10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549

FORM 10-Q

(Mark One)

x	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	For the quarterly period ended March 31, 2017

¨	Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	For the transition period from ___________ to ___________

Commission file number 1-11294

Unum Group

(Exact name of registrant as specified in its charter)

Delaware	62-1598430
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
1 FOUNTAIN SQUARE
CHATTANOOGA, TENNESSEE	37402
(Address of principal executive offices)	(Zip Code)

423.294.1011

(Registrant’s telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

(Check one):

Large accelerated filer	x	Accelerated filer	¨
Non-accelerated filer	¨(Do not check if a smaller reporting company)
		Smaller reporting company	¨
		Emerging growth company	¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ¨

228,213,888 shares of the registrant's common stock were outstanding as of April 25, 2017.

TABLE OF CONTENTS

		Page
	Cautionary Statement Regarding Forward-Looking Statements	1
	PART I - FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited):	3
	Consolidated Balance Sheets at March 31, 2017 and December 31, 2016	3
	Consolidated Statements of Income for the three months ended March 31, 2017 and 2016	5
	Consolidated Statements of Comprehensive Income for the three months ended March 31, 2017 and 2016	6
	Consolidated Statements of Stockholders' Equity for the three months ended March 31, 2017 and 2016	7
	Consolidated Statements of Cash Flows for the three months ended March 31, 2017 and 2016	8
	Notes to Consolidated Financial Statements	9
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	47
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	76
Item 4.	Controls and Procedures	76
	PART II - OTHER INFORMATION
Item 1.	Legal Proceedings	77
Item 1A.	Risk Factors	77
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	77
Item 6.	Exhibits	78
	Signatures	79

Cautionary Statement Regarding Forward-Looking Statements

The Private Securities Litigation Reform Act of 1995 (the Act) provides a "safe harbor" to encourage companies to provide prospective information, as long as those statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those included in the forward-looking statements. Certain information contained in this Quarterly Report on Form 10-Q (including certain statements in the consolidated financial statements and related notes and Management's Discussion and Analysis), or in any other written or oral statements made by us in communications with the financial community or contained in documents filed with the Securities and Exchange Commission (SEC), may be considered forward-looking statements within the meaning of the Act. Forward-looking statements are those not based on historical information, but rather relate to our outlook, future operations, strategies, financial results, or other developments. Forward-looking statements speak only as of the date made. We undertake no obligation to update these statements, even if made available on our website or otherwise. These statements may be made directly in this document or may be made part of this document by reference to other documents filed by us with the SEC, a practice which is known as "incorporation by reference." You can find many of these statements by looking for words such as "will," "may," "should," "could," "believes," "expects," "anticipates," "estimates," "plans," "assumes," "intends," "projects," "goals,” "objectives," or similar expressions in this document or in documents incorporated herein.

These forward-looking statements are subject to numerous assumptions, risks, and uncertainties, many of which are beyond our control. We caution readers that the following factors, in addition to other factors mentioned from time to time, may cause actual results to differ materially from those contemplated by the forward-looking statements:

• Sustained periods of low interest rates.

• Fluctuation in insurance reserve liabilities and claim payments due to changes in claim incidence, recovery rates, mortality and morbidity rates, and policy benefit offsets due to, among other factors, the rate of unemployment and consumer confidence, the emergence of new diseases, epidemics, or pandemics, new trends and developments in medical treatments, the effectiveness of our claims operational processes, and changes in government programs.

• Unfavorable economic or business conditions, both domestic and foreign.

• Legislative, regulatory, or tax changes, both domestic and foreign, including the effect of potential legislation and increased regulation in the current political environment.

• Investment results, including, but not limited to, changes in interest rates, defaults, changes in credit spreads, impairments, and the lack of appropriate investments in the market which can be acquired to match our liabilities.

• A cyber attack or other security breach could result in the unauthorized acquisition of confidential data.

• The failure of our business recovery and incident management processes to resume our business operations in the event of a natural catastrophe, cyber attack, or other event.

• Increased competition from other insurers and financial services companies due to industry consolidation, new entrants to our markets, or other factors.

• Execution risk related to our technology needs.

• Changes in our financial strength and credit ratings.

• Damage to our reputation due to, among other factors, regulatory investigations, legal proceedings, external events, and/or inadequate or failed internal controls and procedures.

• Actual experience that deviates from our assumptions used in pricing, underwriting, and reserving.

• Actual persistency and/or sales growth that is higher or lower than projected.

• Changes in demand for our products due to, among other factors, changes in societal attitudes, the rate of unemployment, consumer confidence, and/or legislative and regulatory changes, including healthcare reform.

• Effectiveness of our risk management program.

• Contingencies and the level and results of litigation.

• Availability of reinsurance in the market and the ability of our reinsurers to meet their obligations to us.

• Ineffectiveness of our derivatives hedging programs due to changes in the economic environment, counterparty risk, ratings downgrades, capital market volatility, changes in interest rates, and/or regulation.

• Changes in accounting standards, practices, or policies.

• Fluctuation in foreign currency exchange rates.

• Ability to generate sufficient internal liquidity and/or obtain external financing.

• Recoverability and/or realization of the carrying value of our intangible assets, long-lived assets, and deferred tax assets.

• Terrorism, both within the U.S. and abroad, ongoing military actions, and heightened security measures in response to these types of threats.

1

For further discussion of risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see Part 1, Item 1A of our annual report on Form 10-K for the year ended December 31, 2016.

All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section.

2

PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

CONSOLIDATED BALANCE SHEETS

Unum Group and Subsidiaries

	March 31		December 31
	2017		2016
	(in millions of dollars)
	(Unaudited)
Assets
Investments
Fixed Maturity Securities - at fair value (amortized cost: $39,697.6; $39,552.7)	$	44,623.2	$	44,217.3
Mortgage Loans	2,068.4		2,038.9
Policy Loans	3,447.4		3,463.2
Other Long-term Investments	645.3		631.5
Short-term Investments	772.4		780.0
Total Investments	51,556.7		51,130.9
Other Assets
Cash and Bank Deposits	107.0		100.4
Accounts and Premiums Receivable	1,695.4		1,610.8
Reinsurance Recoverable	4,842.8		4,858.9
Accrued Investment Income	752.8		693.3
Deferred Acquisition Costs	2,113.2		2,094.2
Goodwill	335.7		335.1
Property and Equipment	501.2		500.6
Other Assets	619.9		617.3
Total Assets	$	62,524.7	$	61,941.5

See notes to consolidated financial statements.

3

CONSOLIDATED BALANCE SHEETS - Continued

Unum Group and Subsidiaries

	March 31			December 31
	2017			2016
	(in millions of dollars)
	(Unaudited)
Liabilities and Stockholders' Equity
Liabilities
Policy and Contract Benefits	$	1,544.8		$	1,507.9
Reserves for Future Policy and Contract Benefits	44,502.2			44,245.9
Unearned Premiums	419.5			363.7
Other Policyholders’ Funds	1,641.2			1,623.8
Income Tax Payable	65.3			20.6
Deferred Income Tax	188.5			130.3
Long-term Debt	2,984.6			2,999.4
Payables for Collateral on Investments	397.6			406.0
Other Liabilities	1,673.6			1,675.9
Total Liabilities	53,417.3			52,973.5
Commitments and Contingent Liabilities - Note 11
Stockholders' Equity
Common Stock, $0.10 par
Authorized: 725,000,000 shares
Issued: 303,993,726 and 303,552,934 shares	30.4			30.4
Additional Paid-in Capital	2,277.4			2,272.8
Accumulated Other Comprehensive Income (Loss)	0.4			(51.0		)
Retained Earnings	8,927.4			8,744.0
Treasury Stock - at cost: 75,799,192 and 73,729,992 shares	(2,128.2		)	(2,028.2		)
Total Stockholders' Equity	9,107.4			8,968.0
Total Liabilities and Stockholders' Equity	$	62,524.7		$	61,941.5

See notes to consolidated financial statements.

4

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

Unum Group and Subsidiaries

	Three Months Ended March 31
	2017			2016
	(in millions of dollars, except share data)
Revenue
Premium Income	$	2,142.9		$	2,087.5
Net Investment Income	602.4			606.4
Realized Investment Gain (Loss)
Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	—			(21.1		)
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	11.0			0.6
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Other Income	50.2			52.0
Total Revenue	2,806.5			2,725.4
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	1,749.0			1,729.8
Commissions	270.2			259.9
Interest and Debt Expense	39.8			38.6
Deferral of Acquisition Costs	(162.1		)	(152.5		)
Amortization of Deferred Acquisition Costs	141.5			132.2
Compensation Expense	207.0			207.6
Other Expenses	230.8			205.6
Total Benefits and Expenses	2,476.2			2,421.2
Income Before Income Tax	330.3			304.2
Income Tax
Current	56.6			51.0
Deferred	43.8			42.6
Total Income Tax	100.4			93.6
Net Income	$	229.9		$	210.6
Net Income Per Common Share
Basic	$	1.00		$	0.88
Assuming Dilution	$	1.00		$	0.88

See notes to consolidated financial statements.

5

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

Unum Group and Subsidiaries

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Net Income	$	229.9		$	210.6
Other Comprehensive Income (Loss)
Change in Net Unrealized Gain on Securities Before Adjustment (net of tax expense of $89.0; $414.3)	176.9			800.1
Change in Adjustment to Deferred Acquisition Costs and Reserves for Future Policy and Contract Benefits, Net of Reinsurance (net of tax benefit of $67.3; $287.7)	(134.5		)	(566.0		)
Change in Net Gain on Cash Flow Hedges (net of tax benefit of $6.0; $13.6)	(10.7		)	(26.2		)
Change in Foreign Currency Translation Adjustment	17.1			(26.4		)
Change in Unrecognized Pension and Postretirement Benefit Costs (net of tax expense of $1.5; $1.6)	2.6			3.1
Total Other Comprehensive Income	51.4			184.6
Comprehensive Income	$	281.3		$	395.2

See notes to consolidated financial statements.

6

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)

Unum Group and Subsidiaries

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Common Stock
Balance at Beginning of Year and End of Period	$	30.4		$	30.3
Additional Paid-in Capital
Balance at Beginning of Year	2,272.8			2,247.2
Common Stock Activity	4.6			6.4
Balance at End of Period	2,277.4			2,253.6
Accumulated Other Comprehensive Income
Balance at Beginning of Year	(51.0		)	16.1
Other Comprehensive Income	51.4			184.6
Balance at End of Period	0.4			200.7
Retained Earnings
Balance at Beginning of Year	8,744.0			7,995.2
Net Income	229.9			210.6
Dividends to Stockholders (per common share: $0.200; $0.185)	(46.5		)	(45.2		)
Balance at End of Period	8,927.4			8,160.6
Treasury Stock
Balance at Beginning of Year	(2,028.2		)	(1,624.9		)
Purchases of Treasury Stock	(100.0		)	(100.0		)
Balance at End of Period	(2,128.2		)	(1,724.9		)
Total Stockholders' Equity at End of Period	$	9,107.4		$	8,920.3

See notes to consolidated financial statements.

7

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

Unum Group and Subsidiaries

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Cash Flows from Operating Activities
Net Income	$	229.9		$	210.6
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities
Change in Receivables	(18.2		)	(27.3		)
Change in Deferred Acquisition Costs	(20.6		)	(20.3		)
Change in Insurance Reserves and Liabilities	128.7			113.0
Change in Income Taxes	92.5			83.0
Change in Other Accrued Liabilities	(18.3		)	(30.8		)
Non-cash Components of Net Investment Income	(103.7		)	(86.9		)
Net Realized Investment (Gain) Loss	(11.0		)	20.5
Depreciation	26.5			25.4
Other, Net	2.2			6.1
Net Cash Provided by Operating Activities	308.0			293.3
Cash Flows from Investing Activities
Proceeds from Sales of Fixed Maturity Securities	154.3			364.8
Proceeds from Maturities of Fixed Maturity Securities	568.3			348.7
Proceeds from Sales and Maturities of Other Investments	48.7			78.5
Purchases of Fixed Maturity Securities	(774.7		)	(882.7		)
Purchases of Other Investments	(95.7		)	(84.0		)
Net Sales of Short-term Investments	10.4			70.9
Net Increase (Decrease) in Payables for Collateral on Investments	(8.4		)	10.5
Net Purchases of Property and Equipment	(27.3		)	(17.2		)
Net Cash Used by Investing Activities	(124.4		)	(110.5		)
Cash Flows from Financing Activities
Long-term Debt Repayments	(15.2		)	(13.2		)
Issuance of Common Stock	1.0			1.7
Repurchase of Common Stock	(106.9		)	(108.8		)
Dividends Paid to Stockholders	(46.5		)	(45.2		)
Other, Net	(9.4		)	(9.5		)
Net Cash Used by Financing Activities	(177.0		)	(175.0		)
Net Increase in Cash and Bank Deposits	6.6			7.8
Cash and Bank Deposits at Beginning of Year	100.4			112.9
Cash and Bank Deposits at End of Period	$	107.0		$	120.7

See notes to consolidated financial statements.

8

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Unum Group and Subsidiaries

March 31, 2017

Note 1 - Basis of Presentation

The accompanying consolidated financial statements of Unum Group and its subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. For further information, refer to the consolidated financial statements and footnotes included in our annual report on Form 10-K for the year ended December 31, 2016.

In our opinion, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of full year performance.

Note 2 - Accounting Developments

Accounting Updates Adopted in 2017:

Accounting Standards Codification (ASC)	Description	Date of Adoption	Effect on Financial Statements
ASC 944 "Financial Services - Insurance"	This update changed the disclosure requirements for certain insurance contracts. These changes included a requirement to disclose the rollforward of the liability for unpaid claims and claim adjustment expenses in both interim and annual reporting periods for long-duration and short-duration insurance contracts. Additional claims disclosures were also required for short-duration contracts. The guidance is to be applied retrospectively.	January 1, 2016 for annual reporting period disclosures and January 1, 2017 for interim reporting period disclosures.	The adoption of this update expanded our interim reporting period disclosures but had no effect on our financial position or results of operations. The annual reporting period disclosure requirements were only applicable to our individual dental products, which we deem immaterial, and therefore did not alter our annual disclosures.
ASC 718 "Compensation - Stock Compensation"	This update changed the accounting and disclosure requirements for certain aspects of share-based payments to employees. The update required all income tax effects of stock-based compensation awards to be recognized in the income statement when the awards vest or are settled. The update also allows an employer to repurchase more of an employee's shares than it can today for tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. Additionally, the update required reclassification of tax-related cash flows resulting from share-based payments to be classified as operating activities instead of financing activities on the statement of cash flows. Transition guidance for the amendments varies between the retrospective, modified retrospective, and prospective methods depending on the specific requirement of the update.	January 1, 2017	The adoption of this update did not have a material effect on our financial position or results of operations; however, it reduced our effective income tax rate by approximately one percent in the first quarter of 2017. During periods in which the vesting date fair value differs from the grant date fair value of certain stock-based compensation awards, we may experience volatility in the income tax recognized in our results of operations. The amendment related to the reclassification of tax-related cash flows in our consolidated statements of cash flows has been applied prospectively.

9

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 2 - Accounting Developments - Continued

Accounting Updates Outstanding:

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 230 "Statement of Cash Flows"	This update provides clarifying guidance intended to reduce the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update addresses eight specific cash flow issues that relate to various transactions. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of this update will result in reclassifications to certain cash receipts and payments within our consolidated statements of cash flows but will have no effect on our financial position or results of operations.
ASC 606 "Revenue from Contracts with Customers"	These updates supersede virtually all existing guidance regarding the recognition of revenue from customers. Specifically excluded from the scope of these updates are insurance contracts, although our fee-based service products, which represent less than one percent of our total revenue, are included within the scope. The core principle of this guidance is that revenue recognition should depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of these updates will not have a material effect on our financial position or results of operations.
ASC 740 "Income Taxes"	This update eliminates the exception that requires intra-entity asset transfers other than inventory to be deferred until the transferred asset is sold to a third party or otherwise recovered through use.  It requires recognition of tax expense from the sale of the asset in the seller’s tax jurisdiction when the transfer occurs, even though the pre-tax effects of that transaction are eliminated in consolidation. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 825 "Financial Instruments - Overall"	This update changes the accounting and disclosure requirements for certain financial instruments. These changes include a requirement to measure equity investments, other than those that result in consolidation or are accounted for under the equity method, at fair value through net income unless the investment qualifies for certain practicability exceptions. In addition, the update clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale fixed maturity securities. Changes also include the modification of certain disclosures around the fair value of financial instruments, including the requirement for separate presentation of financial assets and liabilities by measurement category, as well as the elimination of certain disclosures around methods and significant assumptions used to estimate fair value. The guidance is to be applied retrospectively and early adoption is generally not permitted.	January 1, 2018	We have determined that certain of our limited partnership investments are within the scope of this update. We continue to evaluate the impact of this update, but do not expect this to have a material impact on our financial position or results of operations. This update could potentially increase volatility in our results of operations and we will be required to modify certain of our disclosures upon adoption.

10

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 2 - Accounting Developments - Continued

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 715 "Compensation - Retirement Benefits"	This update requires the service cost component of net periodic pension and postretirement benefit costs to be included as a component of compensation costs in an entity's statement of income. Other components of net periodic pension and postretirement benefit costs are required to be presented separately from the service cost along with a disclosure identifying the line items in which these costs are presented in the statement of income. The amendments in this update are to be applied retrospectively or prospectively depending on the specific requirement of the update, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 842 "Leases"	This update changes the accounting for leases, requiring lessees to report most leases on their balance sheets, regardless of whether the lease is classified as a finance lease or an operating lease. For lessees, the initial lease liability is equal to the present value of lease payments, and a corresponding asset, adjusted for certain items, is also recorded. Expense recognition for lessees will remain similar to current accounting requirements for capital and operating leases. For lessors, the guidance modifies the classification criteria and the accounting for sales-type and direct financing leases. The guidance is to be applied using a modified retrospective approach at the beginning of the earliest comparative period presented and early adoption is permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 310 "Receivables - Nonrefundable Fees and Other Costs"	This update shortens the amortization period to the earliest call date for certain callable debt securities held at a premium. This update does not impact securities held at a discount. The guidance is to be applied using a modified retrospective approach, with early adoption permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 350 "Intangibles - Goodwill and Other"	This update eliminates the requirement to calculate the implied fair value of goodwill (the second step in the current two-step test) to measure a goodwill impairment charge. Instead, entities should perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the excess of the carrying amount over the fair value, with the loss not to exceed the total amount of goodwill allocated to that reporting unit. The guidance is to be applied prospectively, with early adoption permitted for goodwill impairment tests performed on testing dates after January 1, 2017.	January 1, 2020	The adoption of this update will not have a material effect on our financial position or results of operations.

11

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 2 - Accounting Developments - Continued

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 326 "Financial Instruments - Credit Losses"	This update amends the guidance on the impairment of financial instruments. The update adds an impairment model known as the current expected credit loss model that is based on expected losses rather than incurred losses and will generally result in earlier recognition of allowances for losses. The current expected credit loss model applies to financial instruments such as mortgage loans, fixed maturity securities classified as held-to-maturity, and certain receivables. The update also modifies the other-than-temporary impairment model used for available-for-sale fixed maturity securities such that credit losses are recognized as an allowance rather than as a reduction in the amortized cost of the security. The reversal of previously recognized credit losses on available-for-sale fixed maturity securities is allowed under specified circumstances. Additional disclosures will also be required, including information used to develop the allowance for losses. The guidance is to be applied to most instruments in scope using a modified retrospective approach at the beginning of the earliest comparative period presented with early adoption permitted. For available-for-sale fixed maturity securities, the update is applied prospectively. Other-than-temporary impairment losses recognized on available-for-sale fixed maturity securities prior to adoption of the update cannot be reversed.	January 1, 2020	We have not yet determined the expected impact on our financial position or results of operations.

12

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments

Presented as follows are the carrying amounts and fair values of financial instruments. The carrying values of financial instruments such as short-term investments, cash and bank deposits, accounts and premiums receivable, accrued investment income, and securities lending agreements approximate fair value due to the short-term nature of the instruments. As such, these financial instruments are not included in the following chart.

	March 31, 2017				December 31, 2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(in millions of dollars)
Assets
Fixed Maturity Securities	$	44,623.2	$	44,623.2	$	44,217.3	$	44,217.3
Mortgage Loans	2,068.4		2,162.4		2,038.9		2,122.2
Policy Loans	3,447.4		3,548.2		3,463.2		3,564.2
Other Long-term Investments
Derivatives	29.3		29.3		32.7		32.7
Equity Securities	1.2		1.2		1.2		1.2
Miscellaneous Long-term Investments	559.3		559.3		541.9		541.9
Liabilities
Policyholders' Funds
Deferred Annuity Products	$	594.5	$	594.5	$	597.4	$	597.4
Supplementary Contracts without Life Contingencies	610.9		610.9		608.8		608.8
Long-term Debt	2,984.6		3,222.7		2,999.4		3,175.8
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0		350.0		350.0		350.0
Other Liabilities
Derivatives	53.0		53.0		52.8		52.8
Embedded Derivative in Modified Coinsurance Arrangement	38.1		38.1		46.7		46.7
Unfunded Commitments to Investment Partnerships	4.7		4.7		5.0		5.0

The methods and assumptions used to estimate fair values of financial instruments are discussed as follows.

Fair Value Measurements for Financial Instruments Not Carried at Fair Value

Mortgage Loans: Fair values are estimated using discounted cash flow analyses and interest rates currently being offered for similar loans to borrowers with similar credit ratings and maturities. Loans with similar characteristics are aggregated for purposes of the calculations. These financial instruments are assigned a Level 2 within the fair value hierarchy.

Policy Loans: Fair values for policy loans, net of reinsurance ceded, are estimated using discounted cash flow analyses and interest rates currently being offered to policyholders with similar policies. Carrying amounts for ceded policy loans, which equal $3,188.6 million and $3,206.1 million as of March 31, 2017 and December 31, 2016, respectively, approximate fair value and are reported on a gross basis in our consolidated balance sheets. A change in interest rates for ceded policy loans will not impact our financial position because the benefits and risks are fully ceded to reinsuring counterparties. These financial instruments are assigned a Level 3 within the fair value hierarchy.

Miscellaneous Long-term Investments: Carrying amounts for tax credit partnerships equal the unamortized balance of our contractual commitments and approximate fair value. Fair values for private equity partnerships are primarily derived from net asset values provided by the general partner in the partnerships' financial statements. Our private equity partnerships represent funds that are primarily invested in railcar leasing, the financial services industry, mezzanine debt, and bank loans. Distributions received from the funds arise from income generated by the underlying investments as well as the liquidation of the underlying investments. As of March 31, 2017, we estimate that the underlying assets of the funds will be liquidated over the next one to ten years. These financial instruments are assigned a Level 3 within the fair value hierarchy. Our shares of FHLB common

13

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

stock are carried at cost, which approximates fair value. These financial instruments are considered restricted investments and are assigned a Level 2 within the fair value hierarchy.

Policyholders' Funds: Policyholders' funds are comprised primarily of deferred annuity products and supplementary contracts without life contingencies and represent customer deposits plus interest credited at contract rates. Carrying amounts approximate fair value. These financial instruments are assigned a Level 3 within the fair value hierarchy.

Fair values for insurance contracts other than investment contracts are not required to be disclosed. However, the fair values of liabilities under all insurance contracts are taken into consideration in our overall management of interest rate risk, which seeks to minimize exposure to changing interest rates through the matching of investment maturities with amounts due under insurance contracts.

Long-term Debt: Fair values for long-term debt are obtained from independent pricing services or discounted cash flow analyses based on current incremental borrowing rates for similar types of borrowing arrangements. Debt instruments which are valued by pricing services using active trades for which there was current market activity in that specific debt instrument have fair values of $2,040.4 million and $709.8 million as of March 31, 2017 and December 31, 2016, respectively, and are assigned a Level 1 within the fair value hierarchy. Debt instruments which are valued by pricing services that generally use observable inputs for securities or comparable securities in active markets in their valuation techniques have fair values of $1,182.3 million and $2,466.0 million as of March 31, 2017 and December 31, 2016, respectively, and are assigned a Level 2.

FHLB Funding Agreements: Funding agreements with the FHLB represent cash advances used for the purpose of investing in fixed maturity securities. Carrying amounts approximate fair value and are assigned a Level 2 within the fair value hierarchy.

Unfunded Commitments to Investment Partnerships: Unfunded equity commitments represent amounts that we have committed to fund certain investment partnerships. These commitments are legally binding, subject to the partnerships meeting specified conditions. Carrying amounts approximate fair value and are assigned a Level 2 within the fair value hierarchy.

Fair Value Measurements for Financial Instruments Carried at Fair Value

We report fixed maturity securities, derivative financial instruments, and unrestricted equity securities at fair value in our consolidated balance sheets. The degree of judgment utilized in measuring the fair value of financial instruments generally correlates to the level of pricing observability. Financial instruments with readily available active quoted prices or for which fair value can be measured from actively quoted prices in active markets generally have more pricing observability and less judgment utilized in measuring fair value. An active market for a financial instrument is a market in which transactions for an asset or a similar asset occur with sufficient frequency and volume to provide pricing information on an ongoing basis. A quoted price in an active market provides the most reliable evidence of fair value and should be used to measure fair value whenever available. Conversely, financial instruments rarely traded or not quoted have less observability and are measured at fair value using valuation techniques that require more judgment. Pricing observability is generally impacted by a number of factors, including the type of financial instrument, whether the financial instrument is new to the market and not yet established, the characteristics specific to the transaction, and overall market conditions.

Valuation techniques used for assets and liabilities accounted for at fair value are generally categorized into three types. The market approach uses prices and other relevant information from market transactions involving identical or comparable assets or liabilities. The income approach converts future amounts, such as cash flows or earnings, to a single present amount, or a discounted amount. The cost approach is based upon the amount that currently would be required to replace the service capacity of an asset, or the current replacement cost.

We use valuation techniques that are appropriate in the circumstances and for which sufficient data are available that can be obtained without undue cost and effort. In some cases, a single valuation technique will be appropriate (for example, when valuing an asset or liability using quoted prices in an active market for identical assets or liabilities). In other cases, multiple valuation techniques will be appropriate. If we use multiple valuation techniques to measure fair value, we evaluate and weigh the results, as appropriate, considering the reasonableness of the range indicated by those results. A fair value measurement is the point within that range that is most representative of fair value in the circumstances.

14

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

The selection of the valuation method(s) to apply considers the definition of an exit price and depends on the nature of the asset or liability being valued. For assets and liabilities accounted for at fair value, we generally use valuation techniques consistent with the market approach, and to a lesser extent, the income approach. We believe the market approach provides more observable data than the income approach, considering the type of investments we hold. Our fair value measurements could differ significantly based on the valuation technique and available inputs. When using a pricing service, we obtain the vendor's pricing documentation to ensure we understand their methodologies. We periodically review and approve the selection of our pricing vendors to ensure we are in agreement with their current methodologies. When markets are less active, brokers may rely more on models with inputs based on the information available only to the broker. Our internal investment management professionals, which include portfolio managers and analysts, monitor securities priced by brokers and evaluate their prices for reasonableness based on benchmarking to available primary and secondary market information. In weighing a broker quote as an input to fair value, we place less reliance on quotes that do not reflect the result of market transactions. We also consider the nature of the quote, particularly whether the quote is a binding offer. If prices in an inactive market do not reflect current prices for the same or similar assets, adjustments may be necessary to arrive at fair value. When relevant market data is unavailable, which may be the case during periods of market uncertainty, the income approach can, in suitable circumstances, provide a more appropriate fair value. During 2017, we have applied valuation approaches and techniques on a consistent basis to similar assets and liabilities and consistent with those approaches and techniques used at year end 2016.

We use observable and unobservable inputs in measuring the fair value of our fixed maturity and equity securities. For securities categorized as Level 1, fair values equal active Trade Reporting and Compliance Engine (TRACE) pricing or unadjusted broker market maker prices. For securities categorized as Level 2 or Level 3, inputs that may be used in valuing each class of securities at any given time period are presented as follows. Actual inputs used to determine fair values will vary for each reporting period depending on the availability of inputs which may, at times, be affected by the lack of market liquidity.

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
United States Government and Government Agencies and Authorities
	Valuation Approaches	Principally the market approach	Not applicable
	Valuation Techniques / Inputs	Prices obtained from external pricing services
States, Municipalities, and Political Subdivisions
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Relevant reports issued by analysts and rating agencies	Non-binding broker quotes
		Audited financial statements	Security and issuer level spreads
Foreign Governments
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Non-binding broker quotes
		Call provisions	Security and issuer level spreads
Public Utilities
	Valuation Approaches	Principally the market and income approaches	Principally the market and income approaches
	Valuation Techniques / Inputs	TRACE pricing	Change in benchmark reference
		Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability

15

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
		Non-binding broker quotes	Discount for size - illiquidity
		Benchmark yields	Non-binding broker quotes
		Transactional data for new issuances and secondary trades	Lack of marketability
		Security cash flows and structures	Security and issuer level spreads
		Recent issuance / supply	Volatility of credit
		Matrix pricing	Matrix pricing
		Security and issuer level spreads
		Security creditor ratings/maturity/capital structure/optionality
		Public covenants
		Comparative bond analysis
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
Mortgage/Asset-Backed Securities
	Valuation Approaches	Principally the market and income approaches	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Non-binding broker quotes
		Security cash flows and structures	Security and issuer level spreads
		Underlying collateral
		Prepayment speeds/loan performance/delinquencies
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
All Other Corporate Bonds
	Valuation Approaches	Principally the market and income approaches	Principally the market and income approaches
	Valuation Techniques / Inputs	TRACE pricing	Change in benchmark reference
		Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Discount for size - illiquidity
		Benchmark yields	Non-binding broker quotes
		Transactional data for new issuances and secondary trades	Lack of marketability
		Security cash flows and structures	Security and issuer level spreads
		Recent issuance / supply	Volatility of credit
		Matrix pricing	Matrix pricing
		Security and issuer level spreads
		Security creditor ratings/maturity/capital structure/optionality
		Public covenants
		Comparative bond analysis
		Relevant reports issued by analysts and rating agencies
		Audited financial statements

16

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
Redeemable Preferred Stocks
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Non-binding broker quotes	Non-binding broker quotes
		Benchmark yields
		Comparative bond analysis
		Call provisions
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
Equity Securities
	Valuation Approaches	Principally the market approach	Principally the market and income approaches
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Financial statement analysis
		Non-binding broker quotes	Non-binding broker quotes

The management of our investment portfolio includes establishing pricing policy and reviewing the reasonableness of sources and inputs used in developing pricing. We review all prices obtained to ensure they are consistent with a variety of observable market inputs and to verify the validity of a security's price.  In the event we receive a vendor's market price that does not appear reasonable based on our market analysis, we may challenge the price and request further information about the assumptions and methodologies used by the vendor to price the security. We may change the vendor price based on a better data source such as an actual trade. We also review all price changes from the prior month which fall outside a predetermined corridor. The overall valuation process for determining fair values may include adjustments to valuations obtained from our pricing sources when they do not represent a valid exit price. These adjustments may be made when, in our judgment and considering our knowledge of the financial conditions and industry in which the issuer operates, certain features of the financial instrument require that an adjustment be made to the value originally obtained from our pricing sources. These features may include the complexity of the financial instrument, the market in which the financial instrument is traded, counterparty credit risk, credit structure, concentration, or liquidity. Additionally, an adjustment to the price derived from a model typically reflects our judgment of the inputs that other participants in the market for the financial instrument being measured at fair value would consider in pricing that same financial instrument. In the event an asset is sold, we test the validity of the fair value determined by our valuation techniques by comparing the selling price to the fair value determined for the asset in the immediately preceding month end reporting period.

The parameters and inputs used to validate a price on a security may be adjusted for assumptions about risk and current market conditions on a quarter to quarter basis, as certain features may be more significant drivers of valuation at the time of pricing. Changes to inputs in valuations are not changes to valuation methodologies; rather, the inputs are modified to reflect direct or indirect impacts on asset classes from changes in market conditions.

Fair values for derivatives other than embedded derivatives in modified coinsurance arrangements are based on market quotes or pricing models and represent the net amount of cash we would have paid or received if the contracts had been settled or closed as of the last day of the period. We analyze credit default swap spreads relative to the average credit spread embedded within the LIBOR-setting syndicate in determining the effect of credit risk on our derivatives' fair values.  If net counterparty credit risk for a derivative asset is determined to be material and is not adequately reflected in the LIBOR-based fair value obtained from our pricing sources, we adjust the valuations obtained from our pricing sources. For purposes of valuing net counterparty risk, we measure the fair value of a group of financial assets and financial liabilities on the basis of the price that would be received to sell a net long position or transfer a net short position for a particular risk exposure in an orderly transaction between market participants at the measurement date under current market conditions. In regard to our own credit risk component, we adjust the valuation of derivative liabilities wherein the counterparty is exposed to our credit risk when the LIBOR-based valuation of our derivatives obtained from pricing sources does not effectively include an adequate credit component for our own credit risk.

17

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

Fair values for our embedded derivative in a modified coinsurance arrangement are estimated using internal pricing models and represent the hypothetical value of the duration mismatch of assets and liabilities, interest rate risk, and third party credit risk embedded in the modified coinsurance arrangement.

Certain of our investments do not have readily determinable market prices and/or observable inputs or may at times be affected by the lack of market liquidity. For these securities, we use internally prepared valuations combining matrix pricing with vendor purchased software programs, including valuations based on estimates of future profitability, to estimate the fair value. Additionally, we may obtain prices from independent third-party brokers to aid in establishing valuations for certain of these securities. Key assumptions used by us to determine fair value for these securities include risk free interest rates, risk premiums, performance of underlying collateral (if any), and other factors involving significant assumptions which may or may not reflect those of an active market.

At March 31, 2017, approximately 24.3 percent of our fixed maturity securities were valued using active trades from TRACE pricing or broker market maker prices for which there was current market activity in that specific security (comparable to receiving one binding quote).  The prices obtained were not adjusted, and the assets were classified as Level 1, the highest category of the three-level fair value hierarchy classification wherein inputs are unadjusted and represent quoted prices in active markets for identical assets or liabilities.

The remaining 75.7 percent of our fixed maturity securities were valued based on non-binding quotes or other observable and unobservable inputs, as discussed below.

• Approximately 60.8 percent of our fixed maturity securities were valued based on prices from pricing services that generally use observable inputs such as prices for securities or comparable securities in active markets in their valuation techniques. These assets were classified as Level 2.  Level 2 assets or liabilities are those valued using inputs (other than prices included in Level 1) that are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument's anticipated life.

• Approximately 3.9 percent of our fixed maturity securities were valued based on one or more non-binding broker quotes, if validated by observable market data, or on TRACE prices for identical or similar assets absent current market activity. When only one price is available, it is used if observable inputs and analysis confirms that it is appropriate. These assets, for which we were able to validate the price using other observable market data, were classified as Level 2.

• Approximately 11.0 percent of our fixed maturity securities were valued based on prices of comparable securities, matrix pricing, market models, and/or internal models or were valued based on non-binding quotes with no other observable market data. These assets were classified as either Level 2 or Level 3, with the categorization dependent on whether there was other observable market data.  Level 3 is the lowest category of the fair value hierarchy and reflects the judgment of management regarding what market participants would use in pricing assets or liabilities at the measurement date. Financial assets and liabilities categorized as Level 3 are generally those that are valued using unobservable inputs to extrapolate an estimated fair value.

We consider transactions in inactive or disorderly markets to be less representative of fair value. We use all available observable inputs when measuring fair value, but when significant other unobservable inputs and adjustments are necessary, we classify these assets or liabilities as Level 3.

18

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

Fair value measurements by input level for financial instruments carried at fair value are as follows:

	March 31, 2017
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	330.9	$	1,085.4	$	—	$	1,416.3
States, Municipalities, and Political Subdivisions	—		2,173.5		0.4		2,173.9
Foreign Governments	—		917.8		—		917.8
Public Utilities	1,160.1		6,614.4		312.5		8,087.0
Mortgage/Asset-Backed Securities	—		2,155.4		—		2,155.4
All Other Corporate Bonds	9,356.5		19,551.6		923.0		29,831.1
Redeemable Preferred Stocks	—		18.8		22.9		41.7
Total Fixed Maturity Securities	10,847.5		32,516.9		1,258.8		44,623.2
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		29.3		—		29.3
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	6.9	$	—	$	6.9
Foreign Exchange Contracts	—		45.5		—		45.5
Credit Default Swaps	—		0.6		—		0.6
Embedded Derivative in Modified Coinsurance Arrangement	—		—		38.1		38.1
Total Derivatives	—		53.0		38.1		91.1

19

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

	December 31, 2016
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	454.2	$	928.2	$	—	$	1,382.4
States, Municipalities, and Political Subdivisions	—		2,068.5		89.5		2,158.0
Foreign Governments	—		914.7		—		914.7
Public Utilities	108.5		7,648.9		265.3		8,022.7
Mortgage/Asset-Backed Securities	—		2,230.4		—		2,230.4
All Other Corporate Bonds	3,507.1		24,500.4		1,459.7		29,467.2
Redeemable Preferred Stocks	—		18.7		23.2		41.9
Total Fixed Maturity Securities	4,069.8		38,309.8		1,837.7		44,217.3
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		32.7		—		32.7
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	7.6	$	—	$	7.6
Foreign Exchange Contracts	—		44.8		—		44.8
Credit Default Swaps	—		0.4		—		0.4
Embedded Derivative in Modified Coinsurance Arrangement	—		—		46.7		46.7
Total Derivatives	—		52.8		46.7		99.5

Transfers of assets between Level 1 and Level 2 are as follows:

	Three Months Ended March 31
	2017				2016
	Transfers into
	Level 1 from Level 2		Level 2 from Level 1		Level 1 from Level 2		Level 2 from Level 1
	(in millions of dollars)
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	54.5	$	180.0	$	423.8	$	—
Public Utilities	1,103.9		57.5		511.6		43.0
All Other Corporate Bonds	6,317.0		1,075.3		5,352.0		786.4
Total Fixed Maturity Securities	$	7,475.4	$	1,312.8	$	6,287.4	$	829.4

Transfers between Level 1 and Level 2 occurred due to the change in availability of either a TRACE or broker market maker price. Depending on current market conditions, the availability of these Level 1 prices can vary from period to period. For fair value measurements of financial instruments that were transferred either into or out of Level 1 or 2, we reflect the transfers using the fair value at the beginning of the period.

20

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

Changes in assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) are as follows:

	Three Months Ended March 31, 2017
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	89.5		$	—		$	—		$	—	$	—		$	0.4	$	(89.5	)	$	0.4
Public Utilities	265.3			—			1.8			8.0		—			112.6		(75.2		)	312.5
All Other Corporate Bonds	1,459.7			—			13.1			—		(36.4		)	143.9		(657.3		)	923.0
Redeemable Preferred Stocks	23.2			—			(0.3		)	—		—			—		—			22.9
Total Fixed Maturity Securities	1,837.7			—			14.6			8.0		(36.4		)	256.9		(822.0		)	1,258.8
Equity Securities	1.2			—			—			—		—			—		—			1.2
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	8.6			—			—		—			—		—			(38.1		)
	Three Months Ended March 31, 2016
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	122.2		$	—		$	0.6		$	—	$	—		$	—	$	(34.1	)	$	88.7
Foreign Governments	52.9			—			1.0			—		—			—		—			53.9
Public Utilities	274.1			—			4.2			—		—			94.5		(102.6		)	270.2
All Other Corporate Bonds	1,408.2			(1.6		)	15.6			—		(28.0		)	282.6		(602.1		)	1,074.7
Redeemable Preferred Stocks	23.8			—			(0.4		)	—		—			—		—			23.4
Total Fixed Maturity Securities	1,881.2			(1.6		)	21.0			—		(28.0		)	377.1		(738.8		)	1,510.9
Equity Securities	1.4			—			—			—		—			—		(0.2		)	1.2
Embedded Derivative in Modified Coinsurance Arrangement	(87.6		)	(5.6		)	—			—		—			—		—			(93.2		)

21

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

Realized and unrealized investment gains and losses presented in the preceding tables represent gains and losses only for the time during which the applicable financial instruments were classified as Level 3. The transfers between levels resulted primarily from a change in observability of three inputs used to determine fair values of the securities transferred: (1) transactional data for new issuance and secondary trades, (2) broker/dealer quotes and pricing, primarily related to changes in the level of activity in the market and whether the market was considered orderly, and (3) comparable bond metrics from which to perform an analysis. For fair value measurements of financial instruments that were transferred either into or out of Level 3, we reflect the transfers using the fair value at the beginning of the period. We believe this allows for greater transparency, as all changes in fair value that arise during the reporting period of the transfer are disclosed as a component of our Level 3 reconciliation. Gains (losses) which are included in earnings and are attributable to the change in fair value of assets or liabilities valued using significant unobservable inputs and still held at period end were $8.6 million and $(5.6) million for the three months ended March 31, 2017 and 2016, respectively. These amounts relate entirely to the change in fair value of an embedded derivative in a modified coinsurance arrangement and are reported as a component of realized investment gains and losses.

The table below provides quantitative information regarding the significant unobservable inputs used in Level 3 fair value measurements derived from internal models. Certain securities classified as Level 3 are excluded from the table below due to limitations in our ability to obtain the underlying inputs used by external pricing sources.

	March 31, 2017
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	328.2		Lack of Marketability Volatility of Credit Market Convention	(c) (d) (e)	0.25% - 0.25% / 0.25% 0.20% - 6.04% / 0.74% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(38.1		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

	December 31, 2016
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	310.4		Comparability Adjustment Discount for Size Lack of Marketability Volatility of Credit Market Convention	(a) (b) (c) (d) (e)	0.50% - 0.50% / 0.50% 0.50% - 0.50% / 0.50% 0.20% - 0.25% / 0.23% 0.20% - 6.04% / 0.70% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

(a) Represents basis point adjustments for changes in benchmark spreads associated with various industry sectors

(b) Represents basis point adjustments based on issue/issuer size relative to the benchmark

(c) Represents basis point adjustments to apply a discount due to the illiquidity of an investment

(d) Represents basis point adjustments for credit-specific factors

(e) Represents a decision to price based on par value, cost, or owner's equity when limited data is available

(f) Represents various actuarial assumptions required to derive the liability cash flows including incidence, termination, and lapse rates

22

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 3 - Fair Values of Financial Instruments - Continued

Isolated increases in unobservable inputs other than market convention will result in a lower fair value measurement, whereas isolated decreases will result in a higher fair value measurement. The unobservable input for market convention is not sensitive to input movements. The projected liability cash flows used in the fair value measurement of our Level 3 embedded derivative are based on expected claim payments. If claim payments increase, the projected liability cash flows will increase, resulting in a decrease in the fair value of the embedded derivative. Decreases in projected liability cash flows will result in an increase in the fair value of the embedded derivative.

Note 4 - Investments

Fixed Maturity Securities

At March 31, 2017 and December 31, 2016, all fixed maturity securities were classified as available-for-sale. The amortized cost and fair values of securities by security type are shown as follows:

	March 31, 2017
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,237.2	$	182.7	$	3.6	$	1,416.3
States, Municipalities, and Political Subdivisions	1,877.3		299.7		3.1		2,173.9
Foreign Governments	713.3		204.5		—		917.8
Public Utilities	6,945.9		1,156.0		14.9		8,087.0
Mortgage/Asset-Backed Securities	2,041.1		124.4		10.1		2,155.4
All Other Corporate Bonds	26,843.8		3,117.0		129.7		29,831.1
Redeemable Preferred Stocks	39.0		2.9		0.2		41.7
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	161.6	$	44,623.2

	December 31, 2016
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,202.8	$	183.1	$	3.5	$	1,382.4
States, Municipalities, and Political Subdivisions	1,868.0		294.8		4.8		2,158.0
Foreign Governments	714.8		199.9		—		914.7
Public Utilities	6,916.1		1,123.5		16.9		8,022.7
Mortgage/Asset-Backed Securities	2,104.9		134.7		9.2		2,230.4
All Other Corporate Bonds	26,707.1		2,944.0		183.9		29,467.2
Redeemable Preferred Stocks	39.0		3.2		0.3		41.9
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	218.6	$	44,217.3

23

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

The following charts indicate the length of time our fixed maturity securities have been in a gross unrealized loss position.

	March 31, 2017
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	157.8	$	3.6	$	—	$	—
States, Municipalities, and Political Subdivisions	111.1		3.1		—		—
Public Utilities	260.5		9.9		31.5		5.0
Mortgage/Asset-Backed Securities	499.8		9.7		9.3		0.4
All Other Corporate Bonds	2,811.1		74.9		672.4		54.8
Redeemable Preferred Stocks	7.9		0.1		10.9		0.1
Total Fixed Maturity Securities	$	3,848.2	$	101.3	$	724.1	$	60.3

	December 31, 2016
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	132.8	$	3.5	$	—	$	—
States, Municipalities, and Political Subdivisions	132.2		4.8		—		—
Public Utilities	260.2		15.3		15.6		1.6
Mortgage/Asset-Backed Securities	513.2		9.1		0.8		0.1
All Other Corporate Bonds	3,621.0		122.1		774.7		61.8
Redeemable Preferred Stocks	7.9		0.1		10.8		0.2
Total Fixed Maturity Securities	$	4,667.3	$	154.9	$	801.9	$	63.7

24

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

The following is a distribution of the maturity dates for fixed maturity securities. The maturity dates have not been adjusted for possible calls or prepayments.

	March 31, 2017
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,339.7	$	27.0	$	1,348.5	$	—	$	18.2
Over 1 year through 5 years	6,121.0		552.4		6,499.1		5.7		168.6
Over 5 years through 10 years	11,177.3		931.0		10,124.5		59.2		1,924.6
Over 10 years	19,018.5		3,452.4		20,432.5		86.6		1,951.8
	37,656.5		4,962.8		38,404.6		151.5		4,063.2
Mortgage/Asset-Backed Securities	2,041.1		124.4		1,646.3		10.1		509.1
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	40,050.9	$	161.6	$	4,572.3

	December 31, 2016
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,338.8	$	28.6	$	1,355.6	$	—	$	11.8
Over 1 year through 5 years	6,231.0		553.5		6,605.6		8.2		170.7
Over 5 years through 10 years	10,991.6		843.8		9,336.2		82.8		2,416.4
Over 10 years	18,886.4		3,322.6		19,734.3		118.4		2,356.3
	37,447.8		4,748.5		37,031.7		209.4		4,955.2
Mortgage/Asset-Backed Securities	2,104.9		134.7		1,716.4		9.2		514.0
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	38,748.1	$	218.6	$	5,469.2

At March 31, 2017, the fair value of investment-grade fixed maturity securities was $41,262.5 million, with a gross unrealized gain of $4,948.7 million and a gross unrealized loss of $108.1 million. The gross unrealized loss on investment-grade fixed maturity securities was 66.9 percent of the total gross unrealized loss on fixed maturity securities. Unrealized losses on investment-grade fixed maturity securities principally relate to changes in interest rates or changes in market or sector credit spreads which occurred subsequent to the acquisition of the securities.

