UNM - Earnings call transcript Q4 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Hello, and welcome to Unum Group Fourth Quarter 2024 Results and 2025 Outlook Conference Call.

Please note that this call is being recorded. [Operator Instructions] I'd now like to hand the call over to Matt Royal, Senior Vice President, Head of Investor Relations and Treasury.

You may now begin.

J. Royal

Thank you, and good morning. Fourth Earnings Group's Unum to Quarter Call. XXXX Welcome full results quarter. along we will highlights XXXX discussing be fourth Today, with year from the

We time XXXX. will the our also for outlook to discuss use

statements Please call note results may forward-looking today's may and include differ. actual

earnings, any SEC to always, refer of could factors for earnings a can our the results. call. section Yesterday on not our afternoon, and results statements. materials our financial the website. to and cause differ presentation can these that released update supplement description are And from expected of actual We Copies filings Unum of to be Investors including release for today's obligated our those of as you materials with the the found

core International including to and Rick currency and references Chief call morning's constant a CEO, Officer, made are on Participating Unum's Steve operation Unum in basis. this McKenney; Financial are conference today premium sales and presented President Finally, Zabel.

and of our Pyne Colonial our Benefits. Voluntary remarks Tim Group heads Unum who Steve, heads Following lines and Arnold, Benefits additional International who participate Rick management in Life including Till, members for from business; Mark Q&A, Chris will and

time turn And our this for that, let with me Thank again Rick McKenney. you the your to over call morning. CEO,

Richard McKenney

also Thank with the only strong you, pleasure you the a the future. Matt, here as to good throughout excitement to share not the results but morning, to all XXXX, appreciate be on everyone. we It's delivered opportunity today. look We we

grow employee space. leadership DNA develop find in ways is the our is the benefit and and to earned new embedded Our desire to position hard in

customers XX serve positioned to many are privilege we In fact, we well motivated are have and to more. serve the million by

of engaging franchise for our building of our durable on need, a of and to has that employees taking time focus provide value our delivers communities in shareholders. the Our effect excellent service supporting profound at customers our care significant

to built brings and we connections who to The the to ease are connection and points delivery working Total with. HR the last. those Connect, greater satisfaction and Gather core the benefits and at bringing are to employers to are as employees we world commitment experience. and market to hand we customer are help strong and with capabilities Stead such bring our These with who connected creativity Leave, are

When only considering the and our point adds advancements in connection have competitive touch These team expertise been our -- these and attracting in every to empathy instrumental and every maintaining advantage. the it business customers interaction them market. to approach as are year to disciplined advantages as out run a takes consistency ability a and good deliver not in leading and year our in

We most of expectations line throughout X% our Our initial has continued to earnings expectations unwavering our top deliver delivered XX%, the into X% year. equity. high core XXXX. our and XXXX, which in share of growth is year commitment returns the product growth, above or saw over we grew lines meeting and going to ROE in our on XX% per earnings remains growth operations Overall, exceeding

here not in that we many fund capital. needing actions LTC we of playing our not described how we've the XXXX consume coming exceeding and and The good results our did expectation put are years was block them with with shareholders. to delivered our overall value first in From any plans on in took this a capital the standpoint, out. capital into executed to line XXXX year again to year, expectations more

transaction. throughout just of following shares our by XXXX, and $X the Further, XX% excluding million of $XXX PCAP approximately we repurchases when billion repurchases over including onetime raised dividend repurchased additional Trust

closed the significant holding block, with is XXX%. which still RBC addition $X company will within in ratio stronger-than-expected metrics, financial This we year of actions, of about the more these an minute. in cash a With Steve to billion including ended the capital talk and buffer

our metrics will Looking greater cash key expect and to $X.X flow provide as optionality strategic we even of $X.X our in continue further businesses XXXX. billion to free and core enhance billion forward, deliver between

to economic about to and ample continue a provide market wage to a competitive XXXX, witness we with interest are sustained we business, As that thrive. supportive and backdrop environment labor our and both inflation, think transition us of opportunities market, highly an grow rates

running the to maintain sales company, growth across is plan consolidated operations with maintaining our growth core foundation coupled on the on When our market. teams leading and customers approach capabilities. continue and We're premium resonate digits expected action growth single of ways Our is with innovating to in and range. some X% our persistency, build looking solid disciplined are are good while look hitting strong deliver the we our building with to high rates ground we X% with our in the dedicated and XXXX, our digital continually foothold to in that to very upgrading

shares, expect flow underwriting, maintain on disciplined good through XX% to we growth X% continued capital purchase of delivered that to used we deliver will generation top of the XX% margins XXXX. to we've growth share after we per and to earnings will our With in adjusted some EPS earnings

our remaining the adapting of we We're needs market strategy. our of to the our All constantly remain clients. changing predicated heart for at is approach choice this services on ensuring meet preferred and customer-centric our

When build last and results. We February, this that our advancing the we're strategy on report to outlined can plans our we seeing on position. met we market-leading and

in management leveraging the our in to is platforms go-to-market benefit HR we best Unum also ensuring For U.S., our while to solutions expertise are class. connect leave effectively

Leave our can experience industry customers. our to give we management to history, and continue the challenge a focus been with and differentiated for knowledge a has

momentum in trend of the suite In preferring customers saw we strong full addition, the of products.

seamless platforms to connections are like solutions they agents third-party their geared Our select building and agencies. establishing Unum focus efforts so robust billing can via towards administration with and independent enrollment, continue on

which the Gather, arsenal enrollment and modernizes streamlines and administration is is experience. tool Another benefits our key client

that employed ensures solution every products offer the group and for Life products. Finally, they employer-paid with Unum employer broker agents market-leading have enabling Colonial to

a For Unum to has management standard approach experience, is Unum and broker market-leading relationship that setting enhancing the model. our UK, distinctively our been redefine

services by set customers, We to and spectrum hand, providing through for product by kind, XXXX, are value-added that disability comprehensive customer value-added such to that In management of of expanding Moreover, loyalty, as drive a offers claims a delivering its the which our in information and broader solutions. services portal the encompass well-being we at U.K. yields help delivered engagement dedicated we're risk and insights. insurer large launched a integrated actionable first

growth efforts employees turn, of All premiums of the of will in will we and, these in generate and serve earnings. number across the the drive company growth

It has is resonated through a simple, different cycles. purpose-driven strategy that

proven a our have growth aspirations. achieving of We track record

last talking account first, you annual rate -- XX our of the into you If when growth look looking can for taking core X% -- remarkable compound especially years, note the is when premiums, at which pandemic.

growth is per to look share. value second The in at book

We encapsulates have seen we X% the It similar value how have compound growth. a growth over story a driven that EPS long driven is strong by term.

