Edward Bonach, the chief executive officer of CNO Financial Group Inc., plans to retire from the CEO post at the end of the year, the company announced today.
Gary Bhojwani, the Carmel, Indiana-based company’s president, will succeed Bonach as CEO at the end of the year, the company said.
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Neal Schneider, CNO’s chairman, said in a statement that the company is in good shape for the transition.
Bonach “is leaving CNO a strong, thriving, focused and profitable insurance enterprise,” Schneider said.
Bhojwani said he will work closely with agents and others to continue to serve middle-income consumers.
“Our people are extremely talented, and our future is bright,” Bhojwani said.
Bonach has a bachelor’s degree in math from St. John’s University in Collegeville, Minnesota. From 2002 through 2007, he was the chief financial officer at National Life Group. He became CNO’s chief financial officer in 2007, and he took over from C. James Prieur as CEO in 2011.
Bhojwani has a bachelor’s degree from the University of Illinois and a master’s degree in business from the University of Chicago. He spent five years as president of Allianz Life Insurance Company of North America, three years as chairman of Allianz of America, and one year as a senior advisor at McKinsey & Company before becoming CNO’s president, in April 2016.
Edward Bonach (Photo: CNO)
In addition to being president of CNO, Bhojwani is a director at Hormel Foods and a trustee of the Minneapolis Institute of Arts.
CNO is a major issuer of supplemental health insurance products, and a significant issuer of annuities.
The company also has an active long-term care insurance operation and large block of in-force long-term care insurance coverage on its books.
Bonach has talked regularly about efforts to find a buyer or reinsurer for the in-force LTCI business at the company’s quarterly earnings conference calls with securities analysts.
CNO reported $62 million in net income for the first quarter on $1.1 billion in revenue for the first quarter, up from $46 million in net income on $960 million in revenue for the first quarter of 2016.
The price of CNO’s stock gives the company a market cap, or total stock value, of about $3.7 billion.
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