EMPLOYEE RETIREMENT PLANS

The components of net periodic benefit cost (income) for Employers Mutual’s pension and postretirement benefit plans is as follows:



	Three months ended June 30,						Six months ended June 30,
($ in thousands)	2019			2018			2019			2018
Pension plans:
Service cost	$	3,806		$	4,300		$	7,877		$	8,426
Interest cost	2,930			2,698			5,879			5,363
Expected return on plan assets	(5,423		)	(6,048		)	(10,863		)	(12,026		)
Amortization of net actuarial loss	548			143			1,146			268
Net periodic pension benefit cost	$	1,861		$	1,093		$	4,039		$	2,031

Postretirement benefit plans:
Service cost	$	352		$	368		$	705		$	736
Interest cost	545			521			1,091			1,042
Expected return on plan assets	(1,094		)	(1,203		)	(2,189		)	(2,407		)
Amortization of net actuarial loss	246			233			491			467
Amortization of prior service credit	(2,285		)	(2,782		)	(4,570		)	(5,564		)
Net periodic postretirement benefit income	$	(2,236	)	$	(2,863	)	$	(4,472	)	$	(5,726	)

Net periodic pension benefit cost allocated to the Company amounted to $559,000 and $327,000 for the three months and $1.2 million and $609,000 for the six months ended June 30, 2019 and 2018, respectively. Net periodic postretirement benefit income allocated to the Company amounted to $635,000 and $806,000 for the three months and $1.3 million and $1.6 million for the six months ended June 30, 2019 and 2018, respectively. The service cost component of net periodic pension and postretirement benefit income allocated to the Company is included in the income statement line titled "other underwriting expenses". The other components of net periodic pension and postretirement benefit income are included in the income statement line titled "other income".

Employers Mutual plans to contribute approximately $7.0 million to the pension plan in 2019. No contributions are expected to be made to the Voluntary Employee Beneficiary Association (VEBA) trust in 2019.