Investor Supplement

First Quarter 2024

Caution Regarding Forward-Looking Statements

This Investor Supplement may contain or incorporate by reference information that includes or is based on forward-looking statements within the meaning of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution investors that these forward-looking statements are not guarantees of future performance, and actual results may differ materially. Such statements involve known and unknown risks, uncertainties, and other factors, including but not limited to:

•changes in the frequency and severity of insurance claims;

•claim development and the process of estimating claim reserves;

•the impacts of inflation;

•changes in the interest rate environment;

•supply chain disruption;

•product demand and pricing;

•effects of governmental and regulatory actions;

•litigation outcomes and trends;

•investment risks;

•cybersecurity risks;

•impact of catastrophes; and

•other risks and uncertainties detailed in Kemper’s Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission (“SEC”).

Non-GAAP Financial Measures

This document contains non-GAAP financial measures to analyze the Company’s operating performance for the periods presented. Because the Company’s calculation of these measures may differ from similar measures used by other companies, investors should be careful when comparing the Company’s non-GAAP financial measures to those of other companies. For detailed disclosures on non-GAAP financial measures please refer to the “Definitions of Non-GAAP Financial Measures” on pages 28-31.

Kemper Corporation

Investor Supplement

First Quarter 2024

Table of Contents

	Page
Consolidated Financial Highlights	3-4
Consolidated Statements of Income (Loss)	5
Consolidated Balance Sheets	6-7
Consolidated Statements of Cash Flows	8-9
Capital Metrics	10
Debt Outstanding, Federal Home Loan Bank Advances and Ratings	11
Adjusted Segment Summary Results:
Revenues	12
Adjusted Operating Income (Loss)	13
Adjusted Net Operating Income (Loss)	13
Catastrophe Frequency and Severity	14
Specialty Property & Casualty Insurance Segment - Results of Operations and Selected Financial Information	15-16
Personal Automobile Insurance	17
Commercial Automobile Insurance	18
Life Insurance Segment - Results of Operations and Selected Financial Information	19-20
Expenses	21
Details of Investment Performance	22
Details of Invested Assets	23-24
Investment Concentration	25
Municipal Bond Securities	26
Investments in Limited Liability Companies and Limited Partnerships	27
Definitions of Non-GAAP Financial Measures	28-31

Kemper Corporation Consolidated Financial Highlights (Dollars in Millions, Except Per Share Amounts) (Unaudited)
	Three Months Ended
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
For Period Ended
Earned Premiums	$	1,031.9		$	1,063.8		$	1,117.8		$	1,166.9		$	1,180.9
Net Investment Income	100.4			104.6			107.0			106.3			101.8
Change in Value of Alternative Energy Partnership Investments	0.4			0.6			0.8			0.8			0.7
Other Income	1.8			1.9			2.4			1.7			1.2
Change in Fair Value of Equity and Convertible Securities	3.4			(2.2)			2.8			2.4			1.7
Net Realized Investment Gains (Losses)	5.1			18.5			(31.4)			(15.3)			8.5
Investment and Other Income	111.1			123.4			81.6			95.9			113.9
Total Revenues	$	1,143.0		$	1,187.2		$	1,199.4		$	1,262.8		$	1,294.8
Net Income (Loss)	$	70.2		$	51.3		$	(146.4)		$	(97.1)		$	(80.1)
Less: Net Loss attributable to Noncontrolling Interest	(1.1)			(0.1)			(0.1)			—			—
Net Income (Loss) attributable to Kemper Corporation	$	71.3		$	51.4		$	(146.3)		$	(97.1)		$	(80.1)
Adjusted Consolidated Net Operating Income (Loss)1	$	69.7		$	50.5		$	(27.8)		$	(14.2)		$	(55.7)
Per Unrestricted Common Share Amounts:
Basic:
Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share:	$	1.11		$	0.80		$	(2.28)		$	(1.52)		$	(1.25)
Adjusted Consolidated Net Operating Income (Loss)1	$	1.08		$	0.79		$	(0.44)		$	(0.22)		$	(0.87)
Diluted:
Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share:	$	1.10		$	0.80		$	(2.28)		$	(1.52)		$	(1.25)
Adjusted Consolidated Net Operating Income (Loss)1	$	1.07		$	0.78		$	(0.44)		$	(0.22)		$	(0.87)
Dividends Paid to Shareholders Per Share	$	0.31		$	0.31		$	0.31		$	0.31		$	0.31
Return on Shareholders' Equity	11.2		%	8.4		%	(24.0)		%	(15.1)		%	(12.1)		%
Return on Tangible Shareholders' Equity1	17.2		%	12.7		%	(35.4)		%	(22.4)		%	(17.7)		%

3

Kemper Corporation Consolidated Financial Highlights (Dollars in Millions, Except Per Share Amounts) (Unaudited)
	As of
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
At Period End
Total Assets	$	12,625.9		$	12,742.7		$	12,549.3		$	13,096.3		$	13,403.7
Insurance Reserves	$	5,891.5		$	6,102.9		$	5,822.6		$	6,043.9		$	6,120.7
Debt	$	1,389.8		$	1,389.2		$	1,388.6		$	1,388.1		$	1,387.5
Kemper Corporation Shareholders’ Equity	$	2,589.8		$	2,505.2		$	2,361.3		$	2,512.2		$	2,646.9
Book Value Per Share2	$	40.24		$	39.08		$	36.85		$	39.22		$	41.37
Tangible Book Value Per Share1,2	$	26.19		$	25.39		$	24.94		$	26.66		$	27.61
Debt to Total Capitalization2	34.9		%	35.7		%	37.0		%	35.6		%	34.4		%
1Non-GAAP Financial Measure. See pages 28-31 for definition.
2See Capital Metrics on page 10 for detail calculations.

4

Kemper Corporation

Consolidated Statements of Income (Loss)

(Dollars in Millions, Except Per Share Amounts)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Revenues:
Earned Premiums	$	1,031.9	$	1,063.8	$	1,117.8	$	1,166.9	$	1,180.9
Net Investment Income	100.4		104.6		107.0		106.3		101.8
Change in Value of Alternative Energy Partnership Investments	0.4		0.6		0.8		0.8		0.7
Other Income	1.8		1.9		2.4		1.7		1.2
Change in Fair Value of Equity and Convertible Securities	3.4		(2.2)		2.8		2.4		1.7
Net Realized Investment Gains (Losses)	6.6		19.7		(30.3)		(14.4)		6.4
Impairment Losses	(1.5)		(1.2)		(1.1)		(0.9)		2.1
Total Revenues	1,143.0		1,187.2		1,199.4		1,262.8		1,294.8
Expenses:
Policyholders’ Benefits and Incurred Losses and Loss Adjustment Expenses	756.0		808.1		975.2		984.7		1,052.0
Insurance Expenses	240.7		258.0		259.0		266.1		269.3
Interest and Other Expenses	59.7		57.6		156.0		78.3		77.4
Goodwill Impairment	—		—		—		49.6		—
Total Expenses	1,056.4		1,123.7		1,390.2		1,378.7		1,398.7
Income (Loss) before Income Taxes	86.6		63.5		(190.8)		(115.9)		(103.9)
Income Tax (Expense) Benefit	(16.4)		(12.2)		44.4		18.8		23.8
Net Income (Loss)	70.2		51.3		(146.4)		(97.1)		(80.1)
Less: Net (Loss) Income attributable to Noncontrolling Interest	(1.1)		(0.1)		(0.1)		—		—
Net Income (Loss) attributable to Kemper Corporation	$	71.3	$	51.4	$	(146.3)	$	(97.1)	$	(80.1)
Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share:
Basic	$	1.11	$	0.80	$	(2.28)	$	(1.52)	$	(1.25)
Diluted	$	1.10	$	0.80	$	(2.28)	$	(1.52)	$	(1.25)
Dividends Paid to Shareholders Per Share	$	0.31	$	0.31	$	0.31	$	0.31	$	0.31
Weighted Average Unrestricted Common Shares Outstanding (in Millions)	64.255		64.088		64.057		64.009		63.947
Weighted-Average Unrestricted Shares and Equivalent Shares Outstanding Assuming Dilution (in Millions)	64.773		64.566		64.057		64.009		63.947

