unm-20240430

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report

Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 30, 2024

UNUM GROUP

(Exact name of registrant as specified in its charter)

Delaware

001-11294

62-1598430

(State or other jurisdiction of incorporation)

(Commission File Number)

(IRS Employer Identification No.)

1 Fountain Square

Chattanooga, Tennessee 37402

(Address of principal executive offices) (Zip Code)

(423) 294-1011

(Registrant's telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common stock, $0.10 par value

UNM

New York Stock Exchange

6.250% Junior Subordinated Notes due 2058

UNMA

New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

☐ Emerging growth company

☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02 Results of Operations and Financial Condition.

On April 30, 2024, Unum Group (the "Company") issued a news release reporting its results for the first quarter of 2024, a copy of which is furnished herewith as Exhibit 99.1 and incorporated herein by reference.

Also on April 30, 2024, the Company posted on its website at www.unum.com the Statistical Supplement relating to its financial results for the first quarter of 2024. A copy of the Statistical Supplement is furnished herewith as Exhibit 99.2 and incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information in this report, including Exhibits 99.1 and 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference into any of the Company's filings under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 8.01 Other Events.

On April 30, 2024, the Company announced that its Board of Directors has authorized an increase in the quarterly dividend to be paid on its common stock. The new quarterly dividend rate of 42 cents per common share, or $1.68 per share on an annual basis, will be effective with the dividend expected to be paid in the third quarter of 2024. A copy of the news release concerning the dividend increase is filed herewith as Exhibit 99.3 and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.


Exhibit No.						Description

99.1						News release of Unum Group dated April 30, 2024, concerning earnings for the first quarter of 2024.

99.2						Statistical Supplement of Unum Group for the first quarter of 2024.

99.3						News release of Unum Group dated April 30, 2024, concerning dividend increase.

104						Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	Unum Group
	(Registrant)


Date: April 30, 2024	By:	/s/ J. Paul Jullienne
		Name:	J. Paul Jullienne
		Title:	Vice President, Managing Counsel, and
			Corporate Secretary

Document

Exhibit 99.1

1 Fountain Square
Chattanooga, TN 37402
www.unum.com

FOR IMMEDIATE RELEASE

Contacts

MEDIA

Natalie Jones Lacey

njones3@unum.com

INVESTORS

Matt Royal

Investorrelations@unum.com

Unum Group Reports First Quarter 2024 Results

•Net income of $395.2 million ($2.04 per diluted common share) for the first quarter of 2024; after-tax adjusted operating income was $409.9 million ($2.12 per diluted common share).

•Results reflect a growing top-line with core operations premium growth of 6.6 percent on a constant currency basis, and robust margins highlighted by group disability, group life and AD&D, and supplemental and voluntary.

•Strong balance sheet with holding company liquidity of $1.4 billion and weighted average risk-based capital ratio of approximately 440 percent, well in excess of targets; statutory operating earnings of $350.5 million.

•Increased capital deployment to shareholders through accelerated pace of share repurchases and increase in common stock dividend of 15 percent, beginning with the dividend to be paid in the third quarter of 2024.

•Book value per common share of $53.38 grew 13.9 percent over the year-ago quarter; book value per common share excluding accumulated other comprehensive income (AOCI) of $68.73 grew 9.3 percent over the year-ago quarter.

CHATTANOOGA, Tenn. (April 30, 2024) - Unum Group (NYSE: UNM) today reported net income of $395.2 million ($2.04 per diluted common share) for the first quarter of 2024, compared to net income of $358.3 million ($1.80 per diluted common share) for the first quarter of 2023.

Included in net income for the first quarter of 2024 are the after-tax amortization of the cost of reinsurance of $8.2 million ($0.04 per diluted common share), the after-tax impact of non-contemporaneous reinsurance of $5.7 million ($0.04 per diluted common share), and a net after-tax investment loss on the Company’s investment portfolio of $0.8 million (de minimis amount per diluted common share). Included in net income for the first quarter of 2023 are the after-tax amortization of the cost of reinsurance of $8.7 million ($0.04 per diluted common share), the after-tax impact of non-contemporaneous reinsurance of $5.7 million ($0.03 per diluted common share), and a net after-tax investment gain on the Company’s investment portfolio of $0.1 million (de minimis amount per diluted common share). Excluding the items above, after-tax adjusted operating income was $409.9 million ($2.12 per diluted common share) in the first quarter of 2024, compared to $372.6 million ($1.87 per diluted common share) in the first quarter of 2023.

“We are very pleased with our first quarter performance, which represents a very strong start to the year,” said Richard P. McKenney, president and chief executive officer. “Our businesses generated healthy core premium growth and delivered particularly strong performance overall in our Group Disability and Group Life businesses. We also executed against our capital deployment strategy, returning additional capital to our shareholders through increased share repurchases and approval of a 15 percent increase to our dividend. Looking ahead, we are well positioned for a strong 2024. Market conditions remain favorable, and we continue to see strong demand for our digital capabilities. Coupled with the strength of our balance sheet, we are well positioned to continue executing on our growth strategy and creating value for our shareholders.”

RESULTS BY SEGMENT

We measure and analyze our segment performance on the basis of "adjusted operating income" or "adjusted operating loss", which differ from income before income tax as presented in our consolidated statements of income due to the exclusion of investment gains and losses, amortization of cost of reinsurance, the impact of non-contemporaneous reinsurance, and reserve assumption updates. Investment gains or losses primarily include realized investment gains or losses, expected investment credit losses, and gains or losses on derivatives. Reserve assumption updates may result in increases or decreases to earnings. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for income before income tax, net income or net loss.

Unum US Segment

Unum US reported adjusted operating income of $385.2 million in the first quarter of 2024, an increase of 23.3 percent from $312.5 million in the first quarter of 2023. Premium income increased 6.1 percent to $1,707.4 million in the first quarter of 2024, compared to $1,609.6 million in the first quarter of 2023. Net investment income was $157.0 million in the first quarter of 2024, which was generally consistent to the $157.3 million in the first quarter of 2023.

Within the Unum US operating segment, the group disability line of business reported a 13.1 percent increase in adjusted operating income to $164.8 million in the first quarter of 2024, compared to $145.7 million in the first quarter of 2023. Premium income for the group disability line of business increased 4.7 percent to $779.8 million in the first quarter of 2024, compared to $745.0 million in the first quarter of 2023, driven by favorable persistency and higher prior period sales. Net investment income decreased 4.1 percent to $77.8 million in the first quarter of 2024, compared to $81.1 million in the first quarter of 2023, due to a lower level of invested assets, partially offset by an increase in the yield on invested assets. The benefit ratio for the first quarter of 2024 was 57.5 percent, compared to 60.0 percent in the first quarter of 2023, due primarily to favorable claims incidence in our group long-term and short-term disability product lines. Group long-term disability sales were $54.6 million in the first quarter of 2024, an increase of 1.3 percent from $53.9 million in the first quarter of 2023. Group short-term disability sales were $35.9 million in the first quarter of 2024, a decrease of 3.0 percent from $37.0 million in the first quarter of 2023. Persistency in the group long-term disability product line was 93.1 percent for the first three months of 2024, compared to 90.6 percent for the first three months of 2023. Persistency in the group short-term disability product line was 91.3 percent for the first three months of 2024, compared to 87.2 percent for the first three months of 2023.

The group life and accidental death and dismemberment line of business reported a 96.5 percent increase in adjusted operating income to $78.8 million in the first quarter of 2024, compared to $40.1 million in the first quarter of 2023. Premium income for this line of business increased 7.0 percent to $488.4 million in the first quarter of 2024, compared to the $456.6 million in the first quarter of 2023 due primarily to favorable persistency and higher prior period sales. Net investment income was $22.0 million in the first quarter of 2024, which was generally consistent with $22.6 million in the first quarter of 2023. The benefit ratio in the first quarter of 2024 was 68.2 percent, compared to 75.0 percent in the first quarter of 2023 due primarily to favorable incidence in the group life product line. Sales of group life and accidental death and dismemberment products increased 9.5 percent in the first quarter of 2024 to $42.8 million, compared to $39.1 million in the first quarter of 2023. Persistency in the group life product line was 91.7 percent for the first three months of 2024, compared to 88.8 percent for the first three months of 2023. Persistency in the accidental death and dismemberment product line was 91.4 percent for the first three months of 2024, compared to 87.6 percent for the first three months of 2023.

The supplemental and voluntary line of business reported an increase of 11.8 percent in adjusted operating income to $141.6 million in the first quarter of 2024, compared to $126.7 million in the first quarter of 2023. Premium income for the supplemental and voluntary line of business increased 7.6 percent to $439.2 million in the first quarter of 2024, compared to $408.0 million in the first quarter of 2023, due to continued impacts from the partial recapture of a previously ceded block of business in the individual disability product line as well as higher prior period sales and favorable persistency. Net investment income increased 6.7 percent to $57.2 million in the first quarter of 2024, compared to $53.6 million in the first quarter of 2023, due primarily to an increase in the yield on invested assets. The benefit ratio for the voluntary benefits product line was 33.8 percent in the first quarter of 2024, compared to 36.0 percent in the first quarter of 2023, driven primarily by the critical illness product line. The benefit ratio for the


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individual disability product line was 41.1 percent for the first quarter of 2024, compared to 45.3 percent in the first quarter of 2023, due primarily to favorable recoveries. The benefit ratio for the dental and vision product line was 72.4 percent for the first quarter of 2024, compared to 80.2 percent in the first quarter of 2023, due primarily to lower claims incidence and average claim size. Relative to the first quarter of 2023, sales in the voluntary benefits product line decreased 2.7 percent in the first quarter of 2024 to $107.9 million. Sales in the individual disability product line decreased 20.6 percent to $21.2 million in the first quarter of 2024. Sales in the dental and vision product line increased 30.0 percent in the first quarter of 2024 to $11.7 million. Persistency in the voluntary benefits product line was 75.7 percent for the first three months of 2024, compared to 74.2 percent for the first three months of 2023. Persistency in the individual disability product line was 89.2 percent for the first three months of 2024, which was consistent with the first three months of 2023. Persistency in the dental and vision product line was 80.5 percent for the first three months of 2024, compared to 76.9 percent for the first three months of 2023.

