Segment and Other Operating Information

3 Months Ended

Mar. 31, 2020

Segment Reporting [Abstract]

Segment and Other Operating Information

SEGMENT AND OTHER OPERATING INFORMATION

The Company defines its reportable operating segments as domestic life insurance, international life insurance, annuities, and acquired businesses. These segments are organized based on product types, geographic marketing areas, and business groupings. Ozark National and NIS have been combined into the segment "Acquired Businesses" given its inter-related marketing and sales approach which consists of a coordinated sale of a non-participating whole life insurance product (Ozark National) and a mutual fund investment product (NIS). A fifth category "All Others" primarily includes investments and earnings of non-operating subsidiaries as well as other remaining investments and assets not otherwise supporting specific segment operations.

A summary of segment information as of March 31, 2020 and December 31, 2019 for the Condensed Consolidated Balance Sheet items and for the three months ended March 31, 2020 and March 31, 2019 for the Condensed Consolidated Statements of Earnings (Loss) is provided below.

Condensed Consolidated Balance Sheet Items:

	March 31, 2020
	Domestic Life Insurance		International Life Insurance	Annuities	Acquired Businesses	All Others	Totals
	(In thousands)
Deferred policy acquisition costs, sales inducements, and value of business acquired	$	140,151	217,805	533,788	141,210	—	1,032,954
Total segment assets	1,369,973		1,105,816	7,912,799	972,601	355,373	11,716,562
Future policy benefits	1,196,180		840,215	7,220,704	711,064	—	9,968,163
Other policyholder liabilities	15,873		14,229	89,572	14,905	—	134,579

	December 31, 2019
	Domestic Life Insurance		International Life Insurance	Annuities	Acquired Businesses	All Others	Totals
	(In thousands)
Deferred policy acquisition costs, sales inducements, and value of business acquired	$	127,557	209,858	486,553	142,434	—	966,402
Total segment assets	1,399,818		1,153,105	8,198,730	978,243	362,900	12,092,796
Future policy benefits (1)	1,198,103		870,461	7,366,894	706,513	—	10,141,971
Other policyholder liabilities	18,016		14,903	80,002	14,686	—	127,607

(1) Revised to correct for an adjustment related to an understatement of reserve liabilities of $15.0 million. Refer to Note 1.

Condensed Consolidated Statements of Earnings (Loss):

	Three Months Ended March 31, 2020
	Domestic Life Insurance			International  Life Insurance		Annuities		Acquired Businesses	All  Others		Totals
	(In thousands)
Premiums and contract revenues	$	11,228		22,867		4,650		20,083	—		58,828
Net investment income (loss)	(19,383		)	(9,000	)	10,632		6,301	(2,028	)	(13,478	)
Other revenues	29			54		4		2,422	1,144		3,653
Total revenues	(8,126		)	13,921		15,286		28,806	(884	)	49,003
Life and other policy benefits	5,877			3,331		8,189		16,237	—		33,634
Amortization of deferred policy acquisition costs and value of business acquired	2,573			6,052		19,021		2,391	—		30,037
Universal life and annuity contract interest	(21,693		)	(10,837	)	4,504		—	—		(28,026	)
Other operating expenses	4,295			3,096		6,867		4,069	1,495		19,822
Federal income taxes (benefit)	188			2,804		(5,319	)	1,222	(544	)	(1,649	)
Total expenses	(8,760		)	4,446		33,262		23,919	951		53,818
Segment earnings (loss)	$	634		9,475		(17,976	)	4,887	(1,835	)	(4,815	)

	Three Months Ended March 31, 2019
	Domestic Life Insurance		International  Life Insurance	Annuities	Acquired Businesses	All  Others	Totals
	(In thousands)
Premiums and contract revenues	$	10,804	26,063	4,868	13,801	—	55,536
Net investment income	23,499		14,017	103,154	3,976	6,685	151,331
Other revenues	44		21	8	1,441	4,899	6,413
Total revenues	34,347		40,101	108,030	19,218	11,584	213,280
Life and other policy benefits	3,922		2,162	11,430	10,675	—	28,189
Amortization of deferred acquisition costs and value of business acquired	3,410		7,294	19,712	1,748	—	32,164
Universal life and annuity contract interest	21,441		11,993	47,482	—	—	80,916
Other operating expenses	4,123		4,264	7,508	3,085	7,069	26,049
Federal income taxes (benefit)	324		3,208	4,883	747	259	9,421
Total expenses	33,220		28,921	91,015	16,255	7,328	176,739
Segment earnings (loss)	$	1,127	11,180	17,015	2,963	4,256	36,541

Reconciliations of segment information to the Company's Condensed Consolidated Financial Statements are provided below.

	Three Months Ended March 31,
	2020			2019
	(In thousands)
Premiums and Other Revenues:
Premiums and contract revenues	$	58,828		55,536
Net investment income (loss)	(13,478		)	151,331
Other revenues	3,653			6,413
Realized gains (losses) on investments	3,485			4,629
Total condensed consolidated premiums and other revenues	$	52,488		217,909

	Three Months Ended March 31,
	2020			2019
	(In thousands)
Federal Income Taxes:
Total segment Federal income taxes	$	(1,649	)	9,421
Taxes on realized gains (losses) on investments	732			972
Total condensed consolidated Federal income taxes	$	(917	)	10,393

	Three Months Ended March 31,
	2020			2019
	(In thousands)
Net Earnings (Loss):
Total segment earnings (loss)	$	(4,815	)	36,541
Realized gains (losses) on investments, net of taxes	2,753			3,657
Total condensed consolidated net earnings (loss)	$	(2,062	)	40,198

	March 31,		December 31,
	2020		2019
	(In thousands)
Assets:
Total segment assets	$	11,716,562	12,092,796
Other unallocated assets	567,860		460,651
Total condensed consolidated assets	$	12,284,422	$	12,553,447