5

Kemper Corporation Consolidated Balance Sheets (Dollars in Millions)  (Unaudited)
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Assets:
Investments:
Fixed Maturities at Fair Value	$	6,771.6	$	6,881.9	$	6,474.5	$	6,943.8	$	7,189.4
Equity Securities at Fair Value	230.1		225.8		233.4		247.0		243.6
Equity Method Limited Liability Investments	215.2		221.7		224.1		225.1		218.7
Alternative Energy Partnerships	17.2		17.3		17.2		16.8		17.0
Short-term Investments at Cost which Approximates Fair Value	520.7		520.9		418.5		406.3		278.4
Company-Owned Life Insurance	515.7		513.5		506.9		500.5		595.3
Loans to Policyholders	280.5		281.2		281.8		281.6		283.1
Other Investments	213.6		241.9		273.1		275.6		271.8
Total Investments	8,764.6		8,904.2		8,429.5		8,896.7		9,097.3
Cash	125.9		64.1		110.0		73.6		60.6
Receivables from Policyholders	953.1		959.5		1,102.6		1,246.3		1,344.0
Other Receivables	195.4		200.5		223.4		262.0		249.4
Deferred Policy Acquisition Costs	595.3		591.6		622.2		646.2		651.5
Goodwill	1,250.7		1,250.7		1,250.7		1,250.7		1,300.3
Current Income Tax Assets	52.6		64.5		59.5		9.0		15.0
Deferred Income Tax Assets	199.1		210.4		258.5		208.0		166.0
Other Assets	479.1		492.6		488.7		503.8		519.6
Assets of Consolidated Variable Interest Entity:
Fixed Maturities at Fair Value	1.7		1.7		1.6		—		—
Cash	0.8		—		2.4		—		—
Short-term Investments at Cost which Approximates Fair Value	4.0		2.0		—		—		—
Receivables from Policyholders	2.7		0.7		0.1		—		—
Deferred Policy Acquisition Costs	0.6		0.1		—		—		—
Other Assets	0.3		0.1		0.1		—		—
Total Assets	$	12,625.9	$	12,742.7	$	12,549.3	$	13,096.3	$	13,403.7

6

Kemper Corporation Consolidated Balance Sheets (Dollars in Millions)  (Unaudited)
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Liabilities and Shareholders’ Equity:
Insurance Reserves:
Life and Health	$	3,294.3	$	3,422.4	$	3,098.1	$	3,363.8	$	3,399.6
Property and Casualty	2,597.2		2,680.5		2,724.5		2,680.1		2,721.1
Total Insurance Reserves	5,891.5		6,102.9		5,822.6		6,043.9		6,120.7
Unearned Premiums	1,274.1		1,300.8		1,485.1		1,665.2		1,778.0
Policyholder Obligations	660.9		655.7		656.3		700.2		700.6
Deferred Income Tax Liabilities	61.7		50.6		57.8		—		—
Accrued Expenses and Other Liabilities	754.8		737.7		777.6		786.7		770.0
Long-term Debt, Current, at Amortized Cost	449.7		—		—		—		—
Long-term Debt, Non-Current, at Amortized Cost	940.1		1,389.2		1,388.6		1,388.1		1,387.5
Liabilities of Consolidated Variable Interest Entity:
Insurance Reserves	0.7		—		—		—		—
Unearned Premiums	3.1		0.5		0.1		—		—
Accrued Expenses and Other Liabilities	0.6		0.3		—		—		—
Total Liabilities	10,037.2		10,237.7		10,188.1		10,584.1		10,756.8
Kemper Corporation Shareholders’ Equity:
Common Stock	6.4		6.4		6.4		6.4		6.4
Paid-in Capital	1,852.3		1,845.3		1,845.9		1,837.6		1,828.9
Retained Earnings	1,066.1		1,014.3		982.4		1,149.0		1,266.3
Accumulated Other Comprehensive Loss	(335.0)		(360.8)		(473.4)		(480.8)		(454.7)
Total Kemper Corporation Shareholders’ Equity	2,589.8		2,505.2		2,361.3		2,512.2		2,646.9
Noncontrolling Interest	(1.1)		(0.2)		(0.1)		—		—
Total Shareholders’ Equity	$	2,588.7	$	2,505.0	$	2,361.2	$	2,512.2	$	2,646.9
Total Liabilities and Shareholders’ Equity	$	12,625.9	$	12,742.7	$	12,549.3	$	13,096.3	$	13,403.7

7

Kemper Corporation Consolidated Statements of Cash Flows (Dollars in Millions)  (Unaudited)
	Three Months Ended
	Mar 31, 2024		Mar 31, 2023
Cash Flows from Operating Activities:
Net Income (Loss)	$	70.2	$	(80.1)
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities
Net Realized Investment Gains	(6.6)		(6.4)
Impairment Losses	1.5		(2.1)
Depreciation and Amortization of Property, Equipment and Software	11.4		11.9
Amortization of Intangible Assets Acquired	3.2		4.3
Change in Accumulated Undistributed Earnings of Equity Method Limited Liability Investments	6.0		0.8
Income from Change in Value of Alternative Energy Partnership Investments	(0.4)		(0.7)
Income from Change in Value of Equity and Convertible Securities	(3.4)		(1.7)
Changes in:
Receivables from Policyholders	4.4		(57.4)
Reinsurance Recoverables	1.8		4.1
Deferred Policy Acquisition Costs	(4.2)		(15.9)
Insurance Reserves	(69.0)		(21.8)
Unearned Premiums	(24.1)		73.6
Income Taxes	26.9		106.2
Other Assets and Liabilities	25.3		(9.6)
Net Cash Provided by Operating Activities	43.0		5.2
Cash Flows from Investing Activities:
Proceeds from the Sales, Calls and Maturities of Fixed Maturities	323.2		154.0
Proceeds from the Sales or Paydowns of Investments:
Equity Securities	13.4		19.5
Mortgage Loans	34.1		18.6
Other Investments	3.5		2.6
Purchases of Investments:
Fixed Maturities	(286.9)		(293.3)
Equity Securities	(3.1)		(13.2)
Real Estate Investments	(0.2)		(0.2)
Company-Owned Life Insurance	—		—
Mortgage Loans	(27.4)		(13.3)
Other Investments	(9.6)		(4.7)
Net Sales of Short-term Investments	2.4		0.7
Acquisition of Software and Long-lived Assets	(15.3)		(10.0)
Settlement Proceeds from Company-Owned Life Insurance	4.9		—
Other	0.3		1.1
Net Cash Provided by (Used in) Investing Activities	39.3		(138.2)

8

Kemper Corporation Consolidated Statements of Cash Flows (Dollars in Millions)  (Unaudited)
	Three Months Ended
	Mar 31, 2024		Mar 31, 2023
Net Cash Provided by (Used in) Investing Activities (Carryforward from page 8) )	$	39.3	$	(138.2)
Cash Flows from Financing Activities:
Proceeds from Policyholder Contract Obligations	25.5		89.3
Repayment of Policyholder Contract Obligations	(20.6)		(90.0)
Proceeds from Shares Issued under Employee Stock Purchase Plan	0.9		1.0
Dividends Paid	(19.5)		(19.4)
Other	(6.0)		0.3
Net Cash Used in Financing Activities	(19.7)		(18.8)
Net increase (decrease) in cash1	62.6		(151.8)
Cash, Beginning of Year1	64.1		212.4
Cash, End of Period1	$	126.7	$	60.6
1Includes amounts attributable to Kemper Reciprocal reported as non-controlling interest.

