Assurant 2014 Annual Report Download - page 46

32 ASSURANT, INC. – 2014 Form 10-K
PART II
ITEM 6 Selected Financial Data
Dividend Policy
On January 9, 2015, our Board of Directors declared a quarterly
dividend of $0.27 per common share payable on March 9, 2015
to stockholders of record as of February 23, 2015. We paid
dividends of $0.27 per common share on December 15, 2014,
September 9, 2014, and June 10, 2014, and $0.25 on March
10, 2014. We paid dividends of $0.25 per common share on
December 10, 2013, September 10, 2013 and June 11, 2013, and
$0.21 per common share on March 11, 2013. Any determination
to pay future dividends will be at the discretion of our Board
of Directors and will be dependent upon: our subsidiaries’
payment of dividends and/or other statutorily permissible
payments to us; our results of operations and cash fl ows; our
fi nancial position and capital requirements; general business
conditions; any legal, tax, regulatory and contractual restrictions
on the payment of dividends; and any other factors our Board
of Directors deems relevant.
Assurant, Inc. is a holding company and, therefore, its
ability to pay dividends, service its debt and meet its other
obligations depends primarily on the ability of its regulated
U.S. domiciled insurance subsidiaries to pay dividends
and make other statutorily permissible payments to the
holding company. Our insurance subsidiaries are subject to
signifi cant regulatory and contractual restrictions limiting
their ability to declare and pay dividends. See “Item 1A —
Risk Factors — Risks Relating to Our Company — The inability
of our subsidiaries to pay suffi cient dividends to the holding
company could prevent us from meeting our obligations and
paying future stockholder dividends.” For the calendar year
2015, the maximum amount of dividends our regulated U.S.
domiciled insurance subsidiaries could pay us, under applicable
laws and regulations without prior regulatory approval, is
approximately $476,000. Dividends or returns of capital paid
by our subsidiaries, net of infusions and amounts used for
acquisitions, totaled $453,485 in 2014.
We may seek approval of regulators to pay dividends in excess
of any amounts that would be permitted without such approval.
However, there can be no assurance that we would obtain such
approval if sought.
Payments of dividends on shares of common stock are subject
to the preferential rights of preferred stock that our Board of
Directors may create from time to time. There is no preferred
stock issued and outstanding as of December 31, 2014. For more
information regarding restrictions on the payment of dividends by
us and our insurance subsidiaries, including pursuant to the terms
of our revolving credit facilities, see “Item 7 — Management’s
Discussion and Analysis of Financial Condition and Results of
Operations — Liquidity and Capital Resources.”
In addition, our $400,000 revolving credit facility restricts
payments of dividends if an event of default under the facility
has occurred or a proposed dividend payment would cause an
event of default under the facility.
ITEM 6 Selected Financial Data
ASSURANT, INC.
FIVE-YEAR SUMMARY OF SELECTED FINANCIAL DATA
As of and for the years ended December 31,
2014 2013 2012 2011
2010
Consolidated Statement of Operations Data:
Revenues
Net earned premiums $ 8,632,142 $ 7,759,796 $ 7,236,984 $ 7,125,368 $ 7,403,039
Net investment income 656,429 650,296 713,128 689,532 703,190
Net realized gains on investments(1) 60,783 34,525 64,353 32,580 48,403
Amortization of deferred gain on disposal of
businesses (1,506) 16,310 18,413 20,461 10,406
Fees and other income 1,033,805 586,730 475,392 404,863 362,684
Total revenues 10,381,653 9,047,657 8,508,270 8,272,804 8,527,722
Benefi ts, losses and expenses
Policyholder benefi ts(2) 4,405,333 3,675,532 3,655,404 3,749,734 3,635,999
Amortization of deferred acquisition costs and value
of businesses acquired 1,485,558 1,470,287 1,403,215 1,327,788 1,401,569
Underwriting, general and administrative expenses 3,688,230 3,034,404 2,631,594 2,428,795 2,516,622
Interest expense 58,395 77,735 60,306 60,360 60,646
Goodwill impairment(3) — — — — 306,381
Total benefi ts, losses and expenses 9,637,516 8,257,958 7,750,519 7,566,677 7,921,217
Income before provision for income taxes 744,137 789,699 757,751 706,127 606,505
Provision for income taxes(4) 273,230 300,792 274,046 167,171 327,898
NET INCOME $ 470,907 $ 488,907 $ 483,705 $ 538,956 $ 278,607