At March 31, 2017, the fair value of below-investment-grade fixed maturity securities was $3,360.7 million, with a gross unrealized gain of $138.5 million and a gross unrealized loss of $53.5 million. The gross unrealized loss on below-investment-grade fixed maturity securities was 33.1 percent of the total gross unrealized loss on fixed maturity securities. Generally, below-investment-grade fixed maturity securities are more likely to develop credit concerns than investment-grade securities. At March 31, 2017, the unrealized losses in our below-investment-grade fixed maturity securities were generally due to credit spreads in certain industries or sectors and, to a lesser extent, credit concerns related to specific securities. For each specific security in an unrealized loss position, we believe that there are positive factors which mitigate credit concerns and that the securities for which we have not recorded an other-than-temporary impairment will recover in value.

As of March 31, 2017, we held 299 individual investment-grade fixed maturity securities and 59 individual below-investment-grade fixed maturity securities that were in an unrealized loss position, of which 16 investment-grade fixed maturity securities and 32 below-investment-grade fixed maturity securities had been in an unrealized loss position continuously for over one year. Of the 299 individual investment-grade securities in an unrealized loss position, 123 are held in the portfolio acquired through our 2016 purchase of H&J Capital, L.L.C., parent of Starmount Life Insurance Company and AlwaysCare Benefits (which collectively we refer to as Starmount). The fair value of the Starmount portfolio was $39.2 million and had a net unrealized loss of $1.2 million at March 31, 2017.

25

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

In determining when a decline in fair value below amortized cost of a fixed maturity security is other than temporary, we evaluate the following factors:

• Whether we expect to recover the entire amortized cost basis of the security

• Whether we intend to sell the security or will be required to sell the security before the recovery of its amortized cost basis

• Whether the security is current as to principal and interest payments

• The significance of the decline in value

• The time period during which there has been a significant decline in value

• Current and future business prospects and trends of earnings

• The valuation of the security's underlying collateral

• Relevant industry conditions and trends relative to their historical cycles

• Market conditions

• Rating agency and governmental actions

• Bid and offering prices and the level of trading activity

• Adverse changes in estimated cash flows for securitized investments

• Changes in fair value subsequent to the balance sheet date

• Any other key measures for the related security

While determining other-than-temporary impairments is a judgmental area, we utilize a formal, well-defined, and disciplined process to monitor and evaluate our fixed income investment portfolio, supported by issuer specific research and documentation as of the end of each period. The process results in a thorough evaluation of problem investments and the recording of losses on a timely basis for investments determined to have an other-than-temporary impairment.

We held no fixed maturity securities as of March 31, 2017 or December 31, 2016 for which a portion of an other-than-temporary impairment was recognized in accumulated other comprehensive income.

At March 31, 2017, we had commitments of $38.0 million to fund private placement fixed maturity securities, the amount of which may or may not be funded. 

Variable Interest Entities

We invest in variable interests issued by variable interest entities. These investments include tax credit partnerships, private equity partnerships, and special purpose entities. For those variable interests that are not consolidated in our financial statements, we are not the primary beneficiary because we have neither the power to direct the activities that are most significant to economic performance nor the responsibility to absorb a majority of the expected losses. The determination of whether we are the primary beneficiary is performed at the time of our initial investment and at the date of each subsequent reporting period.

As of March 31, 2017, the carrying amount of our variable interest entity investments that are not consolidated in our financial statements was $527.7 million, comprised of $156.0 million of tax credit partnerships and $371.7 million of private equity partnerships. At December 31, 2016, the carrying amount of our variable interest entity investments that are not consolidated in our financial statements was $509.3 million, comprised of $165.2 million of tax credit partnerships and $344.1 million of private equity partnerships. These variable interest entity investments are reported as other long-term investments in our consolidated balance sheets.

The Company invests in tax credit partnerships primarily for the receipt of income tax credits and tax benefits derived from passive losses on the investments. Amounts recognized in the consolidated statements of income are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Income Tax Credits	$	10.4		$	10.5
Amortization, net of tax	(5.8		)	(5.8		)
Income Tax Benefit	$	4.6		$	4.7

26

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

Contractually, we are a limited partner in these tax credit partnerships, and our maximum exposure to loss is limited to the carrying value of our investment, which includes $4.4 million of unfunded unconditional commitments at March 31, 2017. At March 31, 2017, we also have unfunded unconditional commitments of $0.3 million to fund certain private equity partnerships as well as commitments of $252.0 million, the amount of which may or may not be funded.

We are the sole beneficiary of a special purpose entity which is consolidated in our financial statements.  This entity is a securitized asset trust containing a highly rated bond for principal protection which we contributed into the trust at the time it was established.  There are no restrictions on the asset held in this trust, and the trust is free to dispose of the asset at any time.  The fair values of the bond were $152.8 million and $151.9 million as of March 31, 2017 and December 31, 2016, respectively.  The bond is reported as a component of fixed maturity securities in our consolidated balance sheets. At December 31, 2016, the trust also contained a private equity partnership which we contributed into the trust at the time it was established with a fair value of $1.0 million. During the first quarter of 2017, we received the final distribution from the partnership and recorded a loss of $0.2 million on the disposal. The loss is reported as a component of net realized investments gains and losses in our consolidated statements of income.

Mortgage Loans

Our mortgage loan portfolio is well diversified by both geographic region and property type to reduce risk of concentration. All of our mortgage loans are collateralized by commercial real estate. When issuing a new loan, our general policy is not to exceed a loan-to-value ratio, or the ratio of the loan balance to the estimated fair value of the underlying collateral, of 75 percent. We update the loan-to-value ratios at least every three years for each loan, and properties undergo a general inspection at least every two years. Our general policy for newly issued loans is to have a debt service coverage ratio greater than 1.25 times on a normalized 25 year amortization period. We update our debt service coverage ratios annually.

27

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

Mortgage loans by property type and geographic region are presented below.

	March 31, 2017				December 31, 2016
	(in millions of dollars)
	Carrying		Percent of		Carrying		Percent of
	Amount		Total		Amount		Total
Property Type
Apartment	$	291.8	14.1	%	$	288.4	14.1	%
Industrial	580.8		28.1		573.6		28.1
Office	712.7		34.4		700.1		34.4
Retail	450.4		21.8		455.4		22.4
Other	32.7		1.6		21.4		1.0
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

Region
New England	$	71.8	3.5	%	$	72.7	3.6	%
Mid-Atlantic	120.1		5.8		125.3		6.1
East North Central	233.4		11.3		230.1		11.3
West North Central	179.1		8.6		172.0		8.4
South Atlantic	440.8		21.3		438.3		21.5
East South Central	90.9		4.4		91.6		4.5
West South Central	262.2		12.7		268.7		13.2
Mountain	235.3		11.4		214.1		10.5
Pacific	434.8		21.0		426.1		20.9
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

We evaluate each of our mortgage loans individually for impairment and assign an internal credit quality rating based on a comprehensive rating system used to evaluate the credit risk of the loan. The factors we use to derive our internal credit ratings may include the following:

• Loan-to-value ratio

• Debt service coverage ratio based on current operating income

• Property location, including regional economics, trends and demographics

• Age, condition, and construction quality of property

• Current and historical occupancy of property

• Lease terms relative to market

• Tenant size and financial strength

• Borrower's financial strength

• Borrower's equity in transaction

• Additional collateral, if any

Although all available and applicable factors are considered in our analysis, loan-to-value and debt service coverage ratios are the most critical factors in determining whether we will initially issue the loan and also in assigning values and determining impairment. We assign an overall rating to each loan using an internal rating scale of Aa (highest quality) to B (lowest quality). We review and adjust, as needed, our internal credit quality ratings on an annual basis. This review process is performed more frequently for mortgage loans deemed to have a higher risk of delinquency.

28

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

Mortgage loans, sorted by the applicable credit quality indicators, are as follows:

	March 31 2017		December 31 2016
	(in millions of dollars)
Internal Rating
Aa	$	0.6	$	0.7
A	492.1		488.2
Baa	1,532.6		1,506.6
Ba	43.1		43.4
Total	$	2,068.4	$	2,038.9

Loan-to-Value Ratio
<= 65%	$	922.9	$	917.9
> 65% <= 75%	1,036.9		1,011.5
> 75% <= 85%	50.3		50.8
> 85%	58.3		58.7
Total	$	2,068.4	$	2,038.9

There were no troubled debt restructurings during the three months ended March 31, 2017 or 2016. At March 31, 2017 and December 31, 2016, we held no mortgage loans that were greater than 90 days past due regarding principal and/or interest payments.

There have been no changes to our accounting policies or methodology from the prior period regarding estimating the allowance for credit losses on our mortgage loans. As of March 31, 2017 and December 31, 2016, we had no allowance for credit losses, and there was no activity in the allowance for credit losses during the three months ended March 31, 2017 or 2016.

We did not hold any impaired mortgage loans during the three months ended March 31, 2017 or 2016, nor did we recognize any interest income on mortgage loans subsequent to impairment.

At March 31, 2017, we had commitments of $56.6 million to fund certain commercial mortgage loans, the amount of which may or may not be funded.

Transfers of Financial Assets

To manage our cash position more efficiently, we may enter into repurchase agreements with unaffiliated financial institutions. We generally use repurchase agreements as a means to finance the purchase of invested assets or for short-term general business purposes until projected cash flows become available from our operations or existing investments. Our repurchase agreements are typically outstanding for less than 30 days. We post collateral through our repurchase agreement transactions whereby the counterparty commits to purchase securities with the agreement to resell them to us at a later, specified date. The fair value of collateral posted is generally 102 percent of the cash received.

Our investment policy also permits us to lend fixed maturity securities to unaffiliated financial institutions in short-term securities lending agreements. These agreements increase our investment income with minimal risk. Our securities lending policy requires that a minimum of 102 percent of the fair value of the securities loaned be maintained as collateral. We may receive cash and/or securities as collateral under these agreements. Cash received as collateral is typically reinvested in short-term investments. If securities are received as collateral, we are not permitted to sell or re-post them.

As of March 31, 2017, the carrying amount of fixed maturity securities loaned to third parties under our securities lending program was $169.0 million, for which we received collateral in the form of cash and securities of $25.1 million and $150.4 million, respectively. As of December 31, 2016, the carrying amount of fixed maturity securities loaned to third parties under our securities lending program was $178.5 million, for which we received collateral in the form of cash and securities of $29.9 million and $155.3 million, respectively. We had no outstanding repurchase agreements at March 31, 2017 or December 31, 2016.

29

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

The remaining contractual maturities of our securities lending agreements disaggregated by class of collateral pledged are as follows:

	March 31, 2017		December 31, 2016
	Overnight and Continuous
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1.1	$	0.1
Public Utilities	0.3		0.1
All Other Corporate Bonds	23.7		29.7
Total Borrowings	25.1		29.9
Gross Amount of Recognized Liability for Securities Lending Transactions	25.1		29.9
Amounts Related to Agreements Not Included in Offsetting Disclosure Contained Herein	$	—	$	—

Certain of our U.S. insurance subsidiaries are members of regional FHLBs. Membership, which requires that we purchase a minimum amount of FHLB common stock on which we receive dividends, provides access to low-cost funding. As of March 31, 2017 and December 31, 2016, we owned $31.6 million of FHLB common stock. Advances from the regional FHLBs for the purpose of purchasing fixed maturity securities totaled $350.0 million as of March 31, 2017 and December 31, 2016. As of March 31, 2017, the carrying value of fixed maturity securities and commercial mortgage loans posted as collateral to the regional FHLBs was $221.0 million and $349.3 million, respectively. As of December 31, 2016, the carrying value of fixed maturity securities and commercial mortgage loans posted as collateral to the regional FHLBs was $323.7 million and $288.5 million, respectively. Additional common stock purchases may be required, based on the amount of funds we borrow from the FHLBs.

Offsetting of Financial Instruments

We enter into master netting agreements with each of our derivatives counterparties. These agreements provide for conditional rights of set-off upon the occurrence of an early termination event. An early termination event is considered a default, and it allows the non-defaulting party to offset its contracts in a loss position against any gain positions or payments due to the defaulting party. Under our agreements, default type events are defined as failure to pay or deliver as contractually agreed, misrepresentation, bankruptcy, or merger without assumption. See Note 5 for further discussion of collateral related to our derivative contracts.

We have securities lending agreements with unaffiliated financial institutions that post collateral to us in return for the use of our fixed maturity securities. A right of set-off exists that allows us to keep and apply collateral received in the event of default by the counterparty. Default within a securities lending agreement would typically occur if the counterparty failed to return the securities borrowed from us as contractually agreed. In addition, if we default by not returning collateral received, the counterparty has a right of set-off against our securities or any other amounts due to us.

30

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

Shown below are our financial instruments that either meet the accounting requirements that allow them to be offset in our balance sheets or that are subject to an enforceable master netting arrangement or similar agreement. Our accounting policy is to not offset these financial instruments in our balance sheets. Net amounts disclosed below have been reduced by the amount of collateral pledged to or received from our counterparties.

	March 31, 2017
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	29.3	$	—	$	29.3	$	(7.0	)	$	(22.3	)	$	—
Securities Lending	169.0		—		169.0		(143.9		)	(25.1		)	—
Total	$	198.3	$	—	$	198.3	$	(150.9	)	$	(47.4	)	$	—
Financial Liabilities:
Derivatives	$	53.0	$	—	$	53.0	$	(42.4	)	$	—		$	10.6
Securities Lending	25.1		—		25.1		(25.1		)	—			—
Total	$	78.1	$	—	$	78.1	$	(67.5	)	$	—		$	10.6

	December 31, 2016
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	32.7	$	—	$	32.7	$	(7.3	)	$	(25.4	)	$	—
Securities Lending	178.5		—		178.5		(148.6		)	(29.9		)	—
Total	$	211.2	$	—	$	211.2	$	(155.9	)	$	(55.3	)	$	—
Financial Liabilities:
Derivatives	$	52.8	$	—	$	52.8	$	(37.6	)	$	—		$	15.2
Securities Lending	29.9		—		29.9		(29.9		)	—			—
Total	$	82.7	$	—	$	82.7	$	(67.5	)	$	—		$	15.2

31

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 4 - Investments - Continued

Net Investment Income

Net investment income reported in our consolidated statements of income is as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars)
Fixed Maturity Securities	$	563.7	$	563.8
Derivatives	13.4		11.9
Mortgage Loans	25.4		26.9
Policy Loans	4.3		4.1
Other Long-term Investments	6.1		10.0
Short-term Investments	1.9		1.5
Gross Investment Income	614.8		618.2
Less Investment Expenses	8.8		8.2
Less Investment Income on Participation Fund Account Assets	3.6		3.6
Net Investment Income	$	602.4	$	606.4

Realized Investment Gain and Loss

Realized investment gains and losses are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Fixed Maturity Securities
Gross Gains on Sales	$	2.4		$	16.9
Gross Losses on Sales	(1.1		)	(9.6		)
Other-Than-Temporary Impairment Loss	—			(21.1		)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales	0.7			1.8
Gross Losses on Sales	(0.2		)	(0.3		)
Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
All Other Derivatives	(0.2		)	(2.5		)
Foreign Currency Transactions	0.8			(0.1		)
Net Realized Investment Gain (Loss)	$	11.0		$	(20.5	)

Note 5 - Derivative Financial Instruments

Purpose of Derivatives

We are exposed to certain risks relating to our ongoing business operations. The primary risks managed by using derivative instruments are interest rate risk, risk related to matching duration for our assets and liabilities, foreign currency risk, and credit risk.Historically, we have utilized current and forward interest rate swaps, current and forward currency swaps, forward treasury locks, currency forward contracts, forward contracts on specific fixed income securities, and credit default swaps. Transactions hedging interest rate risk are primarily associated with our individual and group long-term care and individual and group disability products. All other product portfolios are periodically reviewed to determine if hedging strategies would be appropriate for risk management purposes. We do not use derivative financial instruments for speculative purposes.

32

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 5 - Derivative Financial Instruments - Continued

Derivatives designated as cash flow hedges and used to reduce our exposure to interest rate and duration risk are as follows:

• Interest rate swaps are used to hedge interest rate risks and to improve the matching of assets and liabilities. An interest rate swap is an agreement in which we agree with other parties to exchange, at specified intervals, the difference between fixed rate and variable rate interest amounts. We use interest rate swaps to hedge the anticipated purchase of fixed maturity securities thereby protecting us from the potential adverse impact of declining interest rates on the associated policy reserves. We also use interest rate swaps to hedge the potential adverse impact of rising interest rates in anticipation of issuing fixed rate long-term debt.

• Forward treasury locks are used to minimize interest rate risk associated with the anticipated purchase or disposal of fixed maturity securities. A forward treasury lock is a derivative contract without an initial investment where we and the counterparty agree to purchase or sell a specific U.S. Treasury bond at a future date at a pre-determined price.

Derivatives designated as fair value hedges and used to reduce our exposure to interest rate and duration risk are as follows:

• Interest rate swaps are used to effectively convert certain of our fixed rate securities into floating rate securities which are used to fund our floating rate long-term debt. Under these swap agreements, we receive a variable rate of interest and pay a fixed rate of interest. Additionally, we use interest rate swaps to effectively convert certain fixed rate, long-term debt into floating rate long-term debt. Under these swap agreements, we receive a fixed rate of interest and pay a variable rate of interest.

Derivatives designated as cash flow hedges and used to reduce our exposure to foreign currency risk are as follows:

• Foreign currency interest rate swaps have historically been used to hedge the currency risk of certain foreign currency-denominated fixed maturity securities owned for portfolio diversification and to hedge the currency risk associated with certain of the principal and interest payments of the U.S. dollar-denominated debt issued by one of our U.K. subsidiaries. For hedges of fixed maturity securities, we agree to pay, at specified intervals, fixed rate foreign currency-denominated principal and interest payments in exchange for fixed rate payments in the functional currency of the operating segment. For hedges of debt issued, we paid, at specified intervals, fixed rate foreign currency-denominated principal and interest payments to the counterparty in exchange for fixed rate U.S. dollar-denominated principal and interest payments.

Derivatives not designated as hedging instruments and used to reduce our exposure to foreign currency risk, credit losses on securities owned, and interest rate risk are as follows:

• Foreign currency interest rate swaps previously designated as hedges were used to hedge the currency risk of certain foreign currency-denominated fixed maturity securities owned for portfolio diversification. These derivatives were effective hedges prior to novation to a new counterparty. In conjunction with the novation, these derivatives were de-designated as hedges. We agree to pay, at specified intervals, fixed rate foreign currency-denominated principal and interest payments in exchange for fixed rate payments in the functional currency of the operating segment. We hold offsetting swaps wherein we agree to pay fixed rate principal and interest payments in the functional currency of the operating segment in exchange for fixed rate foreign currency-denominated payments.

• Credit default swaps are used as economic hedges against credit risk but do not qualify for hedge accounting. A credit default swap is an agreement in which we agree with another party to pay, at specified intervals, a fixed-rate fee in exchange for insurance against a credit event on a specific investment. If a defined credit event occurs, our counterparty may either pay us a net cash settlement or we may surrender the specific investment to them in exchange for cash equal to the full notional amount of the swap. Credit events typically include events such as bankruptcy, failure to pay, or certain types of debt restructuring.

• Interest rate swap is used to effectively convert certain of our floating rate, long-term debt into fixed rate long-term debt. Under this swap agreement, we receive a variable rate of interest and pay a fixed rate of interest.

33

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 5 - Derivative Financial Instruments - Continued

Derivative Risks

The basic types of risks associated with derivatives are market risk (that the value of the derivative will be adversely impacted by changes in the market, primarily the change in interest and exchange rates) and credit risk (that the counterparty will not perform according to the terms of the contract). The market risk of the derivatives should generally offset the market risk associated with the hedged financial instrument or liability. To help limit the credit exposure of the derivatives, we enter into master netting agreements with our counterparties whereby contracts in a gain position can be offset against contracts in a loss position. We also typically enter into bilateral, cross-collateralization agreements with our counterparties to help limit the credit exposure of the derivatives. These agreements require the counterparty in a loss position to submit acceptable collateral with the other counterparty in the event the net loss position meets or exceeds an agreed upon amount. Credit exposure on derivatives is limited to the value of those contracts in a net gain position, including accrued interest receivable less collateral held. At March 31, 2017, we had no credit exposure on derivatives. We held $22.5 million and $26.1 million cash collateral from our counterparties at March 31, 2017 and December 31, 2016, respectively. We post either fixed maturity securities or cash as collateral to our counterparties. The carrying value of fixed maturity securities posted as collateral to our counterparties was $41.3 million and $35.2 million at March 31, 2017 and December 31, 2016, respectively. We had no cash posted as collateral to our counterparties at March 31, 2017 or December 31, 2016. See Note 4 for further discussion of our master netting agreements.

The majority of our derivative instruments contain provisions that require us to maintain specified issuer credit ratings and financial strength ratings. Should our ratings fall below these specified levels, we would be in violation of the provisions, and our derivatives counterparties could terminate our contracts and request immediate payment. The aggregate fair value of all derivative instruments with credit risk-related contingent features that were in a liability position was $53.0 million and $52.8 million at March 31, 2017 and December 31, 2016, respectively.

Derivative Transactions

The table below summarizes, by notional amounts, the activity for each category of derivatives. The notional amounts represent the basis upon which our counterparty pay and receive amounts are calculated.

	Swaps
	Receive Variable/Pay Fixed		Receive Fixed/Pay Fixed		Receive Fixed/Pay Variable		Credit Default		Forwards		Total
	(in millions of dollars)
Balance at December 31, 2015	$	150.0	$	650.3	$	600.0	$	70.0	$	—	$	1,470.3
Additions	—		—		—		—		—		—
Terminations	24.0		—		—		—		—		24.0
Balance at March 31, 2016	$	126.0	$	650.3	$	600.0	$	70.0	$	—	$	1,446.3
Balance at December 31, 2016	$	105.5	$	616.5	$	250.0	$	70.0	$	10.0	$	1,052.0
Additions	—		—		—		—		—		—
Terminations	0.1		20.3		—		—		10.0		30.4
Balance at March 31, 2017	$	105.4	$	596.2	$	250.0	$	70.0	$	—	$	1,021.6

Cash Flow Hedges

As of March 31, 2017 and December 31, 2016, we had $373.8 million and $394.1 million, respectively, notional amount of receive fixed, pay fixed, open current and forward foreign currency interest rate swaps to hedge fixed income foreign currency-denominated securities.

For the three months ended March 31, 2017 and 2016, there was no material ineffectiveness related to our cash flow hedges, and no component of the derivative instruments' gain or loss was excluded from the assessment of hedge effectiveness.

As of March 31, 2017, we expect to amortize approximately $59.2 million of net deferred gains on derivative instruments during the next twelve months. This amount will be reclassified from accumulated other comprehensive income into earnings and

34

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 5 - Derivative Financial Instruments - Continued

reported on the same income statement line item as the hedged item. The income statement line items that will be affected by this amortization are net investment income and interest and debt expense. Additional amounts that may be reclassified from accumulated other comprehensive income into earnings to offset the earnings impact of foreign currency translation of hedged items are not estimable.

As of March 31, 2017, we are hedging the variability of future cash flows associated with forecasted transactions through the year 2038.

Fair Value Hedges

As of March 31, 2017 and December 31, 2016, we had $102.0 million notional amount of receive variable, pay fixed interest rate swaps to hedge the changes in fair value of certain fixed rate securities held. These swaps effectively convert the associated fixed rate securities into floating rate securities, which are used to fund our floating rate long-term debt. The change in fair value of the hedged fixed maturity securities attributable to the hedged benchmark interest rate resulted in a loss of $1.1 million and $1.8 millionthree months ended March 31, 2017 and 2016, respectively, with an offsetting gain on the related interest rate swaps. During the first quarter of 2016, we terminated $24.0 million notional amount of receive variable, pay fixed interest rate swaps in connection with the sale of the hedged securities and recorded a loss on the swap terminations of $1.2 million in our consolidated statements of income as a component of net realized investment gains and losses.

As of March 31, 2017 and December 31, 2016, we had $250.0 million notional amount of receive fixed, pay variable interest rate swaps to hedge the changes in the fair value of certain fixed rate long-term debt. These swaps effectively convert the associated fixed rate long-term debt into floating rate debt and provide for a better matching of interest rates with our short-term investments, which have frequent interest rate resets similar to a floating rate security. The change in fair value of the hedged debt attributable to the hedged benchmark interest rate resulted in a gain (loss) of $0.5 million and $(5.6) million for the three months ended March 31, 2017 and 2016, respectively, with an offsetting gain or loss on the related interest rate swaps.

For the three months ended March 31, 2017, and 2016, there was no material ineffectiveness related to our fair value hedges, and no component of the derivative instruments' gain or loss was excluded from the assessment of hedge effectiveness. There were no instances wherein we discontinued fair value hedge accounting due to a hedged firm commitment no longer qualifying as a fair value hedge.

Derivatives not Designated as Hedging Instruments

As of March 31, 2017 and December 31, 2016, we held $222.4 million notional amount of receive fixed, pay fixed, foreign currency interest rate swaps. These derivatives were not designated as hedges, and as such, changes in fair value related to these derivatives will be reported in earnings as a component of net realized investment gain or loss.

As of March 31, 2017 and December 31, 2016, we held $70.0 million notional amount of single name credit default swaps. We entered into these swaps in order to mitigate the credit risk associated with specific securities owned.

As of March 31, 2017 and December 31, 2016, we held $3.4 million and $3.5 million, respectively, notional amount of a receive variable, pay fixed interest rate swap acquired through our purchase of Starmount in the third quarter of 2016. This swap effectively converts Starmount's floating rate long-term debt of $3.4 million into fixed rate debt.

We have an embedded derivative in a modified coinsurance arrangement for which we include in our realized investment gains and losses a calculation intended to estimate the value of the option of our reinsurance counterparty to cancel the reinsurance contract with us. However, neither party can unilaterally terminate the reinsurance agreement except in extreme circumstances resulting from regulatory supervision, delinquency proceedings, or other direct regulatory action. Cash settlements or collateral related to this embedded derivative are not required at any time during the reinsurance contract or at termination of the reinsurance contract. There are no credit-related counterparty triggers, and any accumulated embedded derivative gain or loss reduces to zero over time as the reinsured business winds down.

35

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 5 - Derivative Financial Instruments - Continued

Locations and Amounts of Derivative Financial Instruments

The following tables summarize the location and fair values of derivative financial instruments, as reported in our consolidated balance sheets.

	March 31, 2017
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps	Other L-T Investments	$	—	Other Liabilities	$	6.3
Foreign Exchange Contracts	Other L-T Investments	29.3		Other Liabilities	14.3
Total		$	29.3		$	20.6
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.6
Interest Rate Swaps				Other Liabilities	0.6
Foreign Exchange Contracts				Other Liabilities	31.2
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	38.1
Total					$	70.5

	December 31, 2016
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps and Forwards	Other L-T Investments	$	—	Other Liabilities	$	6.9
Foreign Exchange Contracts	Other L-T Investments	32.7		Other Liabilities	13.4
Total		$	32.7		$	20.3
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.4
Interest Rate Swaps				Other Liabilities	0.7
Foreign Exchange Contracts				Other Liabilities	31.4
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	46.7
Total					$	79.2

36

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 5 - Derivative Financial Instruments - Continued

The following table summarizes the location of gains and losses on the effective portion of derivative financial instruments designated as cash flow hedging instruments, as reported in our consolidated statements of income and consolidated statements of comprehensive income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivatives
Foreign Exchange Contracts		$	(4.5	)	$	(24.3	)
Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Net Investment Income
	Interest Rate Swaps and Forwards	$	14.3		$	13.2
	Foreign Exchange Contracts	(0.3		)	(0.1		)
Net Realized Investment Gain (Loss)
	Interest Rate Swaps	—			3.2
	Foreign Exchange Contracts	(1.2		)	—
Interest and Debt Expense
	Interest Rate Swaps	(0.5		)	(0.5		)
	Total	$	12.3		$	15.8

The following table summarizes the location of gains and losses on our derivatives not designated as hedging instruments, as reported in our consolidated statements of income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Net Realized Investment Gain (Loss)
	Credit Default Swaps	$	(0.3	)	$	—
	Foreign Exchange Contracts	0.2			(1.3		)
	Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
	Total	$	8.5		$	(6.9	)

37

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 6 - Accumulated Other Comprehensive Income (Loss)

Components of our accumulated other comprehensive income (loss), after tax, and related changes are as follows:

		Net Unrealized Gain on Securities			Net Gain on Cash Flow Hedges			Foreign Currency Translation Adjustment			Unrecognized Pension and Postretirement Benefit Costs			Total
		(in millions of dollars)
Balance at December 31, 2016		$	440.6		$	327.5		$	(354.0	)	$	(465.1	)	$	(51.0	)
	Other Comprehensive Income (Loss) Before Reclassifications	44.7			(2.7		)	17.1			(0.6		)	58.5
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	(2.3		)	(8.0		)	—			3.2			(7.1		)
	Net Other Comprehensive Income (Loss)	42.4			(10.7		)	17.1			2.6			51.4
Balance at March 31, 2017		$	483.0		$	316.8		$	(336.9	)	$	(462.5	)	$	0.4
Balance at December 31, 2015		$	204.3		$	378.0		$	(173.6	)	$	(392.6	)	$	16.1
	Other Comprehensive Income (Loss) Before Reclassifications	223.8			(15.9		)	(26.4		)	0.5			182.0
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	10.3			(10.3		)	—			2.6			2.6
	Net Other Comprehensive Income (Loss)	234.1			(26.2		)	(26.4		)	3.1			184.6
Balance at March 31, 2016		$	438.4		$	351.8		$	(200.0	)	$	(389.5	)	$	200.7

The net unrealized gain on securities consists of the following components:

	March 31			December 31
	2017			2016			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,925.6		$	4,664.6		$	261.0
Other Investments	(17.8		)	(22.7		)	4.9
Deferred Acquisition Costs	(40.9		)	(38.9		)	(2.0		)
Reserves for Future Policy and Contract Benefits	(4,467.3		)	(4,253.2		)	(214.1		)
Reinsurance Recoverable	335.6			321.3			14.3
Income Tax	(252.2		)	(230.5		)	(21.7		)
Total	$	483.0		$	440.6		$	42.4

	March 31			December 31
	2016			2015			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,894.5		$	3,695.7		$	1,198.8
Other Investments	(18.1		)	(33.7		)	15.6
Deferred Acquisition Costs	(42.0		)	(29.4		)	(12.6		)
Reserves for Future Policy and Contract Benefits	(4,466.5		)	(3,578.4		)	(888.1		)
Reinsurance Recoverable	310.2			263.2			47.0
Income Tax	(239.7		)	(113.1		)	(126.6		)
Total	$	438.4		$	204.3		$	234.1

38

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 6 - Accumulated Other Comprehensive Income (Loss) - Continued

Amounts reclassified from accumulated other comprehensive income or loss were recognized in our consolidated statements of income as follows:

			Three Months Ended March 31
			2017			2016
			(in millions of dollars)
Net Unrealized Gain on Securities
	Net Realized Investment Gain (Loss)
		Net Gain on Sales of Securities and Other Invested Assets	$	3.4		$	5.6
		Other-Than-Temporary Impairment Loss	—			(21.1		)
			3.4			(15.5		)
	Income Tax Expense (Benefit)		1.1			(5.2		)
	Total		$	2.3		$	(10.3	)
Net Gain on Cash Flow Hedges
	Net Investment Income
		Gain on Interest Rate Swaps and Forwards	$	14.3		$	13.2
		Loss on Foreign Exchange Contracts	(0.3		)	(0.1		)
	Net Realized Investment Gain (Loss)
		Gain on Interest Rate Swaps	—			3.2
		Loss on Foreign Exchange Contracts	(1.2		)	—
	Interest and Debt Expense
		Loss on Interest Rate Swaps	(0.5		)	(0.5		)
			12.3			15.8
	Income Tax Expense		4.3			5.5
	Total		$	8.0		$	10.3
Unrecognized Pension and Postretirement Benefit Costs
	Other Expenses
		Amortization of Net Actuarial Loss	$	(5.1	)	$	(4.1	)
		Amortization of Prior Service Credit	0.2			0.1
			(4.9		)	(4.0		)
	Income Tax Benefit		(1.7		)	(1.4		)
	Total		$	(3.2	)	$	(2.6	)

39

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 7 - Liability for Unpaid Claims and Claim Adjustment Expenses

Changes in the liability for unpaid claims and claim adjustment expenses are as follows:

	2017			2016
	(in millions of dollars)
Balance at January 1	$	23,249.5		$	23,796.1
Less Reinsurance Recoverable	2,163.6			2,064.6
Net Balance at January 1	21,085.9			21,731.5
Incurred Related to
Current Year	1,489.8			1,447.6
Prior Years
Interest	295.7			308.3
All Other Incurred	(184.8		)	(176.9		)
Foreign Currency	29.8			(53.4		)
Total Incurred	1,630.5			1,525.6
Paid Related to
Current Year	(283.9		)	(270.7		)
Prior Years	(1,369.3		)	(1,385.3		)
Total Paid	(1,653.2		)	(1,656.0		)
Net Balance at March 31	21,063.2			21,601.1
Plus Reinsurance Recoverable	2,139.1			2,077.0
Balance at March 31	$	23,202.3		$	23,678.1

The majority of the net balances are related to disability claims with long-tail payouts on which interest earned on assets backing liabilities is an integral part of pricing and reserving. Interest accrued on prior year reserves has been calculated on the opening reserve balance less one-half of the period's cash payments at our average reserve discount rate for the respective periods.

"Incurred Related to Prior Years - All Other Incurred" shown in the preceding chart is primarily impacted by the level of claim resolutions in the period relative to the long-term expectations reflected in the reserves. Our claim resolution rate assumption used in determining reserves is our expectation of the resolution rate we will experience over the life of the block of business and will vary from actual experience in any one period, both favorably and unfavorably.

Reconciliation

A reconciliation of policy and contract benefits and reserves for future policy and contract benefits as reported in our consolidated balance sheets to the liability for unpaid claims and claim adjustment expenses is as follows:

	March 31
	2017		2016
	(in millions of dollars)
Policy and Contract Benefits	$	1,544.8	$	1,462.2
Reserves for Future Policy and Contract Benefits	44,502.2		44,446.6
Total	46,047.0		45,908.8
Less:
Life Reserves for Future Policy and Contract Benefits	8,105.7		7,959.9
Accident and Health Active Life Reserves	10,271.7		9,804.3
Adjustment Related to Unrealized Investment Gains and Losses	4,467.3		4,466.5
Liability for Unpaid Claims and Claim Adjustment Expenses	$	23,202.3	$	23,678.1

The adjustment related to unrealized investment gains and losses reflects the changes that would be necessary to policyholder liabilities if the unrealized investment gains and losses related to the corresponding available-for-sale securities had been realized. Changes in this adjustment are reported as a component of other comprehensive income or loss.

40

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 8 - 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
	2017		2016
	(in millions of dollars)
Premium Income
Unum US
Group Disability
Group Long-term Disability	$	434.4	$	430.6
Group Short-term Disability	157.9		157.5
Group Life and Accidental Death & Dismemberment
Group Life	367.8		351.5
Accidental Death & Dismemberment	36.6		34.6
Supplemental and Voluntary
Individual Disability	107.0		123.9
Voluntary Benefits	215.2		203.2
Dental and Vision	41.5		—
	1,360.4		1,301.3
Unum UK
Group Long-term Disability	80.8		93.1
Group Life	24.8		28.7
Supplemental	15.7		17.5
	121.3		139.3
Colonial Life
Accident, Sickness, and Disability	219.1		205.6
Life	74.2		67.7
Cancer and Critical Illness	81.0		77.9
	374.3		351.2
Closed Block
Individual Disability	121.3		133.6
Long-term Care	163.1		161.7
All Other	2.5		0.4
	286.9		295.7
Total Premium Income	$	2,142.9	$	2,087.5

41

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 8 - Segment Information - Continued

	Unum US		Unum UK		Colonial Life		Closed Block		Corporate			Total
	(in millions of dollars)
Three Months Ended March 31, 2017
Premium Income	$	1,360.4	$	121.3	$	374.3	$	286.9	$	—		$	2,142.9
Net Investment Income	202.5		26.6		35.1		335.3		2.9			602.4
Other Income	28.7		—		0.3		20.8		0.4			50.2
Operating Revenue	$	1,591.6	$	147.9	$	409.7	$	643.0	$	3.3		$	2,795.5
Operating Income (Loss)	$	239.1	$	26.6	$	82.4	$	31.6	$	(39.8	)	$	339.9
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	$	(35.9	)	$	324.7

	March 31		December 31
	2017		2016
	(in millions of dollars)
Assets
Unum US	$	18,111.9	$	18,036.6
Unum UK	3,208.9		3,101.4
Colonial Life	3,976.8		3,923.2
Closed Block	33,882.2		33,734.3
Corporate	3,344.9		3,146.0
Total Assets	$	62,524.7	$	61,941.5

We measure and analyze our segment performance on the basis of "operating revenue" and "operating income" or "operating loss", which 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 certain other items 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. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for total revenue, income before income tax, or net income. 

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.

We previously excluded the amortization of prior period actuarial gains or losses, a component of the net periodic benefit cost for our pension and other postretirement benefit plans. Effective January 1, 2017, the amortization of prior period actuarial gains or losses is now reported as a component of "operating income" in the following chart. Amounts for periods prior to January, 1, 2017 have been adjusted to conform to current year reporting.

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

42

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 8 - Segment Information - Continued

indication that similar items may not recur and does not replace net income or net loss as a measure of our overall profitability. See Note 11 for further discussion regarding the loss from a guaranty fund assessment.

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

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Total Revenue	$	2,806.5		$	2,725.4
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Operating Revenue	$	2,795.5		$	2,745.9
Income Before Income Tax	$	330.3		$	304.2
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Loss from Guaranty Fund Assessment	(20.6		)	—
Operating Income	$	339.9		$	324.7

Note 9 - Employee Benefit Plans

Defined Benefit Pension and Other Postretirement Benefit (OPEB) Plans

We sponsor several defined benefit pension and OPEB plans for our employees, including non-qualified pension plans. The U.S. qualified and non-qualified defined benefit pension plans comprise the majority of our total benefit obligation and benefit cost. We maintain a separate defined benefit plan for eligible employees in our U.K. operation. The U.S. defined benefit pension plans were closed to new entrants on December 31, 2013, the OPEB plan was closed to new entrants on December 31, 2012, and the U.K. plan was closed to new entrants on December 31, 2002.

The following table provides the components of the net periodic benefit cost (credit) for the defined benefit pension and OPEB plans.

	Three Months Ended March 31
	Pension Benefits
	U.S. Plans						U.K. Plan						OPEB
	2017			2016			2017			2016			2017			2016
	(in millions of dollars)
Service Cost	$	2.0		$	1.7		$	—		$	—		$	—		$	—
Interest Cost	21.1			21.3			1.5			1.9			1.5			1.8
Expected Return on Plan Assets	(25.8		)	(25.7		)	(2.0		)	(2.7		)	(0.2		)	(0.2		)
Amortization of:
Net Actuarial Loss	4.9			4.1			0.2			—			—			—
Prior Service Credit	(0.1		)	(0.1		)	—			—			(0.1		)	—
Total	$	2.1		$	1.3		$	(0.3	)	$	(0.8	)	$	1.2		$	1.6

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 10 - Stockholders' Equity and Earnings Per Common Share

Earnings Per Common Share

Net income per common share is determined as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars, except share data)
Numerator
Net Income	$	229.9	$	210.6
Denominator (000s)
Weighted Average Common Shares - Basic	229,429.6		239,619.4
Dilution for Assumed Exercises of Stock Options and Nonvested Stock Awards	949.2		311.0
Weighted Average Common Shares - Assuming Dilution	230,378.8		239,930.4
Net Income Per Common Share
Basic	$	1.00	$	0.88
Assuming Dilution	$	1.00	$	0.88

We use the treasury stock method to account for the effect of outstanding stock options, nonvested restricted stock units, and nonvested performance share units on the computation of diluted earnings per share. Under this method, these potential common shares will each have a dilutive effect, as individually measured, when the average market price of Unum Group common stock during the period exceeds the exercise price of the stock options and the grant price of the nonvested restricted stock units and the nonvested performance share units. The outstanding stock options have exercise prices ranging from $20.78 to $26.29. Both the nonvested restricted stock units and nonvested performance share units have grant prices ranging from $27.85 to $49.86.

In computing earnings per share assuming dilution, only potential common shares that are dilutive (those that reduce earnings per share) are included. For the three months ended March 31, 2017 and 2016, there were approximately 0.4 million and 0.5 million potential common shares, respectively, that were excluded in the computation of diluted earnings per share because the impact would be antidilutive, based on then current market prices.

Common Stock

During the second quarter of 2016, our board of directors authorized the repurchase of up to $750.0 million of Unum Group's outstanding common stock through November 26, 2017. This authorization replaced the previous authorization of $750.0 million that was scheduled to expire on November 21, 2016. The remaining repurchase amount under the new program was $395.5 million at March 31, 2017.

Common stock repurchases, which are accounted for using the cost method and classified as treasury stock until otherwise retired, were as follows:

	Three Months Ended March 31
	2017		2016
	(in millions)
Shares Repurchased	2.1		3.7
Cost of Shares Repurchased (1)	$	100.0	$	100.0

(1) Includes commissions of a de minimis amount for each of the three month periods ended March 31, 2017 and 2016.

Preferred Stock

Unum Group has 25.0 million shares of preferred stock authorized with a par value of $0.10 per share. No preferred stock has been issued to date.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 11 - Commitments and Contingent Liabilities

Contingent Liabilities

We are a defendant in a number of litigation matters. In some of these matters, no specified amount is sought. In others, very large or indeterminate amounts, including punitive and treble damages, are asserted. There is a wide variation of pleading practice permitted in the United States courts with respect to requests for monetary damages, including some courts in which no specified amount is required and others which allow the plaintiff to state only that the amount sought is sufficient to invoke the jurisdiction of that court. Further, some jurisdictions permit plaintiffs to allege damages well in excess of reasonably possible verdicts. Based on our extensive experience and that of others in the industry with respect to litigating or resolving claims through settlement over an extended period of time, we believe that the monetary damages asserted in a lawsuit or claim bear little relation to the merits of the case, or the likely disposition value. Therefore, the specific monetary relief sought is not stated.

Unless indicated otherwise in the descriptions below, reserves have not been established for litigation and contingencies. An estimated loss is accrued when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated.

Claims Handling Matters

We and our insurance subsidiaries, in the ordinary course of our business, are engaged in claim litigation where disputes arise as a result of a denial or termination of benefits. Most typically these lawsuits are filed on behalf of a single claimant or policyholder, and in some of these individual actions punitive damages are sought, such as claims alleging bad faith in the handling of insurance claims. For our general claim litigation, we maintain reserves based on experience to satisfy judgments and settlements in the normal course. We expect that the ultimate liability, if any, with respect to general claim litigation, after consideration of the reserves maintained, will not be material to our consolidated financial condition. Nevertheless, given the inherent unpredictability of litigation, it is possible that an adverse outcome in certain claim litigation involving punitive damages could, from time to time, have a material adverse effect on our consolidated results of operations in a period, depending on the results of operations for the particular period.

From time to time class action allegations are pursued where the claimant or policyholder purports to represent a larger number of individuals who are similarly situated. Since each insurance claim is evaluated based on its own merits, there is rarely a single act or series of actions which can properly be addressed by a class action. Nevertheless, we monitor these cases closely and defend ourselves appropriately where these allegations are made.

Miscellaneous Matters

Beginning in 2011, a number of state regulators began requiring insurers to cross-check specified insurance policies with the Social Security Administration’s Death Master File to identify potential matches. If a potential match was identified, insurers were requested to determine if benefits were due, locate beneficiaries, and make payments where appropriate. We initiated this process where requested, and in 2012 we began implementing this process in all states on a forward-looking basis. In addition to implementing this on a forward-looking basis, in 2013 we began an initiative to search for potential claims from previous years. During 2013, we completed our assessment of benefits which we estimate will be paid under this initiative, and as such, established additional reserves for payment of these benefits. Similar to other insurers, we are undergoing an examination by a third party acting on behalf of a number of state treasurers concerning our compliance with the unclaimed property laws of the participating states. We are cooperating fully with this examination, as well as with a Delaware Market Conduct examination involving the same issue. The legal and regulatory environment around unclaimed death benefits continues to evolve. It is possible that the current examination and/or similar investigations by other state jurisdictions may result in additional payments to beneficiaries, the payment of abandoned funds under state law, and/or administrative penalties, the total of which may be in excess of the reserves established.

In December 2012, State of West Virginia ex rel. John D. Perdue v. Provident Life and Accident Insurance Company and State of West Virginia ex rel. John D. Perdue v. Colonial Life & Accident Insurance Company were filed in the Circuit Court of Putnam County, West Virginia. These two separate complaints alleged violations of the West Virginia Uniform Unclaimed Property Act by failing to identify and report all unclaimed insurance policy proceeds due to be escheated to West Virginia.  The complaints sought to examine company records and assess penalties and costs in an undetermined amount. In December 2013, the court dismissed both complaints, holding that the West Virginia Uniform Unclaimed Property Act does not require insurance

45

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) - Continued

Unum Group and Subsidiaries

March 31, 2017

Note 11 - Commitments and Contingent Liabilities - Continued

companies to periodically search the Social Security Administrations' Death Master File or escheat unclaimed life insurance benefits until a claim has been submitted. In January 2014, the plaintiff appealed the dismissal of both complaints. In June 2015, the appellate court reinstated the case, holding that the West Virginia Uniform Unclaimed Property Act requires insurers to make reasonable efforts to determine whether their insureds are still living. The case was remanded to the trial court where we answered the complaints. In 2016, the West Virginia Legislature enacted a law defining insurers’ duties with regard to unclaimed benefits for life insurance policies, annuity contracts, and retained asset accounts issued in West Virginia. In December 2016, we filed a motion to dismiss the complaints in light of this law. We are awaiting the court’s ruling on this motion.