our franchise of priorities We also stewards building remain intact. of remains capital value. capital The consistency disciplined our in

investments ensure directly we strategic businesses. our support First,

and clear profitable a offerings capitalize our our products. continued and growth have out We well-positioned to build on strategy

to our demonstrated Second, initiatives that increases we regular our our pursue selective have return And both to line and continue we increasing supports share with identify M&A dividend in in via to plans. look capital internal to and as will repurchases commensurate third, strategy. this shareholders externally with through continue we actions

$X of a capital Summing it position at will billion LTC no our $X us company to in of than share strong up, leave million end of RBC billion holding XXX% XXXX. generation greater contributions $XXX and and greater the repurchases cash than

Our prudent capital continued commitment and to steadfast. shareholder Gap] returns innovation, [Audio allocation remain

Steven Zabel

across The our quarter year the results. of solid another as with evidenced capped Pleased the finish growth the strong to by fourth board. year

Unum Life year. For International, X.X% X.X% X.X% of sales year, is U.S. sales saw full up sales the our XX% the absolute quarter, record the in up and in were growth where nearly quarter we Colonial down largest which and in of fourth in Unum

the the ago within expectation year. in out expectation up our Premium and core full operations compared X% year is This X% quarter for saw robust. X.X% fourth last to finished long-term ratio our the with results, of by increased XX.X% X% both sustainability in to XX% Margins continued benefit in disability year for and a the disability consistent for the of life premium February be annual highlighted the laid results across to continue U.S. quarter. growth. a and Unum and business full

of quarter. Meanwhile, Group for Life year XX.X% and a finished the the for benefit with and AD&D ratio XX.X%

these expect we ratios. benefit both our performance and maintaining are ahead, of lines to outlook for both for Looking continue

market, the the the in for therefore, for continue firmly for results Specifically are a to low our to are durable we XXs. the ratio support near that for in seeing levels disability, our reiterate these and midterm benefit as operations in we we see outlook believe and

earnings mid- and quarter. near for earlier believe we delivered Life this and its highest US. earnings million-pound Group For raise to line continues produce the we performance of Life in on quarters the also which one per we term continue think and trends earnings did AD&D, therefore to Unum of record the strong with current beyond outlook, XX margin range saw Colonial -- its will International to year upper

franchises enter operating as positioned these strong we well are Both XXXX. to continue trends

power XXXX. after-tax billion earnings growth statutory after-tax in earnings of factors within $X.X with of was per of apparent full operating of to operating enabled which our results $X.X GAAP us which income was end full year outlook operating strong $X.X represents earnings billion. the share with $X.X XX.X% of over year The of these for and billion, year also $X.XX, All after-tax and adjusted our billion adjusted over

to while and Earlier, priorities detailed to Rick business capital our also grow the returning shareholders. capital aspirations our mentioned

provides to model significant in further and LTC. powerful flow the XXXX consistent fund capital cash was Our without enhanced need with which generation us flexibility,

our of XXXX. of As a of shareholders increase was dividends. and returned share an to result, billion over $XXX form in X.Xx from million repurchases the we just deployment in This $X.X

Our capital is the top business. to organically priority into reinvest

a success discussed. of our the key our strategic key Investing account the strength sales core the of business grow persistency in to value these capabilities we seeing the are and is market priority. The that offering in our with increase a testament to metrics efficiency Rick initiatives are new and and

XXXX of ratio result, was expense operating the with full a year XXXX. adjusted XX.X% As consistent

maintain to differentiation balance investment to realizing XXXX, increase In further gains. with expect ratio we we markets expense productivity in our as slightly continued the

the trends quarter, So then mainly and around life. we've continuation the focusing some represented and disability group throughout sustainability a year fourth margin seen the of on results in of strong

We did see a and lines some pressure in in that discuss moment. voluntary I will our supplemental

shift don't after-tax full the for per year, then and we increased level in multiple produced our In $X.XX growth All expect follows income XXXX. in year to that adjusted of XX.X% XXXX. and operating However, over on -- billion representing this all, this share operating the over block adjusted of $X.XX quarter full earnings $X.X of Notably, US, XXXX for years to outlook. closed XXXX. persist Unum X.X% the growth

these were sustained but adjusted year earlier, life performance bolstered also operating line product As by growth XX.X%. mentioned Life results full margins group a and earnings AD&D of group with experiencing the Group disability

quarter should levels return to supplemental lines, as voluntary saw we fourth $XXX voluntary the around to compared impacts this and earnings results in transitory quarter. our and more these million normal specifically quarterly pressure XXXX While view specifically believe $XXX from million the benefits, in

perspective, due is growth, and $X.X U.S. to billion near sales Unum grew earned our Then growth which from higher X.X% premium X.X% persistency, natural expectation. solid to a

U.K. underlying show to in the income earnings compared Moving XXXX. benefit was but didn't Adjusted Unum have continued million to year year, segment prior strong power of for XXXX its full and inflation $XXX.X growth. high trends operating to top flat relatively The the of in seen of line levels International.

As impact XX% such, the And grew for power the XXXX. of underlying inflation, earnings earnings adjusting over grew in the XXXX. U.K. business of when approximately

our were with X.X% growth million sales by U.K. levels operating earnings of for adjusted full outlook quarter the $XX.X of year growth premium and in Fourth results delighted in X.X%. line of

U.K. growth, segment, XX.X%, X.X%. of Then increasing sales to year of business this another significant premiums is while the driver the turning major While Colonial. grew

grow did quarter fourth slower premium adjusted best growth, year, outstanding, full and at ever $XXX.X levels at some of X.X% Colonial's the despite earnings margins remained for were steadily down were sales operating million. While of

loss XXXX to $XXX corporate is slightly earnings on million, predominantly which indicative over which The gears of million line the in the XX.X% expenses -- Full $XX.X a quarter, year into brings lifetime to XX.X% outlook to this return on XX.X% of LTC closed from loss of million. XXXX. million expect and Corporate ratio to quarter, earnings results, benefit focusing the this equity premium of with equated were a results up our of business segment, to and adjusted expectation, operating of XXXX. of quarter $XXX.X million $XXX $XX.X produced increased debt-related we consists in continue were block the a in net Block level of and which full This to $XXX.X year third is ratio, Switching million.

long-term experience our levels incidents expected was in quarter. the consistent and third remained above LTC Further, with generally

normalizing continue and may We been we some believe has the following forward. going levels incidence of volatility environment see inventory in the elevated this pandemic, of to continue a rates function to the

XX%. $XX.X our for investment portfolio or of of Closed annualized in basis. in Since produced the alternative the portfolio, of backs income X% portfolio, expectation Lastly, LTC, quarter to with has an inception million a our Block, which returns line of long-term our alternative largely diversified X.X% are which this yield produced on