Unum International Segment

The Unum International segment reported adjusted operating income of $37.4 million in the first quarter of 2024, a decrease of 2.6 percent from $38.4 million in the first quarter of 2023. Premium income increased 22.9 percent to $231.7 million in the first quarter of 2024, compared to $188.6 million in the first quarter of 2023. Net investment income decreased 15.5 percent to $26.1 million in the first quarter of 2024, compared to $30.9 million in the first quarter of 2023. Sales decreased 0.4 percent to $45.6 million in the first quarter of 2024, compared to $45.8 million in the first quarter of 2023.

The Unum UK line of business reported adjusted operating income, in local currency, of £28.2 million in the first quarter of 2024, a decrease of 9.0 percent from £31.0 million in the first quarter of 2023. Premium income was £154.0 million in the first quarter of 2024, an increase of 15.0 percent from £133.9 million in the first quarter of 2023, due primarily to in-force block growth. Net investment income was £18.4 million in the first quarter of 2024, a decrease of 22.4 percent from £23.7 million in the first quarter of 2023, due primarily to lower investment income from inflation index-linked bonds. The benefit ratio was 68.1 percent in the first quarter of 2024, compared to 68.5 percent in the first quarter of 2023, due to lower mortality in the group life product line and lower inflation-linked experience in benefits, partially offset by unfavorable experience in the supplemental product line due to higher claims incidence. Sales decreased 3.3 percent to £29.6 million in the first quarter of 2024, compared to £30.6 million in the first quarter of 2023. Persistency in the group long-term disability product line was 92.7 percent for the first three months of 2024, compared to 90.1 percent for the first three months of 2023. Persistency in the group life product line was 88.3 percent for the first three months of 2024, compared to 81.5 percent for the first three months of 2023. Persistency in the supplemental product line was 87.7 percent for the first three months of 2024, compared to 88.9 percent for the first three months of 2023.

Colonial Life Segment

Colonial Life reported adjusted operating income of $113.7 million in the first quarter of 2024, a 21.1 percent increase compared to $93.9 million in the first quarter of 2023. Premium income increased 4.1 percent to $446.9 million in the first quarter of 2024, compared to $429.5 million in the first quarter of 2023, due to higher prior period sales and favorable persistency. Net investment income increased to $39.3 million in the first quarter of 2024, compared to $37.3 million in the first quarter of 2023, due to an increase in the yield on invested assets and an increase in the level of invested assets. The benefit ratio was 48.6 percent in the first quarter of 2024, compared to 53.0 percent in the first quarter of 2023, primarily due to lower benefits in the cancer and critical illness and accident, sickness, and disability product lines. Sales decreased 3.6 percent to $103.0 million in the first quarter of 2024, compared to $106.8 million in the first quarter of 2023. Persistency in the Colonial Life segment was 78.4 percent for the first three months of 2024, compared to 77.3 percent for the first three months of 2023.


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Closed Block Segment

The Closed Block segment reported adjusted operating income of $24.3 million in the first quarter of 2024, which excludes the amortization of cost of reinsurance of $10.4 million and the impact of non-contemporaneous reinsurance of $7.2 million related to the Closed Block individual disability reinsurance transaction, compared to $58.2 million in the first quarter of 2023, which excludes the amortization of cost of reinsurance of $11.0 million and the impact of non-contemporaneous reinsurance of $7.3 million related to the Closed Block individual disability reinsurance transaction. Premium income for this segment is largely driven by our long-term care product line, and in the first quarter of 2024, premium income for long-term care was generally consistent with the same period of 2023. Net investment income increased 6.2 percent to $273.1 million in the first quarter of 2024, compared to $257.2 million in the first quarter of 2023, primarily due to an increase in the level of invested assets and higher miscellaneous investment income, primarily related to larger increases in the net asset value on our private equity partnerships.

The net premium ratio for the long-term care product line increased to 93.8 percent at March 31, 2024 from 85.3 percent at March 31, 2023, due primarily to the impacts of the reserve assumption updates in the third quarter of 2023. Benefits were unfavorable during the first quarter of 2024 relative to the same period of 2023 driven primarily by the increase in current period benefit expense resulting from the higher net premium ratio. Compared to December 31, 2023, the net premium ratio increased from 93.5 percent to 93.8 percent due to the impact of a large case termination in the first quarter. Overall claim experience was relatively in line with our communicated guidance of short-term elevated experience.

Corporate Segment

The Corporate segment reported an adjusted operating loss of $46.1 million in the first quarter of 2024, compared to an adjusted operating loss of $33.5 million in the first quarter of 2023, due primarily to a decrease in net investment income, driven by increased allocation to our lines of business, and higher retirement plan expenses.


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OTHER INFORMATION

Shares Outstanding

The Company’s weighted average number of shares outstanding, assuming dilution, was 193.3 million for the first quarter of 2024, compared to 199.5 million for the first quarter of 2023. Shares outstanding totaled 191.5 million at March 31, 2024. During the first quarter of 2024, the Company repurchased 2.5 million shares at a total cost of $123.0 million.

Capital Management

At March 31, 2024, the weighted average risk-based capital ratio for the Company’s traditional U.S. insurance companies was approximately 440 percent, and the holding companies had available holding company liquidity of $1,406.0 million.

Book Value

Book value per common share as of March 31, 2024 was $53.38, compared to $46.85 at March 31, 2023. Book value per common share excluding AOCI as of March 31, 2024 was $68.73, compared to $62.88 at March 31, 2023.

Effective Tax Rate

The effective tax rate on adjusted operating earnings was 20.3 percent in the first quarter of 2024.

Outlook

Full-year 2024 outlook of an increase in after-tax adjusted operating income per share of 7 percent to 9 percent when comparing to full-year 2023.

NON-GAAP FINANCIAL MEASURES

We analyze our performance using non-GAAP financial measures. A non-GAAP financial measure is a numerical measure of a company's performance, financial position, or cash flows that excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. We believe the following non-GAAP financial measures are better performance measures and better indicators of the revenue and profitability and underlying trends in our business:

•After-tax adjusted operating income or loss, which excludes investment gains or losses, amortization of the cost of reinsurance, non-contemporaneous reinsurance, and reserve assumption updates, as well as certain other items, as applicable;

•Book value per common share, which is calculated excluding AOCI.

Investment gains or losses primarily include realized investment gains or losses, expected investment credit losses, and gains or losses on derivatives. We believe after-tax adjusted operating income is a better performance measure and better indicator of the profitability and underlying trends in our business. Book value per common share excluding AOCI provides a more comparable and consistent view of our results, as AOCI tends to fluctuate depending on market conditions and general economic trends.

Cash flow assumptions used to calculate our liability for future policy benefits are reviewed at least annually and updated, as needed, with the resulting impact reflected in net income. While the effects of these assumption updates are recorded in the reporting period in which the review is completed, these updates reflect experience emergence and changes to expectations spanning multiple periods. We believe that by excluding the impact of reserve assumption updates we are providing a more comparable and consistent view of our quarterly results.


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We exited a substantial portion of our Closed Block individual disability product line through the two phases of the reinsurance transaction that were executed in December 2020 and March 2021. As a result, we exclude the amortization of the cost of reinsurance that we recognized upon the exit of the business related to the policies on claim status as well as the impact of non-contemporaneous reinsurance that resulted from the adoption of Accounting Standards Update 2018-12 (ASU 2018-12). Due to the execution of the second phase of the reinsurance transaction occurring after January 1, 2021, the transition date of ASU 2018-12, in accordance with the provisions of the ASU related to non-contemporaneous reinsurance, we were required to establish the ceded reserves using an upper-medium grade fixed-income instrument as of the reinsurance transaction date in March 2021, which resulted in higher ceded reserves compared to that which was reported historically. However, the direct reserves for the block reinsured in the second phase were calculated using the original discount rate utilized as of the transition date. Both the direct and ceded reserves are then remeasured at each reporting period using a current discount rate reflective of an upper-medium grade fixed-income instrument, with the changes recognized in other comprehensive income (loss). While the total equity impact is neutral, the different original discount rates utilized for direct and ceded reserves result in disproportionate earnings impacts. The impact of non-contemporaneous reinsurance will fluctuate depending on the magnitude of reserve changes during the period. We believe that the exclusion of these items provides a better view of our results from our ongoing businesses.

We may at other times exclude certain other items from our discussion of financial ratios and metrics in order to enhance the understanding and comparability of our operational performance and the underlying fundamentals, but this exclusion is not an indication that similar items may not recur and does not replace net income or net loss as a measure of our overall profitability.

CONFERENCE CALL INFORMATION

Members of Unum Group senior management will host a conference call on Wednesday, May 1, 2024, at 8:00 am (Eastern Time) to discuss the results of operations for the first quarter of 2024. Topics may include forward-looking information, such as the Company’s outlook on future results, trends in operations, and other material information.

The dial-in number for the conference call is 1-888-210-4821 for U.S. (access code: 5666159). For U.K. callers, the dial-in number is 44-800-358-0970 (access code: 5666159). For all other callers, the dial-in number is 1-646-960-0323 (access code: 5666159). A live webcast of the call will also be available at www.investors.unum.com in a listen-only mode. It is recommended that webcast viewers access the “Investors” section of the Company’s website and opt-in to the webcast approximately 5-10 minutes prior to the start of the call. A replay of the webcast will be available on the Company's website. A replay of the call will also be available through Wednesday, May 8 by dialing 1-800-770-2030 (U.S.) or 1-609-800-9909 (all other locations) - access code 5666159.

