8-K

-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Pd3fx48PjnjxiVUI6/b+cooX/GWxwej6Xxff4J6V5eYZ3Q4Ty3fNg2tYnId7e6rl jQArd/kePKZdJsgqaF2HDw== 0000950123-06-001359.txt : 20060209 0000950123-06-001359.hdr.sgml : 20060209 20060209081301 ACCESSION NUMBER: 0000950123-06-001359 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 5 CONFORMED PERIOD OF REPORT: 20060209 ITEM INFORMATION: Results of Operations and Financial Condition FILED AS OF DATE: 20060209 DATE AS OF CHANGE: 20060209 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ASSURANT INC CENTRAL INDEX KEY: 0001267238 STANDARD INDUSTRIAL CLASSIFICATION: ACCIDENT & HEALTH INSURANCE [6321] IRS NUMBER: 391126612 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-31978 FILM NUMBER: 06590926 MAIL ADDRESS: STREET 1: ONE CHASE MANHATTAN PLAZA CITY: NEW YORK STATE: NY ZIP: 10005 8-K 1 y17277e8vk.htm FORM 8-K 8-K

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: February 9, 2006

Assurant, Inc.

(Exact Name of Registrant as Specified in Charter)


Delaware	001-31978	39-1126612

(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)


One Chase Manhattan Plaza, 41st Floor New York, New York		10005

(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code: (212) 859-7000

N/A

(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):


o		Written communications pursuant to Rule 425 under the Securities Act (17 CR 230.425)

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

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

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

TABLE OF CONTENTS


Item 2.02 Results of Operations and Financial Condition
Exhibits
SIGNATURE
EX-99.1: PRESS RELEASE
EX-99.2: PRESENTATION OF FINANCIAL SUPPLEMENT

Item 2.02 Results of Operations and Financial Condition

On February 9, 2006, Assurant, Inc. issued a press release reporting on its financial results for the year ended December 31, 2005 and 2004. The text of the press release, which is attached at Exhibit 99.1, and the statistical supplement which accompanied the press release, which is attached at Exhibit 99.2, are each incorporated by reference into this Item.

Exhibits

99.1		Press Release Dated February 9, 2006.

99.2		Presentation entitled “Assurant, Inc. Financial Supplement as of December 31, 2005”.

- 2 -

SIGNATURE

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.


	ASSURANT, INC.

Date: February 9, 2006	By:	/s/ Katherine Greenzang

	Katherine Greenzang
	Senior Vice President, General Counsel and Secretary

- 3 -

EX-99.1 2 y17277exv99w1.htm EX-99.1: PRESS RELEASE EX-99.1

Exhibit 99.1


Press Contact:	Investor Relations:
Drew Guthrie	Melissa Kivett	Larry Cains
Manager, Communications	Vice President	Senior Vice President
and Media Relations	Investor Relations	Investor Relations
Phone: 212-859-7002	Phone: 212-859-7029	Phone: 212-859-7045
Fax: 212-859-5893	Fax: 212-859-5893	Fax: 212-859-5893
drew.guthrie@assurant.com	melissa.kivett@assurant.com	larry.cains@assurant.com

FOR IMMEDIATE RELEASE

Assurant Reports Q405 Net Income of $137 M ($1.03 per diluted share) Up 59%
Full Year 2005 Net Income of $479 M ($3.50 per diluted share) Up 37%

Q405 Net Operating Income of $142 M ($1.07 per diluted share) and $513M ($3.75 per diluted
share) for full year 2005

New York – February 9, 2006 – Assurant, Inc. (“Assurant”) (NYSE: AIZ), a premier provider of specialized insurance and insurance-related products and services, today reported its results for the fourth quarter and year ended December 31, 2005.

J. Kerry Clayton, Chief Executive Officer, said: “For the two years since our IPO, we have produced strong growth in net operating income. Particularly notable are the strong results of Assurant Solutions and Assurant Specialty Property despite the significant hurricane seasons of the past two years. Assurant continues to not only grow profits but to significantly improve its operating ROE to 15.1% thus increasing shareholder value through our diversified specialty insurance strategy. In a nutshell, we achieved a solid fourth quarter, had a successful year and have a promising future.”

Fourth Quarter Results

Net income in the fourth quarter of 2005 was $137.0 million, or $1.03 per diluted share, a 59% increase over fourth quarter 2004 net income of $86.1 million, or $0.61 per diluted share.

Net operating income (see footnote 2 at the end of this release) for the fourth quarter of 2005 increased 65% to $142.4 million, or $1.07 per diluted share, compared to fourth quarter 2004 net operating income of $86.5 million, or $0.62 per diluted share.

Net earned premiums of $1.6 billion in the fourth quarter of 2005 were comparable to the same period in 2004.

Net investment income in the fourth quarter of 2005 increased to $170.9 million from $163.3 million in the fourth quarter of 2004 primarily as a result of an increase in invested assets. The yield on average invested assets and cash and cash equivalents was 5.54% in the fourth quarter of 2005, compared to 5.55% in the fourth quarter of 2004.

Twelve-Month Results

Net income in 2005 was $479.4 million, or $3.50 per diluted share, a 37% increase over 2004 net income of $350.6 million, or $2.48 per pro forma share (see footnote 1 at the end of this release).

Net operating income for the twelve months of 2005 increased 49% to $513.3 million, or $3.75 per diluted share, compared to net operating income of $345.0 million, or $2.44 per pro forma share in the same period of the prior year.

Net earned premiums were unchanged at $6.5 billion in 2005 compared with the prior year.

Net investment income in the twelve months of 2005 increased to $687.3 million from $634.7 million in the twelve months of 2004 primarily as a result of an increase in invested assets and increases in short term yields. Excluding $12.6 million of investment income from real estate partnerships recorded in the second and third quarters, the yield on average invested assets and cash and cash equivalents was 5.54% for 2005, compared to 5.46% for 2004.

Robert B. Pollock, President and Chief Operating Officer, said: “All of our specialty insurance businesses produced year over year earnings growth. Our disciplined approach to revenue growth is starting to show positive results, especially in Assurant Solutions and Assurant Specialty Property.”

