremendous it's -- us. gives opener a a great It's for

business. different is in Our companies score not put trying trying the place, approach study very to with situation. out mortgages most in up can as run to there we as because from the just we're many clients' We're debt mortgage the

very moving go Fed's think mortgage down. and rate some But an grow point, the requirements, down do at as and it's it. licensing there's out U.S., so interesting business see methodically both the go we're So through deliberately complicated a we'll in we it fairly a hopefully, opportunity It's there rates dynamic. significant we

can there. some in rates, real in give downturn get they're business start and Sometimes But progress opposite consistent a to reasons going I tailwind, we'll now. interest it if will we think some that see directions real for

Operator

question Wilma line Jackson Our with James. of Raymond Burdis from next come the

Wilma Jackson Burdis

in behind been anything a seeing going customers? a Do little down there lapses, ticked there's first you're versus year? Could think half bit Or a little is a the on forward? there just expect you you happening noisy? of has your story bit what's talk the XQ with which what about bit you it And

Glenn Williams

missed I'm the the very first part you of question. don't Wilma, if I mind, sorry,

Tracy Tan

this persistency to to trend But quarter. the starts a at there overall, our look still are slight as elevated we and last quarters. pre-pandemic be we that When in of drop compared couple the the we lapse see level might persistency, experience. seeing

are across I elevated, is pre-pandemic. of exception the that -- When expectation durations. it mean XX-month from with we policies multiple most the within the wrote recent

relief that Now the we from continue families. have we for as primary really middle-income living reason contribute the though to cost of pressures the interest that even see, the rate some

the X, we returning cumulative to purchasing their Primerica not continue that change we last X household the levels. stress seeing finally the put index, see that power returned are significant from Even to XXXX impact the pre-pandemic. years, not that in buying to in pattern. yet some so spending pattern The budget has but HBI, though

was see after pick the persistency On very, during the other that some strong, very lapses. good. pandemic very And there we really hand, are up also pandemic, on

-- cyclical is from standpoint, down. a and up there there's So a an

trend Cumulatively, though, consistent. period is seeing the this we're relatively time of over

So the for experience it few that. based all history expected return the financial will take a But run, we to previous that it will do long it in consistent we to levels hardship, with and the return. a believe on and years facts do expect

Wilma Jackson Burdis

No, that drove gain changes from remeasurement helps. on just what color And remeasurement unfavorable Just that? us I think then any, well. the guess, gains corporate? as through the help in Any

Tracy Tan

Yes.

closed business and refining that it segment it's loss the is refinement just review book on in a annual remeasurement runoff. corrected assumptions. we in of in assumption the block Other we a a of a that small the experienced the So was not growing, very that Corporate terms And we're

really that either be or to future. material expect . a So don't in period impact the the we

Operator

the come Blair. questions from with William next Schmitt Jeff Our line of

Jeffrey Schmitt

Glen.

having any can the So next the that force you just productivity see the bring life on incentives new wouldn't the effect have the over from had. strong agents in some year? given in growth Do you that otherwise sales

Glenn Williams

a in license getting down productivity. the There and between to are of lot Yes. process steps recruiting

that probably really productivity doesn't how recruited are impact our So people much.

to commitment But steps to of conversation lower the the you in going be that's level between. measure down the There's hard are start, the the always is because of to pretty road? committed how

seeing that we accustomed productivity we're at as normal level quarter new prepared comments. So of to our reps within the reported license a we're in far,

-- not believe very productivity. getting lower a candidates. high-quality level So We're and just we're -- of don't we getting we believe we're of people productivity we're recruiting the same recruit seeing we more quality or always,

quality expect. So same the always we would

on the calculation. those think as to the business, see they're licensees sales grows, understand get families to I So bringing in But do that as some new build see pressure they the force and own to we've a we're downward going get seen business, you benefit vision some experience, and the their families, the similar productivity that past.

Jeffrey Schmitt

Understood. kind see on that in you your disability I favorable see incident trend Okay. it, missed of but is going run still rates, you impact a that have do benefit kind moving I down? mean, good forward? rate then the And XX% do a may ratio? of Or longer-term having on

Tracy Tan

as experienced filed. incident we the also had we So favorable mentioned rate disability XX-K in

best We trend, our have estimates long-term since using reason main this observed made in our this that that the reason trend review in does believe the XXXX. past the we adjustment. this we which annual X that's years that is represent that the And

things terms In time long-term can point, on, estimate. is change. best it as this trend, indeed our of At goes obviously,

Operator

questions Jefferies. of the next Kamath with from Our Suneet line come

Suneet Kamath

it helpful. sort of I start color Just sales something some around those to funding the your color to withdrawals? else? annuity talked What's Is that? get mean strong. being some of wanted you've very in with just sales? be I script Is it would what's behind sort sales. want XXX(k) I about

Glenn Williams

be when That's that see a things. fresh, required line. having And good that products they the does out know but because question making that our the adding product the circumstances. very time, number Yes. features product one, the sound, they're jump attribute you adjustments current the that products same are success in Number for providers a to under making would the of I at great attractive sure to the Suneet. at Thanks, keeping we're financially are

underneath. the in of have index-linked fast-growing the particularly gains them people because to upside with variable market the are course, protections the of annuity And business attracted they

with rates. vary those protections Sometimes interest

So there's time, an pressure interest opportunity there's tend get each at equity come and But rates downward sometime. -- other. on as down, same they offset benefit the usually, you to improving

clients very are themselves are current need products phase particularly from the off of accumulation kind the distribution making the need, that phase edge the they So some clients' who sure attractive, of risks. to to to moving and very take

other no coming from So we VAs with off earning see lives take mutual they guarantees may products, of of people funds particularly the more to investments to traditional in they're elsewhere risk. their need kind some of them, period end edge just moving the of have other if the income and or their

client recognize So aging. advantages society do base We that there's there. some is and our

combining So we have or percentage at are you the every if better decumulation need the representatives into then a larger And of moving with people the would. the phase, day getting retirement our solution.

