8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report

Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 2, 2021

UNUM GROUP
(Exact name of registrant as specified in its charter)
Delaware	001-11294	62-1598430
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS 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 or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, $0.10 par value	UNM	New York Stock Exchange
6.250% Junior Subordinated Notes due 2058	UNMA	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

☐ 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.

Item 2.02    Results of Operations and Financial Condition.

On November 2, 2021, Unum Group (the "Company") issued a news release reporting its results for the third quarter of 2021, a copy of which is furnished herewith as Exhibit 99.1 and incorporated herein by reference.

Also on November 2, 2021, the Company posted on its website at www.unum.com the Statistical Supplement relating to its financial results for the third quarter of 2021. A copy of the Statistical Supplement is furnished herewith as Exhibit 99.2 and incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information in this report, including Exhibits 99.1 and 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference into any of the Company's filings under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01    Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.	Description
99.1	News release of Unum Group dated November 2, 2021, concerning earnings for the third quarter of 2021.
99.2	Statistical Supplement of Unum Group for the third quarter of 2021.
104	Cover Page Interactive Data File (embedded within the Inline XBRL document).

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 hereunto duly authorized.

	Unum Group
	(Registrant)
Date: November 2, 2021	By:	/s/ J. Paul Jullienne
		Name:	J. Paul Jullienne
		Title:	Vice President, Managing Counsel, and
			Corporate Secretary

EX-99.1

		Exhibit 99.1
		1 Fountain Square Chattanooga, TN 37402 www.unum.com
	FOR IMMEDIATE RELEASE
	Contacts
	MEDIA	Natalie Godwin ngodwin@unum.com
	INVESTORS	Tom White 423-294-8996 tawhite@unum.com

Unum Group Reports Third Quarter 2021 Results

•Net income of $328.6 million ($1.60 per diluted common share) for the third quarter of 2021; after-tax adjusted operating income was $210.5 million ($1.03 per diluted common share).

•Results reflect higher COVID-related mortality and evolving nature of the pandemic, growth in sales and premium, and continued strong returns in alternative invested asset portfolio.

•Strong balance sheet and liquidity with holding company cash of $1.6 billion; weighted average risk-based capital ratio of approximately 380 percent.

•Robust capital position enables balanced capital deployment plans, with the previously announced share repurchase authorization.

•GAAP actuarial assumption updates; favorable long-term disability recovery trends drive GAAP claim reserve release.

•Book value per common share of $54.39 grew 1.7 percent over the year-ago quarter.

CHATTANOOGA, Tenn.(November 2, 2021) - Unum Group (NYSE: UNM) today reported net income of $328.6 million ($1.60 per diluted common share) for the third quarter of 2021, compared to net income of $231.1 million ($1.13 per diluted common share) for the third quarter of 2020.

Included in net income for the third quarter of 2021 are a net after-tax reserve decrease related to reserve assumption updates of $143.3 million ($0.70 per diluted common share), an after-tax impairment loss on internal-use software of $9.6 million ($0.05 per diluted common share), the after-tax amortization of the cost of reinsurance of $15.5 million ($0.08 per diluted common share), and a net after-tax realized investment loss on the Company’s investment portfolio of $0.1 million ($— per diluted common share). Included in net income for the third quarter of 2020 are after-tax costs related to an organizational design update of $18.6 million ($0.09 per diluted common share), as well as a net after-tax realized investment gain on the Company's investment portfolio of $3.8 million ($0.01 per diluted common share). Excluding the items above, after-tax adjusted operating income was $210.5 million ($1.03 per diluted common share) in the third quarter of 2021, compared to $245.9 million ($1.21 per diluted common share) in the third quarter of 2020.

“Our solid core business performance in the third quarter was offset by elevated levels of COVID mortality among younger populations, where we have a greater presence as a leading provider of employee benefits. Overall, we saw steady growth in sales and premiums in line with our expectations,” said Richard P. McKenney, president and chief executive officer. “Thanks to our strong capital position, we recently announced a new $250 million share repurchase authorization, which is coupled with investing in our business and returning capital to shareholders through dividends.”

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES.

RESULTS BY SEGMENT

We measure and analyze our segment performance on the basis of "adjusted operating income" or "adjusted operating loss", which differ from income before income tax as presented in our consolidated statements of income due to the exclusion of net realized investment gains and losses, amortization of cost of reinsurance, and certain other items. These performance measures are in accordance with GAAP guidance for segment reporting, but they should not be viewed as a substitute for income before income tax or net income. 

Unum US Segment

Unum US reported a 53.0 percent decrease in adjusted operating income to $88.5 million in the third quarter of 2021, which excludes a reserve decrease related to the reserve assumption update in our group disability line of business of $215.0 million, compared to $188.2 million in the third quarter of 2020. Premium income for the segment increased 1.2 percent to $1,500.8 million in the third quarter of 2021, compared to $1,483.4 million in the third quarter of 2020. Net investment income for the segment decreased 7.6 percent to $176.2 million in the third quarter of 2021, compared to $190.7 million in the third quarter of 2020.

Within the Unum US operating segment, the group disability line of business reported a 45.9 percent decrease in adjusted operating income to $39.5 million in the third quarter of 2021, which excludes the reserve decrease related to the reserve assumption update of $215.0 million, compared to $73.0 million in the third quarter of 2020. Premium income for the group disability line of business increased 2.6 percent to $663.8 million in the third quarter of 2021, compared to $646.7 million in the third quarter of 2020, due to higher sales in the group short-term disability product line. Net investment income decreased 11.5 percent to $93.3 million in the third quarter of 2021, compared to $105.4 million in the third quarter of 2020, due to a decrease in miscellaneous investment income, a decline in the yield on invested assets, and a lower level of invested assets. The benefit ratio for the third quarter of 2021 was 78.9 percent, which excludes the previously discussed reserve assumption update, compared to 74.1 percent in the third quarter of 2020, due to higher claims incidence in both the group short-term and long-term disability product lines, partially offset by favorable recoveries in the long-term disability product line. Group long-term disability sales were $26.2 million in the third quarter of 2021, a decrease of 12.1 percent from $29.8 million in the third quarter of 2020. Group short-term disability sales were $21.6 million in the third quarter of 2021, an increase of 42.1 percent from $15.2 million in the third quarter of 2020. Persistency in the group long-term disability product line was 89.8 percent for the first nine months of 2021, compared to 90.3 percent for the first nine months of 2020. Persistency in the group short-term disability product line was 87.1 percent for the first nine months of 2021, compared to 87.5 percent for the first nine months of 2020.

The group life and accidental death and dismemberment line of business reported an adjusted operating loss of $67.1 million in the third quarter of 2021, compared to adjusted operating income of $13.9 million in the third quarter of 2020. Premium income for this line of business was $443.8 million in the third quarter of 2021, which was generally consistent with the $446.0 million in the third quarter of 2020. Net investment income decreased 3.6 percent to $24.3 million in the third quarter of 2021, compared to $25.2 million in the third quarter of 2020, due to a decline in the yield on invested assets and lower miscellaneous investment income, partially offset by a higher level of invested assets. The benefit ratio in the third quarter of 2021 was 100.6 percent, compared to 83.5 percent in the third quarter of 2020, due to higher incidence and higher average claim size in the group life product line, resulting primarily from the impacts of COVID-19. Sales of group life and accidental death and dismemberment products decreased 15.0 percent in the third quarter of 2021 to $26.6 million, compared to $31.3 million in the third quarter of 2020. Persistency in the group life product line was 89.9 percent for the first nine months of 2021, compared to 88.6 percent for the first nine months of 2020. Persistency in the accidental death and dismemberment product line was 89.3 percent for the first nine months of 2021, compared to 87.8 percent for the first nine months of 2020.