In 2009, a Pennsylvania-based insurance company and its affiliates were ordered into rehabilitation, and the Pennsylvania Insurance Commissioner, who was appointed as the Rehabilitator, filed petitions for liquidation with the Commonwealth Court of Pennsylvania. Under Pennsylvania law, payment of covered claims and other related insurance obligations are provided, within prescribed limits, by state guaranty associations. These guaranty associations assess fees to meet these obligations on insurance companies that sell insurance within the state, which are generally based on a company's pro rata portion of average premiums written or received for several years prior to the insolvency. Under Pennsylvania statutes, an insurer is declared insolvent only after it is placed under an order of liquidation by a court of competent jurisdiction with a finding for insolvency. In March 2017, a formal order of liquidation was issued, and as such, we were subject to an assessment by those guaranty associations that are responsible for policyholder claims, and accordingly accrued an estimated loss contingency of $13.4 million. This amount is net of expected recoverable premium tax offsets of $44.0 million and net of income tax of $7.2 million.

Summary

Various lawsuits against us, in addition to those discussed above, have arisen in the normal course of business. Further, state insurance regulatory authorities and other federal and state authorities regularly make inquiries and conduct investigations concerning our compliance with applicable insurance and other laws and regulations.

Given the complexity and scope of our litigation and regulatory matters, it is not possible to predict the ultimate outcome of all pending investigations or legal proceedings or provide reasonable estimates of potential losses, except if noted in connection with specific matters. It is possible that our results of operations or cash flows in a particular period could be materially affected by an ultimate unfavorable outcome of pending litigation or regulatory matters depending, in part, on our results of operations or cash flows for the particular period. We believe, however, that the ultimate outcome of all pending litigation and regulatory matters, after consideration of applicable reserves and rights to indemnification, should not have a material adverse effect on our financial position.

Note 12 - Debt

During the three months ended March 31, 2017, we made principal payments of $15.0 million on our senior secured non-recourse notes issued by Northwind Holdings, LLC.

At March 31, 2017, letters of credit totaling $2.1 millionhad been issued from the credit facility, but there werenoborrowed amounts outstanding.

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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Executive Summary

Unum Group, a Delaware general business corporation, and its insurance and non-insurance subsidiaries, which collectively with Unum Group we refer to as the Company, operate in the United States, the United Kingdom, and, to a limited extent, in certain other countries. The principal operating subsidiaries in the United States are Unum Life Insurance Company of America, Provident Life and Accident Insurance Company, The Paul Revere Life Insurance Company, and Colonial Life & Accident Insurance Company, and in the United Kingdom, Unum Limited. We are a leading provider of financial protection benefits in the United States and the United Kingdom. Our products include disability, life, accident, critical illness, dental and vision, and other related services. We market our products primarily through the workplace.

We have three principal operating business segments: Unum US, Unum UK, and Colonial Life. Our other segments are the Closed Block and Corporate segments. These segments are discussed more fully under "Segment Results" included herein in this Item 2.

The benefits we provide help protect people from the financial hardship of illness, injury, or loss of life by providing support when it is needed most. As one of the leading providers of employee benefits in the U.S. and the U.K., we offer a broad portfolio of products and services through the workplace.

Specifically, we offer group, individual, and voluntary benefits, either as stand-alone products or combined with other coverages, that help employers of all sizes attract and retain a stronger workforce while protecting the incomes and livelihood of their employees. We believe employer-sponsored benefits represent the single most effective way to provide workers with access to the information and options they need to protect their financial stability. Working people and their families, particularly those at lower and middle incomes, are perhaps the most vulnerable in today's economy yet are often overlooked by many providers of financial services and products. For many of these people, employer-sponsored benefits are the primary defense against the potentially catastrophic fallout of death, illness, or injury.

We have established a corporate culture consistent with the social values our products provide. We are committed not only to meeting the needs of our customers who depend on us, but also to operating with integrity and being accountable for our actions. Our sound and consistent business practices, strong internal compliance program, and comprehensive risk management strategy enable us to operate efficiently as well as to identify and address potential areas of risk in our business. We have also applied these same values to our social responsibility efforts. Because we see important links between the obligations we have to all of our stakeholders, we place a strong emphasis on contributing to positive change in our communities.

This discussion and analysis should be read in conjunction with the consolidated financial statements and notes thereto in Part I, Item 1 contained in this Form 10-Q and with the "Cautionary Statement Regarding Forward-Looking Statements" included below the Table of Contents, as well as the discussion, analysis, and consolidated financial statements and notes thereto in Part I, Items 1 and 1A, and Part II, Items 6, 7, 7A, and 8 of our annual report on Form 10-K for the year ended December 31, 2016.

Operating Performance and Capital Management

For the first quarter of 2017, we reported net income of $229.9 million, or $1.00 per diluted common share, compared to net income of $210.6 million, or $0.88 per diluted common share, in the same period of 2016. Net income includes net realized investment gains and losses and also, in the first quarter of 2017, a loss from a guaranty fund assessment related to an unaffiliated insurer that was declared insolvent of $20.6 million before tax and $13.4 million after tax, or $0.06 per diluted common share. Excluding these items, after-tax operating income was $236.1 million, or $1.02 per diluted common share, in the first quarter of 2017, compared to $224.2 million, or $0.94 per diluted common share, in the same period of 2016. See additional information in Note 11 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 and "Reconciliation of Non-GAAP Financial Measures" contained in this Item 2 for further discussion and a reconciliation of these items.

Our Unum US segment reported an increase in operating income of 10.7 percent in the first quarter of 2017 compared to the same period of 2016, with growth in premium income and overall favorable benefits experience, partially offset by lower net investment income. The benefit ratio for our Unum US segment for the first quarter of 2017 was 67.9 percent, compared to 69.3 percent in the same period of 2016. Unum US sales increased 11.1 percent in the first quarter of 2017 compared to the same

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period of 2016 aided by our addition of the dental and vision product offering in the third quarter of 2016. Persistency declined slightly relative to the prior year but remains within our expectations.

Our Unum UK segment reported a decrease in operating income, as measured in Unum UK's local currency, of 8.9 percent in the first quarter of 2017 compared to the same period of 2016, due to less favorable benefits experience, partially offset by an increase in net investment income. The benefit ratio for Unum UK was 71.4 percent in the first quarter of 2017 compared to 67.9 percent in the same period of 2016. Unum UK sales in local currency increased 24.2 percent in the first quarter of 2017 compared to the same period of 2016. Persistency was generally stable relative to the prior year and is consistent with our expectations.

Our Colonial Life segment reported an increase in operating income of 6.5 percent in the first quarter of 2017 compared to the same period of 2016, due primarily to growth in premium income. The benefit ratio for Colonial Life was 50.8 percent in the first quarter of 2017 compared to 50.9 percent in the same period of 2016. Colonial Life sales increased 7.2 percent in the first quarter of 2017 compared to the same period of 2016. Persistency was generally stable relative to the prior year and is consistent with our expectations.

Our Closed Block segment reported a decrease in operating income of 6.2 percent in the first quarter of 2017 compared to the same period of 2016, with a decline in premium income and a higher operating expense ratio partially offset by favorable benefits experience. Benefits experience in both our individual disability and long-term care lines of business remains within our range of expectations.

Although our profit margins continue to be pressured by the impact of the low interest rate environment on our net investment income yields, our invested asset quality remains strong. The net unrealized gain on our fixed maturity securities was $4.9 billion at March 31, 2017 compared to $4.7 billion at December 31, 2016, with the increase due to a decrease in U.S. Treasury rates and credit spreads during the first three months of 2017. The earned book yield on our investment portfolio was 5.18 percent for the first quarter of 2017 compared to a yield of 5.30 percent for full year 2016.

We believe our capital and financial positions are strong. At March 31, 2017, the risk-based capital (RBC) ratio for our traditional U.S. insurance subsidiaries, calculated on a weighted average basis using the NAIC Company Action Level formula, was in excess of 390 percent, in line with our expectations. During the first quarter of 2017, we repurchased 2.1 million shares of Unum Group common stock under our share repurchase program, at a cost of approximately $100 million. Our weighted average common shares outstanding, assuming dilution, equaled 230.4 million and 239.9 million for the first quarter of 2017 and 2016, respectively, reflecting our capital management strategy of returning capital to shareholders through repurchases of our common stock. As of March 31, 2017, Unum Group and our intermediate holding companies held fixed maturity securities, short-term investments, and cash of $648 million excluding amounts committed for subsidiary contributions.

U.K. Referendum

During 2016, the U.K. held a referendum and voted to leave the EU. In March of 2017, the U.K. gave formal notice to initiate the withdrawal process from the EU and to begin negotiations on the withdrawal agreement during a maximum two-year period. We may see some dampening of growth in the U.K. due to the current disruption and uncertainty in the U.K. economy. We may experience volatility in the fair values of our investments in U.K. and EU-based issuers, but we do not expect a material increase in other-than-temporary impairments or defaults, nor do we believe this volatility will impact our ability to hold these investments. The magnitude and longevity of potential negative economic impacts on our growth will depend on the agreements reached by the U.K. and EU as a result of exit negotiations and the resulting response of the U.K. marketplace. There are currently no indications that capital requirements for our U.K. operations will change, but economic conditions may cause volatility in our solvency ratios. Our reported consolidated financial results may continue to be unfavorably impacted by the weakening of the British pound sterling. Further discussion is contained herein in "Unum UK Segment" in this Item 2.

Consolidated Company Outlook

We believe our disciplined approach to providing financial protection products at the workplace puts us in a position of strength as we seek to capitalize on the growing and largely unfilled need for our products and services. We believe the need for our products and services remains strong, and we intend to continue protecting our solid margins and returns through our pricing and risk actions. We continue to invest in our infrastructure and our employees, with a focus on quality and simplification of processes and offerings. Our strategy is centered on market expansion, enhancing the customer experience, providing an innovative product portfolio of financial protection choices, and investing in new solutions to further improve productivity. Our outlook for the remainder of 2017 is for continued solid premium growth trends in our core businesses, with solid persistency

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and a disciplined approach to sales growth. We expect to have generally stable benefits experience due to our focus on disciplined pricing, risk selection, and management of renewals. We will maintain our commitment to expense discipline and improving our operational efficiencies. The low interest rate environment continues to place pressure on our profit margins and could unfavorably impact the adequacy of our reserves for some products. Tax reform may impact our operating results or the statutory capital of our U.S. insurance subsidiaries. Our reported consolidated financial results may also continue to be unfavorably impacted by the weakening of the British pound sterling. We continue to analyze and employ strategies that we believe will help us navigate the current environment and allow us to maintain solid operating margins and significant financial flexibility to support the needs of our businesses, while also continuing to return capital to our shareholders. We have substantial leverage to rising interest rates and an improving economy which generates payroll growth and wage inflation. We believe that consistent operating results, combined with the implementation of strategic initiatives and the effective deployment of capital, will allow us to meet our long-term financial objectives.

Further discussion is contained in this Item 2 and in the "Notes to Consolidated Financial Statements" contained herein in Item 1.

Reconciliation of Non-GAAP and Other Financial Measures

We analyze our 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 measure of "after-tax operating income" differs from net income as presented in our consolidated operating results and income statements prepared in accordance with GAAP due to the exclusion of net realized investment gains and losses and certain other items as specified in the reconciliations below. We believe operating income is a better performance measure and better indicator of the 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.

We previously excluded the amortization of prior period actuarial gains or losses, a component of the net periodic benefit cost for our pension and other postretirement benefit plans. Effective January 1, 2017, the amortization of prior period actuarial gains or losses is now included in "after-tax operating income" and "operating income" in the following charts. Amounts for periods prior to January, 1, 2017 have been adjusted to conform to current year reporting.

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. See Note 11 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further discussion regarding the loss from a guaranty fund assessment.

A reconciliation of GAAP financial measures to our non-GAAP financial measures is as follows:

	Three Months Ended March 31
	2017						2016
	(in millions)			per share *			(in millions)			per share *
Net Income	$	229.9		$	1.00		$	210.6		$	0.88
Excluding:
Net Realized Investment Gain (Loss) (net of tax expense (benefit) of $3.8; $(6.9))	7.2			0.04			(13.6		)	(0.06		)
Loss from Guaranty Fund Assessment (net of tax benefit of $7.2; $-)	(13.4		)	(0.06		)	—			—
After-tax Operating Income	$	236.1		$	1.02		$	224.2		$	0.94
* Assuming Dilution

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We measure and analyze our segment performance on the basis of "operating revenue" and "operating income" or "operating loss", which 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 certain other items as specified in the reconciliations below. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for total revenue, income before income tax, or net income.

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

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Total Revenue	$	2,806.5		$	2,725.4
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Operating Revenue	$	2,795.5		$	2,745.9
Income Before Income Tax	$	330.3		$	304.2
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Loss from Guaranty Fund Assessment	(20.6		)	—
Operating Income	$	339.9		$	324.7

Critical Accounting Estimates

We prepare our financial statements in accordance with GAAP. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect amounts reported in our financial statements and accompanying notes. Estimates and assumptions could change in the future as more information becomes known, which could impact the amounts reported and disclosed in our financial statements.

The accounting estimates deemed to be most critical to our financial position and results of operations are those related to reserves for policy and contract benefits, deferred acquisition costs, valuation of investments, pension and postretirement benefit plans, income taxes, and contingent liabilities. There have been no significant changes in our critical accounting estimates during the first three months of 2017.

For additional information, refer to our significant accounting policies in Note 1 of the "Notes to Consolidated Financial Statements" in Part II, Item 8 and "Critical Accounting Estimates" in Part II, Item 7 of our annual report on Form 10-K for the year ended December 31, 2016.

Accounting Developments

See Note 2 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further information on accounting developments.

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Consolidated Operating Results

(in millions of dollars)
	Three Months Ended March 31
	2017			% Change		2016
Revenue
Premium Income	$	2,142.9		2.7	%	$	2,087.5
Net Investment Income	602.4			(0.7	)	606.4
Net Realized Investment Gain (Loss)	11.0			(153.7	)	(20.5		)
Other Income	50.2			(3.5	)	52.0
Total Revenue	2,806.5			3.0		2,725.4
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	1,749.0			1.1		1,729.8
Commissions	270.2			4.0		259.9
Interest and Debt Expense	39.8			3.1		38.6
Deferral of Acquisition Costs	(162.1		)	6.3		(152.5		)
Amortization of Deferred Acquisition Costs	141.5			7.0		132.2
Compensation Expense	207.0			(0.3	)	207.6
Other Expenses	230.8			12.3		205.6
Total Benefits and Expenses	2,476.2			2.3		2,421.2
Income Before Income Tax	330.3			8.6		304.2
Income Tax	100.4			7.3		93.6
Net Income	$	229.9		9.2		$	210.6

The comparability of our financial results between years is affected by the fluctuation in the British pound sterling to dollar exchange rate. The functional currency of our U.K. operations is the British pound sterling. In periods when the pound weakens relative to the preceding period, translating pounds into dollars decreases current period results relative to the prior period. In periods when the pound strengthens, translating pounds into dollars increases current period results relative to the prior period.

Our weighted average pound/dollar exchange rate was 1.243 and 1.430 for the three months ended March 31, 2017 and 2016, respectively. If the first quarter of 2016 results for our U.K. operations had been translated at the lower exchange rate of 2017, our operating revenue and operating income by segment would have been lower by approximately $20 million and $5 million, respectively, in the first quarter of 2016. However, it is important to distinguish between translating and converting foreign currency. Except for a limited number of transactions, we do not actually convert pounds into dollars. As a result, we view foreign currency translation as a financial reporting item and not a reflection of operations or profitability in the U.K.

Premium income for the first quarter of 2017 increased relative to the same period of 2016, with growth in each of our principal operating business segments, as measured in local currency, due to current and prior period sales growth, the addition of the dental and vision product offerings, and generally stable persistency. Premium income continues to decline, as expected, in our Closed Block segment.

Net investment income decreased in the first quarter of 2017, relative to the same period of 2016 due to a decline in the yield on invested assets and the unfavorable impact of the lower foreign currency exchange rate on translated financial results, partially offset by an increase in the level of invested assets and higher income from inflation index-linked bonds in our Unum UK segment.

There were no other-than-temporary impairment losses on fixed maturity securities included in net realized investment gains and losses for the first quarter of 2017, compared to $21.1 million for the first quarter of 2016. Also included in net realized investment gains and losses were changes in the fair value of an embedded derivative in a modified coinsurance arrangement, which resulted in realized gains (losses) of $8.6 million and $(5.6) million in the first quarters of 2017 and 2016, respectively. See Note 4 in the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further information on realized investment gains and losses.

Overall benefits experience was favorable in the first quarter 2017 relative to the prior year period. The benefits experience for each of our operating business segments is discussed more fully in "Segment Results" as follows.

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Commissions and the deferral of acquisition costs increased in the first quarter of 2017 relative to the same period of 2016 driven by sales growth in our Unum US voluntary benefits and Colonial Life product lines as well as the addition of the dental and vision product offering in Unum US. Growth in the level of the deferred asset resulted in higher amortization in the first quarter of 2017 compared to the prior year.

Interest and debt expense was higher in the first quarter 2017 relative to the same period of 2016 due primarily to a higher overall rate of interest.

Other expenses, including compensation expense, increased in the first quarter of 2017 compared to the same period of 2016 due primarily to a loss incurred from a guaranty fund assessment related to an unaffiliated insurer that was declared insolvent. Excluding the loss from a guaranty fund assessment, the premium growth rate in the first quarter of 2017 more than offset the growth rate in other expenses as we continue to focus on expense management and operating efficiencies, resulting in a decline in the other expense ratio. See Note 11 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further discussion regarding the loss from a guaranty fund assessment.

Our effective income tax rate for the first quarter of 2017 was 30.4 percent of income before income tax compared to 30.8 percent for the prior year period. Our effective tax rate differs from the U.S. statutory rate of 35 percent primarily due to the impact of both foreign earnings, which are taxed at lower rates than the U.S. statutory rate, and tax credits. Also impacting the comparability of our effective income tax rate to the prior year was the recognition of an income tax benefit which reduced the effective tax rate by approximately one percent due to the adoption of an accounting standards update related to stock-based compensation in the first quarter of 2017. See Note 2 in the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further discussion.

Consolidated Sales Results

Shown below are sales results for our three principal operating business segments.

(in millions)
	Three Months Ended March 31
	2017		% Change		2016
Unum US	$	263.5	11.1	%	$	237.1
Unum UK	£	15.9	24.2	%	£	12.8
Colonial Life	$	96.4	7.2	%	$	89.9

Sales shown in the preceding chart generally represent the annualized premium income on new sales which we expect to receive and report as premium income during the next 12 months following or beginning in the initial quarter in which the sale is reported, depending on the effective date of the new sale. Sales do not correspond to premium income reported as revenue in accordance with GAAP. This is because new annualized sales premiums reflect current sales performance and what we expect to recognize as premium income over a 12 month period, while premium income reported in our financial statements is reported on an "as earned" basis rather than an annualized basis and also includes renewals and persistency of in-force policies written in prior years as well as current new sales.

Sales, persistency of the existing block of business, employment and salary growth, and the effectiveness of a renewal program are indicators of growth in premium income. Trends in new sales, as well as existing market share, also indicate the potential for growth in our respective markets and the level of market acceptance of price changes and new product offerings. Sales results may fluctuate significantly due to case size and timing of sales submissions.

See "Segment Results" as follows for a discussion of sales by segment.

52

Segment Results

Our reporting segments are comprised of the following: Unum US, Unum UK, Colonial Life, Closed Block, and Corporate.

Unum US Segment

The Unum US segment includes group long-term and short-term disability insurance, group life and accidental death and dismemberment products, and supplemental and voluntary lines of business, which are comprised of individual disability, voluntary benefits, and dental and vision products.

Unum US Operating Results

Shown below are financial results for the Unum US segment. In the sections following, financial results and key ratios are also presented for the major lines of business within the segment.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income	$	1,360.4		4.5	%	$	1,301.3
Net Investment Income	202.5			(2.4	)	207.4
Other Income	28.7			(1.0	)	29.0
Total	1,591.6			3.5		1,537.7
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	923.4			2.3		902.2
Commissions	153.2			2.8		149.0
Deferral of Acquisition Costs	(87.3		)	2.8		(84.9		)
Amortization of Deferred Acquisition Costs	83.5			6.4		78.5
Other Expenses	279.7			1.0		277.0
Total	1,352.5			2.3		1,321.8
Operating Income	$	239.1		10.7		$	215.9
Operating Ratios (% of Premium Income):
Benefit Ratio	67.9		%			69.3		%
Other Expense Ratio	20.6		%			21.3		%
Operating Income Ratio	17.6		%			16.6		%

53

Unum US Group Disability Operating Results

Shown below are financial results and key performance indicators for Unum US group disability.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Group Long-term Disability	$	434.4		0.9	%	$	430.6
Group Short-term Disability	157.9			0.3		157.5
Total Premium Income	592.3			0.7		588.1
Net Investment Income	115.5			(4.4	)	120.8
Other Income	24.0			4.8		22.9
Total	731.8			—		731.8
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	453.8			(4.3	)	474.3
Commissions	46.4			2.7		45.2
Deferral of Acquisition Costs	(12.0		)	(3.2	)	(12.4		)
Amortization of Deferred Acquisition Costs	10.0			9.9		9.1
Other Expenses	144.9			(0.2	)	145.2
Total	643.1			(2.8	)	661.4
Operating Income	$	88.7		26.0		$	70.4
Operating Ratios (% of Premium Income):
Benefit Ratio	76.6		%			80.6		%
Other Expense Ratio	24.5		%			24.7		%
Operating Income Ratio	15.0		%			12.0		%
Persistency:
Group Long-term Disability	88.1		%			88.9		%
Group Short-term Disability	85.2		%			86.0		%

Premium income in the first quarter of 2017 increased slightly compared to the same period of 2016 with growth in the in-force block due to prior period sales partially offset by a decline in persistency. Net investment income was lower in the first quarter of 2017 relative to the same period of 2016 due to a decrease in the level of invested assets and a decline in yield. Other income is comprised primarily of fees from administrative services products.

Benefits experience was favorable in the first quarter of 2017 compared to the same period of 2016 due primarily to lower claim incidence rates in our group long-term disability product line and lower prevalence rates in our group short-term disability product line. Our renewal premium rate increases over the past several quarters also contributed to the improvement in the benefit ratio. Partially offsetting the favorable claims experience was a 50 basis point decrease in the discount rate for group long-term disability claim incurrals which we implemented in the fourth quarter of 2016.

Commissions in the first quarter of 2017 increased compared to same period of 2016 due to prior period sales growth. The deferral of acquisition costs decreased slightly in the first quarter of 2017 compared to the same period of 2016 due to lower sales. The amortization of deferred acquisition costs increased in the first quarter of 2017 relative to the same period of 2016 due to growth in the level of the deferred asset.  Our other expense ratio improved slightly in the first quarter of 2017 compared to the same period of 2016 as we continue to focus on expense management and operating efficiencies.

54

Unum US Group Life and Accidental Death and Dismemberment Operating Results

Shown below are financial results and key performance indicators for Unum US group life and accidental death and dismemberment.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Group Life	$	367.8		4.6	%	$	351.5
Accidental Death & Dismemberment	36.6			5.8		34.6
Total Premium Income	404.4			4.7		386.1
Net Investment Income	27.6			(3.2	)	28.5
Other Income	1.0			—		1.0
Total	433.0			4.2		415.6
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	290.7			5.4		275.9
Commissions	32.6			0.9		32.3
Deferral of Acquisition Costs	(9.3		)	(5.1	)	(9.8		)
Amortization of Deferred Acquisition Costs	8.0			6.7		7.5
Other Expenses	55.0			1.3		54.3
Total	377.0			4.7		360.2
Operating Income	$	56.0		1.1		$	55.4
Operating Ratios (% of Premium Income):
Benefit Ratio	71.9		%			71.5		%
Other Expense Ratio	13.6		%			14.1		%
Operating Income Ratio	13.8		%			14.3		%
Persistency:
Group Life	87.4		%			89.9		%
Accidental Death & Dismemberment	87.1		%			89.1		%

Premium income increased in the first quarter of 2017 compared to the same period of 2016 due to growth in the in-force block resulting from prior period sales partially offset by a decline in persistency. Net investment income was lower in the first quarter of 2017 compared to the same period of 2016 due primarily to a decline in yield and a decrease in the level of invested assets, partially offset by an increase in miscellaneous income.

Benefits experience was slightly less favorable in the first quarter of 2017 compared to the same period of 2016, driven primarily by a higher average claim size in the accidental death & dismemberment product line.

Commissions in the first quarter of 2017 were generally consistent with the prior year first quarter. The deferral of acquisition costs decreased slightly in the first quarter of 2017 relative to the same period of 2016 due to lower sales. The amortization of deferred acquisition costs increased in the first quarter of 2017 relative to the same period of 2016 due to growth in the level of the deferred asset.  The other expense ratio declined in the first quarter of 2017 compared to the same period of 2016 due to growth in premium income and our continued focus on expense management and operating efficiencies.

55

Unum US Supplemental and Voluntary Operating Results

Shown below are financial results and key performance indicators for Unum US supplemental and voluntary product lines.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Individual Disability	$	107.0		(13.6	)%	$	123.9
Voluntary Benefits	215.2			5.9		203.2
Dental and Vision	41.5			—		—
Total Premium Income	363.7			11.2		327.1
Net Investment Income	59.4			2.2		58.1
Other Income	3.7			(27.5	)	5.1
Total	426.8			9.4		390.3
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	178.9			17.7		152.0
Commissions	74.2			3.8		71.5
Deferral of Acquisition Costs	(66.0		)	5.3		(62.7		)
Amortization of Deferred Acquisition Costs	65.5			5.8		61.9
Other Expenses	79.8			3.0		77.5
Total	332.4			10.7		300.2
Operating Income	$	94.4		4.8		$	90.1
Operating Ratios (% of Premium Income):
Benefit Ratios:
Individual Disability	54.6		%			50.9		%
Voluntary Benefits	42.2		%			43.8		%
Dental and Vision	71.6		%			—
Other Expense Ratio	21.9		%			23.7		%
Operating Income Ratio	26.0		%			27.5		%
Persistency:
Individual Disability	91.1		%			91.3		%
Voluntary Benefits	75.9		%			76.7		%
Dental and Vision	83.4		%			—

Premium income increased in the first quarter of 2017 compared to the same period of 2016, driven by the addition of the dental and vision product offering in the third quarter of 2016 as well as growth in the voluntary benefits product related to higher sales. Premium income for our individual disability product line declined in the first quarter of 2017 compared to the same period of 2016 due to the impact of a reinsurance agreement we entered into during the fourth quarter of 2016 whereby we ceded 30 percent of the risk for certain blocks of our individual disability business on a non-proportional modified coinsurance basis. Excluding the impact of this agreement, premium income for our individual disability product line increased relative to the same period of 2016 driven by prior period sales.  Net investment income was higher in the first quarter of 2017 relative to the comparable periods of 2016 due to growth in the level of invested assets and miscellaneous investment income, partially offset by a decline in yield on invested assets. Other income decreased in the first quarter of 2017 relative to the same period of 2016 due primarily to the expected decline in surrender fees as our interest sensitive life products mature.

The benefit ratio for the individual disability product line in the first quarter of 2017 was unfavorably impacted compared to the prior year period by the reinsurance agreement we entered into during the fourth quarter of 2016. Excluding the impact of this agreement, benefits experience for the individual disability product line was generally consistent with the same period of 2016. Benefits experience for voluntary benefits in the first quarter of 2017 was favorable relative to the same period of 2016 with favorable experience across most product lines. The dental and vision product line will typically have a higher benefit ratio than the other product lines reported in our supplemental and voluntary line of business but did experience slightly less favorable claims experience in the first quarter of 2017 compared to our expectations.

56

Commissions were higher for the first quarter of 2017 relative to the same period of 2016 due to sales growth in the voluntary benefits product line and the addition of the dental and vision product line, partially offset by commissions ceded in the individual disability product line related to the fourth quarter of 2016 reinsurance agreement. The deferral of acquisition costs increased in the first quarter of 2017 due primarily to sales growth in the voluntary benefits product line. The amortization of deferred acquisition costs increased in the first quarter of 2017 relative to the same period of 2016 due to the growth in the level of the deferred asset. Our other expense ratio improved in the first quarter of 2017 compared to the same period of 2016 due to expense allowances received related to the fourth quarter of 2016 reinsurance agreement and our continued focus on expense management and operating efficiencies.

Sales

(in millions of dollars)
	Three Months Ended March 31
	2017		% Change		2016
Sales by Product
Group Disability and Group Life and AD&D
Group Long-term Disability	$	36.0	(4.0	)%	$	37.5
Group Short-term Disability	16.9		4.3		16.2
Group Life and AD&D	37.2		(8.8	)	40.8
Subtotal	90.1		(4.7	)	94.5
Supplemental and Voluntary
Individual Disability	16.2		(3.0	)	16.7
Voluntary Benefits	147.3		17.0		125.9
Dental and Vision	9.9		—		—
Subtotal	173.4		21.6		142.6
Total Sales	$	263.5	11.1		$	237.1
Sales by Market Sector
Group Disability and Group Life and AD&D
Core Market (< 2,000 employees)	$	56.3	(3.3	)%	$	58.2
Large Case Market	33.8		(6.9	)	36.3
Subtotal	90.1		(4.7	)	94.5
Supplemental and Voluntary	173.4		21.6		142.6
Total Sales	$	263.5	11.1		$	237.1

Group sales decreased in the first quarter of 2017 compared to the same period of 2016, primarily driven by a decrease in sales to new customers in our core market segment, which we define as employee groups with fewer than 2,000 employees, and a decrease in sales to existing customers in our large case market. These decreases were partially offset by increases in sales to both existing customers in the core market and new customers in the large case market. The sales mix in the group market sector for the first three months of 2017 was approximately 62 percent core market and 38 percent large case market.

Individual disability sales, which are primarily concentrated in the multi-life market, decreased in the first quarter of 2017 compared to the same period of 2016 driven by lower sales to existing customers, partially offset by an increase in sales to new customers. Sales of voluntary benefits increased in the first quarter of 2017 compared to the same period of 2016, driven by increased sales to both new and existing customers primarily in the large case market. Also contributing to supplemental and voluntary sales in the first quarter of 2017 were sales of the dental and vision products resulting from the Starmount acquisition in the third quarter of 2016.

57

Segment Outlook

We remain committed to offering consumers a broad set of financial protection benefit products at the worksite. During the remainder of 2017, we will focus on client expansion, consumer engagement, and collaborative partnerships, all underpinned by strong risk management. We intend to broaden our client relationships and build additional partnerships to open new digital channels. We also aim to enhance the customer experience through new product offerings such as dental and vision, investing in processes with a focus on quality and simplification, and the utilization of technology to enhance enrollment, underwriting, and online claims. We believe our active client management and differentiated integrated customer experience across our product lines will continue to enable us to grow our market.

We anticipate solid operating income growth in 2017, with disciplined sales and premium growth, consistent risk management, and improving operational efficiency. We believe further improvement in our premium and sales growth rates will occur if overall economic conditions continue to improve and/or industry pricing levels increase to better align with our view of adequate premium rates.  We believe our underlying profitability will remain strong, driven primarily by our continued product mix shift, expense efficiencies, and consistent operating effectiveness. Underpinning our strategy is our continued commitment to risk management discipline, talent development, and our core values.

The low interest rate environment continues to place pressure on our profit margins by impacting net investment income yields as well as discount rates on our insurance liabilities. Our net investment income may be impacted, either favorably or unfavorably, by fluctuations in miscellaneous investment income.  As part of our continued pricing discipline and our reserving strategy, we continuously monitor emerging interest rate experience and adjust our pricing and reserve discount rates, as appropriate. We believe the group long-term disability reserve discount rate reduction during 2016 provides a strong balance sheet position for 2017. We expect improvement in our group disability benefit ratio for full year 2017 compared to 2016, although unfavorable economic conditions could lead to a higher rate of claim incidence or lower levels of claim recoveries.  We continuously monitor key indicators to assess our risks and attempt to adjust our business plans accordingly.

58

Unum UK Segment

The Unum UK segment includes insurance for group long-term disability, group life, and supplemental lines of business which include dental, individual disability, and critical illness products. Unum UK's products are sold primarily in the United Kingdom through field sales personnel and independent brokers and consultants.

Operating Results

Shown below are financial results and key performance indicators for the Unum UK segment.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Group Long-term Disability	$	80.8		(13.2	)%	$	93.1
Group Life	24.8			(13.6	)	28.7
Supplemental	15.7			(10.3	)	17.5
Total Premium Income	121.3			(12.9	)	139.3
Net Investment Income	26.6			(0.7	)	26.8
Total	147.9			(11.0	)	166.1
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	86.7			(8.4	)	94.7
Commissions	8.8			(2.2	)	9.0
Deferral of Acquisition Costs	(1.8		)	(10.0	)	(2.0		)
Amortization of Deferred Acquisition Costs	2.2			(18.5	)	2.7
Other Expenses	25.4			(9.6	)	28.1
Total	121.3			(8.5	)	132.5
Operating Income	$	26.6		(20.8	)	$	33.6

59

Foreign Currency Translation

The functional currency of Unum UK is the British pound sterling. Unum UK's premium income, net investment income, claims, and expenses are received or paid in pounds, and we hold pound-denominated assets to support Unum UK's pound-denominated policy reserves and liabilities. We translate Unum UK's pound-denominated financial statement items into dollars for our consolidated financial reporting. We translate income statement items using an average exchange rate for the reporting period, and we translate balance sheet items using the exchange rate at the end of the period. We report unrealized foreign currency translation gains and losses in accumulated other comprehensive income in our consolidated balance sheets.

Fluctuations in the pound to dollar exchange rate have an effect on Unum UK's reported financial results and our consolidated financial results. In periods when the pound strengthens relative to the preceding period, translating pounds into dollars increases current period results relative to the prior period. In periods when the pound weakens, translating pounds into dollars decreases current period results relative to the prior period. The discussion of financial and sales results as follows is based on local currency.

(in millions of pounds, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Group Long-term Disability	£	65.2		0.3	%	£	65.0
Group Life	20.0			(0.5	)	20.1
Supplemental	12.7			4.1		12.2
Total Premium Income	97.9			0.6		97.3
Net Investment Income	21.4			14.4		18.7
Total	119.3			2.8		116.0
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	69.9			5.7		66.1
Commissions	7.1			14.5		6.2
Deferral of Acquisition Costs	(1.4		)	—		(1.4		)
Amortization of Deferred Acquisition Costs	1.7			(10.5	)	1.9
Other Expenses	20.6			4.6		19.7
Total	97.9			5.8		92.5
Operating Income	£	21.4		(8.9	)	£	23.5
Weighted Average Pound/Dollar Exchange Rate	1.243					1.430
Operating Ratios (% of Premium Income):
Benefit Ratio	71.4		%			67.9		%
Other Expense Ratio	21.0		%			20.2		%
Operating Income Ratio	21.9		%			24.2		%
Persistency:
Group Long-term Disability	84.2		%			87.5		%
Group Life	82.0		%			79.6		%
Supplemental	91.5		%			90.5		%

Premium income increased slightly in the first quarter of 2017 compared to the same period of 2016 driven by growth in the supplemental line of business due to favorable persistency and growth in the in-force block resulting from prior period sales in the group critical illness product.

Net investment income was higher in the first quarter of 2017 relative to the prior year period due primarily to higher investment income from inflation index-linked bonds, which we invest in to support the claim reserves associated with certain of our group policies that provide for inflation-linked increases in benefits and growth in the level of invested assets. The increase in net investment income attributable to these index-linked bonds was mostly offset by an increase in the reserves for future claims payments related to the inflation index-linked group long-term disability and group life policies.

60

Overall benefits experience was less favorable in the first quarter of 2017 relative to the same prior year period due primarily to a higher average claim size in our group long-term disability product line and the impact from inflation-linked increases in benefits, partially offset by favorable claims activity in our group life product line. Also contributing to the less favorable benefits experience was an 80 basis point decrease in the discount rate on new claim incurrals implemented in the first quarter of 2017 across several of our products.

Commissions increased in the first quarter of 2017 relative to the same prior year period due to an overall increase in sales. The deferral of acquisition costs in the first quarter of 2017 was in line with the same period of 2016. The deferral and amortization of acquisition costs during the first quarter of 2017 were generally consistent with the same prior year period. The other expense ratio was higher in the first quarter of 2017 compared to the same prior year period due to an increase in operational investments in our business.

Sales

(in millions of dollars and pounds)
	Three Months Ended March 31
	2017		% Change		2016
Sales by Product
Group Long-term Disability	$	13.5	32.4	%	$	10.2
Group Life	3.9		(17.0	)	4.7
Supplemental	2.3		(34.3	)	3.5
Total Sales	$	19.7	7.1		$	18.4
Sales by Market Sector
Group Long-term Disability and Group Life
Core Market (< 500 employees)	$	6.4	(23.8	)%	$	8.4
Large Case Market	11.0		69.2		6.5
Subtotal	17.4		16.8		14.9
Supplemental	2.3		(34.3	)	3.5
Total Sales	$	19.7	7.1		$	18.4
Sales by Product
Group Long-term Disability	£	10.9	53.5	%	£	7.1
Group Life	3.1		(3.1	)	3.2
Supplemental	1.9		(24.0	)	2.5
Total Sales	£	15.9	24.2		£	12.8
Sales by Market Sector
Group Long-term Disability and Group Life
Core Market (< 500 employees)	£	5.2	(11.9	)%	£	5.9
Large Case Market	8.8		100.0		4.4
Subtotal	14.0		35.9		10.3
Supplemental	1.9		(24.0	)	2.5
Total Sales	£	15.9	24.2		£	12.8

The increase in group long-term disability sales for the first quarter of 2017 relative to the first quarter of 2016 is primarily driven by sales to new customers in our large case market. Group life sales were consistent with the prior year first quarter with a decline in sales in the core market, which we define as employee groups with fewer than 500 employees, mostly offset by an increase in sales to new customers in the large case market.

The decrease in supplemental sales during the first quarter of 2017 compared to the same period of 2016 was due to a decrease in sales in group critical illness, partially offset by an increase in sales in the dental product line.

61

Segment Outlook

We remain committed to driving growth in the U.K. market, and during the remainder of 2017 we will continue to build on those capabilities that we believe will generate growth and profitability in our businesses. Expanding our group long-term disability market position remains a significant opportunity and priority. Our key priorities in 2017 include the implementation of price increases across interest sensitive product lines, while maintaining solid persistency results, and continuing to follow a disciplined approach to new sales activity in the competitive pricing environment. We intend to accelerate growth in non-interest sensitive product lines such as group life, critical illness, and dental. We will expand our distribution and build marketing and digital capabilities which we believe will drive sustainable growth. We are simplifying our processes and operations to deliver efficiencies and maintain service levels. We will remain focused on risk discipline and putting our customers first.

We may see some near-term dampening of growth in Unum UK due to the current disruption and uncertainty in the U.K. economy as a result of the U.K.'s formal notice to withdraw from the EU. The magnitude and longevity of potential negative economic impacts on our growth will depend on the agreements reached by the U.K. and EU as a result of exit negotiations and the resulting response of the U.K. marketplace. We anticipate returning to more normal levels of premium growth when economic conditions improve and there are higher levels of employment, increases in corporate payrolls, and expansion of benefit spending.

We expect the lower interest rate environment to continue to have a negative impact on our growth expectations in the near-term, and unfavorable economic conditions may also lead to a higher rate of claim incidence, lower levels of claim recoveries, or lower claim discount rates. As part of our continued pricing discipline and our reserving strategy, we continuously monitor emerging interest rate experience and adjust our pricing and reserve discount rates, as appropriate. We believe the current low levels of inflation in the U.K. may adversely impact our index-linked net investment income, with an expected corresponding reduction in the cost of benefits. There are no indications currently that capital requirements for our U.K. operations will change, but economic conditions may in the near term cause volatility in our solvency ratios. We continuously monitor key indicators to assess our risks and attempt to adjust our business plans accordingly.

62

Colonial Life Segment

The Colonial Life segment includes insurance for accident, sickness, and disability products, life products, and cancer and critical illness products issued primarily by Colonial Life & Accident Insurance Company and marketed to employees, on both a group and an individual basis, at the workplace through an independent contractor agency sales force and brokers.

Operating Results

Shown below are financial results and key performance indicators for the Colonial Life segment.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Accident, Sickness, and Disability	$	219.1		6.6	%	$	205.6
Life	74.2			9.6		67.7
Cancer and Critical Illness	81.0			4.0		77.9
Total Premium Income	374.3			6.6		351.2
Net Investment Income	35.1			3.2		34.0
Other Income	0.3			—		0.3
Total	409.7			6.3		385.5
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	190.2			6.3		178.9
Commissions	85.2			9.5		77.8
Deferral of Acquisition Costs	(73.0		)	11.3		(65.6		)
Amortization of Deferred Acquisition Costs	55.8			9.4		51.0
Other Expenses	69.1			4.7		66.0
Total	327.3			6.2		308.1
Operating Income	$	82.4		6.5		$	77.4
Operating Ratios (% of Premium Income):
Benefit Ratio	50.8		%			50.9		%
Other Expense Ratio	18.5		%			18.8		%
Operating Income Ratio	22.0		%			22.0		%
Persistency:
Accident, Sickness, and Disability	74.6		%			74.8		%
Life	84.5		%			84.7		%
Cancer and Critical Illness	81.9		%			81.6		%

Premium income increased in the first quarter of 2017 relative to the same period of 2016 as a result of overall sales growth and solid persistency. Net investment income was higher in the first quarter of 2017 compared to the same period of 2016 due to an increase in the level of invested assets, partially offset by a decline in yields.

Benefits experience in the first quarter of 2017 was generally consistent with the same period of 2016, with favorable experience in the life and cancer and critical illness lines of business, mostly offset by less favorable experience in the accident, sickness, and disability line of business.

Commissions and the deferral of acquisition costs were higher in the first quarter of 2017 relative to the same period of 2016 due to overall sales growth. The amortization of deferred acquisition costs increased during the first quarter of 2017 relative to the same period of 2016 due to growth in the level of the deferred asset. The other expense ratio improved in the first quarter of 2017 due to growth in premium income and our continued focus on operating effectiveness and expense management.

63

Sales

(in millions of dollars)
	Three Months Ended March 31
	2017		% Change		2016
Sales by Product
Accident, Sickness, and Disability	$	61.5	5.5	%	$	58.3
Life	20.9		22.9		17.0
Cancer and Critical Illness	14.0		(4.1	)	14.6
Total Sales	$	96.4	7.2		$	89.9
Sales by Market Sector
Commercial
Core Market (< 1,000 employees)	$	70.2	13.2	%	$	62.0
Large Case Market	8.2		(19.6	)	10.2
Subtotal	78.4		8.6		72.2
Public Sector	18.0		1.7		17.7
Total Sales	$	96.4	7.2		$	89.9

Sales were higher in the first quarter of 2017 relative to the same period of 2016 due to growth in both new and existing customer account sales. Commercial market sales increased in the first quarter of 2017 as compared to the same period of 2016 due to higher sales to both new and existing customer accounts in the core market, which we define as accounts with fewer than 1,000 employees, partially offset by lower sales to new customer accounts in the large case market. Growth in our public sector market sales for the first quarter of 2017 was primarily due to an increase in existing customer account sales. The number of new accounts increased 12.4 percent in the first quarter of 2017 relative to the same period of 2016, and the average new case size decreased 8.1 percent.

Segment Outlook

We remain committed to providing employees and their families with simple, modern, and personal benefit solutions. During the remainder of 2017, we intend to focus on expanding our distribution, introducing new products and services, enhancing the customer experience, and investing in new solutions to further improve productivity.  We believe there is significant opportunity for growth in our core market, particularly those employers with fewer than 100 employees.  This market is currently underserved, and we believe having a large national distribution system is critical to reaching those markets. We intend to focus on accelerating growth during the remainder of 2017 through territory expansion, territory growth, and persistency investments. We believe our distribution system, enrollment capabilities, public sector expertise, and ability to serve all market sizes position us well for future growth. 

We expect to see continued favorable sales and premium growth trends in the remainder of 2017. The lower interest rate environment will continue to have an unfavorable impact on our profit margins, and volatility in miscellaneous investment income is likely to occur.  We expect our annual benefit ratio for 2017 to be generally consistent with the level of 2016. While we believe our underlying profitability will remain strong, current economic conditions and increasing competition in the voluntary workplace market are seen as external risks to achievement of our business plans.  We continuously monitor key indicators to assess our risks and attempt to adjust our business plans accordingly.

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Closed Block Segment

The Closed Block segment consists of individual disability, group and individual long-term care, and other insurance products no longer actively marketed. The individual disability line of business in this segment generally consists of policies we sold prior to the mid-1990s and entirely discontinued selling in 2004, other than update features contractually allowable on existing policies. We discontinued offering individual long-term care in 2009 and group long-term care in 2012. Other insurance products include group pension, individual life and corporate-owned life insurance, reinsurance pools and management operations, and other miscellaneous product lines.

Operating Results

Shown below are financial results and key performance indicators for the Closed Block segment.

(in millions of dollars, except ratios)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Premium Income
Individual Disability	$	121.3		(9.2	)%	$	133.6
Long-term Care	163.1			0.9		161.7
All Other	2.5			N.M.		0.4
Total Premium Income	286.9			(3.0	)	295.7
Net Investment Income	335.3			0.6		333.4
Other Income	20.8			(7.1	)	22.4
Total	643.0			(1.3	)	651.5
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	548.7			(1.0	)	554.0
Commissions	23.0			(4.6	)	24.1
Interest and Debt Expense	1.7			—		1.7
Other Expenses	38.0			—		38.0
Total	611.4			(1.0	)	617.8
Operating Income	$	31.6		(6.2	)	$	33.7
Interest Adjusted Loss Ratios:
Individual Disability	83.6		%			84.0		%
Long-term Care	88.6		%			88.9		%
Operating Ratios (% of Premium Income):
Other Expense Ratio	13.2		%			12.9		%
Operating Income Ratio	11.0		%			11.4		%
Persistency:
Individual Disability	90.4		%			90.9		%
Long-term Care	95.1		%			95.5		%
N.M. = not a meaningful percentage

Premium income for individual disability decreased in the first quarter of 2017 compared to the same period of 2016 due to expected policy terminations and maturities. Premium income for long-term care increased slightly due primarily to rate increases. We continue to file requests with various state insurance departments for premium rate increases on certain of our individual and group long-term care policies. The rate increases reflect current interest rates and claims experience, higher expected future claims, longevity, persistency, and other factors related to pricing long-term care coverage.  In states for which a rate increase is submitted and approved, we routinely provide customers options for coverage changes or other approaches that might fit their current financial and insurance needs.

