Financial Liabilities and Reinsurance - As of December 31, 2025, total liabilities for insurance products amounted to $31.1 billion, payable over an extended period[89]. - Total reinsurance receivables as of December 31, 2025, were $3,677.5 million, with the principal reinsurer being Wilton Reassurance Company at $2,350.2 million[93]. - The policy risk retention limit of the insurance subsidiaries was generally $0.8 million or less, with reinsurance ceded to third parties representing 9.0% of gross combined life insurance in force[92]. Regulatory Compliance and Oversight - The company is subject to extensive regulation and supervision by insurance regulators across all 50 states, ensuring compliance with financial and business conduct standards[109]. - The NAIC's principle-based reserving approach for life insurance and annuity contracts has been adopted, effective January 1, 2020, with further implementation expected for additional products[115]. - The NAIC's RBC requirements assess the risk inherent in an insurer's business, with a formula that applies prescribed factors to various risk elements to determine minimum capital requirements[140]. - The NAIC increased the RBC factor for structured security residual tranches from 30% to 45%, effective for year-end 2024 RBC filings[142]. - The NAIC's Financial Condition (E) Committee is conducting a holistic review of the insurance regulatory framework to enhance oversight of insurers' investments in complex assets, focusing on the SVO's discretion and reliance on credit rating providers[123]. Employee Relations and Well-being - The company employs approximately 3,300 full-time associates, with no collective bargaining agreements in place, indicating favorable employee relations[96]. - The company focuses on attracting and retaining talented associates through professional development, fair compensation practices, and a supportive work environment[98]. - The company has implemented a comprehensive well-being program that includes medical, dental, and vision insurance, as well as mental health counseling and financial coaching[103]. Community Involvement - The company is committed to community involvement, supporting organizations that address the health and financial wellness of middle-income Americans[108]. Climate and Environmental Regulations - The NYDFS expects insurers to integrate climate-related financial risks into their governance frameworks and risk management processes[180]. - In September 2023, California passed a law requiring firms with annual revenues over $1.0 billion to publicly report greenhouse gas emissions starting in 2026[182]. - The NAIC adopted a new standard for insurers to report climate-related risks as part of its annual Climate Risk Disclosure Survey, applicable to insurers with over $100 million in direct premium[183]. Tax Legislation - The Inflation Reduction Act introduced a 15% minimum tax based on financial statement income and a 1% excise tax on share buybacks, effective for tax years beginning in 2023[191]. - The SECURE 2.0 Act of 2022 introduces new requirements for retirement plans aimed at expanding coverage and increasing savings[192]. - The One Big Beautiful Bill Act of 2025 provides a permanent extension of certain provisions of the Tax Cuts and Jobs Act, impacting the timing of tax deductions[193]. - The company's income tax expense includes deferred income taxes from temporary differences and net operating loss carryforwards, which depend on future taxable income generation[190]. Capital and Solvency Requirements - CNO Bermuda Re is required to maintain a minimum solvency margin of the greater of $0.5 million, 1.5% of assets, or 25% of its enhanced capital requirement (ECR)[148]. - CNO Bermuda Re must maintain statutory economic capital and surplus at a level equal to or in excess of its ECR, which is determined by the Bermuda Solvency Capital Requirement (BSCR) model[149]. - The BSCR model establishes capital requirements based on various risk categories, including fixed income investment risk and operational risk[150]. - The target capital level (TCL) set by the Bermuda Monetary Authority (BMA) is 120% of an insurer's ECR, serving as an early warning tool for regulatory oversight[151]. - CNO Bermuda Re has entered into a Capital and Liquidity Maintenance Agreement with CDOC, which includes conditions for capital contributions if statutory economic capital falls below 150% of its ECR[152]. Legislative Developments - The Dodd-Frank Act established the Financial Stability Oversight Council (FSOC), which can designate non-bank financial institutions as systemically important, subjecting them to heightened supervision[170]. - In November 2023, the FSOC adopted guidance simplifying the process for designating non-bank financial companies as systemically important financial institutions (SIFIs)[171]. - Colorado enacted a law in 2021 prohibiting unfair discrimination in the use of external consumer data and information sources, with regulations effective November 14, 2023[167]. Insurance Product Monitoring - The company is monitoring developments related to federal legislation that may affect its annuity and life insurance products[188]. - The company’s insurance subsidiaries complied with state investment regulations as of December 31, 2025, ensuring diversification and adherence to regulatory limits[155].