9

Kemper Corporation Capital Metrics (Dollars and Shares in Millions, Except Per Share Amounts) (Unaudited)
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
Book Value Per Share
Book Value Per Share	$	40.24		$	39.08		$	36.85		$	39.22		$	41.37
Tangible Book Value Per Share1	$	26.19		$	25.39		$	24.94		$	26.66		$	27.61
Debt and Total Capitalization
Debt	$	1,389.8		$	1,389.2		$	1,388.6		$	1,388.1		$	1,387.5
Kemper Corporation Shareholders’ Equity	2,589.8			2,505.2			2,361.3			2,512.2			2,646.9
Total Capitalization	$	3,979.6		$	3,894.4		$	3,749.9		$	3,900.3		$	4,034.4
Ratio of Debt to Kemper Corporation Shareholders’ Equity	53.7		%	55.5		%	58.8		%	55.3		%	52.4		%
Ratio of Debt to Total Capitalization	34.9		%	35.7		%	37.0		%	35.6		%	34.4		%
Debt	$	1,389.8		$	1,389.2		$	1,388.6		$	1,388.1		$	1,387.5
Kemper Corporation Shareholders’ Equity	$	2,589.8		$	2,505.2		$	2,361.3		$	2,512.2		$	2,646.9
Less: Accumulated Other Comprehensive Loss	(335.0)			(360.8)			(473.4)			(480.8)			(454.7)
Kemper Corporation Shareholders’ Equity Excluding Accumulated Other Comprehensive Loss	$	2,924.8		$	2,866.0		$	2,834.7		$	2,993.0		$	3,101.6
Total Capitalization Excluding Accumulated Other Comprehensive Loss	$	4,314.6		$	4,255.2		$	4,223.3		$	4,381.1		$	4,489.1
Ratio of Debt to Kemper Corporation Shareholders’ Equity Excluding Accumulated Other Comprehensive Loss	47.5		%	48.5		%	49.0		%	46.4		%	44.7		%
Ratio of Debt to Total Capitalization Excluding Accumulated Other Comprehensive Loss	32.2		%	32.6		%	32.9		%	31.7		%	30.9		%
Parent Company Liquidity2
Kemper Holding Company Cash and Investments3	$	395.6		$	464.5		$	153.9		$	220.3		$	240.6
Borrowings Available Under Credit Agreement	424.0			393.0			376.0			460.0			520.0
Parent Company Liquidity	$	819.6		$	857.5		$	529.9		$	680.3		$	760.6
Capital Returned to Shareholders
Cash Dividends Paid4	$	19.5		$	20.2		$	20.2		$	20.2		$	19.4
1Non-GAAP Financial Measure. See pages 28-31 for definition.
2Excludes borrowings available from subsidiaries
3Includes Kemper's direct non-insurance subsidiaries
4Three Months Ended

10

Kemper Corporation

Debt Outstanding, Federal Home Loan Bank Advances and Ratings

(Dollars in Millions)(Unaudited)

	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Kemper Corporation:
Senior Notes at Amortized Cost:
Current:
4.350% Senior Notes due February 15, 2025	$	449.7	$	—	$	—	$	—	$	—
Non-Current:
4.350% Senior Notes due February 15, 2025	$	—	$	449.6	$	449.6	$	449.5	$	449.4
2.400% Senior Notes due September 30, 2030	397.1		397.0		396.9		396.8		396.7
3.800% Senior Notes due 2032	396.1		396.0		395.8		395.7		395.6
5.875% Fixed-Rate Reset Junior Subordinated Debentures Due 2062 at Amortized Cost	146.9		146.6		146.3		146.1		145.8
Long-term Debt Outstanding	$	1,389.8	$	1,389.2	$	1,388.6	$	1,388.1	$	1,387.5
Federal Home Loan Bank Advances to Insurance Subsidiaries:
Reported as Policyholder Contract Liabilities:
Federal Home Loan Bank of Chicago	$	563.2	$	557.4	$	557.4	$	601.0	$	601.0
Reported as Debt Outstanding:
Federal Home Loan Bank of Dallas	$	—	$	—	$	—	$	—	$	—
Federal Home Loan Bank of Chicago	$	—	$	—	$	—	$	—	$	—
Federal Home Loan Bank of San Francisco	$	—	$	—	$	—	$	—	$	—
	A.M. Best		Moody’s		S&P		Fitch
As of Date of Financial Supplement
Kemper Debt Ratings:
Senior Unsecured Debt	bbb-		Baa3		BBB-		BBB-
Junior Unsecured Debt	bb		Ba1		BB		BB
Insurance Company Financial Strength Ratings:
Trinity Universal Insurance Company	A-		A3		A-		A-
United Insurance Company of America	A-		A3		A-		A-

11

Kemper Corporation

Segment Revenues

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Revenues:
Specialty Property & Casualty Insurance:
Earned Premiums:
Personal Automobile	$	675.3	$	699.3	$	724.0	$	766.6	$	787.9
Commercial Automobile	164.7		166.3		166.4		165.7		156.3
Total Specialty Property & Casualty Insurance Earned Premiums	840.0		865.6		890.4		932.3		944.2
Net Investment Income	41.1		42.6		42.7		44.5		38.5
Change in Value of Alternative Energy Partnership Investments	0.3		0.3		0.5		0.4		0.4
Other Income	1.1		1.3		1.6		0.7		0.9
Total Specialty Property & Casualty Insurance Revenues	882.5		909.8		935.2		977.9		984.0
Life Insurance:
Earned Premiums:
Life	80.6		67.3		84.9		84.8		82.2
Accident and Health	5.6		5.6		5.8		5.8		5.9
Property	11.1		11.1		11.4		11.6		11.2
Total Life Insurance Earned Premiums	97.3		84.0		102.1		102.2		99.3
Net Investment Income	44.3		47.1		49.4		47.1		49.8
Change in Value of Alternative Energy Partnership Investments	0.1		0.1		0.2		0.2		0.2
Other Income (Loss)	0.2		0.2		(0.1)		0.1		(0.4)
Total Life Insurance Revenues	141.9		131.4		151.6		149.6		148.9
Total Segment Revenues	1,024.4		1,041.2		1,086.8		1,127.5		1,132.9
Change in Fair Value of Equity and Convertible Securities	3.4		(2.2)		2.8		2.4		1.7
Net Realized Investment Gains (Losses)	6.6		19.7		(30.3)		(14.4)		6.4
Impairment Losses	(1.5)		(1.2)		(1.1)		(0.9)		2.1
Non-Core Operations	106.2		126.7		138.0		145.7		148.0
Other	3.9		3.0		3.2		2.5		3.7
Total Revenues	$	1,143.0	$	1,187.2	$	1,199.4	$	1,262.8	$	1,294.8

12

Kemper Corporation

Segment Adjusted Operating Results

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Segment Adjusted Operating Income (Loss):
Specialty Property & Casualty Insurance	$	86.5	$	56.6	$	(43.2)	$	(15.0)	$	(74.7)
Life Insurance	14.0		19.9		17.5		10.1		14.8
Total Segment Adjusted Operating Income (Loss)	100.5		76.5		(25.7)		(4.9)		(59.9)
Corporate and Other Adjusted Operating Loss	(15.6)		(13.7)		(13.3)		(15.3)		(12.9)
Less: Loss before Income Taxes attributable to Noncontrolling Interest	(1.4)		(0.2)		(0.1)		—		—
Adjusted Consolidated Operating Income (Loss)	86.3		63.0		(38.9)		(20.2)		(72.8)
Income (Loss) From:
Change in Fair Value of Equity and Convertible Securities	3.4		(2.2)		2.8		2.4		1.7
Net Realized Investment Gains (Losses)	6.6		19.7		(30.3)		(14.4)		6.4
Impairment Losses	(1.5)		(1.2)		(1.1)		(0.9)		2.1
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs	(12.8)		(18.3)		(43.4)		(29.5)		(29.1)
Debt Extinguishment, Pension Settlement and Other Charges	—		—		(70.2)		—		—
Goodwill Impairment Charge	—		—		—		(49.6)		—
Non-Core Operations	6.0		2.7		(9.6)		(3.7)		(12.2)
Income (Loss) before Income Taxes attributable to Kemper Corporation	$	88.0	$	63.7	$	(190.7)	$	(115.9)	$	(103.9)
Segment Adjusted Net Operating Income (Loss):
Specialty Property & Casualty Insurance	$	69.2	$	45.3	$	(33.2)	$	(10.8)	$	(58.4)
Life Insurance	11.9		15.0		14.7		8.9		13.2
Total Segment Adjusted Net Operating Income (Loss)	81.1		60.3		(18.5)		(1.9)		(45.2)
Corporate and Other Adjusted Net Operating Loss	(12.5)		(9.9)		(9.4)		(12.3)		(10.5)
Less: Net Loss attributable to Noncontrolling Interest	(1.1)		(0.1)		(0.1)		—		—
Adjusted Consolidated Net Operating Income (Loss)	69.7		50.5		(27.8)		(14.2)		(55.7)
Net Income (Loss) From:
Change in Fair Value of Equity and Convertible Securities	2.7		(1.8)		2.3		1.9		1.3
Net Realized Investment Gains (Losses)	5.2		15.6		(22.9)		(12.5)		5.1
Impairment Losses	(1.2)		(1.0)		(0.8)		(0.8)		1.7
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs	(10.1)		(14.4)		(34.3)		(23.3)		(23.0)
Debt Extinguishment, Pension Settlement and Other Charges	—		—		(55.5)		—		—
Goodwill Impairment Charge	—		—		—		(45.5)		—
Non-Core Operations	5.0		2.5		(7.3)		(2.7)		(9.5)
Net Income (Loss) attributable to Kemper Corporation	$	71.3	$	51.4	$	(146.3)	$	(97.1)	$	(80.1)

