NU Online News Service, Feb. 7, 2:05 p.m. – Protective Life Corp., Birmingham, Ala., is reporting $30 million in net income for the fourth quarter of 2002 on $440 million in revenue, up from a $4.9 million net loss on $407 million in revenue for the fourth quarter of 2001.
Protective’s products include life insurance and retirement savings products.
The company’s sales of annuities fell to $151 million, from $201 million, but sales of stable-value contracts increased to $391 million, from $58 million, and life insurance sales increased to $64 million, from $56 million.
At the life unit, sales through independent agents grew only 6.6%. But sales through brokerage agents increased 50%; through stockbrokers, 44%; and through direct-response programs, 22%.
At the stable-value products unit, profits were up because the spread between what Protective paid on the contracts and what it earned on the investments backing the contracts widened to 1.12 percentage points for the latest quarter, up from 0.89 percentage points for the fourth quarter of 2001.