Despite a tough environment, the Unum US business delivered a solid second quarter for 2013. Operating income rose slightly to $214 million and customer retention remained strong, led by a solid performance in the group disability line of business.
Over the last several years, the notably consistent performance of Unum US has been driven by commitment to client relationships, strong customer service and a collective focus on business goals.
“An uncertain employment outlook and the distraction of health care reform are creating challenges in the market,” said Mike Simonds, Unum US CEO. “But we continue to invest in products and services that will expand financial protection to more consumers and deepen our relationships with existing clients and sales partners.”
Unum has introduced two new products to the market this year – group hospital indemnity and voluntary whole life – and both are gaining traction. Unum’s dental offering, developed in partnership with market-leader United Concordia, will be available nationwide in the third quarter.
As we enter the fall enrollment season, the company has made significant investments in enrollment solutions to help our partners present flexible enrollment solutions that work best for our customers.
Unum Group’s focus in remaining disciplined allowed the company to produce strong margins in core business segments for the second quarter. In addition to results from Unum US, highlights for the quarter included:
The company’s investment performance was again solid, despite continued low interest rates. And, Unum’s capital position is healthy, allowing the company to maintain financial flexibility. In the second quarter, Unum repurchased just under $100 million of stock in addition to raising the dividend another 11.5 percent, effective with the third quarter payout.