The supplemental and voluntary line of business reported an increase of 14.6 percent in adjusted operating income to $116.1 million in the third quarter of 2021, compared to $101.3 million in the third quarter of 2020. Premium income for the supplemental and voluntary line of business increased slightly to $393.2 million in the third quarter of 2021, compared to $390.7 million in the third quarter of 2020, due to higher sales in the dental and vision product line, mostly offset by a decline in the voluntary benefits and individual disability product lines. Net investment income

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 2

decreased 2.5 percent to $58.6 million in the third quarter of 2021, compared to $60.1 million in the third quarter of 2020, due primarily to a lower level of invested assets and lower miscellaneous investment income. The benefit ratio for the individual disability product line was 40.1 percent for the third quarter of 2021, compared to 48.6 percent for the third quarter of 2020, due primarily to lower claims incidence. The benefit ratio for the voluntary benefits product line was 46.6 percent in the third quarter of 2021, compared to 45.6 percent for the third quarter of 2020, due to higher incidence in the life product line, resulting from the impacts of COVID-19. The benefit ratio for the dental and vision product line was 75.0 percent for the third quarter of 2021, compared to 76.8 percent for the third quarter of 2020, due primarily to lower claims incidence compared to the same period of 2020 where we experienced higher claims incidence resulting from the impacts of COVID-19. Relative to the third quarter of 2020, sales in the individual disability product line increased 22.9 percent in the third quarter of 2021 to $20.9 million. Sales in the voluntary benefits product line increased 13.7 percent in the third quarter of 2021 to $34.0 million. Sales in the dental and vision product line totaled $12.6 million for the third quarter of 2021, an increase of 48.2 percent compared to the third quarter of 2020. Persistency in the individual disability product line was 88.4 percent for the first nine months of 2021, compared to 89.8 percent for the first nine months of 2020. Persistency in the voluntary benefits product line was 75.4 percent for the first nine months of 2021, compared to 72.7 percent for the first nine months of 2020. Persistency in the dental and vision product line was 86.3 percent for the first nine months of 2021, compared to 82.4 percent for the first nine months of 2020.

Unum International

The Unum International segment reported adjusted operating income of $27.4 million in the third quarter of 2021, an increase of 28.0 percent from $21.4 million in the third quarter of 2020. Premium income increased 9.8 percent to $181.6 million in the third quarter of 2021, compared to $165.4 million in the third quarter of 2020. Net investment income increased 25.9 percent to $33.1 million in the third quarter of 2021, compared to $26.3 million in the third quarter of 2020. Sales increased 36.2 percent to $24.1 million in the third quarter of 2021, compared to $17.7 million in the third quarter of 2020.

The Unum UK line of business reported adjusted operating income, in local currency, of £18.4 million in the third quarter of 2021, an increase of 21.1 percent from £15.2 million in the third quarter of 2020. Premium income was £115.4 million in the third quarter of 2021, an increase of 2.9 percent from £112.1 million in the third quarter of 2020, due to growth in the in-force block resulting from the impact of rate increases in the group long-term disability product line and higher overall persistency. Net investment income was £22.5 million in the third quarter of 2021, an increase of 19.0 percent from £18.9 million in the third quarter of 2020, due to higher investment income from inflation index-linked bonds and higher asset levels, partially offset by a lower yield on fixed-rate bonds. The benefit ratio in the third quarter of 2021 was 79.2 percent, compared to 77.1 percent in the third quarter of 2020, due to higher inflation-linked experience in benefits and a higher average claim size in the group life product line, partially offset by lower claim incidence in the group long-term disability product line. Sales increased 40.2 percent to £15.0 million in the third quarter of 2021, compared to £10.7 million in the third quarter of 2020. Persistency in the group long-term disability product line was 88.9 percent for the first nine months of 2021, compared to 87.2 percent for the first nine months of 2020. Persistency in the group life product line was 86.0 percent for the first nine months of 2021, compared to 81.0 percent for the first nine months of 2020. Persistency in the supplemental product line was 89.9 percent for the first nine months of 2021, compared to 90.3 percent for the first nine months of 2020.

Colonial Life Segment

Colonial Life reported a 13.1 percent decrease in adjusted operating income to $80.1 million in the third quarter of 2021, compared to $92.2 million in the third quarter of 2020. Premium income increased slightly to $420.8 million in the third quarter of 2021, compared to $419.9 million in the third quarter of 2020, due to higher overall persistency and higher year-to-date sales. Net investment income increased 18.5 percent to $51.8 million in the third quarter of 2021, compared to the $43.7 million in the third quarter of 2020, due to higher miscellaneous investment income and a higher level of invested assets. The benefit ratio was 55.9 percent in the third quarter of 2021, compared to 52.2 percent in the third quarter of 2020, due primarily to unfavorable experience in the life product line resulting from the impacts of COVID-19.

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 3

Sales increased 28.6 percent to $112.3 million in the third quarter of 2021, compared to $87.3 million in the third quarter of 2020. Persistency in Colonial Life was 78.9 percent for the first nine months of 2021, compared to 77.6 percent for the first nine months of 2020.

Closed Block Segment

The Closed Block segment reported adjusted operating income of $109.8 million in the third quarter of 2021, which excludes the reserve increases related to reserve assumption updates of $33.6 million, primarily related to the closed group pension block, as well as the amortization of cost of reinsurance related to the Closed Block individual disability reinsurance transaction of $19.7 million, compared to $70.8 million in the third quarter of 2020. Premium income for this segment was $250.5 million in the third quarter of 2021, which was generally consistent with the third quarter of 2020, due to rate increases on certain in-force business in the long-term care line of business mostly offset by policy terminations and maturities. Net investment income decreased 19.0 percent to $284.6 million in the third quarter of 2021, compared to $351.2 million in the third quarter of 2020, due to a decrease in the level of invested assets supporting the individual disability line of business resulting from the reinsurance transaction that occurred in the first quarter of 2021 and fourth quarter of 2020, as well as a decline in the yield on invested assets. These decreases were partially offset by higher miscellaneous investment income, primarily related to increases in the net asset values on our private equity partnerships.

The interest adjusted loss ratio for the long-term care line of business was 74.8 percent in the third quarter of 2021, excluding the reserve increase related to the assumption update, compared to an interest adjusted loss ratio of 67.4 percent in the third quarter of 2020, driven by lower claimant mortality and higher submitted claims. The interest adjusted loss ratio for long-term care for the rolling twelve months ended September 30, 2021, excluding the reserve increases related to the assumption updates, was 71.8 percent which is below our long-term expected range. The interest adjusted loss ratio for the individual disability line of business, excluding the reserve increase related to the assumption update, was 58.2 percent in the third quarter of 2021, compared to 86.6 percent in the third quarter of 2020, driven primarily by lower submitted claims.

Corporate Segment

The Corporate segment reported an adjusted operating loss of $45.4 million in the third quarter of 2021, which excludes the before-tax impairment loss on internal-use software of $12.1 million, compared to an adjusted operating loss of $54.1 million in the third quarter of 2020, which excludes the costs related to an organizational design update of $23.3 million.

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 4

OTHER INFORMATION

Shares Outstanding

The Company’s weighted average number of shares outstanding, assuming dilution, was 205.1 million for the third quarter of 2021, compared to 203.9 million for the third quarter of 2020. Shares outstanding totaled 204.4 million at September 30, 2021. The Company did not repurchase shares during the first nine months of 2021.