Core Insights - CNO Financial Group recognized associate Stacy Muentzer Oakey as Volunteer of the Year and announced donations to 12 nonprofits through its Invested in Giving Back® program [1] Group 1: Volunteer Recognition - Stacy Muentzer Oakey was honored for her dedicated service to Scouting America's Pathway to Adventure Council, receiving a $10,000 donation for the organization [1] - In 2025, Muentzer Oakey contributed over 410 hours of service, including 16 nights of camping and more than 1,500 miles of travel for Scout events [1] - The recognition reflects her significant impact on Troop 216 and sets a standard for volunteer service within the organization [1] Group 2: Invested in Giving Back Program - CNO's Invested in Giving Back program, now in its eighth year, allows associates to nominate and vote for community programs to receive charitable donations [1] - This year, CNO will donate a total of $180,000 across 12 nonprofit organizations [1] - The program exemplifies CNO's commitment to community support and empowers associates to influence corporate philanthropy [1] Group 3: Company Overview - CNO Financial Group, Inc. provides life and health insurance, annuities, and financial services, securing the future of middle-income America [1] - The company manages 3.2 million policies and has total assets of $38.8 billion [1] - CNO employs 3,300 associates and collaborates with 5,000 exclusive agents and over 7,000 independent partner agents [1]

[CNOinc.com].SOURCE CNO Financial Group## 21%[more press release views with Request a Demo]## Also from this source### CNO Financial Group Declares $0.17 Quarterly Dividend and Announces Virtual Annual Meeting Date[CNO Financial Group, Inc. (NYSE: CNO) announced today that its Board of Directors has declared a quarterly cash dividend of $0.17 per share on the...]### CNO Financial Group Reports Fourth Quarter and Full Year 2025 Results[CNO Financial Group, Inc. (NYSE: CNO) today reported its fourth quarter a ...

Core Insights - CNO Financial Group, Inc. is a significant player in the insurance industry, offering health and life insurance products through subsidiaries like Bankers Life and Casualty Company, Colonial Penn Life Insurance Company, and Washington National Insurance Company [1] - The company competes with major insurance firms such as MetLife and Prudential Financial [1] Financial Metrics - CNO's quarterly cash dividend is set at $0.17 per share, payable on March 24, 2026, to shareholders recorded by March 10, 2026 [2] - The price-to-earnings (P/E) ratio is approximately 32.45, indicating strong investor confidence in the company's earnings potential [2] - The price-to-sales ratio stands at 0.92, suggesting that the market values CNO's sales at less than one times its revenue [2] - The enterprise value to sales ratio is 1.60, reflecting the company's total valuation compared to its sales [2] - The enterprise value to operating cash flow ratio is around 10.71, indicating how CNO's valuation compares to its cash flow from operations [2] - The earnings yield is about 3.08%, providing insight into the return on investment for shareholders [2] Debt and Governance - CNO's debt-to-equity ratio is 1.54, highlighting the company's reliance on debt financing relative to its equity [3] - The annual meeting of shareholders is scheduled for May 12, 2026, and will be held virtually, with participation open to shareholders recorded by March 16, 2026 [3] - Nina Henderson, a long-serving Board member, will retire at the end of her term, concluding with the annual meeting [3]

Core Viewpoint - CNO Financial Group has declared a quarterly cash dividend of $0.17 per share and announced the date for its virtual annual meeting, alongside the retirement of a long-serving board member [1]. Dividend Announcement - The Board of Directors declared a quarterly cash dividend of $0.17 per share on common shares, payable on March 24, 2026, to shareholders of record as of March 10, 2026 [1]. Annual Meeting Details - The annual meeting of shareholders will be held virtually on May 12, 2026, at 8:00 a.m. ET, with participation available for holders of record as of March 16, 2026 [1]. Board Member Retirement - Nina Henderson will retire from the Board of Directors at the end of her current term, which concludes with the annual meeting. She has served on the Board since 2012 and has been a key figure in various committees [1]. Company Overview - CNO Financial Group, Inc. provides life and health insurance, annuities, and financial services, managing 3.2 million policies and holding total assets of $38.8 billion [1].