Reconciliation of Net operating income to Net income


	For the Three Months Ended						For the Year Ended
	December 31,			December 31,			December 31,			December 31,
	2005			2004			2005			2004
	(UNAUDITED)
	(amounts in millions, net of tax)
Assurant Solutions and Assurant Specialty Property	$	69.6		$	44.6		$	241.3		$	126.2
Assurant Health		33.3			33.7			178.1			158.3
Assurant Employee Benefits		19.3			20.0			68.4			62.2
Assurant Preneed		4.8			8.7			35.1			34.2
Corporate and other		20.7			(19.8	)		2.7			(35.3	)
Amortization of deferred gain on disposal of businesses		4.7			9.3			27.6			37.5
Interest expense		(10.0	)		(10.0	)		(39.9	)		(38.1	)

Net operating income		142.4			86.5			513.3			345.0

Adjustments:
Net realized gains (losses) on investments		(5.4	)		1.2			7.4			15.8
Excess of loss reinsurance program (1995-1997)		—			—			(40.3	)		—
Loss on disposal of business		—			—			—			(6.3	)
Expenses directly related to stock offerings		—			(1.6	)		(1.0	)		(3.9	)

Net income	$	137.0		$	86.1		$	479.4		$	350.6

Assurant Solutions and Assurant Specialty Property

Assurant Solutions and Assurant Specialty Property fourth quarter 2005 net operating income was $69.6 million, up 56% from fourth quarter 2004 net operating income of $44.6 million. Net operating income for the twelve months of 2005 grew significantly (91%) to $241.3 million from $126.2 million in the twelve months of 2004. Net operating income in the fourth quarter includes $17.6 million pre-tax of catastrophe losses, net of reinsurance, compared to $16.0 million pre-tax in the same period in 2004. Catastrophe losses, net of reinsurance, for the year were $48.7 million pre-tax compared to $93.1 million pre-tax in 2004. The decrease was a result of the different severity of losses from each storm and the change in composition of reinsurance coverage in 2005. The fourth quarter also includes $17.4 million pre-tax of reimbursements received for processing and adjudication services under the National Flood Insurance Program. Excluding the catastrophe losses, Assurant Specialty Property continues to have favorable combined ratios for the quarter and the year. Both businesses also benefited from higher investment income and fee income. Full year results also include favorable settlements related to commissions and claims payable of $17.1 million pre-tax reported in earlier quarters.

Assurant Solutions and Assurant Specialty Property fourth quarter 2005 net earned premiums increased 16% to $713.1 million from $612.2 million in the same year-ago

period. Net earned premiums in the twelve months of 2005 increased 7% to $2.6 billion from $2.4 billion in the twelve months of 2004. Net earned premiums in the fourth quarter of 2005 were reduced by $9 million of additional reinsurance premiums related to the hurricanes and $26 million for the year. Premium increases for the quarter and year are primarily a result of continued growth in specialty property and extended service contracts in the US and overseas.

Assurant Health

Assurant Health fourth quarter 2005 net operating income of $33.3 million was down 1% from $33.7 million in 2004. Expense ratios in the fourth quarter of both years reflected higher than normal information technology and direct to consumer marketing expenses of $10 million pre-tax in 2005 and $13.5 million pre-tax in 2004. Net operating income for the twelve months of 2005 grew 12% to $178.1 million from $158.3 million in the twelve months of 2004. Strong net operating income in 2005 was the result of the lowest ever annual combined ratio of 90.8% versus an also excellent 92.4% combined ratio for 2004.

Assurant Health fourth quarter 2005 net earned premiums of $531.3 million were down 5% from the same period in 2004. Net earned premiums in the twelve months of 2005 decreased 3% to $2.2 billion from the twelve months of 2004 primarily due to a decline in both premiums and membership in small group. Premiums increased in the individual medical business as a result of higher premiums per member offsetting a modest decline in membership.

Assurant Employee Benefits

Assurant Employee Benefits fourth quarter 2005 net operating income decreased 3% to $19.3 million from net operating income of $20.0 million in the same period of 2004. Net operating income for the twelve months of 2005 increased 10% to $68.4 million from $62.2 million in the twelve months of 2004. The increase in net operating income for the year is primarily a result of improved loss experience.

Assurant Employee Benefits fourth quarter 2005 net earned premiums decreased 10% to $308.6 million from $343.8 million in the same year-ago period. The fourth quarter of 2004 included an assumption of $27.8 million of a closed block of business. Net earned premiums in the twelve months of 2005 were essentially unchanged at $1.3 billion.

Assurant Preneed

Fourth quarter 2005 net operating income decreased 45% to $4.8 million from net operating income of $8.7 million in the same period of 2004, primarily as a result of the announced sale of Assurant Preneed’s U.S. independent funeral home franchise. The fourth quarter of 2005 includes $5.8 million pre-tax of transaction costs related to the sale. Net operating income for the twelve months of 2005 grew 2% to $35.1 million from $34.2 million in 2004. Net operating income benefited from higher investment income,

including $9.4 million pre-tax of income from real estate partnerships in the second quarter of 2005.

Assurant Preneed fourth quarter 2004 net earned premiums decreased 27% to $91.5 million from $124.8 million in the same period of 2004. Net earned premiums in the twelve months of 2005 decreased 11% to $466.0 million from $526.1 million in the twelve months of 2004. Premium declines are primarily the result of the sale of Assurant Preneed’s domestic independent funeral home franchise combined with continued pricing discipline.

Corporate

Amortization of deferred gains from businesses sold through reinsurance was reduced by $4.6 million in the fourth quarter of 2005 to reflect a cumulative adjustment for the slower than originally expected run off of the policies sold. Otherwise, it declined consistent with the anticipated run-off of these businesses. Corporate and other net operating income for the fourth quarter of 2005 was $20.7 million, compared to a loss of $19.8 million in the fourth quarter of 2004. Corporate income for the year totaled $2.7 million compared to a loss of $35.3 million in 2004. The fourth quarter of 2005 includes $39.4 million of tax releases and adjustments resulting from the resolution of several years’ tax audits. For the full year, tax benefits and adjustments were $44.9 million. The fourth quarter and year 2004 included $9 million of net tax charges.

Financial Position

December 31, 2005 total assets were $25.4 billion. Stockholders equity, excluding Accumulated Other Comprehensive Income (AOCI), was $3.5 billion and book value per diluted share, excluding AOCI, was up 11% to $26.25 from $23.57 at December 31, 2004. Debt to total capital, excluding AOCI, dropped to 22.2%

Earnings Conference Call

Assurant will host a conference call on Thursday, February 9that 10:00 A.M. (ET) with access available via Internet and telephone. Investors and analysts may participate in the live conference call by dialing 800-473-6123 (toll-free domestic) or 973-582-2706 (international); passcode: 6894065. Please call to register at least 10 minutes before the conference call begins. A replay of the call will be available for one week via the telephone starting at approximately 12:00 P.M. (ET) on February 9, 2006 and can be accessed at 877-519-4471 (toll-free domestic) or 973-341-3080 (international); passcode: 6894065. The webcast will be archived for one month on Assurant’s website.

About Assurant

Assurant is a premier provider of specialized insurance products and related services in North America and selected other international markets. The five key businesses— Assurant Employee Benefits; Assurant Health; Assurant Preneed; Assurant Solutions and Assurant Specialty Property— have partnered with clients who are leaders in their industries and have built leadership positions in a number of specialty insurance market segments in the U.S. and selected international markets. The Assurant business segments provide creditor-placed homeowners insurance; manufactured housing homeowners insurance; debt protection administration; credit-related insurance; warranties and extended service contracts; individual health and small employer group health insurance; group dental insurance; group disability insurance; group life insurance; and pre-funded funeral insurance.

