Despite the recent economic turmoil, Hartford Financial Services Group Inc. attracted substantially more retirement plan deposits during the second quarter than it attracted during the second quarter of 2007.
Here is a summary of the latest insurance industry earnings news.
Hartford Financial Services Group Inc., Hartford:
2 Q 2008 Results
NET INCOME: $543 million
REVENUE: $7.5 billion
NET REALIZED CAPITAL CHANGE: $282 million loss
2 Q 2007 Results
NET INCOME: $627 million
REVENUE: $7.7 billion
NET REALIZED CAPITAL CHANGE: $243 million loss
- Retirement plan deposits increased 72%, to $2.4 billion. Part of the increase was the result of the acquisition of Sun Life Retirement Services Inc. from Sun Life Financial Inc., Toronto, and Princeton Retirement Group, Atlanta, from Merrill Lynch & Company Inc., New York. But Hartford says the retirement services unit also generated 17% in organic growth.
- Fully insured group benefits sales increased 13%, to $135 million. Fully insured group disability sales increased 35%.
- Variable annuity deposits fell to $2.2 billion, from $3.5 billion, and net outflows of VA assets increased to $1.6 billion, from $419 million.
MetLife Inc., New York
2 Q 2008 Results
NET INCOME: $946 million
REVENUE: $14 billion
NET INVESTMENT CHANGE: $362 million loss
2 Q 2007 Results
NET INCOME: $1.2 billion
REVENUE: $13 billion
NET INVESTMENT CHANGE: $239 million loss
- Institutional revenue was up 16%.
- "Higher pension closeout sales" helped lead to a 65% increase in institutional retirement and savings revenue.
- Annuity operating earnings fell to $146 million, from $270 million, in part because of a deferred acquisition cost adjustment.
- MetLife spent $1.2 billion during the first half on buying back 21 million shares of common stock. The company still has authorization to spend $1.3 billion on buying back its own stock. The company now has 726 million shares of common stock outstanding, down from 764 million in the second quarter of 2007.
Lincoln National Corp., Philadelphia
2 Q 2008 Results