PRI - Earnings call transcript Q4 2024

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Operator

Greetings, and welcome to the Primerica Fourth Quarter 2024 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce Nicole Russell, SVP, Investor Relations. Thank you.

begin. may You

Nicole Russell

and Quarter operator, everyone. to Welcome Thank Call. good Fourth Earnings Primerica's you, morning,

A our are other materials Investor copy along section relevant night, of Relations to press release, today's our call of posted the last on website. issued with

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

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

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

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

Glenn Williams

you, thanks, Nicole, joining for this Thank everyone, morning. us and

our milestones the quarter the the to with highlight for results Our record-breaking to investment highlight our full sales value range ability unprecedented and expansion achieving create financial These an year These results strength solid outstanding and fourth of performance. year our network for across board. all from Primerica, distribution delivering business stakeholders. and of

from period, adjusted income XX%. full operating income insurance a values of adjusted our contribution results per increased and and XX% adjusted prior large Fourth asset and year volume XX% income sales very reflected increased to quarter in-force and net premiums. diluted adjusted On the quick operating Term financial Investment operating year Savings increased with steady in Life higher our basis, segment block recap client compared results. share a net Starting income the increased per These Products our of while strong XX%. operating share

repurchased the a million our returned we to In $XXX year, net paid total, November our of our the million our stock and stockholders adjusted of Board common of share consideration of into of income XXXX, During operating XX% $XXX XXXX. in regular flows, a we new dividends. million in total nature Directors cash predictable repurchase XXXX. for Taking approved in $XXX program

at Our during distribution fourth Primerica. performance remarkable quarter off growth year capped the a of

individuals, increase During to the quarter, XX,XXX we year. the than more compared a X% period last recruited same

individuals a recent income improvements as the additional a career life saw new of XX% growing the This choices as growth in our alternative double-digit years. and life in XXXX licensing increase obtaining number we've process licenses for license. We demand new also during reflects to well made in

ended We life life representatives a the X% a representatives, up XXXX. with also compared license XXX,XXX record to of year-end securities these licensed high at year year-end. license held XX,XXX

normalized growing X% ahead, the sales in expect albeit more XXXX. of continue to a at around Looking we force, pace life

issued nearly X.XX range historical We policies representatives. quarter new at to in $XX within per results, XX,XXX and Productivity monthly Life. for families. protection billion starting rate our an turn policies license life with the let's Now during average sales normal middle-income Term life issued of remained our fourth term new

anticipate X%. cost these grow distribution policies full life posed of we're a we with larger by on issued reach, benefit XXXX continued momentum recognize living Balancing the encouraged the challenges year families our While outlook our sales of the headwinds, we're for cost we around a to high living also by the taking of force serve. conservative in expanding and

for This growth investment another $X.X products billion, solid Our all demand product up across had sales with driven quarter, Investment business year-over-year. strong major and Savings XX% of by lines. Product was

Client the fourth compared in million, asset inflows totaled to XX% while XXXX, XXXX. significantly at $XXX net billion, quarter for of client ended million values of quarter the $XXX the $XXX higher up year than inflows

demand Enhanced For -- XXXX. all in demand growth fueled year, sales for investment client a variable increase the product and income fuel in products on protection new benefits across clients contributing to seeking products retirement, robust XX% full VA continue annuity to in sales.

of managed account grew representatives enhanced and provides our by platform, driven a to new Additionally, broader XX%, needs. sales offers serve better account tools in with part planning range managed product clients which client by choices

U.S. remain demand mindful range momentum, These mid- sales the and strong during in lead and mutual of to Canada. the as for progresses, support growth expect in funds year year markets more single-digit Finally, show challenging factors, XXXX. results market with year-over-year economic combined continue the Preliminary both full to January strong comparisons high equity to we us but in uncertainties.