The company, which is traded on the New York Stock Exchange under the symbol AIZ, has over $20 billion in assets and $7 billion in annual revenue. Assurant has more than 12,000 employees worldwide and is headquartered in New York’s financial district. www.assurant.com

Safe Harbor Statement

Some of the statements included in this press release, particularly those anticipating future financial performance, business prospects, growth and operating strategies and similar matters, are forward-looking statements that involve a number of risks and uncertainties. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. For a discussion of the factors that could affect our actual results please refer to the risk factors identified from time to time in our SEC reports, including, but not limited to, our 10-K, as filed with the SEC.

Non-GAAP Financial Measures

Assurant uses the following non-GAAP financial measures to analyze the company’s operating performance for the periods presented in this press release. Because Assurant’s calculation of these measures may differ from similar measures used by other companies, investors should be careful when comparing Assurant’s non-GAAP financial measures to those of other companies.

(1) Pro forma earnings per share have been included as a measure of 2004 operating performance. In February 2004, Assurant completed a significant capital restructuring in conjunction with its initial public offering of common stock. Pro forma earnings per share reflects earnings per share adjusted as if this capital restructuring had occurred on January 1, 2003. This restructuring included: a stock split and conversion of Class B and C shares resulting in total outstanding shares of 109,222,276; the issuance of 32,976,854 shares of Assurant common stock to Fortis Insurance N.V. in exchange for a capital contribution of $725.5 million, and the issuance of 68,976 restricted shares of Assurant common stock to certain officers and directors of the company pursuant to specific restricted stock grants These transactions occurred subsequent to the December 31, 2003 balance sheet, but management believes that this adjusted measure provides a better

indication of operating performance than the corresponding GAAP measure, earnings per share. In 2005, earnings per share are based on actual average shares outstanding.

(2) Assurant uses net operating income and operating return on equity (operating ROE) as important measures of the company’s operating performance. Net operating income equals net income excluding net realized gains (losses) on investments and other unusual and/or infrequent items. Operating ROE is equal to net operating income divided by average stockholders’ equity, excluding AOCI. The company believes net operating income and operating ROE provide investors valuable measures of the performance of the company’s ongoing business, because they exclude both the effect of realized gains (losses) on investments that tend to be highly variable from period to period, and those events that are unusual and/or unlikely to recur.

Assurant, Inc. and Subsidiaries
Consolidated Statement of Operations
Three and Twelve months Ended December 31, 2005 (unaudited) and 2004


	Three Months Ended December 31,					Year Ended December 31,
	2005			2004		2005		2004
	(in thousands except number of shares and per share amounts)
Revenues
Net earned premiums and other considerations	$	1,644,477		$	1,638,612	$	6,520,796	$	6,482,871
Net investment income		170,864			163,263		687,257		634,749
Net realized (loss) gain on investments		(8,301	)		1,861		8,235		24,308
Amortization of deferred gain on disposal of businesses		7,155			14,334		42,508		57,632
Loss on disposal of business		—			—		—		(9,232	)
Fees and other income		67,382			60,026		238,879		220,386

Total revenues		1,881,577			1,878,096		7,497,675		7,410,714
Benefits, losses and expenses
Policyholder benefits		869,678			950,821		3,707,809		3,839,769
Selling, underwriting, general and administrative expenses		847,172			772,092		3,073,000		2,976,436
Interest expense		15,315			15,314		61,258		56,418
Distributions on mandatorily redeemable preferred securities		—			—		—		2,163

Total benefits, losses and expenses		1,732,165			1,738,227		6,842,067		6,874,786

Income before income taxes		149,412			139,869		655,608		535,928
Income tax expense		12,366			53,741		176,253		185,368

Net income	$	137,046		$	86,128	$	479,355	$	350,560


Net income per share:
Basic	$	1.05		$	0.62	$	3.53	$	2.53
Diluted	$	1.03		$	0.61	$	3.50	$	2.53
Pro forma		N/A			N/A		N/A	$	2.48
Dividends per share	$	0.08		$	0.07	$	0.31	$	0.21

Share Data:
Basic weighted average shares outstanding		131,057,816			139,968,130		135,773,551		138,358,767
Diluted weighted average shares outstanding		132,816,188			140,054,287		136,945,310		138,467,564
Pro forma weighted average shares outstanding		N/A			N/A		N/A		141,622,001

Assurant, Inc. and Subsidiaries
Consolidated Condensed Balance Sheets
At December 31, 2005 (unaudited) and December 31, 2004


	December 31,		December 31,
	2005		2004
	(in thousands)
Assets
Investments and cash and cash equivalents	$	13,371,392	$	12,955,128
Reinsurance recoverables		4,447,810		4,196,810
Goodwill		804,864		823,054
Assets held in separate accounts		3,472,435		3,717,149
Other assets		3,268,952		2,855,965

Total assets		25,365,453		24,548,106


Liabilities
Policyholder liability		14,391,691		13,381,936
Debt		971,690		971,611
Mandatorily redeemable preferred stock		24,160		24,160
Liabilities related to separate accounts		3,472,435		3,717,149
Accounts payable and other liabilities		2,805,918		2,817,819

Total liabilities		21,665,894		20,912,675

Stockholders’ equity
Equity, excluding accumulated other comprehensive income		3,480,060		3,297,268
Accumulated other comprehensive income		219,499		338,163

Total stockholders’ equity		3,699,559		3,635,431


Total liabilities and stockholders’ equity	$	25,365,453	$	24,548,106

EX-99.2 3 y17277exv99w2.htm EX-99.2: PRESENTATION OF FINANCIAL SUPPLEMENT EX-99.2

Exhibit 99.2

Assurant, Inc. (AIZ)

Financial Supplement as of December 31, 2005

ASSURANT, INC. AND SUBSIDIARIES
EARNINGS RELEASE SUPPLEMENT
AS OF DECEMBER 31, 2005

INDEX TO SUPPLEMENT


	Page:
REGULATION G – NON GAAP MEASURES		1

SUMMARY FINANCIAL HIGHLIGHTS (unaudited)		2

CONSOLIDATED CONDENSED BALANCE SHEETS (unaudited)		4

RECONCILIATION OF NET OPERATING INCOME TO NET INCOME (unaudited)		5

CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS (unaudited)		6

CONDENSED SEGMENT STATEMENTS OF OPERATIONS (unaudited)		7

INVESTMENTS (unaudited)		14

INVESTMENT RESULTS BY ASSET CATEGORY & ANNUALIZED YIELDS (unaudited)		15

About Assurant:

Assurant is a premier provider of specialized insurance products and related services in North America and selected other international markets. The five key business segments – Assurant Employee Benefits; Assurant Health; Assurant Preneed; Assurant Solutions and Assurant Specialty Property – have partnered with clients who are leaders in their industries and have built leadership positions in a number of specialty insurance markets in the U.S. and selected international markets. The Assurant business segments provide creditor-placed homeowners insurance; manufactured housing homeowners insurance; debt protection administration; credit-related insurance; warranties and extended service contracts; individual health and small employer group health insurance; group dental insurance; group disability insurance; group life insurance; and pre-funded funeral insurance.

