Statutory Statements

Statutory Statements

The following statutory financial information of Assurant has been determined in conformity with statutory accounting practices ("SAP") prescribed or permitted by the Insurance Departments of the applicable state. SAP does not prescribe or permit consolidation. The results for past accounting periods are not necessarily indicative of results to be expected for any future accounting period. The Statutory Financial Statements were prepared in conformity with SAP, which principles differ in certain significant respects from accounting principles generally accepted in the United States of America ("GAAP").

Below are ten of the largest legal entities that represent the majority of Assurant's total statutory income. The attached files are fairly large in size, which may cause a delay in downloading the information.

The combined statutory net income, excluding intercompany dividends and surplus note interest, and capital and surplus of the Company’s U.S. domiciled statutory insurance subsidiaries follow:


Years Ended December 31,

2019 2018 2017
Property and Casualty (P&C) companies $313.3 $234.0 $267.8
Life and Health (L&H) companies 104.7 157.5 214.0
Total statutory net income (1) $418.0 $391.5 $481.8

December 31,

2019 2018
P&C companies $1,623.2 $1,641.2
L&H companies 405.7 392.7
Total statutory capital and surplus(1)

$2,028.9

$2,033.9

(1)Results for 2019 and 2018 included $35.9 million and $26.0 million of statutory net income for the years ended December 31, 2019 and 2018, respectively, and $361.0 million and $393.4 million in statutory capital and surplus as of December 31, 2019 and 2018, respectively, from Virginia Surety Company, an insurance subsidiary from the TWG acquisition. Additionally, results for 2017 included $41.5 million of statutory net income for the year ended December 31, 2017 from Time Insurance Company, an insurance subsidiary that was sold in the fourth quarter 2018.

The Company also has non-insurance subsidiaries and foreign insurance subsidiaries that are not subject to SAP. The statutory net income and statutory capital and surplus amounts presented above do not include foreign insurance subsidiaries in accordance with SAP.

Insurance enterprises are required by state insurance departments to adhere to minimum RBC requirements developed by the NAIC. All of the Company’s insurance subsidiaries exceed minimum RBC requirements.

The payment of dividends to the Company by any of the Company’s regulated U.S domiciled insurance subsidiaries in excess of a certain amount (i.e., extraordinary dividends) must be approved by the subsidiary’s domiciliary jurisdiction department of insurance. Ordinary dividends, for which no regulatory approval is generally required, are limited to amounts determined by a formula, which varies by jurisdiction. The formula for the majority of the jurisdictions in which the Company’s subsidiaries are domiciled is based on the prior year’s statutory net income or 10% of the statutory surplus as of the end of the prior year. Some jurisdictions limit ordinary dividends to the greater of these two amounts, others limit them to the lesser of these two amounts and some jurisdictions exclude prior year realized capital gains from prior year net income in determining ordinary dividend capacity. Some jurisdictions have an additional stipulation that dividends may only be paid out of earned surplus. If insurance regulators determine that payment of an ordinary dividend or any other payments by the Company’s insurance subsidiaries to the Company (such as payments under a tax sharing agreement or payments for employee or other services) would be adverse to policyholders or creditors, the regulators may block such payments that would otherwise be permitted without prior approval. Based on the dividend restrictions under applicable laws and regulations, the maximum amount of dividends that the Company’s U.S domiciled insurance subsidiaries could pay to the Company in 2020 without regulatory approval is $423.7 million. No assurance can be given that there will not be further regulatory actions restricting the ability of the Company’s insurance subsidiaries to pay dividends.

Investor Contact

Suzanne Shepherd

Senior Vice President, Investor Relations

28 Liberty Street, 41st Floor

New York, NY 10005

212-859-7062

Investor.Relations@assurant.com

Sean Moshier

Director, Investor Relations

28 Liberty Street, 41st Floor

New York, NY 10005

212-859-5831

Investor.Relations@assurant.com