Basis of Presentation and Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Deferred policy acquisition costs asset by segment

The Company's deferred policy acquisition costs (DAC) by reporting segment were as follows:

($ in millions)	December 31,
	2021		2020
Property & Casualty	$	24.4	$	26.1
Supplemental	4.2		4.3
Retirement	153.8		137.7
Life	65.6		61.7
Total	$	248.0	$	229.8

Adjustment to amortization expenses

The Company recognized the following adjustments to DAC amortization expense as a result of evaluating actual experience and prospective assumptions (i.e., the impact of unlocking):

($ in millions)	Year Ended December 31,
	2021		2020		2019
(Decrease) increase to DAC amortization expense:
Retirement	$	(1.3)	$	(1.8)	$	3.5
Life	(0.2)		(0.3)		(0.3)
Total	$	(1.5)	$	(2.1)	$	3.2

Property and equipment

The following amounts are included in Other assets in the Consolidated Balance Sheets:

($ in millions)	December 31,
	2021		2020
Property and equipment	$	136.4	$	131.3
Less: accumulated depreciation	70.4		66.6
Total	$	66.0	$	64.7

Investment contract and life policy reserves

This table summarizes the Company's investment contract and policy reserves.

($ in millions)	December 31,
	2021		2020
Investment contract reserves	$	4,941.3	$	4,847.6
Policy reserves	1,636.5		1,597.7
Total	$	6,577.8	$	6,445.3

Summary of guaranteed minimum death benefit

The Company regularly monitors the GMDB reserve considering fluctuations in financial markets. The Company has relatively low exposure to GMDB risk as shown below.

($ in millions)	December 31,
	2021			2020
GMDB reserve	$	0.1		$	0.1
Aggregate in-the-money death benefits under the GMDB provision	22.3			26.7
Variable annuity contract value distribution based on GMDB feature:
No guarantee	24		%	26		%
Return of premium guarantee	71		%	69		%
Guarantee of premium roll-up at an annual rate of 3% or 5%	5		%	5		%
Total	100		%	100		%

Schedule of FHLB funding agreements

As of December 31, 2021, scheduled maturity dates for outstanding FHLB funding agreements were as follows:

($ in millions)
	Amount	Interest Rate	Maturity Date
	$10.0	0.000%	May 16, 2022
	60.0	0.489%	January 13, 2023
	25.0	0.427%	February 10, 2023
	20.0	0.446%	November 15, 2023
	100.0	0.249%	December 15, 2023
	50.0	0.449%	January 12, 2024
	25.0	0.374%	April 3, 2024
	10.0	0.393%	May 22, 2024
	50.0	0.393%	May 22, 2024
	10.0	0.530%	February 14, 2025
	10.0	0.448%	February 28, 2025
	50.0	0.448%	February 28, 2025
	12.5	0.670%	June 26, 2025
	125.0	0.570%	September 11, 2025
	200.0	0.225%	January 16, 2026
	25.0	0.298%	September 9, 2026
Total	$782.5

Stock options fair value pricing model weighted-average assumptions

The fair value of stock options granted was estimated on the respective dates of grant using the Black-Scholes option pricing model with the weighted average assumptions shown in the following table.

	Year Ended December 31,
	2021			2020			2019
Number of stock options granted	183,272			234,248			282,040
Weighted average grant date fair value of stock options granted	$	7.73		$	6.02		$	6.26
Weighted average assumptions:
Risk-free interest rate	0.8		%	0.8		%	2.5		%
Expected dividend yield	3.0		%	2.7		%	2.9		%
Expected life, in years	5.1			5.1			5.0
Expected volatility (based on historical volatility)	30.1		%	22.8		%	21.9		%

Computations of net income per share on both basic and diluted bases, including reconciliations of the numerators and denominators

The computations of net income per share on both basic and diluted bases, including reconciliations of the numerators and denominators, were as follows:

($ in millions)	Year Ended December 31,
	2021		2020		2019
Basic:
Net income for the period	$	142.8	$	133.3	$	184.4
Weighted average number of common shares during the period (in millions)	42.0		41.9		41.7
Net income per share - basic	$	3.40	$	3.18	$	4.42
Diluted:
Net income for the period	$	142.8	$	133.3	$	184.4
Weighted average number of common shares during the period (in millions)	42.0		41.9		41.7
Weighted average number of common equivalent shares to reflect the dilutive effect of common stock equivalent securities (in millions):
Stock options	—		—		0.1
CSUs related to deferred compensation for employees	—		—		—
RSUs related to incentive compensation	0.2		0.1		0.1
Total common and common equivalent shares adjusted to calculate diluted earnings per share (in millions)	42.2		42.0		41.9
Net income per share - diluted	$	3.39	$	3.17	$	4.40