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Net investment income was higher in the first quarter of 2017 relative to the same period of 2016 due to a higher level of invested assets, partially offset by a decline in the yield on invested assets and lower miscellaneous investment income.

Other income, which includes the underlying results of certain blocks of individual disability reinsured business and the net investment income of portfolios held by those ceding companies to support the block we have reinsured, was lower in the first quarter of 2017 compared to the same period of 2016 primarily due to lower investment income on those investment portfolios due to a lower investment yield.

Individual disability benefits experience was favorable in the first quarter of 2017 compared to the same period of 2016 due to lower claim incidence and favorable mortality experience. Long-term care benefits experience was favorable in the first quarter of 2017 compared to the same period of 2016 due to favorable mortality experience.

The other expense ratio increased slightly in the first quarter of 2017 compared to the same period of 2016 driven primarily by the expected decline in premium income for individual disability.

Segment Outlook

Our strategy for our Closed Block remains substantially unchanged. During the remainder of 2017, we intend to continue our focus on long-term care premium rate increases and the offer of policyholder options, operational effectiveness, financial analysis, and capital management. Despite continued anticipated premium rate increases in our long-term care business, we expect overall premium income and operating revenue to decline over time as these closed blocks of business wind down. We will likely experience volatility in net investment income due to fluctuations of miscellaneous investment income. We expect the low interest rate environment to continue to place pressure on our earnings and the adequacy of our reserves. We continuously monitor key indicators to assess our risks and attempt to adjust our business plans accordingly.

Profitability of our long-tailed products is affected by claims experience related to mortality and morbidity, investment returns, premium rate increases, and persistency.  We believe that the interest adjusted loss ratios for the individual disability and long-term care lines of business will be relatively flat over the long term, but these product lines may continue to experience quarterly volatility, particularly in the near term for our long-term care product lines as our claim block matures. We also believe the implementation of our long-term care rate increases have contributed to higher claim submissions in prior periods and could occur again in the future. Claim resolution rates, which measure the resolution of claims from recovery, deaths, settlements, and benefit expirations, are very sensitive to operational and external factors and can be volatile. Our claim resolution rate assumption used in determining reserves is our expectation of the resolution rate we will experience over the life of the block of business and will vary from actual experience in any one period. It is possible that variability in any of our reserve assumptions, including, but not limited to, interest rates, mortality, morbidity, premium rate increases, benefit change elections, and persistency, could result in a material impact on the adequacy of our reserves, including adjustments to reserves established under loss recognition.

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Corporate Segment

The Corporate segment includes investment income on corporate assets not specifically allocated to a line of business, interest expense on corporate debt other than non-recourse debt, and certain other corporate income and expense not allocated to a line of business. We previously excluded the amortization of prior period actuarial gains or losses, a component of the net periodic benefit cost for our pension and other postretirement benefit plans, from the results of our Corporate segment. Effective January 1, 2017, the amortization of prior period actuarial gains or losses is now reported in our Corporate segment as a component of "interest and other expenses" in the following chart. Amounts for periods prior to January, 1, 2017 have been adjusted to conform to current year reporting.

Operating Results

(in millions of dollars)
	Three Months Ended March 31
	2017			% Change		2016
Operating Revenue
Net Investment Income	$	2.9		(39.6	)%	$	4.8
Other Income	0.4			33.3		0.3
Total	3.3			(35.3	)	5.1
Interest and Other Expenses	63.7			55.4		41.0
Operating Loss Including Loss from Guaranty Fund Assessment	(60.4		)	(68.2	)	(35.9		)
Loss from Guaranty Fund Assessment	20.6			—		—
Operating Loss	$	(39.8	)	(10.9	)	$	(35.9	)

Net investment income was lower in the first quarter of 2017 relative to the same period of 2016 due to a decline in the yield on invested assets.

Interest and other expenses were higher in the first quarter of 2017 relative to the same period of 2016 due primarily to a $20.6 million loss incurred in the first quarter of 2017 from a guaranty fund assessment related to an unaffiliated insurer that was declared insolvent. Excluding this loss, interest and other expenses were higher than the prior year due to a higher overall rate of interest on our outstanding debt resulting from the 2016 maturity of a receive fixed, pay variable interest rate swap in conjunction with the maturity of the associated fixed rate debt and higher retirement-related costs associated with our pension and other postretirement benefit plans. See Note 11 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further discussion on the loss from a guaranty fund assessment.

Segment Outlook

We expect the low interest rate environment to continue to place pressure on investment income. We are currently holding capital at our insurance subsidiaries and holding companies at levels that exceed our long-term requirements, and we expect to continue to generate excess capital on an annual basis through our statutory earnings. While we intend to maintain our disciplined approach to risk management, we believe we are well positioned with substantial flexibility to preserve our capital strength and at the same time explore opportunities to deploy the excess capital that is generated.

Investments

Overview

Investment activities are an integral part of our business, and profitability is significantly affected by investment results. We segment our invested assets into portfolios that support our various product lines. Generally, our investment strategy for our portfolios is to match the effective asset cash flows and durations with related expected liability cash flows and durations to consistently meet the liability funding requirements of our businesses. We seek to earn investment income while assuming credit risk in a prudent and selective manner, subject to constraints of quality, liquidity, diversification, and regulatory considerations. Our overall investment philosophy is to invest in a portfolio of high quality assets that provide investment returns consistent with that assumed in the pricing of our insurance products. Assets are invested predominately in fixed maturity securities. Changes in interest rates may affect the amount and timing of cash flows.

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We actively manage our asset and liability cash flow match and our asset and liability duration match to limit interest rate risk. We may redistribute investments among our different lines of business, when necessary, to adjust the cash flow and/or duration of the asset portfolios to better match the cash flow and duration of the liability portfolios. Asset and liability portfolio modeling is updated on a quarterly basis and is used as part of the overall interest rate risk management strategy. Cash flows from the in-force asset and liability portfolios are projected at current interest rate levels and also at levels reflecting an increase and a decrease in interest rates to obtain a range of projected cash flows under the different interest rate scenarios. These results enable us to assess the impact of projected changes in cash flows and duration resulting from potential changes in interest rates. Testing the asset and liability portfolios under various interest rate scenarios enables us to choose what we believe to be the most appropriate investment strategy, as well as to limit the risk of disadvantageous outcomes. Although we test the asset and liability portfolios under various interest rate scenarios as part of our modeling, the majority of our liabilities related to insurance contracts are not interest rate sensitive, and we therefore have minimal exposure to policy withdrawal risk. Our determination of investment strategy relies on long-term measures such as reserve adequacy analysis and the relationship between the portfolio yields supporting our various product lines and the aggregate discount rate assumptions embedded in the reserves. We also use this analysis in determining hedging strategies and utilizing derivative financial instruments for managing interest rate risk and the risk related to matching duration for our assets and liabilities. We do not use derivative financial instruments for speculative purposes.

Our investment portfolio is well diversified by type of investment and industry sector. We have established an investment strategy that we believe will provide for adequate cash flows from operations and allow us to hold our securities through periods where significant decreases in fair value occur. We believe our emphasis on risk management in our investment portfolio, including credit and interest rate management, has positioned us well and generally reduced the volatility in our results.

Fixed Maturity Securities

The fair values and associated unrealized gains and losses of our fixed maturity securities portfolio, by industry classification, are as follows:

Fixed Maturity Securities - By Industry Classification

As of March 31, 2017

(in millions of dollars)
Classification	Fair Value		Net Unrealized Gain		Fair Value of Fixed Maturity Securities with Gross Unrealized Loss		Gross Unrealized Loss		Fair Value of Fixed Maturity Securities with Gross Unrealized Gain		Gross Unrealized Gain
Basic Industry	$	2,627.7	$	233.6	$	397.2	$	11.8	$	2,230.5	$	245.4
Capital Goods	4,242.4		463.4		422.7		10.0		3,819.7		473.4
Communications	3,097.6		371.7		294.2		19.9		2,803.4		391.6
Consumer Cyclical	1,373.8		131.3		112.9		2.9		1,260.9		134.2
Consumer Non-Cyclical	6,652.8		636.0		964.0		42.9		5,688.8		678.9
Energy	5,014.4		533.0		653.0		28.7		4,361.4		561.7
Financial Institutions	3,311.9		282.3		341.4		6.1		2,970.5		288.4
Mortgage/Asset-Backed	2,155.4		114.3		509.1		10.1		1,646.3		124.4
Sovereigns	917.8		204.5		—		—		917.8		204.5
Technology	1,648.6		94.4		135.1		2.3		1,513.5		96.7
Transportation	1,903.6		244.3		181.8		5.3		1,721.8		249.6
U.S. Government Agencies and Municipalities	3,590.2		475.7		268.9		6.7		3,321.3		482.4
Public Utilities	8,087.0		1,141.1		292.0		14.9		7,795.0		1,156.0
Total	$	44,623.2	$	4,925.6	$	4,572.3	$	161.6	$	40,050.9	$	5,087.2

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The following two tables show the length of time our investment-grade and below-investment-grade fixed maturity securities had been in a gross unrealized loss position as of March 31, 2017 and at the end of the prior four quarters. The relationships of the current fair value to amortized cost are not necessarily indicative of the fair value to amortized cost relationships for the securities throughout the entire time that the securities have been in an unrealized loss position nor are they necessarily indicative of the relationships after March 31, 2017. The decrease in the unrealized loss on fixed maturity securities during the first quarter of 2017 was due primarily to a decrease in credit spreads and U.S. Treasury rates.

Unrealized Loss on Investment-Grade Fixed Maturity Securities

Length of Time in Unrealized Loss Position

(in millions of dollars)
	2017		2016
	March 31		December 31		September 30		June 30		March 31
Fair Value < 100% >= 70% of Amortized Cost
<= 90 days	$	4.0	$	119.2	$	2.2	$	0.8	$	15.7
> 90 <= 180 days	82.1		12.5		0.3		4.8		34.0
> 180 <= 270 days	9.5		0.1		4.0		0.4		26.3
> 270 days <= 1 year	0.1		8.9		—		2.7		68.9
> 1 year <= 2 years	10.0		9.5		8.1		25.5		24.2
> 2 years <= 3 years	1.7		0.5		—		—		3.3
> 3 years	0.7		1.1		1.1		2.2		2.5
Total	$	108.1	$	151.8	$	15.7	$	36.4	$	174.9

Unrealized Loss on Below-Investment-Grade Fixed Maturity Securities

Length of Time in Unrealized Loss Position

(in millions of dollars)
	2017		2016
	March 31		December 31		September 30		June 30		March 31
Fair Value < 100% >= 70% of Amortized Cost
<= 90 days	$	2.9	$	8.2	$	0.4	$	2.4	$	3.7
> 90 <= 180 days	2.3		1.4		0.3		3.5		4.5
> 180 <= 270 days	—		0.5		1.6		1.9		41.5
> 270 days <= 1 year	0.4		4.1		0.9		14.5		43.0
> 1 year <= 2 years	20.1		19.7		30.6		71.3		38.7
> 2 years <= 3 years	13.2		16.0		11.4		—		11.3
> 3 years	14.6		16.9		10.2		19.9		10.5
Sub-total	53.5		66.8		55.4		113.5		153.2
Fair Value < 70% >= 40% of Amortized Cost
> 180 <= 270 days	—		—		—		—		22.8
>270 days <= 1 year	—		—		—		8.9		33.9
> 1 year <= 2 years	—		—		6.4		—		26.0
> 2 years <= 3 years	—		—		—		—		13.5
> 3 years	—		—		6.6		6.8		0.2
Sub-total	—		—		13.0		15.7		96.4
Total	$	53.5	$	66.8	$	68.4	$	129.2	$	249.6

At March 31, 2017, we held one below-investment grade fixed maturity security with a gross unrealized loss greater than $10.0 million. The security was in the communications sector and had a fair value of $60.6 million and a gross unrealized loss of $10.8 million.

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During the first quarter of 2016, we recognized an other-than-temporary impairment loss of $11.6 million on fixed maturity securities issued by a large U.S.-based energy company. At the time of the impairment loss, the company had a high debt-to-equity ratio, and its projected liquidity had decreased significantly as a result of the declines in oil prices and the likelihood that prices may stay at depressed levels for an extended period of time.  The company has assets it can sell, but liquidation may be difficult in the current environment. Additionally, the lower oil prices resulted in the company's banks significantly reducing the availability on the company’s revolving line of credit. At the time of the impairment loss, these securities had been in an unrealized loss position for a period of greater than one year but less than two years. In addition to this impairment loss, during the first quarter of 2016, we also recognized two smaller other-than-temporary impairment losses on fixed maturity securities issued by energy companies totaling $9.5 million.

We had no individual realized investment losses of $10.0 million or greater from the sale of fixed-maturity securities during the first quarters of 2017 and 2016. We had no individual realized investment losses of $10.0 million or greater from other-than-temporary impairments during the first quarter of 2017.

At March 31, 2017, our mortgage/asset-backed securities had an average life of 5.06 years, effective duration of 5.53 years, and a weighted average credit rating of Aaa. The mortgage/asset-backed securities are valued on a monthly basis using valuations supplied by the brokerage firms that are dealers in these securities as well as independent pricing services. One of the risks involved in investing in mortgage/asset-backed securities is the uncertainty of the timing of cash flows from the underlying loans due to prepayment of principal with the possibility of reinvesting the funds in a lower interest rate environment. We use models which incorporate economic variables and possible future interest rate scenarios to predict future prepayment rates. The timing of prepayment cash flows may also cause volatility in our recognition of investment income. We recognize investment income on these securities using a constant effective yield based on projected prepayments of the underlying loans and the estimated economic life of the securities.  Actual prepayment experience is reviewed periodically, and effective yields are recalculated when differences arise between prepayments originally projected and the actual prepayments received and currently projected. The effective yield is recalculated on a retrospective basis, and the adjustment is reflected in net investment income.

We have no exposure to subprime mortgages, "Alt-A" loans, or collateralized debt obligations in our investment portfolios. We have not invested in mortgage-backed derivatives, such as interest-only, principal-only, or residuals, where market values can be highly volatile relative to changes in interest rates. The credit quality of our mortgage-backed securities portfolio has not been negatively impacted by the issues in the market concerning subprime mortgage loans. The change in value of our mortgage-backed securities portfolio has moved in line with that of prime agency-backed mortgage-backed securities.

As of March 31, 2017, the amortized cost and fair value of our below-investment-grade fixed maturity securities was $3,275.7 million and $3,360.7 million, respectively. Below-investment-grade securities are inherently more risky than investment-grade securities since the risk of default by the issuer, by definition and as exhibited by bond rating, is higher. Also, the secondary market for certain below-investment-grade issues can be highly illiquid. Additional downgrades may occur, but we do not anticipate any liquidity problems resulting from our investments in below-investment-grade securities, nor do we expect these investments to adversely affect our ability to hold our other investments to maturity.

Fixed Maturity Securities - Foreign Exposure

Our investments in issuers in foreign countries are chosen for specific portfolio management purposes, including asset and liability management and portfolio diversification across geographic lines and sectors to minimize non-market risks. In our approach to investing in fixed maturity securities, specific investments within approved countries and industry sectors are evaluated for their market position and specific strengths and potential weaknesses.  For each security, we consider the political, legal, and financial environment of the sovereign entity in which an issuer is domiciled and operates. The country of domicile is based on consideration of the issuer's headquarters, in addition to location of the assets and the country in which the majority of sales and earnings are derived.  We do not have exposure to foreign currency risk, as the cash flows from these investments are either denominated in currencies or hedged into currencies to match the related liabilities. We continually evaluate our foreign investment risk exposure.

Our monitoring is heightened for investments in certain countries due to our concerns over the current economic and political environments, and we believe these investments are more vulnerable to potential credit problems.  At March 31, 2017, we had minimal exposure in those countries and had no direct exposure to financial institutions of those countries.

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Mortgage Loans

Our mortgage loan portfolio was $2,068.4 million and $2,038.9 million on an amortized cost basis at March 31, 2017 and December 31, 2016, respectively. Our mortgage loan portfolio is comprised entirely of commercial mortgage loans. We believe our mortgage loan portfolio is well diversified geographically and among property types. The incidence of problem mortgage loans and foreclosure activity continues to be low. Due to conservative underwriting, we expect the level of problem loans to remain low relative to the industry. We held no impaired mortgage loans at March 31, 2017 or December 31, 2016.

Derivative Financial Instruments

We use derivative financial instruments primarily to manage reinvestment, duration, foreign currency, and credit risks. Historically, we have utilized current and forward interest rate swaps and options on forward interest rate swaps and U.S. Treasury rates, current and forward currency swaps, forward treasury locks, currency forward contracts, forward contracts on specific fixed income securities, and credit default swaps. Credit exposure on derivatives is limited to the value of those contracts in a net gain position, including accrued interest receivable less collateral held. At March 31, 2017, we had no credit exposure on derivatives. We held $22.5 million of cash collateral from our counterparties at March 31, 2017. The carrying value of fixed maturity securities posted as collateral to our counterparties was $41.3 million at March 31, 2017. We had no cash collateral posted to our counterparties at March 31, 2017. We believe that our credit risk is mitigated by our use of multiple counterparties, all of which have an investment-grade credit rating, and by our use of cross-collateralization agreements.

Other

Our exposure to non-current investments, defined as foreclosed real estate and invested assets which are delinquent as to interest and/or principal payments, totaled $41.9 million on a fair value basis at March 31, 2017 and December 31, 2016.

For further information see "Investments" in Part I, Item 1 and "Critical Accounting Estimates" and "Investments" in Part II, Item 7 of our annual report on Form 10-K for the year ended December 31, 2016, and Notes 4 and 5 of the "Notes to Consolidated Financial Statements" contained herein in Item 1.

Liquidity and Capital Resources

Overview

Our liquidity requirements are met primarily by cash flows provided from operations, principally in our insurance subsidiaries. Premium and investment income, as well as maturities and sales of invested assets, provide the primary sources of cash. Debt and/or securities offerings provide additional sources of liquidity. Cash is applied to the payment of policy benefits, costs of acquiring new business (principally commissions), operating expenses, and taxes, as well as purchases of new investments.

We have established an investment strategy that we believe will provide for adequate cash flows from operations. We attempt to match our asset cash flows and durations with expected liability cash flows and durations to meet the funding requirements of our business. However, deterioration in the credit market may delay our ability to sell our positions in certain of our fixed maturity securities in a timely manner and adversely impact the price we receive for such securities, which may negatively impact our cash flows. Furthermore, if we experience defaults on securities held in the investment portfolios of our insurance subsidiaries, this will negatively impact statutory capital, which could reduce our insurance subsidiaries' capacity to pay dividends to our holding companies. A reduction in dividends to our holding companies could force us to seek external financing to avoid impairing our ability to pay dividends to our stockholders or meet our debt and other payment obligations.

Our policy benefits are primarily in the form of claim payments, and we have minimal exposure to the policy withdrawal risk associated with deposit products such as individual life policies or annuities. A decrease in demand for our insurance products or an increase in the incidence of new claims or the duration of existing claims could negatively impact our cash flows from operations. However, our historical pattern of benefits paid to revenues is consistent, even during cycles of economic downturns, which serves to minimize liquidity risk.

The liquidity requirements of the holding company Unum Group are met by fixed maturity securities, short-term investments and cash, and dividends from our subsidiaries, primarily our insurance subsidiaries, as well as the issuance of common stock, debt, or other capital securities and borrowings from our credit facilities, as needed. As of March 31, 2017, Unum Group and our intermediate holding companies held fixed maturity securities, short-term investments, and cash of $648 million, excluding amounts committed for subsidiary contributions. The balance was comprised primarily of commercial paper, fixed maturity

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securities with a current average maturity of 5.7 years, and various money-market funds. Our sources of liquidity and cash flow support the general corporate needs of the holding company, including its common stock dividends, interest and debt service, acquisitions, and ongoing investments in our businesses.

Approximately $148 million of the amount held at March 31, 2017 was held in certain of our U.K. subsidiaries.  No significant restrictions exist on our ability to use or access these funds. We currently have no intent, nor do we foresee a need, to repatriate funds from our foreign subsidiaries in the U.K. We believe we hold domestic resources sufficient to fund our liquidity requirements for the next 12 months. If we repatriate additional funds from our subsidiaries in the U.K., the amounts repatriated would be subject to repatriation tax effects which generally equal the difference in the U.S. tax rate and the U.K. tax rate.

As part of our capital deployment strategy, we have in recent years repurchased shares of Unum Group's common stock, as authorized by our board of directors. Our current share repurchase program was approved by our board of directors in May 2016 and authorizes the repurchase of up to $750 million of common stock through November 2017, with the pace of repurchase activity to depend upon various factors such as the level of available cash, alternative uses for cash, and our stock price. This new authorization replaced the previous authorization of $750 million that was scheduled to expire in November 2016. During the first three months of 2017, we repurchased 2.1 million shares at a cost of approximately $100 million. The dollar value of shares remaining under the current repurchase program was approximately $396 million at March 31, 2017. See Note 10 of the "Notes to Consolidated Financial Statements" contained herein in Item 1.

Cash Available from Subsidiaries

Unum Group and certain of its intermediate holding company subsidiaries depend on payments from subsidiaries to pay dividends to stockholders, to pay debt obligations, and/or to pay expenses. These payments by our insurance and non-insurance subsidiaries may take the form of dividends, operating and investment management fees, and/or interest payments on loans from the parent to a subsidiary.

Restrictions under applicable state insurance laws limit the amount of dividends that can be paid to a parent company from its insurance subsidiaries in any 12-month period without prior approval by regulatory authorities. For life insurance companies domiciled in the U.S., that limitation generally equals, depending on the state of domicile, either ten percent of an insurer's statutory surplus with respect to policyholders as of the preceding year end or the statutory net gain from operations, excluding realized investment gains and losses, of the preceding year. The payment of dividends to a parent company from a life insurance subsidiary is generally further limited to the amount of unassigned funds.

Certain of our domestic insurance subsidiaries cede blocks of business to Northwind Reinsurance Company (Northwind Re) and Fairwind Insurance Company (Fairwind), both of which are affiliated captive reinsurance subsidiaries domiciled in the United States with Unum Group as the ultimate parent. The ability of Northwind Re and Fairwind to pay dividends to their respective parent companies will depend on their satisfaction of applicable regulatory requirements and on the performance of the business reinsured by Northwind Re and Fairwind.

The ability of Unum Group and certain of its intermediate holding company subsidiaries to continue to receive dividends from their insurance subsidiaries also depends on additional factors such as RBC ratios and capital adequacy and/or solvency requirements, funding growth objectives at an affiliate level, and maintaining appropriate capital adequacy ratios to support desired ratings.

Unum Group and/or certain of its intermediate holding company subsidiaries may also receive dividends from our U.K. subsidiaries, the payment of which may be subject to applicable insurance company regulations and capital guidance in the U.K. Unum Limited is subject to the requirements of Solvency II, a European Union (EU) directive that became effective in 2016, which prescribes capital requirements and risk management standards for the European insurance industry.  Our European holding company is also subject to the Solvency II requirements relevant to insurance holding companies, while its subsidiaries (the Unum European Economic Area (EEA) Group), which includes Unum Limited, are subject to group supervision under Solvency II. The Unum EEA Group received approval from the U.K. Prudential Regulation Authority to use its own internal model for calculating regulatory capital and also received approval for certain associated regulatory permissions including transitional relief as the Solvency II capital regime continues to be implemented. There are currently no indications that capital requirements for the Unum EEA Group will change as a result of the U.K. formally commencing the process to leave the EU, but economic conditions may in the near term cause volatility in our solvency ratios.

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The payment of dividends to the parent company from our subsidiaries also requires the approval of the individual subsidiary's board of directors.

During 2017, we intend to maintain a level of capital in our U.S. and U.K. insurance subsidiaries above the applicable capital adequacy requirements and minimum solvency margins.

Insurance regulatory restrictions do not limit the amount of dividends available for distribution from non-insurance subsidiaries except where the non-insurance subsidiaries are held directly or indirectly by an insurance subsidiary and only indirectly by Unum Group.

Funding for Employee Benefit Plans

During the first three months of 2017 we made contributions of $19.7 million and £0.9 million to our U.S. and U.K. defined contribution plans, respectively, and expect to make additional contributions of approximately $50 million and £3 million during the remainder of 2017. We made a de minimis amount of contributions to our U.S. qualified defined benefit pension plan during the first three months of 2017. We do not expect to make additional contributions to our U.S. or U.K. qualified defined benefit pension plans during 2017. We have met all minimum pension funding requirements set forth by the Employee Retirement Income Security Act. We have estimated our future funding requirements under the Pension Protection Act of 2006 and under applicable U.K. law and do not believe that any future funding requirements will cause a material adverse effect on our liquidity.

Debt

Our long-term debt balance at March 31, 2017 was $2,984.6 million, net of deferred debt issuance costs of $27.4 million, and consisted primarily of secured and unsecured senior notes and junior subordinated debt securities. Northwind Holdings made principal payments on its floating rate, senior secured non-recourse notes of $15.0 million in the first three months of 2017.

At March 31, 2017, letters of credit totaling $2.1 millionhad been issued from the credit facility, but there werenoborrowed amounts outstanding.

There are no significant financial covenants associated with any of our outstanding debt obligations.  We continually monitor our compliance with our debt covenants and remain in compliance. We have not observed any current trends that would cause a breach of any debt covenants. See Note 12 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 and "Debt" and Note 8 of the "Notes to Consolidated Financial Statements" contained in Part II, Items 7 and 8, respectively, of our annual report on Form 10-K for the year ended December 31, 2016 for further discussion.

Commitments

At March 31, 2017, we had unfunded unconditional commitments of $4.4 million to fund tax credit partnership investments, $0.3 million to fund certain private equity partnerships, and $19.4 million to fund the purchase of transferable state tax credits. These commitments are recognized as liabilities in our consolidated balance sheets, with a corresponding recognition of other long-term investments and other assets, respectively. In addition, we had commitments of $38.0 million to fund certain investments in private placement fixed maturity securities, $252.0 million to fund certain private equity partnerships, and $56.6 million to fund certain commercial mortgage loans, which may or may not be funded.

With respect to our commitments and off-balance sheet arrangements, see the discussion under "Commitments" in Part II, Item 7 of our annual report on Form 10-K for the year ended December 31, 2016. During the first three months of 2017, there were no substantive changes in our commitments, contractual obligations, or other off-balance sheet arrangements other than the changes noted herein.

Transfers of Financial Assets

Our investment policy permits us to lend fixed maturity securities to unaffiliated financial institutions in short-term securities lending agreements, which increases our investment income with minimal risk. We account for all of our securities lending agreements and repurchase agreements as secured borrowings. We had $25.1 million of securities lending agreements outstanding at March 31, 2017 which were collateralized by cash and reported as payables for collateral on investments in our consolidated balance sheets. The cash received as collateral was reinvested in short-term investments. The average balance during the first three months of 2017 was $25.7 million, and the maximum amount outstanding at any month end was $31.0

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million. In addition, at March 31, 2017, we had $150.4 million of off-balance sheet securities lending agreements which were collateralized by securities that we were neither permitted to sell nor control. The average balance of these off-balance sheet transactions during the first three months of 2017 was $169.6 million, and the maximum amount outstanding at any month end was $182.3 million.

We had no repurchase agreements outstanding at March 31, 2017, nor did we utilize any repurchase agreements during the first three months of 2017. Our use of repurchase agreements and securities lending agreements can fluctuate during any given period and will depend on our liquidity position, the availability of long-term investments that meet our purchasing criteria, and our general business needs.

Certain of our U.S. insurance subsidiaries are members of regional Federal Home Loan Banks (FHLB). As of March 31, 2017, we owned $31.6 million of FHLB common stock and had obtained $350.0 million in advances from the regional FHLBs for the purpose of purchasing fixed maturity securities.

See Note 4 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further information.

Consolidated Cash Flows

(in millions of dollars)
	Three Months Ended March 31
	2017			2016
Net Cash Provided by Operating Activities	$	308.0		$	293.3
Net Cash Used by Investing Activities	(124.4		)	(110.5		)
Net Cash Used by Financing Activities	(177.0		)	(175.0		)
Net Increase in Cash and Bank Deposits	$	6.6		$	7.8

Operating Cash Flows

Operating cash flows are primarily attributable to the receipt of premium and investment income, offset by payments of claims, commissions, expenses, and income taxes. Premium income growth is dependent not only on new sales, but on policy renewals and growth of existing business, renewal price increases, and persistency. Investment income growth is dependent on the growth in the underlying assets supporting our insurance reserves and capital and on the earned yield. The level of commissions and operating expenses is attributable to the level of sales and the first year acquisition expenses associated with new business as well as the maintenance of existing business. The level of paid claims is affected partially by the growth and aging of the block of business and also by the general economy, as previously discussed in the operating results by segment.

Investing Cash Flows

Investing cash inflows consist primarily of the proceeds from the sales and maturities of investments.  Investing cash outflows consist primarily of payments for purchases of investments.  Our investment strategy is to match the cash flows and durations of our assets with the cash flows and durations of our liabilities to meet the funding requirements of our business. When market opportunities arise we may sell selected securities and reinvest the proceeds to improve the yield and credit quality of our portfolio. We may at times also sell selected securities and reinvest the proceeds to improve the duration matching of our assets and liabilities and/or re-balance our portfolio. As a result, sales before maturity may vary from period to period. The sale and purchase of short-term investments is influenced by proceeds received from issuance of debt, our securities lending program, and by the amount of cash which is at times held in short-term investments to facilitate the availability of cash to fund the purchase of appropriate long-term investments, repay maturing debt, and/or to fund our capital deployment program.

See Note 4 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 for further information.

Financing Cash Flows

Financing cash flows consist primarily of borrowings and repayments of debt, issuance or repurchase of common stock, and dividends paid to stockholders.

During the first three months of 2017 and 2016, we made principal payments of $15.0 million and $13.2 million, respectively, on our senior secured non-recourse notes issued by Northwind Holdings.

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Cash used to repurchase shares of Unum Group's common stock during the first quarters of 2017 and 2016 was $106.9 million and $108.8 million, respectively, with a portion of the cash used related to the settlement of amounts due on shares purchased in the fourth quarters of 2016 and 2015, respectively. During the first three months of 2017 and 2016, we paid dividends of $46.5 million and $45.2 million, respectively, to holders of Unum Group's common stock.

See Notes 10 and 12 of the "Notes to Consolidated Financial Statements" contained herein in Item 1 and "Debt" contained in this Item 2 for further information.

Ratings

AM Best, Fitch Ratings (Fitch), Moody's Investors Service (Moody's), and Standard & Poor's Rating Services (S&P) are among the third parties that assign issuer credit ratings to Unum Group and financial strength ratings to our insurance subsidiaries. Issuer credit ratings reflect an agency's opinion of the overall financial capacity of a company to meet its senior debt obligations. Financial strength ratings are specific to each individual insurance subsidiary and reflect each rating agency's view of the overall financial strength (capital levels, earnings, growth, investments, business mix, operating performance, and market position) of the insuring entity and its ability to meet its obligations to policyholders. Both the issuer credit ratings and financial strength ratings incorporate quantitative and qualitative analyses by rating agencies and are routinely reviewed and updated on an ongoing basis.

We compete based in part on the financial strength ratings provided by rating agencies. A downgrade of our financial strength ratings can be expected to adversely affect us and could potentially, among other things, adversely affect our relationships with distributors of our products and services and retention of our sales force, negatively impact persistency and new sales, particularly large case group sales and individual sales, and generally adversely affect our ability to compete. A downgrade in the issuer credit rating assigned to Unum Group can be expected to adversely affect our cost of capital or our ability to raise additional capital.

The table below reflects the outlook as well as the issuer credit ratings for Unum Group and the financial strength ratings for each of our traditional insurance subsidiaries as of the date of this filing.

	AM Best	Fitch	Moody's	S&P
Outlook	Stable	Stable	Stable	Stable
Issuer Credit Ratings	bbb	BBB	Baa2	BBB
Financial Strength Ratings
Provident Life and Accident Insurance Company	A	A	A2	A
Provident Life and Casualty Insurance Company	A	A	NR	NR
Unum Life Insurance Company of America	A	A	A2	A
First Unum Life Insurance Company	A	A	A2	A
Colonial Life & Accident Insurance Company	A	A	A2	A
The Paul Revere Life Insurance Company	A	A	A2	A
Starmount Life Insurance Company	A-	NR	NR	NR
Unum Insurance Company	A-	A	A2	NR
Unum Limited	NR	NR	NR	A-

NR = not rated

We maintain an ongoing dialogue with the four rating agencies that evaluate us in order to inform them of progress we are making regarding our strategic objectives and financial plans as well as other pertinent issues. A significant component of our communications involves our annual review meeting with each of the four agencies. We hold other meetings throughout the year regarding our business, including, but not limited to, quarterly updates. On April 7, 2017, AM Best upgraded its rating of Unum Insurance Company to A- from B++, reflecting plans for additional capital support from Unum Group and the launch of additional accident and health insurance products. There have been no other changes in any of the rating agencies' outlook statements or ratings during 2017 prior to the date of this filing.

Agency ratings are not directed toward the holders of our securities and are not recommendations to buy, sell, or hold our securities. Each rating is subject to revision or withdrawal at any time by the assigning rating organization, and each rating should be regarded as an independent assessment, not conditional on any other rating. Given the dynamic nature of the ratings process, changes by these or other rating agencies may or may not occur in the near-term. Based on our ongoing dialogue with

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the rating agencies concerning our insurance risk profile, our financial flexibility, our operating performance, and the quality of our investment portfolio, we do not expect any negative actions from any of the four rating agencies related to either Unum Group's current issuer credit ratings or the financial strength ratings of our insurance subsidiaries. However, in the event that we are unable to meet the rating agency specific guideline values to maintain our current ratings, including but not limited to maintenance of our capital management metrics at the threshold values stated and maintenance of our financial flexibility and operational consistency, we could be placed on a negative credit watch, with a potential for a downgrade to both our issuer credit ratings and our financial strength ratings.

See our annual report on Form 10-K for the year ended December 31, 2016 for further information regarding our debt and financial strength ratings and the risks associated with rating changes.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We are subject to various market risk exposures including interest rate risk and foreign exchange rate risk. With respect to our exposure to market risk, see the discussion under "Investments" in Item 2 of this Form 10-Q and in Part II, Item 7A of our annual report on Form 10-K for the year ended December 31, 2016. During the first three months of 2017, there was no substantive change to our market risk or the management of this risk.

ITEM 4. CONTROLS AND PROCEDURES

Under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, we have evaluated the effectiveness of our disclosure controls and procedures, as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended, as of the end of the period covered by this quarterly report. We assessed those controls based on criteria established in the 2013 Internal Control - Integrated Framework from the Committee of Sponsoring Organizations of the Treadway Commission. Based on that evaluation, these officers concluded that our disclosure controls and procedures were effective as ofMarch 31, 2017.

There have been no changes in our internal control over financial reporting, as defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as amended, during the quarter ended March 31, 2017 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

Refer to Part I, Item 1, Note 11 of the "Notes to Consolidated Financial Statements" for information on legal proceedings.

ITEM 1A. RISK FACTORS

There have been no material changes from the risk factors disclosed in our annual report on Form 10-K for the year ended December 31, 2016.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

The following table provides information about our share repurchase activity for the first quarter of 2017:

	(a) Total Number of Shares Purchased	(b) Average Price Paid per Share (1)		(c) Total Number of Shares Purchased as Part of Publicly Announced Program (2)	(d) Approximate Dollar Value of Shares that May Yet Be Purchased Under the Program (2)
January 1 - January 31, 2017	—	$	—	—	$	495,674,306
February 1 - February 28, 2017	1,330,000	48.04		1,330,000	431,777,096
March 1 - March 31, 2017	739,200	48.84		739,200	395,672,225
Total	2,069,200			2,069,200

(1) The average price paid per share excludes the cost of commissions.

(2) In May 2016, our board of directors authorized the repurchase of up to $750 million of Unum Group's common stock through November 26, 2017.

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ITEM 6. EXHIBITS

Index to Exhibits

Exhibit 3.1 Amended and Restated Bylaws of Unum Group, effective March 29, 2017 (incorporated by reference to Exhibit 3.1 of Unum Group’s Form 8-K filed on March 29, 2017).

Exhibit 31.1 Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

Exhibit 31.2 Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

Exhibit 32.1 Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Exhibit 32.2 Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Exhibit 101 The following financial statements from Unum Group's Quarterly Report on Form 10-Q for the quarter ended March 31, 2017, filed on April 27, 2017, formatted in XBRL: (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Stockholders' Equity, (v) Consolidated Statements of Cash Flows, (vi) the Notes to Consolidated Financial Statements.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Unum Group
	(Registrant)
Date: April 27, 2017	By:	/s/ John F. McGarry
		John F. McGarry
		Executive Vice President and Chief Financial Officer
Date: April 27, 2017	By:	/s/ Daniel J. Waxenberg
		Daniel J. Waxenberg
		Senior Vice President, Chief Accounting Officer

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EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, Richard P. McKenney, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Unum Group;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: April 27, 2017	/s/ Richard P. McKenney
	Richard P. McKenney
	President and Chief Executive Officer

A signed original of this written statement required by Section 302 of the Sarbanes-Oxley Act of 2002 has been provided to Unum Group and will be retained by Unum Group and furnished to the Securities and Exchange Commission or its staff upon request.

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, John F. McGarry, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Unum Group;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: April 27, 2017	/s/ John F. McGarry
	John F. McGarry
	Executive Vice President and Chief Financial Officer

A signed original of this written statement required by Section 302 of the Sarbanes-Oxley Act of 2002 has been provided to Unum Group and will be retained by Unum Group and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.1

EXHIBIT 32.1

STATEMENT OF CHIEF EXECUTIVE OFFICER

OF UNUM GROUP

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

§ 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Unum Group (the Company) on Form 10-Q for the period ended March 31, 2017 as filed with the Securities and Exchange Commission on the date hereof (the Report), the undersigned, Richard P. McKenney, President and Chief Executive Officer of the Company, certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: April 27, 2017	/s/ Richard P. McKenney
	Richard P. McKenney
	President and Chief Executive Officer

A signed original of this written statement required by Section 906 of the Sarbanes-Oxley Act of 2002 has been provided to Unum Group and will be retained by Unum Group and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

EXHIBIT 32.2

STATEMENT OF CHIEF FINANCIAL OFFICER

OF UNUM GROUP

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

§ 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Unum Group (the Company) on Form 10-Q for the period ended March 31, 2017 as filed with the Securities and Exchange Commission on the date hereof (the Report), the undersigned, John F. McGarry, Executive Vice President and Chief Financial Officer of the Company, certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: April 27, 2017	/s/ John F. McGarry
	John F. McGarry
	Executive Vice President and Chief Financial Officer

A signed original of this written statement required by Section 906 of the Sarbanes-Oxley Act of 2002 has been provided to Unum Group and will be retained by Unum Group and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	Apr. 25, 2017
Document Document and Entity Information [Abstract]
Entity Registrant Name	Unum Group
Trading Symbol	UNM
Entity Central Index Key	0000005513
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		228,213,888

XML

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Investments
Fixed Maturity Securities - at fair value (amortized cost: $39,697.6; $39,552.7)	$ 44,623.2	$ 44,217.3
Mortgage Loans	2,068.4	2,038.9
Policy Loans	3,447.4	3,463.2
Other Long-term Investments	645.3	631.5
Short-term Investments	772.4	780.0
Total Investments	51,556.7	51,130.9
Other Assets
Cash and Bank Deposits	107.0	100.4
Accounts and Premiums Receivable	1,695.4	1,610.8
Reinsurance Recoverable	4,842.8	4,858.9
Accrued Investment Income	752.8	693.3
Deferred Acquisition Costs	2,113.2	2,094.2
Goodwill	335.7	335.1
Property and Equipment	501.2	500.6
Other Assets	619.9	617.3
Total Assets	62,524.7	61,941.5
Liabilities
Policy and Contract Benefits	1,544.8	1,507.9
Reserves for Future Policy and Contract Benefits	44,502.2	44,245.9
Unearned Premiums	419.5	363.7
Other Policyholders' Funds	1,641.2	1,623.8
Income Tax Payable	65.3	20.6
Deferred Income Tax	188.5	130.3
Long-term Debt	2,984.6	2,999.4
Payables for Collateral on Investments	397.6	406.0
Other Liabilities	1,673.6	1,675.9
Total Liabilities	53,417.3	52,973.5
Commitments and Contingent Liabilities - Note 11
Stockholders' Equity
Common Stock, $0.10 par; authorized: 725,000,000 shares; issued: 303,993,726 and 303,552,934 shares	30.4	30.4
Additional Paid-in Capital	2,277.4	2,272.8
Accumulated Other Comprehensive Income (Loss)	0.4	(51.0)
Retained Earnings	8,927.4	8,744.0
Treasury Stock - at cost: 75,799,192 and 73,729,992 shares	(2,128.2)	(2,028.2)
Total Stockholders' Equity	9,107.4	8,968.0
Total Liabilities and Stockholders' Equity	$ 62,524.7	$ 61,941.5

XML

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Investments
Fixed Maturity Securities, Amortized Cost	$ 39,697.6	$ 39,552.7
Stockholders' Equity
Common Stock, Par	$ 0.10	$ 0.10
Common Stock, Authorized	725,000,000	725,000,000
Common Stock, Issued	303,993,726	303,552,934
Treasury Stock, Shares at Cost	75,799,192	73,729,992

XML

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Revenue
Premium Income	$ 2,142.9	$ 2,087.5
Net Investment Income	602.4	606.4
Realized Investment Gain (Loss)
Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	0.0	(21.1)
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	11.0	0.6
Net Realized Investment Gain (Loss)	11.0	(20.5)
Other Income	50.2	52.0
Total Revenue	2,806.5	2,725.4
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	1,749.0	1,729.8
Commissions	270.2	259.9
Interest and Debt Expense	39.8	38.6
Deferral of Acquisition Costs	(162.1)	(152.5)
Amortization of Deferred Acquisition Costs	141.5	132.2
Compensation Expense	207.0	207.6
Other Expenses	230.8	205.6
Total Benefits and Expenses	2,476.2	2,421.2
Income Before Income Tax	330.3	304.2
Income Tax
Current	56.6	51.0
Deferred	43.8	42.6
Total Income Tax	100.4	93.6
Net Income	$ 229.9	$ 210.6
Net Income Per Common Share
Basic	$ 1.00	$ 0.88
Assuming Dilution	$ 1.00	$ 0.88

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Statement of Comprehensive Income [Abstract]
Net Income	$ 229.9	$ 210.6
Other Comprehensive Income (Loss)
Change in Net Unrealized Gain on Securities Before Adjustment (net of tax expense of $89.0; $414.3)	176.9	800.1
Change in Adjustment to Deferred Acquisition Costs and Reserves for Future Policy and Contract Benefits, Net of Reinsurance (net of tax benefit of $67.3; $287.7)	(134.5)	(566.0)
Change in Net Gain on Cash Flow Hedges (net of tax benefit of $6.0; $13.6)	(10.7)	(26.2)
Change in Foreign Currency Translation Adjustment	17.1	(26.4)
Change in Unrecognized Pension and Postretirement Benefit Costs (net of tax expense of $1.5; $1.6)	2.6	3.1
Total Other Comprehensive Income	51.4	184.6
Comprehensive Income	$ 281.3	$ 395.2

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Statement of Comprehensive Income [Abstract]
Change in Net Unrealized Gain on Securities Before Adjustment, Tax Expense	$ 89.0	$ 414.3
Change in Adjustment to Deferred Acquisition Costs and Reserves for Future Policy and Contract Benefits, Net of Reinsurance, Tax Benefit	67.3	287.7
Change in Net Gain on Cash Flow Hedges, Tax Benefit	6.0	13.6
Change in Foreign Currency Translation Adjustment, Tax Benefit	0.0	0.0
Change in Unrecognized Pension and Postretirement Benefit Costs, Tax Expense	$ 1.5	$ 1.6

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CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Millions	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income	Retained Earnings	Treasury Stock
Balance at Beginning of Year at Dec. 31, 2015		$ 30.3	$ 2,247.2	$ 16.1	$ 7,995.2	$ (1,624.9)
Increase (Decrease) in Stockholders' Equity
Common Stock Activity			6.4
Other Comprehensive Income	$ 184.6			184.6
Net Income	210.6				210.6
Dividends to Stockholders (per common share: $0.200; $0.185)					(45.2)
Purchases of Treasury Stock	(100.0)					(100.0)
Balance at End of Period at Mar. 31, 2016	8,920.3	30.3	2,253.6	200.7	8,160.6	(1,724.9)
Balance at Beginning of Year at Dec. 31, 2016	8,968.0	30.4	2,272.8	(51.0)	8,744.0	(2,028.2)
Increase (Decrease) in Stockholders' Equity
Common Stock Activity			4.6
Other Comprehensive Income	51.4			51.4
Net Income	229.9				229.9
Dividends to Stockholders (per common share: $0.200; $0.185)					(46.5)
Purchases of Treasury Stock	(100.0)					(100.0)
Balance at End of Period at Mar. 31, 2017	$ 9,107.4	$ 30.4	$ 2,277.4	$ 0.4	$ 8,927.4	$ (2,128.2)

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CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Retained Earnings
Dividends to Stockholders, per common share	$ 0.200	$ 0.185

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CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Cash Flows from Operating Activities
Net Income	$ 229.9	$ 210.6
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities
Change in Receivables	(18.2)	(27.3)
Change in Deferred Acquisition Costs	(20.6)	(20.3)
Change in Insurance Reserves and Liabilities	128.7	113.0
Change in Income Taxes	92.5	83.0
Change in Other Accrued Liabilities	(18.3)	(30.8)
Non-cash Components of Net Investment Income	(103.7)	(86.9)
Net Realized Investment (Gain) Loss	(11.0)	20.5
Depreciation	26.5	25.4
Other, Net	2.2	6.1
Net Cash Provided by Operating Activities	308.0	293.3
Cash Flows from Investing Activities
Proceeds from Sales of Fixed Maturity Securities	154.3	364.8
Proceeds from Maturities of Fixed Maturity Securities	568.3	348.7
Proceeds from Sales and Maturities of Other Investments	48.7	78.5
Purchases of Fixed Maturity Securities	(774.7)	(882.7)
Purchases of Other Investments	(95.7)	(84.0)
Net Sales of Short-term Investments	10.4	70.9
Net Increase (Decrease) in Payables for Collateral on Investments	(8.4)	10.5
Net Purchases of Property and Equipment	(27.3)	(17.2)
Net Cash Used by Investing Activities	(124.4)	(110.5)
Cash Flows from Financing Activities
Long-term Debt Repayments	(15.2)	(13.2)
Issuance of Common Stock	1.0	1.7
Repurchase of Common Stock	(106.9)	(108.8)
Dividends Paid to Stockholders	(46.5)	(45.2)
Other, Net	(9.4)	(9.5)
Net Cash Used by Financing Activities	(177.0)	(175.0)
Net Increase in Cash and Bank Deposits	6.6	7.8
Cash and Bank Deposits at Beginning of Year	100.4	112.9
Cash and Bank Deposits at End of Period	$ 107.0	$ 120.7

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Basis of Presentation

3 Months Ended

Mar. 31, 2017

Accounting Policies [Abstract]

Basis of Presentation

The accompanying consolidated financial statements of Unum Group and its subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. For further information, refer to the consolidated financial statements and footnotes included in our annual report on Form 10-K for the year ended December 31, 2016.