On October 25, 2021, our board of directors authorized the repurchase of up to $250.0 million of Unum Group's outstanding common stock through December 31, 2022, with the timing and amount of repurchase activity to be based on market conditions and other considerations, including the level of available cash, alternative uses for cash, and our stock price. The Company intends to execute an accelerated stock repurchase agreement to repurchase $50 million of the Company’s common stock during the fourth quarter of 2021.

Capital Management

At September 30, 2021, the weighted average risk-based capital ratio for the Company’s traditional U.S. insurance companies was approximately 380 percent, and cash and marketable securities in the holding companies equaled $1,638.0 million.

Book Value

Book value per common share as of September 30, 2021 was $54.39, compared to $53.50 at September 30, 2020.

Outlook

The volatility of the global pandemic and subsequent impacts to our business make fourth quarter estimates challenging. As a result, Unum will not provide an outlook for the remainder of 2021 and intends to provide a financial outlook for 2022 during the first quarter of next year.

NON-GAAP 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 adjusted 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 the amortization of the cost of reinsurance as well as certain other items as specified in the reconciliations in the Financial Highlights section below.  We believe after-tax adjusted 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 have exited a substantial portion of our Closed Block individual disability product line through the two phases of the reinsurance transaction that were executed in December 2020 and March 2021, respectively. As a result, we exclude the amortization of the cost of reinsurance that was recognized upon the exit of the business related to the ceded reserves for the cohort of policies on claim status. We believe that the exclusion of the amortization of the cost of reinsurance provides a better view of our results from our ongoing businesses.

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 5

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.

CONFERENCE CALL INFORMATION

Members of Unum Group senior management will host a conference call on Wednesday, November 3, at 8:00 a.m. (Eastern Time) to discuss the results of operations for the third quarter. Topics may include forward-looking information, such as the Company’s outlook on future results, trends in operations, and other material information.

The dial-in number for the conference call is 1-844-200-6205 for callers in the U.S. (access code 319239). For all other callers, the dial-in number is 1-929-526-1599 (access code 319239). A live webcast of the call will also be available at www.investors.unum.com in a listen-only mode. It is recommended that webcast viewers access the “Investors” section of the Company’s website and opt-in to the webcast approximately 10 minutes prior to the start of the call. A replay of the webcast will be available on the Company's website, and will be available through Wednesday, November 10 by dialing 1-866-813-9403 (U.S.), 0204-525-0658 (U.K.), or +44-204-525-0658 (All Other Locations) - pass code 764052.

In conjunction with today’s earnings announcement, the Company’s Statistical Supplement for the third quarter of 2021 is available on the “Investors” section of the Company’s website.

# # #

ABOUT UNUM GROUP

Unum Group (www.unum.com), an international provider of workplace benefits and services, has been helping workers and their families for more than 170 years. Through its Unum US, Unum International, and Colonial Life businesses, the company offers disability, life, accident, critical illness, dental, vision and stop-loss insurance; leave and absence management support and behavioral health services. In 2020, Unum reported revenues of $13.2 billion and provided $7.6 billion in benefits. The Fortune 250 company is one of the 2021 World's Most Ethical Companies, recognized by the Ethisphere® Institute.

For more information, visit the Unum newsroom (www.unum.com/about/newsroom), and connect with us on LinkedIn (www.linkedin.com/company/unum), Facebook (www.facebook.com/unumbenefits), and Twitter (www.twitter.com/unumnews).

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 6

SAFE HARBOR STATEMENT

Certain information in this news release constitutes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those not based on historical information, but rather relate to our outlook, future operations, strategies, financial results, or other developments and speak only as of the date made. These forward-looking statements, including statements about capital deployment plans, are subject to numerous assumptions, risks, and uncertainties, many of which are beyond our control. 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: (1) the impact of the COVID-19 pandemic on our business, financial position, results of operations, liquidity and capital resources, and overall business operations; (2) sustained periods of low interest rates; (3) 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 governmental programs; (4) unfavorable economic or business conditions, both domestic and foreign, that may result in decreases in sales, premiums, or persistency, as well as unfavorable claims activity; (5) changes in, or interpretations or enforcement of laws and regulations; (6) a cyber attack or other security breach could result in the unauthorized acquisition of confidential data; (7) 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; (8) 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; (9) increased competition from other insurers and financial services companies due to industry consolidation, new entrants to our markets, or other factors; (10) changes in our financial strength and credit ratings; (11) our ability to develop digital capabilities or execute on our technology systems upgrades or replacements; (12) actual experience in the broad array of our products that deviates from our assumptions used in pricing, underwriting, and reserving; (13) availability of reinsurance in the market and the ability of our reinsurers to meet their obligations to us; (14) ability to generate sufficient internal liquidity and/or obtain external financing; (15) damage to our reputation due to, among other factors, regulatory investigations, legal proceedings, external events, and/or inadequate or failed internal controls and procedures; (16) recoverability and/or realization of the carrying value of our intangible assets, long-lived assets, and deferred tax assets; (17) effectiveness of our risk management program; (18) contingencies and the level and results of litigation; (19) 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; and (20) fluctuation in foreign currency exchange rates.

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 “Risk Factors” of our annual report on Form 10-K for the year ended December 31, 2020. The forward-looking statements in this news release are being made as of the date of this news release, and we expressly disclaim any obligation to update or revise any forward-looking statement contained herein, even if made available on our website or otherwise.

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 7

Unum Group

FINANCIAL HIGHLIGHTS

(Unaudited)

($ in millions, except share data)
	Three Months Ended September 30				Nine Months Ended September 30
	2021		2020		2021		2020
Revenue
Premium Income	$	2,353.7	$	2,318.1	$	7,106.4	$	7,058.2
Net Investment Income	550.2		613.2		1,662.4		1,767.2
Net Realized Investment Gain (Loss)	(0.1)		4.4		85.4		(105.8)
Other Income	65.9		60.6		180.5		169.0
Total Revenue	2,969.7		2,996.3		9,034.7		8,888.6
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	1,753.9		1,888.6		5,659.2		5,626.2
Commissions	258.3		258.3		777.9		810.5
Interest and Debt Expense	44.7		49.4		134.4		142.6
Cost Related to Early Retirement of Debt	—		—		67.3		—
Deferral of Acquisition Costs	(128.6)		(134.9)		(388.9)		(446.8)
Amortization of Deferred Acquisition Costs	138.4		149.7		440.8		466.6
Other Expenses	493.1		485.6		1,472.7		1,450.2
Total Benefits and Expenses	2,559.8		2,696.7		8,163.4		8,049.3
Income Before Income Tax	409.9		299.6		871.3		839.3
Income Tax Expense	81.3		68.5		206.8		181.7
Net Income	$	328.6	$	231.1	$	664.5	$	657.6
PER SHARE INFORMATION
Net Income Per Common Share
Basic	$	1.61	$	1.13	$	3.25	$	3.23
Assuming Dilution	$	1.60	$	1.13	$	3.24	$	3.23
Weighted Average Common Shares - Basic (000s)	204,645.8		203,761.3		204,429.6		203,564.7
Weighted Average Common Shares - Assuming Dilution (000s)	205,142.3		203,879.1		205,052.9		203,636.1
Outstanding Shares - (000s)					204,405.8		203,588.8