13

Kemper Corporation

Catastrophe Frequency and Severity

(Dollars in Millions)

(Unaudited)

	Three Months Ended March 31, 2024
	Specialty Property & Casualty Insurance Segment			Life Insurance Segment			Non-Core Operations			Consolidated
	Number of Events	Losses and LAE		Number of Events	Losses and LAE		Number of Events	Losses and LAE		Number of Events	Losses and LAE
Range of Losses and LAE Per Event1:
Below $5	19	$	4.1	11	$	0.2	18	$	11.7	19	$	16.0
$5 - $10	—	—		—	—		—	—		—	—
$10 - $15	—	—		—	—		—	—		—	—
$15 - $20	—	—		—	—		—	—		—	—
$20 - $25	—	—		—	—		—	—		—	—
Greater Than $25	—	—		—	—		—	—		—	—
Total	19	$	4.1	11	$	0.2	18	$	11.7	19	$	16.0
	Three Months Ended March 31, 2023
	Specialty Property & Casualty Insurance Segment			Life Insurance Segment			Non-Core Operations			Consolidated
	Number of Events	Losses and LAE		Number of Events	Losses and LAE		Number of Events	Losses and LAE		Number of Events	Losses and LAE
Range of Losses and LAE Per Event1:
Below $5	20	$	8.3	12	$	0.6	24	$	17.0	24	$	25.9
$5 - $10	—	—		—	—		—	—		—	—
$10 - $15	—	—		—	—		—	—		—	—
$15 - $20	—	—		—	—		—	—		—	—
$20 - $25	—	—		—	—		—	—		—	—
Greater Than $25	—	—		—	—		—	—		—	—
Total	20	$	8.3	12	$	0.6	24	$	17.0	24	$	25.9
1Current accident year net incurred catastrophe Losses and LAE only.

14

Kemper Corporation

Specialty Property & Casualty Insurance Segment

Results of Operations and Selected Financial Information

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
Results of Operations
Net Premiums Written	$	864.6		$	719.7		$	733.0		$	830.6		$	1,022.1
Total Specialty P&C:
Personal Automobile	$	675.3		$	699.3		$	724.0		$	766.6		$	787.9
Commercial Automobile	164.7			166.3			166.4			165.7			156.3
Earned Premium	840.0			865.6			890.4			932.3			944.2
Net Investment Income	41.1			42.6			42.7			44.5			38.5
Change in Value of Alternative Energy Partnership Investments	0.3			0.3			0.5			0.4			0.4
Other Income	1.1			1.3			1.6			0.7			0.9
Total Revenues	882.5			909.8			935.2			977.9			984.0
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE	609.0			673.1			712.1			763.9			825.4
Catastrophe Losses and LAE	4.1			2.5			6.2			17.4			8.4
Prior Years:
Non-catastrophe Losses and LAE	5.3			(0.2)			78.8			25.0			31.6
Catastrophe Losses and LAE	0.7			0.1			(1.0)			(0.9)			(0.5)
Total Incurred Losses and LAE	619.1			675.5			796.1			805.4			864.9
Insurance Expenses	176.9			177.7			182.3			187.5			193.8
Segment Adjusted Operating Income (Loss)	86.5			56.6			(43.2)			(15.0)			(74.7)
Income Tax (Expense) Benefit	(17.3)			(11.3)			10.0			4.2			16.3
Total Segment Adjusted Net Operating Income (Loss)	$	69.2		$	45.3		$	(33.2)		$	(10.8)		$	(58.4)
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio	72.5		%	77.7		%	80.0		%	81.9		%	87.5		%
Current Year Catastrophe Losses and LAE Ratio	0.5			0.3			0.7			1.9			0.9
Prior Years Non-catastrophe Losses and LAE Ratio	0.6			—			8.8			2.7			3.3
Prior Years Catastrophe Losses and LAE Ratio	0.1			—			(0.1)			(0.1)			(0.1)
Total Incurred Loss and LAE Ratio	73.7			78.0			89.4			86.4			91.6
Insurance Expense Ratio	21.1			20.5			20.5			20.1			20.5
Combined Ratio	94.8		%	98.5		%	109.9		%	106.5		%	112.1		%
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio	72.5		%	77.7		%	80.0		%	81.9		%	87.5		%
Insurance Expense Ratio	21.1			20.5			20.5			20.1			20.5
Underlying Combined Ratio	93.6		%	98.2		%	100.5		%	102.0		%	108.0		%
Non-GAAP Measure Reconciliation
Combined Ratio as Reported	94.8		%	98.5		%	109.9		%	106.5		%	112.1		%
Less:
Current Year Catastrophe Losses and LAE Ratio	0.5			0.3			0.7			1.9			0.9
Prior Years Non-catastrophe Losses and LAE Ratio	0.6			—			8.8			2.7			3.3
Prior Years Catastrophe Losses and LAE Ratio	0.1			—			(0.1)			(0.1)			(0.1)
Underlying Combined Ratio	93.6		%	98.2		%	100.5		%	102.0		%	108.0		%
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.

15

Kemper Corporation

Specialty Property & Casualty Insurance Segment

Results of Operations and Selected Financial Information (continued)

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Insurance Reserves:
Non-Standard Automobile	$	1,633.1	$	1,711.9	$	1,761.6	$	1,741.4	$	1,805.6
Commercial Automobile	618.1		596.8		570.3		530.8		491.4
Insurance Reserves	$	2,251.2	$	2,308.7	$	2,331.9	$	2,272.2	$	2,297.0
Insurance Reserves:
Loss and Allocated LAE Reserves:
Case and Allocated LAE	$	965.7	$	999.9	$	1,048.0	$	1,061.7	$	1,094.8
Incurred but Not Reported	1,114.8		1,132.8		1,107.7		1,036.7		1,027.0
Total Loss Reserves	2,080.5		2,132.7		2,155.7		2,098.4		2,121.8
Unallocated LAE Reserves	170.7		176.0		176.2		173.8		175.2
Insurance Reserves	$	2,251.2	$	2,308.7	$	2,331.9	$	2,272.2	$	2,297.0

16

Kemper Corporation

Specialty Property & Casualty Insurance Segment

Personal Automobile Insurance - Results of Operations and Selected Financial Information