-- results. positive overall including to our the well address longer describe. impacts regarding as saw a a of program. LTC premium rate XXXX I'll moving on quarterly these block. from a drove now pronounced moments block few of increase rate handful take Both factors position as higher our to And of environment look take success that I'll our our the for trends,

rate end XXXX, we increase premium our achieved the of through have of over XX% First, program current expectation.

pleased insurance regularly coverage the with methods receptiveness A financial and present flexibility. been of key are success requests. needs. that choices We better present their element regulators and and from pace for We the these may this adjustments we offering has both other policyholders suit for

has environment LTC this years, XXXX. to in rate no and the benefits the over major different higher few had last Second, was

estimate hedge remained average treasury the notional with assumption of outstanding billion program ultimate and XX-year rates of Our active, best for X.XX%. $X.X of exceeding with at year-end, hedge our X.X%,

XX with addition, the extend cash took the management year, investable In we impacts and in the we to horizon of are X hedge our the Overall, from as to risk some of the prudent years hedged discussed pleased cases. years opportunity earlier provides. we flows program in up it very

the capital his As need anticipate for contributions in mentioned Rick opening, longer no we for LTC. further

deployment value Our operations allowing further demonstrated us our core our on XXXX shareholders. to to capital and expanding this, concentrate returning

billion our protection capital which statutory is between the of confidence reinforced our of by reserves Our plus estimate $X.X at excess reserves reported consists best the and difference Fairwind.

portion reserve were With interest able release the of a deficiency Fairwind. our sustained we premium to of large levels rates, in

the as the impacts We will expected capital, Fairwind protection tax to have Due provided update billion last our the $X.X size on assumptions level reserve year decreased show to of releases this protection from in that changes excess as level. capital in relative Fairwind. stay sensitivities against in

take screen. side sensitivities the for assumptions estimate here and I'd business. And And improvement that on we have those line done removing major in impact best this our for assumptions the I'm increase right little pause bit assumptions the of the mortality reserve rate within reserve. at is we've impact our table morbidity as what an both best estimate the and just that page, of the assumption like as materials would we describe as premium indication well show the a to give of looking best benefit of what economic the the what at of for we the from set our estimate that the looked are on a is have done

our the take have forever the claim really variance resolutions of X show incidents mortalities, would approach and an best estimate estimate deviation on we've to lapses rate our rate ultimate the then to on new policy taken was that, a that impact and what For our and impact estimate. the for best and to best claim that that have the take and would that to standard for down we treasury XX-year And assumption X.XX% the take money last sensitivity reserve. gave

We recorded best reserves the of that assumptions and various will of within all to obviously give between the but do think reserve. our and key have not able do relate we regulatory some believe occur back the that wanted these our these be our protection that we reserve to market to estimate together, for sensitivities level best estimate indication

longer that to the this will validates no further contribute our to need So view we capital block.

remain risk hedging for top opportunities position management best XXXX. we strategies of program. risk pursue premium pleased the externally manage Considering actions our with on it. will Internally, actions are to continue transfer. block options and Externally, as implementing all as and will These our all our to actively we of both focus will move internally we seek and such advancing priority continue of this, we rate to increase we a economic into continued

updated have they found block we in the presentation. and today's metrics and LTC reference, be your appendix the can of For key demographics,

incredible company. stepping the see to turn back, So year we And for win. same XXXX as was of XXXX, an to many and tailwinds opportunities the we

that with this about year. considered, all our So talk it's to time outlook for

top high in robust sustained flow durability life free margins. capital XX% power and with generation power key our optionality. a X% and is The XXXX results trends those drive that outlook XXXX. that of and start XXXX. of trends major XXXX into thoughtful expected I'll in consistency saw of share lead theme growth our view earnings results to and earnings growth share strategy cash disability group strong these with business of and discuss line drive plays levels The The repurchase generation. and how expected capital growth specifically margins XXXX drove in are that then of paired earnings our product continue per and with These to to the we

I our to line businesses. and top growth expectations our now for turn core will of returns

of X% build Colonial X.X% and U.S. including the There sales XX% of growth International continued range. XXXX success the across to XXXX, resurging growth but growth expectations XXXX. momentum sales importantly, believe line premium long to in in core we from our metrics Following lines Unum our in with our GAAP in to stories operations in to we produce growth will core operations with capital continue to different are expect results pivot

after expected to $X.X totaling capital billion. capital fantastic continues billion. $X.X model of with of grow XXXX outlook to to billion $X.X year to a Our compares our sources last our generation billion $X.X This

charged companies, cash company, earnings strong our our by convert which holding our is to our businesses. a As fees. our driven fueled in This our fees insurance and by operating earnings across operations will reminder, our subsidiaries, generation to management to other dividends U.K. from U.S. all dividends specifically asset is

We changes XXXX. usage do not expect major capital our in in

continue service Specifically, to we at consistent sizable to share will return levels, increase our our dividend capital repurchase through current debt leverage steadily a program. and

buy throughout between expect For the we priorities billion our million back to $X capital and XXXX, $XXX deployment shares as we of assess year.

in shares removing repurchased XXXX, of approximately $XXX PCAPs after with million in we context, fourth the conjunction repurchased in shares those our quarter. transaction For

the expectations of presentation. So with end to XX for the finish will XXXX. now I capital at in turning levels Page our

We continue and expect levels above current maintain our to are capital ratings. strong calibrated our to targets, well to which be

This greater company be holding capital includes be $X than liquidity between and capacity XX% to subsidiaries XXX% ample our XXX%, and to traditional XX%. risk-based in between billion leverage and

to ensure plan capital considered As will structure. we That not management targets. for to metrics sudden these changes and we a do to time, closer to we manage do down our over do, back plan always approach capital prudent

capital grants to shareholders. advance many further and business allows near options return immense us more in and flexibility us term, to our this position However, capital the strategy

remarks, excited our in prepared extremely our pleased with the for businesses and how in up XXXX XXXX. the performed are opportunities wrap we company for to So

margins promises to industry-leading customers, to workplace desired continue a on for more employees will our We our and create deliver for shareholders. our deliver and more

before to questions. now Rick your will I over it his comments to closing for going turn

Richard McKenney

you, Steve. Thank Great.

to another in As this XXXX Unum up cover great continued see, the and be our you capital our topics of books, morning. with is can year for core in business Plenty to and generation. with XXXX shaping momentum

to we So questions. will with that, move your

Operator

comes Tom question Gallagher from first EVR. Your from Instructions] [Operator

Thomas Gallagher

had. disability. X I first on question just My X Steve, So is group

to expect it remain over you favorable said midterm. the You

recovery? to there's the think were the that? going really is things? that's isolate kind about it been of broader XXs. combination Because get What there's it I it it why the incidents? of -- you into it underlying here. say, concern Is sounds is a back If it's to really Is mean driving structural like to Is and a revert claim change a

you price peers. it's favorable? if -- do And will you assume better Or than the margin won't competition maybe your that why your many don't -- why as think margins erode

So that's not a threat? Any color on that?