The company, which is traded on the New York Stock Exchange under the symbol AIZ, has over $20 billion in assets and $7 billion in annual revenue. Assurant has more than 12,000 employees and is headquartered in New York’s financial district.

Safe Harbor Statement:

Some of the statements included in this statistical supplement, particularly those anticipating future financial performance, business prospects, growth and operating strategies and similar matters, are forward-looking statements that involve a number of risks and uncertainties. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. For a discussion of the factors that could affect our actual results please refer to the risk factors identified from time to time in our SEC reports, posted on the Assurant website at www.assurant.com.

Regulation G – Non GAAP Measures

Assurant uses the following non-GAAP financial measures to analyze the company’s operating performance for the periods presented in the press release. Because Assurant’s calculation of these measures may differ from similar measures used by other companies, investors should be careful when comparing Assurant’s non-GAAP financial measures to those of other companies.

(1) Assurant uses net operating income as an important measure of the company’s operating performance. Net operating income equals net income, excluding net realized gains (losses) on investments and unusual and/or infrequent items. The company believes net operating income provides investors a valuable measure of the performance of the company’s ongoing business, because it excludes both the effect of realized gains (losses) on investments that tend to be highly variable from period to period, and those events that are unusual and/or unlikely to recur.

(2) Pro forma earnings per share has been included as a measure of operating performance. In February 2004, Assurant completed a significant capital restructuring in conjunction with its initial public offering of common stock. Pro forma earnings per share reflects earnings per share adjusted as if this capital restructuring had occurred on January 1, 2003. This restructuring included: a stock split and conversion of Class B and C shares resulting in total outstanding shares of 109,222,276; the issuance of 32,976,854 shares of Assurant common stock to Fortis Insurance N.V. in exchange for a capital contribution of $725.5 million, and the issuance of 68,976 restricted shares of Assurant common stock to certain officers and directors of the company pursuant to specific restricted stock grants. These transactions occurred subsequent to the December 31, 2003 balance sheet, but management believes that this adjusted measure provides a better indication of operating performance than the corresponding GAAP measure, earnings per share.

(3) Book value per share excluding accumulated other comprehensive income (AOCI) has been included as a measure of stockholder value. The company believes book value per share excluding AOCI provides investors a better measure of stockholder value than book value per share because it excludes the effect of unrealized gains (losses) on investments and foreign currency translation, which tend to be highly variable from period to period.

(4) Pro forma book value per share and Pro forma book value per share excluding AOCI have been included as measures of stockholder value. In February 2004, Assurant completed a significant capital restructuring in conjunction with its initial public offering of common stock. These Pro forma book value per share measures reflect book value per share adjusted as if this capital restructuring had occurred on January 1, 2003. This restructuring included: a stock split and conversion of Class B and C shares resulting in total outstanding shares of 109,222,276; the issuance of 32,976,854 shares of Assurant common stock to Fortis Insurance N.V. in exchange for a capital contribution of $725.5 million, and the issuance of 68,976 restricted shares of Assurant common stock to certain officers and directors of the company pursuant to specific restricted stock grants. These transactions occurred subsequent to the December 31, 2003 balance sheet, but management believes that these adjusted measures provide a better indication of stockholder value than the corresponding GAAP measures, book value per share and book value per share excluding AOCI.

Page 1

Assurant, Inc. and Subsidiaries
Summary Financial Highlights
(Unaudited)


	For the Three Months Ended						For the Year Ended
	December 31,						December 31,
*($ in thousands, except per share amounts)*	2005			2004			2005			2004
Net operating income (1)	$	142,442		$	86,478		$	513,289		$	344,991

Net realized (loss) gain from investments		(5,396	)		1,210			7,369			15,800

Excess of loss reinsurance program (1995-1997)		—			—			(40,263	)		—

Loss on disposal of business		—			—			—			(6,337	)

Expenses directly related to the initial and secondary public offerings		—			(1,560	)		(1,040	)		(3,894	)


Net income	$	137,046		$	86,128		$	479,355		$	350,560


Total revenues	$	1,881,577		$	1,878,096		$	7,497,675		$	7,410,714

PER SHARE AND SHARE DATA:

Basic earnings per share
Net operating income	$	1.09		$	0.62		$	3.78		$	2.49
Net income	$	1.05		$	0.62		$	3.53		$	2.53
Weighted average of common shares outstanding - - basic		131,057,816			139,968,130			135,773,551			138,358,767

Diluted earnings per share
Net operating income	$	1.07		$	0.62		$	3.75		$	2.49
Net income	$	1.03		$	0.61		$	3.50		$	2.53
Weighted average of common shares outstanding - - diluted		132,816,188			140,054,287			136,945,310			138,467,564

Pro forma earnings per share (2)
Net operating income		N/A			N/A			N/A		$	2.44
Net income		N/A			N/A			N/A		$	2.48
Pro forma common shares outstanding		N/A			N/A			N/A			141,622,001

Page 2

Assurant, Inc. and Subsidiaries
Summary Financial Highlights (continued)
(Unaudited)


	As of			As of
	December 31,			December 31,
*($ in thousands, except per share amounts)*	2005			2004			2003
Total assets	$	25,365,453		$	24,548,106		$	24,093,444

Total stockholders’ equity	$	3,699,559		$	3,635,431		$	2,632,103
Capital contribution from Fortis		—			—			725,500
Pro forma stockholders’ equity (3)		N/A			N/A		$	3,357,603

Total stockholders’ equity (excluding AOCI) (4)	$	3,480,060		$	3,297,268		$	2,313,576
Capital contribution from Fortis		—			—			725,500
Pro forma stockholders’ equity (excluding AOCI) (3)		N/A			N/A		$	3,039,076

Basic book value per share	$	28.33		$	26.01		$	24.10
Basic book value per share (excluding AOCI) (4)	$	26.65		$	23.59		$	21.18
Shares outstanding for basic book value per share calculation		130,591,834			139,766,177			109,222,276

Diluted book value per share	$	27.90		$	25.99		$	24.10
Diluted book value per share (excluding AOCI) (4)	$	26.25		$	23.57		$	21.18
Shares outstanding for diluted book value per share calculation		132,598,736			139,901,760			109,222,276

Pro forma book value per share (3)		N/A			N/A		$	23.61
Pro forma book value per share (excluding AOCI) (3)		N/A			N/A		$	21.37
Pro forma shares outstanding		N/A			N/A			142,208,676