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 8

Reconciliation of Non-GAAP Financial Measures

	Three Months Ended September 30
	2021				2020
	(in millions)		per share *		(in millions)		per share *
Net Income	$	328.6	$	1.60	$	231.1	$	1.13
Excluding:
Net Realized Investment Gain (Loss) (net of tax expense of $—; $0.6)	(0.1)		—		3.8		0.01
Amortization of the Cost of Reinsurance (net of tax benefit of $4.2; $—)	(15.5)		(0.08)		—		—
Net Reserve Decrease Related to Reserve Assumption Updates (net of tax expense of $38.1; $—)	143.3		0.70		—		—
Impairment Loss on Internal-Use Software (net of tax benefit of $2.5; $—)	(9.6)		(0.05)		—		—
Costs Related to Organizational Design Update (net of tax benefit of $—; $4.7)	—		—		(18.6)		(0.09)
After-tax Adjusted Operating Income	$	210.5	$	1.03	$	245.9	$	1.21
* Assuming Dilution

	September 30
	2021				2020
	(in millions)		per share		(in millions)		per share
Total Stockholders' Equity (Book Value)	$	11,118.2	$	54.39	$	10,892.2	$	53.50
Excluding:
Net Unrealized Gain on Securities	836.0		4.09		1,104.5		5.42
Net Gain on Hedges	69.5		0.34		158.7		0.78
Subtotal	10,212.7		49.96		9,629.0		47.30
Excluding:
Foreign Currency Translation Adjustment	(275.2)		(1.35)		(313.7)		(1.54)
Subtotal	10,487.9		51.31		9,942.7		48.84
Excluding:
Unrecognized Pension and Postretirement Benefit Costs	(516.4)		(2.53)		(471.9)		(2.32)
Total Stockholders' Equity, Excluding Accumulated Other Comprehensive Income (Loss)	$	11,004.3	$	53.84	$	10,414.6	$	51.16

UNUM IS A REGISTERED TRADEMARK AND MARKETING BRAND OF UNUM GROUP AND ITS INSURING SUBSIDIARIES. 9

EX-99.2

Unum Group

Statistical Supplement Third Quarter 2021

TABLE OF CONTENTS

(in millions of dollars, except share data and where noted)

Interim Results are Unaudited

	Page
Financial Highlights	1
Capital Metrics	2
Ratings	3
Consolidated Statements of Income	4
Sales Data by Segment	5
Consolidated Balance Sheets	6
Financial Results by Segment	7
Quarterly Historical Financial Results by Segment	8
Financial Results and Selected Statistics by Segment
Unum US	9
Unum International	10
Colonial Life	11
Closed Block	12
Corporate	13
Reserves	14
Investments	15
Appendix to Statistical Supplement	16
See "Appendix to Statistical Supplement" on page 16 for a summary of significant items and page 16.4 for a reconciliation of our non-GAAP financial measures.
N.M. = not a meaningful percentage

Unum Group Financial Highlights

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Consolidated U.S. GAAP Results¹
Premium Income	$	2,353.7		$	2,318.1		$	7,106.4		$	7,058.2		$	9,378.1		$	9,365.6
Adjusted Operating Revenue	$	2,969.8		$	2,991.9		$	8,949.3		$	8,994.4		$	11,963.0		$	12,022.1
Net Realized Investment Gain (Loss)	(0.1)			4.4			85.4			(105.8)			1,199.1			(23.2)
Revenue	$	2,969.7		$	2,996.3		$	9,034.7		$	8,888.6		$	13,162.1		$	11,998.9
Net Income	$	328.6		$	231.1		$	664.5		$	657.6		$	793.0		$	1,100.3
Net Income Per Common Share:
Basic	$	1.61		$	1.13		$	3.25		$	3.23		$	3.89		$	5.25
Assuming Dilution	$	1.60		$	1.13		$	3.24		$	3.23		$	3.89		$	5.24
Assets							$	70,597.9		$	69,616.0		$	70,625.8		$	67,013.4
Stockholders' Equity							$	11,118.2		$	10,892.2		$	10,871.0		$	9,965.0
Adjusted Operating Return on Equity
Unum US	6.2		%	13.4		%	8.9		%	16.0		%	14.6		%	18.0		%
Unum International	11.8		%	2.6		%	10.4		%	5.8		%	6.5		%	11.7		%
Colonial Life	16.1		%	18.4		%	16.4		%	17.6		%	16.7		%	17.5		%
Core Operating Segments	9.1		%	13.4		%	10.8		%	15.2		%	14.1		%	17.2		%
Consolidated	8.3		%	10.3		%	9.5		%	10.9		%	10.7		%	12.8		%

Traditional U.S. Life Insurance Companies' Statutory Results2
Net Gain from Operations, After Tax	$	117.1	$	217.9	$	431.3	$	871.0	$	726.2	$	1,027.2
Net Realized Investment Gain (Loss), After Tax	68.9		(5.6)		87.3		(90.0)		(79.4)		(45.1)
Net Income	$	186.0	$	212.3	$	518.6	$	781.0	$	646.8	$	982.1
Capital and Surplus					$	3,830.9	$	3,729.3	$	3,875.0	$	3,644.4
Weighted Average Risk-based Capital Ratio					~380%		~ 380%		~ 365%		~ 365%

1 Generally Accepted Accounting Principles

2 Our traditional U.S. life insurance companies are Provident Life and Accident Insurance Company, Unum Life Insurance Company of America, The Paul Revere Life Insurance Company, Colonial Life & Accident Insurance Company, Provident Life and Casualty Insurance Company, First Unum Life Insurance Company, Unum Insurance Company, and Starmount Life Insurance Company.

1

Unum Group Capital Metrics

	9/30/2021				9/30/2020				12/31/2020				12/31/2019
	(in millions)		per share		(in millions)		per share		(in millions)		per share		(in millions)		per share
Total Stockholders' Equity (Book Value)	$	11,118.2	$	54.39	$	10,892.2	$	53.50	$	10,871.0	$	53.37	$	9,965.0	$	49.10
Excluding:
Net Unrealized Gain on Securities	836.0		4.09		1,104.5		5.42		1,067.7		5.24		615.9		3.03
Net Gain on Hedges	69.5		0.34		158.7		0.78		97.8		0.48		187.8		0.93
Subtotal	10,212.7		49.96		9,629.0		47.30		9,705.5		47.65		9,161.3		45.14
Excluding:
Foreign Currency Translation Adjustment	(275.2)		(1.35)		(313.7)		(1.54)		(261.3)		(1.28)		(281.6)		(1.39)
Subtotal	10,487.9		51.31		9,942.7		48.84		9,966.8		48.93		9,442.9		46.53
Excluding:
Unrecognized Pension and Postretirement Benefit Costs	(516.4)		(2.53)		(471.9)		(2.32)		(530.0)		(2.61)		(484.8)		(2.39)
Total Stockholders' Equity, Excluding Accumulated Other Comprehensive Income (Loss)	$	11,004.3	$	53.84	$	10,414.6	$	51.16	$	10,496.8	$	51.54	$	9,927.7	$	48.92
Dividends to Stockholders	$	179.3	$	0.87	$	175.1	$	0.86	$	233.2	$	1.14	$	231.3	$	1.09

	Three Months Ended				Nine Months Ended						Year Ended
	9/30/2021		9/30/2020		9/30/2021			9/30/2020			12/31/2020			12/31/2019
Shares Repurchased (millions)	—		—		—			—			—			12.3
Cost of Shares Repurchased (millions)(1)	$	—	$	—	$	—		$	—		$	—		$	400.4
Price (UNM closing price on last trading day of period)					$	25.06		$	16.83		$	22.94		$	29.16
Leverage Ratio					25.7		%	28.6		%	26.2		%	29.1		%
Holding Company Cash and Marketable Securities					$	1,638		$	1,178		$	1,512		$	863

(1) Includes commissions of $0.4 million for the year ended December 31, 2019.

