Postretirement Benefit Plans

6 Months Ended

Jun. 30, 2014

Compensation And Retirement Disclosure [Abstract]

Postretirement Benefit Plans

Note C—Postretirement Benefit Plans

The following tables present a summary of post-retirement benefit costs by component.

Components of Post-Retirement Benefit Costs

	Three Months ended June 30,
	Pension Benefits						Other Benefits
	2014			2013			2014			2013
Service cost	$	3,231		$	3,727		$	(7	)	$	117
Interest cost		4,819			4,259			150			257
Expected return on assets		(4,752	)		(4,359	)		0			0
Amortization:
Prior service cost		529			567			0			0
Actuarial (gain) loss		2,047			4,061			0			75
Direct recognition of (gain) loss		0			0			(42	)		0
Net periodic benefit cost	$	5,874		$	8,255		$	101		$	449
	Six Months ended June 30,
	Pension Benefits						Other Benefits
	2014			2013			2014			2013
Service cost	$	6,463		$	7,492		$	49		$	202
Interest cost		9,638			8,523			297			517
Expected return on assets		(9,505	)		(8,715	)		0			0
Amortization:
Prior service cost		1,057			1,138			0			0
Actuarial (gain)/loss		4,092			8,124			0			75
Direct recognition of (gain) loss		0			0			(104	)		0
Net periodic benefit cost	$	11,745		$	16,562		$	242		$	794

The following chart presents assets at fair value for the defined-benefit pension plans at June 30, 2014 and the prior-year end.

Pension Assets by Component

	June 30, 2014				December 31, 2013
	Amount		%		Amount		%
Corporate debt	$	165,429		54	$	147,445		51
Other fixed maturities		280		0		267		0
Equity securities		123,293		40		115,287		38
Short-term investments		1,120		0		13,318		5
Guaranteed annuity contract		13,676		5		13,769		5
Other		3,654		1		1,667		1
Total	$	307,452		100	$	291,753		100

The liability for the funded defined-benefit pension plans was $327 million at June 30, 2014 and $322 million at December 31, 2013. No cash contributions were made to the qualified pension plans during the six months ended June 30, 2014. Torchmark expects cash contributions to not exceed $20 million during the remainder of 2014. With respect to the Company’s non-qualified supplemental retirement plan, life insurance policies on the lives of plan participants have been established with an unaffiliated carrier to fund a portion of the Company’s obligations under the plan. These policies, as well as investments deposited with an unaffiliated trustee, were previously placed in a Rabbi Trust to provide for payment of the plan obligations. At June 30, 2014, the combined value of the insurance policies and investments in the Rabbi Trust to support plan liabilities were $69 million, compared with $66 million at year-end 2013. Since this plan is non-qualified, the values of the insurance policies and investments are recorded as other assets in the Consolidated Balance Sheets and are not included in the chart of plan assets above. The liability for the non-qualified pension plan was $60 million at June 30, 2014 and $58 million at December 31, 2013.