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
Results of Operations
Net Premiums Written	$	672.5		$	563.8		$	583.9		$	687.4		$	842.4
Earned Premiums	$	675.3		$	699.3		$	724.0		$	766.6		$	787.9
Net Investment Income	26.9			32.3			32.5			33.8			29.9
Change in Value of Alternative Energy Partnership Investments	0.2			0.2			0.4			0.3			0.3
Other Income	1.1			1.3			1.6			0.7			0.9
Total Revenues	703.5			733.1			758.5			801.4			819.0
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE	485.7			544.2			583.5			638.7			697.6
Catastrophe Losses and LAE	3.5			1.9			5.0			15.0			7.7
Prior Years:
Non-catastrophe Losses and LAE	6.5			(2.2)			71.8			18.0			23.4
Catastrophe Losses and LAE	0.6			—			(0.9)			(0.9)			(0.5)
Total Incurred Losses and LAE	496.3			543.9			659.4			670.8			728.2
Insurance Expenses	145.6			151.4			155.3			157.1			162.0
Adjusted Operating Income (Loss)	61.6			37.8			(56.2)			(26.5)			(71.2)
Income Tax (Expense) Benefit	(12.3)			(7.5)			12.4			6.3			15.5
Total Product Line Adjusted Net Operating Income (Loss)	$	49.3		$	30.3		$	(43.8)		$	(20.2)		$	(55.7)
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio	71.9		%	77.8		%	80.6		%	83.3		%	88.5		%
Current Year Catastrophe Losses and LAE Ratio	0.5			0.3			0.7			2.0			1.0
Prior Years Non-catastrophe Losses and LAE Ratio	1.0			(0.3)			9.9			2.3			3.0
Prior Years Catastrophe Losses and LAE Ratio	0.1			—			(0.1)			(0.1)			(0.1)
Total Incurred Loss and LAE Ratio	73.5			77.8			91.1			87.5			92.4
Insurance Expense Ratio	21.6			21.7			21.5			20.5			20.6
Combined Ratio	95.1		%	99.5		%	112.6		%	108.0		%	113.0		%
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio	71.9		%	77.8		%	80.6		%	83.3		%	88.5		%
Insurance Expense Ratio	21.6			21.7			21.5			20.5			20.6
Underlying Combined Ratio	93.5		%	99.5		%	102.1		%	103.8		%	109.1		%
Non-GAAP Measure Reconciliation
Combined Ratio	95.1		%	99.5		%	112.6		%	108.0		%	113.0		%
Less:
Current Year Catastrophe Losses and LAE Ratio	0.5			0.3			0.7			2.0			1.0
Prior Years Non-catastrophe Losses and LAE Ratio	1.0			(0.3)			9.9			2.3			3.0
Prior Years Catastrophe Losses and LAE Ratio	0.1			—			(0.1)			(0.1)			(0.1)
Underlying Combined Ratio	93.5		%	99.5		%	102.1		%	103.8		%	109.1		%
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.

17

Kemper Corporation

Specialty Property & Casualty Insurance Segment

Commercial Automobile Insurance - Results of Operations and Selected Financial Information

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
Results of Operations
Net Premiums Written	$	192.1		$	155.9		$	149.1		$	143.2		$	179.7
Earned Premiums	$	164.7		$	166.3		$	166.4		$	165.7		$	156.3
Net Investment Income	14.2			10.3			10.2			10.7			8.6
Change in Value of Alternative Energy Partnership Investments	0.1			0.1			0.1			0.1			0.1
Total Revenues	179.0			176.7			176.7			176.5			165.0
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE	123.3			128.9			128.6			125.2			127.8
Catastrophe Losses and LAE	0.6			0.6			1.2			2.4			0.7
Prior Years:
Non-catastrophe Losses and LAE	(1.2)			2.0			7.0			7.0			8.2
Catastrophe Losses and LAE	0.1			0.1			(0.1)			—			—
Total Incurred Losses and LAE	122.8			131.6			136.7			134.6			136.7
Insurance Expenses	31.3			26.3			27.0			30.4			31.8
Adjusted Operating Income (Loss)	24.9			18.8			13.0			11.5			(3.5)
Income Tax (Expense) Benefit	(5.0)			(3.8)			(2.4)			(2.1)			0.8
Total Product Line Adjusted Net Operating Income (Loss)	$	19.9		$	15.0		$	10.6		$	9.4		$	(2.7)
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio	74.8		%	77.4		%	77.4		%	75.6		%	81.9		%
Current Year Catastrophe Losses and LAE Ratio	0.4			0.4			0.7			1.4			0.4
Prior Years Non-catastrophe Losses and LAE Ratio	(0.7)			1.2			4.2			4.2			5.2
Prior Years Catastrophe Losses and LAE Ratio	0.1			0.1			(0.1)			—			—
Total Incurred Loss and LAE Ratio	74.6			79.1			82.2			81.2			87.5
Insurance Expense Ratio	19.0			15.8			16.2			18.3			20.3
Combined Ratio	93.6		%	94.9		%	98.4		%	99.5		%	107.8		%
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio	74.8		%	77.4		%	77.4		%	75.6		%	81.9		%
Insurance Expense Ratio	19.0			15.8			16.2			18.3			20.3
Underlying Combined Ratio	93.8		%	93.2		%	93.6		%	93.9		%	102.2		%
Non-GAAP Measure Reconciliation
Combined Ratio	93.6		%	94.9		%	98.4		%	99.5		%	107.8		%
Less:
Current Year Catastrophe Losses and LAE Ratio	0.4			0.4			0.7			1.4			0.4
Prior Years Non-catastrophe Losses and LAE Ratio	(0.7)			1.2			4.2			4.2			5.2
Prior Years Catastrophe Losses and LAE Ratio	0.1			0.1			(0.1)			—			—
Underlying Combined Ratio	93.8		%	93.2		%	93.6		%	93.9		%	102.2		%
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.

18

Kemper Corporation

Life Insurance Segment

Results of Operations and Selected Financial Information

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Results of Operations
Earned Premiums	$	97.3	$	84.0	$	102.1	$	102.2	$	99.3
Net Investment Income	44.3		47.1		49.4		47.1		49.8
Change in Value of Alternative Energy Partnership Investments	0.1		0.1		0.2		0.2		0.2
Other Income (Loss)	0.2		0.2		(0.1)		0.1		(0.4)
Total Revenues	141.9		131.4		151.6		149.6		148.9
Policyholders’ Benefits and Incurred Losses and LAE	63.0		40.5		64.7		68.3		69.9
Insurance Expenses	64.9		71.0		69.4		71.2		64.2
Segment Adjusted Operating Income	14.0		19.9		17.5		10.1		14.8
Income Tax Expense	(2.1)		(4.9)		(2.8)		(1.2)		(1.6)
Total Segment Adjusted Net Operating Income	$	11.9	$	15.0	$	14.7	$	8.9	$	13.2

19

Kemper Corporation

Life Insurance Segment

Results of Operations and Selected Financial Information (continued)

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Insurance Reserves:
Future Policyholder Benefits	$	3,248.8	$	3,375.6	$	3,048.7	$	3,315.2	$	3,346.9
Incurred Losses and LAE Reserves:
Life	40.7		42.1		44.6		44.2		48.3
Accident and Health	4.7		4.7		4.8		4.4		4.4
Property	2.5		2.9		2.7		2.6		2.7
Total Incurred Losses and LAE Reserves	47.9		49.7		52.1		51.2		55.4
Insurance Reserves	$	3,296.7	$	3,425.3	$	3,100.8	$	3,366.4	$	3,402.3

20

Kemper Corporation

Expenses

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Insurance Expenses:
Commissions	$	139.9	$	121.2	$	130.8	$	165.3	$	166.9
General Expenses	85.3		88.2		85.9		74.5		94.2
Premium Taxes	19.1		17.7		17.8		20.5		23.6
Total Costs Incurred	244.3		227.1		234.5		260.3		284.7
Net Policy Acquisition Costs (Deferred) Amortized	(4.1)		30.4		24.0		5.3		(15.9)
Amortization of Valuation of Business Acquired ("VOBA")	0.5		0.5		0.5		0.5		0.5
Insurance Expenses	$	240.7	$	258.0	$	259.0	$	266.1	$	269.3
Interest and Other Expenses:
Interest Expense	$	14.0	$	13.9	$	14.1	$	14.0	$	14.1
Other Expenses:
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs	12.8		18.4		43.3		29.5		29.1
Pension Settlement Expense	—		—		70.2		—		—
Other	32.9		25.3		28.4		34.8		34.2
Other Expenses	45.7		43.7		141.9		64.3		63.3
Interest and Other Expenses	59.7		57.6		156.0		78.3		77.4
Goodwill Impairment	—		—		—		49.6		—
Total Expenses	$	300.4	$	315.6	$	415.0	$	394.0	$	346.7

21

Kemper Corporation

Details of Investment Performance

(Dollars in Millions)