Debt to total capital ratio (excluding AOCI) (4)		22.2	%		23.2	%		43.4	%
Pro forma debt to total capital ratio (excluding AOCI) (3)		N/A			N/A			24.7	%

Page 3

Assurant, Inc. and Subsidiaries
Consolidated Condensed Balance Sheets
(Unaudited)


	As of		As of
	December 31,		December 31,
*($ in thousands)*	2005		2004		2003
Assets
Investments and cash and cash equivalents	$	13,371,392	$	12,955,128	$	12,302,585
Reinsurance recoverables		4,447,810		4,196,810		4,409,949
Goodwill		804,864		823,054		828,523
Assets held in separate accounts		3,472,435		3,717,149		3,805,058
Other assets		3,268,952		2,855,965		2,747,329

Total assets		25,365,453		24,548,106		24,093,444


Liabilities
Policyholder liability		14,391,691		13,381,936		12,840,554
Debt		971,690		971,611		1,750,000
Mandatorily redeemable preferred securities		—		—		196,224
Mandatorily redeemable preferred stock		24,160		24,160		24,160
Liabilities related to separate accounts		3,472,435		3,717,149		3,805,058
Accounts payable and other liabilities		2,805,918		2,817,819		2,845,345

Total liabilities		21,665,894		20,912,675		21,461,341

Stockholders’ equity
Equity, excluding accumulated other comprehensive income		3,480,060		3,297,268		2,313,576
Accumulated other comprehensive income		219,499		338,163		318,527

Total stockholders’ equity		3,699,559		3,635,431		2,632,103



Total liabilities and stockholders’ equity	$	25,365,453	$	24,548,106	$	24,093,444

Page 4

Assurant, Inc. and Subsidiaries
Reconciliation of Net Operating Income to Net Income
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands, net of tax)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Assurant Solutions and Assurant Specialty Property	$	69,636		$	53,149		$	63,765		$	54,770		$	44,563		$	2,974		$	38,568		$	40,053		$	241,320		$	126,158
Assurant Health		33,297			45,718			49,367			49,673			33,744			47,900			39,935			36,708			178,055			158,287
Assurant Employee Benefits		19,329			22,846			9,812			16,379			19,967			14,967			14,026			13,250			68,366			62,210
Assurant Preneed		4,783			10,475			12,840			6,956			8,698			8,942			10,139			6,456			35,054			34,235
Corporate and other		20,701			(4,289	)		(3,314	)		(10,417	)		(19,857	)		(1,195	)		(3,818	)		(10,412	)		2,681			(35,282	)
Amortization of deferred gain on disposal of businesses		4,651			7,609			7,660			7,711			9,318			9,450			9,270			9,423			27,631			37,461
Interest expense		(9,955	)		(9,955	)		(9,954	)		(9,954	)		(9,955	)		(9,819	)		(10,292	)		(8,012	)		(39,818	)		(38,078	)

Net operating income		142,442			125,553			130,176			115,118			86,478			73,219			97,828			87,466			513,289			344,991

Adjustments:
Net realized (losses) gains on investments		(5,396	)		9,794			2,651			320			1,210			1,625			3,719			9,246			7,369			15,800
Excess of loss reinsurance program (1995-1997)		—			(35,060	)		(5,203	)		—			—			—			—			—			(40,263	)		—
Loss on disposal of business		—			—			—			—			—			—			(6,337	)		—			—			(6,337	)
Expenses directly related to the initial and secondary public offerings		—			—			—			(1,040	)		(1,560	)		—			—			(2,334	)		(1,040	)		(3,894	)

Net income	$	137,046		$	100,287		$	127,624		$	114,398		$	86,128		$	74,844		$	95,210		$	94,378		$	479,355		$	350,560

Page 5

Assurant, Inc. and Subsidiaries
Consolidated Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Revenues:
Net earned premiums and other considerations	$	1,644,477		$	1,621,186		$	1,623,239		$	1,631,894		$	1,638,612		$	1,603,548		$	1,615,473		$	1,625,238		$	6,520,796		$	6,482,871
Net investment income		170,864			175,175			177,018			164,200			163,263			160,034			157,628			153,824			687,257			634,749
Net realized (losses) gains on investments		(8,301	)		11,965			4,079			492			1,861			2,501			5,722			14,224			8,235			24,308
Loss on disposal of business		—			—			—			—			—			—			(9,232	)		—			—			(9,232	)
Amortization of deferred gain on disposal of businesses		7,155			11,706			11,784			11,863			14,334			14,539			14,262			14,497			42,508			57,632
Fees and other income		67,382			59,409			58,183			53,905			60,026			52,923			55,312			52,125			238,879			220,386

		1,881,577			1,879,441			1,874,303			1,862,354			1,878,096			1,833,545			1,839,165			1,859,908			7,497,675			7,410,714


Benefits, losses and expenses:
Policyholder benefits		869,678			970,596			924,011			943,524			950,821			976,934			943,049			968,965			3,707,809			3,839,769
Selling, underwriting, general and administrative expenses		847,172			752,156			746,879			726,793			772,092			732,250			736,238			735,856			3,073,000			2,976,436
Interest expense		15,315			15,315			15,314			15,314			15,314			15,107			15,834			12,326			61,258			58,581

		1,732,165			1,738,067			1,686,204			1,685,631			1,738,227			1,724,291			1,695,121			1,717,147			6,842,067			6,874,786

Income before income taxes		149,412			141,374			188,099			176,723			139,869			109,254			144,044			142,761			655,608			535,928
Income tax expense		12,366			41,087			60,475			62,325			53,741			34,410			48,834			48,383			176,253			185,368

Net income	$	137,046		$	100,287		$	127,624		$	114,398		$	86,128		$	74,844		$	95,210		$	94,378		$	479,355		$	350,560


Share repurchase program:
Shares repurchased		2,014,468			3,910,926			2,797,500			710,000			1,056,400			1,355,100			N/A			N/A			9,432,894			2,411,500
Average repurchase price per share	$	38.00		$	37.38		$	34.32		$	34.16		$	26.08		$	26.00			N/A			N/A		$	36.36		$	26.04
Repurchase price	$	76,551		$	146,181		$	96,006		$	24,252		$	27,552		$	35,234			N/A			N/A		$	342,990		$	62,786

AIZ Closing stock price (NYSE)	$	43.49		$	38.06		$	36.10		$	33.70		$	30.55		$	26.00		$	26.38		$	25.15		$	43.49		$	30.55

Investment yield (1)		5.54	%		5.71	%		5.63	%		5.51	%		5.55	%		5.56	%		5.57	%		5.43	%		5.54	%		5.46	%


(1)		The investment yields for the three months ended September 30, 2005 and June 30, 2005 exclude $3,156 and $9,409, respectively, of investment income realized from real estate partnerships. The investment yield for the year ended December 31, 2005 excludes $12,565 of investment income realized from real estate partnerships.