the role families the we do income compared we or new remain states advantage XXXX, year-end closed in new in lending nearly prior play mortgage XX% business to We volume, improving well debt. mortgage $XXX obtain positioned can million XXXX, and of take mortgage consolidate XX in through X,XXX nearly we At market consumer helping to representatives. year. were a license In U.S. the increase licensed to a

allows in our to We Canadian Canada, similar also program to us offer have clients. a referral benefits which

across plan to needed appreciate discipline our We continue ahead sharing we year. through support our to maximize product is more and all to updates and the the expanding identifying productivity XXXX, improve distribution capabilities financial your continued As while profitability. to forward we as lines, look maintain look opportunities progress to

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

Nicole Russell

financial Glenn. then today, for measures financial review will my you, key quarter I remarks results Good for provide fourth our and Thank XXXX. outlook prepared an everyone. In morning,

the stockholders. the We delivering revenue for first great billion ended $X the year momentum, strong with time, ] performance and our reaching mark [ for

premiums. Fourth the direct Life adjusted increased million prior $XXX with year compared X% of quarter Term by driven Starting revenue higher X% period, segment. to

estimating claims to XX.X% refinement year. XXXX adversely compared resulted changes. XX.X% were our actuarial a prior to ratios. recognized model closely during $X.X the and was quarter by at claims assumption a in period, our affected ratio and more related of remeasurement the Benefits Looking The for was benefits reserves, any fourth million financial not the which to loss from that during

claims year XX.X%, period. mortality benefits commissions model Excluding be the elevated, debt XX.X% XX%. appear primarily in rates favorable and the with stabilizing. insurance largely the was remain at line better around of ratio The year but prior last prior year-over-year and to the to amortization and to full experience was refinement, trends year with period, our consistent Overall, due guidance ratio

will persistency believe over time. We normalize

can affected meaningfully growth, they have ratio. ADP key not financial higher that recognize constrain we lapses future our While

The year-over-year prior employee increased from by compensation fourth X% was as X.X% to XXXX. higher expenses ongoing quarter and in This well incentive in digital insurance variable technology increased licensing, the associated primarily in recruiting growth as investments performance-based driven change higher period in with premiums, expense ratio direct year tools.

margin Finally, to the period, year-over-year. Term year remains was operating prior in while unchanged income XX.X% the compared pretax XX.X% Life

respectively. commissions As the we claims around look ratio of at believe around and XX%, ahead, benefits and we XX% amortization We stable expect ADP and the will remain ratio insurance XXXX. X% DAC growth and in

insurance we For some XX%, the to be expenses. the of full although variability operating around level we year, foresee the margin inherent normal to due expect in seasonality

due the of equity quarter. expenses a quarter our when employee-related are to to higher expensed awards reminder, and fully that well employees the [indiscernible] grant management granted, to as usually As operational first expenses retirement-eligible as unique other first are the

market quarter increased revenues segment. to Fourth for strong the Products a and Pretax driving conditions, to values due demand XX% of million favorable asset solutions. Savings equity Investment higher, our next of investment XX%. $XX client of Turning increased million $XXX income and combination

expenses generating with annuity, a XX%, generally sales. higher increased revenue Revenues than sales revenues for rate XX%. due sales-based at demand to rose while in line while variable continued rose correlated Sales-based sales strong grew commission

increased model XX%, under revenues due slightly mutual sold fees. asset-based the accounts asset and values growth earn Asset-based distributor to Canadian in U.S. proprietary funds in the higher average growth we client which managed for the continued outpacing

amortization. pace correlated when funds are similar to Canadian commissions on a debt at revenues as grew recognized expenses and including commission which commissions insurance Asset-based segregated

million operating a part adjusted to $X loss quarter segment in to to pretax operating the and pretax due million expenses. compared The investment Corporate insurance which fourth a of up prior of in shortly business in life prior income Other as $X.X a million XXXX of period I the investments a $X.X adjusted adjustment was I of incurred higher benefit continues consolidated segment total Distributed the of operating Products when for growth the during improvement also reserve address net year yielding loss $X.X ceded incurred higher segment closed from The period. the The review the portfolio. higher the the to and long-term size operating and million expenses, will year block in