Core Viewpoint - CNO Financial Group reported strong financial performance in 2025, exceeding guidance with significant growth in operating earnings, sales, and capital position, while maintaining a focus on agent productivity and navigating macroeconomic uncertainties. Financial Performance - Operating earnings per diluted share were $4.40, reflecting an 11% increase, driven by strong insurance product margins and investment performance [2] - The company returned $386 million to shareholders, including $320 million in share buybacks, while raising its quarterly common stock dividend for the 13th consecutive year [1][6] - Operating return on equity (ROE) improved to 11.4% excluding significant items, up from a 10% run rate in 2024 [13] Sales and Production Growth - CNO achieved record total new annualized premium (NAP) growth of 15%, supported by 14 consecutive quarters of sales growth and an increase in producing agent count [3][7] - In the consumer division, life NAP increased by 10%, with direct-to-consumer life sales up 20%, benefiting from technology-driven productivity enhancements [8] - The worksite division reported record insurance sales up 15% for the full year, marking the second consecutive year of record production [10] Capital Position and Investment Strategy - The company holds a strong capital position with a risk-based capital (RBC) ratio of 380% and $31 billion in invested assets, 97% of which are investment grade [6][19] - CNO plans to continue a three-year technology modernization initiative totaling approximately $170 million, with $75 million expected in 2026 [5][21] - New investments in the quarter totaled about $1.6 billion, with an average rating of single-A and an average duration of six years [17] 2026 Outlook - Management expects operating EPS of $4.25 to $4.45 and free cash flow of $200 million to $250 million for 2026, assuming a stable macro environment [5][20] - The company anticipates continued growth in producing agent count while emphasizing productivity as a primary focus [22] - CNO expects ongoing pressure on the Medicare Advantage market but strength in Medicare Supplement sales [23]

Core Insights - CNO Financial Group, Inc. reported fourth-quarter 2025 adjusted earnings per share (EPS) of $1.47, exceeding the Zacks Consensus Estimate by 22.5% and increasing from $1.31 a year ago [1][9] - Operating revenues reached $1.2 billion, a 2.6% year-over-year increase, surpassing the consensus mark by 17.7% [1][9] Financial Performance - Total insurance policy income rose 2.9% year over year to $662.2 million, beating the Zacks Consensus Estimate of $655.4 million, driven by improved collected premiums from annuity, life, and health products [3] - Collected premiums from annuity, health, and life products totaled $1.2 billion, reflecting a 3.4% year-over-year increase, with annuity premiums at $508.3 million (up 3.1%), health premiums at $435.7 million (up 3.8%), and life premiums at $247.6 million (up 3.3%) [5][6] - New annualized premiums for health products surged 30.7% year over year, while life products increased by 0.9% [6] Expenses and Losses - Total benefits and expenses escalated 19.3% year over year to $1 billion, attributed to higher insurance policy benefits and operating costs [6][9] - Net investment losses narrowed to $25.2 million from $35.1 million in the prior-year quarter [4] Financial Position - As of December 31, 2025, CNO Financial had unrestricted cash and cash equivalents of $956.1 million, down 42.3% from the end of 2024 [7] - Total assets increased by 2.5% year over year to $38.8 billion, while total shareholders' equity grew 4.9% to $2.6 billion [7] - Book value per common share rose 12.8% to $27.92 [8] Shareholder Returns - CNO Financial returned $60 million to shareholders through share buybacks and $16.2 million in dividends during the fourth quarter [10] Future Guidance - For 2026, CNO anticipates operating EPS in the range of $4.25-$4.45, indicating a 1.1% decline from the 2025 figure of $4.40 [11] - The company estimates excess cash flow of $200-$250 million and projects an expense ratio between 18.8-19.2% for 2026 [11]