Page 6

Assurant Solutions and Assurant Specialty Property
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Revenues:
Net earned premiums and other considerations	$	713,068		$	648,011		$	636,688		$	615,247		$	612,226		$	602,720		$	610,630		$	623,065		$	2,613,014		$	2,448,641
Net investment income		51,621			52,514			52,262			48,165			47,123			48,201			44,868			44,759			204,562			184,951
Fees and other income		50,365			39,991			40,938			36,103			40,188			38,503			35,820			29,207			167,397			143,718

		815,054			740,516			729,888			699,515			699,537			689,424			691,318			697,031			2,984,973			2,777,310


Benefits, losses and expenses:
Policyholder benefits		223,627			238,148			213,678			203,265			211,552			272,088			220,215			231,576			878,718			935,431
Selling, underwriting, general and administrative expenses		484,256			422,215			420,797			414,589			423,625			413,838			414,389			406,550			1,741,857			1,658,402

		707,883			660,363			634,475			617,854			635,177			685,926			634,604			638,126			2,620,575			2,593,833


Income before income taxes		107,171			80,153			95,413			81,661			64,360			3,498			56,714			58,905			364,398			183,477
Income tax expense		37,535			27,004			31,648			26,891			19,797			524			18,146			18,852			123,078			57,319

Net operating income	$	69,636		$	53,149		$	63,765		$	54,770		$	44,563		$	2,974		$	38,568		$	40,053		$	241,320		$	126,158


Net earned premiums and other considerations by major product groupings:
Assurant Specialty Property	$	230,692		$	219,324		$	207,723		$	201,118		$	190,803		$	202,336		$	192,755		$	182,981		$	858,857		$	768,875
Assurant Solutions		482,376			428,687			428,965			414,129			421,423			400,384			417,875			440,084			1,754,157			1,679,766

Total	$	713,068		$	648,011		$	636,688		$	615,247		$	612,226		$	602,720		$	610,630		$	623,065		$	2,613,014		$	2,448,641


Gross written premiums for selected product groupings:
Domestic Credit	$	199,082		$	182,999		$	194,667		$	190,718		$	200,303		$	204,586		$	211,642		$	236,480		$	767,466		$	853,011
International Credit	$	160,858		$	166,413		$	157,449		$	162,747		$	170,491		$	155,586		$	139,978		$	128,591		$	647,467		$	594,646
Domestic extended service contracts	$	326,974		$	298,969		$	241,035		$	253,249		$	247,305		$	238,030		$	211,684		$	263,333		$	1,120,227		$	960,352
International extended service contracts	$	86,674		$	62,669		$	50,593		$	47,570		$	39,704		$	11,604		$	11,098		$	10,697		$	247,506		$	73,103
Specialty Property Solutions	$	411,212		$	378,474		$	341,298		$	299,357		$	315,886		$	335,681		$	320,717		$	303,073		$	1,430,341		$	1,275,357
Investment yield		4.75	%		5.10	%		5.28	%		4.87	%		4.79	%		4.97	%		4.73	%		4.74	%		4.88	%		4.78	%

Page 7

Assurant Health
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																For the Year Ended
	December 31,		September 30,		June 30,		March 31,		December 31,		September 30,		June 30,		March 31,		December 31,		December 31,
*($ in thousands)*	2005		2005		2005		2005		2004		2004		2004		2004		2005		2004
Revenues:
Net earned premiums and other considerations	$	531,345	$	538,800	$	544,294	$	549,526	$	557,825	$	563,165	$	559,361	$	550,947	$	2,163,965	$	2,231,298
Net investment income		16,474		17,707		17,170		17,705		17,365		16,874		16,716		16,947		69,056		67,902
Fees and other income		9,323		10,420		10,270		10,331		9,882		8,436		11,035		9,355		40,344		38,708

		557,142		566,927		571,734		577,562		585,072		588,475		587,112		577,249		2,273,365		2,337,908


Benefits, losses and expenses:
Policyholder benefits		329,793		336,362		333,101		345,368		357,751		350,188		358,729		356,115		1,344,624		1,422,783
Selling, underwriting, general and administrative expenses		176,626		161,125		163,385		156,763		176,645		165,108		167,753		165,401		657,899		674,907

		506,419		497,487		496,486		502,131		534,396		515,296		526,482		521,516		2,002,523		2,097,690


Income before income taxes		50,723		69,440		75,248		75,431		50,676		73,179		60,630		55,733		270,842		240,218
Income tax expense		17,426		23,722		25,881		25,758		16,932		25,279		20,695		19,025		92,787		81,931

Net operating income	$	33,297	$	45,718	$	49,367	$	49,673	$	33,744	$	47,900	$	39,935	$	36,708	$	178,055	$	158,287


Net earned premiums and other considerations:
Individual:
Individual medical	$	295,322	$	291,817	$	290,047	$	287,312	$	284,248	$	280,056	$	272,593	$	263,972	$	1,164,498	$	1,100,869
Short-term medical		26,664		30,257		28,115		25,876		27,452		30,754		28,722		27,655		110,912		114,583

Subtotal		321,986		322,074		318,162		313,188		311,700		310,810		301,315		291,627		1,275,410		1,215,452
Small employer group		209,359		216,726		226,132		236,338		246,125		252,355		258,046		259,320		888,555		1,015,846

Total	$	531,345	$	538,800	$	544,294	$	549,526	$	557,825	$	563,165	$	559,361	$	550,947	$	2,163,965	$	2,231,298

Page 8

Assurant Health (continued)
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Sales (Annualized issued premiums):
Individual:
Individual medical	$	71,745		$	69,343		$	68,137		$	76,389		$	74,743		$	82,546		$	89,290		$	98,215		$	285,614		$	344,794
Short-term medical		24,747			34,889			31,566			28,716			25,942			33,430			29,195			28,829			119,918			117,396

Subtotal		96,492			104,232			99,703			105,105			100,685			115,976			118,485			127,044			405,532			462,190
Small employer group		36,466			36,224			41,211			45,486			39,826			49,285			66,728			77,970			159,387			233,809


Total	$	132,958		$	140,456		$	140,914		$	150,591		$	140,511		$	165,261		$	185,213		$	205,014		$	564,919		$	695,999


Membership by product line:
Individual:
Individual medical		644			647			662			671			675			677			673			657			644			675
Short-term medical		102			122			129			116			107			130			137			129			102			107

Subtotal		746			769			791			787			782			807			810			786			746			782
Small employer group		255			267			287			308			333			348			367			375			255			333

Total		1,001			1,036			1,078			1,095			1,115			1,155			1,177			1,161			1,001			1,115


Ratios:
Loss ratio (a)		62.1	%		62.4	%		61.2	%		62.8	%		64.1	%		62.2	%		64.1	%		64.6	%		62.1	%		63.8	%
Expense ratio (b)		32.7	%		29.3	%		29.5	%		28.0	%		31.1	%		28.9	%		29.4	%		29.5	%		29.8	%		29.7	%
Combined ratio (c)		93.7	%		90.6	%		89.5	%		89.7	%		94.1	%		90.1	%		92.3	%		93.1	%		90.8	%		92.4	%

Investment yield (1)		5.57	%		5.48	%		5.23	%		5.44	%		5.48	%		5.40	%		5.33	%		5.50	%		5.61	%		5.47	%


(a)		The loss ratio is equal to policyholder benefits divided by net earned premiums and other considerations.