Steven Zabel

really just We've maybe kind a us cover seeing little the then midterm. in Chris perspective, the fourth performance why from of gone talk and quarter we've Tom, near market. claims the and And a can to confidence of gives season. that bit through been kind about more competitive I'll what selling

the updated competition and And an have so there, pricing that. him out we kind of on read I'll cover and let

was zoom an out little XX%. year disability just benefit to bit, group around the actual for So had right that a ratio

although any so it see And range within it in that might well ticked up a the is volatility quarter-to-quarter. fourth XX.X%, to bit of kind little you quarter, of

much feel to is XXXX, that of the to low comfortable about into ratio would longer what pre-pandemic. a would in generally continue with at experience levels would I'd expect giving Incidence outlook that around maybe benefit that be pretty bounces the range. XX% experienced would I dynamics but what speaking, say then incidence And quarter-to-quarter, term an is bit going we're kind have pretty say, of consistent we just seeing. little we So we and very

the and that's relatively that's stable. pandemic. been we say we've recoveries that, that there. a improvement. would a that's good we've It by where kind about decade-long of the seen feel been From seen improvement was I some a perspective, volatility of really And bit little clouded during So really

of think people at going claims embedded with we've into our do with that to is out get we management do that and to forward want a we process. that performance our able successful we've reasons, work, came And be the technology back to very higher to just work. been people, to rate. that because them sustainable those in for our want we back And to -- as But get

I'll a what about and forward. that, environment And with over it going bit so to like competitive to Chris then just looks little the that turn talk pricing and

Christopher Pyne

Yes. what an Thanks, of excellent type absolutely performance. Steve saying question. for environment around operate competitive we thanks was Steve. world. Tom, building operational But to a in expect got that the remains It you've on

kind have reality work a want retain with. customer. attractive wanted are favorable as do employers a that package. and of You well employees really dealing They for to benefits They them a quality their

kind you that's came as price considering with when important where connectivity a maybe the into past or to conversation. conversations as human in you're that customer high-quality leave and the coverage technologies reason of different of management capital you solving are challenges And combine are the central that platforms them. or or kind when was these other to than modestly the to important are staying more they're

both appreciate have a though, that. We it we is time. the of stable And and to Customers of nice want to value Price a just over it no part question. We want be price relates investments. there's a delivering equation, fair our the as to charge price. combination history

Thomas Gallagher

my spread the still Do are right prospects transfer? market getting risk wide? as you now? follow-up block. do it the on you How announced -- care. for the possibility. younger think of deal you bid on a Is feel in too for risk peer And What The 'XX helpful, you That's long-term guys. is late 'XX do just yours another transfer vintage Manulife about just better

Richard McKenney

sure. Sure,

change about the how fairly talked and see past. in touch thing me be that the consistent quarter, that with in we've on One we did transaction. did another Let

and the actually have that think can market shows is think first We LTC right an actually the on saw to as over meeting risk. transaction we're we talked willing So company, that's a good. that we that ago, the about, we you take together that of coming just somebody where attributes year

of new enhance development is taking risk, some are asset also which can Remember, parties overall that other bringing the proposition. in we're the there on the

transactions it, we we make we're those as talk partner see I of on to to these both good to -- the So block. transactions about to but and are specific able think hard, that sure are find our have attributes take that right

can perspective really for see good from block, a done what structure team the want around we the that something to we'd has The and so that. transfer buyer structure a really parsing the block to risk of and is job looking

are there. these are So very all think, those happening But are, positive difficult that are dynamics transactions. I out

about And be we anything a active particular will time frame, don't we to the want so of talk in but market.

will talk out of players We to a number there.

for deal very sure the It's -- you've make the so company risk. make us we're is this legacy want to of is results strong. very we do. that unlike everything got a something that sense our This focusing business very are think to we as LTC do block of is and on core, which for seen term we the the be strategically And for longer has But shareholders. for well our to important off the

do run things, so LTC party. those to another core work to And business a transfer of to we to want risk the great then of continue and both

Operator

from comes Elyse question next Fargo. Your Wells Greenspan from

Elyse Greenspan

-- it going just side? is holdco right, to guys right? what going is as be upon are -- grow a seem buyback? year to conservative, guys your yet happens But the is M&A the I expand? just is range with on seems question, first depending capital My know -- mean little bit a buffer cash big -- with some leaving the I your to is you on And you there. guys there during you RBC the side,

that can potential about is talk might that with be you considering guys stuff And some transactions just case, the if you for M&A?

Richard McKenney

Sure, Elyse. is This Rick.

generation. guess, what Steve capital was through taking very strong conversation Let this me with and the I through very, you take first, is

business amount of you So capital. with have generating are to start tremendous The is a that.

funded. I think fully importantly, move on a made care XXXX have we as about different we was where long-term that actually too, to talked

across have So needs have strong that don't long-term care. those when you you generation

You've got to of a make. choices lot

been And very franchise. we've first got and consistent to say business. core a foremost, the We've grow great priority,

M&A an that? can about that? enhance heard that organically, How from can true we perspective. we You've How That's true grow today. also

M&A, transactions use And types things so to do to it's -- about we at premium asked we you look continue how of grow the those the about really, line.

Think potentially Think as to our about And as then that about places businesses international like are we'd as capabilities. certainly, well. distribution. that look to to grow continue

acquisition do the and our going get done to time. from you of things -- that's longer over but we're use we've increasing front to rate is So a a dividend consistently shareholder perspective, that then period something the

be of to a you And that. all when then from continue to perspective, repurchase We'll that, through at get dynamic. look we've share going we're said

of wide transpire million a a be responsive to exceeded we we want forward to more to and up over of kind amount good We where us. range, a that $X that million lot $XXX actually close the will is year them to whatever to we $XXX example which it course year brings $X Last A had with environment So this of billion. year. that the underlying our into PCAP then the and billion. dynamic. brought going were transaction, was

active area perspective. a to to capital very So is this be an from we're deployment going going be

similarly. and think we will XXXX, I XXXX expect we be -- that showed will we in dynamic shape up

Elyse Greenspan

this both the weaker in guys side, just just bit right, guide the on a you that and continue of Can the on outlook for And results it earnings the there to year? you little what voluntary QX, but on then in given for QX color the provide don't sounds little a 'XX. went the expect kind more like were

Steven Zabel

Yes, line Steve. of this some -- take of back it's volatility. different on Yes, volatility line things been this one. unfavorable there look quarter-to-quarter that seen within products and of we've some the was we've different have kind actual And we say, that quarters, look multiple over I'd focused, supplemental voluntary. in as A business lot that I'll in it. is are volatility we product as we seen benefits really that voluntary

If kind you quarter. the to per of would expectations $XXX go have of was power last the all earnings first block year, that of back at our been the what million way part above

continue nothing we forward. would So like around we it bounces see but a bit, feel systemic is there, and little that going in

a like per that and the really business, million that expect They pretty the about And as growth so We earnings businesses. seems voluntary. -- good within organization. continue we right engines we us into those now, level like supplemental an when are be reasonable can going of think lines power the $XXX to for that quarter

at They're very growing faster benefits pace are. I our businesses than market. what say, much are would the And group meeting a

And really like those so businesses. we

Operator

next from comes from Your Carmichael Wes question Autonomous Research.

