FROM THE PRESIDENT OF BANKERS LIFE INSURANCE COMPANY
I am pleased to announce that Bankers Life Insurance Company (BLIC) continued to achieve outstanding growth and proﬁtability in 2016. Due to excellent investment results, we have been able to offer above average returns on annuities to our policyholders. BLIC also continues to expand its markets and develop products that meet the changing needs of consumers.
BLIC is authorized to do business in 38 states – and the District of Columbia. Our customer service is renowned: Phone calls to our offices are quickly answered by a live person, and over 95% of policies are processed and issued within 24 hours of their receipt.
In 2016, BLIC generated a statutory, after-tax proﬁt of $631,000.00. The stable earnings are attributable to the continued strong sales in deferred and immediate annuities, solid investment results and an increase in operational efficiencies. Our assets have grown to $447.3 million – up 178% since 2013. Our Risk Based Capital ratio (RBC), which is a measure of the ﬁnancial strength of an insurance company, has a computed value of 688.8.
The investments backing up the annuities we sell are composed primarily of bonds and preferred stocks. 95.8% of these securities are investment grade (NAIC1 or NAIC2). The investment maturities are closely matched to the maturity of our liabilities, which provides a low level of risk to the client. The efficacy of this matching is measured using “cash ﬂow testing,” which shows the company’s projected ability to withstand various interest rate scenarios, and therefore indicates ﬁnancial strength. Once again this year, BLIC passed all 108 scenarios, meaning we have sufficient capital to meet all of our obligations even in the worst of possible market conditions. To further mitigate investment risks, BLIC has established partnerships with investment advisors and reinsurers.
Our conservative approach of investing in highly rated securities while maintaining robust levels of capitalization is the key to our ability to continually offer industry-leading annuity products. Our entire management team looks forward to serving you, and sincerely appreciates the conﬁdence you have shown in us.
Bankers Life Insurance Company