In conjunction with today’s earnings announcement, the Company’s Statistical Supplement for the first quarter of 2024 is available on the “Investors” section of the Company’s website.

# # #

ABOUT UNUM GROUP

Unum Group (NYSE: UNM), a leading international provider of workplace benefits and services, has been helping workers and their families thrive for more than 175 years. Through its Unum and Colonial Life brands, the company offers disability, life, accident, critical illness, dental, vision and stop-loss insurance; leave and absence management support; and behavioral health services. In 2023, Unum Group reported revenues of more than $12 billion and paid approximately $8 billion in benefits. The Fortune 500 company is recognized as one of the World’s Most Ethical Companies by Ethisphere®.

Visit the Unum Group newsroom (https://www.unumgroup.com/newsroom) for more information, and connect with us on LinkedIn (https://www.linkedin.com/company/unum), Facebook (https://www.facebook.com/unumbenefits/), and Instagram (https://www.instagram.com/unumbenefits/).


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SAFE HARBOR STATEMENT

Certain information in this news release constitutes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those not based on historical information, but rather relate to our outlook, future operations, strategies, financial results, or other developments and speak only as of the date made. These forward-looking statements, including statements about anticipated growth in after-tax adjusted operating income per share, are subject to numerous assumptions, risks, and uncertainties, many of which are beyond our control. The following factors, in addition to other factors mentioned from time to time, may cause actual results to differ materially from those contemplated by the forward-looking statements: (1) fluctuation in insurance reserve liabilities and claim payments due to changes in claim incidence, recovery rates, mortality and morbidity rates, and policy benefit offsets due to, among other factors, the rate of unemployment and consumer confidence, the emergence of new diseases, epidemics, or pandemics, new trends and developments in medical treatments, the effectiveness of our claims operational processes, and changes in governmental programs; (2) sustained periods of low interest rates; (3) unfavorable economic or business conditions, both domestic and foreign, that may result in decreases in sales, premiums, or persistency, as well as unfavorable claims activity or unfavorable returns on our investment portfolio; (4) the impact of pandemics and other public health issues on our business, financial position, results of operations, liquidity and capital resources, and overall business operations; (5) changes in, or interpretations or enforcement of, laws and regulations; (6) a cybersecurity attack or other security breach resulting in compromised data or the unauthorized acquisition of confidential data; (7) the failure of our business recovery and incident management processes to resume our business operations in the event of a natural catastrophe, cybersecurity attack, or other event; (8) investment results, including, but not limited to, changes in interest rates, defaults, changes in credit spreads, impairments, and the lack of appropriate investments in the market which can be acquired to match our liabilities; (9) increased competition from other insurers and financial services companies due to industry consolidation, new entrants to our markets, or other factors; (10) ineffectiveness of our derivatives hedging programs due to changes in forecasted cash flows, the economic environment, counterparty risk, ratings downgrades, capital market volatility, changes in interest rates, and/or regulation; (11) changes in our financial strength and credit ratings; (12) actual experience in the broad array of our products that deviates from our assumptions used in pricing, underwriting, and reserving; (13) Our ability to hire and retain qualified employees; (14) our ability to develop digital capabilities or execute on our technology systems upgrades or replacements; (15) availability of reinsurance in the market and the ability of our reinsurers to meet their obligations to us; (16) ability to generate sufficient internal liquidity and/or obtain external financing; (17) damage to our reputation due to, among other factors, regulatory investigations, legal proceedings, external events, and/or inadequate or failed internal controls and procedures; (18) disruptions to our business or our ability to leverage data caused by the use and reliance on third-party vendors, including vendors providing web and cloud-based applications; (19) recoverability and/or realization of the carrying value of our intangible assets, long-lived assets, and deferred tax assets; (20) effectiveness of our risk management program; (21) contingencies and the level and results of litigation; (22) fluctuation in foreign currency exchange rates; and (23) our ability to meet environmental, social, and governance standards and expectations of investors, regulators, customers, and other stakeholders

For further discussion of risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see Part 1, Item 1A “Risk Factors” of our annual report on Form 10-K for the year ended December 31, 2023. The forward-looking statements in this news release are being made as of the date of this news release, and we expressly disclaim any obligation to update or revise any forward-looking statement contained herein, even if made available on our website or otherwise.


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Unum Group

FINANCIAL HIGHLIGHTS

(Unaudited)


($ in millions, except share data)
	Three Months Ended March 31
	2024		2023

Revenue
Premium Income	$	2,610.3	$	2,459.3
Net Investment Income	513.5		508.8



Net Investment Gain (Loss)	(1.2)		0.1
Other Income	77.7		67.9
Total Revenue	3,200.3		3,036.1

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	1,785.3		1,736.4
Commissions	313.6		293.9
Interest and Debt Expense	49.5		48.1

Deferral of Acquisition Costs	(166.9)		(157.7)
Amortization of Deferred Acquisition Costs	126.2		115.9
Other Expenses	596.9		548.2
Total Benefits and Expenses	2,704.6		2,584.8

Income Before Income Tax	495.7		451.3
Income Tax Expense	100.5		93.0

Net Income	$	395.2	$	358.3

PER SHARE INFORMATION

Net Income Per Common Share
Basic	$	2.05	$	1.81
Assuming Dilution	$	2.04	$	1.80

Weighted Average Common Shares - Basic (000s)	192,550.2		198,111.2
Weighted Average Common Shares - Assuming Dilution (000s)	193,267.1		199,520.1
Outstanding Shares - (000s)	191,453.7		197,365.3


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Reconciliation of Non-GAAP Financial Measures


	Three Months Ended March 31
	2024				2023
	(in millions)		per share *		(in millions)		per share *
Net Income	$	395.2	$	2.04	$	358.3	$	1.80
Excluding:


Net Investment Gain (Loss) (net of tax benefit of $0.4; $—)	(0.8)		—		0.1		—



Amortization of the Cost of Reinsurance (net of tax benefit of $2.2; $2.3)	(8.2)		(0.04)		(8.7)		(0.04)
Non-Contemporaneous Reinsurance (net of tax benefit of $1.5; $1.6)	(5.7)		(0.04)		(5.7)		(0.03)

After-tax Adjusted Operating Income	$	409.9	$	2.12	$	372.6	$	1.87

* Assuming Dilution


	March 31
	2024				2023
	(in millions)		per share		(in millions)		per share
Total Stockholders' Equity (Book Value)	$	10,219.5	$	53.38	$	9,247.4	$	46.85
Excluding:
Net Unrealized Loss on Securities	(2,360.8)		(12.33)		(2,205.2)		(11.17)
Effect of Change in Discount Rate Assumptions on the Liability for Future Policy Benefits	225.3		1.18		(260.0)		(1.33)
Net Gain (Loss) on Derivatives	(127.0)		(0.66)		7.8		0.04
Subtotal	12,482.0		65.19		11,704.8		59.31
Excluding:
Foreign Currency Translation Adjustment	(332.6)		(1.74)		(365.4)		(1.85)
Subtotal	12,814.6		66.93		12,070.2		61.16
Excluding:
Unrecognized Pension and Postretirement Benefit Costs	(344.9)		(1.80)		(339.5)		(1.72)
Total Stockholders' Equity, Excluding Accumulated Other Comprehensive Loss	$	13,159.5	$	68.73	$	12,409.7	$	62.88


						9


	Three Months Ended
	March 31, 2024			March 31, 2023
		Premium Income		Premium Income in Local Currency1		Weighted Average Exchange Rate2	Premium Income in Constant Currency



Unum International
Unum UK		$	195.3	£	133.9	1.268	$	169.8
Unum Poland		36.4		zł	113.8	0.251	28.6
Total		231.7					198.4
Unum US		1,707.4		$	1,609.6		1,609.6
Colonial Life		446.9		$	429.5		429.5
Core Operations		$	2,386.0				$	2,237.5

1Premium income shown in millions of pounds for Unum UK, millions of zlotys for Unum Poland, and millions of U.S. dollars for Unum US and Colonial Life.

2Exchange rate is calculated using the average foreign currency exchange rates for the most recent period, applied to the comparable prior period.


						10

Document

http://api.rkd.refinitiv.com/api/FilingsRetrieval3/.78844634.0000005513-24-000093cover1q24a.jpg.ashx

Unum Group

Statistical Supplement First Quarter 2024

TABLE OF CONTENTS

(in millions of dollars, except share data and where noted)

Interim Results are Unaudited


						Page
			Financial Highlights			1
			Capital Metrics			2
			Ratings			3
			Consolidated Statements of Income			4
			Sales Data by Segment			5
			Consolidated Balance Sheets			6
			Financial Results by Segment			7
			Quarterly Historical Financial Results by Segment			8
			Financial Results and Selected Statistics by Segment
			Unum US			9
			Unum International			10
			Colonial Life			11
			Closed Block			12
			Corporate			13

			Investments			14
			Appendix to Statistical Supplement			15




			See "Appendix to Statistical Supplement" on page 15 for a summary of significant items and page 15.3 for a reconciliation of our non-GAAP financial measures.