Wesley Carmichael

renewal I on is -- could ask give just again bit Unum just locked you particularly maybe group at high of a disability long that in being to and in XXXX a little wanted you trends just renewals. color, maybe pricing US on life and Can for for pricing touch group level. if how us

Christopher Pyne

Chris. it's Wes, Thanks, Yes.

a talk general good topic So to about the in performed. how just block

persistency 'XX. et you really and incredible a real our time talked strong We back bit about over difference, at but step making is et capability what around also cetera, was performance you in a cetera. If stable look that little pricing, just

those while. in saw was We of element off hadn't market projects more for projects cases of come to been came a kind of 'XX, that where There some bid out. put have that

For little strong because really sales bit a a double-edged us, side, enjoyed in that's X/X. obviously, the we sword of a

those of projects some were coming out. as We So some. won

cases the checks just market our some like. or side, On the flip market overdue of went also for to

it to and really things persistency. a tie can we about Where longer-term feel being good we driver strategies, of investments

from feel a get to looking are as over On the competitive we good fair can it's very time. do a to that market, I stable we the that. Tom, flip, that's continue and said price earlier to question We

quarter. in the with sales thrilled really are We fourth

a We think shows the for can we combination that's well across something our nice up we that's company think and build on. that, coordinated that strategy customers, a really of

Wesley Carmichael

that's it. I your XX% you're about And curious, through I'm rate current care pretty premium increases, seems it on in think of program. terms maybe Got like going long-term quickly.

expect capital your level So does pace And with to that of your of rate I time you over protection, those no need how do justified? this continue do actuarially to reserves? increases? guess to what's in is separately, -- go they're originally you on what the be you expect given business, largely if compared you're Or done embedded in thought to and more

Steven Zabel

Right. the And the a our over into very with reserve We're through current We're is that far that Yes. XX% estimate progress little incorporated And last progress we've so you're that yes, since fall. seen now. made. right we've best right. happy assumption reiterate the

we X-year those, very I wouldn't over will a a when did that statistics of say, X- get implemented at were there. and had kind large pace approvals launch we those approvals to through have between these such, them have going in then to expect reflected quarter fourth expecting to get the but program. state and forward We over next be now, come the tend our period few and level. in I we years some been the And as

on we I like with large launching With happy we That's programs. just question kind said, ones reasonable a from are we're finish that that to your not made dependent progress line. feels really and the what get we have over emerge just think future see some happy able pretty very the product. line very the that always of that about still time

to continually we're maximize opportunities looking that also And at program.

we to on So able states returns I would fair never because consistently say line. where might on that go product get back we're be this never and challenging to

Operator

next from Horwitz comes Dowling Joe from Partners. Your & question

Joel Hurwitz

go I the business. want to back voluntary to benefits

So other forward. higher we've players ratios out expectations moving call key for heard loss

the drive a business. target environment something? think benefit was maybe years the guys think I that competitive you VB XX% to this something put correct has ago, changed fundamentally X for Or out XX% of about Is to it benefits higher, or business? way ratio to still the

Steven Zabel

Yes. a closer would would ratio peg from benefit mid-XXs say somewhere now that to going the probably forward. we I right

on And returns power So modestly we good earnings business. that that about I good of feel getting we're still very going higher about very just -- forward. the line feel the but

planning good a assumption. probably that's So

Joel Hurwitz

associated then to sales And were just the I capabilities group how of sales. or gears with much Connect at X/X Okay. guess U.S. Leave. HR Total strong shifting customers like utilizing

Christopher Pyne

Chris the Yes, question. for again. Thanks Joel,

investing and -- capital our centered topics lead management capabilities. and it they're much Same saying about can really important you've talk a by market that's let how like in extremely were in we with the solutions lot and to to talk got like access for management, gets up human been trying me go me sales chance start when management, to they're customer problems on we've more about long-term of lead incorporate us do it, that to strong, Let attention. the platform with what and

affirm in in that's are So critical better investment more to really of and continue your ongoing how as investing we've to in business, we time. to are the point get we be those topics of things terms new kind winning question, strategically are and continue aligned those long they been after over And talk more a excited about -- time. to for sales

on customers are to important. As start move things platforms add smaller you you are critically like still more that distributors for them. to work do important broker distribution But mid-market, in rely through and their

help targeted with thing. on funded market So starting we're good incredible referenced Gather the -- behalf traction we've broker and group nice with to Colonial in their partners even customers Unum progress see a Rick where pleased in really starting of products our which employer smaller make that We're marketplace, and there. the working platforms some strong a incorporates got that's how with their execution from with platform, and is play actually that's they're can really to we've mid-market the

security of question right your is capabilities lot to us. So the a matter on

Operator

comes Sandler. from question from Barnidge next Your Piper John

John Barnidge

capabilities? market moats products And talking Gather the the to suite about support in more capabilities? whole are third-party shelf talk that's off what into have the continual proprietary begun investment on fail you that there Can about Other to participants meaningfully investing replicate? HR the lease Connect, going management

Richard McKenney

years just complex an own what to for in behind it business lead Yes, that It's on of -- with And you're up health there but step #X management back, different, of FMLA was ago something every and handle depending it your extremely you as for an John, to the decades. to it's are and cost kind assistance If way many, X, become literally in issues employers want states starts how for to evolved them. were leads is the lead of care. put new where is it management the or employer. needed manage corporate many how I been employer, set motivations many we've

the experience, condition the advantage. in our leave being give many, management. not lot disability employees with are And in a significant also own business, many a of leaves leave the years, us of being are a for that part experts is only There business associated which but real

employee years of ecosystems that what on the with building manage start I own that and specific want in competitive the making what the of investment investments very populations of then votes winning platforms in and of call experience real concentration and use choice. So with we're to our couple on number their kind employers to would a

good to So with work, they'll right interact become on what's the that tools act, when that are indispensable hold they're happening frontline to These managers to with to staffing that and their of. for around can have need exchange we going their literally take information be what somewhat employers. up they back a so handle employees, protocols

you're client difference of real a because their Well, it's in for frankly, these just they're by to our teams employers. our with spent and and the broker to end-to-end way sure our really consultants business expert for fun getting the able let customers. in way best of management company, time partners finish on culminating solutions brokers, benefit the we where a sell to And an make strategy the being through into can incorporate lot consulting saying sales all consultant we kind of make and at me a of