In our opinion, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of full year performance.

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Accounting Developments

3 Months Ended

Mar. 31, 2017

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Accounting Developments

Accounting Developments

Accounting Updates Adopted in 2017:

Accounting Standards Codification (ASC)	Description	Date of Adoption	Effect on Financial Statements
ASC 944 "Financial Services - Insurance"	This update changed the disclosure requirements for certain insurance contracts. These changes included a requirement to disclose the rollforward of the liability for unpaid claims and claim adjustment expenses in both interim and annual reporting periods for long-duration and short-duration insurance contracts. Additional claims disclosures were also required for short-duration contracts. The guidance is to be applied retrospectively.	January 1, 2016 for annual reporting period disclosures and January 1, 2017 for interim reporting period disclosures.	The adoption of this update expanded our interim reporting period disclosures but had no effect on our financial position or results of operations. The annual reporting period disclosure requirements were only applicable to our individual dental products, which we deem immaterial, and therefore did not alter our annual disclosures.
ASC 718 "Compensation - Stock Compensation"	This update changed the accounting and disclosure requirements for certain aspects of share-based payments to employees. The update required all income tax effects of stock-based compensation awards to be recognized in the income statement when the awards vest or are settled. The update also allows an employer to repurchase more of an employee's shares than it can today for tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. Additionally, the update required reclassification of tax-related cash flows resulting from share-based payments to be classified as operating activities instead of financing activities on the statement of cash flows. Transition guidance for the amendments varies between the retrospective, modified retrospective, and prospective methods depending on the specific requirement of the update.	January 1, 2017	The adoption of this update did not have a material effect on our financial position or results of operations; however, it reduced our effective income tax rate by approximately one percent in the first quarter of 2017. During periods in which the vesting date fair value differs from the grant date fair value of certain stock-based compensation awards, we may experience volatility in the income tax recognized in our results of operations. The amendment related to the reclassification of tax-related cash flows in our consolidated statements of cash flows has been applied prospectively.

Accounting Updates Outstanding:

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 230 "Statement of Cash Flows"	This update provides clarifying guidance intended to reduce the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update addresses eight specific cash flow issues that relate to various transactions. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of this update will result in reclassifications to certain cash receipts and payments within our consolidated statements of cash flows but will have no effect on our financial position or results of operations.
ASC 606 "Revenue from Contracts with Customers"	These updates supersede virtually all existing guidance regarding the recognition of revenue from customers. Specifically excluded from the scope of these updates are insurance contracts, although our fee-based service products, which represent less than one percent of our total revenue, are included within the scope. The core principle of this guidance is that revenue recognition should depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of these updates will not have a material effect on our financial position or results of operations.
ASC 740 "Income Taxes"	This update eliminates the exception that requires intra-entity asset transfers other than inventory to be deferred until the transferred asset is sold to a third party or otherwise recovered through use.  It requires recognition of tax expense from the sale of the asset in the seller’s tax jurisdiction when the transfer occurs, even though the pre-tax effects of that transaction are eliminated in consolidation. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 825 "Financial Instruments - Overall"	This update changes the accounting and disclosure requirements for certain financial instruments. These changes include a requirement to measure equity investments, other than those that result in consolidation or are accounted for under the equity method, at fair value through net income unless the investment qualifies for certain practicability exceptions. In addition, the update clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale fixed maturity securities. Changes also include the modification of certain disclosures around the fair value of financial instruments, including the requirement for separate presentation of financial assets and liabilities by measurement category, as well as the elimination of certain disclosures around methods and significant assumptions used to estimate fair value. The guidance is to be applied retrospectively and early adoption is generally not permitted.	January 1, 2018	We have determined that certain of our limited partnership investments are within the scope of this update. We continue to evaluate the impact of this update, but do not expect this to have a material impact on our financial position or results of operations. This update could potentially increase volatility in our results of operations and we will be required to modify certain of our disclosures upon adoption.

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 715 "Compensation - Retirement Benefits"	This update requires the service cost component of net periodic pension and postretirement benefit costs to be included as a component of compensation costs in an entity's statement of income. Other components of net periodic pension and postretirement benefit costs are required to be presented separately from the service cost along with a disclosure identifying the line items in which these costs are presented in the statement of income. The amendments in this update are to be applied retrospectively or prospectively depending on the specific requirement of the update, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 842 "Leases"	This update changes the accounting for leases, requiring lessees to report most leases on their balance sheets, regardless of whether the lease is classified as a finance lease or an operating lease. For lessees, the initial lease liability is equal to the present value of lease payments, and a corresponding asset, adjusted for certain items, is also recorded. Expense recognition for lessees will remain similar to current accounting requirements for capital and operating leases. For lessors, the guidance modifies the classification criteria and the accounting for sales-type and direct financing leases. The guidance is to be applied using a modified retrospective approach at the beginning of the earliest comparative period presented and early adoption is permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 310 "Receivables - Nonrefundable Fees and Other Costs"	This update shortens the amortization period to the earliest call date for certain callable debt securities held at a premium. This update does not impact securities held at a discount. The guidance is to be applied using a modified retrospective approach, with early adoption permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 350 "Intangibles - Goodwill and Other"	This update eliminates the requirement to calculate the implied fair value of goodwill (the second step in the current two-step test) to measure a goodwill impairment charge. Instead, entities should perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the excess of the carrying amount over the fair value, with the loss not to exceed the total amount of goodwill allocated to that reporting unit. The guidance is to be applied prospectively, with early adoption permitted for goodwill impairment tests performed on testing dates after January 1, 2017.	January 1, 2020	The adoption of this update will not have a material effect on our financial position or results of operations.

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 326 "Financial Instruments - Credit Losses"	This update amends the guidance on the impairment of financial instruments. The update adds an impairment model known as the current expected credit loss model that is based on expected losses rather than incurred losses and will generally result in earlier recognition of allowances for losses. The current expected credit loss model applies to financial instruments such as mortgage loans, fixed maturity securities classified as held-to-maturity, and certain receivables. The update also modifies the other-than-temporary impairment model used for available-for-sale fixed maturity securities such that credit losses are recognized as an allowance rather than as a reduction in the amortized cost of the security. The reversal of previously recognized credit losses on available-for-sale fixed maturity securities is allowed under specified circumstances. Additional disclosures will also be required, including information used to develop the allowance for losses. The guidance is to be applied to most instruments in scope using a modified retrospective approach at the beginning of the earliest comparative period presented with early adoption permitted. For available-for-sale fixed maturity securities, the update is applied prospectively. Other-than-temporary impairment losses recognized on available-for-sale fixed maturity securities prior to adoption of the update cannot be reversed.	January 1, 2020	We have not yet determined the expected impact on our financial position or results of operations.

Accounting Updates Adopted in 2017

Accounting Updates Adopted in 2017:

Accounting Standards Codification (ASC)	Description	Date of Adoption	Effect on Financial Statements
ASC 944 "Financial Services - Insurance"	This update changed the disclosure requirements for certain insurance contracts. These changes included a requirement to disclose the rollforward of the liability for unpaid claims and claim adjustment expenses in both interim and annual reporting periods for long-duration and short-duration insurance contracts. Additional claims disclosures were also required for short-duration contracts. The guidance is to be applied retrospectively.	January 1, 2016 for annual reporting period disclosures and January 1, 2017 for interim reporting period disclosures.	The adoption of this update expanded our interim reporting period disclosures but had no effect on our financial position or results of operations. The annual reporting period disclosure requirements were only applicable to our individual dental products, which we deem immaterial, and therefore did not alter our annual disclosures.
ASC 718 "Compensation - Stock Compensation"	This update changed the accounting and disclosure requirements for certain aspects of share-based payments to employees. The update required all income tax effects of stock-based compensation awards to be recognized in the income statement when the awards vest or are settled. The update also allows an employer to repurchase more of an employee's shares than it can today for tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. Additionally, the update required reclassification of tax-related cash flows resulting from share-based payments to be classified as operating activities instead of financing activities on the statement of cash flows. Transition guidance for the amendments varies between the retrospective, modified retrospective, and prospective methods depending on the specific requirement of the update.	January 1, 2017	The adoption of this update did not have a material effect on our financial position or results of operations; however, it reduced our effective income tax rate by approximately one percent in the first quarter of 2017. During periods in which the vesting date fair value differs from the grant date fair value of certain stock-based compensation awards, we may experience volatility in the income tax recognized in our results of operations. The amendment related to the reclassification of tax-related cash flows in our consolidated statements of cash flows has been applied prospectively.

Accounting Updates Outstanding

Accounting Updates Outstanding:

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 230 "Statement of Cash Flows"	This update provides clarifying guidance intended to reduce the diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The update addresses eight specific cash flow issues that relate to various transactions. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of this update will result in reclassifications to certain cash receipts and payments within our consolidated statements of cash flows but will have no effect on our financial position or results of operations.
ASC 606 "Revenue from Contracts with Customers"	These updates supersede virtually all existing guidance regarding the recognition of revenue from customers. Specifically excluded from the scope of these updates are insurance contracts, although our fee-based service products, which represent less than one percent of our total revenue, are included within the scope. The core principle of this guidance is that revenue recognition should depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	The adoption of these updates will not have a material effect on our financial position or results of operations.
ASC 740 "Income Taxes"	This update eliminates the exception that requires intra-entity asset transfers other than inventory to be deferred until the transferred asset is sold to a third party or otherwise recovered through use.  It requires recognition of tax expense from the sale of the asset in the seller’s tax jurisdiction when the transfer occurs, even though the pre-tax effects of that transaction are eliminated in consolidation. The guidance is to be applied retrospectively, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 825 "Financial Instruments - Overall"	This update changes the accounting and disclosure requirements for certain financial instruments. These changes include a requirement to measure equity investments, other than those that result in consolidation or are accounted for under the equity method, at fair value through net income unless the investment qualifies for certain practicability exceptions. In addition, the update clarifies guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale fixed maturity securities. Changes also include the modification of certain disclosures around the fair value of financial instruments, including the requirement for separate presentation of financial assets and liabilities by measurement category, as well as the elimination of certain disclosures around methods and significant assumptions used to estimate fair value. The guidance is to be applied retrospectively and early adoption is generally not permitted.	January 1, 2018	We have determined that certain of our limited partnership investments are within the scope of this update. We continue to evaluate the impact of this update, but do not expect this to have a material impact on our financial position or results of operations. This update could potentially increase volatility in our results of operations and we will be required to modify certain of our disclosures upon adoption.

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 715 "Compensation - Retirement Benefits"	This update requires the service cost component of net periodic pension and postretirement benefit costs to be included as a component of compensation costs in an entity's statement of income. Other components of net periodic pension and postretirement benefit costs are required to be presented separately from the service cost along with a disclosure identifying the line items in which these costs are presented in the statement of income. The amendments in this update are to be applied retrospectively or prospectively depending on the specific requirement of the update, with early adoption permitted.	January 1, 2018	We have not yet determined the expected impact on our financial position or results of operations.
ASC 842 "Leases"	This update changes the accounting for leases, requiring lessees to report most leases on their balance sheets, regardless of whether the lease is classified as a finance lease or an operating lease. For lessees, the initial lease liability is equal to the present value of lease payments, and a corresponding asset, adjusted for certain items, is also recorded. Expense recognition for lessees will remain similar to current accounting requirements for capital and operating leases. For lessors, the guidance modifies the classification criteria and the accounting for sales-type and direct financing leases. The guidance is to be applied using a modified retrospective approach at the beginning of the earliest comparative period presented and early adoption is permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 310 "Receivables - Nonrefundable Fees and Other Costs"	This update shortens the amortization period to the earliest call date for certain callable debt securities held at a premium. This update does not impact securities held at a discount. The guidance is to be applied using a modified retrospective approach, with early adoption permitted.	January 1, 2019	We have not yet determined the expected impact on our financial position or results of operations.
ASC 350 "Intangibles - Goodwill and Other"	This update eliminates the requirement to calculate the implied fair value of goodwill (the second step in the current two-step test) to measure a goodwill impairment charge. Instead, entities should perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the excess of the carrying amount over the fair value, with the loss not to exceed the total amount of goodwill allocated to that reporting unit. The guidance is to be applied prospectively, with early adoption permitted for goodwill impairment tests performed on testing dates after January 1, 2017.	January 1, 2020	The adoption of this update will not have a material effect on our financial position or results of operations.

ASC	Description	Date of Adoption	Effect on Financial Statements
ASC 326 "Financial Instruments - Credit Losses"	This update amends the guidance on the impairment of financial instruments. The update adds an impairment model known as the current expected credit loss model that is based on expected losses rather than incurred losses and will generally result in earlier recognition of allowances for losses. The current expected credit loss model applies to financial instruments such as mortgage loans, fixed maturity securities classified as held-to-maturity, and certain receivables. The update also modifies the other-than-temporary impairment model used for available-for-sale fixed maturity securities such that credit losses are recognized as an allowance rather than as a reduction in the amortized cost of the security. The reversal of previously recognized credit losses on available-for-sale fixed maturity securities is allowed under specified circumstances. Additional disclosures will also be required, including information used to develop the allowance for losses. The guidance is to be applied to most instruments in scope using a modified retrospective approach at the beginning of the earliest comparative period presented with early adoption permitted. For available-for-sale fixed maturity securities, the update is applied prospectively. Other-than-temporary impairment losses recognized on available-for-sale fixed maturity securities prior to adoption of the update cannot be reversed.	January 1, 2020	We have not yet determined the expected impact on our financial position or results of operations.

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Fair Values of Financial Instruments

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Fair Values of Financial Instruments

Presented as follows are the carrying amounts and fair values of financial instruments. The carrying values of financial instruments such as short-term investments, cash and bank deposits, accounts and premiums receivable, accrued investment income, and securities lending agreements approximate fair value due to the short-term nature of the instruments. As such, these financial instruments are not included in the following chart.

	March 31, 2017				December 31, 2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(in millions of dollars)
Assets
Fixed Maturity Securities	$	44,623.2	$	44,623.2	$	44,217.3	$	44,217.3
Mortgage Loans	2,068.4		2,162.4		2,038.9		2,122.2
Policy Loans	3,447.4		3,548.2		3,463.2		3,564.2
Other Long-term Investments
Derivatives	29.3		29.3		32.7		32.7
Equity Securities	1.2		1.2		1.2		1.2
Miscellaneous Long-term Investments	559.3		559.3		541.9		541.9
Liabilities
Policyholders' Funds
Deferred Annuity Products	$	594.5	$	594.5	$	597.4	$	597.4
Supplementary Contracts without Life Contingencies	610.9		610.9		608.8		608.8
Long-term Debt	2,984.6		3,222.7		2,999.4		3,175.8
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0		350.0		350.0		350.0
Other Liabilities
Derivatives	53.0		53.0		52.8		52.8
Embedded Derivative in Modified Coinsurance Arrangement	38.1		38.1		46.7		46.7
Unfunded Commitments to Investment Partnerships	4.7		4.7		5.0		5.0

The methods and assumptions used to estimate fair values of financial instruments are discussed as follows.

Fair Value Measurements for Financial Instruments Not Carried at Fair Value

Mortgage Loans: Fair values are estimated using discounted cash flow analyses and interest rates currently being offered for similar loans to borrowers with similar credit ratings and maturities. Loans with similar characteristics are aggregated for purposes of the calculations. These financial instruments are assigned a Level 2 within the fair value hierarchy.

Policy Loans: Fair values for policy loans, net of reinsurance ceded, are estimated using discounted cash flow analyses and interest rates currently being offered to policyholders with similar policies. Carrying amounts for ceded policy loans, which equal $3,188.6 million and $3,206.1 million as of March 31, 2017 and December 31, 2016, respectively, approximate fair value and are reported on a gross basis in our consolidated balance sheets. A change in interest rates for ceded policy loans will not impact our financial position because the benefits and risks are fully ceded to reinsuring counterparties. These financial instruments are assigned a Level 3 within the fair value hierarchy.

Miscellaneous Long-term Investments: Carrying amounts for tax credit partnerships equal the unamortized balance of our contractual commitments and approximate fair value. Fair values for private equity partnerships are primarily derived from net asset values provided by the general partner in the partnerships' financial statements. Our private equity partnerships represent funds that are primarily invested in railcar leasing, the financial services industry, mezzanine debt, and bank loans. Distributions received from the funds arise from income generated by the underlying investments as well as the liquidation of the underlying investments. As of March 31, 2017, we estimate that the underlying assets of the funds will be liquidated over the next one to ten years. These financial instruments are assigned a Level 3 within the fair value hierarchy. Our shares of FHLB common stock are carried at cost, which approximates fair value. These financial instruments are considered restricted investments and are assigned a Level 2 within the fair value hierarchy.

Policyholders' Funds: Policyholders' funds are comprised primarily of deferred annuity products and supplementary contracts without life contingencies and represent customer deposits plus interest credited at contract rates. Carrying amounts approximate fair value. These financial instruments are assigned a Level 3 within the fair value hierarchy.

Fair values for insurance contracts other than investment contracts are not required to be disclosed. However, the fair values of liabilities under all insurance contracts are taken into consideration in our overall management of interest rate risk, which seeks to minimize exposure to changing interest rates through the matching of investment maturities with amounts due under insurance contracts.

Long-term Debt: Fair values for long-term debt are obtained from independent pricing services or discounted cash flow analyses based on current incremental borrowing rates for similar types of borrowing arrangements. Debt instruments which are valued by pricing services using active trades for which there was current market activity in that specific debt instrument have fair values of $2,040.4 million and $709.8 million as of March 31, 2017 and December 31, 2016, respectively, and are assigned a Level 1 within the fair value hierarchy. Debt instruments which are valued by pricing services that generally use observable inputs for securities or comparable securities in active markets in their valuation techniques have fair values of $1,182.3 million and $2,466.0 million as of March 31, 2017 and December 31, 2016, respectively, and are assigned a Level 2.

FHLB Funding Agreements: Funding agreements with the FHLB represent cash advances used for the purpose of investing in fixed maturity securities. Carrying amounts approximate fair value and are assigned a Level 2 within the fair value hierarchy.

Unfunded Commitments to Investment Partnerships: Unfunded equity commitments represent amounts that we have committed to fund certain investment partnerships. These commitments are legally binding, subject to the partnerships meeting specified conditions. Carrying amounts approximate fair value and are assigned a Level 2 within the fair value hierarchy.

Fair Value Measurements for Financial Instruments Carried at Fair Value

We report fixed maturity securities, derivative financial instruments, and unrestricted equity securities at fair value in our consolidated balance sheets. The degree of judgment utilized in measuring the fair value of financial instruments generally correlates to the level of pricing observability. Financial instruments with readily available active quoted prices or for which fair value can be measured from actively quoted prices in active markets generally have more pricing observability and less judgment utilized in measuring fair value. An active market for a financial instrument is a market in which transactions for an asset or a similar asset occur with sufficient frequency and volume to provide pricing information on an ongoing basis. A quoted price in an active market provides the most reliable evidence of fair value and should be used to measure fair value whenever available. Conversely, financial instruments rarely traded or not quoted have less observability and are measured at fair value using valuation techniques that require more judgment. Pricing observability is generally impacted by a number of factors, including the type of financial instrument, whether the financial instrument is new to the market and not yet established, the characteristics specific to the transaction, and overall market conditions.

Valuation techniques used for assets and liabilities accounted for at fair value are generally categorized into three types. The market approach uses prices and other relevant information from market transactions involving identical or comparable assets or liabilities. The income approach converts future amounts, such as cash flows or earnings, to a single present amount, or a discounted amount. The cost approach is based upon the amount that currently would be required to replace the service capacity of an asset, or the current replacement cost.

We use valuation techniques that are appropriate in the circumstances and for which sufficient data are available that can be obtained without undue cost and effort. In some cases, a single valuation technique will be appropriate (for example, when valuing an asset or liability using quoted prices in an active market for identical assets or liabilities). In other cases, multiple valuation techniques will be appropriate. If we use multiple valuation techniques to measure fair value, we evaluate and weigh the results, as appropriate, considering the reasonableness of the range indicated by those results. A fair value measurement is the point within that range that is most representative of fair value in the circumstances.

The selection of the valuation method(s) to apply considers the definition of an exit price and depends on the nature of the asset or liability being valued. For assets and liabilities accounted for at fair value, we generally use valuation techniques consistent with the market approach, and to a lesser extent, the income approach. We believe the market approach provides more observable data than the income approach, considering the type of investments we hold. Our fair value measurements could differ significantly based on the valuation technique and available inputs. When using a pricing service, we obtain the vendor's pricing documentation to ensure we understand their methodologies. We periodically review and approve the selection of our pricing vendors to ensure we are in agreement with their current methodologies. When markets are less active, brokers may rely more on models with inputs based on the information available only to the broker. Our internal investment management professionals, which include portfolio managers and analysts, monitor securities priced by brokers and evaluate their prices for reasonableness based on benchmarking to available primary and secondary market information. In weighing a broker quote as an input to fair value, we place less reliance on quotes that do not reflect the result of market transactions. We also consider the nature of the quote, particularly whether the quote is a binding offer. If prices in an inactive market do not reflect current prices for the same or similar assets, adjustments may be necessary to arrive at fair value. When relevant market data is unavailable, which may be the case during periods of market uncertainty, the income approach can, in suitable circumstances, provide a more appropriate fair value. During 2017, we have applied valuation approaches and techniques on a consistent basis to similar assets and liabilities and consistent with those approaches and techniques used at year end 2016.

We use observable and unobservable inputs in measuring the fair value of our fixed maturity and equity securities. For securities categorized as Level 1, fair values equal active Trade Reporting and Compliance Engine (TRACE) pricing or unadjusted broker market maker prices. For securities categorized as Level 2 or Level 3, inputs that may be used in valuing each class of securities at any given time period are presented as follows. Actual inputs used to determine fair values will vary for each reporting period depending on the availability of inputs which may, at times, be affected by the lack of market liquidity.

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
United States Government and Government Agencies and Authorities
	Valuation Approaches	Principally the market approach	Not applicable
	Valuation Techniques / Inputs	Prices obtained from external pricing services
States, Municipalities, and Political Subdivisions
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Relevant reports issued by analysts and rating agencies	Non-binding broker quotes
		Audited financial statements	Security and issuer level spreads
Foreign Governments
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Non-binding broker quotes
		Call provisions	Security and issuer level spreads
Public Utilities
	Valuation Approaches	Principally the market and income approaches	Principally the market and income approaches
	Valuation Techniques / Inputs	TRACE pricing	Change in benchmark reference
		Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
		Non-binding broker quotes	Discount for size - illiquidity
		Benchmark yields	Non-binding broker quotes
		Transactional data for new issuances and secondary trades	Lack of marketability
		Security cash flows and structures	Security and issuer level spreads
		Recent issuance / supply	Volatility of credit
		Matrix pricing	Matrix pricing
		Security and issuer level spreads
		Security creditor ratings/maturity/capital structure/optionality
		Public covenants
		Comparative bond analysis
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
Mortgage/Asset-Backed Securities
	Valuation Approaches	Principally the market and income approaches	Principally the market approach
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Non-binding broker quotes
		Security cash flows and structures	Security and issuer level spreads
		Underlying collateral
		Prepayment speeds/loan performance/delinquencies
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
All Other Corporate Bonds
	Valuation Approaches	Principally the market and income approaches	Principally the market and income approaches
	Valuation Techniques / Inputs	TRACE pricing	Change in benchmark reference
		Prices obtained from external pricing services	Analysis of similar bonds, adjusted for comparability
		Non-binding broker quotes	Discount for size - illiquidity
		Benchmark yields	Non-binding broker quotes
		Transactional data for new issuances and secondary trades	Lack of marketability
		Security cash flows and structures	Security and issuer level spreads
		Recent issuance / supply	Volatility of credit
		Matrix pricing	Matrix pricing
		Security and issuer level spreads
		Security creditor ratings/maturity/capital structure/optionality
		Public covenants
		Comparative bond analysis
		Relevant reports issued by analysts and rating agencies
		Audited financial statements

		Level 2	Level 3
Instrument		Observable Inputs	Unobservable Inputs
Redeemable Preferred Stocks
	Valuation Approaches	Principally the market approach	Principally the market approach
	Valuation Techniques / Inputs	Non-binding broker quotes	Non-binding broker quotes
		Benchmark yields
		Comparative bond analysis
		Call provisions
		Relevant reports issued by analysts and rating agencies
		Audited financial statements
Equity Securities
	Valuation Approaches	Principally the market approach	Principally the market and income approaches
	Valuation Techniques / Inputs	Prices obtained from external pricing services	Financial statement analysis
		Non-binding broker quotes	Non-binding broker quotes

The management of our investment portfolio includes establishing pricing policy and reviewing the reasonableness of sources and inputs used in developing pricing. We review all prices obtained to ensure they are consistent with a variety of observable market inputs and to verify the validity of a security's price.  In the event we receive a vendor's market price that does not appear reasonable based on our market analysis, we may challenge the price and request further information about the assumptions and methodologies used by the vendor to price the security. We may change the vendor price based on a better data source such as an actual trade. We also review all price changes from the prior month which fall outside a predetermined corridor. The overall valuation process for determining fair values may include adjustments to valuations obtained from our pricing sources when they do not represent a valid exit price. These adjustments may be made when, in our judgment and considering our knowledge of the financial conditions and industry in which the issuer operates, certain features of the financial instrument require that an adjustment be made to the value originally obtained from our pricing sources. These features may include the complexity of the financial instrument, the market in which the financial instrument is traded, counterparty credit risk, credit structure, concentration, or liquidity. Additionally, an adjustment to the price derived from a model typically reflects our judgment of the inputs that other participants in the market for the financial instrument being measured at fair value would consider in pricing that same financial instrument. In the event an asset is sold, we test the validity of the fair value determined by our valuation techniques by comparing the selling price to the fair value determined for the asset in the immediately preceding month end reporting period.

The parameters and inputs used to validate a price on a security may be adjusted for assumptions about risk and current market conditions on a quarter to quarter basis, as certain features may be more significant drivers of valuation at the time of pricing. Changes to inputs in valuations are not changes to valuation methodologies; rather, the inputs are modified to reflect direct or indirect impacts on asset classes from changes in market conditions.

Fair values for derivatives other than embedded derivatives in modified coinsurance arrangements are based on market quotes or pricing models and represent the net amount of cash we would have paid or received if the contracts had been settled or closed as of the last day of the period. We analyze credit default swap spreads relative to the average credit spread embedded within the LIBOR-setting syndicate in determining the effect of credit risk on our derivatives' fair values.  If net counterparty credit risk for a derivative asset is determined to be material and is not adequately reflected in the LIBOR-based fair value obtained from our pricing sources, we adjust the valuations obtained from our pricing sources. For purposes of valuing net counterparty risk, we measure the fair value of a group of financial assets and financial liabilities on the basis of the price that would be received to sell a net long position or transfer a net short position for a particular risk exposure in an orderly transaction between market participants at the measurement date under current market conditions. In regard to our own credit risk component, we adjust the valuation of derivative liabilities wherein the counterparty is exposed to our credit risk when the LIBOR-based valuation of our derivatives obtained from pricing sources does not effectively include an adequate credit component for our own credit risk.

Fair values for our embedded derivative in a modified coinsurance arrangement are estimated using internal pricing models and represent the hypothetical value of the duration mismatch of assets and liabilities, interest rate risk, and third party credit risk embedded in the modified coinsurance arrangement.

Certain of our investments do not have readily determinable market prices and/or observable inputs or may at times be affected by the lack of market liquidity. For these securities, we use internally prepared valuations combining matrix pricing with vendor purchased software programs, including valuations based on estimates of future profitability, to estimate the fair value. Additionally, we may obtain prices from independent third-party brokers to aid in establishing valuations for certain of these securities. Key assumptions used by us to determine fair value for these securities include risk free interest rates, risk premiums, performance of underlying collateral (if any), and other factors involving significant assumptions which may or may not reflect those of an active market.

At March 31, 2017, approximately 24.3 percent of our fixed maturity securities were valued using active trades from TRACE pricing or broker market maker prices for which there was current market activity in that specific security (comparable to receiving one binding quote).  The prices obtained were not adjusted, and the assets were classified as Level 1, the highest category of the three-level fair value hierarchy classification wherein inputs are unadjusted and represent quoted prices in active markets for identical assets or liabilities.

The remaining 75.7 percent of our fixed maturity securities were valued based on non-binding quotes or other observable and unobservable inputs, as discussed below.

• Approximately 60.8 percent of our fixed maturity securities were valued based on prices from pricing services that generally use observable inputs such as prices for securities or comparable securities in active markets in their valuation techniques. These assets were classified as Level 2.  Level 2 assets or liabilities are those valued using inputs (other than prices included in Level 1) that are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument's anticipated life.

• Approximately 3.9 percent of our fixed maturity securities were valued based on one or more non-binding broker quotes, if validated by observable market data, or on TRACE prices for identical or similar assets absent current market activity. When only one price is available, it is used if observable inputs and analysis confirms that it is appropriate. These assets, for which we were able to validate the price using other observable market data, were classified as Level 2.

• Approximately 11.0 percent of our fixed maturity securities were valued based on prices of comparable securities, matrix pricing, market models, and/or internal models or were valued based on non-binding quotes with no other observable market data. These assets were classified as either Level 2 or Level 3, with the categorization dependent on whether there was other observable market data.  Level 3 is the lowest category of the fair value hierarchy and reflects the judgment of management regarding what market participants would use in pricing assets or liabilities at the measurement date. Financial assets and liabilities categorized as Level 3 are generally those that are valued using unobservable inputs to extrapolate an estimated fair value.

We consider transactions in inactive or disorderly markets to be less representative of fair value. We use all available observable inputs when measuring fair value, but when significant other unobservable inputs and adjustments are necessary, we classify these assets or liabilities as Level 3.

Fair value measurements by input level for financial instruments carried at fair value are as follows:

	March 31, 2017
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	330.9	$	1,085.4	$	—	$	1,416.3
States, Municipalities, and Political Subdivisions	—		2,173.5		0.4		2,173.9
Foreign Governments	—		917.8		—		917.8
Public Utilities	1,160.1		6,614.4		312.5		8,087.0
Mortgage/Asset-Backed Securities	—		2,155.4		—		2,155.4
All Other Corporate Bonds	9,356.5		19,551.6		923.0		29,831.1
Redeemable Preferred Stocks	—		18.8		22.9		41.7
Total Fixed Maturity Securities	10,847.5		32,516.9		1,258.8		44,623.2
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		29.3		—		29.3
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	6.9	$	—	$	6.9
Foreign Exchange Contracts	—		45.5		—		45.5
Credit Default Swaps	—		0.6		—		0.6
Embedded Derivative in Modified Coinsurance Arrangement	—		—		38.1		38.1
Total Derivatives	—		53.0		38.1		91.1

	December 31, 2016
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	454.2	$	928.2	$	—	$	1,382.4
States, Municipalities, and Political Subdivisions	—		2,068.5		89.5		2,158.0
Foreign Governments	—		914.7		—		914.7
Public Utilities	108.5		7,648.9		265.3		8,022.7
Mortgage/Asset-Backed Securities	—		2,230.4		—		2,230.4
All Other Corporate Bonds	3,507.1		24,500.4		1,459.7		29,467.2
Redeemable Preferred Stocks	—		18.7		23.2		41.9
Total Fixed Maturity Securities	4,069.8		38,309.8		1,837.7		44,217.3
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		32.7		—		32.7
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	7.6	$	—	$	7.6
Foreign Exchange Contracts	—		44.8		—		44.8
Credit Default Swaps	—		0.4		—		0.4
Embedded Derivative in Modified Coinsurance Arrangement	—		—		46.7		46.7
Total Derivatives	—		52.8		46.7		99.5

Transfers of assets between Level 1 and Level 2 are as follows:

	Three Months Ended March 31
	2017				2016
	Transfers into
	Level 1 from Level 2		Level 2 from Level 1		Level 1 from Level 2		Level 2 from Level 1
	(in millions of dollars)
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	54.5	$	180.0	$	423.8	$	—
Public Utilities	1,103.9		57.5		511.6		43.0
All Other Corporate Bonds	6,317.0		1,075.3		5,352.0		786.4
Total Fixed Maturity Securities	$	7,475.4	$	1,312.8	$	6,287.4	$	829.4

Transfers between Level 1 and Level 2 occurred due to the change in availability of either a TRACE or broker market maker price. Depending on current market conditions, the availability of these Level 1 prices can vary from period to period. For fair value measurements of financial instruments that were transferred either into or out of Level 1 or 2, we reflect the transfers using the fair value at the beginning of the period.

Changes in assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) are as follows:

	Three Months Ended March 31, 2017
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	89.5		$	—		$	—		$	—	$	—		$	0.4	$	(89.5	)	$	0.4
Public Utilities	265.3			—			1.8			8.0		—			112.6		(75.2		)	312.5
All Other Corporate Bonds	1,459.7			—			13.1			—		(36.4		)	143.9		(657.3		)	923.0
Redeemable Preferred Stocks	23.2			—			(0.3		)	—		—			—		—			22.9
Total Fixed Maturity Securities	1,837.7			—			14.6			8.0		(36.4		)	256.9		(822.0		)	1,258.8
Equity Securities	1.2			—			—			—		—			—		—			1.2
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	8.6			—			—		—			—		—			(38.1		)
	Three Months Ended March 31, 2016
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	122.2		$	—		$	0.6		$	—	$	—		$	—	$	(34.1	)	$	88.7
Foreign Governments	52.9			—			1.0			—		—			—		—			53.9
Public Utilities	274.1			—			4.2			—		—			94.5		(102.6		)	270.2
All Other Corporate Bonds	1,408.2			(1.6		)	15.6			—		(28.0		)	282.6		(602.1		)	1,074.7
Redeemable Preferred Stocks	23.8			—			(0.4		)	—		—			—		—			23.4
Total Fixed Maturity Securities	1,881.2			(1.6		)	21.0			—		(28.0		)	377.1		(738.8		)	1,510.9
Equity Securities	1.4			—			—			—		—			—		(0.2		)	1.2
Embedded Derivative in Modified Coinsurance Arrangement	(87.6		)	(5.6		)	—			—		—			—		—			(93.2		)

Realized and unrealized investment gains and losses presented in the preceding tables represent gains and losses only for the time during which the applicable financial instruments were classified as Level 3. The transfers between levels resulted primarily from a change in observability of three inputs used to determine fair values of the securities transferred: (1) transactional data for new issuance and secondary trades, (2) broker/dealer quotes and pricing, primarily related to changes in the level of activity in the market and whether the market was considered orderly, and (3) comparable bond metrics from which to perform an analysis. For fair value measurements of financial instruments that were transferred either into or out of Level 3, we reflect the transfers using the fair value at the beginning of the period. We believe this allows for greater transparency, as all changes in fair value that arise during the reporting period of the transfer are disclosed as a component of our Level 3 reconciliation. Gains (losses) which are included in earnings and are attributable to the change in fair value of assets or liabilities valued using significant unobservable inputs and still held at period end were $8.6 million and $(5.6) million for the three months ended March 31, 2017 and 2016, respectively. These amounts relate entirely to the change in fair value of an embedded derivative in a modified coinsurance arrangement and are reported as a component of realized investment gains and losses.

The table below provides quantitative information regarding the significant unobservable inputs used in Level 3 fair value measurements derived from internal models. Certain securities classified as Level 3 are excluded from the table below due to limitations in our ability to obtain the underlying inputs used by external pricing sources.

	March 31, 2017
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	328.2		Lack of Marketability Volatility of Credit Market Convention	(c) (d) (e)	0.25% - 0.25% / 0.25% 0.20% - 6.04% / 0.74% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(38.1		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

	December 31, 2016
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	310.4		Comparability Adjustment Discount for Size Lack of Marketability Volatility of Credit Market Convention	(a) (b) (c) (d) (e)	0.50% - 0.50% / 0.50% 0.50% - 0.50% / 0.50% 0.20% - 0.25% / 0.23% 0.20% - 6.04% / 0.70% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

(a) Represents basis point adjustments for changes in benchmark spreads associated with various industry sectors

(b) Represents basis point adjustments based on issue/issuer size relative to the benchmark

(c) Represents basis point adjustments to apply a discount due to the illiquidity of an investment

(d) Represents basis point adjustments for credit-specific factors

(e) Represents a decision to price based on par value, cost, or owner's equity when limited data is available

(f) Represents various actuarial assumptions required to derive the liability cash flows including incidence, termination, and lapse rates

Isolated increases in unobservable inputs other than market convention will result in a lower fair value measurement, whereas isolated decreases will result in a higher fair value measurement. The unobservable input for market convention is not sensitive to input movements. The projected liability cash flows used in the fair value measurement of our Level 3 embedded derivative are based on expected claim payments. If claim payments increase, the projected liability cash flows will increase, resulting in a decrease in the fair value of the embedded derivative. Decreases in projected liability cash flows will result in an increase in the fair value of the embedded derivative.

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Investments

3 Months Ended

Mar. 31, 2017

Investments, Debt and Equity Securities [Abstract]

Investments

Investments

Fixed Maturity Securities

At March 31, 2017 and December 31, 2016, all fixed maturity securities were classified as available-for-sale. The amortized cost and fair values of securities by security type are shown as follows:

	March 31, 2017
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,237.2	$	182.7	$	3.6	$	1,416.3
States, Municipalities, and Political Subdivisions	1,877.3		299.7		3.1		2,173.9
Foreign Governments	713.3		204.5		—		917.8
Public Utilities	6,945.9		1,156.0		14.9		8,087.0
Mortgage/Asset-Backed Securities	2,041.1		124.4		10.1		2,155.4
All Other Corporate Bonds	26,843.8		3,117.0		129.7		29,831.1
Redeemable Preferred Stocks	39.0		2.9		0.2		41.7
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	161.6	$	44,623.2

	December 31, 2016
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,202.8	$	183.1	$	3.5	$	1,382.4
States, Municipalities, and Political Subdivisions	1,868.0		294.8		4.8		2,158.0
Foreign Governments	714.8		199.9		—		914.7
Public Utilities	6,916.1		1,123.5		16.9		8,022.7
Mortgage/Asset-Backed Securities	2,104.9		134.7		9.2		2,230.4
All Other Corporate Bonds	26,707.1		2,944.0		183.9		29,467.2
Redeemable Preferred Stocks	39.0		3.2		0.3		41.9
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	218.6	$	44,217.3

The following charts indicate the length of time our fixed maturity securities have been in a gross unrealized loss position.

	March 31, 2017
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	157.8	$	3.6	$	—	$	—
States, Municipalities, and Political Subdivisions	111.1		3.1		—		—
Public Utilities	260.5		9.9		31.5		5.0
Mortgage/Asset-Backed Securities	499.8		9.7		9.3		0.4
All Other Corporate Bonds	2,811.1		74.9		672.4		54.8
Redeemable Preferred Stocks	7.9		0.1		10.9		0.1
Total Fixed Maturity Securities	$	3,848.2	$	101.3	$	724.1	$	60.3

	December 31, 2016
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	132.8	$	3.5	$	—	$	—
States, Municipalities, and Political Subdivisions	132.2		4.8		—		—
Public Utilities	260.2		15.3		15.6		1.6
Mortgage/Asset-Backed Securities	513.2		9.1		0.8		0.1
All Other Corporate Bonds	3,621.0		122.1		774.7		61.8
Redeemable Preferred Stocks	7.9		0.1		10.8		0.2
Total Fixed Maturity Securities	$	4,667.3	$	154.9	$	801.9	$	63.7

The following is a distribution of the maturity dates for fixed maturity securities. The maturity dates have not been adjusted for possible calls or prepayments.

	March 31, 2017
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,339.7	$	27.0	$	1,348.5	$	—	$	18.2
Over 1 year through 5 years	6,121.0		552.4		6,499.1		5.7		168.6
Over 5 years through 10 years	11,177.3		931.0		10,124.5		59.2		1,924.6
Over 10 years	19,018.5		3,452.4		20,432.5		86.6		1,951.8
	37,656.5		4,962.8		38,404.6		151.5		4,063.2
Mortgage/Asset-Backed Securities	2,041.1		124.4		1,646.3		10.1		509.1
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	40,050.9	$	161.6	$	4,572.3

	December 31, 2016
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,338.8	$	28.6	$	1,355.6	$	—	$	11.8
Over 1 year through 5 years	6,231.0		553.5		6,605.6		8.2		170.7
Over 5 years through 10 years	10,991.6		843.8		9,336.2		82.8		2,416.4
Over 10 years	18,886.4		3,322.6		19,734.3		118.4		2,356.3
	37,447.8		4,748.5		37,031.7		209.4		4,955.2
Mortgage/Asset-Backed Securities	2,104.9		134.7		1,716.4		9.2		514.0
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	38,748.1	$	218.6	$	5,469.2

At March 31, 2017, the fair value of investment-grade fixed maturity securities was $41,262.5 million, with a gross unrealized gain of $4,948.7 million and a gross unrealized loss of $108.1 million. The gross unrealized loss on investment-grade fixed maturity securities was 66.9 percent of the total gross unrealized loss on fixed maturity securities. Unrealized losses on investment-grade fixed maturity securities principally relate to changes in interest rates or changes in market or sector credit spreads which occurred subsequent to the acquisition of the securities.

At March 31, 2017, the fair value of below-investment-grade fixed maturity securities was $3,360.7 million, with a gross unrealized gain of $138.5 million and a gross unrealized loss of $53.5 million. The gross unrealized loss on below-investment-grade fixed maturity securities was 33.1 percent of the total gross unrealized loss on fixed maturity securities. Generally, below-investment-grade fixed maturity securities are more likely to develop credit concerns than investment-grade securities. At March 31, 2017, the unrealized losses in our below-investment-grade fixed maturity securities were generally due to credit spreads in certain industries or sectors and, to a lesser extent, credit concerns related to specific securities. For each specific security in an unrealized loss position, we believe that there are positive factors which mitigate credit concerns and that the securities for which we have not recorded an other-than-temporary impairment will recover in value.

As of March 31, 2017, we held 299 individual investment-grade fixed maturity securities and 59 individual below-investment-grade fixed maturity securities that were in an unrealized loss position, of which 16 investment-grade fixed maturity securities and 32 below-investment-grade fixed maturity securities had been in an unrealized loss position continuously for over one year. Of the 299 individual investment-grade securities in an unrealized loss position, 123 are held in the portfolio acquired through our 2016 purchase of H&J Capital, L.L.C., parent of Starmount Life Insurance Company and AlwaysCare Benefits (which collectively we refer to as Starmount). The fair value of the Starmount portfolio was $39.2 million and had a net unrealized loss of $1.2 million at March 31, 2017.

In determining when a decline in fair value below amortized cost of a fixed maturity security is other than temporary, we evaluate the following factors:

• Whether we expect to recover the entire amortized cost basis of the security

• Whether we intend to sell the security or will be required to sell the security before the recovery of its amortized cost basis

• Whether the security is current as to principal and interest payments

• The significance of the decline in value

• The time period during which there has been a significant decline in value

• Current and future business prospects and trends of earnings

• The valuation of the security's underlying collateral

• Relevant industry conditions and trends relative to their historical cycles

• Market conditions

• Rating agency and governmental actions

• Bid and offering prices and the level of trading activity

• Adverse changes in estimated cash flows for securitized investments

• Changes in fair value subsequent to the balance sheet date

• Any other key measures for the related security

While determining other-than-temporary impairments is a judgmental area, we utilize a formal, well-defined, and disciplined process to monitor and evaluate our fixed income investment portfolio, supported by issuer specific research and documentation as of the end of each period. The process results in a thorough evaluation of problem investments and the recording of losses on a timely basis for investments determined to have an other-than-temporary impairment.

We held no fixed maturity securities as of March 31, 2017 or December 31, 2016 for which a portion of an other-than-temporary impairment was recognized in accumulated other comprehensive income.

At March 31, 2017, we had commitments of $38.0 million to fund private placement fixed maturity securities, the amount of which may or may not be funded. 

Variable Interest Entities

We invest in variable interests issued by variable interest entities. These investments include tax credit partnerships, private equity partnerships, and special purpose entities. For those variable interests that are not consolidated in our financial statements, we are not the primary beneficiary because we have neither the power to direct the activities that are most significant to economic performance nor the responsibility to absorb a majority of the expected losses. The determination of whether we are the primary beneficiary is performed at the time of our initial investment and at the date of each subsequent reporting period.

As of March 31, 2017, the carrying amount of our variable interest entity investments that are not consolidated in our financial statements was $527.7 million, comprised of $156.0 million of tax credit partnerships and $371.7 million of private equity partnerships. At December 31, 2016, the carrying amount of our variable interest entity investments that are not consolidated in our financial statements was $509.3 million, comprised of $165.2 million of tax credit partnerships and $344.1 million of private equity partnerships. These variable interest entity investments are reported as other long-term investments in our consolidated balance sheets.