with $XXX high rating movements have of no quality of We is unrealized average quarter net Our invested to the function loss of an net of credit $XXX a believe we rate the dispose end asset well a present interest year portfolio a change with during of and at was and of underlying the million not the and loss intention unrealized September. unrealized X. million of losses in diversified versus them. ended concerns, portfolio The

on with million, in due up expense primary other higher growth were compensation incentive The increased Finally, strong insurance costs to overall $XXX associated company's ISP employee-related as consolidated were of well Life Term investments growth the XXXX of as and our segment, fourth and variable quarter operating expenses XX% drivers year-over-year. higher technology. performance

and This increase business, in support around in and full million growth year $XX higher ahead $XX or expect employee technology the million to consolidated costs. $XX million other to insurance X%. to to X% we million Looking $XX operating higher XXXX, the expenses costs includes staffing by

with be full earlier, expect rate a growth with first mentioned the elevated I year-over-year on expenses guidance. basis in in line to As we year our dollar quarter, operating

to We normalize strong expect expenses performance quarter due expenses. compared higher XXXX also to in XXXX to prior driven fourth year

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

Primerica XX, was As estimated December RBC XXXX, XXX%. ratio of Life's

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

Operator

the [Operator Instructions] of comes from Wilma question James. Burdis line first Our Raymond with

Wilma Jackson Burdis

Could rate? still boost the in a you there a run Or growth, talk figure good that is IPO transaction? reinsurance is about -- ADP from X%

Tracy Tan

runoff also have well lapses ADP guidance premiums growth of ADP the new And to X% Wilma. by clearly, this block have that layered that insurance. is generate as Good of the higher the considered sales the as get considered morning, we growth it guidance [indiscernible] in-force the well. on. the has continues large directly in as And and impacted growth we that

runoff, considered faster pace, the a at running coinsurance the you being does So X% that's that well. off as is consider know, as

Wilma Jackson Burdis

little we bit life a into talk pressure of And do those then Is you pressures? to then cost living you about see strong on due the Great. the some ISP put lapses of evidence And how despite that could driving Okay. there peak? trending lines, a what's sales along XXXX? same side

Glenn Williams

Sure.

Let the we'll me take that, turn and part then first the lapses, to Wilma. Tracy for of

Yes.

Fortunately, different have drive at businesses complementary, dynamics different And also different our our I in think the they directions of part but that uniqueness times. X of are model. them that's

people are living side, saving while they're the pressures savers, for headwind they of on our month. that same kind clients. a So pressures $XXX same $XX, ISP under business and home -- They're the we at the that life life even business our small are the our are of for the budgeting life are $XX, seeing transaction as cost systematic often a

they're pressures. So the experiencing same

a as plan -- either. What prone retirement are a employer we plans, of by either from are of plans, sponsor a them from generally They from withdraw lot or little retirement previous retirement XXX(k) bit to a plans, people out or former aren't or that potentially are to of exempt over are those that's Those out living. moving that so see impacted rolling Primerica. over cost not often the

stickier. lends So that a little

small sales you So tickets significant sales. what the as a living know. way the to takes a pressure. the large aren't bigger drives to really or sale large lot add volume impacted one up in And It that's of by of cost

sales, large those so is motion. still And that money in

think big I of think experiencing peers most we're are I between experiencing our that. of movement a accounts. And lot

benefiting front. so not that the And that headwind from of on cost experiencing and we're living from

little how to want talk we persistency? bit you a see about do Tracy,

Tracy Tan

That's will. right. I

trend leveling experience for a and we lapses, there to last seen On of the continue the we the XXXX, quarter, elevated lapses. persistency clearly, see but Fourth overall, have stabilizing. was

we're So seeing increasing year-over-year not that a basis. on

last impact prior One restriction. year to we thing point is the I definitely out XXXX, had want adverse from