			N.M. = not a meaningful percentage

Unum Group Financial Highlights


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Consolidated U.S. GAAP Results¹
Premium Income	$	2,610.3		$	2,459.3		$	10,046.0		$	9,616.5

Adjusted Operating Revenue	$	3,201.5		$	3,036.0		$	12,421.9		$	11,999.8
Net Investment Gain (Loss)	(1.2)			0.1			(36.0)			(15.7)
Total Revenue	$	3,200.3		$	3,036.1		$	12,385.9		$	11,984.1

Net Income	$	395.2		$	358.3		$	1,283.8		$	1,407.2
Net Income Per Common Share:
Basic	$	2.05		$	1.81		$	6.53		$	7.01
Assuming Dilution	$	2.04		$	1.80		$	6.50		$	6.96

Assets	$	62,487.8		$	62,423.8		$	63,255.2		$	61,148.5
Liabilities	$	52,268.3		$	53,176.4		$	53,603.8		$	52,413.5
Stockholders' Equity	$	10,219.5		$	9,247.4		$	9,651.4		$	8,735.0
Adjusted Stockholders' Equity	$	12,482.0		$	11,704.8		$	12,292.6		$	11,459.1

Adjusted Operating Return on Equity
Unum US	27.4		%	21.3		%	23.1		%	16.4		%
Unum International	14.6		%	17.2		%	16.5		%	20.7		%
Colonial Life	19.8		%	17.5		%	18.1		%	19.9		%
Core Operating Segments	24.0		%	20.0		%	21.2		%	17.7		%
Consolidated	13.2		%	12.9		%	12.7		%	11.8		%




Traditional U.S. Life Insurance Companies' Statutory Results2
Net Gain from Operations, After Tax	$	350.5	$	276.2	$	1,351.5	$	965.4
Net Realized Capital Gain (Loss), After Tax	7.8		—		(21.6)		—

Net Income	$	358.3	$	276.2	$	1,329.9	$	965.4

Capital and Surplus	$	4,044.9	$	3,884.4	$	3,751.3	$	3,816.3

Weighted Average Risk-based Capital Ratio	~ 440%		~ 425%		~ 415%		~ 420%

1 Generally Accepted Accounting Principles
2 Our traditional U.S. life insurance companies are Provident Life and Accident Insurance Company, Unum Life Insurance Company of America, The Paul Revere Life Insurance Company, Colonial Life & Accident Insurance Company, Provident Life and Casualty Insurance Company, First Unum Life Insurance Company, Unum Insurance Company, and Starmount Life Insurance Company.

Unum Group Capital Metrics


	3/31/2024				3/31/2023				12/31/2023				12/31/2022
	(in millions)		per share		(in millions)		per share		(in millions)		per share		(in millions)		per share

Total Stockholders' Equity (Book Value)	$	10,219.5	$	53.38	$	9,247.4	$	46.85	$	9,651.4	$	49.91	$	8,735.0	$	44.17
Excluding:
Net Unrealized Loss on Securities	(2,360.8)		(12.33)		(2,205.2)		(11.17)		(1,919.1)		(9.92)		(3,028.4)		(15.31)
Effect of Change in Discount Rate Assumptions on the Liability for Future Policy Benefits	225.3		1.18		(260.0)		(1.33)		(648.4)		(3.35)		313.9		1.59
Net Gain (Loss) on Derivatives	(127.0)		(0.66)		7.8		0.04		(73.7)		(0.39)		(9.6)		(0.05)
Subtotal	12,482.0		65.19		11,704.8		59.31		12,292.6		63.57		11,459.1		57.94
Excluding:
Foreign Currency Translation Adjustment	(332.6)		(1.74)		(365.4)		(1.85)		(321.1)		(1.66)		(390.1)		(1.98)
Subtotal	12,814.6		66.93		12,070.2		61.16		12,613.7		65.23		11,849.2		59.92
Excluding:
Unrecognized Pension and Postretirement Benefit Costs	(344.9)		(1.80)		(339.5)		(1.72)		(345.7)		(1.79)		(334.1)		(1.69)
Total Stockholders' Equity, Excluding Accumulated Other Comprehensive Loss	$	13,159.5	$	68.73	$	12,409.7	$	62.88	$	12,959.4	$	67.02	$	12,183.3	$	61.61

Dividends Paid	$	72.6	$	0.365	$	69.2	$	0.330	$	277.1	$	1.390	$	255.3	$	1.260


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022
Shares Repurchased (millions)	2.5			1.3			5.7			5.7
Cost of Shares Repurchased1 (millions)	$	123.0		$	53.6		$	252.0		$	200.1
Price (UNM closing price on last trading day of period)	$	53.66		$	39.56		$	45.22		$	41.03

Leverage Ratio	21.9		%	23.0		%	22.1		%	23.4		%

Holding Company Liquidity (millions)	$	1,406		$	1,343		$	1,650		$	1,571

1Includes a de minimis amount of commissions for the three months ended March 31, 2024 and 2023, and $0.1 million for the years ended December 31, 2023 and 2022. There was excise tax of $1.1 million and $0.1 million for the three months ended March 31, 2024 and 2023, respectively, $1.9 million for the year ended December 31, 2023, and no excise tax for the year ended December 31, 2022.

Unum Group Ratings

AM Best

Fitch

Moody's

S&P

Outlook

Stable

Senior Unsecured Debt Ratings

bbb+

BBB

Baa3

BBB

Financial Strength Ratings

Provident Life and Accident Insurance Company

Unum Life Insurance Company of America

First Unum Life Insurance Company

Colonial Life & Accident Insurance Company

The Paul Revere Life Insurance Company

Unum Insurance Company

Provident Life and Casualty Insurance Company

Starmount Life Insurance Company

Unum Limited

A-

NR = not rated

Unum Group Consolidated Statements of Income


	Three Months Ended				Year Ended
	3/31/2024		3/31/2023		12/31/2023		12/31/2022

Revenue
Premium Income	$	2,610.3	$	2,459.3	$	10,046.0	$	9,616.5
Net Investment Income	513.5		508.8		2,096.7		2,122.2
Net Investment Gain (Loss)	(1.2)		0.1		(36.0)		(15.7)
Other Income	77.7		67.9		279.2		261.1
Total Revenue	3,200.3		3,036.1		12,385.9		11,984.1

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	1,785.3		1,736.4		7,257.1		6,994.6
Commissions	313.6		293.9		1,170.1		1,086.4

Interest and Debt Expense	49.5		48.1		194.8		188.5
Cost Related to Early Retirement of Debt	—		—		—		4.2
Deferral of Acquisition Costs	(166.9)		(157.7)		(632.2)		(556.9)
Amortization of Deferred Acquisition Costs	126.2		115.9		481.4		421.1

Other Expenses	596.9		548.2		2,274.6		2,096.2
Total Benefits and Expenses	2,704.6		2,584.8		10,745.8		10,234.1

Income Before Income Tax	495.7		451.3		1,640.1		1,750.0
Income Tax Expense	100.5		93.0		356.3		342.8

Net Income	$	395.2	$	358.3	$	1,283.8	$	1,407.2

Weighted Average Shares Outstanding
Basic	192.6		198.1		196.7		200.6
Assuming Dilution	193.3		199.5		197.6		202.1

Actual Number of Shares Outstanding	191.5		197.4		193.4		197.8

Unum Group Sales Data for Unum US Segment


	Three Months Ended						Year Ended
	3/31/2024		3/31/2023		% Change		12/31/2023		12/31/2022
Sales by Product
Group Disability and Group Life and AD&D
Group Long-term Disability	$	54.6	$	53.9	1.3	%	$	292.7	$	295.3
Group Short-term Disability	35.9		37.0		(3.0)		229.5		184.3
Group Life and AD&D	42.8		39.1		9.5		305.4		232.4
Subtotal	133.3		130.0		2.5		827.6		712.0
Supplemental and Voluntary
Voluntary Benefits	107.9		110.9		(2.7)		263.2		238.7
Individual Disability	21.2		26.7		(20.6)		108.9		90.8
Dental and Vision	11.7		9.0		30.0		84.1		73.8
Subtotal	140.8		146.6		(4.0)		456.2		403.3
Total Sales	$	274.1	$	276.6	(0.9)		$	1,283.8	$	1,115.3

Sales by Market Sector
Group Disability and Group Life and AD&D
Core Market (< 2,000 employees)	$	77.3	$	84.0	(8.0)	%	$	521.3	$	457.5
Large Case Market	56.0		46.0		21.7		306.3		254.5
Subtotal	133.3		130.0		2.5		827.6		712.0
Supplemental and Voluntary	140.8		146.6		(4.0)		456.2		403.3
Total Sales	$	274.1	$	276.6	(0.9)		$	1,283.8	$	1,115.3

Unum Group Sales Data for Unum International Segment


	Three Months Ended						Year Ended
(in millions of dollars)	3/31/2024		3/31/2023		% Change		12/31/2023		12/31/2022
Sales by Product
Unum UK
Group Long-term Disability	$	15.1	$	9.2	64.1	%	$	48.3	$	43.3
Group Life	9.9		16.2		(38.9)		61.4		55.5
Supplemental	12.6		11.9		5.9		28.0		17.1
Unum Poland	8.0		8.5		(5.9)		33.2		17.8
Total Sales	$	45.6	$	45.8	(0.4)		$	170.9	$	133.7

Sales by Market Sector
Unum UK
Group Long-term Disability and Group Life
Core Market (< 500 employees)	$	9.3	$	12.5	(25.6)	%	$	51.2	$	42.7
Large Case Market	15.7		12.9		21.7		58.5		56.1
Subtotal	25.0		25.4		(1.6)		109.7		98.8
Supplemental	12.6		11.9		5.9		28.0		17.1
Unum Poland	8.0		8.5		(5.9)		33.2		17.8
Total Sales	$	45.6	$	45.8	(0.4)		$	170.9	$	133.7

(in millions of pounds)
Unum UK Sales by Product
Group Long-term Disability	£	11.9	£	7.5	58.7	%	£	38.8	£	34.5
Group Life	7.8		13.3		(41.4)		49.4		45.4
Supplemental	9.9		9.8		1.0		22.6		13.5
Total Sales	£	29.6	£	30.6	(3.3)		£	110.8	£	93.4

Unum UK Sales by Market Sector
Group Long-term Disability and Group Life
Core Market (< 500 employees)	£	7.4	£	10.2	(27.5)	%	£	41.2	£	34.4
Large Case Market	12.3		10.6		16.0		47.0		45.5
Subtotal	19.7		20.8		(5.3)		88.2		79.9
Supplemental	9.9		9.8		1.0		22.6		13.5
Total Sales	£	29.6	£	30.6	(3.3)		£	110.8	£	93.4

