Variable annuity inflow and in-force life insurance were 2 bright spots at Ameriprise Financial Inc. during the second quarter.
Here is a summary of the latest insurance industry earnings news:
Ameriprise Financial Inc., Minneapolis
2 Q 2008 Results
NET INCOME: $210 million
REVENUE: $2 billion
NET REALIZED INVESTMENT CHANGE: $27 million loss
2 Q 2007 Results
NET INCOME: $196 million
REVENUE: $2.2 billion
NET REALIZED INVESTMENT CHANGE: $1.3 million gain
- Ameriprise is increasing its quarterly cash dividend to 17 cents per common share, from 15 cents.
- The company's variable annuities attracted $800 million more assets than they lost. Fixed annuities experienced $400 million in net asset outflow.
- Life insurance in force increased 5%, to $191 billion.
- Revenue at the annuity, wealth management and asset management operations fell, but revenue from sales of protection products, such as life insurance, increased 1%, to $490 million.
Coventry Health Care Inc., Bethesda, Md.
2 Q 2008 Results
NET INCOME: $83 million
REVENUE: $3 billion
HEALTH CARE MEMBERS: 4.8 million
2 Q 2007 Results
NET INCOME: $151 million
REVENUE: $2.3 billion
HEALTH CARE MEMBERS: 4.7 million
- Enrollment in small group commercial and individual plans grew steadily.
- The company bought back 1 million shares during the quarter, bringing the total number of shares bought back during the first half to 4.2 million shares.
- The company has the authority to buy back 9.9 million shares, and it plans to use free cash to buy back shares throughout the rest of the year.
- The company has about 151 million shares of stock outstanding.
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