(b)		The expense ratio is equal to selling, underwriting and general expenses divided by net earned premiums and other considerations and fees and other income.

(c)		The combined ratio is equal to total benefits, losses and expenses divided by net earned premiums and other considerations and fees and other income.

(1)		The investment yields for the three months ended September 30, 2005 and for the year ended December 31, 2005 exclude $596 of investment income realized from a real estate partnership.

Page 9

Assurant Employee Benefits
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																For the Year Ended
	December 31,		September 30,		June 30,		March 31,		December 31,		September 30,		June 30,		March 31,		December 31,		December 31,
*($ in thousands)*	2005		2005		2005		2005		2004		2004		2004		2004		2005		2004
Revenues:
Net earned premiums and other considerations	$	308,568	$	306,928	$	316,420	$	345,922	$	343,782	$	305,827	$	309,159	$	318,044	$	1,277,838	$	1,276,812
Net investment income		38,754		41,878		38,274		37,983		39,063		37,496		37,437		35,722		156,889		149,718
Fees and other income		6,056		6,976		6,993		6,189		6,777		5,411		6,734		10,384		26,214		29,306

		353,378		355,782		361,687		390,094		389,622		348,734		353,330		364,150		1,460,941		1,455,836


Benefits, losses and expenses:
Policyholder benefits		215,538		212,022		241,537		267,738		252,984		224,083		228,842		244,326		936,835		950,235
Selling, underwriting, general and administrative expenses		108,095		108,403		105,027		97,017		106,037		101,618		102,737		99,345		418,542		409,737

		323,633		320,425		346,564		364,755		359,021		325,701		331,579		343,671		1,355,377		1,359,972


Income before income taxes		29,745		35,357		15,123		25,339		30,601		23,033		21,751		20,479		105,564		95,864
Income tax expense		10,416		12,511		5,311		8,960		10,634		8,066		7,725		7,229		37,198		33,654

Net operating income	$	19,329	$	22,846	$	9,812	$	16,379	$	19,967	$	14,967	$	14,026	$	13,250	$	68,366	$	62,210


Net earned premiums and other considerations by:
Major product grouping:
Group dental	$	121,444	$	124,780	$	128,323	$	128,242	$	130,561	$	128,232	$	130,453	$	131,267	$	502,789	$	520,513
Group disability single premiums for closed blocks		—		—		—		26,700		27,831		—		—		13,075		26,700		40,906
All other group disability		123,390		118,595		123,078		124,777		124,032		115,770		114,986		110,729		489,840		465,517
Group life		63,734		63,553		65,019		66,203		61,358		61,825		63,720		62,973		258,509		249,876

Total	$	308,568	$	306,928	$	316,420	$	345,922	$	343,782	$	305,827	$	309,159	$	318,044	$	1,277,838	$	1,276,812

Page 10

Assurant Employee Benefits (continued)
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Sales:
Group dental	$	17,316		$	21,588		$	18,187		$	41,757		$	28,063		$	27,508		$	17,558		$	45,935		$	98,848		$	119,064
Group disability		9,722			12,649			14,864			25,420			15,358			17,286			11,420			26,323			62,655			70,387
Group life		6,702			5,883			10,898			18,561			9,981			10,063			15,273			13,169			42,044			48,486

Total	$	33,740		$	40,120		$	43,949		$	85,738		$	53,402		$	54,857		$	44,251		$	85,427		$	203,547		$	237,937


Ratios:
Loss ratio (a)		69.9	%		69.1	%		76.3	%		77.4	%		73.6	%		73.3	%		74.0	%		76.8	%		73.3	%		74.4	%
Expense ratio (b)		34.4	%		34.5	%		32.5	%		27.6	%		30.2	%		32.6	%		32.5	%		30.2	%		32.1	%		31.4	%
Investment yield (1)		6.15	%		6.29	%		6.14	%		6.12	%		6.40	%		6.13	%		6.15	%		6.01	%		6.19	%		6.22	%


(a)		The loss ratio is equal to policyholder benefits divided by net earned premiums and other considerations.

(b)		The expense ratio is equal to selling, underwriting and general expenses divided by net earned premiums and other considerations and fees and other income.

(1)		The investment yields for the three months ended September 30, 2005 and for the year ended December 31, 2005 exclude $2,560 of investment income realized from a real estate partnership.

Page 11

Assurant Preneed
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Revenues:
Net earned premiums and other considerations	$	91,496		$	127,447		$	125,837		$	121,199		$	124,779		$	131,836		$	136,323		$	133,182		$	465,979		$	526,120
Net investment income		57,052			56,204			62,688			53,012			52,672			50,982			52,469			50,177			228,956			206,300
Fees and other income		587			1,922			(196	)		1,179			3,295			(20	)		1,494			2,041			3,492			6,810

		149,135			185,573			188,329			175,390			180,746			182,798			190,286			185,400			698,427			739,230


Benefits, losses and expenses:
Policyholder benefits		100,720			129,916			127,900			127,153			128,534			130,575			135,263			136,948			485,689			531,320
Selling, underwriting, general and administrative expenses		40,814			39,570			40,732			37,531			39,729			38,854			39,390			38,513			158,647			156,486

		141,534			169,486			168,632			164,684			168,263			169,429			174,653			175,461			644,336			687,806


Income before income taxes		7,601			16,087			19,697			10,706			12,483			13,369			15,633			9,939			54,091			51,424
Income tax expense		2,818			5,612			6,857			3,750			3,785			4,427			5,494			3,483			19,037			17,189

Net operating income	$	4,783		$	10,475		$	12,840		$	6,956		$	8,698		$	8,942		$	10,139		$	6,456		$	35,054		$	34,235


Net earned premiums and other considerations by channel:
AMLIC	$	56,738		$	64,210		$	64,299		$	64,589		$	61,738		$	69,362		$	70,379		$	71,668		$	249,836		$	273,147
Independent — United States		27,633			56,703			55,353			50,859			57,867			57,701			61,190			57,418			190,548			234,176
Independent — Canada		7,125			6,534			6,185			5,751			5,174			4,773			4,754			4,096			25,595			18,797

Total	$	91,496		$	127,447		$	125,837		$	121,199		$	124,779		$	131,836		$	136,323		$	133,182		$	465,979		$	526,120


Life and annuity sales by channel:
AMLIC	$	60,631		$	68,715		$	72,531		$	71,370		$	63,806		$	74,774		$	78,729		$	77,399		$	273,247		$	294,708
Independent — United States		39,335			50,614			49,499			43,552			50,937			51,544			57,273			54,869			183,000			214,623
Independent — Canada		23,236			22,457			22,478			18,097			23,278			15,998			18,671			14,919			86,268			72,866

Total	$	123,202		$	141,786		$	144,508		$	133,019		$	138,021		$	142,316		$	154,673		$	147,187		$	542,515		$	582,197


Investment yield (1)		6.59	%		6.49	%		6.18	%		6.23	%		6.35	%		6.29	%		6.47	%		6.27	%		6.43	%		6.34	%


(1)		The investment yields for the three months ended June 30, 2005 and for the year ended December 31, 2005 exclude $9,409 of investment income realized from a real estate partnership.