Financial Data and Key Metrics Changes - CNO Financial Group achieved an operating return on equity of 11.4% for 2025, an improvement from 10% in 2024, and is on track to reach a target of 12% by 2027 [14][19] - Operating earnings per diluted share increased by 11% to $4.40, with a full-year operating earnings per share of $4.02, exceeding the high end of original guidance [5][14] - The company returned $386 million to shareholders, marking an 11% increase over 2024, and raised its quarterly common stock dividend for the 13th consecutive year [6][24] Business Line Data and Key Metrics Changes - The consumer division reported a record total new annualized premium (NAP) growth of 15%, with life NAP up 10% and Medicare supplement NAP up 49% for the year [8][9] - The worksite division also achieved record insurance sales, up 15% for the full year, with life insurance sales increasing by 36% [11][12] - Overall, the company experienced its 14th consecutive quarter of sales growth and 12th consecutive quarter of growth in producing agent count [4][8] Market Data and Key Metrics Changes - Total health NAP increased by 22%, marking 14 consecutive quarters of growth, while Medicare Advantage policies sold decreased by 3% for the year [9][10] - The company holds over $18 billion in client assets, up 11% from 2024, reflecting strong growth in brokerage and advisory channels [10][11] - The investment portfolio remains high quality, with 97% rated investment grade and an average rating of single A [18] Company Strategy and Development Direction - CNO Financial Group focuses on the underserved middle-income market, leveraging a last-mile captive agent distribution model as a competitive advantage [5][6] - The company is investing in technology modernization with an expected investment of approximately $170 million over three years, with $20 million deployed in 2025 and $75 million expected in 2026 [22] - The strategic exit from the fee services business within the worksite division is progressing on schedule, expected to be largely complete in the first half of 2026 [12] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the lack of visibility in the operating environment due to economic factors such as layoffs and job numbers, which could impact consumer behavior [28][31] - Despite potential headwinds, the company remains optimistic about the demand for Medicare products, with 11,000 Americans turning 65 each day [10][32] - The outlook for 2026 includes expected operating earnings per share between $4.25 and $4.45, reflecting an 8% increase at the midpoint from 2025 results [20][22] Other Important Information - The effective tax rate on operating income was 20.6% for the year, below the guidance of 22%-22.5%, due to tax strategies implemented in the fourth quarter [14][15] - The consolidated risk-based capital ratio was 380%, within the target range of 360%-390%, providing flexibility for growth and capital deployment [19] Q&A Session Summary Question: Earnings emergence and target returns - Management indicated that the time to hit target returns varies by product, but confidence remains in meeting ROE targets due to strong sales momentum [26][27] Question: Environment impact on recruiting and agent count growth - Management expects to grow producing agent count in 2026, emphasizing productivity over sheer numbers, while acknowledging economic pressures on discretionary purchases [28][30] Question: Sustainability of growth levels - Management believes that while Medicare Advantage sales may decline, Medicare supplement sales will continue to rise due to demographic trends [39][40] Question: Impact of Medicare Advantage distribution fees - Management has reflected expected pressures in Medicare Advantage in their projections, focusing more on Medicare supplement products [42][43] Question: Capital deployment strategy - Management plans to return excess capital to shareholders through share repurchases while being measured in capital deployment [46][47] Question: Investment portfolio exposure to software - The company has a small exposure to software in its investment portfolio, with a focus on mission-critical software [69][70]

Financial Data and Key Metrics Changes - CNO Financial Group achieved an operating return on equity of 11.4%, an improvement from 10% in 2024, and is on track to reach a target of 12% by 2027 [13][19] - Operating earnings per diluted share increased to $4.40, reflecting an 11% growth, with full-year operating earnings per share exceeding guidance at $4.02 [5][13] - The company returned $386 million to shareholders, marking an 11% increase over 2024, and raised its quarterly common stock dividend for the 13th consecutive year [7][23] Business Line Data and Key Metrics Changes - The consumer division reported a record total new annualized premium (NAP) growth of 15%, with life NAP up 10% and Medicare Supplement NAP up 49% for the year [8][9] - The worksite division also saw record insurance sales, up 15% for the full year, with life insurance sales increasing by 36% [11][12] - Overall, the company experienced its 14th consecutive quarter of sales growth across both divisions [4][11] Market Data and Key Metrics Changes - Total health NAP increased by 22%, marking 14 consecutive quarters of growth, while Medicare Advantage policies sold decreased by 3% for the year [9][10] - The company holds over $18 billion in client assets, reflecting an 11% increase from 2024, with brokerage and advisory client assets up 24% [10][11] Company Strategy and Development Direction - CNO Financial Group focuses on the underserved middle-income market, leveraging a last-mile captive agent distribution model as a competitive advantage [5][8] - The company is investing in technology modernization with a planned investment of approximately $170 million over three years, with $20 million deployed in 2025 and $75 million expected in 2026 [21][22] - The strategic exit from the fee services business within the worksite division is progressing on schedule, expected to be completed in the first half of 2026 [12] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the lack of visibility in the economic environment, citing potential challenges from layoffs and job market conditions affecting consumer behavior [30][31] - Despite economic pressures, the company remains optimistic about the demand for Medicare products, with 11,000 Americans turning 65 daily, presenting ongoing opportunities [10][32] - The company anticipates continued growth in producing agent count and productivity, emphasizing the importance of agent productivity over mere count [28][29] Other Important Information - The effective tax rate on operating income was 20.6%, below the guidance range, due to tax strategies implemented in the fourth quarter [14] - The company ended the year with a consolidated risk-based capital ratio of 380%, within the target range of 360%-390% [17][18] Q&A Session Summary Question: Earnings emergence and target returns - Management indicated that the time to hit target returns varies by product, but confidence remains high due to strong sales trends [25][26] Question: Environment outlook and agent count growth - Management expects to grow producing agent count in 2026, emphasizing productivity as the primary focus [28][29] Question: Sustainability of growth levels - Management acknowledged potential headwinds but remains comfortable with guidance, expecting continued growth in Medicare Supplement sales [40][42] Question: Impact of Medicare Advantage distribution fees - Management reflected expectations of pressure on Medicare Advantage, focusing more on Medicare Supplement [44] Question: Capital deployment strategy - Management plans to return excess capital to shareholders through share repurchases while being measured in capital deployment [47][48] Question: Investment portfolio exposure to software - Management reported a small exposure to software in the investment portfolio, with a focus on mission-critical software [72][73] Question: Dynamics of turning 65 and product positioning - Management expects the number of individuals turning 65 to remain stable until around 2030, presenting ongoing opportunities for the company [79][81]