The Company invests in tax credit partnerships primarily for the receipt of income tax credits and tax benefits derived from passive losses on the investments. Amounts recognized in the consolidated statements of income are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Income Tax Credits	$	10.4		$	10.5
Amortization, net of tax	(5.8		)	(5.8		)
Income Tax Benefit	$	4.6		$	4.7

Contractually, we are a limited partner in these tax credit partnerships, and our maximum exposure to loss is limited to the carrying value of our investment, which includes $4.4 million of unfunded unconditional commitments at March 31, 2017. At March 31, 2017, we also have unfunded unconditional commitments of $0.3 million to fund certain private equity partnerships as well as commitments of $252.0 million, the amount of which may or may not be funded.

We are the sole beneficiary of a special purpose entity which is consolidated in our financial statements.  This entity is a securitized asset trust containing a highly rated bond for principal protection which we contributed into the trust at the time it was established.  There are no restrictions on the asset held in this trust, and the trust is free to dispose of the asset at any time.  The fair values of the bond were $152.8 million and $151.9 million as of March 31, 2017 and December 31, 2016, respectively.  The bond is reported as a component of fixed maturity securities in our consolidated balance sheets. At December 31, 2016, the trust also contained a private equity partnership which we contributed into the trust at the time it was established with a fair value of $1.0 million. During the first quarter of 2017, we received the final distribution from the partnership and recorded a loss of $0.2 million on the disposal. The loss is reported as a component of net realized investments gains and losses in our consolidated statements of income.

Mortgage Loans

Our mortgage loan portfolio is well diversified by both geographic region and property type to reduce risk of concentration. All of our mortgage loans are collateralized by commercial real estate. When issuing a new loan, our general policy is not to exceed a loan-to-value ratio, or the ratio of the loan balance to the estimated fair value of the underlying collateral, of 75 percent. We update the loan-to-value ratios at least every three years for each loan, and properties undergo a general inspection at least every two years. Our general policy for newly issued loans is to have a debt service coverage ratio greater than 1.25 times on a normalized 25 year amortization period. We update our debt service coverage ratios annually.

Mortgage loans by property type and geographic region are presented below.

	March 31, 2017				December 31, 2016
	(in millions of dollars)
	Carrying		Percent of		Carrying		Percent of
	Amount		Total		Amount		Total
Property Type
Apartment	$	291.8	14.1	%	$	288.4	14.1	%
Industrial	580.8		28.1		573.6		28.1
Office	712.7		34.4		700.1		34.4
Retail	450.4		21.8		455.4		22.4
Other	32.7		1.6		21.4		1.0
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

Region
New England	$	71.8	3.5	%	$	72.7	3.6	%
Mid-Atlantic	120.1		5.8		125.3		6.1
East North Central	233.4		11.3		230.1		11.3
West North Central	179.1		8.6		172.0		8.4
South Atlantic	440.8		21.3		438.3		21.5
East South Central	90.9		4.4		91.6		4.5
West South Central	262.2		12.7		268.7		13.2
Mountain	235.3		11.4		214.1		10.5
Pacific	434.8		21.0		426.1		20.9
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

We evaluate each of our mortgage loans individually for impairment and assign an internal credit quality rating based on a comprehensive rating system used to evaluate the credit risk of the loan. The factors we use to derive our internal credit ratings may include the following:

• Loan-to-value ratio

• Debt service coverage ratio based on current operating income

• Property location, including regional economics, trends and demographics

• Age, condition, and construction quality of property

• Current and historical occupancy of property

• Lease terms relative to market

• Tenant size and financial strength

• Borrower's financial strength

• Borrower's equity in transaction

• Additional collateral, if any

Although all available and applicable factors are considered in our analysis, loan-to-value and debt service coverage ratios are the most critical factors in determining whether we will initially issue the loan and also in assigning values and determining impairment. We assign an overall rating to each loan using an internal rating scale of Aa (highest quality) to B (lowest quality). We review and adjust, as needed, our internal credit quality ratings on an annual basis. This review process is performed more frequently for mortgage loans deemed to have a higher risk of delinquency.

Mortgage loans, sorted by the applicable credit quality indicators, are as follows:

	March 31 2017		December 31 2016
	(in millions of dollars)
Internal Rating
Aa	$	0.6	$	0.7
A	492.1		488.2
Baa	1,532.6		1,506.6
Ba	43.1		43.4
Total	$	2,068.4	$	2,038.9

Loan-to-Value Ratio
<= 65%	$	922.9	$	917.9
> 65% <= 75%	1,036.9		1,011.5
> 75% <= 85%	50.3		50.8
> 85%	58.3		58.7
Total	$	2,068.4	$	2,038.9

There were no troubled debt restructurings during the three months ended March 31, 2017 or 2016. At March 31, 2017 and December 31, 2016, we held no mortgage loans that were greater than 90 days past due regarding principal and/or interest payments.

There have been no changes to our accounting policies or methodology from the prior period regarding estimating the allowance for credit losses on our mortgage loans. As of March 31, 2017 and December 31, 2016, we had no allowance for credit losses, and there was no activity in the allowance for credit losses during the three months ended March 31, 2017 or 2016.

We did not hold any impaired mortgage loans during the three months ended March 31, 2017 or 2016, nor did we recognize any interest income on mortgage loans subsequent to impairment.

At March 31, 2017, we had commitments of $56.6 million to fund certain commercial mortgage loans, the amount of which may or may not be funded.

Transfers of Financial Assets

To manage our cash position more efficiently, we may enter into repurchase agreements with unaffiliated financial institutions. We generally use repurchase agreements as a means to finance the purchase of invested assets or for short-term general business purposes until projected cash flows become available from our operations or existing investments. Our repurchase agreements are typically outstanding for less than 30 days. We post collateral through our repurchase agreement transactions whereby the counterparty commits to purchase securities with the agreement to resell them to us at a later, specified date. The fair value of collateral posted is generally 102 percent of the cash received.

Our investment policy also permits us to lend fixed maturity securities to unaffiliated financial institutions in short-term securities lending agreements. These agreements increase our investment income with minimal risk. Our securities lending policy requires that a minimum of 102 percent of the fair value of the securities loaned be maintained as collateral. We may receive cash and/or securities as collateral under these agreements. Cash received as collateral is typically reinvested in short-term investments. If securities are received as collateral, we are not permitted to sell or re-post them.

As of March 31, 2017, the carrying amount of fixed maturity securities loaned to third parties under our securities lending program was $169.0 million, for which we received collateral in the form of cash and securities of $25.1 million and $150.4 million, respectively. As of December 31, 2016, the carrying amount of fixed maturity securities loaned to third parties under our securities lending program was $178.5 million, for which we received collateral in the form of cash and securities of $29.9 million and $155.3 million, respectively. We had no outstanding repurchase agreements at March 31, 2017 or December 31, 2016.

The remaining contractual maturities of our securities lending agreements disaggregated by class of collateral pledged are as follows:

	March 31, 2017		December 31, 2016
	Overnight and Continuous
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1.1	$	0.1
Public Utilities	0.3		0.1
All Other Corporate Bonds	23.7		29.7
Total Borrowings	25.1		29.9
Gross Amount of Recognized Liability for Securities Lending Transactions	25.1		29.9
Amounts Related to Agreements Not Included in Offsetting Disclosure Contained Herein	$	—	$	—

Certain of our U.S. insurance subsidiaries are members of regional FHLBs. Membership, which requires that we purchase a minimum amount of FHLB common stock on which we receive dividends, provides access to low-cost funding. As of March 31, 2017 and December 31, 2016, we owned $31.6 million of FHLB common stock. Advances from the regional FHLBs for the purpose of purchasing fixed maturity securities totaled $350.0 million as of March 31, 2017 and December 31, 2016. As of March 31, 2017, the carrying value of fixed maturity securities and commercial mortgage loans posted as collateral to the regional FHLBs was $221.0 million and $349.3 million, respectively. As of December 31, 2016, the carrying value of fixed maturity securities and commercial mortgage loans posted as collateral to the regional FHLBs was $323.7 million and $288.5 million, respectively. Additional common stock purchases may be required, based on the amount of funds we borrow from the FHLBs.

Offsetting of Financial Instruments

We enter into master netting agreements with each of our derivatives counterparties. These agreements provide for conditional rights of set-off upon the occurrence of an early termination event. An early termination event is considered a default, and it allows the non-defaulting party to offset its contracts in a loss position against any gain positions or payments due to the defaulting party. Under our agreements, default type events are defined as failure to pay or deliver as contractually agreed, misrepresentation, bankruptcy, or merger without assumption. See Note 5 for further discussion of collateral related to our derivative contracts.

We have securities lending agreements with unaffiliated financial institutions that post collateral to us in return for the use of our fixed maturity securities. A right of set-off exists that allows us to keep and apply collateral received in the event of default by the counterparty. Default within a securities lending agreement would typically occur if the counterparty failed to return the securities borrowed from us as contractually agreed. In addition, if we default by not returning collateral received, the counterparty has a right of set-off against our securities or any other amounts due to us.

Shown below are our financial instruments that either meet the accounting requirements that allow them to be offset in our balance sheets or that are subject to an enforceable master netting arrangement or similar agreement. Our accounting policy is to not offset these financial instruments in our balance sheets. Net amounts disclosed below have been reduced by the amount of collateral pledged to or received from our counterparties.

	March 31, 2017
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	29.3	$	—	$	29.3	$	(7.0	)	$	(22.3	)	$	—
Securities Lending	169.0		—		169.0		(143.9		)	(25.1		)	—
Total	$	198.3	$	—	$	198.3	$	(150.9	)	$	(47.4	)	$	—
Financial Liabilities:
Derivatives	$	53.0	$	—	$	53.0	$	(42.4	)	$	—		$	10.6
Securities Lending	25.1		—		25.1		(25.1		)	—			—
Total	$	78.1	$	—	$	78.1	$	(67.5	)	$	—		$	10.6

	December 31, 2016
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	32.7	$	—	$	32.7	$	(7.3	)	$	(25.4	)	$	—
Securities Lending	178.5		—		178.5		(148.6		)	(29.9		)	—
Total	$	211.2	$	—	$	211.2	$	(155.9	)	$	(55.3	)	$	—
Financial Liabilities:
Derivatives	$	52.8	$	—	$	52.8	$	(37.6	)	$	—		$	15.2
Securities Lending	29.9		—		29.9		(29.9		)	—			—
Total	$	82.7	$	—	$	82.7	$	(67.5	)	$	—		$	15.2

Net Investment Income

Net investment income reported in our consolidated statements of income is as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars)
Fixed Maturity Securities	$	563.7	$	563.8
Derivatives	13.4		11.9
Mortgage Loans	25.4		26.9
Policy Loans	4.3		4.1
Other Long-term Investments	6.1		10.0
Short-term Investments	1.9		1.5
Gross Investment Income	614.8		618.2
Less Investment Expenses	8.8		8.2
Less Investment Income on Participation Fund Account Assets	3.6		3.6
Net Investment Income	$	602.4	$	606.4

Realized Investment Gain and Loss

Realized investment gains and losses are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Fixed Maturity Securities
Gross Gains on Sales	$	2.4		$	16.9
Gross Losses on Sales	(1.1		)	(9.6		)
Other-Than-Temporary Impairment Loss	—			(21.1		)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales	0.7			1.8
Gross Losses on Sales	(0.2		)	(0.3		)
Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
All Other Derivatives	(0.2		)	(2.5		)
Foreign Currency Transactions	0.8			(0.1		)
Net Realized Investment Gain (Loss)	$	11.0		$	(20.5	)

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Derivative Financial Instruments

3 Months Ended

Mar. 31, 2017

Notes to Financial Statements [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

Purpose of Derivatives

We are exposed to certain risks relating to our ongoing business operations. The primary risks managed by using derivative instruments are interest rate risk, risk related to matching duration for our assets and liabilities, foreign currency risk, and credit risk.Historically, we have utilized current and forward interest rate swaps, current and forward currency swaps, forward treasury locks, currency forward contracts, forward contracts on specific fixed income securities, and credit default swaps. Transactions hedging interest rate risk are primarily associated with our individual and group long-term care and individual and group disability products. All other product portfolios are periodically reviewed to determine if hedging strategies would be appropriate for risk management purposes. We do not use derivative financial instruments for speculative purposes.

Derivatives designated as cash flow hedges and used to reduce our exposure to interest rate and duration risk are as follows:

• Interest rate swaps are used to hedge interest rate risks and to improve the matching of assets and liabilities. An interest rate swap is an agreement in which we agree with other parties to exchange, at specified intervals, the difference between fixed rate and variable rate interest amounts. We use interest rate swaps to hedge the anticipated purchase of fixed maturity securities thereby protecting us from the potential adverse impact of declining interest rates on the associated policy reserves. We also use interest rate swaps to hedge the potential adverse impact of rising interest rates in anticipation of issuing fixed rate long-term debt.

• Forward treasury locks are used to minimize interest rate risk associated with the anticipated purchase or disposal of fixed maturity securities. A forward treasury lock is a derivative contract without an initial investment where we and the counterparty agree to purchase or sell a specific U.S. Treasury bond at a future date at a pre-determined price.

Derivatives designated as fair value hedges and used to reduce our exposure to interest rate and duration risk are as follows:

• Interest rate swaps are used to effectively convert certain of our fixed rate securities into floating rate securities which are used to fund our floating rate long-term debt. Under these swap agreements, we receive a variable rate of interest and pay a fixed rate of interest. Additionally, we use interest rate swaps to effectively convert certain fixed rate, long-term debt into floating rate long-term debt. Under these swap agreements, we receive a fixed rate of interest and pay a variable rate of interest.

Derivatives designated as cash flow hedges and used to reduce our exposure to foreign currency risk are as follows:

• Foreign currency interest rate swaps have historically been used to hedge the currency risk of certain foreign currency-denominated fixed maturity securities owned for portfolio diversification and to hedge the currency risk associated with certain of the principal and interest payments of the U.S. dollar-denominated debt issued by one of our U.K. subsidiaries. For hedges of fixed maturity securities, we agree to pay, at specified intervals, fixed rate foreign currency-denominated principal and interest payments in exchange for fixed rate payments in the functional currency of the operating segment. For hedges of debt issued, we paid, at specified intervals, fixed rate foreign currency-denominated principal and interest payments to the counterparty in exchange for fixed rate U.S. dollar-denominated principal and interest payments.

Derivatives not designated as hedging instruments and used to reduce our exposure to foreign currency risk, credit losses on securities owned, and interest rate risk are as follows:

• Foreign currency interest rate swaps previously designated as hedges were used to hedge the currency risk of certain foreign currency-denominated fixed maturity securities owned for portfolio diversification. These derivatives were effective hedges prior to novation to a new counterparty. In conjunction with the novation, these derivatives were de-designated as hedges. We agree to pay, at specified intervals, fixed rate foreign currency-denominated principal and interest payments in exchange for fixed rate payments in the functional currency of the operating segment. We hold offsetting swaps wherein we agree to pay fixed rate principal and interest payments in the functional currency of the operating segment in exchange for fixed rate foreign currency-denominated payments.

• Credit default swaps are used as economic hedges against credit risk but do not qualify for hedge accounting. A credit default swap is an agreement in which we agree with another party to pay, at specified intervals, a fixed-rate fee in exchange for insurance against a credit event on a specific investment. If a defined credit event occurs, our counterparty may either pay us a net cash settlement or we may surrender the specific investment to them in exchange for cash equal to the full notional amount of the swap. Credit events typically include events such as bankruptcy, failure to pay, or certain types of debt restructuring.

• Interest rate swap is used to effectively convert certain of our floating rate, long-term debt into fixed rate long-term debt. Under this swap agreement, we receive a variable rate of interest and pay a fixed rate of interest.

Derivative Risks

The basic types of risks associated with derivatives are market risk (that the value of the derivative will be adversely impacted by changes in the market, primarily the change in interest and exchange rates) and credit risk (that the counterparty will not perform according to the terms of the contract). The market risk of the derivatives should generally offset the market risk associated with the hedged financial instrument or liability. To help limit the credit exposure of the derivatives, we enter into master netting agreements with our counterparties whereby contracts in a gain position can be offset against contracts in a loss position. We also typically enter into bilateral, cross-collateralization agreements with our counterparties to help limit the credit exposure of the derivatives. These agreements require the counterparty in a loss position to submit acceptable collateral with the other counterparty in the event the net loss position meets or exceeds an agreed upon amount. Credit exposure on derivatives is limited to the value of those contracts in a net gain position, including accrued interest receivable less collateral held. At March 31, 2017, we had no credit exposure on derivatives. We held $22.5 million and $26.1 million cash collateral from our counterparties at March 31, 2017 and December 31, 2016, respectively. We post either fixed maturity securities or cash as collateral to our counterparties. The carrying value of fixed maturity securities posted as collateral to our counterparties was $41.3 million and $35.2 million at March 31, 2017 and December 31, 2016, respectively. We had no cash posted as collateral to our counterparties at March 31, 2017 or December 31, 2016. See Note 4 for further discussion of our master netting agreements.

The majority of our derivative instruments contain provisions that require us to maintain specified issuer credit ratings and financial strength ratings. Should our ratings fall below these specified levels, we would be in violation of the provisions, and our derivatives counterparties could terminate our contracts and request immediate payment. The aggregate fair value of all derivative instruments with credit risk-related contingent features that were in a liability position was $53.0 million and $52.8 million at March 31, 2017 and December 31, 2016, respectively.

Derivative Transactions

The table below summarizes, by notional amounts, the activity for each category of derivatives. The notional amounts represent the basis upon which our counterparty pay and receive amounts are calculated.

	Swaps
	Receive Variable/Pay Fixed		Receive Fixed/Pay Fixed		Receive Fixed/Pay Variable		Credit Default		Forwards		Total
	(in millions of dollars)
Balance at December 31, 2015	$	150.0	$	650.3	$	600.0	$	70.0	$	—	$	1,470.3
Additions	—		—		—		—		—		—
Terminations	24.0		—		—		—		—		24.0
Balance at March 31, 2016	$	126.0	$	650.3	$	600.0	$	70.0	$	—	$	1,446.3
Balance at December 31, 2016	$	105.5	$	616.5	$	250.0	$	70.0	$	10.0	$	1,052.0
Additions	—		—		—		—		—		—
Terminations	0.1		20.3		—		—		10.0		30.4
Balance at March 31, 2017	$	105.4	$	596.2	$	250.0	$	70.0	$	—	$	1,021.6

Cash Flow Hedges

As of March 31, 2017 and December 31, 2016, we had $373.8 million and $394.1 million, respectively, notional amount of receive fixed, pay fixed, open current and forward foreign currency interest rate swaps to hedge fixed income foreign currency-denominated securities.

For the three months ended March 31, 2017 and 2016, there was no material ineffectiveness related to our cash flow hedges, and no component of the derivative instruments' gain or loss was excluded from the assessment of hedge effectiveness.

As of March 31, 2017, we expect to amortize approximately $59.2 million of net deferred gains on derivative instruments during the next twelve months. This amount will be reclassified from accumulated other comprehensive income into earnings and reported on the same income statement line item as the hedged item. The income statement line items that will be affected by this amortization are net investment income and interest and debt expense. Additional amounts that may be reclassified from accumulated other comprehensive income into earnings to offset the earnings impact of foreign currency translation of hedged items are not estimable.

As of March 31, 2017, we are hedging the variability of future cash flows associated with forecasted transactions through the year 2038.

Fair Value Hedges

As of March 31, 2017 and December 31, 2016, we had $102.0 million notional amount of receive variable, pay fixed interest rate swaps to hedge the changes in fair value of certain fixed rate securities held. These swaps effectively convert the associated fixed rate securities into floating rate securities, which are used to fund our floating rate long-term debt. The change in fair value of the hedged fixed maturity securities attributable to the hedged benchmark interest rate resulted in a loss of $1.1 million and $1.8 millionthree months ended March 31, 2017 and 2016, respectively, with an offsetting gain on the related interest rate swaps. During the first quarter of 2016, we terminated $24.0 million notional amount of receive variable, pay fixed interest rate swaps in connection with the sale of the hedged securities and recorded a loss on the swap terminations of $1.2 million in our consolidated statements of income as a component of net realized investment gains and losses.

As of March 31, 2017 and December 31, 2016, we had $250.0 million notional amount of receive fixed, pay variable interest rate swaps to hedge the changes in the fair value of certain fixed rate long-term debt. These swaps effectively convert the associated fixed rate long-term debt into floating rate debt and provide for a better matching of interest rates with our short-term investments, which have frequent interest rate resets similar to a floating rate security. The change in fair value of the hedged debt attributable to the hedged benchmark interest rate resulted in a gain (loss) of $0.5 million and $(5.6) million for the three months ended March 31, 2017 and 2016, respectively, with an offsetting gain or loss on the related interest rate swaps.

For the three months ended March 31, 2017, and 2016, there was no material ineffectiveness related to our fair value hedges, and no component of the derivative instruments' gain or loss was excluded from the assessment of hedge effectiveness. There were no instances wherein we discontinued fair value hedge accounting due to a hedged firm commitment no longer qualifying as a fair value hedge.

Derivatives not Designated as Hedging Instruments

As of March 31, 2017 and December 31, 2016, we held $222.4 million notional amount of receive fixed, pay fixed, foreign currency interest rate swaps. These derivatives were not designated as hedges, and as such, changes in fair value related to these derivatives will be reported in earnings as a component of net realized investment gain or loss.

As of March 31, 2017 and December 31, 2016, we held $70.0 million notional amount of single name credit default swaps. We entered into these swaps in order to mitigate the credit risk associated with specific securities owned.

As of March 31, 2017 and December 31, 2016, we held $3.4 million and $3.5 million, respectively, notional amount of a receive variable, pay fixed interest rate swap acquired through our purchase of Starmount in the third quarter of 2016. This swap effectively converts Starmount's floating rate long-term debt of $3.4 million into fixed rate debt.

We have an embedded derivative in a modified coinsurance arrangement for which we include in our realized investment gains and losses a calculation intended to estimate the value of the option of our reinsurance counterparty to cancel the reinsurance contract with us. However, neither party can unilaterally terminate the reinsurance agreement except in extreme circumstances resulting from regulatory supervision, delinquency proceedings, or other direct regulatory action. Cash settlements or collateral related to this embedded derivative are not required at any time during the reinsurance contract or at termination of the reinsurance contract. There are no credit-related counterparty triggers, and any accumulated embedded derivative gain or loss reduces to zero over time as the reinsured business winds down.

Locations and Amounts of Derivative Financial Instruments

The following tables summarize the location and fair values of derivative financial instruments, as reported in our consolidated balance sheets.

	March 31, 2017
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps	Other L-T Investments	$	—	Other Liabilities	$	6.3
Foreign Exchange Contracts	Other L-T Investments	29.3		Other Liabilities	14.3
Total		$	29.3		$	20.6
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.6
Interest Rate Swaps				Other Liabilities	0.6
Foreign Exchange Contracts				Other Liabilities	31.2
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	38.1
Total					$	70.5

	December 31, 2016
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps and Forwards	Other L-T Investments	$	—	Other Liabilities	$	6.9
Foreign Exchange Contracts	Other L-T Investments	32.7		Other Liabilities	13.4
Total		$	32.7		$	20.3
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.4
Interest Rate Swaps				Other Liabilities	0.7
Foreign Exchange Contracts				Other Liabilities	31.4
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	46.7
Total					$	79.2

The following table summarizes the location of gains and losses on the effective portion of derivative financial instruments designated as cash flow hedging instruments, as reported in our consolidated statements of income and consolidated statements of comprehensive income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivatives
Foreign Exchange Contracts		$	(4.5	)	$	(24.3	)
Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Net Investment Income
	Interest Rate Swaps and Forwards	$	14.3		$	13.2
	Foreign Exchange Contracts	(0.3		)	(0.1		)
Net Realized Investment Gain (Loss)
	Interest Rate Swaps	—			3.2
	Foreign Exchange Contracts	(1.2		)	—
Interest and Debt Expense
	Interest Rate Swaps	(0.5		)	(0.5		)
	Total	$	12.3		$	15.8

The following table summarizes the location of gains and losses on our derivatives not designated as hedging instruments, as reported in our consolidated statements of income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Net Realized Investment Gain (Loss)
	Credit Default Swaps	$	(0.3	)	$	—
	Foreign Exchange Contracts	0.2			(1.3		)
	Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
	Total	$	8.5		$	(6.9	)

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Accumulated Other Comprehensive Income

3 Months Ended

Mar. 31, 2017

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Income (Loss)

Components of our accumulated other comprehensive income (loss), after tax, and related changes are as follows:

		Net Unrealized Gain on Securities			Net Gain on Cash Flow Hedges			Foreign Currency Translation Adjustment			Unrecognized Pension and Postretirement Benefit Costs			Total
		(in millions of dollars)
Balance at December 31, 2016		$	440.6		$	327.5		$	(354.0	)	$	(465.1	)	$	(51.0	)
	Other Comprehensive Income (Loss) Before Reclassifications	44.7			(2.7		)	17.1			(0.6		)	58.5
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	(2.3		)	(8.0		)	—			3.2			(7.1		)
	Net Other Comprehensive Income (Loss)	42.4			(10.7		)	17.1			2.6			51.4
Balance at March 31, 2017		$	483.0		$	316.8		$	(336.9	)	$	(462.5	)	$	0.4
Balance at December 31, 2015		$	204.3		$	378.0		$	(173.6	)	$	(392.6	)	$	16.1
	Other Comprehensive Income (Loss) Before Reclassifications	223.8			(15.9		)	(26.4		)	0.5			182.0
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	10.3			(10.3		)	—			2.6			2.6
	Net Other Comprehensive Income (Loss)	234.1			(26.2		)	(26.4		)	3.1			184.6
Balance at March 31, 2016		$	438.4		$	351.8		$	(200.0	)	$	(389.5	)	$	200.7

The net unrealized gain on securities consists of the following components:

	March 31			December 31
	2017			2016			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,925.6		$	4,664.6		$	261.0
Other Investments	(17.8		)	(22.7		)	4.9
Deferred Acquisition Costs	(40.9		)	(38.9		)	(2.0		)
Reserves for Future Policy and Contract Benefits	(4,467.3		)	(4,253.2		)	(214.1		)
Reinsurance Recoverable	335.6			321.3			14.3
Income Tax	(252.2		)	(230.5		)	(21.7		)
Total	$	483.0		$	440.6		$	42.4

	March 31			December 31
	2016			2015			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,894.5		$	3,695.7		$	1,198.8
Other Investments	(18.1		)	(33.7		)	15.6
Deferred Acquisition Costs	(42.0		)	(29.4		)	(12.6		)
Reserves for Future Policy and Contract Benefits	(4,466.5		)	(3,578.4		)	(888.1		)
Reinsurance Recoverable	310.2			263.2			47.0
Income Tax	(239.7		)	(113.1		)	(126.6		)
Total	$	438.4		$	204.3		$	234.1

Amounts reclassified from accumulated other comprehensive income or loss were recognized in our consolidated statements of income as follows:

			Three Months Ended March 31
			2017			2016
			(in millions of dollars)
Net Unrealized Gain on Securities
	Net Realized Investment Gain (Loss)
		Net Gain on Sales of Securities and Other Invested Assets	$	3.4		$	5.6
		Other-Than-Temporary Impairment Loss	—			(21.1		)
			3.4			(15.5		)
	Income Tax Expense (Benefit)		1.1			(5.2		)
	Total		$	2.3		$	(10.3	)
Net Gain on Cash Flow Hedges
	Net Investment Income
		Gain on Interest Rate Swaps and Forwards	$	14.3		$	13.2
		Loss on Foreign Exchange Contracts	(0.3		)	(0.1		)
	Net Realized Investment Gain (Loss)
		Gain on Interest Rate Swaps	—			3.2
		Loss on Foreign Exchange Contracts	(1.2		)	—
	Interest and Debt Expense
		Loss on Interest Rate Swaps	(0.5		)	(0.5		)
			12.3			15.8
	Income Tax Expense		4.3			5.5
	Total		$	8.0		$	10.3
Unrecognized Pension and Postretirement Benefit Costs
	Other Expenses
		Amortization of Net Actuarial Loss	$	(5.1	)	$	(4.1	)
		Amortization of Prior Service Credit	0.2			0.1
			(4.9		)	(4.0		)
	Income Tax Benefit		(1.7		)	(1.4		)
	Total		$	(3.2	)	$	(2.6	)

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Liability for Unpaid Claims and CAE Liability for Unpaid Claims

3 Months Ended

Mar. 31, 2017

Insurance [Abstract]

Liability for Future Policy Benefits and Unpaid Claims Disclosure

Changes in the liability for unpaid claims and claim adjustment expenses are as follows:

	2017			2016
	(in millions of dollars)
Balance at January 1	$	23,249.5		$	23,796.1
Less Reinsurance Recoverable	2,163.6			2,064.6
Net Balance at January 1	21,085.9			21,731.5
Incurred Related to
Current Year	1,489.8			1,447.6
Prior Years
Interest	295.7			308.3
All Other Incurred	(184.8		)	(176.9		)
Foreign Currency	29.8			(53.4		)
Total Incurred	1,630.5			1,525.6
Paid Related to
Current Year	(283.9		)	(270.7		)
Prior Years	(1,369.3		)	(1,385.3		)
Total Paid	(1,653.2		)	(1,656.0		)
Net Balance at March 31	21,063.2			21,601.1
Plus Reinsurance Recoverable	2,139.1			2,077.0
Balance at March 31	$	23,202.3		$	23,678.1

The majority of the net balances are related to disability claims with long-tail payouts on which interest earned on assets backing liabilities is an integral part of pricing and reserving. Interest accrued on prior year reserves has been calculated on the opening reserve balance less one-half of the period's cash payments at our average reserve discount rate for the respective periods.

"Incurred Related to Prior Years - All Other Incurred" shown in the preceding chart is primarily impacted by the level of claim resolutions in the period relative to the long-term expectations reflected in the reserves. Our claim resolution rate assumption used in determining reserves is our expectation of the resolution rate we will experience over the life of the block of business and will vary from actual experience in any one period, both favorably and unfavorably.

Reconciliation

A reconciliation of policy and contract benefits and reserves for future policy and contract benefits as reported in our consolidated balance sheets to the liability for unpaid claims and claim adjustment expenses is as follows:

	March 31
	2017		2016
	(in millions of dollars)
Policy and Contract Benefits	$	1,544.8	$	1,462.2
Reserves for Future Policy and Contract Benefits	44,502.2		44,446.6
Total	46,047.0		45,908.8
Less:
Life Reserves for Future Policy and Contract Benefits	8,105.7		7,959.9
Accident and Health Active Life Reserves	10,271.7		9,804.3
Adjustment Related to Unrealized Investment Gains and Losses	4,467.3		4,466.5
Liability for Unpaid Claims and Claim Adjustment Expenses	$	23,202.3	$	23,678.1

The adjustment related to unrealized investment gains and losses reflects the changes that would be necessary to policyholder liabilities if the unrealized investment gains and losses related to the corresponding available-for-sale securities had been realized. Changes in this adjustment are reported as a component of other comprehensive income or loss.

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Segment Information

3 Months Ended

Mar. 31, 2017

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
	2017		2016
	(in millions of dollars)
Premium Income
Unum US
Group Disability
Group Long-term Disability	$	434.4	$	430.6
Group Short-term Disability	157.9		157.5
Group Life and Accidental Death & Dismemberment
Group Life	367.8		351.5
Accidental Death & Dismemberment	36.6		34.6
Supplemental and Voluntary
Individual Disability	107.0		123.9
Voluntary Benefits	215.2		203.2
Dental and Vision	41.5		—
	1,360.4		1,301.3
Unum UK
Group Long-term Disability	80.8		93.1
Group Life	24.8		28.7
Supplemental	15.7		17.5
	121.3		139.3
Colonial Life
Accident, Sickness, and Disability	219.1		205.6
Life	74.2		67.7
Cancer and Critical Illness	81.0		77.9
	374.3		351.2
Closed Block
Individual Disability	121.3		133.6
Long-term Care	163.1		161.7
All Other	2.5		0.4
	286.9		295.7
Total Premium Income	$	2,142.9	$	2,087.5

	Unum US		Unum UK		Colonial Life		Closed Block		Corporate			Total
	(in millions of dollars)
Three Months Ended March 31, 2017
Premium Income	$	1,360.4	$	121.3	$	374.3	$	286.9	$	—		$	2,142.9
Net Investment Income	202.5		26.6		35.1		335.3		2.9			602.4
Other Income	28.7		—		0.3		20.8		0.4			50.2
Operating Revenue	$	1,591.6	$	147.9	$	409.7	$	643.0	$	3.3		$	2,795.5
Operating Income (Loss)	$	239.1	$	26.6	$	82.4	$	31.6	$	(39.8	)	$	339.9
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	$	(35.9	)	$	324.7

	March 31		December 31
	2017		2016
	(in millions of dollars)
Assets
Unum US	$	18,111.9	$	18,036.6
Unum UK	3,208.9		3,101.4
Colonial Life	3,976.8		3,923.2
Closed Block	33,882.2		33,734.3
Corporate	3,344.9		3,146.0
Total Assets	$	62,524.7	$	61,941.5

We measure and analyze our segment performance on the basis of "operating revenue" and "operating income" or "operating loss", which 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 certain other items 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. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for total revenue, income before income tax, or net income. 

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.

We previously excluded the amortization of prior period actuarial gains or losses, a component of the net periodic benefit cost for our pension and other postretirement benefit plans. Effective January 1, 2017, the amortization of prior period actuarial gains or losses is now reported as a component of "operating income" in the following chart. Amounts for periods prior to January, 1, 2017 have been adjusted to conform to current year reporting.

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. See Note 11 for further discussion regarding the loss from a guaranty fund assessment.

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

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Total Revenue	$	2,806.5		$	2,725.4
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Operating Revenue	$	2,795.5		$	2,745.9
Income Before Income Tax	$	330.3		$	304.2
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Loss from Guaranty Fund Assessment	(20.6		)	—
Operating Income	$	339.9		$	324.7

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Employee Benefit Plans

3 Months Ended

Mar. 31, 2017

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Employee Benefit Plans

Employee Benefit Plans

Defined Benefit Pension and Other Postretirement Benefit (OPEB) Plans

We sponsor several defined benefit pension and OPEB plans for our employees, including non-qualified pension plans. The U.S. qualified and non-qualified defined benefit pension plans comprise the majority of our total benefit obligation and benefit cost. We maintain a separate defined benefit plan for eligible employees in our U.K. operation. The U.S. defined benefit pension plans were closed to new entrants on December 31, 2013, the OPEB plan was closed to new entrants on December 31, 2012, and the U.K. plan was closed to new entrants on December 31, 2002.

The following table provides the components of the net periodic benefit cost (credit) for the defined benefit pension and OPEB plans.

	Three Months Ended March 31
	Pension Benefits
	U.S. Plans						U.K. Plan						OPEB
	2017			2016			2017			2016			2017			2016
	(in millions of dollars)
Service Cost	$	2.0		$	1.7		$	—		$	—		$	—		$	—
Interest Cost	21.1			21.3			1.5			1.9			1.5			1.8
Expected Return on Plan Assets	(25.8		)	(25.7		)	(2.0		)	(2.7		)	(0.2		)	(0.2		)
Amortization of:
Net Actuarial Loss	4.9			4.1			0.2			—			—			—
Prior Service Credit	(0.1		)	(0.1		)	—			—			(0.1		)	—
Total	$	2.1		$	1.3		$	(0.3	)	$	(0.8	)	$	1.2		$	1.6

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Stockholders' Equity and Earnings Per Common Share

3 Months Ended

Mar. 31, 2017

Stockholders' Equity and Earnings Per Common Share [Abstract]

Earnings Per Share Disclosure

Earnings Per Common Share

Net income per common share is determined as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars, except share data)
Numerator
Net Income	$	229.9	$	210.6
Denominator (000s)
Weighted Average Common Shares - Basic	229,429.6		239,619.4
Dilution for Assumed Exercises of Stock Options and Nonvested Stock Awards	949.2		311.0
Weighted Average Common Shares - Assuming Dilution	230,378.8		239,930.4
Net Income Per Common Share
Basic	$	1.00	$	0.88
Assuming Dilution	$	1.00	$	0.88

We use the treasury stock method to account for the effect of outstanding stock options, nonvested restricted stock units, and nonvested performance share units on the computation of diluted earnings per share. Under this method, these potential common shares will each have a dilutive effect, as individually measured, when the average market price of Unum Group common stock during the period exceeds the exercise price of the stock options and the grant price of the nonvested restricted stock units and the nonvested performance share units. The outstanding stock options have exercise prices ranging from $20.78 to $26.29. Both the nonvested restricted stock units and nonvested performance share units have grant prices ranging from $27.85 to $49.86.

In computing earnings per share assuming dilution, only potential common shares that are dilutive (those that reduce earnings per share) are included. For the three months ended March 31, 2017 and 2016, there were approximately 0.4 million and 0.5 million potential common shares, respectively, that were excluded in the computation of diluted earnings per share because the impact would be antidilutive, based on then current market prices.

Stockholders' Equity Disclosure

Common Stock

During the second quarter of 2016, our board of directors authorized the repurchase of up to $750.0 million of Unum Group's outstanding common stock through November 26, 2017. This authorization replaced the previous authorization of $750.0 million that was scheduled to expire on November 21, 2016. The remaining repurchase amount under the new program was $395.5 million at March 31, 2017.

Common stock repurchases, which are accounted for using the cost method and classified as treasury stock until otherwise retired, were as follows:

	Three Months Ended March 31
	2017		2016
	(in millions)
Shares Repurchased	2.1		3.7
Cost of Shares Repurchased (1)	$	100.0	$	100.0

(1) Includes commissions of a de minimis amount for each of the three month periods ended March 31, 2017 and 2016.

Preferred Stock

Unum Group has 25.0 million shares of preferred stock authorized with a par value of $0.10 per share. No preferred stock has been issued to date.

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Commitments and Contingent Liabilities

3 Months Ended

Mar. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure

Contingent Liabilities

We are a defendant in a number of litigation matters. In some of these matters, no specified amount is sought. In others, very large or indeterminate amounts, including punitive and treble damages, are asserted. There is a wide variation of pleading practice permitted in the United States courts with respect to requests for monetary damages, including some courts in which no specified amount is required and others which allow the plaintiff to state only that the amount sought is sufficient to invoke the jurisdiction of that court. Further, some jurisdictions permit plaintiffs to allege damages well in excess of reasonably possible verdicts. Based on our extensive experience and that of others in the industry with respect to litigating or resolving claims through settlement over an extended period of time, we believe that the monetary damages asserted in a lawsuit or claim bear little relation to the merits of the case, or the likely disposition value. Therefore, the specific monetary relief sought is not stated.

Unless indicated otherwise in the descriptions below, reserves have not been established for litigation and contingencies. An estimated loss is accrued when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated.

Claims Handling Matters

We and our insurance subsidiaries, in the ordinary course of our business, are engaged in claim litigation where disputes arise as a result of a denial or termination of benefits. Most typically these lawsuits are filed on behalf of a single claimant or policyholder, and in some of these individual actions punitive damages are sought, such as claims alleging bad faith in the handling of insurance claims. For our general claim litigation, we maintain reserves based on experience to satisfy judgments and settlements in the normal course. We expect that the ultimate liability, if any, with respect to general claim litigation, after consideration of the reserves maintained, will not be material to our consolidated financial condition. Nevertheless, given the inherent unpredictability of litigation, it is possible that an adverse outcome in certain claim litigation involving punitive damages could, from time to time, have a material adverse effect on our consolidated results of operations in a period, depending on the results of operations for the particular period.

From time to time class action allegations are pursued where the claimant or policyholder purports to represent a larger number of individuals who are similarly situated. Since each insurance claim is evaluated based on its own merits, there is rarely a single act or series of actions which can properly be addressed by a class action. Nevertheless, we monitor these cases closely and defend ourselves appropriately where these allegations are made.

Miscellaneous Matters

Beginning in 2011, a number of state regulators began requiring insurers to cross-check specified insurance policies with the Social Security Administration’s Death Master File to identify potential matches. If a potential match was identified, insurers were requested to determine if benefits were due, locate beneficiaries, and make payments where appropriate. We initiated this process where requested, and in 2012 we began implementing this process in all states on a forward-looking basis. In addition to implementing this on a forward-looking basis, in 2013 we began an initiative to search for potential claims from previous years. During 2013, we completed our assessment of benefits which we estimate will be paid under this initiative, and as such, established additional reserves for payment of these benefits. Similar to other insurers, we are undergoing an examination by a third party acting on behalf of a number of state treasurers concerning our compliance with the unclaimed property laws of the participating states. We are cooperating fully with this examination, as well as with a Delaware Market Conduct examination involving the same issue. The legal and regulatory environment around unclaimed death benefits continues to evolve. It is possible that the current examination and/or similar investigations by other state jurisdictions may result in additional payments to beneficiaries, the payment of abandoned funds under state law, and/or administrative penalties, the total of which may be in excess of the reserves established.

In December 2012, State of West Virginia ex rel. John D. Perdue v. Provident Life and Accident Insurance Company and State of West Virginia ex rel. John D. Perdue v. Colonial Life & Accident Insurance Company were filed in the Circuit Court of Putnam County, West Virginia. These two separate complaints alleged violations of the West Virginia Uniform Unclaimed Property Act by failing to identify and report all unclaimed insurance policy proceeds due to be escheated to West Virginia.  The complaints sought to examine company records and assess penalties and costs in an undetermined amount. In December 2013, the court dismissed both complaints, holding that the West Virginia Uniform Unclaimed Property Act does not require insurance companies to periodically search the Social Security Administrations' Death Master File or escheat unclaimed life insurance benefits until a claim has been submitted. In January 2014, the plaintiff appealed the dismissal of both complaints. In June 2015, the appellate court reinstated the case, holding that the West Virginia Uniform Unclaimed Property Act requires insurers to make reasonable efforts to determine whether their insureds are still living. The case was remanded to the trial court where we answered the complaints. In 2016, the West Virginia Legislature enacted a law defining insurers’ duties with regard to unclaimed benefits for life insurance policies, annuity contracts, and retained asset accounts issued in West Virginia. In December 2016, we filed a motion to dismiss the complaints in light of this law. We are awaiting the court’s ruling on this motion.

In 2009, a Pennsylvania-based insurance company and its affiliates were ordered into rehabilitation, and the Pennsylvania Insurance Commissioner, who was appointed as the Rehabilitator, filed petitions for liquidation with the Commonwealth Court of Pennsylvania. Under Pennsylvania law, payment of covered claims and other related insurance obligations are provided, within prescribed limits, by state guaranty associations. These guaranty associations assess fees to meet these obligations on insurance companies that sell insurance within the state, which are generally based on a company's pro rata portion of average premiums written or received for several years prior to the insolvency. Under Pennsylvania statutes, an insurer is declared insolvent only after it is placed under an order of liquidation by a court of competent jurisdiction with a finding for insolvency. In March 2017, a formal order of liquidation was issued, and as such, we were subject to an assessment by those guaranty associations that are responsible for policyholder claims, and accordingly accrued an estimated loss contingency of $13.4 million. This amount is net of expected recoverable premium tax offsets of $44.0 million and net of income tax of $7.2 million.

Summary

Various lawsuits against us, in addition to those discussed above, have arisen in the normal course of business. Further, state insurance regulatory authorities and other federal and state authorities regularly make inquiries and conduct investigations concerning our compliance with applicable insurance and other laws and regulations.

Given the complexity and scope of our litigation and regulatory matters, it is not possible to predict the ultimate outcome of all pending investigations or legal proceedings or provide reasonable estimates of potential losses, except if noted in connection with specific matters. It is possible that our results of operations or cash flows in a particular period could be materially affected by an ultimate unfavorable outcome of pending litigation or regulatory matters depending, in part, on our results of operations or cash flows for the particular period. We believe, however, that the ultimate outcome of all pending litigation and regulatory matters, after consideration of applicable reserves and rights to indemnification, should not have a material adverse effect on our financial position.

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Debt

3 Months Ended

Mar. 31, 2017

Debt and Other Disclosures [Abstract]

Debt Disclosure

Debt

During the three months ended March 31, 2017, we made principal payments of $15.0 million on our senior secured non-recourse notes issued by Northwind Holdings, LLC.

At March 31, 2017, letters of credit totaling $2.1 millionhad been issued from the credit facility, but there werenoborrowed amounts outstanding.

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Basis of Presentation (Policies)

3 Months Ended

Mar. 31, 2017

Accounting Policies [Abstract]

Basis of Accounting

The accompanying consolidated financial statements of Unum Group and its subsidiaries (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. For further information, refer to the consolidated financial statements and footnotes included in our annual report on Form 10-K for the year ended December 31, 2016.

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Fair Values of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Carrying Amount and Fair Value of Financial Instruments

Presented as follows are the carrying amounts and fair values of financial instruments. The carrying values of financial instruments such as short-term investments, cash and bank deposits, accounts and premiums receivable, accrued investment income, and securities lending agreements approximate fair value due to the short-term nature of the instruments. As such, these financial instruments are not included in the following chart.