Page 12

Assurant Corporate and Other
Condensed Statement of Operations
(Unaudited)


	For the Three Months Ended																								For the Year Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			September 30,			June 30,			March 31,			December 31,			December 31,
*($ in thousands)*	2005			2005			2005			2005			2004			2004			2004			2004			2005			2004
Revenues:
Net earned premiums and other considerations	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Net investment income		6,963			6,872			6,624			7,335			7,040			6,481			6,138			6,219			27,794			25,878
Net realized (losses) gains on investments		(8,301	)		11,965			4,079			492			1,861			2,501			5,722			14,224			8,235			24,308
Loss on disposal of business		—			—			—			—			—			—			(9,232	)		—			—			(9,232	)
Amortization of deferred gain on disposal of businesses		7,155			11,706			11,784			11,863			14,334			14,539			14,262			14,497			42,508			57,632
Fees and other income		1,051			100			178			103			(116	)		593			229			1,138			1,432			1,844

		6,868			30,643			22,665			19,793			23,119			24,114			17,119			36,078			79,969			100,430


Benefits, losses and expenses:
Policyholder benefits		—			54,148			7,795			—			—			—			—			—			61,943			—
Selling, underwriting, general and administrative expenses		37,381			20,843			16,938			20,893			26,056			12,832			11,969			26,047			96,055			76,904
Interest expense		15,315			15,315			15,314			15,314			15,314			15,107			15,834			12,326			61,258			58,581

		52,696			90,306			40,047			36,207			41,370			27,939			27,803			38,373			219,256			135,485


Loss before income taxes		(45,828	)		(59,663	)		(17,382	)		(16,414	)		(18,251	)		(3,825	)		(10,684	)		(2,295	)		(139,287	)		(35,055	)
Income tax (benefit) expense		(55,829	)		(27,762	)		(9,222	)		(3,034	)		2,593			(3,886	)		(3,226	)		(206	)		(95,847	)		(4,725	)

Net operating income (loss)	$	10,001		$	(31,901	)	$	(8,160	)	$	(13,380	)	$	(20,844	)	$	61		$	(7,458	)	$	(2,089	)	$	(43,440	)	$	(30,330	)

Page 13

Assurant, Inc. and Subsidiaries
Investments
(Unaudited)


	As of				As of
	December 31,				December 31,
*($ in thousands)*	2005				2004
Investments by Type
Fixed maturities: available-for-sale, at fair value	$	8,961,778			$	9,009,290
Equity Securities: available-for-sale
Preferred stocks		691,523				635,671
Common stocks		1,578				2,067
Commercial mortgage loans on real estate, at amortized cost		1,212,006				1,053,872
Policy loans		61,043				64,886
Cash and short-term investments		1,283,043				1,107,175
Collateral held under securities lending		610,662				535,331
Other investments		549,759				546,836

Total	$	13,371,392			$	12,955,128


Fixed Maturity Securities by Credit Quality (Fair Value)
Aaa / Aa / A	$	6,211,058	69	%	$	6,186,640	69	%
Baa		2,122,752	24	%		2,300,421	26	%
Ba		515,740	6	%		405,324	4	%
B		101,724	1	%		100,466	1	%
Caa and lower		9,764	0	%		16,095	0	%
In or near default		740	0	%		344	0	%

Total	$	8,961,778	100	%	$	9,009,290	100	%


Fixed Maturity Securities by Issuer Type (Fair Value)
U.S government and government agencies and authorities	$	1,400,251	16	%	$	1,232,396	14	%
State, municipalities and political subdivisions		235,932	3	%		217,864	2	%
Foreign government		589,353	6	%		527,428	6	%
Public utilities		1,064,591	12	%		1,082,725	12	%
All other corporate bonds		5,671,651	63	%		5,948,877	66	%

Total	$	8,961,778	100	%	$	9,009,290	100	%

Page 14

Assurant, Inc.
Investment Results by Asset Category and Annualized Yields
(Unaudited)


	For the Three Months Ended									For the Three Months Ended
	December 31, 2005									December 31, 2004									For the Year Ended December 31, 2005									For the Year Ended December 31, 2004
				Investment			Investment			Investment			Investment						Investment			Investment						Investment			Investment
*($ in thousands)*	Yield			Income			Gain (Loss)			Yield			Income			Gain (Loss)			Yield			Income			Gain (Loss)			Yield			Income			Gain (Loss)
Fixed maturities: available-for-sale, at fair value		5.63	%	$	122,559		$	(7,049	)		5.95	%	$	125,841		$	11,381			5.82	%	$	499,950		$	(8,628	)		5.82	%	$	484,232		$	30,761
Equity Securities: available-for-sale		7.95	%		13,763			(2,066	)		6.90	%		10,838			643			6.95	%		45,621			(2,929	)		7.37	%		41,591			900
Commercial mortgage loans on real estate, at amortized cost		7.46	%		21,898			(1,142	)		7.75	%		20,284			(747	)		7.59	%		85,942			(2,714	)		7.99	%		79,334			(1,197	)
Policy loans		5.38	%		838			—			5.16	%		844			—			5.87	%		3,699			—			5.76	%		3,832			—
Cash and short-term investments		2.66	%		7,675			282			1.48	%		3,739			—			2.03	%		24,316			346			0.86	%		10,100			17
Other investments		7.39	%		10,150			1,674			5.65	%		7,860			(9,416	)		9.54	%		52,296			22,160			7.64	%		39,927			(6,173	)

Total					176,883		$	(8,301	)					169,406		$	1,861						711,824		$	8,235						659,016		$	24,308
Investment expenses					(6,019	)								(6,143	)								(24,567	)								(24,267	)

Net investment income				$	170,864								$	163,263								$	687,257								$	634,749



Gross investment gain							$	12,949								$	18,486								$	55,845								$	58,640
Gross investment loss								(20,485	)								(16,625	)								(46,845	)								(33,515	)
Write-downs on available- for-sale securities								(765	)								—									(765	)								(817	)

Net investment gain							$	(8,301	)							$	1,861								$	8,235								$	24,308

Page 15

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