Lance Black | Senior Vice President and Treasurer |
Rich Bielen | President and Chief Executive Officer |
Mike Temple | Vice Chairman and Chief Operating Officer |
Steve Walker | Executive Vice President and Chief Financial Officer |
Phil Passafiume | Senior Vice President and Chief Investment Officer |
Ladies and gentlemen, thank you for standing by. And welcome to the Protective Life Corporation 2021 Company Update Call. At this time, all participant lines are in a listen-only mode. Please be advised that today's conference will be recorded [Operator Instructions]. I would now like to hand the conference over to your host, Lance Black, Senior Vice President and Treasurer. ahead. go Please
Good XXXX Sarah. welcome Protective to Thank Update morning, Live Corporations Company Audio Life you, and Webcast.
today's and As Sarah Senior be Treasurer Protective serve and facilitate will said, I'm Vice Lance President Black call. as of
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Executive President and and Bielen, Steve Vice Steve financial Walker, Temple Officer; Passafiume President our will Executive Chief Chief Chief Protective’s First, Passafiume, company Operating CFO, Officer; and Walker, and your will Rich on providing Phil then Officer; provide cover Mike investment covering outlook. with portfolio. and This have Mike an financial opening retail Vice Phil Rich President Officer. Chief Chief XXXX finally, President Temple, Officer, update Financial and for our Vice business our and morning, session and will our overview. After Chairman informative an our Investment Executive by Rich, you, XXXX close Bielen's Senior results we beginning agenda
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and statements which Finally, today's future events events materially expectations express and/or may includes differ from Actual expectations. results. forward these results of presentation looking
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good everyone. Thanks, Lance and morning,
I just you want say to everyone. First, start, to before thank we
fine you Birmingham employees come property know, I appreciate of reaching We had Nashville area of couple some have was the our just As There and everybody us. out many storms but of tornadoes there some have is recent safe where of result employees there area, storms. in family were southeast, the and is the the up a Protective rains in number a all are and did out, in on who injuries as reaching Good were damage and checking were minor everybody no have everyone appreciate but members flooding injuries. family. news a I the we through that
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is put that our up XXth deal ingenuity to thought hit to us is philosophy it making were in this -- And many to move our now and a connected be personal we events things one And encountered because and stay management and very When our my move uncertainty there working thing to absorb we able that our allowed unexpected. you, pandemic The journey from some of of home think forward. with position as has America's culture focused protective XX% all was strong challenges I that to year on We to of out the keep culture expected. this most forward really us of the company, of sure of insurance to unexpected moving or us a ability company. a for most the could call in I we've on one employees. of the prepared of quickly. with immediately business always think the things with getting came never important have the All we it I of of strong really that And done. That and whether risk matter one about absorb was very ramp days. employees become communication on
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it frankly, return bulk claims and optimistic year, the move pass employees And organization. doing possible And early know of delivering making and a the absorb. managing to were going to was The to in for the I'm the offices low to of the the was enabled have June. had even lot think by environment could of the And really we communities food became you'll shown in what back end, donating and first building once fall. was that proud the to that and wasn't much serving still ultimately, that what's promises supporting the phase of June, period In our that banks ingenuity, quickly, to so I'm really resilience, sites hope, to from and last I This COVID crisis But our in is efforts, forward. we leadership of I so our community future. everyone's lot to customers, were to to core our we're of We're a core today us said here team to uncertainty. this going that that initial able the local have by focus hear the pretty we apparent March to the rate we and moved our I by light imagining wouldn't COVID for us plans have strong to on flexibility in the a teams. our begin summer. and a there's Today, our midst continue uncertainty, of
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Steve Thanks, everyone. morning, good and
strong complements through combination M&A growth retail As our scale. goal mentioned, business to our create franchise Rich overarching is operating a a and that of
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and includes electronic electronic we'll to applications package our new e-signature of our invest and The and is digital promote plus business underwriting focus So Velocity platform Velocity policy voice delivery. continue in platform, which our capabilities. accelerated
Moving on next the to slide.
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it’s accretive next As few scale it'll bringing us be earnings ultimately talent new and and to Rich over years. mentioned the
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you for everybody Sure, greatly you, and great. We thank today. time appreciate it. Mike Thank your
your XX, general a market is a what start turn consistent that overview been Page strategy If has prudent to I many on extremely have out you we want very just over cycles. presentation with and investment that
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Let’s turn to Page XX.