(Unaudited)

	Three Months Ended
	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Net Investment Income
Interest on Fixed Income Securities1,2	$	79.8	$	81.0	$	81.2	$	79.6	$	81.5
Dividends on Equity Securities Excluding Alternative Investments	2.8		1.0		1.2		1.2		1.0
Alternative Investments:
Equity Method Limited Liability Investments	(2.1)		2.3		4.3		2.8		1.1
Limited Liability Investments Included in Equity Securities	3.4		4.7		5.4		6.3		2.6
Total Alternative Investments	1.3		7.0		9.7		9.1		3.7
Short-term Investments	7.3		6.1		6.0		3.6		2.3
Loans to Policyholders	5.2		5.3		5.1		5.1		5.4
Real Estate	2.3		2.3		2.3		1.9		2.4
Company-Owned Life Insurance	7.1		6.6		6.4		7.4		8.8
Other	2.5		2.8		1.8		5.3		3.0
Total Investment Income	108.3		112.1		113.7		113.2		108.1
Investment Expenses:
Real Estate	2.2		2.8		1.7		2.2		2.1
Other Investment Expenses1,2	5.7		4.7		5.0		4.7		4.2
Total Investment Expenses	7.9		7.5		6.7		6.9		6.3
Net Investment Income	$	100.4	$	104.6	$	107.0	$	106.3	$	101.8
Net Realized Investment Gains (Losses)
Fixed Maturities:
Gains on Sales	$	12.8	$	3.6	$	0.8	$	0.4	$	1.1
Losses on Sales	(2.3)		(0.4)		(1.2)		(6.0)		(3.3)
(Losses) Gains on Hedging Activity	(7.9)		17.8		(29.4)		(8.7)		8.4
Equity Securities:
Gains on Sales	4.1		—		0.5		0.1		—
Losses on Sales	(0.1)		(1.3)		(1.1)		(0.1)		—
Other Investments:
Gains on Sales	—		—		—		—		0.2
Losses on Sales	—		—		0.1		(0.1)		—
Net Realized Investment Gains (Losses)	$	6.6	$	19.7	$	(30.3)	$	(14.4)	$	6.4
Net Impairment Losses Recognized in Earnings
Fixed Maturities	$	(1.0)	$	(0.7)	$	(2.0)	$	—	$	2.1
Equity Securities	(0.4)		(0.5)		—		—		—
Other	(0.1)		—		—		—		—
Net Impairment Losses Recognized in Earnings	$	(1.5)	$	(1.2)	$	(2.0)	$	—	$	2.1
1In the first quarter of 2024, the Company changed its presentation of the details of investment performance to report interest expense incurred on Federal Home Loan Bank ("FHLB") borrowings as an offset to interest on fixed income securities since FHLB borrowings are used for spread lending purposes. The interest expense incurred on FHLB borrowings was previously reported within Other Investment Expenses. The prior period amounts presented above have been updated to reflect this change in presentation.
2Reduced by interest expense incurred on FHLB borrowings used for spread lending purposes of $5.2 million, $5.2 million, $5.3 million, $7.5 million, $4.7 million, for the three months ended March 31, 2024, December 31, 2023, September 30, 2023, June 30, 2023 and March 31, 2023, respectively.

22

Kemper Corporation

Details of Invested Assets

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024				Dec 31, 2023				Dec 31, 2022
	Carrying Value		Percent of Total1		Carrying Value		Percent of Total1		Carrying Value		Percent of Total1
Fixed Maturities Reported at Fair Value:
U.S. Government and Government Agencies and Authorities	$	488.4	5.6	%	$	511.5	5.7	%	$	528.0	6.0	%
States and Political Subdivisions	1,355.9		15.4		1,401.9		15.7		1,568.9		17.8
Foreign Governments	4.6		0.1		3.8		—		4.1		—
Corporate Securities:
Bonds and Notes	3,635.6		41.4		3,690.8		41.4		3,539.4		40.4
Redeemable Preferred Stocks	8.0		0.1		8.3		0.1		8.0		0.1
Collateralized Loan Obligations	938.2		10.7		949.8		10.7		953.9		10.9
Other Mortgage- and Asset-backed	340.9		3.9		315.8		3.5		292.5		3.3
Total Fixed Maturities Reported at Fair Value	6,771.6		77.2		6,881.9		77.1		6,894.8		78.5
Equity Securities Reported at Fair Value:
Preferred Stocks	25.9		0.3		25.5		0.3		39.8		0.5
Common Stocks	1.4		—		1.2		—		2.1		—
Other Equity Interests:
Exchange Traded Funds	8.7		0.1		7.7		0.1		12.2		0.1
Limited Liability Companies and Limited Partnerships	194.1		2.2		191.4		2.1		189.1		2.2
Total Equity Securities Reported at Fair Value	230.1		2.6		225.8		2.5		243.2		2.8
Equity Method Limited Liability Investments	215.2		2.5		221.7		2.5		217.0		2.5
Alternative Energy Partnership Investments	17.2		0.2		17.3		0.2		16.3		0.2
Short-term Investments at Cost which Approximates Fair Value	520.7		5.9		520.9		5.9		278.4		3.2
Company Owned Life Insurance	515.7		5.9		513.5		5.8		586.5		6.7
Loans to Policyholders	280.5		3.2		281.2		3.2		283.4		3.2
Other Investments:
Equity Securities Reported at Modified Cost	24.7		0.3		32.6		0.4		38.4		0.4
Convertible Securities at Fair Value	—		—		—		—		43.3		0.5
Real Estate at Depreciated Cost	93.9		1.1		94.7		1.1		93.6		1.1
Mortgage Loans	93.1		1.1		99.8		1.1		91.1		1.0
Other	1.9		—		14.8		0.2		3.5		—
Total Other Investments	213.6		2.5		241.9		2.8		269.9		3.0
Total Investments	$	8,764.6	100.0	%	$	8,904.2	100.0	%	$	8,789.5	100.0	%

23

Kemper Corporation

Details of Invested Assets (continued)

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024				Dec 31, 2023				Dec 31, 2022
	Carrying Value		Percent of Total1		Carrying Value		Percent of Total1		Carrying Value		Percent of Total1
S&P Equivalent Rating for Fixed Maturities
AAA, AA, A	$	4,884.1	72.1	%	$	4,962.0	72.1	%	$	4,896.4	71.0	%
BBB	1,604.4		23.7		1,657.3		24.1		1,687.4		24.5
BB, B	225.5		3.3		204.4		3.0		239.7		3.5
CCC or Lower	57.6		0.9		58.2		0.8		71.3		1.0
Total Investments in Fixed Maturities	$	6,771.6	100.0	%	$	6,881.9	100.0	%	$	6,894.8	100.0	%
Duration (in Years)
Total Investments in Fixed Maturities	7.9				8.1				8.2
1Sum of percentages for individual lines may not equal subtotals and grand total due to rounding.

24

Kemper Corporation

Investment Concentration

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024				Dec 31, 2023				Dec 31, 2022
Fair Value of Non-governmental Fixed Maturities by Industry	Amount		Percent of Total Investments		Amount		Percent of Total Investments		Amount		Percent of Total Investments
Finance, Insurance and Real Estate	$	2,084.8	23.8	%	$	2,070.5	23.3	%	$	2,007.5	22.8	%
Manufacturing	1,064.8		12.1		1,077.6		12.1		1,085.9		12.4
Transportation, Communication and Utilities	816.5		9.3		807.3		9.1		733.7		8.3
Services	620.0		7.1		639.4		7.2		602.4		6.9
Mining	165.0		1.9		174.3		2.0		173.3		2.0
Retail Trade	131.3		1.5		156.0		1.8		165.1		1.9
Construction	6.2		0.1		4.4		—		11.7		0.1
Other	34.1		0.4		35.2		0.4		14.2		0.2
Total Fair Value of Non-governmental Fixed Maturities	$	4,922.7	56.2	%	$	4,964.7	55.9	%	$	4,793.8	54.6	%

	Mar 31, 2024
Ten Largest Investment Exposures1	Fair Value		Percent of Total Investments
Fixed Maturities:
States including their Political Subdivisions:
California	$	133.5	1.5	%
Texas	113.3		1.3
Michigan	78.9		0.9
New York	76.7		0.9
Georgia	72.4		0.8
Louisiana	60.0		0.7
Pennsylvania	57.5		0.7
Florida	55.2		0.6
Colorado	48.2		0.5
Missouri	39.4		0.4
Total	$	735.1	8.3	%
1Excluding Investments in U.S. Government and Government Agencies and Authorities at March 31, 2024.

