Postretirement Benefits (Tables)

12 Months Ended

Dec. 31, 2016

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Total Cost of Retirement Plans Charged to Operations

The total cost of these retirement plans charged to operations was as follows:

Year Ended December 31,	Defined  Contribution Plans(1)		Defined  Benefit Pension Plans(2)
2016	$	3,614	$	24,202
2015	3,429		29,230
2014	3,078		23,463

(1) 401K plans

(2) Qualified pension plans and SERPs

Schedule of Defined Benefit Plans Disclosures

The following table includes activity for the active SERP for the three years ended December 31, 2016.

	Year Ended December 31,
	2016		2015		2014
Premiums paid for insurance coverage	$	2,050	$	10,068	$	2,150
	December 31,
	2016		2015
Total investments of this SERP:
Company owned life insurance	$	37,267	$	34,178
Exchange Traded Funds(1)	48,999		45,014
	$	86,266	$	79,192
Liability for this SERP	$	74,687	$	67,243

(1) There were no deposits in 2016, 2015 or 2014.

Pension Assets by Component at Fair Value

The following table presents the assets of Torchmark’s defined benefit pension plans for the years ended December 31, 2016 and 2015.

Pension Assets by Component at December 31, 2016

	Fair Value Determined by:
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Amount		% to Total
Corporate bonds:
Financial	$		$	41,578	$		$	41,578	13
Utilities			43,890				43,890		13
Energy			25,427				25,427		8
Other corporates			49,141				49,141		15
Total corporate bonds	—		160,036		—		160,036		49
Exchange traded fund(1)	134,771						134,771		41
Other bonds			258				258		—
Guaranteed annuity contract(2)			18,997				18,997		6
Short-term investments	7,391						7,391		2
Other	7,418						7,418		2
Grand Total	$	149,580	$	179,291	$	—	$	328,871	100

(1) A fund including marketable securities that mirror the S&P 500 index.

(2) Representing a guaranteed annuity contract issued by Torchmark's subsidiary, American Income Life Insurance Company, to fund the obligations of the American Income Pension Plan.

Pension Assets by Component at December 31, 2015

	Fair Value Determined by:
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Amount		% to Total
Equity securities:
Financial	$	49,391	$		$		$	49,391	16
Consumer, Cyclical	24,264						24,264		8
Technology	19,871						19,871		6
Consumer, Non-Cyclical	12,216						12,216		4
Industrial	15,176						15,176		5
Other	2,502		8				2,510		1
Total equity securities	123,420		8		—		123,428		40
Corporate bonds:
Financial			36,266				36,266		12
Utilities			43,229				43,229		14
Energy			25,890				25,890		8
Other corporates			40,996				40,996		13
Total corporate bonds	—		146,381		—		146,381		47
Other bonds			270				270		—
Guaranteed annuity contract(1)			17,082				17,082		6
Short-term investments	15,593						15,593		5
Other	4,842						4,842		2
Grand Total	$	143,855	$	163,741	$	—	$	307,596	100

(1) Representing a guaranteed annuity contract issued by Torchmark's subsidiary, American Income Life Insurance Company, to fund the obligations of the American Income Pension Plan.

Analysis of Impact on Other Comprehensive Income (Loss)

An analysis of the impact on other comprehensive income (loss) concerning pensions and other postretirement benefits is as follows:

	Year Ended December 31,
	2016			2015			2014
Balance at January 1	$	(152,149	)	$	(152,999	)	$	(97,467	)
Amortization of:
Prior service cost	477			377			2,113
Net actuarial (gain) loss(1)	9,691			14,209			8,172
Total amortization	10,168			14,586			10,285
Plan amendments	—			(2,104		)	—
Experience gain (loss)	(31,902		)	(11,632		)	(65,817		)
Balance at December 31	$	(173,883	)	$	(152,149	)	$	(152,999	)

(1) Includes amortization of postretirement benefits other than pensions of $33 thousand in 2016, $120 thousand in 2015, and $2 thousand in 2014.

Portion of Other Comprehensive Income Expected to Be Reflected in Pension Expense in Next Year

The portion of other comprehensive income that is expected to be reflected in pension expense in 2017 is as follows:

Amortization of prior service cost	$	476
Amortization of net actuarial loss	11,806
Total	$	12,282

Pension Benefits

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Weighted Average Assumptions

Weighted Average Pension Plan Assumptions

For Benefit Obligations at December 31:	2016		2015
Discount Rate	4.27	%	4.64	%
Rate of Compensation Increase	4.31		4.33

For Periodic Benefit Cost for the Year:	2016		2015		2014
Discount Rate	4.64	%	4.23	%	5.12	%
Expected Long-Term Returns	7.19		6.96		6.97
Rate of Compensation Increase	4.33		4.35		4.35