2

Unum Group Ratings

	AM Best	Fitch	Moody's	S&P
Outlook	Stable	Stable	Negative	Stable
Issuer Credit Ratings	bbb	BBB-	Baa3	BBB
Financial Strength Ratings
Provident Life and Accident Insurance Company	A	A-	A3	A
Unum Life Insurance Company of America	A	A-	A3	A
Colonial Life & Accident Insurance Company	A	A-	A3	A
The Paul Revere Life Insurance Company	A	A-	A3	A
Starmount Life Insurance Company	A	NR	NR	NR
Unum Insurance Company	A-	A-	A3	NR
Unum Limited	NR	NR	NR	A-

NR = not rated

3

Unum Group Consolidated Statements of Income

	Three Months Ended				Nine Months Ended				Year Ended
	9/30/2021		9/30/2020		9/30/2021		9/30/2020		12/31/2020		12/31/2019
Revenue
Premium Income	$	2,353.7	$	2,318.1	$	7,106.4	$	7,058.2	$	9,378.1	$	9,365.6
Net Investment Income	550.2		613.2		1,662.4		1,767.2		2,360.7		2,435.3
Net Realized Investment Gain (Loss)	(0.1)		4.4		85.4		(105.8)		1,199.1		(23.2)
Other Income	65.9		60.6		180.5		169.0		224.2		221.2
Total Revenue	2,969.7		2,996.3		9,034.7		8,888.6		13,162.1		11,998.9
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	1,753.9		1,888.6		5,659.2		5,626.2		8,972.9		7,496.2
Commissions	258.3		258.3		777.9		810.5		1,057.3		1,122.7
Interest and Debt Expense - Non-recourse Debt	—		0.4		—		1.9		3.1		5.3
Interest and Debt Expense - All Other Debt	44.7		49.0		134.4		140.7		185.1		172.1
Cost Related to Early Retirement of Debt	—		—		67.3		—		—		27.3
Deferral of Acquisition Costs	(128.6)		(134.9)		(388.9)		(446.8)		(576.2)		(658.6)
Amortization of Deferred Acquisition Costs	138.4		149.7		440.8		466.6		606.1		609.9
Other Expenses	493.1		485.6		1,472.7		1,450.2		1,949.8		1,841.9
Total Benefits and Expenses	2,559.8		2,696.7		8,163.4		8,049.3		12,198.1		10,616.8
Income Before Income Tax	409.9		299.6		871.3		839.3		964.0		1,382.1
Income Tax	81.3		68.5		206.8		181.7		171.0		281.8
Net Income	$	328.6	$	231.1	$	664.5	$	657.6	$	793.0	$	1,100.3
Weighted Average Shares Outstanding
Basic	204.6		203.8		204.4		203.6		203.6		209.7
Assuming Dilution	205.1		203.9		205.1		203.6		203.8		209.9
Actual Number of Shares Outstanding					204.4		203.6		203.7		202.9

4

Unum Group Sales Data for Unum US Segment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021		9/30/2020		% Change		9/30/2021		9/30/2020		% Change		12/31/2020		12/31/2019
Sales by Product
Group Disability and Group Life and AD&D
Group Long-term Disability	$	26.2	$	29.8	(12.1)	%	$	99.3	$	116.4	(14.7)	%	$	239.7	$	241.5
Group Short-term Disability	21.6		15.2		42.1		76.9		59.0		30.3		158.7		159.2
Group Life and AD&D	26.6		31.3		(15.0)		120.6		116.0		4.0		224.3		258.3
Subtotal	74.4		76.3		(2.5)		296.8		291.4		1.9		622.7		659.0
Supplemental and Voluntary
Individual Disability	20.9		17.0		22.9		52.8		53.9		(2.0)		71.4		75.9
Voluntary Benefits	34.0		29.9		13.7		178.7		205.5		(13.0)		241.6		300.6
Dental and Vision	12.6		8.5		48.2		33.6		32.0		5.0		63.9		74.6
Subtotal	67.5		55.4		21.8		265.1		291.4		(9.0)		376.9		451.1
Total Sales	$	141.9	$	131.7	7.7		$	561.9	$	582.8	(3.6)		$	999.6	$	1,110.1
Sales by Market Sector
Group Disability and Group Life and AD&D
Core Market (< 2,000 employees)	$	45.9	$	46.7	(1.7)	%	$	187.5	$	178.5	5.0	%	$	377.0	$	370.8
Large Case Market	28.5		29.6		(3.7)		109.3		112.9		(3.2)		245.7		288.2
Subtotal	74.4		76.3		(2.5)		296.8		291.4		1.9		622.7		659.0
Supplemental and Voluntary	67.5		55.4		21.8		265.1		291.4		(9.0)		376.9		451.1
Total Sales	$	141.9	$	131.7	7.7		$	561.9	$	582.8	(3.6)		$	999.6	$	1,110.1

5

Unum Group Sales Data for Unum International Segment

	Three Months Ended						Nine Months Ended						Year Ended
(in millions of dollars)	9/30/2021		9/30/2020		% Change		9/30/2021		9/30/2020		% Change		12/31/2020		12/31/2019
Sales by Product
Unum UK
Group Long-term Disability	$	10.1	$	8.1	24.7	%	$	33.4	$	29.7	12.5	%	$	37.7	$	43.2
Group Life	6.8		4.3		58.1		22.9		16.1		42.2		20.6		24.3
Supplemental	3.7		1.5		146.7		13.6		16.5		(17.6)		18.9		19.5
Unum Poland	3.5		3.8		(7.9)		10.5		9.4		11.7		13.3		13.0
Total Sales	$	24.1	$	17.7	36.2		$	80.4	$	71.7	12.1		$	90.5	$	100.0
Sales by Market Sector
Unum UK
Group Long-term Disability and Group Life
Core Market (< 500 employees)	$	9.3	$	7.6	22.4	%	$	30.5	$	26.9	13.4	%	$	36.2	$	38.2
Large Case Market	7.6		4.8		58.3		25.8		18.9		36.5		22.1		29.3
Subtotal	16.9		12.4		36.3		56.3		45.8		22.9		58.3		67.5
Supplemental	3.7		1.5		146.7		13.6		16.5		(17.6)		18.9		19.5
Unum Poland	3.5		3.8		(7.9)		10.5		9.4		11.7		13.3		13.0
Total Sales	$	24.1	$	17.7	36.2		$	80.4	$	71.7	12.1		$	90.5	$	100.0
(in millions of pounds)
Unum UK Sales by Product
Group Long-term Disability	£	7.4	£	6.2	19.4	%	£	24.1	£	23.4	3.0	%	£	29.5	£	33.7
Group Life	4.9		3.3		48.5		16.5		12.7		29.9		16.1		19.0
Supplemental	2.7		1.2		125.0		9.9		13.0		(23.8)		14.9		15.1
Total Sales	£	15.0	£	10.7	40.2		£	50.5	£	49.1	2.9		£	60.5	£	67.8
Unum UK Sales by Market Sector
Group Long-term Disability and Group Life
Core Market (< 500 employees)	£	6.7	£	5.8	15.5	%	£	22.0	£	21.1	4.3	%	£	28.3	£	29.9
Large Case Market	5.6		3.7		51.4		18.6		15.0		24.0		17.3		22.8
Subtotal	12.3		9.5		29.5		40.6		36.1		12.5		45.6		52.7
Supplemental	2.7		1.2		125.0		9.9		13.0		(23.8)		14.9		15.1
Total Sales	£	15.0	£	10.7	40.2		£	50.5	£	49.1	2.9		£	60.5	£	67.8