25

Kemper Corporation

Municipal Bond Securities

(Dollars in Millions)

(Unaudited)

	Mar 31, 2024
	State General Obligation		Political Subdivision General Obligation		Revenue		Total Fair Value		Percent of Total Muni Bond1		Percent of Total Investments1
California	$	8.6	$	124.9	$	—	$	133.5	9.8	%	1.5	%
Texas	10.3		99.6		3.4		113.3		8.4		1.3
Michigan	—		68.9		10.0		78.9		5.8		0.9
New York	12.3		64.4		—		76.7		5.7		0.9
Georgia	3.5		64.5		4.4		72.4		5.3		0.8
Louisiana	4.3		24.4		31.3		60.0		4.4		0.7
Pennsylvania	3.0		54.5		—		57.5		4.2		0.7
Florida	—		55.2		—		55.2		4.1		0.6
Colorado	—		48.2		—		48.2		3.6		0.5
Missouri	1.1		38.3		—		39.4		2.9		0.4
Washington	1.3		28.0		5.3		34.6		2.6		0.4
Virginia	—		27.1		6.2		33.3		2.5		0.4
New Mexico	—		33.0		—		33.0		2.4		0.4
Massachusetts	—		27.0		5.2		32.2		2.4		0.4
Oregon	2.4		17.9		11.4		31.7		2.3		0.4
Illinois	0.6		30.5		—		31.1		2.3		0.4
Minnesota	1.1		27.5		—		28.6		2.1		0.3
Maryland	—		28.3		—		28.3		2.1		0.3
Tennessee	3.3		19.7		—		23.0		1.7		0.3
Oklahoma	—		22.9		—		22.9		1.7		0.3
Ohio	—		21.6		—		21.6		1.6		0.2
Indiana	—		20.1		—		20.1		1.5		0.2
Rhode Island	1.6		18.3		—		19.9		1.5		0.2
Connecticut	—		16.4		2.6		19.0		1.4		0.2
North Carolina	1.7		17.2		—		18.9		1.4		0.2
Mississippi	—		10.6		7.6		18.2		1.3		0.2
District of Columbia	—		15.4		2.8		18.2		1.3		0.2
New Hampshire	0.4		17.8		—		18.2		1.3		0.2
Nebraska	5.7		9.4		—		15.1		1.1		0.2
Arizona	—		14.5		—		14.5		1.1		0.2
South Carolina	—		13.8		—		13.8		1.0		0.2
Kentucky	—		13.6		—		13.6		1.0		0.2
Utah	—		13.3		—		13.3		1.0		0.2
North Dakota	—		12.9		—		12.9		1.0		0.1
Alabama	—		12.6		—		12.6		0.9		0.1
Iowa	—		11.7		—		11.7		0.9		0.1
Hawaii	3.4		2.9		2.9		9.2		0.7		0.1
Maine	—		8.4		—		8.4		0.6		0.1
South Dakota	—		8.4		—		8.4		0.6		0.1
All Other States	2.5		29.6		2.4		34.5		2.5		0.4
Total	$	67.1	$	1,193.3	$	95.5	$	1,355.9	100.0	%	15.5	%
1Sum of percentages for individual lines may not equal total due to rounding.

26

Kemper Corporation

Investments in Limited Liability

Companies and Limited Partnerships

(Dollars in Millions)

(Unaudited)

	Unfunded Commitment		Reported Value
Asset Class	Mar 31, 2024		Mar 31, 2024		Dec 31, 2023
Reported as Equity Method Limited Liability Investments:
Mezzanine Debt	$	42.6	$	123.2	$	125.4
Real Estate	—		42.0		41.9
Senior Debt	39.5		19.2		19.0
Leveraged Buyout	0.6		8.5		8.6
Distressed Debt	—		6.1		7.9
Secondary Transactions	1.6		6.8		7.9
Growth Equity	—		0.8		1.2
Hedge Fund	—		0.1		0.1
Other	0.2		8.5		9.7
Total Equity Method Limited Liability Investments	84.5		215.2		221.7
Alternative Energy Partnership Investments	—		17.2		17.3
Reported as Other Equity Interests at Fair Value:
Mezzanine Debt	66.3		127.7		124.0
Senior Debt	10.8		24.7		24.8
Leveraged Buyout	9.5		19.7		19.0
Distressed Debt	13.0		12.9		12.4
Growth Equity	6.5		6.3		6.4
Secondary Transactions	3.1		2.7		2.8
Hedge Funds	—		—		1.9
Real Estate	0.2		0.1		0.1
Other	—		—		—
Total Reported as Other Equity Interests at Fair Value	109.4		194.1		191.4
Reported as Other Equity Interests at Modified Cost:
Other	—		4.6		4.8
Total Reported as Other Equity Interests at Modified Cost	—		4.6		4.8
Total Investments in Limited Liability Companies and Limited Partnerships	$	193.9	$	431.1	$	435.2

27

Kemper Corporation

Definitions of Non-GAAP Financial Measures

The Company believes that investors’ understanding of Kemper’s performance is enhanced by the disclosure of the following non-GAAP financial measures. The methods for calculating these measures may differ from those used by other companies and therefore comparability may be limited.

Adjusted Consolidated Net Operating Income (Loss) is an after-tax, non-GAAP financial measure and is computed by excluding from Net Income (Loss) attributable to Kemper Corporation the after-tax impact of:

(i) Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment Losses;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension Settlement and Other Charges;

(vi) Goodwill Impairment Charges;

(vii) Non-Core Operations; and

(viii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations;

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Income (Loss) attributable to Kemper Corporation. There were no applicable significant non-recurring items that the Company excluded from the calculation of Adjusted Consolidated Net Operating Income (Loss) for the three months ended March 31, 2024 or 2023.

The Company believes that Adjusted Consolidated Net Operating Income (Loss) provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains (Losses) and Impairment Losses related to investments included in the Company’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of the Company’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of acquisitions and business decisions which are unrelated to the insurance underwriting process. Debt Extinguishment, Pension Settlement and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by the Company’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; (ii) settlement of pension plan obligations which are business decisions made by the Company, the timing of which is unrelated to the underwriting process; and (iii) other charges that are non-standard, not part of the ordinary course of business, and unrelated to the insurance underwriting process. Goodwill Impairment Charges are excluded because they are infrequent and non-recurring charges. Non-Core Operations includes the results of our Preferred Insurance business which we expect to fully exit. These results are excluded because they are irrelevant to our ongoing operations and do not qualify for Discontinued Operations under Generally Accepted Accounting Principles ("GAAP"). Significant non-recurring items are excluded because, by their nature, they are not indicative of the Company’s business or economic trends. The preceding non-GAAP financial measures should not be considered a substitute for the comparable GAAP financial measures, as they do not fully recognize the profitability of the Company’s businesses.