XXXX the trending that, 'XX, you coming overall, less elevation is levels. So down lapse of remove terms [ if the restriction, in ]

a pronounced And persistency than higher in for to multiple cumulative slightly durations, for across on we better basis, prepandemic example. on period. those, mostly look lapses is but X, durations earlier when And and X improving really a at cumulative are of also the it actually basis

extraordinarily during period, we of lapses. stayed lapsed on policies at the pandemic had cumulative we pandemic, now. actually the is forward, low catch-up. pandemia lapses So XXXX impact, and overall, But Those than because the would the elevated see from with look that period and after when those have we better the

the returning get that which lapses living the it it we a takes over and believe our also levels. by normal already driven and that higher pressure be the lapses the them And the years to purchasing as mostly And our middle-income they're we will improves. back, families, cost considered elevated But time, is on also afford which well. the we of depends ADP do for few and with those guidance to degree to ability believe speed on power

So helps, I hope Wilma. that

Glenn Williams

Wilma, did more what Or we there is you needed? that can you share? get

Wilma Jackson Burdis

No.

I covers it. think that

Operator

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

John Barnidge

pressures with building comment of about be duration that What's kind the can cost of corrected really couple in years and correct. that that is improvement taking a And of to living? that cost living of Just the of catch-up? on expected

Glenn Williams

going improvement cost to living. see are the in we to think I need more of

card people usage high think on. with bridging it's a So while savings credit I expenses withdrawn going a and buildup there's budget there's their of of

so And to life for it or comes before through insurance that of we it would start investments. a period small time to of people's some see flow we that improvement habits need sustained when buying see indicate and easing buying

pressures a not surprise the So long to we're longer guess, cost this be I a how morning. little because much saw complete it living here. how know think that's of might We exactly takes John, a sure of bit

market the reacted still I here. away. think to haven't gone they're They that

persistency, you say, would It's a described, watching our we I obviously, It side as that measure still that But just of well We once it entirely that's consumer over Tracy see numbers we're have get other that evidence behavior. of for the to in formula normalized, will and get some time, a in as for empirical just sales. see guess. the impact. on improve as we in or more, things, well that. just don't But any you'll year

John Barnidge

XX My increase X application that, and backdrop average be increase volume follow-up allows opportunity question agent what's the application So to with it that automation? and what in speed to improved take could more took operational to productive. leverage then maybe minutes the through

Glenn Williams

costs the technology our the minds those one she we're our that representatives always both a and requirements of for X great And That's costs. for doing to way mentioned to on top of was and the make expense a numbers, all is question in reacting time. are process higher the and business, and of technology clients that types Sure. easier some of the largest regulatory some assumption looking Tracy other for and numbers mentioned under get of the addition demands things benefits. to you but --

Number the likely more process complete one is to themselves. the

clients. I time enough got to to be, there -- see I not all can and see Someone quick, short, representatives for it's it's motivated already on more process frees often, people And should get to it's follow well. obviously, see. that's if to it's is more as And that if of more limit their convenient, the people in up purchasing if that efficient who's easy, having more the our more through to, Should likely productivity then and that.

big absolutely, that doesn't So a it problem. solve But that's part.

years faster product ago last as improvements we office. as as can years to and significant the the back in NextGen for that policies in introduced And [ area, in And here well ], efficiently a us our emerged and issuing we're that that. more of of and processing of now, and field home in the technology new all the has that what process couple couple through both help course, have of going see doing in we

on accomplish see can what all So is we through as that our XXXX. of we menu to move technology

Operator

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

Mark Hughes

volumes. activity, large about The drive motion. a lot you're persist? in good VA talking transactions demographic There's the tailwind of how money that this a should Is

Glenn Williams

something quite a best or get It's It changing for moving is that into they driven not careers. there's retirement have accumulation see and for by accumulated life just the that that to definitely changing to from retirement we demographics the the so distribution, older place next their jobs as move not phase of for generations money piece ready are of and also that. preparing yet as

employer. move changes job happen, more out XXX(k)s of their the more people As previous

So it's something from benefiting we're that Primerica. at

long company. know, you relationships middle as generally, with We have our clients. we're And a market-focused

