Interest rates have been getting a little higher, but not enough to give the long-term disability (LTD) insurance business at StanCorp Financial Group Inc. any help.
Executives talked about the effects of continuing low rates on StanCorp (NYSE:SFG) today during the company’s third-quarter earnings conference call.
StanCorp is reporting $59 million in net income for the quarter on $702 million in revenue, compared with $45 million in net income on $714 million in net income for the third quarter of 2012.
Group LTD premiums fell to $191 million, from $199 million a year earlier; group short-term disability (STD) premiums increased to $56 million, from $53 million.
New group LTD sales rose to $9 million, from $6.5 million; new STD sales fell to $3 million, from $3.2 million.
Overall interest rates have been firming a bit, and company executives said they are happy with the company’s commercial mortgage lending business.