NU Online News Service, Jan. 28, 10:34 a.m. – The Hartford Financial Services Group Inc., Hartford, is reporting $258 million in net income for the fourth quarter of 2002 on $4.2 billion in revenue, up from $144 million in net income on $3.9 billion in revenue for the fourth quarter of 2001.
The life insurance unit is reporting $125 million in net income for the latest quarter on $1.6 billion in revenue, down from $135 million in net income on $1.7 billion in revenue.
The life insurance unit sells individual annuities, group benefits, individual life insurance and other products.
- Individual annuities: Revenue fell 1%, but sales through broker-dealers increased 60%, to $2.5 billion, and sales through banks increased 30%, to $1 billion. Commissions and wholesaling expenses increased 41%, to $232 million.
- Group benefits: Revenue increased 0.5%, to $639 million. Sales of group disability insurance increased 5%, to $232 million, and sales of group life increased 11%, to $240 million. Commissions and wholesaling expenses increased 20%, to $61 million.
- Individual life: Revenue fell 5%, to $238 million. Sales of term life and universal life increased 50%, to $12 million, but sales of variable life fell 47%, to $36 million. Commissions and wholesaling expenses fell 22%, to $45 million.
- College savings plans: Sales of a widely publicized new product, Section 529 college savings plans, reached $30 million for the quarter and $94 million for all of 2002.