So of than may be higher middle of clients maybe we our hands-on market have. some service peers to a level

move to demographics way we clients in some in there a our of that maybe in favor that our not. the of peers are those as are So range, service kind

So income in particularly, as driven income move it they more make that into their is sure we demographically. income. mode. VAs to They driven there options as with by want don't are the people outlive guarantees It's stated,

retirement improvements lot then a years of the So it's over accounts. and the be the demographic in of market to and row alternatives couple the home where office on a field, willing the on hard Product in the team, combination our of work maybe behalf confidence their changes to of and both for look ready. that we've had good a of people and builds are consistency -- years a returns of performance improve

favor right all we those our have things working think now. of I in X So

of of heard to because we're It's a going with It's conservatism that administration uncertainty. methods, how the the new out. just is we you that's And move into turn and uncertainty not sure as policies not new pessimism. new some

So little on with bit we've unknowns. an kind of a conservatism air based those XXXX approached of of

Mark Hughes

in observed on mortality Any Tracy, And you have Canada? front? either the then might the anything or changes U.S.

Tracy Tan

mortality been stable Yes, Mark, very and have the front, our experiences favorable.

U.S. not in pretty about, and entire is in real Both particularly trends on been talk seen fourth to and and mortality. quarter. for has observing low mortality experience we've really U.S. the Canada, very, XXXX, much but the unfavorable very So improvement positive

So we beneficial. are hoping to be see trend, would continued that that

long predict, mortality but improvement is probably helps, in experience And in the we mortality we, that off that trend some difficult of particular, currently think the a across our the some of industry do that Mark. we've taken during has there obviously, on and on. that to with term, are seen benefits pandemic has terms now, pandemic I certainly the demographics hope and positive population going

Mark Hughes

is It refinement then you Can model. said but assumption the edification, my technical? related And not of just does. loss what the say was? more for it to is question, final Or remeasurement changes a you refinement that

Tracy Tan

a produce down made moved our the more And Yes. is improvement of side. we LDTI, calculation to at the to since more we've software our technical we've to results improve calculation. accurate really on how side refinement on method ways actuarial look looking for The make that ways and we to continuously

nothing with either has to really do long-term experience or trends, assumption this changes. So

X ] in that item. the we of magnitude small have. this [ it's is technical a of reserves billion helps. Hope So immaterial really And that a side

Mark Hughes

does. It

Operator

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

Suneet Kamath

like sort to shouldn't It And up was I So see guess, for correlation year-over-year, but up, rates? growth X%. looked was Life maybe policies X segment tighter between issued X% of the I guess, focus a I a on just we rep wanted count the those minute.

Glenn Williams

between relatively have and size been Generally, period significant Often a relationship of in the is a force there's amount sales there in a Yes. close did our of of growth. policy that. a time. difference on timing very the Suneet, We growth compressed

level. to working in new in productivity class And us that upside XXXX. dynamics an of bring And that's XXXX is on we're on of up our so one the opportunity licenses productivity to for that

as gets reps, of we the new always, we tailwinds of against see but a with earlier headwinds works larger, positive level, sales The particularly the the put you the income cost it all brand productivity of or getting middle lag average maybe payments the uncertainty upside talked there's would denominator on we math to productivity other up XXXX. we together potential with force that the catch side, we up, in believe the as to grow of you as there's in them think but some living headwinds and do and that some of there, productivity and some expect in about

Suneet Kamath

your it getting Got Or it. Is there think something around harder it to is And That sales the point unusual than correctly, life of growth X%, agent I XXXX about so historically. guess for it's numbers? you is for where becomes makes top sense. are then heard guidance I the of of I sort been like XXXX? just sounds kind big which to if on big, these force grow is lower

Glenn Williams

it's reverting think bit Suneet. I mean, to of a the us

look in has percent. sales our years you growth prior back to around that, been If force X-ish the

I think multiple to prior year, years. over last

and in and just the range. kind in of had And so we average dose to so next to things of go conservatism, that many see just year reverting getting our favor, a things we year where a back after

knowing of again, the just year. so early us the uncertainty of what's in And this front -- and in not

the year refine we'll progresses, As that projection.

at is maybe pretty a So to what it's uncertainty less, close that's it. out year but Primerica -- in little but factor the normal a just starting

Suneet Kamath

days? just sell Got what just VA. sneak part [ it. the ] could currently RILA more these one on you that you're Is product? of in a selling If Do big the I

Glenn Williams

variable to linked index annuity? The Yes.

