Assurant 2012 Annual Report Download - page 123

Download and view the complete annual report

Please find page 123 of the 2012 Assurant annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 144

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144

ASSURANT, INC.2012 Form10-K F-47
20 Retirement and Other Employee Bene ts
Amounts recognized in the consolidated balance sheets consist of:
Pension Bene ts Retirement Health Bene ts
2012
2011
2010
2012
2011
2010
Assets $ 0 $ 0 $ 0 $ 0 $ 0 $ 0
Liabilities $ (251,196) $ (253,976) $ (215,417) $ (40,586) $ (33,629) $ (57,773)
Amounts recognized in accumulated other comprehensive income consist of:
Pension Bene ts Retirement Health Bene ts
2012 2011 2010 2012 2011 2010
Net loss $ (282,491) $ (286,535) $ (242,902) $ 261 $ 3,741 $ (10,763)
Prior service cost (4,975) (5,756) (5,578) 7,035 7,968 (5,848)
$ 287,466 $ 292,291 $ 248,480 $ 7,296 $ 11,709 $ 16,611)
Components of net periodic bene t cost and other amounts recognized in accumulated other comprehensive income for the years ended
December31 were as follows:
Pension Bene ts Retirement Health Bene ts
2012 2011 2010 2012 2011 2010
Net periodic bene t cost
Service cost $ 35,609 $ 31,832 $ 30,945 $ 2,762 $ 3,233 $ 4,556
Interest cost 38,348 38,919 38,772 3,483 3,915 5,005
Expected return on plan assets (40,064) (40,698) (38,069) (2,768) (2,957) (2,685)
Amortization of prior service cost 781 795 970 (933) 275 1,483
Amortization of net loss (gain) 23,467 15,119 12,654 0 (290) 0
Curtailment (gain)/settlement loss 0 521 0 0 0 0
Net periodic bene t cost $ 58,141 $ 46,488 $ 45,272 $ 2,544 $ 4,176 $ 8,359
Other changes in plan assets and bene t obligations
recognized in accumulated other comprehensive income (loss)
Net loss $ 19,423 $ 58,752 $ 32,059 $ 3,480 $ (14,794) $ 3,890
Amortization of prior service cost (781) (1,687) (970) 933 (275) (1,483)
Amortization of net (loss) gain (23,467) (15,119) (12,654) 0 290 0
Prior service credit 0 1,865 0 0 (13,541) 0
Total recognized in accumulated other comprehensive income $ (4,825$ 43,811 $ 18,435 $ 4,413 $ (28,320) $ 2,407
TOTAL RECOGNIZED IN NET PERIODIC BENEFIT
COST AND ACCUMULATED OTHER COMPREHENSIVE
INCOME $ 53,316 $ 90,299 $ 63,707 $ 6,957 $ 24,144 $ 10,766
e Company uses a  ve-year averaging method to determine the
market-related value of plan assets, which is used to calculate the
expected return of plan assets component of the Plans’ expense. Under
this methodology, asset gains/losses that result from actual returns
which di er from the Company’s expected long-term rate of return
on assets assumption are recognized in the market-related value of
assets on a level basis over a  ve year period.  e di erence between
actual as compared to expected asset returns for the Plans will be fully
re ected in the market-related value of plan assets over the next  ve
years using the methodology described above.
e estimated net loss and prior service cost of Pension Bene ts that
will be amortized from accumulated other comprehensive income
into net periodic bene t cost over the next  scal year are $26,198 and
$691, respectively.  e prior service cost of Retirement Health Bene ts
that will be amortized from accumulated other comprehensive income
into net periodic cost over the next  scal year is $933.  ere was no
estimated net loss of Retirement Health Bene ts that will be amortized
from accumulated other comprehensive income into net periodic cost
over the next  scal year.
Determination of the projected bene t obligation was based on the following weighted-average assumptions for the years ended December31:
Quali ed Pension Bene ts Nonquali ed Pension Bene ts Retirement Health Bene ts
2012 2011 2010 2012 2011 2010 2012 2011 2010
Discount rate 4.12% 4.59% 5.44% 3.71% 4.40% 5.11% 4.12% 4.64% 5.55%