5. 1

Unum Group Sales Data for Colonial Life Segment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021		9/30/2020		% Change		9/30/2021		9/30/2020		% Change		12/31/2020		12/31/2019
Sales by Product
Accident, Sickness, and Disability	$	69.8	$	55.3	26.2	%	$	196.4	$	165.2	18.9	%	$	261.5	$	354.4
Life	26.4		19.5		35.4		73.2		56.3		30.0		88.8		122.7
Cancer and Critical Illness	16.1		12.5		28.8		44.0		37.4		17.6		62.8		88.9
Total Sales	$	112.3	$	87.3	28.6		$	313.6	$	258.9	21.1		$	413.1	$	566.0
Sales by Market Sector
Commercial
Core Market (< 1,000 employees)	$	72.3	$	57.3	26.2	%	$	207.2	$	170.8	21.3	%	$	266.2	$	345.7
Large Case Market	14.3		8.7		64.4		43.4		30.6		41.8		57.4		81.4
Subtotal	86.6		66.0		31.2		250.6		201.4		24.4		323.6		427.1
Public Sector	25.7		21.3		20.7		63.0		57.5		9.6		89.5		138.9
Total Sales	$	112.3	$	87.3	28.6		$	313.6	$	258.9	21.1		$	413.1	$	566.0

5. 2

Unum Group Consolidated Balance Sheets

	September 30		December 31
	2021		2020
Assets
Investments
Fixed Maturity Securities	$	43,628.3	$	44,137.3
Mortgage Loans	2,499.4		2,432.1
Policy Loans	3,691.4		3,683.9
Other Long-term Investments	1,124.5		960.2
Short-term Investments	1,472.7		1,470.0
Total Investments	52,416.3		52,683.5
Other Assets
Cash and Bank Deposits	121.7		197.0
Accounts and Premiums Receivable	1,545.9		1,519.3
Reinsurance Recoverable	11,105.8		10,666.0
Accrued Investment Income	598.2		611.4
Deferred Acquisition Costs	2,231.5		2,272.6
Goodwill	352.1		353.0
Property and Equipment	462.5		498.0
Income Tax Receivable	—		72.7
Other Assets	1,763.9		1,752.3
Total Assets	$	70,597.9	$	70,625.8

6

Unum Group Consolidated Balance Sheets - Continued

	September 30		December 31
	2021		2020
Liabilities and Stockholders' Equity
Liabilities
Policy and Contract Benefits	$	1,920.4	$	1,855.4
Reserves for Future Policy and Contract Benefits	48,475.7		49,653.0
Unearned Premiums	414.3		349.3
Other Policyholders’ Funds	1,763.1		1,663.9
Income Tax Payable	40.7		—
Deferred Income Tax	424.8		416.1
Long-term Debt	3,441.4		3,345.7
Other Liabilities	2,999.3		2,471.4
Total Liabilities	59,479.7		59,754.8
Stockholders’ Equity
Common Stock	30.7		30.7
Additional Paid-in Capital	2,398.5		2,376.2
Accumulated Other Comprehensive Income	113.9		374.2
Retained Earnings	11,754.8		11,269.6
Treasury Stock	(3,179.7)		(3,179.7)
Total Stockholders’ Equity	11,118.2		10,871.0
Total Liabilities and Stockholders’ Equity	$	70,597.9	$	70,625.8

6. 1

Unum Group Deferred Acquisition Costs by Segment

	Unum US		Unum International		Colonial Life		Consolidated
Balance at December 31, 2019	$	1,223.0	$	26.4	$	1,074.6	$	2,324.0
Capitalization	291.5		12.1		272.6		576.2
Amortization	(341.0)		(7.4)		(257.7)		(606.1)
Adjustment Related to Unrealized Investment Gains and Losses	(4.8)		—		(17.6)		(22.4)
Foreign Currency	—		0.9		—		0.9
Balance at December 31, 2020	1,168.7		32.0		1,071.9		2,272.6
Capitalization	193.4		9.6		185.9		388.9
Amortization	(243.7)		(6.1)		(191.0)		(440.8)
Adjustment Related to Unrealized Investment Gains and Losses	3.1		—		9.0		12.1
Foreign Currency	—		(1.3)		—		(1.3)
Balance at September 30, 2021	$	1,121.5	$	34.2	$	1,075.8	$	2,231.5

6. 2

Unum Group Balance Sheets by Segment - September 30, 2021

	Unum US
	Group Disability		Group Life and Accidental Death & Dismemberment		Supplemental and Voluntary		Total Unum US		Unum International		Colonial Life		Closed Block		Corporate		Consolidated
Assets
Investments	$	8,375.8	$	2,587.2	$	5,411.6	$	16,374.6	$	3,768.7	$	3,587.9	$	25,831.8	$	2,853.3	$	52,416.3
Deferred Acquisition Costs	94.1		75.0		952.4		1,121.5		34.2		1,075.8		—		—		2,231.5
Goodwill	8.9		—		271.1		280.0		44.4		27.7		—		—		352.1
All Other	424.4		356.9		341.4		1,122.7		355.4		226.7		12,395.3		1,497.9		15,598.0
Total Assets	$	8,903.2	$	3,019.1	$	6,976.5	$	18,898.8	$	4,202.7	$	4,918.1	$	38,227.1	$	4,351.2	$	70,597.9
Liabilities
Reserves and Policyholder Benefits	$	7,009.7	$	2,002.8	$	4,319.8	$	13,332.3	$	3,151.1	$	2,966.3	$	33,123.8	$	—	$	52,573.5
Debt	—		—		—		—		—		—		—		3,441.4		3,441.4
All Other	175.0		99.3		346.4		620.7		246.6		189.6		761.0		1,646.9		3,464.8
Total Liabilities	7,184.7		2,102.1		4,666.2		13,953.0		3,397.7		3,155.9		33,884.8		5,088.3		59,479.7
Allocated Stockholders' Equity
Other Allocated Stockholders' Equity	1,676.5		874.8		2,083.9		4,635.2		778.4		1,574.1		4,148.7		(923.7)		10,212.7
Net Unrealized Gain on Securities and Net Gain on Hedges	42.0		42.2		226.4		310.6		26.6		188.1		193.6		186.6		905.5
Total Allocated Stockholders' Equity	1,718.5		917.0		2,310.3		4,945.8		805.0		1,762.2		4,342.3		(737.1)		11,118.2
Total Liabilities and Allocated Stockholders' Equity	$	8,903.2	$	3,019.1	$	6,976.5	$	18,898.8	$	4,202.7	$	4,918.1	$	38,227.1	$	4,351.2	$	70,597.9

Allocated stockholders' equity is determined on the basis of an internal allocation formula that reflects the volume and risk components of the business and aligns with our target capital levels for regulatory and rating agency purposes. We modify this formula periodically to recognize changes in the views of capital requirements.