	March 31, 2017				December 31, 2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(in millions of dollars)
Assets
Fixed Maturity Securities	$	44,623.2	$	44,623.2	$	44,217.3	$	44,217.3
Mortgage Loans	2,068.4		2,162.4		2,038.9		2,122.2
Policy Loans	3,447.4		3,548.2		3,463.2		3,564.2
Other Long-term Investments
Derivatives	29.3		29.3		32.7		32.7
Equity Securities	1.2		1.2		1.2		1.2
Miscellaneous Long-term Investments	559.3		559.3		541.9		541.9
Liabilities
Policyholders' Funds
Deferred Annuity Products	$	594.5	$	594.5	$	597.4	$	597.4
Supplementary Contracts without Life Contingencies	610.9		610.9		608.8		608.8
Long-term Debt	2,984.6		3,222.7		2,999.4		3,175.8
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0		350.0		350.0		350.0
Other Liabilities
Derivatives	53.0		53.0		52.8		52.8
Embedded Derivative in Modified Coinsurance Arrangement	38.1		38.1		46.7		46.7
Unfunded Commitments to Investment Partnerships	4.7		4.7		5.0		5.0

Fair Values by Fair Value Heirarchy Input Level

Fair value measurements by input level for financial instruments carried at fair value are as follows:

	March 31, 2017
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	330.9	$	1,085.4	$	—	$	1,416.3
States, Municipalities, and Political Subdivisions	—		2,173.5		0.4		2,173.9
Foreign Governments	—		917.8		—		917.8
Public Utilities	1,160.1		6,614.4		312.5		8,087.0
Mortgage/Asset-Backed Securities	—		2,155.4		—		2,155.4
All Other Corporate Bonds	9,356.5		19,551.6		923.0		29,831.1
Redeemable Preferred Stocks	—		18.8		22.9		41.7
Total Fixed Maturity Securities	10,847.5		32,516.9		1,258.8		44,623.2
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		29.3		—		29.3
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	6.9	$	—	$	6.9
Foreign Exchange Contracts	—		45.5		—		45.5
Credit Default Swaps	—		0.6		—		0.6
Embedded Derivative in Modified Coinsurance Arrangement	—		—		38.1		38.1
Total Derivatives	—		53.0		38.1		91.1

	December 31, 2016
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
	(in millions of dollars)
Assets
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	454.2	$	928.2	$	—	$	1,382.4
States, Municipalities, and Political Subdivisions	—		2,068.5		89.5		2,158.0
Foreign Governments	—		914.7		—		914.7
Public Utilities	108.5		7,648.9		265.3		8,022.7
Mortgage/Asset-Backed Securities	—		2,230.4		—		2,230.4
All Other Corporate Bonds	3,507.1		24,500.4		1,459.7		29,467.2
Redeemable Preferred Stocks	—		18.7		23.2		41.9
Total Fixed Maturity Securities	4,069.8		38,309.8		1,837.7		44,217.3
Other Long-term Investments
Derivatives
Foreign Exchange Contracts	—		32.7		—		32.7
Equity Securities	—		—		1.2		1.2
Liabilities
Other Liabilities
Derivatives
Interest Rate Swaps	$	—	$	7.6	$	—	$	7.6
Foreign Exchange Contracts	—		44.8		—		44.8
Credit Default Swaps	—		0.4		—		0.4
Embedded Derivative in Modified Coinsurance Arrangement	—		—		46.7		46.7
Total Derivatives	—		52.8		46.7		99.5

Transfers of Assets between Level 1 and Level 2

Transfers of assets between Level 1 and Level 2 are as follows:

	Three Months Ended March 31
	2017				2016
	Transfers into
	Level 1 from Level 2		Level 2 from Level 1		Level 1 from Level 2		Level 2 from Level 1
	(in millions of dollars)
Fixed Maturity Securities
United States Government and Government Agencies and Authorities	$	54.5	$	180.0	$	423.8	$	—
Public Utilities	1,103.9		57.5		511.6		43.0
All Other Corporate Bonds	6,317.0		1,075.3		5,352.0		786.4
Total Fixed Maturity Securities	$	7,475.4	$	1,312.8	$	6,287.4	$	829.4

Changes in Assets and Liabilities Measured at Fair Value on a Recurring Basis using Significant Unobservable Inputs

Changes in assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) are as follows:

	Three Months Ended March 31, 2017
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	89.5		$	—		$	—		$	—	$	—		$	0.4	$	(89.5	)	$	0.4
Public Utilities	265.3			—			1.8			8.0		—			112.6		(75.2		)	312.5
All Other Corporate Bonds	1,459.7			—			13.1			—		(36.4		)	143.9		(657.3		)	923.0
Redeemable Preferred Stocks	23.2			—			(0.3		)	—		—			—		—			22.9
Total Fixed Maturity Securities	1,837.7			—			14.6			8.0		(36.4		)	256.9		(822.0		)	1,258.8
Equity Securities	1.2			—			—			—		—			—		—			1.2
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	8.6			—			—		—			—		—			(38.1		)
	Three Months Ended March 31, 2016
				Total Realized and Unrealized Investment Gains (Losses) Included in
	Beginning of Period			Earnings			Other Comprehensive Income or Loss			Purchases		Sales			Level 3 Transfers					End of Period
															Into		Out of
	(in millions of dollars)
Fixed Maturity Securities
States, Municipalities, and Political Subdivisions	$	122.2		$	—		$	0.6		$	—	$	—		$	—	$	(34.1	)	$	88.7
Foreign Governments	52.9			—			1.0			—		—			—		—			53.9
Public Utilities	274.1			—			4.2			—		—			94.5		(102.6		)	270.2
All Other Corporate Bonds	1,408.2			(1.6		)	15.6			—		(28.0		)	282.6		(602.1		)	1,074.7
Redeemable Preferred Stocks	23.8			—			(0.4		)	—		—			—		—			23.4
Total Fixed Maturity Securities	1,881.2			(1.6		)	21.0			—		(28.0		)	377.1		(738.8		)	1,510.9
Equity Securities	1.4			—			—			—		—			—		(0.2		)	1.2
Embedded Derivative in Modified Coinsurance Arrangement	(87.6		)	(5.6		)	—			—		—			—		—			(93.2		)

Realized and unrealized investment gains and losses presented in the preceding tables represent gains and losses only for the time during which the applicable financial instruments were classified as Level 3. The transfers between levels resulted primarily from a change in observability of three inputs used to determine fair values of the securities transferred: (1) transactional data for new issuance and secondary trades, (2) broker/dealer quotes and pricing, primarily related to changes in the level of activity in the market and whether the market was considered orderly, and (3) comparable bond metrics from which to perform an analysis. For fair value measurements of financial instruments that were transferred either into or out of Level 3, we reflect the transfers using the fair value at the beginning of the period. We believe this allows for greater transparency, as all changes in fair value that arise during the reporting period of the transfer are disclosed as a component of our Level 3 reconciliation. Gains (losses) which are included in earnings and are attributable to the change in fair value of assets or liabilities valued using significant unobservable inputs and still held at period end were $8.6 million and $(5.6) million for the three months ended March 31, 2017 and 2016, respectively. These amounts relate entirely to the change in fair value of an embedded derivative in a modified coinsurance arrangement and are reported as a component of realized investment gains and losses.

Quantitative Information Regarding Significant Unobservable Inputs

The table below provides quantitative information regarding the significant unobservable inputs used in Level 3 fair value measurements derived from internal models. Certain securities classified as Level 3 are excluded from the table below due to limitations in our ability to obtain the underlying inputs used by external pricing sources.

	March 31, 2017
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	328.2		Lack of Marketability Volatility of Credit Market Convention	(c) (d) (e)	0.25% - 0.25% / 0.25% 0.20% - 6.04% / 0.74% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(38.1		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

	December 31, 2016
	Fair Value			Unobservable Input		Range/Weighted Average
	(in millions of dollars)
Fixed Maturity Securities
All Other Corporate Bonds - Private	$	310.4		Comparability Adjustment Discount for Size Lack of Marketability Volatility of Credit Market Convention	(a) (b) (c) (d) (e)	0.50% - 0.50% / 0.50% 0.50% - 0.50% / 0.50% 0.20% - 0.25% / 0.23% 0.20% - 6.04% / 0.70% Priced at Par
Equity Securities - Private	1.1			Market Convention	(e)	Priced at Cost or Owner's Equity
Embedded Derivative in Modified Coinsurance Arrangement	(46.7		)	Projected Liability Cash Flows	(f)	Actuarial Assumptions

(a) Represents basis point adjustments for changes in benchmark spreads associated with various industry sectors

(b) Represents basis point adjustments based on issue/issuer size relative to the benchmark

(c) Represents basis point adjustments to apply a discount due to the illiquidity of an investment

(d) Represents basis point adjustments for credit-specific factors

(e) Represents a decision to price based on par value, cost, or owner's equity when limited data is available

(f) Represents various actuarial assumptions required to derive the liability cash flows including incidence, termination, and lapse rates

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Investments (Tables)

3 Months Ended

Mar. 31, 2017

Investments, Debt and Equity Securities [Abstract]

Amortized Cost and Fair Values of Securities by Security Type

At March 31, 2017 and December 31, 2016, all fixed maturity securities were classified as available-for-sale. The amortized cost and fair values of securities by security type are shown as follows:

	March 31, 2017
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,237.2	$	182.7	$	3.6	$	1,416.3
States, Municipalities, and Political Subdivisions	1,877.3		299.7		3.1		2,173.9
Foreign Governments	713.3		204.5		—		917.8
Public Utilities	6,945.9		1,156.0		14.9		8,087.0
Mortgage/Asset-Backed Securities	2,041.1		124.4		10.1		2,155.4
All Other Corporate Bonds	26,843.8		3,117.0		129.7		29,831.1
Redeemable Preferred Stocks	39.0		2.9		0.2		41.7
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	161.6	$	44,623.2

	December 31, 2016
	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1,202.8	$	183.1	$	3.5	$	1,382.4
States, Municipalities, and Political Subdivisions	1,868.0		294.8		4.8		2,158.0
Foreign Governments	714.8		199.9		—		914.7
Public Utilities	6,916.1		1,123.5		16.9		8,022.7
Mortgage/Asset-Backed Securities	2,104.9		134.7		9.2		2,230.4
All Other Corporate Bonds	26,707.1		2,944.0		183.9		29,467.2
Redeemable Preferred Stocks	39.0		3.2		0.3		41.9
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	218.6	$	44,217.3

Length of Time Fixed Maturity Securities had been in a Gross Unrealized Loss Position

The following charts indicate the length of time our fixed maturity securities have been in a gross unrealized loss position.

	March 31, 2017
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	157.8	$	3.6	$	—	$	—
States, Municipalities, and Political Subdivisions	111.1		3.1		—		—
Public Utilities	260.5		9.9		31.5		5.0
Mortgage/Asset-Backed Securities	499.8		9.7		9.3		0.4
All Other Corporate Bonds	2,811.1		74.9		672.4		54.8
Redeemable Preferred Stocks	7.9		0.1		10.9		0.1
Total Fixed Maturity Securities	$	3,848.2	$	101.3	$	724.1	$	60.3

	December 31, 2016
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	132.8	$	3.5	$	—	$	—
States, Municipalities, and Political Subdivisions	132.2		4.8		—		—
Public Utilities	260.2		15.3		15.6		1.6
Mortgage/Asset-Backed Securities	513.2		9.1		0.8		0.1
All Other Corporate Bonds	3,621.0		122.1		774.7		61.8
Redeemable Preferred Stocks	7.9		0.1		10.8		0.2
Total Fixed Maturity Securities	$	4,667.3	$	154.9	$	801.9	$	63.7

Distribution of the Maturity Dates for Fixed Maturity Securities

The following is a distribution of the maturity dates for fixed maturity securities. The maturity dates have not been adjusted for possible calls or prepayments.

	March 31, 2017
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,339.7	$	27.0	$	1,348.5	$	—	$	18.2
Over 1 year through 5 years	6,121.0		552.4		6,499.1		5.7		168.6
Over 5 years through 10 years	11,177.3		931.0		10,124.5		59.2		1,924.6
Over 10 years	19,018.5		3,452.4		20,432.5		86.6		1,951.8
	37,656.5		4,962.8		38,404.6		151.5		4,063.2
Mortgage/Asset-Backed Securities	2,041.1		124.4		1,646.3		10.1		509.1
Total Fixed Maturity Securities	$	39,697.6	$	5,087.2	$	40,050.9	$	161.6	$	4,572.3

	December 31, 2016
	Total Amortized Cost		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,338.8	$	28.6	$	1,355.6	$	—	$	11.8
Over 1 year through 5 years	6,231.0		553.5		6,605.6		8.2		170.7
Over 5 years through 10 years	10,991.6		843.8		9,336.2		82.8		2,416.4
Over 10 years	18,886.4		3,322.6		19,734.3		118.4		2,356.3
	37,447.8		4,748.5		37,031.7		209.4		4,955.2
Mortgage/Asset-Backed Securities	2,104.9		134.7		1,716.4		9.2		514.0
Total Fixed Maturity Securities	$	39,552.7	$	4,883.2	$	38,748.1	$	218.6	$	5,469.2

Low Income Housing Tax Credits

The Company invests in tax credit partnerships primarily for the receipt of income tax credits and tax benefits derived from passive losses on the investments. Amounts recognized in the consolidated statements of income are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Income Tax Credits	$	10.4		$	10.5
Amortization, net of tax	(5.8		)	(5.8		)
Income Tax Benefit	$	4.6		$	4.7

Mortgage Loans by Property Type and Geographic Region

Mortgage loans by property type and geographic region are presented below.

	March 31, 2017				December 31, 2016
	(in millions of dollars)
	Carrying		Percent of		Carrying		Percent of
	Amount		Total		Amount		Total
Property Type
Apartment	$	291.8	14.1	%	$	288.4	14.1	%
Industrial	580.8		28.1		573.6		28.1
Office	712.7		34.4		700.1		34.4
Retail	450.4		21.8		455.4		22.4
Other	32.7		1.6		21.4		1.0
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

Region
New England	$	71.8	3.5	%	$	72.7	3.6	%
Mid-Atlantic	120.1		5.8		125.3		6.1
East North Central	233.4		11.3		230.1		11.3
West North Central	179.1		8.6		172.0		8.4
South Atlantic	440.8		21.3		438.3		21.5
East South Central	90.9		4.4		91.6		4.5
West South Central	262.2		12.7		268.7		13.2
Mountain	235.3		11.4		214.1		10.5
Pacific	434.8		21.0		426.1		20.9
Total	$	2,068.4	100.0	%	$	2,038.9	100.0	%

Mortgage Loans by Credit Quality Indicators

Mortgage loans, sorted by the applicable credit quality indicators, are as follows:

	March 31 2017		December 31 2016
	(in millions of dollars)
Internal Rating
Aa	$	0.6	$	0.7
A	492.1		488.2
Baa	1,532.6		1,506.6
Ba	43.1		43.4
Total	$	2,068.4	$	2,038.9

Loan-to-Value Ratio
<= 65%	$	922.9	$	917.9
> 65% <= 75%	1,036.9		1,011.5
> 75% <= 85%	50.3		50.8
> 85%	58.3		58.7
Total	$	2,068.4	$	2,038.9

Remaining Contractual Maturity of Securities Lending Agreements

The remaining contractual maturities of our securities lending agreements disaggregated by class of collateral pledged are as follows:

	March 31, 2017		December 31, 2016
	Overnight and Continuous
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	1.1	$	0.1
Public Utilities	0.3		0.1
All Other Corporate Bonds	23.7		29.7
Total Borrowings	25.1		29.9
Gross Amount of Recognized Liability for Securities Lending Transactions	25.1		29.9
Amounts Related to Agreements Not Included in Offsetting Disclosure Contained Herein	$	—	$	—

Schedule of Financial Instrument and Derivative Offsetting

Shown below are our financial instruments that either meet the accounting requirements that allow them to be offset in our balance sheets or that are subject to an enforceable master netting arrangement or similar agreement. Our accounting policy is to not offset these financial instruments in our balance sheets. Net amounts disclosed below have been reduced by the amount of collateral pledged to or received from our counterparties.

	March 31, 2017
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	29.3	$	—	$	29.3	$	(7.0	)	$	(22.3	)	$	—
Securities Lending	169.0		—		169.0		(143.9		)	(25.1		)	—
Total	$	198.3	$	—	$	198.3	$	(150.9	)	$	(47.4	)	$	—
Financial Liabilities:
Derivatives	$	53.0	$	—	$	53.0	$	(42.4	)	$	—		$	10.6
Securities Lending	25.1		—		25.1		(25.1		)	—			—
Total	$	78.1	$	—	$	78.1	$	(67.5	)	$	—		$	10.6

	December 31, 2016
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial			Cash			Net
	Instruments		Balance Sheet		Balance Sheet		Instruments			Collateral			Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	32.7	$	—	$	32.7	$	(7.3	)	$	(25.4	)	$	—
Securities Lending	178.5		—		178.5		(148.6		)	(29.9		)	—
Total	$	211.2	$	—	$	211.2	$	(155.9	)	$	(55.3	)	$	—
Financial Liabilities:
Derivatives	$	52.8	$	—	$	52.8	$	(37.6	)	$	—		$	15.2
Securities Lending	29.9		—		29.9		(29.9		)	—			—
Total	$	82.7	$	—	$	82.7	$	(67.5	)	$	—		$	15.2

Net Investment Income

Net Investment Income

Net investment income reported in our consolidated statements of income is as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars)
Fixed Maturity Securities	$	563.7	$	563.8
Derivatives	13.4		11.9
Mortgage Loans	25.4		26.9
Policy Loans	4.3		4.1
Other Long-term Investments	6.1		10.0
Short-term Investments	1.9		1.5
Gross Investment Income	614.8		618.2
Less Investment Expenses	8.8		8.2
Less Investment Income on Participation Fund Account Assets	3.6		3.6
Net Investment Income	$	602.4	$	606.4

Realized Investment Gains and Losses Reported in Consolidated Statements of Income

Realized Investment Gain and Loss

Realized investment gains and losses are as follows:

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Fixed Maturity Securities
Gross Gains on Sales	$	2.4		$	16.9
Gross Losses on Sales	(1.1		)	(9.6		)
Other-Than-Temporary Impairment Loss	—			(21.1		)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales	0.7			1.8
Gross Losses on Sales	(0.2		)	(0.3		)
Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
All Other Derivatives	(0.2		)	(2.5		)
Foreign Currency Transactions	0.8			(0.1		)
Net Realized Investment Gain (Loss)	$	11.0		$	(20.5	)

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Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2017

Notes to Financial Statements [Abstract]

Notional Amounts for Each Category of Derivative Activity

The table below summarizes, by notional amounts, the activity for each category of derivatives. The notional amounts represent the basis upon which our counterparty pay and receive amounts are calculated.

	Swaps
	Receive Variable/Pay Fixed		Receive Fixed/Pay Fixed		Receive Fixed/Pay Variable		Credit Default		Forwards		Total
	(in millions of dollars)
Balance at December 31, 2015	$	150.0	$	650.3	$	600.0	$	70.0	$	—	$	1,470.3
Additions	—		—		—		—		—		—
Terminations	24.0		—		—		—		—		24.0
Balance at March 31, 2016	$	126.0	$	650.3	$	600.0	$	70.0	$	—	$	1,446.3
Balance at December 31, 2016	$	105.5	$	616.5	$	250.0	$	70.0	$	10.0	$	1,052.0
Additions	—		—		—		—		—		—
Terminations	0.1		20.3		—		—		10.0		30.4
Balance at March 31, 2017	$	105.4	$	596.2	$	250.0	$	70.0	$	—	$	1,021.6

Location and Fair Values of Derivative Financial Instruments

The following tables summarize the location and fair values of derivative financial instruments, as reported in our consolidated balance sheets.

	March 31, 2017
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps	Other L-T Investments	$	—	Other Liabilities	$	6.3
Foreign Exchange Contracts	Other L-T Investments	29.3		Other Liabilities	14.3
Total		$	29.3		$	20.6
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.6
Interest Rate Swaps				Other Liabilities	0.6
Foreign Exchange Contracts				Other Liabilities	31.2
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	38.1
Total					$	70.5

	December 31, 2016
	Asset Derivatives			Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in millions of dollars)
Designated as Hedging Instruments
Interest Rate Swaps and Forwards	Other L-T Investments	$	—	Other Liabilities	$	6.9
Foreign Exchange Contracts	Other L-T Investments	32.7		Other Liabilities	13.4
Total		$	32.7		$	20.3
Not Designated as Hedging Instruments
Credit Default Swaps				Other Liabilities	$	0.4
Interest Rate Swaps				Other Liabilities	0.7
Foreign Exchange Contracts				Other Liabilities	31.4
Embedded Derivative in Modified Coinsurance Arrangement				Other Liabilities	46.7
Total					$	79.2

Location of Gains and Losses on Derivative Instruments Designated as Cash Flow Hedging Instruments

The following table summarizes the location of gains and losses on the effective portion of derivative financial instruments designated as cash flow hedging instruments, as reported in our consolidated statements of income and consolidated statements of comprehensive income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivatives
Foreign Exchange Contracts		$	(4.5	)	$	(24.3	)
Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income
Net Investment Income
	Interest Rate Swaps and Forwards	$	14.3		$	13.2
	Foreign Exchange Contracts	(0.3		)	(0.1		)
Net Realized Investment Gain (Loss)
	Interest Rate Swaps	—			3.2
	Foreign Exchange Contracts	(1.2		)	—
Interest and Debt Expense
	Interest Rate Swaps	(0.5		)	(0.5		)
	Total	$	12.3		$	15.8

Gains and Losses on Derivatives Not Designated as Hedging Instruments

The following table summarizes the location of gains and losses on our derivatives not designated as hedging instruments, as reported in our consolidated statements of income.

		Three Months Ended March 31
		2017			2016
		(in millions of dollars)
Net Realized Investment Gain (Loss)
	Credit Default Swaps	$	(0.3	)	$	—
	Foreign Exchange Contracts	0.2			(1.3		)
	Embedded Derivative in Modified Coinsurance Arrangement	8.6			(5.6		)
	Total	$	8.5		$	(6.9	)

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Accumulated Other Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2017

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

Components of our accumulated other comprehensive income (loss), after tax, and related changes are as follows:

		Net Unrealized Gain on Securities			Net Gain on Cash Flow Hedges			Foreign Currency Translation Adjustment			Unrecognized Pension and Postretirement Benefit Costs			Total
		(in millions of dollars)
Balance at December 31, 2016		$	440.6		$	327.5		$	(354.0	)	$	(465.1	)	$	(51.0	)
	Other Comprehensive Income (Loss) Before Reclassifications	44.7			(2.7		)	17.1			(0.6		)	58.5
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	(2.3		)	(8.0		)	—			3.2			(7.1		)
	Net Other Comprehensive Income (Loss)	42.4			(10.7		)	17.1			2.6			51.4
Balance at March 31, 2017		$	483.0		$	316.8		$	(336.9	)	$	(462.5	)	$	0.4
Balance at December 31, 2015		$	204.3		$	378.0		$	(173.6	)	$	(392.6	)	$	16.1
	Other Comprehensive Income (Loss) Before Reclassifications	223.8			(15.9		)	(26.4		)	0.5			182.0
	Amounts Reclassified from Accumulated Other Comprehensive Income or Loss	10.3			(10.3		)	—			2.6			2.6
	Net Other Comprehensive Income (Loss)	234.1			(26.2		)	(26.4		)	3.1			184.6
Balance at March 31, 2016		$	438.4		$	351.8		$	(200.0	)	$	(389.5	)	$	200.7

Schedule of Components of Unrealized Gain on Securities

The net unrealized gain on securities consists of the following components:

	March 31			December 31
	2017			2016			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,925.6		$	4,664.6		$	261.0
Other Investments	(17.8		)	(22.7		)	4.9
Deferred Acquisition Costs	(40.9		)	(38.9		)	(2.0		)
Reserves for Future Policy and Contract Benefits	(4,467.3		)	(4,253.2		)	(214.1		)
Reinsurance Recoverable	335.6			321.3			14.3
Income Tax	(252.2		)	(230.5		)	(21.7		)
Total	$	483.0		$	440.6		$	42.4

	March 31			December 31
	2016			2015			Change
	(in millions of dollars)
Fixed Maturity Securities	$	4,894.5		$	3,695.7		$	1,198.8
Other Investments	(18.1		)	(33.7		)	15.6
Deferred Acquisition Costs	(42.0		)	(29.4		)	(12.6		)
Reserves for Future Policy and Contract Benefits	(4,466.5		)	(3,578.4		)	(888.1		)
Reinsurance Recoverable	310.2			263.2			47.0
Income Tax	(239.7		)	(113.1		)	(126.6		)
Total	$	438.4		$	204.3		$	234.1

Schedule of Reclassifications Out of Accumulated Other Comprehensive Income

Amounts reclassified from accumulated other comprehensive income or loss were recognized in our consolidated statements of income as follows:

			Three Months Ended March 31
			2017			2016
			(in millions of dollars)
Net Unrealized Gain on Securities
	Net Realized Investment Gain (Loss)
		Net Gain on Sales of Securities and Other Invested Assets	$	3.4		$	5.6
		Other-Than-Temporary Impairment Loss	—			(21.1		)
			3.4			(15.5		)
	Income Tax Expense (Benefit)		1.1			(5.2		)
	Total		$	2.3		$	(10.3	)
Net Gain on Cash Flow Hedges
	Net Investment Income
		Gain on Interest Rate Swaps and Forwards	$	14.3		$	13.2
		Loss on Foreign Exchange Contracts	(0.3		)	(0.1		)
	Net Realized Investment Gain (Loss)
		Gain on Interest Rate Swaps	—			3.2
		Loss on Foreign Exchange Contracts	(1.2		)	—
	Interest and Debt Expense
		Loss on Interest Rate Swaps	(0.5		)	(0.5		)
			12.3			15.8
	Income Tax Expense		4.3			5.5
	Total		$	8.0		$	10.3
Unrecognized Pension and Postretirement Benefit Costs
	Other Expenses
		Amortization of Net Actuarial Loss	$	(5.1	)	$	(4.1	)
		Amortization of Prior Service Credit	0.2			0.1
			(4.9		)	(4.0		)
	Income Tax Benefit		(1.7		)	(1.4		)
	Total		$	(3.2	)	$	(2.6	)

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Liability for Unpaid Claims and CAE Liability for Unpaid Claims (Tables)

3 Months Ended

Mar. 31, 2017

Insurance [Abstract]

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense

Changes in the liability for unpaid claims and claim adjustment expenses are as follows:

	2017			2016
	(in millions of dollars)
Balance at January 1	$	23,249.5		$	23,796.1
Less Reinsurance Recoverable	2,163.6			2,064.6
Net Balance at January 1	21,085.9			21,731.5
Incurred Related to
Current Year	1,489.8			1,447.6
Prior Years
Interest	295.7			308.3
All Other Incurred	(184.8		)	(176.9		)
Foreign Currency	29.8			(53.4		)
Total Incurred	1,630.5			1,525.6
Paid Related to
Current Year	(283.9		)	(270.7		)
Prior Years	(1,369.3		)	(1,385.3		)
Total Paid	(1,653.2		)	(1,656.0		)
Net Balance at March 31	21,063.2			21,601.1
Plus Reinsurance Recoverable	2,139.1			2,077.0
Balance at March 31	$	23,202.3		$	23,678.1

Reconciliation of Policy and Contract Benefits and Reserves for Future Policy and Contract Benefits to Balance Sheet Amounts

A reconciliation of policy and contract benefits and reserves for future policy and contract benefits as reported in our consolidated balance sheets to the liability for unpaid claims and claim adjustment expenses is as follows:

	March 31
	2017		2016
	(in millions of dollars)
Policy and Contract Benefits	$	1,544.8	$	1,462.2
Reserves for Future Policy and Contract Benefits	44,502.2		44,446.6
Total	46,047.0		45,908.8
Less:
Life Reserves for Future Policy and Contract Benefits	8,105.7		7,959.9
Accident and Health Active Life Reserves	10,271.7		9,804.3
Adjustment Related to Unrealized Investment Gains and Losses	4,467.3		4,466.5
Liability for Unpaid Claims and Claim Adjustment Expenses	$	23,202.3	$	23,678.1

The adjustment related to unrealized investment gains and losses reflects the changes that would be necessary to policyholder liabilities if the unrealized investment gains and losses related to the corresponding available-for-sale securities had been realized. Changes in this adjustment are reported as a component of other comprehensive income or loss.

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Segment Information (Tables)

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

Premium Income by Major Line of Business within Each Segment

Segment information is as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars)
Premium Income
Unum US
Group Disability
Group Long-term Disability	$	434.4	$	430.6
Group Short-term Disability	157.9		157.5
Group Life and Accidental Death & Dismemberment
Group Life	367.8		351.5
Accidental Death & Dismemberment	36.6		34.6
Supplemental and Voluntary
Individual Disability	107.0		123.9
Voluntary Benefits	215.2		203.2
Dental and Vision	41.5		—
	1,360.4		1,301.3
Unum UK
Group Long-term Disability	80.8		93.1
Group Life	24.8		28.7
Supplemental	15.7		17.5
	121.3		139.3
Colonial Life
Accident, Sickness, and Disability	219.1		205.6
Life	74.2		67.7
Cancer and Critical Illness	81.0		77.9
	374.3		351.2
Closed Block
Individual Disability	121.3		133.6
Long-term Care	163.1		161.7
All Other	2.5		0.4
	286.9		295.7
Total Premium Income	$	2,142.9	$	2,087.5

Selected Operating Statement Data by Segment

	Unum US		Unum UK		Colonial Life		Closed Block		Corporate			Total
	(in millions of dollars)
Three Months Ended March 31, 2017
Premium Income	$	1,360.4	$	121.3	$	374.3	$	286.9	$	—		$	2,142.9
Net Investment Income	202.5		26.6		35.1		335.3		2.9			602.4
Other Income	28.7		—		0.3		20.8		0.4			50.2
Operating Revenue	$	1,591.6	$	147.9	$	409.7	$	643.0	$	3.3		$	2,795.5
Operating Income (Loss)	$	239.1	$	26.6	$	82.4	$	31.6	$	(39.8	)	$	339.9
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	$	(35.9	)	$	324.7

Assets by Segment

	March 31		December 31
	2017		2016
	(in millions of dollars)
Assets
Unum US	$	18,111.9	$	18,036.6
Unum UK	3,208.9		3,101.4
Colonial Life	3,976.8		3,923.2
Closed Block	33,882.2		33,734.3
Corporate	3,344.9		3,146.0
Total Assets	$	62,524.7	$	61,941.5

Reconciliation of Operating Revenue and Operating Income by Segment to Total Revenue and Income Before Income Tax

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

	Three Months Ended March 31
	2017			2016
	(in millions of dollars)
Total Revenue	$	2,806.5		$	2,725.4
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Operating Revenue	$	2,795.5		$	2,745.9
Income Before Income Tax	$	330.3		$	304.2
Excluding:
Net Realized Investment Gain (Loss)	11.0			(20.5		)
Loss from Guaranty Fund Assessment	(20.6		)	—
Operating Income	$	339.9		$	324.7

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Employee Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2017

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Schedule of Net Periodic Benefit Costs

The following table provides the components of the net periodic benefit cost (credit) for the defined benefit pension and OPEB plans.

	Three Months Ended March 31
	Pension Benefits
	U.S. Plans						U.K. Plan						OPEB
	2017			2016			2017			2016			2017			2016
	(in millions of dollars)
Service Cost	$	2.0		$	1.7		$	—		$	—		$	—		$	—
Interest Cost	21.1			21.3			1.5			1.9			1.5			1.8
Expected Return on Plan Assets	(25.8		)	(25.7		)	(2.0		)	(2.7		)	(0.2		)	(0.2		)
Amortization of:
Net Actuarial Loss	4.9			4.1			0.2			—			—			—
Prior Service Credit	(0.1		)	(0.1		)	—			—			(0.1		)	—
Total	$	2.1		$	1.3		$	(0.3	)	$	(0.8	)	$	1.2		$	1.6

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Stockholders' Equity and Earnings Per Common Share (Tables)

3 Months Ended

Mar. 31, 2017

Stockholders' Equity and Earnings Per Common Share [Abstract]

Schedule of Basic and Diluted Earnings Per Share

Earnings Per Common Share

Net income per common share is determined as follows:

	Three Months Ended March 31
	2017		2016
	(in millions of dollars, except share data)
Numerator
Net Income	$	229.9	$	210.6
Denominator (000s)
Weighted Average Common Shares - Basic	229,429.6		239,619.4
Dilution for Assumed Exercises of Stock Options and Nonvested Stock Awards	949.2		311.0
Weighted Average Common Shares - Assuming Dilution	230,378.8		239,930.4
Net Income Per Common Share
Basic	$	1.00	$	0.88
Assuming Dilution	$	1.00	$	0.88

Treasury Stock Transactions

Common Stock

During the second quarter of 2016, our board of directors authorized the repurchase of up to $750.0 million of Unum Group's outstanding common stock through November 26, 2017. This authorization replaced the previous authorization of $750.0 million that was scheduled to expire on November 21, 2016. The remaining repurchase amount under the new program was $395.5 million at March 31, 2017.

Common stock repurchases, which are accounted for using the cost method and classified as treasury stock until otherwise retired, were as follows:

	Three Months Ended March 31
	2017		2016
	(in millions)
Shares Repurchased	2.1		3.7
Cost of Shares Repurchased (1)	$	100.0	$	100.0

(1) Includes commissions of a de minimis amount for each of the three month periods ended March 31, 2017 and 2016.

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Carrying Amount and Fair Value of Financial Instruments (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Assets
Fixed Maturity Securities	$ 44,623.2	$ 44,217.3
Mortgage Loans	2,068.4	2,038.9
Policy Loans	3,447.4	3,463.2
Other Long-term Investments
Derivative Assets	29.3	32.7
Equity Securities	1.2	1.2
Policyholders' Funds
Long-term Debt	2,984.6	2,999.4
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0	350.0
Other Liabilities
Derivative Liabilities	91.1	99.5
Unfunded Commitments to Investment Partnerships	4.4
Fair Value
Assets
Fixed Maturity Securities	44,623.2	44,217.3
Mortgage Loans	2,162.4	2,122.2
Policy Loans	3,548.2	3,564.2
Other Long-term Investments
Derivative Assets	29.3	32.7
Equity Securities	1.2	1.2
Miscellaneous Long-Term Investments	559.3	541.9
Policyholders' Funds
Deferred Annuity Products	594.5	597.4
Supplementary Contracts without Life Contingencies	610.9	608.8
Long-term Debt	3,222.7	3,175.8
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0	350.0
Other Liabilities
Derivative Liabilities	53.0	52.8
Embedded Derivative in Modified Coinsurance Arrangement	38.1	46.7
Unfunded Commitments to Investment Partnerships	4.7	5.0
Carrying Amount
Assets
Fixed Maturity Securities	44,623.2	44,217.3
Mortgage Loans	2,068.4	2,038.9
Policy Loans	3,447.4	3,463.2
Other Long-term Investments
Derivative Assets	29.3	32.7
Equity Securities	1.2	1.2
Miscellaneous Long-Term Investments	559.3	541.9
Policyholders' Funds
Deferred Annuity Products	594.5	597.4
Supplementary Contracts without Life Contingencies	610.9	608.8
Long-term Debt	2,984.6	2,999.4
Payables for Collateral on Investments
Federal Home Loan Bank (FHLB) Funding Agreements	350.0	350.0
Other Liabilities
Derivative Liabilities	53.0	52.8
Embedded Derivative in Modified Coinsurance Arrangement	38.1	46.7
Unfunded Commitments to Investment Partnerships	$ 4.7	$ 5.0

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Fair Value Measurements by Fair Value Heirarchy Input Level (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Fixed Maturity Securities
Fixed Maturity Securities	$ 44,623.2	$ 44,217.3
Other Long-term Investments
Derivative Assets	29.3	32.7
Equity Securities	1.2	1.2
Other Liabilities
Derivative Liabilities	91.1	99.5
Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	10,847.5	4,069.8
Other Long-term Investments
Equity Securities	0.0	0.0
Other Liabilities
Derivative Liabilities	0.0	0.0
Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	32,516.9	38,309.8
Other Long-term Investments
Equity Securities	0.0	0.0
Other Liabilities
Derivative Liabilities	53.0	52.8
Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	1,258.8	1,837.7
Other Long-term Investments
Equity Securities	1.2	1.2
Other Liabilities
Derivative Liabilities	38.1	46.7
Interest Rate Swaps
Other Liabilities
Derivative Liabilities	6.9	7.6
Interest Rate Swaps | Fair Value, Inputs, Level 1
Other Liabilities
Derivative Liabilities	0.0	0.0
Interest Rate Swaps | Fair Value, Inputs, Level 2
Other Liabilities
Derivative Liabilities	6.9	7.6
Interest Rate Swaps | Fair Value, Inputs, Level 3
Other Liabilities
Derivative Liabilities	0.0	0.0
Foreign Exchange Contracts
Other Long-term Investments
Derivative Assets	29.3	32.7
Other Liabilities
Derivative Liabilities	45.5	44.8
Foreign Exchange Contracts | Fair Value, Inputs, Level 1
Other Long-term Investments
Derivative Assets	0.0	0.0
Other Liabilities
Derivative Liabilities	0.0	0.0
Foreign Exchange Contracts | Fair Value, Inputs, Level 2
Other Long-term Investments
Derivative Assets	29.3	32.7
Other Liabilities
Derivative Liabilities	45.5	44.8
Foreign Exchange Contracts | Fair Value, Inputs, Level 3
Other Long-term Investments
Derivative Assets	0.0	0.0
Other Liabilities
Derivative Liabilities	0.0	0.0
Credit Default Swaps
Other Liabilities
Derivative Liabilities	0.6	0.4
Credit Default Swaps | Fair Value, Inputs, Level 1
Other Liabilities
Derivative Liabilities	0.0	0.0
Credit Default Swaps | Fair Value, Inputs, Level 2
Other Liabilities
Derivative Liabilities	0.6	0.4
Credit Default Swaps | Fair Value, Inputs, Level 3
Other Liabilities
Derivative Liabilities	0.0	0.0
Embedded Derivative in Modified Coinsurance Arrangement
Other Liabilities
Derivative Liabilities	38.1	46.7
Embedded Derivative in Modified Coinsurance Arrangement | Fair Value, Inputs, Level 1
Other Liabilities
Derivative Liabilities	0.0	0.0
Embedded Derivative in Modified Coinsurance Arrangement | Fair Value, Inputs, Level 2
Other Liabilities
Derivative Liabilities	0.0	0.0
Embedded Derivative in Modified Coinsurance Arrangement | Fair Value, Inputs, Level 3
Other Liabilities
Derivative Liabilities	38.1	46.7
United States Government and Government Agencies and Authorities
Fixed Maturity Securities
Fixed Maturity Securities	1,416.3	1,382.4
United States Government and Government Agencies and Authorities | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	330.9	454.2
United States Government and Government Agencies and Authorities | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	1,085.4	928.2
United States Government and Government Agencies and Authorities | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
States, Municipalities, and Political Subdivisions
Fixed Maturity Securities
Fixed Maturity Securities	2,173.9	2,158.0
States, Municipalities, and Political Subdivisions | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
States, Municipalities, and Political Subdivisions | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	2,173.5	2,068.5
States, Municipalities, and Political Subdivisions | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	0.4	89.5
Foreign Governments
Fixed Maturity Securities
Fixed Maturity Securities	917.8	914.7
Foreign Governments | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
Foreign Governments | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	917.8	914.7
Foreign Governments | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
Public Utilities
Fixed Maturity Securities
Fixed Maturity Securities	8,087.0	8,022.7
Public Utilities | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	1,160.1	108.5
Public Utilities | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	6,614.4	7,648.9
Public Utilities | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	312.5	265.3
Mortgage/Asset-backed Securities
Fixed Maturity Securities
Fixed Maturity Securities	2,155.4	2,230.4
Mortgage/Asset-backed Securities | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
Mortgage/Asset-backed Securities | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	2,155.4	2,230.4
Mortgage/Asset-backed Securities | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
All Other Corporate Bonds
Fixed Maturity Securities
Fixed Maturity Securities	29,831.1	29,467.2
All Other Corporate Bonds | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	9,356.5	3,507.1
All Other Corporate Bonds | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	19,551.6	24,500.4
All Other Corporate Bonds | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	923.0	1,459.7
Redeemable Preferred Stocks
Fixed Maturity Securities
Fixed Maturity Securities	41.7	41.9
Redeemable Preferred Stocks | Fair Value, Inputs, Level 1
Fixed Maturity Securities
Fixed Maturity Securities	0.0	0.0
Redeemable Preferred Stocks | Fair Value, Inputs, Level 2
Fixed Maturity Securities
Fixed Maturity Securities	18.8	18.7
Redeemable Preferred Stocks | Fair Value, Inputs, Level 3
Fixed Maturity Securities
Fixed Maturity Securities	$ 22.9	$ 23.2

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Transfers of Assets between Level 1 and Level 2 (Detail) - First Quarter [Member] - USD ($) $ in Millions	Mar. 31, 2017	Mar. 31, 2016
Transfers Between Level 1 and Level 2
Level 1 from Level 2	$ 7,475.4	$ 6,287.4
Level 2 from Level 1	1,312.8	829.4
United States Government and Government Agencies and Authorities
Transfers Between Level 1 and Level 2
Level 1 from Level 2	54.5	423.8
Level 2 from Level 1	180.0	0.0
Public Utilities
Transfers Between Level 1 and Level 2
Level 1 from Level 2	1,103.9	511.6
Level 2 from Level 1	57.5	43.0
All Other Corporate Bonds
Transfers Between Level 1 and Level 2
Level 1 from Level 2	6,317.0	5,352.0
Level 2 from Level 1	$ 1,075.3	$ 786.4

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Changes in Assets and Liabilities Measured at Fair Value on a Recurring Basis using Significant Unobservable Inputs (Level 3) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Embedded Derivative in Modified Coinsurance Arrangement
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
Derivatives Measured with Unobservable Inputs, Beginning Balance	$ (46.7)	$ (87.6)
Derivative Liability Gain (Loss) Included in Earnings	8.6	(5.6)
Derivative Liability Gain (Loss) Included in OCI	0.0	0.0
Derivative Purchases	0.0	0.0
Derivative Sales	0.0	0.0
Derivative Transfers Into Level 3	0.0	0.0
Derivative Transfers Out of Level 3	0.0	0.0
Derivatives Measured with Unobservable Inputs, Ending Balance	(38.1)	(93.2)
States, Municipalities, and Political Subdivisions
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	89.5	122.2
Investment Gain (Loss) included in Earnings	0.0	0.0
Investment Gain (Loss) included in OCI	0.0	0.6
Investment Purchases	0.0	0.0
Investment Sales	0.0	0.0
Investment Level 3 Transfers Into	0.4	0.0
Investment Level 3 Transfers Out of	(89.5)	(34.1)
Assets Measured with Unobservable Inputs, Ending Balance	0.4	88.7
Foreign Governments
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance		52.9
Investment Gain (Loss) included in Earnings		0.0
Investment Gain (Loss) included in OCI		1.0
Investment Purchases		0.0
Investment Sales		0.0
Investment Level 3 Transfers Into		0.0
Investment Level 3 Transfers Out of		0.0
Assets Measured with Unobservable Inputs, Ending Balance		53.9
Public Utilities
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	265.3	274.1
Investment Gain (Loss) included in Earnings	0.0	0.0
Investment Gain (Loss) included in OCI	1.8	4.2
Investment Purchases	8.0	0.0
Investment Sales	0.0	0.0
Investment Level 3 Transfers Into	112.6	94.5
Investment Level 3 Transfers Out of	(75.2)	(102.6)
Assets Measured with Unobservable Inputs, Ending Balance	312.5	270.2
All Other Corporate Bonds
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	1,459.7	1,408.2
Investment Gain (Loss) included in Earnings	0.0	(1.6)
Investment Gain (Loss) included in OCI	13.1	15.6
Investment Purchases	0.0	0.0
Investment Sales	(36.4)	(28.0)
Investment Level 3 Transfers Into	143.9	282.6
Investment Level 3 Transfers Out of	(657.3)	(602.1)
Assets Measured with Unobservable Inputs, Ending Balance	923.0	1,074.7
Redeemable Preferred Stocks
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	23.2	23.8
Investment Gain (Loss) included in Earnings	0.0	0.0
Investment Gain (Loss) included in OCI	(0.3)	(0.4)
Investment Purchases	0.0	0.0
Investment Sales	0.0	0.0
Investment Level 3 Transfers Into	0.0	0.0
Investment Level 3 Transfers Out of	0.0	0.0
Assets Measured with Unobservable Inputs, Ending Balance	22.9	23.4
Fixed Maturity Securities
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	1,837.7	1,881.2
Investment Gain (Loss) included in Earnings	0.0	(1.6)
Investment Gain (Loss) included in OCI	14.6	21.0
Investment Purchases	8.0	0.0
Investment Sales	(36.4)	(28.0)
Investment Level 3 Transfers Into	256.9	377.1
Investment Level 3 Transfers Out of	(822.0)	(738.8)
Assets Measured with Unobservable Inputs, Ending Balance	1,258.8	1,510.9
Equity Securities
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
Assets Measured with Unobservable Inputs, Beginning Balance	1.2	1.4
Investment Gain (Loss) included in Earnings	0.0	0.0
Investment Gain (Loss) included in OCI	0.0	0.0
Investment Purchases	0.0	0.0
Investment Sales	0.0	0.0
Investment Level 3 Transfers Into	0.0	0.0
Investment Level 3 Transfers Out of	0.0	(0.2)
Assets Measured with Unobservable Inputs, Ending Balance	$ 1.2	$ 1.2

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Quantitative Information Regarding Significant Unobservable Inputs (Details) - Fair Value, Inputs, Level 3 - USD ($) $ in Millions		3 Months Ended	12 Months Ended
		Mar. 31, 2017	Dec. 31, 2016
Embedded Derivative Liability
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair Value of Financial Instrument Using Internally Derived Unobservable Inputs		$ (38.1)	$ (46.7)
Embedded Derivative Liability | Projected Cash Flows
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Significant Assumptions to Calculating Fair Value of Level 3 Instrument	[1]	Actuarial Assumptions	Actuarial Assumptions
All Other Corporate Bonds - Private
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair Value of Financial Instrument Using Internally Derived Unobservable Inputs		$ 328.2	$ 310.4
All Other Corporate Bonds - Private | Market Convention
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Significant Assumptions to Calculating Fair Value of Level 3 Instrument	[2]	Priced at Par	Priced at Par
All Other Corporate Bonds - Private | Minimum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Comparability Adjustments	[3]		0.50%
Discount for Size	[4]		0.50%
Lack of Marketability	[5]	0.25%	0.20%
Volatility of Credit	[6]	0.20%	0.20%
All Other Corporate Bonds - Private | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Comparability Adjustments	[3]		0.50%
Discount for Size	[4]		0.50%
Lack of Marketability	[5]	0.25%	0.25%
Volatility of Credit	[6]	6.04%	6.04%
All Other Corporate Bonds - Private | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Comparability Adjustments	[3]		0.50%
Discount for Size	[4]		0.50%
Lack of Marketability	[5]	0.25%	0.23%
Volatility of Credit	[6]	0.74%	0.70%
Equity Securities
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair Value of Financial Instrument Using Internally Derived Unobservable Inputs		$ 1.1	$ 1.1
Equity Securities | Market Convention
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Significant Assumptions to Calculating Fair Value of Level 3 Instrument	[2]	Priced at Cost or Owner's Equity	Priced at Cost or Owner's Equity

