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Segment and Geographical Information (Notes)
6 Months Ended
Jun. 30, 2017
Segment Reporting [Abstract]  
Segment and Geographical Information

(2) Segment and Geographical Information

Segments. We have two primary operating segments — Term Life Insurance and Investment and Savings Products. We also have a Corporate and Other Distributed Products segment.

Notable information included in profit or loss by segment was as follows:

 

 

Three months ended June 30,

 

 

Six months ended June 30,

 

 

2017

 

 

2016

 

 

2017

 

 

2016

 

 

 

 

(In thousands)

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

238,901

 

 

$

210,559

 

 

$

472,953

 

 

$

416,655

 

 

Investment and savings products segment

 

 

143,774

 

 

 

132,608

 

 

 

284,180

 

 

 

257,525

 

 

Corporate and other distributed products segment

 

 

31,021

 

 

 

35,827

 

 

 

61,727

 

 

 

67,413

 

 

Total revenues

 

$

413,696

 

 

$

378,994

 

 

$

818,860

 

 

$

741,593

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

2,347

 

 

$

1,871

 

 

$

4,650

 

 

$

3,721

 

 

Investment and savings products segment

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

Corporate and other distributed products segment

 

 

17,395

 

 

 

18,518

 

 

 

34,986

 

 

 

37,906

 

 

Total net investment income

 

$

19,742

 

 

$

20,389

 

 

$

39,636

 

 

$

41,627

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of DAC:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

44,937

 

 

$

36,477

 

 

$

95,070

 

 

$

77,702

 

 

Investment and savings products segment

 

 

2,310

 

 

 

1,704

 

 

 

4,044

 

 

 

3,623

 

 

Corporate and other distributed products segment

 

 

614

 

 

 

539

 

 

 

596

 

 

 

524

 

 

Total amortization of DAC

 

$

47,861

 

 

$

38,720

 

 

$

99,710

 

 

$

81,849

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-cash share-based compensation expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

301

 

 

$

349

 

 

$

2,077

 

 

$

1,982

 

 

Investment and savings products segment

 

 

361

 

 

 

347

 

 

 

1,541

 

 

 

1,503

 

 

Corporate and other distributed products segment

 

 

1,261

 

 

 

1,853

 

 

 

8,049

 

 

 

6,546

 

 

Total non-cash share-based compensation expense

 

$

1,923

 

 

$

2,549

 

 

$

11,667

 

 

$

10,031

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

61,854

 

 

$

58,018

 

 

$

110,877

 

 

$

104,098

 

 

Investment and savings products segment

 

 

39,684

 

 

 

36,064

 

 

 

76,803

 

 

 

67,755

 

 

Corporate and other distributed products segment

 

 

(5,149

)

 

 

(2,202

)

 

 

(16,450

)

 

 

(9,761

)

 

Total income before income taxes

 

$

96,389

 

 

$

91,880

 

 

$

171,230

 

 

$

162,092

 

 

 

Total assets by segment were as follows:

 

 

June 30, 2017

 

 

December 31, 2016

 

 

 

 

(In thousands)

Assets:

 

 

 

 

 

 

 

 

 

Term life insurance segment

 

$

6,066,410

 

 

$

5,945,502

 

 

Investment and savings products segment (1)

 

 

2,537,909

 

 

 

2,391,512

 

 

Corporate and other distributed products segment

 

 

3,340,979

 

 

 

3,101,929

 

 

Total assets

 

$

11,945,298

 

 

$

11,438,943

 

 

 

(1) The Investment and Savings Products segment includes assets held in separate accounts. Excluding separate accounts, the Investment and Savings Products segment assets were approximately $113.1 million and $103.7 million as of June 30, 2017 and December 31, 2016, respectively.

Geographical Information. Results of operations by country and long-lived assets, primarily tangible assets reported in other assets in our unaudited condensed consolidated balance sheets, were as follows:

 

 

Three months ended June 30,

 

 

Six months ended June 30,

 

 

2017

 

 

2016

 

 

2017

 

 

2016

 

 

 

 

(In thousands)

Revenues by country:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

349,388

 

 

$

319,154

 

 

$

689,182

 

 

$

624,056

 

 

Canada

 

 

64,308

 

 

 

59,840

 

 

 

129,678

 

 

 

117,537

 

 

Total revenues

 

$

413,696

 

 

$

378,994

 

 

$

818,860

 

 

$

741,593

 

 

Income before income taxes by country:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

77,511

 

 

$

73,653

 

 

$

135,543

 

 

$

128,610

 

 

Canada

 

 

18,878

 

 

 

18,227

 

 

 

35,687

 

 

 

33,482

 

 

Total income before income taxes

 

$

96,389

 

 

$

91,880

 

 

$

171,230

 

 

$

162,092

 

 

 

 

 

June 30, 2017

 

 

December 31, 2016

 

 

 

(In thousands)

 

Long-lived assets by country:

 

 

 

 

 

 

 

 

United States

 

$

30,402

 

 

$

26,685

 

Canada

 

 

772

 

 

 

780

 

Total long-lived assets

 

$

31,174

 

 

$

27,465