Steven Zabel

up for types example, technologies. been And that. John, X, Total in for years. And that's incorporated in add, the to the market it's and been to of power question only The our commitment thing we've financial years companies, in that there these in investing there's embedded kind of take Steve. just about an into ago. Leave, investing that that's earnings statutory I'll few a I'd We brought X of really a just

billion outlook within think into we're And going capital of year time. I $X.X have funding that about billion when of earnings, been the to next $X.X statutory for we that generation, some and so

redeployment. those be returns generate basically make capital utilizing able investments we're and very very, scale and healthy So our then current to still to

John Barnidge

market bifurcation the the X you large can growth dynamics last case a question, bit been emerged follow-up market about sales And and those the talk between the versus like my year. that in over a there's feels market core have of

Richard McKenney

is what that, -- over essentially the client core National nice basis, is we level Group are from certainly, actually of Client and quarter. upper of sales new X group and customers, of One, saw the really We sales year. that's influx really out, John. tied but national pleased mid a to XXX a we stood business Thanks, with this group double-digit Yes. capabilities. for a date for On lot core again, in biggest -- a there winning growth though,

prior that You out sales growth. the kind see the net to from year of stop-loss to need

But in of there's mid-market, Unum. broker now those into when that down or of work end distributed and We we our -- Workday things of with market smaller platforms bundles that. the I market, headed stand out. we We talk heavily in the associated capabilities platform and and mid invest own the more as said, around, upside do more know terms also kind you of the is see at about Workforce taking their down where ADP look

is The sales NCG We products. working. shine, good. did we feel good -- portfolio love of This particular was but really both. did growth between the So about quarter bundle our balance

Operator

from Your next question comes KBW. from Ryan Krueger

Ryan Krueger

decelerated in timing a the over XXXX. is the expect a in It premium that function the has Is year? you something just higher including or come quarter. the reversion in like going during growth quarter on growth last premium X? of sales US of of through else depressed last looks Or back that fourth course the Unum XXXX, how there

Steven Zabel

of the some of recognition for There's But really Steve. that growth kind I quarter. just specific full into those year, not it's continue Ryan, XXXX, some we quarter-to-quarter, to seasonal occur. the X% can kind fourth that good zoom things going really good in There's we back Yes, grow a little growth vary businesses. and but about may and feel it feel bit

Ryan Krueger

Got a Colonial expected color more turnaround in is what little it. can sales you driving the And on then Life give XXXX? bit

Timothy Arnold

it's Tim. question. the for Ryan, Thanks Yes,

expected in And up from in with sales by and clearly, let year fourth with start than were jumbo the So we extremely first. That growth 'XX a quarter, the we higher large quarter. was XXXX strong growth that against an XX quarter me not driven XX%. fourth was the In market. perspective.

clients. with only as saying opportunistic the So to and market a 'XX grow the of pretty an been we've for from market, us. couple success profitability years. just really Chris' in from case in view Colonial being Life large large building had John, on we from the on question where consistent good want the We extraordinarily Maybe but point about we large brand, case, a makes through that it sense some perspective

and to And results Steve favorable last were year, levels pretty pointed led premium as but of as then gave XX%. persistency well. we the reiterating was and it's Steve pointed as from strong benefits growth by good in really management So X.X% out, premium range you extremely earnings, driven high out, earlier strong worth good year. that was guys last expense at That that

had we're As on with Steve we XXXX, Colonial that touched well. progress specifically and the -- mentioned on Chris brand about page focus Rick flip we the excited investments the are the seeing as and strategic to

neat clients. Gather, bills. it is our and life to And important a when sales single able which voluntary, growing are sales gets Gather than seeing product agents our very is on us client to ancillary Life growth solution Unum good rapidly. bill offer going unit on we really platform are We're very, in an sell on the product that rather from our portfolio, agents integrated put Colony really to what's forward numerous

about excited opportunities there. we're the So

and our strong is the recent in agent with was of quarter We in new tool. that it in we XXXX. our memory. recently Life of history organizations worked a been adoption able and fourth productivity are that that Agent has of new chances in. most level of help started sales We a call fourth SVP up Sales fact, XXXX. very we're entry in quarter recruiting year, one execution-focused Sales. our in she the did highest role regions. we've Vice will to an in long most he's coupled She the very confident had name way was We success Assist. quarter, of President Colonial last importantly, fact our Perhaps every transformative of when leader and agent at He She's XX% seeing recruiting up our be in that virtually for in the a of And the us like though,

take in shared. to the want it a we're may quarter confident get fourth we we the be X Steve place but name only that be, that so to her in or did can to the range We quarter,

Operator

comes Alex from Scott Your next Barclays. question from

Taylor Scott

as talk on persistency some in of U.S. First they I premium being X the was was outcome, like the you were too, if I it light on pretty strong have. as Unum mean, a this actually quarter, capability bit. probably good and persistency a of sales could just is growth. I advantages of had the about looked you interested back that

just how persistency. terms do to into guidance a And of that's growth. growth what's wanted translating sort so of for premium assumed little that like conversion. XXXX It's And I to from in outside always the hard understand us in given you've premium the

Richard McKenney

nice related the you hadn't drove that us, wasn't Yes, or that market sword in previous say, think about in hit the kind persistency 'XX case probably RFPs Chris, 'XX, Alex, solutions my but enough market. there the answer for when checks either clear double-edged larger more of a I pent-up of that 'XX some on in to in, demand was of market

And quite other some the was in-force our in it block won customer. that risk doubling play, time successfully, we you in of of is it's the run of but a also any coin -- -- side the And do the losing play.

super persistency So and when solutions capabilities in problems it. 'XX, that of that's strong a our and part of persistency about 'XX, customers normalized more get think will I make will be business. take stick overall would about that's excited in that We to only of it part longer. about still a significant and block, bigger more portion think when our But I solving more much time we're and

Steven Zabel

clear. it make to just Alex, And

of first be will reflected quarter kind that of renewal on results in So the persistency. our

results as next of of year, we'll forward. the into so kind we that we go report go as And

Taylor Scott

Got you.

lower did guys Okay. And the X XX%, this you think your it Fairwind in tax then sort had I base in But was if I assumes is got that around that rate it and impact then in the against protection about significantly on that million tax think equity terms interesting $XXX the long-term around way that's more related better. of of care. Appreciate case.

bring where things that these and to a the transactions forth? help mean sits this comparing I'm when just some interested particularly compare how at and Manulife of point? we're metrics I and some reserve? contrasting does that statutory I may to of done so think us

