CNA Reports Higher Net, Downplays Individual LTC

NU Online News Service, May 9, 2003, 3:25 p.m. EDT – CNA Financial Corp., Chicago, reports that it will be curtailing sales of individual long-term care insurance because “unfavorable long-term morbidity” contributed to an operating loss at its life insurance unit.

The life insurance unit lost $23 million on $256 million in net earned premiums. During the first quarter of 2002, the unit lost $4 million on $240 million in net earned premiums.

The company as a whole is reporting $83 million in net income for the first quarter on $2.8 billion in revenue, compared with $20 million in net income on $3.4 billion in revenue for the first quarter of 2002.