Assurity Life reported financial results for 2007, its first full year of combined operations since the company merged with Security Financial Life in January 2007
The Lincoln Journal Star | Posted: Monday, July 14, 2008 7:00 pm
Assurity Life reported financial results for 2007, its first full year of combined operations since the company merged with Security Financial Life in January 2007.
"With completion of the merger, we have realized significant benefits from our combined financial strength and operations," Assurity President and CEO Tom Henning said in a release.
He reported that the company's net income rose 18.5 percent to $14.6 million in 2007. Total assets increased $31 million to nearly $2.2 billion at year-end 2007.
“I think we’re pleased but not satisfied,” said Marv Ehly, chief financial officer.” “We want to do better.”
The company's capital account, including surplus and asset valuation reserve (AVR), stood at 12.3 percent of assets, he said. The ratio of surplus and AVR to assets is one of the industry's key financial strength indicators. The industry’s average last year, according to the American Council of Life Insurance, was 10.3 percent.
The company also paid a record $236.5 million in policyholders' benefits, Henning said. Dividends to policyholders accounted for $24.4 million of that total and other living benefits of $173.7 million provided a variety of payments, including monthly income for retirees and beneficiaries, as well as disability income, critical illness and long-term care benefits. Death benefits amounted to $38.7 million, the company said.
Other financial highlights included an increase in total income from all sources, which exceeded $376 million.
Assurity employs about 450 people in Lincoln. It’s planning to begin construction next year on a new headquarters at 19th and Q streets in the Antelope Valley redeveloment area.
Assurity Life offers disability income, critical illness, hospital indemnity, long-term care and life insurance, annuities and specialty insurance plans. Pension and investment management services are available through Assurity Advisors Inc., a subsidiary.
According to its annual report, Assurity had 422,000 policies and certificates in force at year-end 2007