mortgage looking commercial portfolio. Just at the
you at debt portfolio value average $XX.X is size marked X.XX currently side, on loan on is and see breaks table at respectively. strong down The hand $X.X The and that the left statistics XX% billion. ratio coverage a The the a basis. times could million. the very On service portfolio average overall approximately GAAP remains loan to
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XXX unpaid than loans in and we've during So to XXXX, once of $X.X more you representing billion imagine. had we can modified balance some touch those principal as
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over will I to hand with that, So Lance Black. it
Thanks, me Phil. to you reach might Again, at email any such out via with lance.black@protective.com. just questions as as questions please a have, reminder
them we're kind around the compress looks come kind into pipeline on going all M&A the into start a questions one questions from private here. Everything several what to focused Rich, activity We that's and I'm have with received We've competition here gotten and of and try what I’ll like, space? from our equity to you. few of
I've overview. about Okay, well, some recently on Lance. quick talking been also give actually of kind this. panels industry I'll And a thanks,
consolidating they're and the think I at, seeing at back, So and not will things know, really scaling. really reengineering franchises ago. good first, they're of what when there they number scale, life comments is I in If that do we're number about industry. XX is what we look of companies of at happening what but my is what growth people years have really were years their looking look XX half a that I good you talk probably today this is one a remind you everybody, the
piece a of seen Blackstone off to and and obviously, which more to you've smaller So their Allstates Re. Wilton life business most selling the recently annuity now recent
on You with saw them Assurant Liberty that management was our for focus asset Mutual sell more P&C and business. that the on Preneed West, retirement own Even and the was focus transactions Great business. to a more a focus
across are the industry you of strategic board. companies the really a repositioning So seeing in
bolt-on some may For things year. have like They we to look of us, I unique look types vary XX XX opportunities also retirement would and can probably vary of that a protection. They for at different space, probably the opportunities. features. us asset we maybe some a protection with variety can space say from in
So looking we're constantly in the marketplace.
but is the it also seen, Protective? you've they about Well, we just everybody ask [APD] closed one just As extremely need active a where's Revolos year. try I and but remind we for when frankly,
competitors also on or their More the can transactions, the you at our created than our rethink there time. introduction out So recently that there some those whether of private some supply to also then we scale in seen companies find actually us want that opportunities, it's executive I if from West XX it's products, we've maybe and that in business it’s P&C blocks, in we focus to that whether can business. will three equity tried not product on pick I where we've build fits our we of the up model. retail the if opportunity. Great see accessing opportunities us. only benefits some transactions, and also before. closed will And are that pure close more think talents there look frankly, talked Revolos say just But Liberty business help were we and to the one we're XX allowed asked to also right competition distributions, blocks Everybody force me from focused just whether at having agents all distribute about last some of some it's currently competitors I our the distribution us have to or gives Mike about not but And same say and gives today not
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rates. stress Steve, you testing question our but do we had of Can earnings also interest briefly what assumptions there? spoke rate to a you the around about for you of reinvestment, address kind
interest nine run in XX required Lance, testing. and that top points to shock scenarios grade curve going the other that which company very clarify One have Lance. reinvestment some looking credit we of that found we number a the on basis on adequacy for in that current XXX and rates we our what equity regulators, part it of yield do to as of way we inverted surpluses, those is value in want Sure and that. in is rate cushions mention we we our to present we to a with looking I'll points Protective we're from curve. rate Life we the we the our run Insurance part catastrophe basis shock in also assumption to we mortality rate asset at of clarify not cash the mentioned. that through terms I hedging XXXX. as interest flow a for And and in at under the assessment post long our an And our the Other do interest top to of wanted annual scenarios did XX long forward. do severe our rates the make company of And keep each of year of crisis is that a level up in we entities is statutory years variable testing items reserves thing measure XXX large pandemic and of performs down where from I as each losses clear including use start we risk rate rate stresses for we basically Annually at forward rate, there's entities. year the years thing markets then for projection statutory our And with that in term follow how a four asset just adequacy I all testing our term plus we do any capital. do or But three then between solvency that. end own of annuities.
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number our worst management part do of those tests scenario normal of a that's So as but we overtime risk process. our stress
for the our Mike, around we term you Steve. and division. asset focus had a strategy protection long for thanks question Okay,
Lance. Thanks
the start a little bit just business. APD me let about talking So by
from XX% as Steve's reported So our good earnings. as first about for APD it's you diversification of tell can Protective,
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strong future in the to business seasoned and So we're about the in a prospects for excited management committed we're for this short got We've this team business. future. place foreseeable
Okay. Thank something might else up question. be you, last our And shows unless this Mike.
to free lance.black@protective.com. you more any relationship. Rich anything interest? and that with general else Dai-ichi again feel to of we've we addressed had one question impact a this their us then reach if divestiture but our Janus In out have yet to haven't you, for from me specifically their around investment So
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purposes to we everyone further that product and you I them And We questions our webcast your directly know not may there don't on Protective we would thank come today. just did -- no to have for then your the relationship that been that the us was have I that, very have We of that, investment do And strategy. not impact there's joining occurred much relative regardless really store of other own. have in for our but guess offerings participation. may customers, interest fact not Well, any in. appreciate that use in
You a Have may now great Thank you disconnect. very much. day.