Steven Zabel

is Steve. I'll one. take that this Yes,

rate So works up anticipated discount were for rates I money into we how move time and that see we into you're new over reserve mean way XXXX due that our premium coming right. that that rate given its deficiency to fact. where our assumption the would

kind of through went be we would as see the on deficiency premium 'XX did what and that our And finalized reserve. valuation we year-end

in capital, during from in guess, I to of essence that sensitivities So we very seen with The some consistent is it expense. basically are that reserve component have year period. release though interest we of what when deficiency premium be those some transition able the as would the rate outlook the tax provided, part of last to our reserve you meeting, would

excess protection kind way it we're we're and it we're reporting in kind you're importantly, think of really reserves we we separately. And of that leaving about whether because indifferent And of in or all We capital. aggregate breaking as those that's those have. why So the down right. thinking it about Fairwind. it that in why of capital And think not resides that's to X

right, as we deficiency premium it's those X.X math that during the release year. friction went of a there you're are so reserves And the simple report protection to X.X some because from tax we

to other year that were That's of X-year necessarily the note those the their sensitivity we those calculation. a multiple would that sensitivities I as The -- kind thing just not way rates event. do work a is give

into that see you'll over trailing as it works of X-year multiple recognition years way so its average. kind And the

Operator

Jeffries. next from question Kamath Suneet from Your comes

Suneet Kamath

with I having one as possibility business. things I sort some care that to company think care. about you of long-term saw you business non-LTC the asset-intensive the in order to deals bunch the were the thinking were how Unum the transact. long-term with wanted But Manulife with if of I don't transact? are And start I X asset-intensive bundling mean to bundled of of guess some a about exposure we

Richard McKenney

Thanks, Suneet.

we've but out talking in there. I we do have about about business multiple think talked the of past, this lines

So we as that a that might in constraint of what terms see look don't like.

Now have we don't don't businesses that maybe some we returning asset-intensive good we've have got but would potential. businesses, that annuity-type

so And I -- I that don't like it's I think think a said, constraint.

for sense consideration I to something to put think of be other overall. it us together as and would them, we part sense for talk that counterparties makes make

Suneet Kamath

outlook? said thumb have think, rule to of -- top then frame a your But guess or do sense. Okay. plans Got that mean, you priority makes capital much the XXXX capital. I Rick, it. you how growth, on your I us And helping in is do have growth which you your you support need I organic

Richard McKenney

Yes.

organic when look the at consistent. think growth, for needed that I capital that's you pretty it's

hasn't breaking And specifically, think changed that out so year-over-year, that without I much.

if whole we consume it a lot able so do would a kind And more capital. to lot more of we're

actually the are our depends a line, on consumptive from capital many low lines of but pretty It perspective. many,

that, we to lines, have So there. that's want do continue we largest to in necessarily of going we those not be want to but say invest use out to that. We the what

that So to is sure that, want It make just -- we growth. the about priority. is but

type of also the leave we into to kind things can premium add the M&A that you that then grow line. And of can

chart that's result, many of And premiums. for has consumptive you this hopefully, of years. many, consistent. but the So a showed been We nature has growth a as engine state steady it very capital the helpful, been

Suneet Kamath

just couple hundred If past, to just a just size X the you dollars, I I an relatedly, update be guys want in, about what you about? would thinking M&A-wise, in of get of sneak talked million sort transaction I could more think there. but

Richard McKenney

Yes.

would transaction. talked the I something from move don't size on a type to are it's materially, haven't be probably we look could going it I we denote be much transaction line. be premium up little and think which really that? all side, technology, about would bit about a . Would distribution of growing smaller that be we type think It consistent. the capability-driven that as transactions. at, these so could that, And all

think from companies we'd we away of that stay types range. exact size, to buy smaller type the the try but talk transactions we like probably that So about I in to of are

Operator

from Bank comes question next America. Josh of Your Shanker

Joshua Shanker

will low continue type the experience? XXs and they you might expect that are you to right the I pricing beginning I ratio talk thinking a competitive that the now range, Or you're about want and environment pricing. in but want we be favorability the benefit current and better at you're sub-XX than pricing of are talked disability the trends that. little you type Q&A, about bit for a thinking to understand, how

Richard McKenney

both to through stepping a we we long-term the place plan have to put we have. for to that our thanks they're customers comfortable question. bundle Josh, solutions can expect flexible can back, of products the and that Yes. at power Again, pricing the set together be that with that and

Sometimes you've got and in the make to modest adjustments to rate make up down, but sense. them more

the talking little you're good kind bit about away, capabilities, the line of of take a things when management or of about conversation ACM you're it when is which talking does of a nature bottom again, And thing. lead bundling like

that organization are. we're shown to that. like put history together pricing. to We they reasonable on They've the that feel we counting level our at of a great -- with can So continue claims perform

trajectory good time. that on this continue can been very So that we on for some we've

XXs, to where the we keeping both low And are guided disability XXs. I we're see, of But well. can the towards loss period time we've as there again, creeping for spot insurance feel ratios be in good of you but a kind really and on up like as life

Joshua Shanker

to ability guess much your factor business. price in is I how win And

XXX say we're stimulate been currently have than to margin If willing Would points growth? it you earning. basis much price we were XXX, to less

Thomas Gallagher

of play down fairly if to lot you make your commodity to think trajectory really could look a there. for win do upmarket, if customers quickly I to wanted you market, Josh, wanted sales win a pure buyer, change first. you value

of they it's can, sort carrier. are take to really and there every value So a a certainly, the bit that but large even and market, meaningfully if has discounted likely from that's times Listen, that's where market some an the and a be upper to -- of when savings mid make reason see they happen, part minority. Most more less conversations of driver. the like company we decision of offer economic advantage of

long pricing doing been isn't just do matter. is whole not suggest the I price a success and X what's to going or I've long-term a play for package does. points again, the under X from It doesn't But growth Again, by lead this time. want perspective. to at to

Operator

question Next Securities. comes Truist from Mark Hughes from

Mark Hughes

Just X one. quick

solution the risk much prioritize a books has entirely it's lot solution, in transfer so the you just You talked a of or a getting just for your How partial of do components block. the block. about long-term maybe off full care that potential optionality

Richard McKenney

Mark, Rick. it's Yes,

go you that's that, about why would I tranches. realistically, of I that's the the -- given we block, back think probably we not think about size about X-plus the a just talk years, solution, if full think

like -- of think terms would to much the in be off it about piece. but risk it's more I Ultimately, entire by we to reasonable think piece

that's approaching. we part That's what so take any why perspective. we're structuring out can we block And the from a say of

And that. so focus we're going to on

we that's I but do little into happen. that. be going to as we a term, pieces a think want off Longer of realistic that sure, think a broken bit the block, I that's going be it's couple to to way

