Segment Information

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Information

We have three principal operating business segments: Unum US, Unum UK, and Colonial Life. Our other segments are Closed Block and Corporate.

Segment information is as follows:

	Three Months Ended March 31
	2016		2015
	(in millions of dollars)
Premium Income
Unum US
Group Disability
Group Long-term Disability	$	430.6	$	405.3
Group Short-term Disability	157.5		147.7
Group Life and Accidental Death & Dismemberment
Group Life	351.5		335.0
Accidental Death & Dismemberment	34.6		32.6
Supplemental and Voluntary
Individual Disability	123.9		117.9
Voluntary Benefits	203.2		191.7
	1,301.3		1,230.2
Unum UK
Group Long-term Disability	93.1		96.5
Group Life	28.7		30.5
Supplemental	17.5		12.0
	139.3		139.0
Colonial Life
Accident, Sickness, and Disability	205.6		196.5
Life	67.7		62.3
Cancer and Critical Illness	77.9		73.4
	351.2		332.2
Closed Block
Individual Disability	133.6		146.5
Long-term Care	161.7		158.2
All Other	0.4		0.2
	295.7		304.9
Total Premium Income	$	2,087.5	$	2,006.3

	Unum US		Unum UK		Colonial Life		Closed Block		Corporate			Total
	(in millions of dollars)
Three Months Ended March 31, 2016
Premium Income	$	1,301.3	$	139.3	$	351.2	$	295.7	$	—		$	2,087.5
Net Investment Income	207.4		26.8		34.0		333.4		4.8			606.4
Other Income	29.0		—		0.3		22.4		0.3			52.0
Operating Revenue	$	1,537.7	$	166.1	$	385.5	$	651.5	$	5.1		$	2,745.9
Operating Income (Loss)	$	215.9	$	33.6	$	77.4	$	33.7	$	(31.8	)	$	328.8
Three Months Ended March 31, 2015
Premium Income	$	1,230.2	$	139.0	$	332.2	$	304.9	$	—		$	2,006.3
Net Investment Income	215.0		23.5		37.0		320.4		6.1			602.0
Other Income	30.9		—		—		23.2		0.3			54.4
Operating Revenue	$	1,476.1	$	162.5	$	369.2	$	648.5	$	6.4		$	2,662.7
Operating Income (Loss)	$	214.3	$	32.6	$	77.6	$	26.7	$	(29.9	)	$	321.3

	March 31		December 31
	2016		2015
	(in millions of dollars)
Assets
Unum US	$	17,963.4	$	18,242.4
Unum UK	3,453.7		3,432.4
Colonial Life	3,759.3		3,776.8
Closed Block	33,549.7		32,992.4
Corporate	3,241.8		2,119.6
Total Assets	$	61,967.9	$	60,563.6

We measure and analyze our segment performance using non-GAAP financial measures. A non-GAAP financial measure is a numerical measure of a company's performance, financial position, or cash flows that excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. The non-GAAP financial measures of "operating revenue" and "operating income" or "operating loss" differ from total revenue and income before income tax as presented in our consolidated statements of income due to the exclusion of net realized investment gains and losses and non-operating retirement-related gains or losses as specified in the reconciliations below. We believe operating revenue and operating income or loss are better performance measures and better indicators of the revenue and profitability and underlying trends in our business.

Realized investment gains or losses depend on market conditions and do not necessarily relate to decisions regarding the underlying business of our segments. Our investment focus is on investment income to support our insurance liabilities as opposed to the generation of realized investment gains or losses. Although we may experience realized investment gains or losses which will affect future earnings levels, a long-term focus is necessary to maintain profitability over the life of the business since our underlying business is long-term in nature, and we need to earn the interest rates assumed in calculating our liabilities.

The amortization of prior period actuarial gains or losses, a component of the net periodic benefit cost for our pensions and other postretirement benefit plans, is driven by market performance as well as plan amendments and is not indicative of the operational results of our businesses. We believe that excluding the amortization of prior period gains or losses from operating income or loss provides investors with additional information for comparison and analysis of our operating results. Although we manage our non-operating retirement-related gains or losses separately from the operational performance of our business, these gains or losses impact the overall profitability of our company and have historically increased or decreased over time, depending on plan amendments and market conditions and the resulting impact on the actuarial gains or losses in our pensions and other postretirement benefit plans.

We may at other times exclude certain other items from our discussion of financial ratios and metrics in order to enhance the understanding and comparability of our operational performance and the underlying fundamentals, but this exclusion is not an indication that similar items may not recur and does not replace net income or net loss as a measure of our overall profitability.

A reconciliation of "operating revenue" to total revenue and "operating income" to income before income tax is as follows:

	Three Months Ended March 31
	2016			2015
	(in millions of dollars)
Operating Revenue	$	2,745.9		$	2,662.7
Net Realized Investment Loss	(20.5		)	(15.3		)
Total Revenue	$	2,725.4		$	2,647.4
Operating Income	$	328.8		$	321.3
Net Realized Investment Loss	(20.5		)	(15.3		)
Non-operating Retirement-related Loss	(4.1		)	(3.0		)
Income Before Income Tax	$	304.2		$	303.0