Unum 2007 Annual Report Download - page 57

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Unum 2007 Annual Report 55
Unum UK Segment
Unum UK includes insurance for group long-term disability, group life, and individual disability products sold primarily in the United
Kingdom through field sales personnel and independent brokers and consultants.
Operating Results
Shown below are financial results and key performance indicators for the Unum UK segment.
Year Ended December 31
(in millions of dollars, except ratios) 2007 % Change 2006 % Change 2005
Operating Revenue
Premium Income
Group Long-term Disability $ 752.6 17.8)% $ 638.9 9.6)% $ 582.9
Group Life 177.4 3.7 171.0 4.2 164.1
Individual Disability 38.3 16.4 32.9 (14.1) 38.3
Total Premium Income 968.3 14.9 842.8 7.3 785.3
Net Investment Income 200.4 14.8 174.6 13.2 154.2
Other Income 3.1 N.M. 0.1 (98.4) 6.1
Total 1,171.8 15.2 1,017.5 7.6 945.6
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits 574.3 3.8 553.5 1.4 545.8
Commissions 67.0 34.8 49.7 (11.9) 56.4
Deferral of Acquisition Costs (41.2) 19.8 (34.4) 0.9 (34.1)
Amortization of Deferred Acquisition Costs 49.4 54.4 32.0 48.1 21.6
Other Expenses 183.5 15.5 158.9 (5.5) 168.2
Total 833.0 9.6 759.7 0.2 757.9
Operating Income Before Income Tax
and Net Realized Investment Gains and Losses $ 338.8 31.4 $ 257.8 37.3 $ 187.7
Operating Ratios (% of Premium Income):
Benefit Ratio 59.3% 65.7% 69.5%
Other Expense Ratio 19.0% 18.9% 21.4%
Before-tax Operating Income Ratio 35.0% 30.6% 23.9%
Premium Persistency:
Group Long-term Disability 88.0% 90.4% 94.2%
Group Life 70.5% 69.1% 86.3%
Individual Disability 89.4% 88.2% 88.4%
N.M. = not a meaningful percentage