6. 3

Unum Group Balance Sheets by Segment - December 31, 2020

	Unum US
	Group Disability		Group Life and Accidental Death & Dismemberment		Supplemental and Voluntary		Total Unum US		Unum International		Colonial Life		Closed Block		Corporate		Consolidated
Assets
Investments	$	8,388.5	$	2,425.8	$	5,401.5	$	16,215.8	$	3,749.0	$	3,511.2	$	26,543.7	$	2,663.8	$	52,683.5
Deferred Acquisition Costs	95.3		76.4		997.0		1,168.7		32.0		1,071.9		—		—		2,272.6
Goodwill	8.9		—		271.1		280.0		45.3		27.7		—		—		353.0
All Other	486.0		408.5		475.2		1,369.7		379.9		253.5		11,624.0		1,689.6		15,316.7
Total Assets	$	8,978.7	$	2,910.7	$	7,144.8	$	19,034.2	$	4,206.2	$	4,864.3	$	38,167.7	$	4,353.4	$	70,625.8
Liabilities
Reserves and Policyholder Benefits	$	7,442.2	$	1,878.3	$	4,401.1	$	13,721.6	$	3,144.9	$	2,892.8	$	33,762.3	$	—	$	53,521.6
Debt	—		—		—		—		—		—		—		3,345.7		3,345.7
All Other	106.1		62.2		366.2		534.5		128.2		135.6		290.8		1,798.4		2,887.5
Total Liabilities	7,548.3		1,940.5		4,767.3		14,256.1		3,273.1		3,028.4		34,053.1		5,144.1		59,754.8
Allocated Stockholders' Equity
Other Allocated Stockholders' Equity	1,404.7		903.8		2,103.9		4,412.4		823.5		1,621.7		3,890.5		(1,042.6)		9,705.5
Net Unrealized Gain on Securities and Net Gain on Hedges	25.7		66.4		273.6		365.7		109.6		214.2		224.1		251.9		1,165.5
Total Allocated Stockholders' Equity	1,430.4		970.2		2,377.5		4,778.1		933.1		1,835.9		4,114.6		(790.7)		10,871.0
Total Liabilities and Allocated Stockholders' Equity	$	8,978.7	$	2,910.7	$	7,144.8	$	19,034.2	$	4,206.2	$	4,864.3	$	38,167.7	$	4,353.4	$	70,625.8

6. 4

Unum Group Financial Results by Segment

We measure and analyze our segment performance on the basis of "adjusted operating revenue" and "adjusted operating income" or "adjusted 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 amortization of the cost of reinsurance as well as certain other items as specified in the following pages. 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.

	Three Months Ended						Nine Months Ended
	9/30/2021		9/30/2020		% Change		9/30/2021		9/30/2020		% Change
Premium Income
Unum US	$	1,500.8	$	1,483.4	1.2	%	$	4,548.7	$	4,533.8	0.3	%
Unum International	181.6		165.4		9.8		539.5		487.1		10.8
Colonial Life	420.8		419.9		0.2		1,266.9		1,293.2		(2.0)
Closed Block	250.5		249.4		0.4		751.3		744.1		1.0
	2,353.7		2,318.1		1.5		7,106.4		7,058.2		0.7
Net Investment Income
Unum US	176.2		190.7		(7.6)		539.5		547.2		(1.4)
Unum International	33.1		26.3		25.9		94.8		79.1		19.8
Colonial Life	51.8		43.7		18.5		131.1		118.2		10.9
Closed Block	284.6		351.2		(19.0)		876.5		1,013.6		(13.5)
Corporate	4.5		1.3		N.M.		20.5		9.1		125.3
	550.2		613.2		(10.3)		1,662.4		1,767.2		(5.9)
Other Income
Unum US	43.5		42.0		3.6		125.2		117.5		6.6
Unum International	0.4		0.2		100.0		0.6		0.4		50.0
Colonial Life	0.3		0.3		—		0.8		0.9		(11.1)
Closed Block	19.3		17.8		8.4		49.8		49.7		0.2
Corporate	2.4		0.3		N.M.		4.1		0.5		N.M.
	65.9		60.6		8.7		180.5		169.0		6.8
Total Adjusted Operating Revenue
Unum US	1,720.5		1,716.1		0.3		5,213.4		5,198.5		0.3
Unum International	215.1		191.9		12.1		634.9		566.6		12.1
Colonial Life	472.9		463.9		1.9		1,398.8		1,412.3		(1.0)
Closed Block	554.4		618.4		(10.3)		1,677.6		1,807.4		(7.2)
Corporate	6.9		1.6		N.M.		24.6		9.6		156.3
	$	2,969.8	$	2,991.9	(0.7)		$	8,949.3	$	8,994.4	(0.5)

7

Unum Group Financial Results by Segment - Continued

	Three Months Ended						Nine Months Ended
	9/30/2021		9/30/2020		% Change		9/30/2021		9/30/2020		% Change
Benefits and Expenses
Unum US	$	1,417.0	$	1,527.9	(7.3)	%	$	4,614.9	$	4,516.6	2.2	%
Unum International	187.7		170.5		10.1		556.3		510.7		8.9
Colonial Life	392.8		371.7		5.7		1,149.6		1,148.1		0.1
Closed Block	497.9		547.6		(9.1)		1,591.9		1,670.2		(4.7)
Corporate	64.4		79.0		(18.5)		250.7		203.7		23.1
	2,559.8		2,696.7		(5.1)		8,163.4		8,049.3		1.4
Income (Loss) Before Income Tax and Net Realized Investment Gain (Loss)
Unum US	303.5		188.2		61.3		598.5		681.9		(12.2)
Unum International	27.4		21.4		28.0		78.6		55.9		40.6
Colonial Life	80.1		92.2		(13.1)		249.2		264.2		(5.7)
Closed Block	56.5		70.8		(20.2)		85.7		137.2		(37.5)
Corporate	(57.5)		(77.4)		25.7		(226.1)		(194.1)		(16.5)
	410.0		295.2		38.9		785.9		945.1		(16.8)
Income Tax	81.3		67.9		19.7		188.8		203.6		(7.3)
Income Before Net Realized Investment Gain (Loss)	328.7		227.3		44.6		597.1		741.5		(19.5)
Net Realized Investment Gain (Loss) (net of tax expense (benefit) of $—; $0.6; $18.0; $(21.9))	(0.1)		3.8		(102.6)		67.4		(83.9)		(180.3)
Net Income	$	328.6	$	231.1	42.2		$	664.5	$	657.6	1.0

7. 1

Unum Group Quarterly Historical Financial Results by Segment

	9/30/21		6/30/21		3/31/21		12/31/20		9/30/20		6/30/20		3/31/20		12/31/19		9/30/19
Premium Income
Unum US	$	1,500.8	$	1,522.1	$	1,525.8	$	1,485.1	$	1,483.4	$	1,522.7	$	1,527.7	$	1,508.3	$	1,501.9
Unum International	181.6		183.5		174.4		165.7		165.4		157.1		164.6		165.6		152.3
Colonial Life	420.8		419.7		426.4		418.8		419.9		438.6		434.7		424.9		419.9
Closed Block	250.5		249.1		251.7		250.3		249.4		250.3		244.4		253.8		257.1
	2,353.7		2,374.4		2,378.3		2,319.9		2,318.1		2,368.7		2,371.4		2,352.6		2,331.2
Net Investment Income
Unum US	176.2		183.6		179.7		173.1		190.7		176.9		179.6		189.0		184.2
Unum International	33.1		35.7		26.0		25.5		26.3		26.3		26.5		28.6		24.3
Colonial Life	51.8		41.6		37.7		37.5		43.7		36.8		37.7		37.0		36.9
Closed Block	284.6		294.7		297.2		356.7		351.2		326.3		336.1		356.6		347.3
Corporate	4.5		7.9		8.1		0.7		1.3		2.7		5.1		5.1		6.7
	550.2		563.5		548.7		593.5		613.2		569.0		585.0		616.3		599.4
Other Income
Unum US	43.5		41.3		40.4		37.4		42.0		35.3		40.2		36.7		34.8
Unum International	0.4		0.1		0.1		0.1		0.2		0.2		—		0.3		—
Colonial Life	0.3		0.3		0.2		0.2		0.3		0.3		0.3		1.2		0.9
Closed Block	19.3		12.1		18.4		16.9		17.8		13.7		18.2		17.8		18.9
Corporate	2.4		0.4		1.3		0.6		0.3		0.2		—		0.5		1.0
	65.9		54.2		60.4		55.2		60.6		49.7		58.7		56.5		55.6
Total Adjusted Operating Revenue
Unum US	1,720.5		1,747.0		1,745.9		1,695.6		1,716.1		1,734.9		1,747.5		1,734.0		1,720.9
Unum International	215.1		219.3		200.5		191.3		191.9		183.6		191.1		194.5		176.6
Colonial Life	472.9		461.6		464.3		456.5		463.9		475.7		472.7		463.1		457.7
Closed Block	554.4		555.9		567.3		623.9		618.4		590.3		598.7		628.2		623.3
Corporate	6.9		8.3		9.4		1.3		1.6		2.9		5.1		5.6		7.7
	$	2,969.8	$	2,992.1	$	2,987.4	$	2,968.6	$	2,991.9	$	2,987.4	$	3,015.1	$	3,025.4	$	2,986.2