[1] Represents various actuarial assumptions required to derive the liability cash flows including incidence, termination, and lapse rates

[2] Represents a decision to price based on par value, cost, or owner's equity when limited data is available

[3] Represents basis point adjustments for changes in benchmark spreads associated with various industry sectors

[4] Represents basis point adjustments based on issue/issuer size relative to the benchmark

[5] Represents basis point adjustments to apply a discount due to the illiquidity of an investment

[6] Represents basis point adjustments for credit-specific factors

XML

Fair Value of Financial Instruments Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Ceded Policy Loans	$ 3,188.6		$ 3,206.1
Long-term Debt	2,984.6		2,999.4
Gain (Loss) on Embedded Derivative	8.6	$ (5.6)
Fair Value, Inputs, Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Long-term Debt	$ 2,040.4		709.8
Percentage of Total Fair Value of Fixed Maturities Securities	24.30%
Fair Value, Inputs, Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Long-term Debt	$ 1,182.3		$ 2,466.0
Fair Value, Inputs, Level 2 | Pricing Service
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Percentage of Total Fair Value of Fixed Maturities Securities	60.80%
Fair Value, Inputs, Level 2 | Other Observable Market Data
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Percentage of Total Fair Value of Fixed Maturities Securities	3.90%
Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Private Equity Partnership Future Liquidation Term	1 year
Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Private Equity Partnership Future Liquidation Term	10 years
Fair Value Inputs Other Than Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Percentage of Total Fair Value of Fixed Maturities Securities	75.70%
Fair Value Inputs Level 2 Or Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Percentage of Total Fair Value of Fixed Maturities Securities	11.00%

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Amortized Cost and Fair Values of Securities by Security Type (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	$ 39,697.6	$ 39,552.7
Fair Value of Fixed Maturity Securities	44,623.2	44,217.3
United States Government and Government Agencies and Authorities
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	1,237.2	1,202.8
Accumulated Gross Unrealized Gain on Securities	182.7	183.1
Accumulated Gross Unrealized Loss on Securities	3.6	3.5
Fair Value of Fixed Maturity Securities	1,416.3	1,382.4
States, Municipalities, and Political Subdivisions
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	1,877.3	1,868.0
Accumulated Gross Unrealized Gain on Securities	299.7	294.8
Accumulated Gross Unrealized Loss on Securities	3.1	4.8
Fair Value of Fixed Maturity Securities	2,173.9	2,158.0
Foreign Governments
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	713.3	714.8
Accumulated Gross Unrealized Gain on Securities	204.5	199.9
Accumulated Gross Unrealized Loss on Securities	0.0	0.0
Fair Value of Fixed Maturity Securities	917.8	914.7
Public Utilities
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	6,945.9	6,916.1
Accumulated Gross Unrealized Gain on Securities	1,156.0	1,123.5
Accumulated Gross Unrealized Loss on Securities	14.9	16.9
Fair Value of Fixed Maturity Securities	8,087.0	8,022.7
Mortgage/Asset-backed Securities
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	2,041.1	2,104.9
Accumulated Gross Unrealized Gain on Securities	124.4	134.7
Accumulated Gross Unrealized Loss on Securities	10.1	9.2
Fair Value of Fixed Maturity Securities	2,155.4	2,230.4
All Other Corporate Bonds
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	26,843.8	26,707.1
Accumulated Gross Unrealized Gain on Securities	3,117.0	2,944.0
Accumulated Gross Unrealized Loss on Securities	129.7	183.9
Fair Value of Fixed Maturity Securities	29,831.1	29,467.2
Redeemable Preferred Stocks
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	39.0	39.0
Accumulated Gross Unrealized Gain on Securities	2.9	3.2
Accumulated Gross Unrealized Loss on Securities	0.2	0.3
Fair Value of Fixed Maturity Securities	41.7	41.9
Fixed Maturity Securities
Schedule of Available-for-sale Securities
Amortized Cost of Fixed Maturity Securities	39,697.6	39,552.7
Accumulated Gross Unrealized Gain on Securities	5,087.2	4,883.2
Accumulated Gross Unrealized Loss on Securities	161.6	218.6
Fair Value of Fixed Maturity Securities	$ 44,623.2	$ 44,217.3

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Length of Time Fixed Maturity Securities had been in a Gross Unrealized Loss Position (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	$ 3,848.2	$ 4,667.3
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	101.3	154.9
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	724.1	801.9
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	60.3	63.7
United States Government and Government Agencies and Authorities
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	157.8	132.8
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	3.6	3.5
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	0.0	0.0
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	0.0	0.0
States, Municipalities, and Political Subdivisions
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	111.1	132.2
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	3.1	4.8
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	0.0	0.0
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	0.0	0.0
Public Utilities
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	260.5	260.2
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	9.9	15.3
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	31.5	15.6
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	5.0	1.6
Mortgage/Asset-backed Securities
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	499.8	513.2
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	9.7	9.1
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	9.3	0.8
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	0.4	0.1
All Other Corporate Bonds
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	2,811.1	3,621.0
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	74.9	122.1
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	672.4	774.7
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	54.8	61.8
Redeemable Preferred Stocks
Schedule of Available-for-sale Securities
Fair Value of Securities in Continuous Unrealized Loss Possition for Less Than 12 Months	7.9	7.9
Available-for-sale Securities, Continuous Unrealized Loss Position of Less than 12 Months, Accumulated Loss	0.1	0.1
Fair Value of Securities in Continuous Unrealized Loss Possition for Greater Than 12 Months	10.9	10.8
Available-for-sale Securities, Continuous Unrealized Loss Position of 12 Months or Longer, Accumulated Loss	$ 0.1	$ 0.2

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Distribution of the Maturity Dates for Fixed Maturity Securities (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Available-for-Sale Securities, Total Amortized Cost
1 year or less	$ 1,339.7	$ 1,338.8
Over 1 year through 5 years	6,121.0	6,231.0
Over 5 years through 10 years	11,177.3	10,991.6
Over 10 years	19,018.5	18,886.4
Available-for-sale Securities, Debt Maturities, Gross Subtotal	37,656.5	37,447.8
Mortgage/Asset-Backed Securities	2,041.1	2,104.9
Amortized Cost of Fixed Maturity Securities	39,697.6	39,552.7
Fair Value Maturity Distribution
Total Fixed Maturity Securities	44,623.2	44,217.3
Fair Value of Fixed Maturity Securities in Unrealized Gain Position
Available-for-Sale Securities, Unrealized Gain Position, Gross Gain
1 year or less	27.0	28.6
Over 1 year through 5 years	552.4	553.5
Over 5 years through 10 years	931.0	843.8
Over 10 years	3,452.4	3,322.6
Available-For-Sale Securities, Debt Maturities Unrealized Gain Position, Gross Gain, Gross Subtotal	4,962.8	4,748.5
Mortgage/Asset-Backed Securities	124.4	134.7
Total Fixed Maturity Securities	5,087.2	4,883.2
Fair Value Maturity Distribution
1 year or less	1,348.5	1,355.6
Over 1 year through 5 years	6,499.1	6,605.6
Over 5 years through 10 years	10,124.5	9,336.2
Over 10 years	20,432.5	19,734.3
Available-for-sale Securities, Debt Maturities, Fair Value, Gross Subtotal	38,404.6	37,031.7
Mortgage/Asset-Backed Securities	1,646.3	1,716.4
Total Fixed Maturity Securities	40,050.9	38,748.1
Fair Value of Fixed Maturity Securities in Unrealized Loss Position
Fair Value Maturity Distribution
1 year or less	18.2	11.8
Over 1 year through 5 years	168.6	170.7
Over 5 years through 10 years	1,924.6	2,416.4
Over 10 years	1,951.8	2,356.3
Available-for-sale Securities, Debt Maturities, Fair Value, Gross Subtotal	4,063.2	4,955.2
Mortgage/Asset-Backed Securities	509.1	514.0
Total Fixed Maturity Securities	4,572.3	5,469.2
Available-for-Sale Securities, Unrealized Loss Position, Gross Loss
1 year or less	0.0	0.0
Over 1 year through 5 years	5.7	8.2
Over 5 years through 10 years	59.2	82.8
Over 10 years	86.6	118.4
Available-For-Sale Securities, Debt Maturities Unrealized Gain Position, Gross Loss, Gross Subtotal	151.5	209.4
Mortgage/Asset-Backed Securities	10.1	9.2
Total Fixed Maturity Securities	$ 161.6	$ 218.6

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Investments Low Income Housing Tax Credits (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Investments, All Other Investments [Abstract]
Low Income Housing Tax Credits	$ 10.4	$ 10.5
Amortization of Low Income Housing Investments	(5.8)	(5.8)
Tax Benefits from Low Income Housing Investments	$ 4.6	$ 4.7

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Mortgage Loans by Property Type and Geographic Region (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Mortgage Loans on Real Estate
Mortgage Loans	$ 2,068.4	$ 2,038.9
Percent of Total	100.00%	100.00%
New England
Mortgage Loans on Real Estate
Mortgage Loans	$ 71.8	$ 72.7
Percent of Total	3.50%	3.60%
Middle Atlantic
Mortgage Loans on Real Estate
Mortgage Loans	$ 120.1	$ 125.3
Percent of Total	5.80%	6.10%
East North Central
Mortgage Loans on Real Estate
Mortgage Loans	$ 233.4	$ 230.1
Percent of Total	11.30%	11.30%
West North Central
Mortgage Loans on Real Estate
Mortgage Loans	$ 179.1	$ 172.0
Percent of Total	8.60%	8.40%
South Atlantic
Mortgage Loans on Real Estate
Mortgage Loans	$ 440.8	$ 438.3
Percent of Total	21.30%	21.50%
East South Central
Mortgage Loans on Real Estate
Mortgage Loans	$ 90.9	$ 91.6
Percent of Total	4.40%	4.50%
West South Central
Mortgage Loans on Real Estate
Mortgage Loans	$ 262.2	$ 268.7
Percent of Total	12.70%	13.20%
Mountain
Mortgage Loans on Real Estate
Mortgage Loans	$ 235.3	$ 214.1
Percent of Total	11.40%	10.50%
Pacific
Mortgage Loans on Real Estate
Mortgage Loans	$ 434.8	$ 426.1
Percent of Total	21.00%	20.90%
Apartment
Mortgage Loans on Real Estate
Mortgage Loans	$ 291.8	$ 288.4
Percent of Total	14.10%	14.10%
Industrial
Mortgage Loans on Real Estate
Mortgage Loans	$ 580.8	$ 573.6
Percent of Total	28.10%	28.10%
Office
Mortgage Loans on Real Estate
Mortgage Loans	$ 712.7	$ 700.1
Percent of Total	34.40%	34.40%
Retail
Mortgage Loans on Real Estate
Mortgage Loans	$ 450.4	$ 455.4
Percent of Total	21.80%	22.40%
Other Property
Mortgage Loans on Real Estate
Mortgage Loans	$ 32.7	$ 21.4
Percent of Total	1.60%	1.00%

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Mortgage Loans Sorted by Applicable Internal Credit Ratings and Loan-to-Value Ratios (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Financing Receivable, Recorded Investment
Mortgage Loans	$ 2,068.4	$ 2,038.9
Aa Credit Rating
Financing Receivable, Recorded Investment
Mortgage Loans	0.6	0.7
A Credit Rating
Financing Receivable, Recorded Investment
Mortgage Loans	492.1	488.2
Baa Credit Rating
Financing Receivable, Recorded Investment
Mortgage Loans	1,532.6	1,506.6
Ba Credit Rating
Financing Receivable, Recorded Investment
Mortgage Loans	43.1	43.4
Loan to Value Ratio Below or Equal to 65 Percent
Financing Receivable, Recorded Investment
Mortgage Loans	922.9	917.9
Loan To Value Ratio Above 65 To 75 Percent
Financing Receivable, Recorded Investment
Mortgage Loans	1,036.9	1,011.5
Loan To Value Ratio Above 75 To 85 Percent
Financing Receivable, Recorded Investment
Mortgage Loans	50.3	50.8
Loan To Value Ratio Above 85 Percent
Financing Receivable, Recorded Investment
Mortgage Loans	$ 58.3	$ 58.7

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Investments Remaining Contractual Maturity of Securities Lending Agreements (Details) - Overnight and Continuous - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Securities Loaned, Including Not Subject to Master Netting Arrangement and Assets other than Securities Transferred	$ 25.1	$ 29.9
Securities Loaned and Securities Sold under Agreement to Repurchase, Gross Including Not Subject to Master Netting Arrangement	25.1	29.9
Secured Borrowings, Gross, Difference, Amount	0.0	0.0
United States Government and Government Agencies and Authorities
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Securities Loaned, Including Not Subject to Master Netting Arrangement and Assets other than Securities Transferred	1.1	0.1
Public Utilities
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Securities Loaned, Including Not Subject to Master Netting Arrangement and Assets other than Securities Transferred	0.3	0.1
All Other Corporate Bonds
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
Securities Loaned, Including Not Subject to Master Netting Arrangement and Assets other than Securities Transferred	$ 23.7	$ 29.7

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Schedule of Financial Instrument and Derivative Offsetting (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Offsetting Derivative Assets
Gross Derivative Assets	$ 29.3	$ 32.7
Derivative Liabilities Offsetting Derivative Assets in Balance Sheet	0.0	0.0
Net Derivative Assets Reported in Balance Sheet	29.3	32.7
Securities Received as Collateral on Derivative Assets	(7.0)	(7.3)
Cash Collateral from Counterparties	(22.3)	(25.4)
Derivative Assets Net of Collateral	0.0	0.0
Offsetting Securities Borrowed
Gross Securities Borrowed	169.0	178.5
Liabilities Offsetting Securities Borrowed in Balance Sheet	0.0	0.0
Net Securities Borrowed Reported in Balance Sheet	169.0	178.5
Securities Received as Collateral on Securities Borrowed	(143.9)	(148.6)
Cash Received as Collateral on Securities Borrowed	(25.1)	(29.9)
Securities Borrowed Net of Collateral	0.0	0.0
Offsetting of Derivative Assets and Securities Borrowed
Gross Financial Assets	198.3	211.2
Financial Liabilities Offsetting Financial Assets in Balance Sheet	0.0	0.0
Net Financial Assets Reported in Balance Sheet	198.3	211.2
Securities Received as Collateral on Financial Assets	(150.9)	(155.9)
Cash Received as Collateral on Financial Assets	(47.4)	(55.3)
Financial Assets Net of Collateral	0.0	0.0
Offsetting Derivative Liabilities
Net Derivative Liabilities Reported in Balance Sheet	91.1	99.5
Cash Collateral to Counterparties	0.0	0.0
Offsetting Securities Loaned
Gross Securities Loaned	25.1	29.9
Assets Offsetting Securities Loaned in Balance Sheet	0.0	0.0
Net Securities Loaned Reported in Balance Sheet	25.1	29.9
Securities Given as Collateral on Securities Loaned	(25.1)	(29.9)
Cash Given as Collateral on Securities Loaned	0.0	0.0
Securities Loaned Net of Collateral	0.0	0.0
Derivative Liabilities and Securities Lending Liabilities
Gross Financial Liability	78.1	82.7
Financial Assets Offsetting Financial Liabilities in Balance Sheet	0.0	0.0
Net Financial Liabilities Reported in Balance Sheet	78.1	82.7
Securities Given as Collateral on Financial Liabilities	(67.5)	(67.5)
Cash Given as Collateral on Financial Liabilities	0.0	0.0
Financial Liabilities Net of Collateral	10.6	15.2
Over the Counter
Offsetting Derivative Liabilities
Gross Derivative Liability	53.0	52.8
Derivative Assets Offsetting Derivative Liabilities in Balance Sheet	0.0	0.0
Net Derivative Liabilities Reported in Balance Sheet	53.0	52.8
Securities Given as Collateral on Derivative Liabilities	(42.4)	(37.6)
Cash Collateral to Counterparties	0.0	0.0
Derivative Liabilities Net of Collateral	$ 10.6	$ 15.2

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Net Investment Income (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	$ 614.8	$ 618.2
Less Investment Expenses	8.8	8.2
Less Investment Income on PFA Assets	3.6	3.6
Net Investment Income	602.4	606.4
Fixed Maturity Securities
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	563.7	563.8
Derivatives
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	13.4	11.9
Mortgage Loans
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	25.4	26.9
Policy Loans
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	4.3	4.1
Other Long-term Investments
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	6.1	10.0
Short-term Investments
Schedule of Investment Income, Reported Amounts, by Category
Investment Income, Interest and Dividend	$ 1.9	$ 1.5

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Realized Investment Gains and Losses Reported in Consolidated Statements of Income (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Fixed Maturity Securities
Gross Gains on Sales	$ 2.4	$ 16.9
Gross Losses on Sales	(1.1)	(9.6)
Other-Than-Temporary Impairment Loss	0.0	(21.1)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales	0.7	1.8
Gross Losses on Sales	(0.2)	(0.3)
Gain (Loss) on Embedded Derivative	8.6	(5.6)
Gain (Loss) on All Other Derivatives	(0.2)	(2.5)
Foreign Currency Transactions	0.8	(0.1)
Net Realized Investment Gain (Loss)	$ 11.0	$ (20.5)

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Investments - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2017 USD ($)	Mar. 31, 2016 USD ($)	Dec. 31, 2016 USD ($)
Schedule of Investments
Fair Value of Fixed Maturity Securities	$ 44,623,200,000		$ 44,217,300,000
Fixed Maturity Securities Other Than Temporary Impairments in Accumulated Other Comprehensive Income Loss	0		0
Commitment to Fund Private Placement Fixed Maturity Securities	38,000,000
Carrying Amount of Variable Interest Entity Investments	527,700,000		509,300,000
Unfunded Commitments to Investment Partnerships	4,400,000
Unfunded Unconditional Commitment to Fund Private Equity Partnerships	300,000
Commitment to Fund Partnership Equity Investments	252,000,000
Other Long-term Investments	645,300,000		$ 631,500,000
Gain (Loss) on Investments, Excluding Other than Temporary Impairments	$ (11,000,000)	$ (600,000)
Mortgage Loan Policy is not to Exceed a Loan-to-value Ratio, Percent	75.00%
Loan to Value Ratio Update Frequency	3 years
Mortgage Loan Inspection Frequency	2 years
Mortage Loan Policy Debt Service Coverage Ratio Lower Range	125.00%
Mortgage Loans Issuance, Term Years	25
Number of Financing Receivables on Nonaccrual Status	0		0
Number of Changes to Accounting Policy for Estimating Credit Losses on Mortgage Loans	0
Committments to Fund Commercial Mortgage Loans	$ 56,600,000
Repurchase agreements - Typical Days Outstanding	30 days
Minimum Percent of Fair Value of Securities Loaned or Securities Purchased Under Repurchase Agreements to be Maintained as Collateral	102.00%
Net Securities Borrowed Reported in Balance Sheet	$ 169,000,000		$ 178,500,000
Outstanding Repurchase Agreements	0		0
Federal Home Loan Bank Stock	31,600,000		31,600,000
Federal Home Loan Bank (FHLB) Funding Agreements	350,000,000		350,000,000
Fixed Maturity Securities
Schedule of Investments
Fair Value of Fixed Maturity Securities	44,623,200,000		44,217,300,000
Accumulated Gross Unrealized Gain on Securities	5,087,200,000		4,883,200,000
Accumulated Gross Unrealized Loss on Securities	161,600,000		218,600,000
Collateral Pledged to Federal Home Loan Bank (FHLB)	221,000,000		323,700,000
Mortgage Loans as Collateral
Schedule of Investments
Collateral Pledged to Federal Home Loan Bank (FHLB)	349,300,000		288,500,000
Off Balance Sheet Amount
Schedule of Investments
Cash Collateral for Borrowed Securities	25,100,000		29,900,000
Securities Received as Collateral	150,400,000		155,300,000
Commercial Real Estate Portfolio Segment
Schedule of Investments
Financing Receivable, Allowance for Credit Losses	0		0
Provision for Loan and Lease Losses	$ 0	$ 0
Commercial Real Estate Portfolio Segment
Schedule of Investments
Number of Loan Modifications due to Loan Foreclosure	0	0
Special Purpose Entity | Bonds
Schedule of Investments
Fair Value of Fixed Maturity Securities	$ 152,800,000		151,900,000
Special Purpose Entity | Partnership Interest
Schedule of Investments
Other Long-term Investments			1,000,000
Gain (Loss) on Investments, Excluding Other than Temporary Impairments	200,000
Partnership Interests In Tax Credit Investments
Schedule of Investments
Carrying Amount of Variable Interest Entity Investments	156,000,000		165,200,000
Equity Method Investments
Schedule of Investments
Carrying Amount of Variable Interest Entity Investments	371,700,000		$ 344,100,000
External Credit Rating, Investment Grade
Schedule of Investments
Fair Value of Fixed Maturity Securities	41,262,500,000
Accumulated Gross Unrealized Gain on Securities	4,948,700,000
Accumulated Gross Unrealized Loss on Securities	$ 108,100,000
Percent of Fixed Maturity Securities in Unrealized Loss Position	66.90%
Number of Fixed Maturity Securities in an Unrealized Loss Position	299
Number of Fixed Maturity Securities in an Unrealized Loss Position Continuously for Over One year	16
External Credit Rating, Non Investment Grade
Schedule of Investments
Fair Value of Fixed Maturity Securities	$ 3,360,700,000
Accumulated Gross Unrealized Gain on Securities	138,500,000
Accumulated Gross Unrealized Loss on Securities	$ 53,500,000
Percent of Fixed Maturity Securities in Unrealized Loss Position	33.10%
Number of Fixed Maturity Securities in an Unrealized Loss Position	59
Number of Fixed Maturity Securities in an Unrealized Loss Position Continuously for Over One year	32
Starmount
Schedule of Investments
Fair Value of Fixed Maturity Securities	$ 39,200,000
Available-for-sale Securities, Gross Unrealized Gain (Loss)	$ 1,200,000
Starmount | External Credit Rating, Investment Grade
Schedule of Investments
Number of Fixed Maturity Securities in an Unrealized Loss Position	123

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Notional Amounts for Each Category of Derivative Activity (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Derivative
Balance at beginning of period	$ 1,052.0	$ 1,470.3
Additions	0.0	0.0
Terminations	30.4	24.0
Balance at ending of period	1,021.6	1,446.3
Swaps | Receive Variable/Pay Fixed
Derivative
Balance at beginning of period	105.5	150.0
Additions	0.0	0.0
Terminations	0.1	24.0
Balance at ending of period	105.4	126.0
Swaps | Receive Fixed/Pay Fixed
Derivative
Balance at beginning of period	616.5	650.3
Additions	0.0	0.0
Terminations	20.3	0.0
Balance at ending of period	596.2	650.3
Swaps | Receive Fixed/Pay Variable
Derivative
Balance at beginning of period	250.0	600.0
Additions	0.0	0.0
Terminations	0.0	0.0
Balance at ending of period	250.0	600.0
Swaps | Credit Default Swaps
Derivative
Balance at beginning of period	70.0	70.0
Additions	0.0	0.0
Terminations	0.0	0.0
Balance at ending of period	70.0	70.0
Forwards
Derivative
Balance at beginning of period	10.0	0.0
Additions	0.0	0.0
Terminations	10.0	0.0
Balance at ending of period	$ 0.0	$ 0.0

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Location and Fair Values of Derivative Financial Instruments (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Derivative
Asset Derivatives Fair Value	$ 29.3	$ 32.7
Designated as Hedging Instrument | Other Long-term Investments
Derivative
Asset Derivatives Fair Value	29.3	32.7
Designated as Hedging Instrument | Other Liabilities
Derivative
Liability Derivatives Fair Value	20.6	20.3
Designated as Hedging Instrument | Interest Rate Swaps | Other Long-term Investments
Derivative
Asset Derivatives Fair Value	0.0	0.0
Designated as Hedging Instrument | Interest Rate Swaps | Other Liabilities
Derivative
Liability Derivatives Fair Value	6.3	6.9
Designated as Hedging Instrument | Foreign Exchange Contracts | Other Long-term Investments
Derivative
Asset Derivatives Fair Value	29.3	32.7
Designated as Hedging Instrument | Foreign Exchange Contracts | Other Liabilities
Derivative
Liability Derivatives Fair Value	14.3	13.4
Not Designated as Hedging Instrument | Other Liabilities
Derivative
Liability Derivatives Fair Value	70.5	79.2
Not Designated as Hedging Instrument | Interest Rate Swaps | Other Liabilities
Derivative
Liability Derivatives Fair Value	0.6	0.7
Not Designated as Hedging Instrument | Foreign Exchange Contracts | Other Liabilities
Derivative
Liability Derivatives Fair Value	31.2	31.4
Not Designated as Hedging Instrument | Credit Risk Contract | Other Liabilities
Derivative
Liability Derivatives Fair Value	0.6	0.4
Not Designated as Hedging Instrument | Embedded Derivative in Modified Coinsurance Arrangement | Other Liabilities
Derivative
Liability Derivatives Fair Value	$ 38.1	$ 46.7

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Location of Gains and Losses on Derivative Financial Instruments Designated as Cash Flow Hedging Instruments (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	$ 12.3	$ 15.8
Foreign Exchange Contracts
Derivative Instruments, Gain (Loss)
Gain (Loss) Recognized in OCI on Derivatives (Effective Portion)	(4.5)	(24.3)
Foreign Exchange Contracts | Net Investment Income
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	(0.3)	(0.1)
Foreign Exchange Contracts | Net Realized Investments Gain (Loss)
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	(1.2)	0.0
Interest Rate Swaps | Net Investment Income
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	14.3	13.2
Interest Rate Swaps | Net Realized Investments Gain (Loss)
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	0.0	3.2
Interest Rate Swaps | Interest Expense
Derivative Instruments, Gain (Loss)
Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion)	$ (0.5)	$ (0.5)

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Gains and Losses on Derivatives Not Designated as Hedging Instruments (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Derivative Instruments, Gain (Loss)
Gain (Loss) on Derivatives	$ (0.2)	$ (2.5)
Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss)
Gain (Loss) on Derivatives	8.5	(6.9)
Not Designated as Hedging Instrument | Credit Default Swaps
Derivative Instruments, Gain (Loss)
Gain (Loss) on Derivatives	(0.3)	0.0
Not Designated as Hedging Instrument | Foreign Exchange Contracts
Derivative Instruments, Gain (Loss)
Gain (Loss) on Derivatives	0.2	(1.3)
Not Designated as Hedging Instrument | Embedded Derivative in Modified Coinsurance Arrangement
Derivative Instruments, Gain (Loss)
Gain (Loss) on Derivatives	$ 8.6	$ (5.6)

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Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016	Dec. 31, 2015
Derivative
Cash Collateral from Counterparties	$ 22.3		$ 25.4
Carrying Value of Fixed Maturity Securities Posted as Collateral to Counterparties	41.3		35.2
Cash Collateral to Counterparties	0.0		0.0
Aggregate Fair Value of all Derivative Instruments with Credit Risk-related Contingent Features in a Liability Position	53.0		52.8
Notional Amount of Derivatives	1,021.6	$ 1,446.3	1,052.0	$ 1,470.3
Material Ineffectiveness on Cash Flow Hedges	0.0	0.0
Gain from Components Excluded from Assessment of Cash Flow Hedge Effectiveness	0.0	0.0
Approximate Amount of Net Deferred Gains on Derivative Instruments Expected to be Amortized During the Next Twelve Months	59.2
Notional Amount Of Derivatives Terminations	30.4	24.0
Loss on Derivative Contract Termination		1.2
Material Ineffectiveness on Fair Value Hedges	0.0	0.0
Component of Derivative Gain (Loss) Excluded from the Assessment of Hedge Effectiveness	0.0	0.0
Discontinued Hedge Accounting Due to Instrument No Longer Qualifying as Fair Value Hedge	0.0	0.0
Derivative, Amount of Hedged Item	3.4
Receive Variable/Pay Fixed
Derivative
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments	1.1	1.8
Receive Fixed/Pay Variable
Derivative
Notional Amount of Derivatives	250.0		250.0
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments	0.5	(5.6)
Cash Flow Hedging | Interest Rate Swaps
Derivative
Notional Amount of Derivatives	373.8		394.1
Fair Value Hedging | Receive Variable/Pay Fixed
Derivative
Notional Amount of Derivatives	102.0		102.0
Not Designated as Hedging Instrument | Interest Rate Swaps
Derivative
Notional Amount of Derivatives	222.4		222.4
Not Designated as Hedging Instrument | Receive Variable/Pay Fixed
Derivative
Notional Amount of Derivatives	3.4		3.5
Not Designated as Hedging Instrument | Credit Default Swaps
Derivative
Notional Amount of Derivatives	70.0		70.0
Receive Variable/Pay Fixed | Swaps
Derivative
Notional Amount of Derivatives	105.4	126.0	105.5	$ 150.0
Notional Amount Of Derivatives Terminations	0.1	$ 24.0
Total Amount
Derivative
Cash Collateral from Counterparties	$ 22.5		$ 26.1

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Schedule of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Accumulated Other Comprehensive Income, Net of Tax
Balance at Beginning of Period	$ (51.0)	$ 16.1
Other Comprehensive Income (Loss) Before Reclassifications, Net of Tax	58.5	182.0
Reclassification from Accumulated Other Comprehensive Income or Loss	(7.1)	2.6
Net Other Comprehensive Income (Loss)	51.4	184.6
Balance at End of Period	0.4	200.7
Net Unrealized Gain on Securities
Accumulated Other Comprehensive Income, Net of Tax
Balance at Beginning of Period	440.6	204.3
Other Comprehensive Income (Loss) Before Reclassifications, Net of Tax	44.7	223.8
Reclassification from Accumulated Other Comprehensive Income or Loss	(2.3)	10.3
Net Other Comprehensive Income (Loss)	42.4	234.1
Balance at End of Period	483.0	438.4
Net Gain on Cash Flow Hedges
Accumulated Other Comprehensive Income, Net of Tax
Balance at Beginning of Period	327.5	378.0
Other Comprehensive Income (Loss) Before Reclassifications, Net of Tax	(2.7)	(15.9)
Reclassification from Accumulated Other Comprehensive Income or Loss	(8.0)	(10.3)
Net Other Comprehensive Income (Loss)	(10.7)	(26.2)
Balance at End of Period	316.8	351.8
Foreign Currency Translation Adjustment
Accumulated Other Comprehensive Income, Net of Tax
Balance at Beginning of Period	(354.0)	(173.6)
Other Comprehensive Income (Loss) Before Reclassifications, Net of Tax	17.1	(26.4)
Reclassification from Accumulated Other Comprehensive Income or Loss	0.0	0.0
Net Other Comprehensive Income (Loss)	17.1	(26.4)
Balance at End of Period	(336.9)	(200.0)
Unrecognized Pension and Postretirement Benefit Costs
Accumulated Other Comprehensive Income, Net of Tax
Balance at Beginning of Period	(465.1)	(392.6)
Other Comprehensive Income (Loss) Before Reclassifications, Net of Tax	(0.6)	0.5
Reclassification from Accumulated Other Comprehensive Income or Loss	3.2	2.6
Net Other Comprehensive Income (Loss)	2.6	3.1
Balance at End of Period	$ (462.5)	$ (389.5)

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Schedule of Components of Unrealized Gain (Loss) on Securities (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Change in Components of Net Unrealized Gain on Securities
Change in Net Unrealized Gain on Securities	$ 176.9	$ 800.1
Fixed Maturity Securities
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	4,664.6	3,695.7
Change in Net Unrealized Gain on Securities	261.0	1,198.8
End of Period Balance	4,925.6	4,894.5
Other Investments
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	(22.7)	(33.7)
Change in Net Unrealized Gain on Securities	4.9	15.6
End of Period Balance	(17.8)	(18.1)
Deferred Acquisition Costs
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	(38.9)	(29.4)
Change in Net Unrealized Gain on Securities	(2.0)	(12.6)
End of Period Balance	(40.9)	(42.0)
Reserve for Future Policy and Contract Benefits
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	(4,253.2)	(3,578.4)
Change in Net Unrealized Gain on Securities	(214.1)	(888.1)
End of Period Balance	(4,467.3)	(4,466.5)
Reinsurance Recoverable
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	321.3	263.2
Change in Net Unrealized Gain on Securities	14.3	47.0
End of Period Balance	335.6	310.2
Income Tax
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	(230.5)	(113.1)
Change in Net Unrealized Gain on Securities	(21.7)	(126.6)
End of Period Balance	(252.2)	(239.7)
Net Unrealized Gain on Securities
Change in Components of Net Unrealized Gain on Securities
Beginning of Period Balance	440.6	204.3
Change in Net Unrealized Gain on Securities	42.4	234.1
End of Period Balance	$ 483.0	$ 438.4

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Schedule of Reclassifications Out of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	$ 11.0	$ 0.6
Other-Than-Temporary Impairment Loss	0.0	(21.1)
Net Investment Income	602.4	606.4
Interest and Debt Expense	(39.8)	(38.6)
Other Expenses	(230.8)	(205.6)
Income Before Income Tax	330.3	304.2
Total Income Tax	100.4	93.6
Net Income	229.9	210.6
Reclassification out of Accumulated Other Comprehensive Income or Loss | Net Unrealized Gain on Securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	3.4	5.6
Other-Than-Temporary Impairment Loss	0.0	(21.1)
Income Before Income Tax	3.4	(15.5)
Total Income Tax	1.1	(5.2)
Net Income	2.3	(10.3)
Reclassification out of Accumulated Other Comprehensive Income or Loss | Net Gain on Cash Flow Hedges
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Income Before Income Tax	12.3	15.8
Total Income Tax	4.3	5.5
Net Income	8.0	10.3
Reclassification out of Accumulated Other Comprehensive Income or Loss | Net Gain on Cash Flow Hedges | Interest Rate Swaps
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	0.0	3.2
Net Investment Income	14.3	13.2
Interest and Debt Expense	(0.5)	(0.5)
Reclassification out of Accumulated Other Comprehensive Income or Loss | Net Gain on Cash Flow Hedges | Foreign Exchange Contracts
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Net Realized Investment Gain, Excluding Other-Than-Temporary Impairment Loss on Fixed Maturity Securities	(1.2)	0.0
Net Investment Income	(0.3)	(0.1)
Reclassification out of Accumulated Other Comprehensive Income or Loss | Net Actuarial Loss
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Other Expenses	(5.1)	(4.1)
Reclassification out of Accumulated Other Comprehensive Income or Loss | Prior Service Credit
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Other Expenses	0.2	0.1
Reclassification out of Accumulated Other Comprehensive Income or Loss | Unrecognized Pension and Postretirement Benefit Costs
Reclassification Adjustment out of Accumulated Other Comprehensive Income
Income Before Income Tax	(4.9)	(4.0)
Total Income Tax	(1.7)	(1.4)
Net Income	$ (3.2)	$ (2.6)

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Liability for Unpaid Claims and CAE Liability for Unpaid Claims and Claims Adjustment Expense (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense
Balance at January 1	$ 23,249.5	$ 23,796.1
Less Reinsurance Recoverable	2,163.6	2,064.6
Net Balance at January 1	21,085.9	21,731.5
Incurred Related to
Current Year	1,489.8	1,447.6
Total Incurred	1,630.5	1,525.6
Paid Related to
Current Year	(283.9)	(270.7)
Prior Years	(1,369.3)	(1,385.3)
Total Paid	(1,653.2)	(1,656.0)
Net Balance at March 31	21,063.2	21,601.1
Plus Reinsurance Recoverable	2,139.1	2,077.0
Balance at March 31	23,202.3	23,678.1
Amount Related to Interest
Incurred Related to
Prior Years	295.7	308.3
Incurred Claims
Incurred Related to
Prior Years	(184.8)	(176.9)
Foreign Currency
Incurred Related to
Prior Years	$ 29.8	$ (53.4)

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Liability for Unpaid Claims and CAE Reconciliation of Policy and Contract Benefits and Reserves for Future Policy and Contract Benefits (Details) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016	Dec. 31, 2015
Insurance [Abstract]
Policy and Contract Benefits	$ 1,544.8	$ 1,507.9	$ 1,462.2
Reserves for Future Policy and Contract Benefits	44,502.2	44,245.9	44,446.6
Total Policy and Contract Benefits and Reserves for Future Policy and Contract Benefits	46,047.0		45,908.8
Life Reserves for Future Policy and Contract Benefits	8,105.7		7,959.9
Accident and Health Active Life Reserves	10,271.7		9,804.3
Adjustment Related to Unrealized Investment Gains and Losses	4,467.3		4,466.5
Liability for Upaid Claims and Claims Adjustment Expense	$ 23,202.3	$ 23,249.5	$ 23,678.1	$ 23,796.1

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Premium Income by Major Line of Business within Each Segment (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Segment Reporting Information
Premium Income	$ 2,142.9	$ 2,087.5
Operating Segments
Segment Reporting Information
Premium Income	2,142.9	2,087.5
Operating Segments | Unum US
Segment Reporting Information
Premium Income	1,360.4	1,301.3
Operating Segments | Unum US | Group Long term Disability
Segment Reporting Information
Premium Income	434.4	430.6
Operating Segments | Unum US | Group Short term Disability
Segment Reporting Information
Premium Income	157.9	157.5
Operating Segments | Unum US | Group Life
Segment Reporting Information
Premium Income	367.8	351.5
Operating Segments | Unum US | Accidental Death Dismemberment
Segment Reporting Information
Premium Income	36.6	34.6
Operating Segments | Unum US | Individual Disability
Segment Reporting Information
Premium Income	107.0	123.9
Operating Segments | Unum US | Voluntary Benefits
Segment Reporting Information
Premium Income	215.2	203.2
Operating Segments | Unum US | Dental and Vision
Segment Reporting Information
Premium Income	41.5	0.0
Operating Segments | Unum UK
Segment Reporting Information
Premium Income	121.3	139.3
Operating Segments | Unum UK | Group Long term Disability
Segment Reporting Information
Premium Income	80.8	93.1
Operating Segments | Unum UK | Group Life
Segment Reporting Information
Premium Income	24.8	28.7
Operating Segments | Unum UK | Supplemental Insurance
Segment Reporting Information
Premium Income	15.7	17.5
Operating Segments | Colonial Life
Segment Reporting Information
Premium Income	374.3	351.2
Operating Segments | Colonial Life | Accident, Sickness, and Disability Insurance
Segment Reporting Information
Premium Income	219.1	205.6
Operating Segments | Colonial Life | Life Insurance Product Line
Segment Reporting Information
Premium Income	74.2	67.7
Operating Segments | Colonial Life | Cancer and Critical Illness Colonial
Segment Reporting Information
Premium Income	81.0	77.9
Operating Segments | Closed Block
Segment Reporting Information
Premium Income	286.9	295.7
Operating Segments | Closed Block | Individual Disability Insurance
Segment Reporting Information
Premium Income	121.3	133.6
Operating Segments | Closed Block | Long-term Care
Segment Reporting Information
Premium Income	163.1	161.7
Operating Segments | Closed Block | Other Insurance Product Line
Segment Reporting Information
Premium Income	$ 2.5	$ 0.4

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Selected Operating Statement Data by Segment (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Segment Reporting Information
Premium Income	$ 2,142.9	$ 2,087.5
Net Investment Income	602.4	606.4
Other Income	50.2	52.0
Operating Segments
Segment Reporting Information
Premium Income	2,142.9	2,087.5
Net Investment Income	602.4	606.4
Other Income	50.2	52.0
Operating Revenue	2,795.5	2,745.9
Operating Income (Loss)	339.9	324.7
Operating Segments | Unum US
Segment Reporting Information
Premium Income	1,360.4	1,301.3
Net Investment Income	202.5	207.4
Other Income	28.7	29.0
Operating Revenue	1,591.6	1,537.7
Operating Income (Loss)	239.1	215.9
Operating Segments | Unum UK
Segment Reporting Information
Premium Income	121.3	139.3
Net Investment Income	26.6	26.8
Other Income	0.0	0.0
Operating Revenue	147.9	166.1
Operating Income (Loss)	26.6	33.6
Operating Segments | Colonial Life
Segment Reporting Information
Premium Income	374.3	351.2
Net Investment Income	35.1	34.0
Other Income	0.3	0.3
Operating Revenue	409.7	385.5
Operating Income (Loss)	82.4	77.4
Operating Segments | Closed Block
Segment Reporting Information
Premium Income	286.9	295.7
Net Investment Income	335.3	333.4
Other Income	20.8	22.4
Operating Revenue	643.0	651.5
Operating Income (Loss)	31.6	33.7
Operating Segments | Corporate and Other
Segment Reporting Information
Premium Income	0.0	0.0
Net Investment Income	2.9	4.8
Other Income	0.4	0.3
Operating Revenue	3.3	5.1
Operating Income (Loss)	$ (39.8)	$ (35.9)

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Assets by Segment (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Segment Reporting Information
Assets	$ 62,524.7	$ 61,941.5
Operating Segments
Segment Reporting Information
Assets	62,524.7	61,941.5
Operating Segments | Unum US
Segment Reporting Information
Assets	18,111.9	18,036.6
Operating Segments | Unum UK
Segment Reporting Information
Assets	3,208.9	3,101.4
Operating Segments | Colonial Life
Segment Reporting Information
Assets	3,976.8	3,923.2
Operating Segments | Closed Block
Segment Reporting Information
Assets	33,882.2	33,734.3
Operating Segments | Corporate and Other
Segment Reporting Information
Assets	$ 3,344.9	$ 3,146.0

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Reconciliation of Operating Revenue and Operating Income by Segment to Revenue and Income Before Tax (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Segment Reporting, Revenue Reconciling Item
Total Revenue	$ 2,806.5	$ 2,725.4
Net Realized Investment Gain (Loss)	11.0	(20.5)
Income Before Income Tax	330.3	304.2
Net Realized Investment Gain (Loss)	11.0	(20.5)
Operating Segments
Segment Reporting, Revenue Reconciling Item
Total Revenue	2,806.5	2,725.4
Net Realized Investment Gain (Loss)	11.0	(20.5)
Operating Revenue	2,795.5	2,745.9
Income Before Income Tax	330.3	304.2
Net Realized Investment Gain (Loss)	11.0	(20.5)
Loss Related to Guaranty Fund Assessment	(20.6)	0.0
Operating Income	$ 339.9	$ 324.7

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Segment Information Segment Information - Additional Information (Details)	3 Months Ended
	Mar. 31, 2017 Integer
Segment Reporting [Abstract]
Number of Operating Segments	3

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Employee Benefit Plans Net Periodic Benefit Cost (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
U.S. Plans
Defined Benefit Plan and Other Postretirement Benefit Plans Disclosure
Service Cost	$ 2.0	$ 1.7
Interest Cost	21.1	21.3
Expected Return on Plan Assets	(25.8)	(25.7)
Amortization of Net Actuarial Loss	4.9	4.1
Amortization of Prior Service Credit	(0.1)	(0.1)
Net Periodic Benefit Cost	2.1	1.3
U.K. Plans
Defined Benefit Plan and Other Postretirement Benefit Plans Disclosure
Service Cost	0.0	0.0
Interest Cost	1.5	1.9
Expected Return on Plan Assets	(2.0)	(2.7)
Amortization of Net Actuarial Loss	0.2	0.0
Amortization of Prior Service Credit	0.0	0.0
Net Periodic Benefit Cost	(0.3)	(0.8)
OPEB Plan
Defined Benefit Plan and Other Postretirement Benefit Plans Disclosure
Service Cost	0.0	0.0
Interest Cost	1.5	1.8
Expected Return on Plan Assets	(0.2)	(0.2)
Amortization of Net Actuarial Loss	0.0	0.0
Amortization of Prior Service Credit	(0.1)	0.0
Net Periodic Benefit Cost	$ 1.2	$ 1.6

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Net Income Per Common Share (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Numerator
Net Income	$ 229.9	$ 210.6
Denominator (000s)
Weighted Average Common Shares - Basic	229,429,600	239,619,400
Dilution for Assumed Exercises of Stock Options and Nonvested Stock Awards	949,200	311,000
Weighted Average Common Shares - Assuming Dilution	230,378,800	239,930,400
Net Income Per Common Share
Basic	$ 1.00	$ 0.88
Assuming Dilution	$ 1.00	$ 0.88

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Stockholders' Equity and Earnings Per Common Share Treasury Stock Transactions (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Equity, Class of Treasury Stock
Number of Treasury Shares Repurchased	2.1	3.7
Cost of Shares Repurchased	$ 100.0	$ 100.0
Commission Paid on Common Stock Repurchased	0.0	$ 0.0
Repurchase Program Authorized in May 2016
Equity, Class of Treasury Stock
Authorized Stock Repurchases	750.0
Remaining Authorized Share Repurchases	395.5
Repurchase Program Authorized in May 2015
Equity, Class of Treasury Stock
Authorized Stock Repurchases	$ 750.0

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Stockholders' Equity and Earnings Per Common Share - Additional Information (Detail) - $ / shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Stockholders Equity and Earnings Per Common Share Additional Information [Abstract]
Exercise Price Floor on Outstanding Stock Options	$ 20.78
Exercise Price Ceiling on Outstanding Stock Options	26.29
Outstanding Restricted Stock Unit Grant Prices Lower Limit	27.85
Outstanding Restricted Stock Unit Grant Prices Upper Limit	49.86
Outstanding Performance Share Unit Awards Grant Price Range Lower Limit	27.85
Outstanding Performance Share Unit Awards Grant Price Range Upper Limit	$ 49.86
Number of Antidilutive Securities Excluded from Computation of Earnings Per Share	400,000	500,000
Authorized Shares of Preferred Stock	25,000,000
Par Value Per Share of Preferred Stock	$ 0.10
Issued Shares of Preferred Stock	0

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Commitments and Contingent Liabilities Commitments and Contingent Liabilities - Additional Information (Details) - Settled Litigation - Unfavorable Regulatory Action $ in Millions	3 Months Ended
	Mar. 31, 2017 USD ($)
Loss Contingencies
Loss Contingency Accrual, Insurance-related Assessment, Premium Tax Offset	$ 44.0
Loss Contingency, Loss in Period, Tax	7.2
Net of Tax
Loss Contingencies
Loss Contingency, Loss in Period	$ 13.4

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Debt - Additional Information (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2017 USD ($)
Debt Narrative Detail Information
Letters of Credit Outstanding, Amount	$ 2.1
Amount Outsanding on Credit Facility	0.0
Northwind Holdings LLC
Debt Narrative Detail Information
Principal Payments on Long-term Debt	$ 15.0