28

Kemper Corporation

Definitions of Non-GAAP Financial Measures (continued)

A reconciliation of Net Income (Loss) attributable to Kemper Corporation to Adjusted Consolidated Net Operating Income (Loss) is presented below:

	Three Months Ended
Dollars in Millions (Unaudited)	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Net Income (Loss) attributable to Kemper Corporation	$	71.3	$	51.4	$	(146.3)	$	(97.1)	$	(80.1)
Less Net Income (Loss) From:
Change in Fair Value of Equity and Convertible Securities	2.7		(1.8)		2.3		1.9		1.3
Net Realized Investment Gains (Losses)	5.2		15.6		(22.9)		(12.5)		5.1
Impairment Losses	(1.2)		(1.0)		(0.8)		(0.8)		1.7
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs	(10.1)		(14.4)		(34.3)		(23.3)		(23.0)
Debt Extinguishment, Pension Settlement and Other Charges	—		—		(55.5)		—		—
Goodwill Impairment Charge	—		—		—		(45.5)		—
Non-Core Operations	5.0		2.5		(7.3)		(2.7)		(9.5)
Adjusted Consolidated Net Operating Income (Loss)	$	69.7	$	50.5	$	(27.8)	$	(14.2)	$	(55.7)

Adjusted Consolidated Net Operating Income (Loss) per Unrestricted Share is a non-GAAP financial measure. It is computed by dividing Adjusted Consolidated Net Operating Income (Loss) by the weighted average unrestricted shares outstanding. The most directly comparable GAAP financial measure is Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share ‐ basic. A reconciliation of Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share- basic to Adjusted Consolidated Net Operating Income (Loss) per Unrestricted Share-basic is presented below:

	Three Months Ended
Dollars in Millions (Unaudited)	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Net Income (Loss) attributable to Kemper Corporation per Unrestricted Share	$	1.11	$	0.80	$	(2.28)	$	(1.52)	$	(1.25)
Less Net Income (Loss) per Unrestricted Share From:
Change in Fair Value of Equity and Convertible Securities	0.04		(0.03)		0.04		0.03		0.02
Net Realized Investment Gains (Losses)	0.09		0.24		(0.35)		(0.20)		0.08
Impairment Losses	(0.02)		(0.01)		(0.01)		(0.02)		0.03
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs	(0.16)		(0.23)		(0.54)		(0.36)		(0.36)
Debt Extinguishment, Pension Settlement and Other Charges	—		—		(0.87)		—		—
Goodwill Impairment Charge	—		—		—		(0.71)		—
Non-Core Operations	0.08		0.04		(0.11)		(0.04)		(0.15)
Adjusted Consolidated Net Operating Income (Loss) per Unrestricted Share	$	1.08	$	0.79	$	(0.44)	$	(0.22)	$	(0.87)

29

Kemper Corporation

Definitions of Non-GAAP Financial Measures (continued)

Return on Tangible Shareholders' Equity is a calculation that uses a non-GAAP financial measure. It is calculated by dividing the period’s net income attributable to Kemper Corporation by the average shareholders’ equity excluding net unrealized gains and losses on fixed maturities, the change in discount rate on future life policyholder benefits and goodwill. Return on Shareholders' Equity is the most directly comparable GAAP measure. We use this non-GAAP measure to identify and analyze the change in performance attributable to management efforts between periods. The Company believes this non-GAAP financial measure is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period and are generally driven by economic developments, primarily capital market conditions, the magnitude and timing of which are not influenced by management. The Company believes it enhances understanding and comparability of performance by highlighting underlying business activity and profitability drivers.

A reconciliation of Return on Shareholders’ Equity to Return on Tangible Shareholders' Equity is presented below:

	Three Months Ended
Dollars in Millions (Unaudited)	Mar 31, 2024			Dec 31, 2023			Sep 30, 2023			Jun 30, 2023			Mar 31, 2023
Numerator:
Annualized Net Income (Loss) attributable to Kemper Corporation	$	285.2		$	205.6		$	(585.2)		$	(388.4)		$	(320.4)
Denominator:
Average Shareholders' Equity1	$	2,547.5		$	2,433.3		$	2,436.8		$	2,579.6		$	2,658.8
Less: Average Net Unrealized Gains and Losses on Fixed Maturities	576.1			716.9			770.3			607.3			645.5
Less: Average Change in Discount Rate on Future Life Policyholder Benefits	(216.3)			(286.7)			(303.6)			(174.3)			(197.7)
Less: Average Goodwill	(1,250.7)			(1,250.7)			(1,250.7)			(1,275.5)			(1,300.3)
Average Tangible Shareholders' Equity1	$	1,656.6		$	1,612.8		$	1,652.8		$	1,737.1		$	1,806.3
Return on Shareholders' Equity:
Return on Shareholders' Equity	11.2		%	8.4		%	(24.0)		%	(15.1)		%	(12.1)		%
Return on Tangible Shareholders' Equity	17.2		%	12.7		%	(35.4)		%	(22.4)		%	(17.7)		%
1Average shareholders' equity and average tangible shareholders’ equity for the three months ended is the simple average of the beginning and ending balances for the period. Average shareholders’ equity and average tangible shareholders’ equity on a year-to-date basis is the (a) the sum of the balance at the beginning of the year and the ending balance for each quarter within that year divided by (b) the number of quarters in the period presented plus one.

Underlying Combined Ratio is a non-GAAP financial measure. It is computed by adding the Current Year Non-catastrophe Losses and LAE Ratio with the Insurance Expense Ratio. The most directly comparable GAAP financial measure is the Combined Ratio, which is computed by adding Total Incurred Losses and LAE Ratio, including the impact of catastrophe losses and loss and LAE reserve development from prior years, with the Insurance Expense Ratio.

The Company believes Underlying Losses and LAE and the Underlying Combined Ratio are useful to investors and uses these financial measures to reveal the trends in the Company’s Property & Casualty Insurance segment that may be obscured by catastrophe losses and prior-year reserve development. These catastrophe losses may cause the Company’s loss trends to vary significantly between periods as a result of their incidence of occurrence and magnitude and can have a significant impact on incurred losses and LAE and the Combined Ratio. Prior-year reserve developments are caused by unexpected loss development on historical reserves. Because reserve development relates to the re-estimation of losses from earlier periods, it has no bearing on the performance of the Company’s insurance products in the current period. The Company believes it is useful for investors to evaluate these components separately and in the aggregate when reviewing the Company’s underwriting performance.

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Kemper Corporation

Definitions of Non-GAAP Financial Measures (continued)

Tangible Book Value Per Share is a calculation that uses a non-GAAP financial measure. It is calculated by dividing shareholders’ equity after excluding the after-tax impact of net unrealized gains and losses on fixed income securities, the change in discount rate on future life policyholder benefits and goodwill by total Common Shares Issued and Outstanding. Book value per share is the most directly comparable GAAP financial measure. The Company uses the trends in book value per share excluding the after-tax impact of net unrealized gains and losses on fixed income securities, the change in discount rate on future life policyholder benefits and goodwill in conjunction with book value per share to identify and analyze the change in net worth excluding goodwill attributable to management efforts between periods. The Company believes the non-GAAP financial measure is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period and are generally driven by economic developments, primarily capital market conditions, the magnitude and timing of which are not influenced by management. The Company believes it enhances understanding and comparability of performance by highlighting underlying business activity and profitability drivers.

A reconciliation of Book Value Per Share to Tangible Book Value Per Share is presented below:

	As of
Dollars and Shares in Millions Except Per Share Amounts (Unaudited)	Mar 31, 2024		Dec 31, 2023		Sep 30, 2023		Jun 30, 2023		Mar 31, 2023
Numerator:
Kemper Corporation Shareholders’ Equity	$	2,589.8	$	2,505.2	$	2,361.3	$	2,512.2	$	2,646.9
Less: Net Unrealized Gains and Losses on Fixed Maturities	618.4		533.8		900.1		640.5		574.2
Less: Change in Discount Rate on Future Life Policyholder Benefits	(272.1)		(160.6)		(412.8)		(194.4)		(154.2)
Less: Goodwill	(1,250.7)		(1,250.7)		(1,250.7)		(1,250.7)		(1,300.3)
Tangible Shareholders' Equity	$	1,685.4	$	1,627.7	$	1,597.9	$	1,707.6	$	1,766.6
Denominator:
Common Shares Issued and Outstanding	64.358		64.112		64.081		64.054		63.982
Book Value Per Share:
Book Value Per Share	$	40.24	$	39.08	$	36.85	$	39.22	$	41.37
Less: Net Unrealized Gains and Losses on Fixed Maturities	9.61		8.33		14.05		10.00		8.97
Less: Change in Discount Rate on Future Life Policyholder Benefits	(4.23)		(2.51)		(6.44)		(3.03)		(2.41)
Less: Goodwill	(19.43)		(19.51)		(19.52)		(19.53)		(20.32)
Tangible Book Value Per Share	$	26.19	$	25.39	$	24.94	$	26.66	$	27.61

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