Operator

Capital from from Matten comes Markets. question BMO next Jack Your

Francis Matten

why that at -- longer-term up that net ratio, a Closed above quick run question and which premium can just your you that can a unpack out Block on on you called into little the quarter. all moderate what's if outlook Just LTC XXXX. slightly wondering expectation segment confident driving and bit that the going you're continues ticked I from infants last know to

Steven Zabel

one. a and Steve. maybe the about bit outlook of Yes. is. talk that the of what talk little then that of the our little I'll kind bit for quarter about This I'll underpinnings a view XXXX is and handle

elevated continue consistent would So from pretty see for with quarter, expectations. incidents yes, quarter. at our the we be did third longer-term It's that level

we seeing to incidents next inventory more good that as we going kind so year, down claims into go And levels. next feel year. to indicate normalized drift of And what case to -- that, of will get we're kind into continue be our as seeing is still we that probably the of

up driver how think have in claims out part range what and that actuals the XXXX. there just of dynamic would in performance XXXX put we is a into what is and our incorporated of from about we bit our going So were

that average expect. we pretty consistent The earnings think our the a is we that those that's modestly We release, We think a which was things public ratio X outlook on in hasn't our was going those really kind claimants statements the related specifically, we claimant of negative the up count was go to for basis XXXX. Both XX other don't pretty net just premium thing so of to expectations, the don't size an kind necessarily would with It talk we saw quarter, continue We did mortality. claim about than but lower have what terminations, that of points. and had incorporated into for impact think modest been quarter continues. would thing. of

that thing alternative looking is other investment The at, our we are portfolio. though,

our the -- annual yield for fourth Our yield was X%. quarter -- I mentioned about

the For was year, a little full under X%. that

would XXXX we Our XX%. have what X% into longer-term for our incorporated that be outlook. And to that's would expectation

year we Block. Guidance year Closed full guess, $XXX for just million we finished in or $XXX at the under million. So I over, million just the $XXX was gave to

set. that X that around really well oil increase better is the in to yields dynamics as abate range those incidents on portfolio be the may as we so And continuing driving

Francis Matten

the on growth But just that follow-up outlook for in wondering there earnings capital XXXX from to really expectation? a improved if just there's dividends. meaningfully. is consumption capital There's the expected driving the anything isn't like seems your anything nice notable stat organic U.S. driving I step-up generation. then will And It and helpful. guess international outlook. That's a change

Steven Zabel

No, just growth.

international very We U.S. as insurance margin as continue solid the have across our to subsidiaries. both businesses well

that seeing line you're earnings is to so generation. And all of growth flowing kind the statutory of through we top anticipate kind in

Operator

JPMorgan. question from comes from Bhullar Jamie Next

Jamminder Bhullar

Most to adjust it net -- from you'd it from earnings were Whether overall that idea the maybe What just monitor reserves, it's something -- getting where your we obviously in point you've need what your you're is ratio reserves again? premium an expressed but or or long-term maybe care a the that on outside? us gives of that but my block. could if answered, questions is confidence to and

Steven Zabel

Yes.

I consistent. block, quarter-to-quarter metrics the be we talking premium will net that that to to The Two the dynamics to on just talk earnings continue we're about been relate disclose which and quarterly think that absolute we would we're would of as go seeing basis. block. pretty the ratio, we going just we've a about claims within be the that

then about and that and to just that, program And there what progress premium we've made rate the just had and protection on would the we how then success the program, gives. there. achieve our the disclose to just add we'll And I we continue hedging able think we're to that

put in to were there do. of out what So that's XXXX, we continue able to market and kind that's what in we'll the

just be statutory reserves dynamics think relates block. for of the having the indicators probably And broader update think as requirements or as about our have capital key at then we that we reserves. far one regulatory thing to us, Ultimately, that we obviously, needs feel that the of business. think there's have with But to estimate just the business. there to best protections on GAAP And capital looking against protections for is we best I that going

Jamminder Bhullar

besides be on billion billion? end, guidance, fairly range. the $X.X you then your at the And are make Okay. share earnings, versus -- higher around buyback things what a would maybe that to $X wide closer What

Richard McKenney

Yes.

I have I mentioned think have that dynamic we M&A. about we year. for the the course of repurchase the the and flexibility

be would have we'll we capital. of about, talked But capital even a of use significant year. that with the end the we types certainly, transactions as So

which judgment at terms as the of year. at look go more back shares our buying we be to the we going in it's at a So pace course of the over

the right shares, start but at in see in strong I'm do back we'll it and expect we'll so have the we buying to on spot which really year sure that And we about pace the we'll just basis, a be talk a quarterly market away, and that.

Operator

from Your UBS. question Michael comes from Ward final

Unknown Analyst

dominated Back it activity is the anything incidence payouts? know think underlying just a but voluntary discussed else? there's -- benefits. in kind is the don't there, and it or focus actually voluntary I hospitalizations just pickup product comfortable of with simply a Or random claim been to earnings you're power, of I lot and or we've lines severity

Steven Zabel

and had of Yes. And it's story of claims. hospital In quarters, kind we've higher been disability. some incidence quarter-to-quarter. different of claims some a indemnity, had higher levels We've a

I each would product those lines. we're say of

the out a that We predict continue. we of kind trend future unfavorable into haven't seen will consistent

kind think we product just those of quarters, have we in things should couple benefits. claims again, we've embedded So And that last unfavorable had volatility some product time. over hit out lot of it's has lines, multiple the just of voluntary that's some one a that play of And experience that different lines. over

Unknown Analyst

-- in helped impact that's maybe like ratio loss to how maybe group quantify sort the like few last on of the from you are over Okay. just or a recoveries able And and then disability general years?

Steven Zabel

pre-pandemic ran incidence Since of that. of obviously, Yes. that time, for back in kind to to all consistent. but on kind more, benefit within the lot probably ride those a go parts way of ratio There's of an is if I'd I been low mean, a a levels XXs. the say, to of pretty back moving indicator bit I probably the disability that and trends, historic are we've period group

the different we've in seen the There's change benefit one be that main time. trends. over pricing of say ratio obviously I drivers improvement would of would that recovery that's But that period of been the occurred in

Operator

for closing McKenney to remarks. I'd hand session. now back now final like are to Rick We the Q&A

Richard McKenney

all you and questions. joining for all us, Thank Great. you thank the for

our do have about the out please team, out Monday will of a events number look call. further And at to active also at doing that weeks questions, Thanks, reach you we're this be as concludes talking that, we of what If March. few forward you do the with call beginning to the next operator, over different at everyone. and APA as seeing from and there soon

Operator

Thank today's call. for you attending

wonderful disconnect. Have day. now may You a

Unum (UNM) 5 Feb 252024 Q4 Earnings call transcript