5. 1

Unum Group Sales Data for Colonial Life Segment


	Three Months Ended						Year Ended
	3/31/2024		3/31/2023		% Change		12/31/2023		12/31/2022
Sales by Product
Accident, Sickness, and Disability	$	64.6	$	66.5	(2.9)	%	$	329.5	$	310.6
Life	24.8		26.2		(5.3)		132.1		121.5
Cancer and Critical Illness	13.6		14.1		(3.5)		78.0		76.0
Total Sales	$	103.0	$	106.8	(3.6)		$	539.6	$	508.1

Sales by Market Sector
Commercial
Core Market (< 1,000 employees)	$	71.7	$	73.4	(2.3)	%	$	347.4	$	332.4
Large Case Market	9.2		10.1		(8.9)		62.3		58.1
Subtotal	80.9		83.5		(3.1)		409.7		390.5
Public Sector	22.1		23.3		(5.2)		129.9		117.6
Total Sales	$	103.0	$	106.8	(3.6)		$	539.6	$	508.1

5. 2

Unum Group Consolidated Balance Sheets


	March 31		December 31
	2024		2023

Assets

Investments
Fixed Maturity Securities - at fair value	$	36,247.8	$	36,833.9
Mortgage Loans	2,298.8		2,318.2
Policy Loans	3,579.1		3,620.2
Other Long-term Investments	1,619.8		1,579.4
Short-term Investments	1,601.5		1,610.7
Total Investments	45,347.0		45,962.4

Other Assets
Cash and Bank Deposits	279.1		146.0
Accounts and Premiums Receivable	1,594.0		1,543.7
Reinsurance Recoverable	8,843.6		9,108.4
Accrued Investment Income	660.9		633.9
Deferred Acquisition Costs	2,754.7		2,714.5
Goodwill	349.6		349.9
Property and Equipment	483.9		485.3
Deferred Income Tax	519.2		649.4

Other Assets	1,655.8		1,661.7

Total Assets	$	62,487.8	$	63,255.2

Unum Group Consolidated Balance Sheets - Continued


	March 31		December 31
	2024		2023

Liabilities and Stockholders' Equity

Liabilities
Future Policy Benefits	$	38,624.5	$	40,009.4
Policyholders' Account Balances	5,639.0		5,667.7
Unearned Premiums	470.4		380.2
Other Policyholders’ Funds	1,582.4		1,615.7
Income Tax Payable	278.4		190.0
Deferred Income Tax	26.2		27.0


Long-term Debt	3,431.0		3,430.4

Other Liabilities	2,216.4		2,283.4

Total Liabilities	52,268.3		53,603.8

Stockholders’ Equity
Common Stock	19.5		19.4
Additional Paid-in Capital	1,548.2		1,547.8
Accumulated Other Comprehensive Loss	(2,940.0)		(3,308.0)
Retained Earnings	11,754.1		11,431.5
Treasury Stock - at cost	(162.3)		(39.3)

Total Stockholders’ Equity	10,219.5		9,651.4

Total Liabilities and Stockholders’ Equity	$	62,487.8	$	63,255.2

6. 1

Unum Group Balance Sheets by Segment - March 31, 2024


	Unum US
	Group Disability		Group Life and Accidental Death & Dismemberment		Supplemental and Voluntary		Total Unum US		Unum International		Colonial Life		Closed Block		Corporate		Consolidated
Assets
Investments	$	6,396.0	$	1,994.8	$	4,568.2	$	12,959.0	$	3,036.8	$	3,168.3	$	23,920.8	$	2,262.1	$	45,347.0
Deferred Acquisition Costs	65.7		52.5		1,127.5		1,245.7		48.3		1,460.7		—		—		2,754.7
Goodwill	8.9		—		271.1		280.0		41.9		27.7		—		—		349.6
Reinsurance Recoverable	37.1		12.1		172.5		221.7		109.8		5.0		8,507.1		—		8,843.6
All Other	181.6		214.1		128.1		523.8		100.3		190.5		2,262.2		2,116.1		5,192.9
Total Assets	$	6,689.3	$	2,273.5	$	6,267.4	$	15,230.2	$	3,337.1	$	4,852.2	$	34,690.1	$	4,378.2	$	62,487.8

Liabilities
Future Policy Benefits	$	5,042.3	$	886.4	$	3,184.6	$	9,113.3	$	2,225.3	$	1,950.8	$	25,335.1	$	—	$	38,624.5
Policyholders' Account Balances	—		—		673.8		673.8		—		868.2		4,097.0		—		5,639.0
Unearned Premiums	4.0		7.5		62.6		74.1		211.9		46.2		138.2		—		470.4
Other Policyholders' Funds	32.4		813.7		24.9		871.0		57.7		7.9		645.8		—		1,582.4
Debt	—		—		—		—		—		—		—		3,431.0		3,431.0
All Other	40.6		21.9		140.0		202.5		100.4		61.6		542.7		1,613.8		2,521.0
Total Liabilities	5,119.3		1,729.5		4,085.9		10,934.7		2,595.3		2,934.7		30,758.8		5,044.8		52,268.3

Allocated Stockholders' Equity
Other Allocated Stockholders' Equity	1,521.1		640.0		2,257.6		4,418.7		753.6		1,833.1		5,538.5		(61.9)		12,482.0


Net Unrealized Loss on Securities and Net Loss on Derivatives	(188.9)		(122.2)		(193.5)		(504.6)		(127.7)		(131.1)		(1,119.7)		(604.7)		(2,487.8)
Effect of Change in Discount Rate Assumptions on the Liability for Future Policy Benefits	237.8		26.2		117.4		381.4		115.9		215.5		(487.5)		—		225.3
Total Allocated Stockholders' Equity	1,570.0		544.0		2,181.5		4,295.5		741.8		1,917.5		3,931.3		(666.6)		10,219.5

Total Liabilities and Allocated Stockholders' Equity	$	6,689.3	$	2,273.5	$	6,267.4	$	15,230.2	$	3,337.1	$	4,852.2	$	34,690.1	$	4,378.2	$	62,487.8

Allocated stockholders' equity is determined on the basis of an internal allocation formula that reflects the volume and risk components of the business and aligns with our target capital levels for regulatory and rating agency purposes. We modify this formula periodically to recognize changes in the views of capital requirements.

6. 2

Unum Group Balance Sheets by Segment - December 31, 2023


	Unum US
	Group Disability		Group Life and Accidental Death & Dismemberment		Supplemental and Voluntary		Total Unum US		Unum International		Colonial Life		Closed Block		Corporate		Consolidated
Assets
Investments	$	6,621.9	$	2,076.6	$	4,608.4	$	13,306.9	$	2,806.7	$	3,144.3	$	24,067.0	$	2,637.5	$	45,962.4
Deferred Acquisition Costs	63.6		48.9		1,119.7		1,232.2		46.9		1,435.4		—		—		2,714.5
Goodwill	8.9		—		271.1		280.0		42.2		27.7		—		—		349.9
Reinsurance Recoverable	42.9		9.0		174.9		226.8		107.2		5.5		8,768.9		—		9,108.4
All Other	124.8		211.7		178.7		515.2		369.9		217.5		2,436.9		1,580.5		5,120.0
Total Assets	$	6,862.1	$	2,346.2	$	6,352.8	$	15,561.1	$	3,372.9	$	4,830.4	$	35,272.8	$	4,218.0	$	63,255.2

Liabilities
Future Policy Benefits	$	5,200.8	$	923.0	$	3,295.3	$	9,419.1	$	2,305.3	$	1,997.8	$	26,287.2	$	—	$	40,009.4
Policyholders' Account Balances	—		—		678.1		678.1		—		869.8		4,119.8		—		5,667.7
Unearned Premiums	1.7		6.3		46.6		54.6		151.4		44.5		129.7		—		380.2
Other Policyholders' Funds	32.3		813.0		28.6		873.9		66.0		8.0		667.8		—		1,615.7
Debt	—		—		—		—		—		—		—		3,430.4		3,430.4
All Other	32.1		51.2		152.6		235.9		84.4		60.1		505.8		1,614.2		2,500.4
Total Liabilities	5,266.9		1,793.5		4,201.2		11,261.6		2,607.1		2,980.2		31,710.3		5,044.6		53,603.8

Allocated Stockholders' Equity
Other Allocated Stockholders' Equity	1,549.7		645.1		2,274.4		4,469.2		778.0		1,799.5		5,483.5		(237.6)		12,292.6


Net Unrealized Loss on Securities and Net Gain (Loss) on Derivatives	(152.0)		(114.2)		(159.2)		(425.4)		(95.5)		(108.0)		(774.9)		(589.0)		(1,992.8)
Effect of Change in Discount Rate Assumptions on the Liability for Future Policy Benefits	197.5		21.8		36.4		255.7		83.3		158.7		(1,146.1)		—		(648.4)
Total Allocated Stockholders' Equity	1,595.2		552.7		2,151.6		4,299.5		765.8		1,850.2		3,562.5		(826.6)		9,651.4

Total Liabilities and Allocated Stockholders' Equity	$	6,862.1	$	2,346.2	$	6,352.8	$	15,561.1	$	3,372.9	$	4,830.4	$	35,272.8	$	4,218.0	$	63,255.2

6. 3

Unum Group Financial Results by Segment

We measure and analyze our segment performance on the basis of "adjusted operating revenue" and "adjusted operating income" or "adjusted operating loss", which differ from total revenue and income before income tax as presented in our consolidated statements of income due to the exclusion of investment gains or losses, amortization of the cost of reinsurance, non-contemporaneous reinsurance, and reserve assumption updates, as well as certain other items as specified in the following pages. Investment gains or losses primarily include realized investment gains or losses, expected investment credit losses, and gains or losses on derivatives. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for total revenue, income before income tax, or net income.