Suneet Kamath

Correct.

Glenn Williams

seeing significant to similar shift index-linked And sales kind industry, in mix and to moving of shift the product. the a more VA like do. just is the industry mix of product very towards we more the we that rest with VA our of Yes, are proportion dynamic a the

Operator

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

Daniel Bergman

and other higher increase share Is XXXX the another dividend, unusual statutory pretty it looks XXXX the any will onetime return this in items anything big repurchase take sizable authorization the there with capital start in to boosting Was like for to that? year. where step-up a there relatedly, guess around guess, should I think XX% this going a of that ratio in pretty we And was remain XXXX, think what is we expect longer are are term? should level capital I that forward? as that Or of sustainable to trying earnings earnings?

Tracy Tan

Dan, this is great question. a

historically, that's able One on support, business generate and that economics of capital features as and focused been consistent you are know, our very going cash it's very we to generate see. business of environment free the a we've of and Primerica continue our the ability regardless we And to our very to much and of return on earnings. that's strong consistent, as being a to continue percent resilient, sustainable what basis, cash on, on

you grow So XX%. And able the able in to XXXX. highlights to and and that up. level step-up not to capital our we're is that evidence which the on sustainable another We're XX%, around trend. return scale were XXXX, a tying our continued as deliver we we buyback of model, as see able dividend is which This share is XX% on in the distribution right up around also

very we been also confident along have, our independent And our with that expenses, characteristics upfront this this percent features I So the a model that growth force the have company, mortality pretty distribution business model of our that that capital operating of and terms of provide of much what with features helps in we as really a from with is we level Dan. on provide all the standpoint, and on. a acquisition costs distribution sales of help the reinsurance much our typical consistency. are helps, model which focused model those and hope is in earnings, of of business return us helps line

Daniel Bergman

then And helpful. maybe... Very Yes.

Tracy Tan

legroom answer we the Dan, let a question at on business strive RBC of really about statutory. gives ratio. pretty and very Dan. capital There's positioned as to very as well line, the as and top insurance the be much side it's our vision around drive unusual typically very are to nothing me having line growth. line that conservative. and Hope continue out that put to provide the That the possible, much drive healthy around XXX%, We plenty focused our that growth. to top helps, us We're capital to Glenn

Daniel Bergman

then a little it. around to like switching and higher very, operating Got of is big the very gears technology. in guiding helpful. earlier up bit, the tech the you're on comments It in Yes, XXXX. insurance And following just growth maybe sounds spend expenses a driver

think technology we lumpy there are forward? going differently, going as color technology rate forward? in your new should great. a spend run of in guess this maybe regarding are So higher inning upgrading any Or be said capabilities? that around expenses So I there you should subside any what just that would

Tracy Tan

drive as our strong clients, on in capital growth. And with of confident capital generating having reach very ability we focused in of return, our line to terms very priority, organic our addition in is shareholders, support cash. how very demographics that as Part supporting we underserved. sales a our growth insurance cash percent business intend to serve our as noninsurance are and that's in in of our much well return capital much use to investing enough other more looking we remaining to the very to help force is This at Yes. our earnings to

processing transactions improve improving experiences. as investment So well vision help the to unified technology on sales into both client to team, that with of as long of line the ability our strategic is communications and term sales force, very part our in productivity, provide much organic our with

making easier, well at our productivity larger insurance center, of transactions. client better the a ] on to go those as have the force to technology as our with number All the force of part [ improvement along center giving of well handle can their so -- continued call the are as sales at more scalable their improve as tools call a growth sales and transactions, to investments, also the that look improvement our look way life

of support So focusing remaining for to in to using our on trend, terms to strong our organic effectively the growth. continue stockholders well return capital we're help going

Operator

from come with questions next Matten Our Capital the of BMO Jack line Markets.