Components of Net Periodic Pension Costs and Post-Retirement Benefit Costs

Net periodic pension cost for the defined benefit plans by expense component was as follows:

	Year Ended December 31,
	2016			2015			2014
Service cost—benefits earned during the period	$	15,502		$	15,902		$	12,925
Interest cost on projected benefit obligation	21,631			19,887			19,270
Expected return on assets	(23,127		)	(21,204		)	(19,031		)
Net amortization	10,135			14,465			10,283
Recognition of actuarial loss	61			180			16
Net periodic pension cost	$	24,202		$	29,230		$	23,463

Reconciliation of Benefit Obligation and Plan Assets

The following table presents a reconciliation from the beginning to the end of the year of the projected benefit obligation and plan assets for pensions. This table also presents the amounts previously recognized as a component of accumulated other comprehensive income.

Pension Benefits

	Year Ended December 31,
	2016			2015
Changes in benefit obligation:
Obligation at beginning of year	$	476,581		$	477,426
Service cost	15,502			15,902
Interest cost	21,631			19,887
Plan amendments	—			2,104
Actuarial loss (gain)	34,667			(19,226		)
Benefits paid	(20,859		)	(19,512		)
Obligation at end of year	527,522			476,581
Changes in plan assets:
Fair value at beginning of year	307,596			322,898
Return on assets	26,377			(11,333		)
Contributions	15,757			15,543
Benefits paid	(20,859		)	(19,512		)
Fair value at end of year	328,871			307,596
Funded status at year end	$	(198,651	)	$	(168,985	)

Schedule of Amounts Recognized as Components Accumulated Other Comprehensive Income

Amounts recognized in accumulated other comprehensive income consist of:
Net loss (gain)	$	167,313	$	145,623
Prior service cost	4,611		5,088
Net amounts recognized at year end	$	171,924	$	150,711

Estimated Future Payments for Post-Retirement Benefit Plans

Torchmark has estimated its expected pension benefits to be paid over the next ten years as of December 31, 2016. These estimates use the same assumptions that measure the benefit obligation at December 31, 2015, taking estimated future employee service into account. Those estimated benefits are as follows:

For the year(s)
2017	$	19,839
2018	21,198
2019	22,516
2020	24,109
2021	25,678
2022-2025	152,071

Other Benefits

Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]

Weighted Average Assumptions

The table below presents the assumptions used to determine the liabilities and costs of Torchmark’s postretirement benefit plans other than pensions.

Weighted Average Assumptions for Postretirement

Benefit Plans Other Than Pensions

For Benefit Obligations at December 31:	2016		2015
Discount Rate	4.29	%	4.66	%

For Periodic Benefit Cost for the Year:	2016		2015		2014
Discount Rate	4.66	%	4.23	%	5.12	%

Components of Net Periodic Pension Costs and Post-Retirement Benefit Costs

The components of net periodic postretirement benefit cost for plans other than pensions are as follows:

	Year Ended December 31,
	2016			2015		2014
Service cost	$	—		$	—	$	—
Interest cost on benefit obligation	1,139			1,075		646
Expected return on plan assets	—			—		—
Net amortization	33			120		2
Recognition of net actuarial (gain) loss	(132		)	367		(256		)
Net periodic postretirement benefit cost	$	1,040		$	1,562	$	392

Reconciliation of Benefit Obligation and Plan Assets

The following table presents a reconciliation of the benefit obligation and plan assets from the beginning to the end of the year. As these plans are unfunded, funded status is equivalent to the accrued benefit liability.

Benefits Other Than Pensions

	Year Ended December 31,
	2016			2015
Changes in benefit obligation:
Obligation at beginning of year	$	22,479		$	22,895
Service cost	—			—
Interest cost	1,139			1,075
Actuarial loss (gain)	412			(1,133		)
Benefits paid	(309		)	(358		)
Obligation at end of year	23,721			22,479
Changes in plan assets:
Fair value at beginning of year	—			—
Return on assets	—			—
Contributions	309			358
Benefits paid	(309		)	(358		)
Fair value at end of year	—			—
Funded status at year end	$	(23,721	)	$	(22,479	)

Schedule of Amounts Recognized as Components Accumulated Other Comprehensive Income

Amounts recognized in accumulated other comprehensive income:
Net loss(1)	$	1,959	$	1,447
Net amounts recognized at year end	$	1,959	$	1,447

(1) The net loss for benefit plans other than pensions reduces other comprehensive income.

Estimated Future Payments for Post-Retirement Benefit Plans

Estimated Future Payments for Post-Retirement Benefit Plans Other Than Pensions

For the year(s)
2017	$	1,014
2018	1,133
2019	1,247
2020	1,351
2021	1,462
2022-2025	9,811