	Three Months Ended						Year Ended
	3/31/2024		3/31/2023		% Change		12/31/2023		12/31/2022		% Change
Premium Income
Unum US	$	1,707.4	$	1,609.6	6.1	%	$	6,579.2	$	6,251.4	5.2	%
Unum International	231.7		188.6		22.9		825.2		718.8		14.8
Colonial Life	446.9		429.5		4.1		1,726.1		1,702.0		1.4
Closed Block	224.3		231.6		(3.2)		915.5		944.3		(3.0)
	2,610.3		2,459.3		6.1		10,046.0		9,616.5		4.5
Net Investment Income
Unum US	157.0		157.3		(0.2)		639.9		676.3		(5.4)
Unum International	26.1		30.9		(15.5)		137.2		170.1		(19.3)
Colonial Life	39.3		37.3		5.4		153.5		152.7		0.5
Closed Block	273.1		257.2		6.2		1,066.3		1,070.6		(0.4)
Corporate	18.0		26.1		(31.0)		99.8		52.5		90.1
	513.5		508.8		0.9		2,096.7		2,122.2		(1.2)
Other Income
Unum US	60.6		53.6		13.1		220.5		196.3		12.3
Unum International	0.3		0.4		(25.0)		1.6		0.9		77.8
Colonial Life	3.0		0.2		N.M.		1.2		1.1		9.1
Closed Block	13.1		13.5		(3.0)		52.6		58.0		(9.3)
Corporate	0.7		0.2		N.M.		3.3		4.8		(31.3)
	77.7		67.9		14.4		279.2		261.1		6.9
Total Adjusted Operating Revenue
Unum US	1,925.0		1,820.5		5.7		7,439.6		7,124.0		4.4
Unum International	258.1		219.9		17.4		964.0		889.8		8.3
Colonial Life	489.2		467.0		4.8		1,880.8		1,855.8		1.3
Closed Block	510.5		502.3		1.6		2,034.4		2,072.9		(1.9)
Corporate	18.7		26.3		(28.9)		103.1		57.3		79.9
	$	3,201.5	$	3,036.0	5.5		$	12,421.9	$	11,999.8	3.5

Unum Group Financial Results by Segment - Continued


	Three Months Ended						Year Ended
	3/31/2024		3/31/2023		% Change		12/31/2023		12/31/2022		% Change
Benefits and Expenses
Unum US	$	1,539.8	$	1,508.0	2.1	%	$	5,955.3	$	5,980.6	(0.4)	%
Unum International	220.7		181.5		21.6		823.8		748.2		10.1
Colonial Life	375.5		373.1		0.6		1,400.0		1,387.7		0.9
Closed Block	503.8		462.4		9.0		2,317.2		1,896.0		22.2
Corporate	64.8		59.8		8.4		249.5		221.6		12.6
	2,704.6		2,584.8		4.6		10,745.8		10,234.1		5.0


Income (Loss) Before Income Tax and Net Investment Gain (Loss)
Unum US	385.2		312.5		23.3		1,484.3		1,143.4		29.8
Unum International	37.4		38.4		(2.6)		140.2		141.6		(1.0)
Colonial Life	113.7		93.9		21.1		480.8		468.1		2.7
Closed Block	6.7		39.9		(83.2)		(282.8)		176.9		N.M.
Corporate	(46.1)		(33.5)		37.6		(146.4)		(164.3)		(10.9)
	496.9		451.2		10.1		1,676.1		1,765.7		(5.1)

Income Tax Expense	100.9		93.0		8.5		364.1		346.3		5.1

Income before Net Investment Gain (Loss)	396.0		358.2		10.6		1,312.0		1,419.4		(7.6)



Net Investment Gain (Loss) (net of tax expense (benefit) of $(0.4); $—; $(7.8); $(3.5))	(0.8)		0.1		N.M.		(28.2)		(12.2)		131.1

Net Income	$	395.2	$	358.3	10.3		$	1,283.8	$	1,407.2	(8.8)

7. 1

Unum Group Quarterly Historical Financial Results by Segment


	3/31/2024		12/31/2023		9/30/2023		6/30/2023		3/31/2023
Premium Income
Unum US	$	1,707.4	$	1,670.5	$	1,657.7	$	1,641.4	$	1,609.6
Unum International	231.7		218.1		210.6		207.9		188.6
Colonial Life	446.9		434.8		431.2		430.6		429.5
Closed Block	224.3		228.3		226.4		229.2		231.6
	2,610.3		2,551.7		2,525.9		2,509.1		2,459.3
Net Investment Income
Unum US	157.0		158.4		166.2		158.0		157.3
Unum International	26.1		33.2		27.3		45.8		30.9
Colonial Life	39.3		38.9		39.3		38.0		37.3
Closed Block	273.1		270.3		274.9		263.9		257.2
Corporate	18.0		30.0		18.3		25.4		26.1
	513.5		530.8		526.0		531.1		508.8
Other Income
Unum US	60.6		54.4		58.0		54.5		53.6
Unum International	0.3		0.6		0.5		0.1		0.4
Colonial Life	3.0		0.3		0.3		0.4		0.2
Closed Block	13.1		12.5		12.8		13.8		13.5
Corporate	0.7		0.8		—		2.3		0.2
	77.7		68.6		71.6		71.1		67.9
Total Adjusted Operating Revenue
Unum US	1,925.0		1,883.3		1,881.9		1,853.9		1,820.5
Unum International	258.1		251.9		238.4		253.8		219.9
Colonial Life	489.2		474.0		470.8		469.0		467.0
Closed Block	510.5		511.1		514.1		506.9		502.3
Corporate	18.7		30.8		18.3		27.7		26.3
	$	3,201.5	$	3,151.1	$	3,123.5	$	3,111.3	$	3,036.0

Unum Group Quarterly Historical Financial Results by Segment - Continued


	3/31/2024		12/31/2023		9/30/2023		6/30/2023		3/31/2023
Benefits and Expenses


Unum US	$	1,539.8	$	1,541.2	$	1,395.3	$	1,510.8	$	1,508.0


Unum International	220.7		212.5		219.5		210.3		181.5


Colonial Life	375.5		386.2		287.2		353.5		373.1


Closed Block	503.8		509.2		869.0		476.6		462.4
Corporate	64.8		67.3		59.8		62.6		59.8
	2,704.6		2,716.4		2,830.8		2,613.8		2,584.8

Income (Loss) Before Income Tax and Net Investment Gain (Loss)
Unum US	385.2		342.1		486.6		343.1		312.5
Unum International	37.4		39.4		18.9		43.5		38.4
Colonial Life	113.7		87.8		183.6		115.5		93.9
Closed Block	6.7		1.9		(354.9)		30.3		39.9
Corporate	(46.1)		(36.5)		(41.5)		(34.9)		(33.5)
	496.9		434.7		292.7		497.5		451.2

Income Tax Expense	100.9		99.5		66.3		105.3		93.0

Income Before Net Investment Gain (Loss)	396.0		335.2		226.4		392.2		358.2

Net Investment Gain (Loss)	(1.2)		(6.0)		(31.0)		0.9		0.1
Tax Expense (Benefit) on Net Investment Gain (Loss)	(0.4)		(1.4)		(6.6)		0.2		—



Net Income	$	395.2	$	330.6	$	202.0	$	392.9	$	358.3

Net Income Per Common Share - Assuming Dilution	$	2.04	$	1.69	$	1.02	$	1.98	$	1.80

8. 1

Unum Group Financial Results for Unum US Segment


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income	$	1,707.4		$	1,609.6		$	6,579.2		$	6,251.4
Net Investment Income	157.0			157.3			639.9			676.3
Other Income	60.6			53.6			220.5			196.3
Total	1,925.0			1,820.5			7,439.6			7,124.0

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	969.3			978.4			3,808.5			3,970.9
Commissions	182.2			168.9			664.4			614.4
Deferral of Acquisition Costs	(83.3)			(79.0)			(314.7)			(273.1)
Amortization of Deferred Acquisition Costs	69.8			65.8			267.6			240.9
Other Expenses	401.8			373.9			1,529.5			1,427.5
Total	1,539.8			1,508.0			5,955.3			5,980.6

Income before Income Tax and Net Investment Gains and Losses	385.2			312.5			1,484.3			1,143.4
Reserve Assumption Updates	—			—			(128.8)			(170.8)
Adjusted Operating Income	$	385.2		$	312.5		$	1,355.5		$	972.6

Operating Ratios (% of Premium Income):
Benefit Ratio1	56.8		%	60.8		%	59.8		%	66.3		%
Other Expense Ratio2	22.8		%	22.5		%	22.5		%	22.2		%
Income Ratio							22.6		%	18.3		%
Adjusted Operating Income Ratio	22.6		%	19.4		%	20.6		%	15.6		%

1Excludes the reserve assumption updates that occurred during the third quarters of 2023 and 2022.
2Ratio of Other Expenses to Premium Income plus Unum US Group Disability Other Income, which is primarily related to fee-based services.

Unum Group Financial Results for Unum US Group Disability


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Group Long-term Disability	$	516.7		$	504.7		$	2,057.2		$	1,911.7
Group Short-term Disability	263.1			240.3			1,012.3			926.3
Total Premium Income	779.8			745.0			3,069.5			2,838.0
Net Investment Income	77.8			81.1			324.8			349.1
Other Income	58.7			52.6			211.6			191.8
Total	916.3			878.7			3,605.9			3,378.9

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	448.6			447.0			1,693.2			1,782.4
Commissions	61.8			58.4			230.5			211.3
Deferral of Acquisition Costs	(16.5)			(14.6)			(60.2)			(53.1)
Amortization of Deferred Acquisition Costs	14.4			13.1			57.6			53.0
Other Expenses	243.2			229.1			936.1			862.3
Total	751.5			733.0			2,857.2			2,855.9

Income Before Income Tax and Net Investment Gains and Losses	164.8			145.7			748.7			523.0
Reserve Assumption Updates	—			—			(121.0)			(121.0)
Adjusted Operating Income	$	164.8		$	145.7		$	627.7		$	402.0

Operating Ratios (% of Premium Income):
Benefit Ratio1	57.5		%	60.0		%	59.1		%	67.1		%
Other Expense Ratio2	29.0		%	28.7		%	28.5		%	28.5		%
Income Ratio							24.4		%	18.4		%
Adjusted Operating Income Ratio	21.1		%	19.6		%	20.4		%	14.2		%

Persistency:
Group Long-term Disability	93.1		%	90.6		%	90.8		%	90.7		%
Group Short-term Disability	91.3		%	87.2		%	88.9		%	88.9		%

1Excludes the reserve assumption updates that occurred during the third quarters of 2023 and 2022.
2Ratio of Other Expenses to Premium Income plus Other Income, which is primarily related to fee-based services.