Francis Matten

outlook follow-up a Life-issued question policies. for So Term on the

cost headwind conservative have over to been this of for put or is much much of pressure living quantify how rates. guidance if influencing growth talked about the You mentioned could sales you the past think year they it's a in to and you of headwinds levels unpack mission I'm policies on a lapse I year? X% how been wondering estimate.

Glenn Williams

growth out have our Jack, we Yes, wasn't I headwind. if think don't what we've been think there might exactly broken

multiple factors as The or not by growth mentioned, playing. our clients. a there's headwinds, of wage it's created were for which, So thereof function also economic but prices, lack only I

time talk are difficult dollar living don't neutral because or help $XX, of us I've And waste sales make a however the sit spend factors other Can about they families, because not $XXX is believe that's been well. and many over them It's plus because insurance?" we at the not have what as and know percentage family. say. we having play many room, there where of with. look what budgets. We're say, to budgets, X involved to We point the with a to "Look, headwinds them. life we I in another me every in down order would as we really were lot we middle-income down come identify sit or been cost had know got their in to there's the reprioritize so to them that call their just with month. do budgets you they when this like It's helping clients, or prioritize If X to

have tough a and hopefully free type program. investment up to prioritization to clients protect begin to And what discussion incomes begin they their so need really some small of we with

more familiar reporting our it's security household index. some so surveying financial And of budget a qualitative our may you do monitor, we with the through in in that of be

to X% a there. out to living how was But resistance that do. if we of have much is a quantifying and of difficult dynamics, been exactly -- All try out neutral to cost figure would it greater had we've little saying is

the year. of grow. we result know we know we as there's We headwinds, some spite to to We projecting grew But to been of that. there. it can out resistance So know we a able the are overcome last that do in and headwinds growth continue we've

specific So give more you something sorry, much is. on that can't how I

Francis Matten

just pressure strong helpful. lower impacting some very as in client And of think ISP cost just values given just higher I some of mean the to years? market asset kind of that the percent some I or living of from talk question the of on performance started a recent a trend challenges do rates, redemption That's of beginning like following could are have drivers you still that? you the levels assets guess about past even outflows expect upward quarters. those over couple

Glenn Williams

our coach pressures that the going driven more cost to redemptions to Generally, Primerica it's up do of We when are that go and gets going have happen. and smaller homes at be you tight not in accounts closer are to to. the plants unless edge, living and money to financial

working You're redeeming. by yourself against

one they X/X for term. penalties against accounts is retirement withdrawal. in types But for IRAs long Canada, And plans if are plans, accounts. their our of often, of buffer or They're are qualified that other registered

of kind that's that another and from accounts around putting them taking. So just offense prevent the

also to emergency that We and account. up that's set put recommend take and an fund, people the

we that in is in retirement comes from the systematically and from result than bad. space. most so that So do believe we our invest against percentage-wise It primarily coaching. long-range protect of continuing have all we of and the times planning, redemptions It build to teach fewer the good comes and significantly companies good and that

of move cost bit the see a that But living. with little do we

they're had haven't people that lot. and much not seen And volume, significant part it we are large mature as discussion again, the the we like about those a move big making drives quite volume. earlier month-to-month, accounts our redemptions. moving are are many struggling of times retirement who and so that Fortunately, accounts, XXX(k) what The a are

doesn't a much We start really see after they economic but often, in of it an into redemptions accounts times, go as stress large distribution return, continue average, lower that does smaller the impact the through and XXXX. our increase as and financial withdrawal rate systematic expect unless than is number some mode even we on we healthy, tough very a if continue industry believe, But to families withdrawal people plan.

Operator

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

Have disconnect your this You at time. lines may a great day.

Primerica (PRI) 12 Feb 252024 Q4 Earnings call transcript