And of so we see a number factors growing]. that [ are

traveling pack the with we're good in also that pretty see industry. We a

a to industry a dynamic that's we better probably to take happening in across that's understand them positioned similar interest industry, as Our properly slightly we're than numbers advantage and it. the numbers strong services U.S., but are of financial

Suneet Kamath

I think pretty are mean, pricing that, any a you you have just good distribution. should you given features? about either seeing irrational of when or sort on And your product guys lens the providers,

seeing. Just curious what you're

Glenn Williams

ago when complemented they their This tough I I very Yes. them restraint. their years No, it the went or business meltdown XX good the some on quality, And times through lesson. during a industry so. learned includes economic index and annuity think

all time business, taking unreasonable partners we in managing and quality this ahead, But moment. trend we've risks. that not for about this for our a and get same to not are as doing They're future the the is that. for the a looking for of planning people to risk success providers, unreasonable we are or highest asked product try the And dynamic great the so in is got capture job a they're where thinking the moment business, screen we taking sustainability for success this

Suneet Kamath

piece And Or for it. in still that million Got Did of exhausted that have ask say if prepared some the Tracy remarks I one. your is buybacks? $XXX could authorization left? just you you there

Tracy Tan

Yes.

now. our for We $XXX . by authorized have million completed repurchase Yes.

Suneet Kamath

quarter more so that mean buybacks fourth And no for the does then?

Tracy Tan

Yes.

Very announcement for XXXX and we by make be to completed an have XXXX shortly, period We discussing Board. the going we'll XXXX. can period. authorized program And soon, of beginning that hopefully, we're start

Operator

Securities. come Mark with line Hughes next the Our from questions Truist of

Mark Hughes

Tracy, the any cash consequence tax any exit, that, tax there health that? savings, to like senior anything is

Tracy Tan

exit $XX it a generated overall saving a later tax disclosed and Health is and be to million going our million, majority be about is federal. going be XX-Q today. has us, Senior $XX of benefit in to And million, filed for $XX the those, will

that liabilities going from be terms reducing to . cash and saving is basis in our XXXX So payments. benefiting tax our of a

Mark Hughes

that calendar tax on year? XXXX? next Will year is it benefit occur tax XXXX actually Or in the

Tracy Tan

Yes.

So ones quarter, fourth terms that of of quarter about going be piece, the $XX or to realizing savings, million and for so, federal the XXXX. we're will realized half remainder about of in third in be

Mark Hughes

Very And in premium. term Okay. then good. ceded business, life the YRT the

at contemplating through quarters. about look XXX just that X ratio the of How to a XXXX? great. lower, us as in pricing we Just the adjusted bps that, think the first takes up or should about be the kind -- Or might that thoughts be influences higher you think is should If the market puts lead that? of of of percentage premium, steady, where that a reinsurance are ratio direct what in and the it's anything kind would couple that

Tracy Tan

Okay.

about other the which just the ceded correct? clarify, premium, . YRT you're So Mark, let is asking premium, me

Mark Hughes

a relative And Yes, year kind at right. and XXs this about as say, little bps. to number been is low adjusted of I'm it's the looking And I direct premiums? it's XXX that bit up that's

Tracy Tan

Okay.

contract duration risks. premium risk it for premium with in premium premium have premium direct flat to much our we mortality of that and size premium mortality is in risk, to pattern. of a correlating premium reinsurance a that the recover YRT pretty collect different the tracks the the we and because is Direct and the YRT compared to YRT of So size, essentially have the versus is age expect -- period the over

mortality size the the see to going are YRT well the you growing is offset So very that by of premium risk.

doesn't in ceded of it they and change size of line with of mortality. in really standpoint, ratio from So premium terms the a recoverable, the already kind the

our the you I to around we year, provided that that has expect fourth to ratio well. around for as continue to when ratio expect ratio, be So of for and quarter the benefits and as claims at be look XX% guidance the that

Operator

the next Raymond Burdis questions with line come Our from of Wilma James.

Wilma Jackson Burdis

Just a on quick follow-up question. earlier my

that. little wondering of loss a it, you was type of it would about more bit just what that wrote product Just had curious you the on when the remeasurement could if negative just be on kind you talk block

Tracy Tan

Okay.

a loss remeasurement type that of life non-term product. is So on

Glenn Williams

are of jump most as history product Benefit If sub result . a which have this Life, way the York companies aware, York of New I in going in could unique is back Primerica, Wilma, New regulations company, National insurance in. in exists a our but that York. New

lots business, the when some our New over books existing but we it And days, not company so again came was a term writing during that use National had was we under and used Benefit York specifically that of business it Primerica inherited started it business of name. in or city designed took that for

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Operator

with time. does at that questions for teleconference. this you no further We There thank conclude are participation. that, And your today's

at this of You may Enjoy lines your day. the rest time. your disconnect

Primerica (PRI) 7 Nov 242024 Q3 Earnings call transcript