9. 1

Unum Group Financial Results for Unum US Group Life and Accidental Death & Dismemberment


	Three Months Ended				Year Ended
		3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Group Life		$	442.6		$	413.1		$	1,679.0		$	1,669.1
Accidental Death & Dismemberment		45.8			43.5			175.5			173.7
Total Premium Income		488.4			456.6			1,854.5			1,842.8
Net Investment Income		22.0			22.6			90.1			100.3
Other Income		1.0			0.4			1.0			1.6
Total		511.4			479.6			1,945.6			1,944.7

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain		333.2			342.3			1,347.7			1,415.9
Commissions		41.7			39.7			155.9			150.4
Deferral of Acquisition Costs		(10.5)			(9.8)			(38.6)			(37.3)
Amortization of Deferred Acquisition Costs		6.9			9.8			39.0			41.9
Other Expenses		61.3			57.5			229.9			231.1
Total		432.6			439.5			1,733.9			1,802.0

Income Before Income Tax and Net Investment Gains and Losses		78.8			40.1			211.7			142.7
Reserve Assumption Update		—			—			—			(34.0)
Adjusted Operating Income		$	78.8		$	40.1		$	211.7		$	108.7

Operating Ratios (% of Premium Income):
Benefit Ratio1		68.2		%	75.0		%	72.7		%	78.7		%
Other Expense Ratio		12.6		%	12.6		%	12.4		%	12.5		%
Income Ratio											7.7		%
Adjusted Operating Income Ratio		16.1		%	8.8		%	11.4		%	5.9		%

Persistency:
Group Life		91.7		%	88.8		%	89.6		%	88.9		%
Accidental Death & Dismemberment		91.4		%	87.6		%	88.7		%	87.9		%

1Excludes the reserve assumption update that occurred during the third quarter of 2022.

9. 2

Unum Group Financial Results for Unum US Supplemental and Voluntary


	Three Months Ended				Year Ended
		3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Voluntary Benefits		$	222.9		$	214.5		$	850.1		$	833.7
Individual Disability		142.0			124.2			527.0			461.1
Dental and Vision		74.3			69.3			278.1			275.8
Total Premium Income		439.2			408.0			1,655.2			1,570.6
Net Investment Income		57.2			53.6			225.0			226.9
Other Income		0.9			0.6			7.9			2.9
Total		497.3			462.2			1,888.1			1,800.4

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain		187.5			189.1			767.6			772.6
Commissions		78.7			70.8			278.0			252.7
Deferral of Acquisition Costs		(56.3)			(54.6)			(215.9)			(182.7)
Amortization of Deferred Acquisition Costs		48.5			42.9			171.0			146.0
Other Expenses		97.3			87.3			363.5			334.1
Total		355.7			335.5			1,364.2			1,322.7

Income Before Income Tax and Net Investment Gains and Losses		141.6			126.7			523.9			477.7
Voluntary Benefits Reserve Assumption Update		—			—			(10.4)			(17.0)
Individual Disability Reserve Assumption Update		—			—			2.6			1.2
Adjusted Operating Income		$	141.6		$	126.7		$	516.1		$	461.9

Operating Ratios (% of Premium Income):
Benefit Ratios:
Voluntary Benefits1		33.8		%	36.0		%	39.8		%	43.6		%
Individual Disability1		41.1		%	45.3		%	44.3		%	49.3		%
Dental and Vision		72.4		%	80.2		%	73.1		%	71.6		%
Other Expense Ratio		22.2		%	21.4		%	22.0		%	21.3		%
Income Ratio								31.7		%	30.4		%
Adjusted Operating Income Ratio		32.2		%	31.1		%	31.2		%	29.4		%

Persistency:
Voluntary Benefits		75.7		%	74.2		%	75.5		%	75.8		%
Individual Disability		89.2		%	89.2		%	89.0		%	89.5		%
Dental and Vision		80.5		%	76.9		%	77.1		%	79.9		%

1Excludes the reserve assumption updates that occurred during the third quarters of 2023 and 2022.

9. 3

Unum Group Financial Results for Unum International Segment


	Three Months Ended				Year Ended
	3/31/2024		3/31/2023		12/31/2023		12/31/2022

Adjusted Operating Revenue
Premium Income
Unum UK
Group Long-term Disability	$	103.5	$	91.7	$	396.1	$	376.9
Group Life	48.7		39.2		169.3		138.2
Supplemental	43.1		31.8		141.5		114.0
Unum Poland	36.4		25.9		118.3		89.7
Total Premium Income	231.7		188.6		825.2		718.8
Net Investment Income	26.1		30.9		137.2		170.1
Other Income	0.3		0.4		1.6		0.9
Total	258.1		219.9		964.0		889.8

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	155.9		127.5		579.8		549.6
Commissions	19.6		16.6		72.5		56.3
Deferral of Acquisition Costs	(4.3)		(3.5)		(14.6)		(12.0)
Amortization of Deferred Acquisition Costs	2.4		1.8		8.4		8.2
Other Expenses	47.1		39.1		177.7		146.1
Total	220.7		181.5		823.8		748.2

Income Before Income Tax and Net Investment Gains and Losses	37.4		38.4		140.2		141.6
Reserve Assumption Updates	—		—		17.9		(7.6)
Adjusted Operating Income	$	37.4	$	38.4	$	158.1	$	134.0

Unum Group Financial Results for Unum UK


	Three Months Ended						Year Ended
(in millions of pounds)	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Group Long-term Disability	£	81.6		£	75.5		£	318.5		£	304.6
Group Life	38.4			32.3			136.1			112.3
Supplemental	34.0			26.1			113.7			92.3
Total Premium Income	154.0			133.9			568.3			509.2
Net Investment Income	18.4			23.7			102.4			131.9
Other Income	0.1			—			0.2			0.1
Total	172.5			157.6			670.9			641.2

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	104.8			91.7			408.5			398.4
Commissions	9.4			8.9			37.4			31.8
Deferral of Acquisition Costs	(1.1)			(1.0)			(3.9)			(4.2)
Amortization of Deferred Acquisition Costs	1.4			1.1			5.2			5.3
Other Expenses	29.8			25.9			115.4			95.6
Total	144.3			126.6			562.6			526.9

Income Before Income Tax and Net Investment Gains and Losses	28.2			31.0			108.3			114.3
Reserve Assumption Updates	—			—			16.3			(5.3)
Adjusted Operating Income	£	28.2		£	31.0		£	124.6		£	109.0

Weighted Average Pound/Dollar Exchange Rate	1.266			1.213			1.243			1.221

Operating Ratios (% of Premium Income):
Benefit Ratio1	68.1		%	68.5		%	69.0		%	79.3		%
Other Expense Ratio	19.4		%	19.3		%	20.3		%	18.8		%
Income Ratio							19.1		%	22.4		%
Adjusted Operating Income Ratio	18.3		%	23.2		%	21.9		%	21.4		%

Persistency:
Group Long-term Disability	92.7		%	90.1		%	92.5		%	85.1		%
Group Life	88.3		%	81.5		%	83.0		%	87.9		%
Supplemental	87.7		%	88.9		%	91.7		%	92.8		%

1Excludes the reserve assumption updates that occurred during the third quarters of 2023 and 2022.

10. 1

Unum Group Financial Results for Colonial Life Segment


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Accident, Sickness, and Disability	$	243.2		$	235.7		$	946.1		$	948.9
Life	114.3			105.3			426.5			401.1
Cancer and Critical Illness	89.4			88.5			353.5			352.0
Total Premium Income	446.9			429.5			1,726.1			1,702.0
Net Investment Income	39.3			37.3			153.5			152.7
Other Income	3.0			0.2			1.2			1.1
Total	489.2			467.0			1,880.8			1,855.8

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	217.1			227.7			798.1			826.1
Commissions	95.2			89.3			359.4			340.0
Deferral of Acquisition Costs	(79.3)			(75.2)			(302.9)			(271.8)
Amortization of Deferred Acquisition Costs	54.0			48.3			205.4			172.0
Other Expenses	88.5			83.0			340.0			321.4
Total	375.5			373.1			1,400.0			1,387.7

Income Before Income Tax and Net Investment Gains and Losses	113.7			93.9			480.8			468.1
Reserve Assumption Updates	—			—			(80.7)			(55.2)
Adjusted Operating Income	$	113.7		$	93.9		$	400.1		$	412.9

Operating Ratios (% of Premium Income):
Benefit Ratio1	48.6		%	53.0		%	50.9		%	51.8		%

Other Expense Ratio	19.8		%	19.3		%	19.7		%	18.9		%
Income Ratio							27.9		%	27.5		%
Adjusted Operating Income Ratio	25.4		%	21.9		%	23.2		%	24.3		%

Persistency:
Accident, Sickness, and Disability	73.7		%	72.5		%	73.6		%	73.3		%
Life	85.1		%	84.1		%	85.1		%	84.5		%
Cancer and Critical Illness	82.2		%	81.7		%	82.4		%	82.3		%

1Excludes the reserve assumption updates that occurred during the third quarters of 2023 and 2022.