Financial Data and Key Metrics Changes - CNO Financial Group achieved an operating return on equity of 11.4% for 2025, up from 10% in 2024, reflecting strong operational momentum [12][21] - Operating earnings per diluted share increased by 11% to $4.40, with full-year operating earnings per share exceeding guidance at $4.02 [5][12] - The company returned $386 million to shareholders, marking an 11% increase over 2024, and raised its quarterly common stock dividend for the 13th consecutive year [6][12] Business Line Data and Key Metrics Changes - The consumer division reported a record total new annualized premium (NAP) growth of 15%, with life NAP up 10% and Medicare supplement NAP up 49% for the year [7][8] - The worksite division also saw record insurance sales, with a 15% increase for the full year and 13% for the fourth quarter, driven by life insurance sales up 36% and hospital indemnity insurance up 41% [10][11] Market Data and Key Metrics Changes - Total health NAP increased by 22%, marking 14 consecutive quarters of growth, while Medicare Advantage policies sold decreased by 3% for the year [8][9] - The company expects overall demand for Medicare products to grow, with approximately 11,000 Americans turning 65 each day, indicating a stable market opportunity [9][29] Company Strategy and Development Direction - CNO Financial Group focuses on the underserved middle-income market, leveraging a last-mile captive agent distribution model as a competitive advantage [5][6] - The company is investing in technology modernization with a planned investment of approximately $170 million over three years, with $20 million deployed in 2025 and $75 million expected in 2026 [19][20] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about economic visibility due to layoffs and job market challenges, which could impact discretionary purchases but noted the ongoing opportunity from the aging population [28][29] - The company anticipates continued growth in producing agent count and productivity, emphasizing that agent productivity is a primary focus for 2026 [26][27] Other Important Information - CNO Financial Group's consolidated risk-based capital ratio was 380%, within the target range of 360%-390%, indicating a strong capital position [16][17] - The company issued $400 million of fixed-rate bonds in the fourth quarter, contributing to disciplined portfolio management and strong earnings fundamentals [15][16] Q&A Session Summary Question: Earnings emergence and target returns - Management indicated that the time to hit target returns varies by product, but confidence remains in meeting ROE targets due to strong sales momentum [23][24] Question: Environment impact on recruiting and agent count growth - Management expects to grow producing agent count in 2026, emphasizing productivity over sheer numbers, while acknowledging economic pressures on consumer spending [25][26] Question: Sustainability of growth levels - Management believes growth is sustainable, with Medicare supplement sales expected to rise while Medicare Advantage sales may decline due to market conditions [37][38] Question: Impact of Medicare Advantage distribution fees - Management has reflected expected pressures in Medicare Advantage in their projections, focusing more on Medicare supplement products [40][41] Question: Capital deployment strategy - Management plans to return excess capital to shareholders through share repurchases while being measured in capital deployment [44][46] Question: Investment portfolio exposure to software - The company has limited exposure to software in its investment portfolio, focusing on mission-critical software and maintaining a cautious approach to risk [72][73]