Horace Mann Educators Corporation announced it expects a fourth-quarter Property & Casualty segment loss between $25M and $29M, after tax, including losses related to the severe weather across most of the country in late December. "Winter Storm Elliott, which spanned more than 30 states between December 21-25, resulted in approximately $8 million, pretax, in property losses," said President and CEO Marita Zuraitis. "In addition, the widespread ice and extremely low temperatures in the later part of the quarter were a factor in auto losses. Industry-wide, property and casualty loss trends are emerging that are higher than our previous assumptions. "Social and economic inflation continues to impact new claims, including the claims related to winter weather, as well as those from earlier periods that remain open. As a result, we will also be adding approximately $14 million, pretax, to Property & Casualty prior-year reserves and approximately $5 million to reserves for the first three quarters of 2022. In addition, we are accelerating our already aggressive plan for rate increases in both auto and property, along with implementing additional non-rate underwriting actions, so we can remain on track to our longer-term profitability targets for this business. The external events that impacted results in 2022 do not detract from our unwavering commitment to educators and to the achievement of our long-term financial objectives. Horace Mann continues to leverage its leadership position in the education market. Fourth-quarter results will reflect the ongoing value of our business diversification, along with top-line sales momentum that supports our ability to resume our trajectory to a double-digit return on equity."
Published first on TheFly
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