Unum Group Financial Results for Closed Block Segment


	Three Months Ended						Year Ended
	3/31/2024			3/31/2023			12/31/2023			12/31/2022

Adjusted Operating Revenue
Premium Income
Long-term Care	$	174.5		$	175.1		$	696.0		$	697.4


All Other	49.8			56.5			219.5			246.9
Total Premium Income	224.3			231.6			915.5			944.3
Net Investment Income	273.1			257.2			1,066.3			1,070.6
Other Income	13.1			13.5			52.6			58.0
Total	510.5			502.3			2,034.4			2,072.9

Benefits and Expenses


Policy Benefits Including Remeasurement Loss or Gain	443.0			402.8			2,070.7			1,648.0
Commissions	16.6			19.1			73.8			75.7

Other Expenses	44.2			40.5			172.7			172.3
Total	503.8			462.4			2,317.2			1,896.0

Income (Loss) Before Income Tax and Net Investment Gains and Losses	6.7			39.9			(282.8)			176.9
Amortization of the Cost of Reinsurance	10.4			11.0			44.1			50.3
Non-Contemporaneous Reinsurance	7.2			7.3			34.8			34.4

Reserve Assumption Updates - Long-Term Care	—			—			368.1			(2.9)
Reserve Assumption Updates- All Other	—			—			0.7			(6.8)
Adjusted Operating Income	$	24.3		$	58.2		$	164.9		$	251.9


Long-term Care Net Premium Ratio	93.8		%	85.3		%	93.5		%	85.1		%



Operating Ratios (% of Premium Income):
Other Expense Ratio1	15.1		%	12.7		%	14.0		%	12.9		%

Income (Loss) Ratio	3.0		%	17.2		%	(30.9)		%	18.7		%
Adjusted Operating Income Ratio	10.8		%	25.1		%	18.0		%	26.7		%


Long-term Care Persistency	95.3		%	95.4		%	95.6		%	95.7		%


1Excludes amortization of the cost of reinsurance.

Unum Group Financial Results for Corporate Segment


	Three Months Ended				Year Ended
	3/31/2024		3/31/2023		12/31/2023		12/31/2022
Adjusted Operating Revenue
Net Investment Income	$	18.0	$	26.1	$	99.8	$	52.5
Other Income	0.7		0.2		3.3		4.8
Total	18.7		26.3		103.1		57.3

Interest, Debt, and Other Expenses	64.8		59.8		249.5		221.6







Adjusted Operating Loss	$	(46.1)	$	(33.5)	$	(146.4)	$	(164.3)

Unum Group Investments


	3/31/2024						3/31/2024			12/31/2023
Fixed Maturity Securities (Fair Value)						Selected Statistics
Public	$	23,566.2		65.0	%	Earned Book Yield	4.35		%	4.45		%
Mortgage-Backed/Asset-Backed Securities	708.7			2.0		Average Duration (in years)	8.27			8.41


Private Placements	5,511.5			15.2
High Yield	1,487.9			4.1
Government Securities	1,405.0			4.0
Municipal Securities	3,564.9			9.7
Redeemable Preferred Stocks	3.6			—
Total	$	36,247.8		100.0	%

	Amortized Cost			Fair Value		Private Equity Partnerships	3/31/2024			12/31/2023
Quality Ratings of Fixed Maturity Securities						Private Credit Partnerships	$	324.7		$	283.6
Aaa	2.4		%	2.3	%	Private Equity Partnerships	554.5			571.9
Aa	15.8			15.3		Real Asset Partnerships	491.1			470.7
A	30.0			30.4		Total	$	1,370.3		$	1,326.2
Baa	47.7			47.9
Below Baa	4.1			4.1
Total	100.0		%	100.0	%	Non-Current Investments	$	—		$	—

Unum Group Investments at March 31, 2024


Fixed Maturity Securities - By Industry Classification - Unrealized Gain (Loss)

Classification	Fair Value		Net Unrealized Gain (Loss)		Fair Value with Gross Unrealized Loss		Gross Unrealized Loss		Fair Value with Gross Unrealized Gain		Gross Unrealized Gain
Basic Industry	$	2,538.6	$	(137.8)	$	1,715.2	$	181.8	$	823.4	$	44.0
Capital Goods	3,256.2		(121.6)		1,898.3		209.6		1,357.9		88.0
Communications	2,233.5		(81.1)		1,125.2		179.0		1,108.3		97.9
Consumer Cyclical	1,397.4		(90.9)		971.2		116.6		426.2		25.7
Consumer Non-Cyclical	6,365.5		(400.4)		4,124.2		551.1		2,241.3		150.7
Energy	2,555.8		7.9		1,045.1		99.9		1,510.7		107.8
Financial Institutions	3,810.5		(346.8)		3,163.0		380.4		647.5		33.6
Mortgage/Asset-Backed	708.7		(26.7)		487.6		31.7		221.1		5.0
Sovereigns	826.8		(106.1)		417.2		128.3		409.6		22.2
Technology	1,439.8		(126.8)		1,233.4		138.1		206.4		11.3
Transportation	1,641.7		(117.9)		1,154.1		147.9		487.6		30.0
U.S. Government Agencies and Municipalities	4,143.1		(420.9)		2,581.1		543.5		1,562.0		122.6
Public Utilities	5,330.2		(166.3)		2,464.4		329.5		2,865.8		163.2

Total	$	36,247.8	$	(2,135.4)	$	22,380.0	$	3,037.4	$	13,867.8	$	902.0










Gross Unrealized Loss on Fixed Maturity Securities by Length of Time in Unrealized Loss Position

	Investment-Grade								Below-Investment-Grade
Category	Fair Value		Gross Unrealized Loss						Fair Value		Gross Unrealized Loss
Less than 91 days	$	2,525.6	$	(48.0)					$	63.7	$	(0.2)
91 through 180 days	258.1		(8.3)						56.9		(0.8)
181 through 270 days	80.7		(4.5)						2.5		—
271 days to 1 year	649.7		(22.3)						7.9		(0.2)
Greater than 1 year	17,886.2		(2,860.0)						848.7		(93.1)
Total	$	21,400.3	$	(2,943.1)					$	979.7	$	(94.3)

14.1

Appendix to Statistical Supplement

2024 Significant Items:

•None.

2023 Significant Items:

•Third quarter of 2023 reserve assumption updates resulting in a net reserve increase of $177.2 million before tax, or $139.3 million after tax.

•In 2018, the Financial Accounting Standards Board issued ASU 2018-12, “Targeted Improvements to the Accounting for Long-Duration Contracts”. This update significantly amended the accounting and disclosure requirements for long-duration insurance contracts. The update was effective for periods beginning January 1, 2023. We adopted this guidance effective January 1, 2023 using the modified retrospective approach with changes applied as of January 1, 2021, also referred to as the transition date.

2022 Significant Items

•Third quarter of 2022 reserve assumption updates resulting in a net reserve reduction of $243.3 million before tax, or $192.1 million after tax.

Appendix to Statistical Supplement - Continued

Non-GAAP Financial Measures

We analyze our performance using non-GAAP financial measures which exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. We believe the following non-GAAP financial measures are better performance measures and better indicators of the revenue and profitability and underlying trends in our business:

•Consolidated adjusted operating revenue, which excludes investment gains or losses;

•Adjusted operating return on equity, which is calculated using after-tax adjusted operating income or loss and excludes from equity the unrealized gain or loss on securities, the effect of change in discount rate assumptions on the liability for future policy benefits, and net gain or loss on derivatives;

•Leverage ratio, which excludes the unrealized gain or loss on securities, the effect of change in discount rate assumptions on the liability for future policy benefits, and net gain or loss on derivatives; and

•Book value per common share, which is calculated excluding accumulated other comprehensive income (loss) (AOCI).

Investment gains or losses primarily include realized investment gains or losses, expected investment credit losses, and gains or losses on derivatives. Investment gains or losses and unrealized gains or losses on securities depend on market conditions and do not necessarily relate to decisions regarding the underlying business of our Company. Leverage ratio and book value per common share excluding certain components of AOCI, certain of which tend to fluctuate depending on market conditions and general economic trends, are important measures.

We exited a substantial portion of our Closed Block individual disability product line through the two phases of the reinsurance transaction that were executed in December 2020 and March 2021. As a result, we exclude the amortization of the cost of reinsurance that we recognized upon the exit of the business related to the policies on claim status as well as the impact of non-contemporaneous reinsurance that resulted from the adoption of ASU 2018-12. Due to the execution of the second phase of the reinsurance transaction occurring after January 1, 2021, the transition date of ASU 2018-12, in accordance with the provisions of the ASU related to non-contemporaneous reinsurance, we were required to establish the ceded reserves using an upper-medium grade fixed-income instrument as of the reinsurance transaction date in March 2021 which resulted in higher ceded reserves compared to that which was reported historically. However, the direct reserves for the block reinsured in the second phase were calculated using the original discount rate utilized as of the transition date. Both the direct and ceded reserves are then remeasured at each reporting period using a current discount rate reflective of an upper-medium grade fixed-income instrument, with the changes recognized in other comprehensive income (loss). While the total equity impact is neutral, the different original discount rates utilized for direct and ceded reserves result in disproportionate earnings impacts. The impact of non-contemporaneous reinsurance will fluctuate depending on the magnitude of reserve changes during the period. We believe that the exclusion of these items provides a better view of our results from our ongoing businesses.

15.1

For a reconciliation of the most directly comparable GAAP measures to these non-GAAP financial measures, refer to the "Reconciliation of Non-GAAP Financial Measures" beginning on page 15.3, other than book value per common share, which is presented on page 2.

15.2

Reconciliation of Non-GAAP Financial Measures


	Three Months Ended
	March 31		December 31		September 30		June 30		March 31
	2024		2023






Total Revenue	$	3,200.3	$	3,145.1	$	3,092.5	$	3,112.2	$	3,036.1
Excluding:
Net Investment Gain (Loss)	(1.2)		(6.0)		(31.0)		0.9		0.1
Adjusted Operating Revenue	$	3,201.5	$	3,151.1	$	3,123.5	$	3,111.3	$	3,036.0

15.3