8

Unum Group Quarterly Historical Financial Results by Segment - Continued

	9/30/21		6/30/21		3/31/21		12/31/20		9/30/20		6/30/20		3/31/20		12/31/19		9/30/19
Benefits and Expenses
Unum US	$	1,417.0	$	1,567.7	$	1,630.2	$	1,552.1	$	1,527.9	$	1,503.0	$	1,485.7	$	1,470.9	$	1,459.5
Unum International	187.7		194.5		174.1		170.6		170.5		168.5		171.7		170.6		152.4
Colonial Life	392.8		365.8		391.0		385.3		371.7		384.8		391.6		375.4		370.5
Closed Block	497.9		464.4		629.6		1,996.8		547.6		553.6		569.0		582.1		596.4
Corporate	64.4		138.0		48.3		44.0		79.0		73.7		51.0		58.2		81.8
	2,559.8		2,730.4		2,873.2		4,148.8		2,696.7		2,683.6		2,669.0		2,657.2		2,660.6
Income (Loss) Before Income Tax Expense (Benefit) and Net Realized Investment Gain (Loss)
Unum US	303.5		179.3		115.7		143.5		188.2		231.9		261.8		263.1		261.4
Unum International	27.4		24.8		26.4		20.7		21.4		15.1		19.4		23.9		24.2
Colonial Life	80.1		95.8		73.3		71.2		92.2		90.9		81.1		87.7		87.2
Closed Block	56.5		91.5		(62.3)		(1,372.9)		70.8		36.7		29.7		46.1		26.9
Corporate	(57.5)		(129.7)		(38.9)		(42.7)		(77.4)		(70.8)		(45.9)		(52.6)		(74.1)
	410.0		261.7		114.2		(1,180.2)		295.2		303.8		346.1		368.2		325.6
Income Tax Expense (Benefit)	81.3		79.4		28.1		(285.2)		67.9		63.7		72.0		79.2		62.8
Income (Loss) Before Net Realized Gain (Loss)	328.7		182.3		86.1		(895.0)		227.3		240.1		274.1		289.0		262.8
Net Realized Investment Gain (Loss)	(0.1)		0.9		84.6		1,304.9		4.4		33.8		(144.0)		9.2		(26.2)
Tax Expense (Benefit) on Net Realized Investment Gain (Loss)	—		0.3		17.7		274.5		0.6		8.4		(30.9)		2.0		(5.4)
Net Income	$	328.6	$	182.9	$	153.0	$	135.4	$	231.1	$	265.5	$	161.0	$	296.2	$	242.0
Net Income Per Common Share - Assuming Dilution	$	1.60	$	0.89	$	0.75	$	0.66	$	1.13	$	1.30	$	0.79	$	1.44	$	1.16

8. 1

Unum Group Financial Results for Unum US Segment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income	$	1,500.8		$	1,483.4		$	4,548.7		$	4,533.8		$	6,018.9		$	6,016.6
Net Investment Income	176.2			190.7			539.5			547.2			720.3			739.4
Other Income	43.5			42.0			125.2			117.5			154.9			142.8
Total	1,720.5			1,716.1			5,213.4			5,198.5			6,894.1			6,898.8
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	950.2			1,052.2			3,175.6			3,073.6			4,138.7			4,022.1
Commissions	143.5			146.3			439.0			455.0			594.9			628.5
Deferral of Acquisition Costs	(61.1)			(68.2)			(193.4)			(223.3)			(291.5)			(334.5)
Amortization of Deferred Acquisition Costs	71.1			82.1			243.7			261.8			341.0			344.0
Other Expenses	313.3			315.5			950.0			949.5			1,285.6			1,207.6
Total	1,417.0			1,527.9			4,614.9			4,516.6			6,068.7			5,867.7
Income Before Income Tax and Net Realized Investment Gain (Loss)	303.5			188.2			598.5			681.9			825.4			1,031.1
Reserve Assumption Update	(215.0)			—			(215.0)			—			—			—
Adjusted Operating Income	$	88.5		$	188.2		$	383.5		$	681.9		$	825.4		$	1,031.1
Operating Ratios (% of Premium Income):
Benefit Ratio1	77.6		%	70.9		%	74.5		%	67.8		%	68.8		%	66.9		%
Other Expense Ratio	20.9		%	21.3		%	20.9		%	20.9		%	21.4		%	20.1		%
Adjusted Operating Income Ratio	5.9		%	12.7		%	8.4		%	15.0		%	13.7		%	17.1		%

1Excludes the $215.0 million reserve decrease during the third quarter and first nine months of 2021 related to the assumption update that occurred during the third quarter of 2021.

9

Unum Group Financial Results for Unum US Group Disability

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Group Long-term Disability	$	451.4		$	450.5		$	1,367.7		$	1,374.5		$	1,828.5		$	1,823.1
Group Short-term Disability	212.4			196.2			641.2			603.0			799.2			768.8
Total Premium Income	663.8			646.7			2,008.9			1,977.5			2,627.7			2,591.9
Net Investment Income	93.3			105.4			284.7			295.3			388.8			401.5
Other Income	42.1			39.2			121.4			111.4			147.6			133.8
Total	799.2			791.3			2,415.0			2,384.2			3,164.1			3,127.2
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	308.6			479.3			1,314.3			1,450.8			1,921.9			1,927.9
Commissions	49.1			47.6			151.2			145.6			191.8			193.8
Deferral of Acquisition Costs	(12.3)			(11.6)			(37.4)			(36.1)			(49.3)			(49.5)
Amortization of Deferred Acquisition Costs	12.9			13.2			38.6			39.7			53.1			50.7
Other Expenses	186.4			189.8			569.8			558.9			756.6			672.1
Total	544.7			718.3			2,036.5			2,158.9			2,874.1			2,795.0
Income Before Income Tax and Net Realized Investment Gain (Loss)	254.5			73.0			378.5			225.3			290.0			332.2
Reserve Assumption Update	(215.0)			—			(215.0)			—			—			—
Adjusted Operating Income	$	39.5		$	73.0		$	163.5		$	225.3		$	290.0		$	332.2
Operating Ratios (% of Premium Income):
Benefit Ratio1	78.9		%	74.1		%	76.1		%	73.4		%	73.1		%	74.4		%
Other Expense Ratio	28.1		%	29.3		%	28.4		%	28.3		%	28.8		%	25.9		%
Adjusted Operating Income Ratio	6.0		%	11.3		%	8.1		%	11.4		%	11.0		%	12.8		%
Persistency:
Group Long-term Disability							89.8		%	90.3		%	90.8		%	90.7		%
Group Short-term Disability							87.1		%	87.5		%	88.7		%	89.8		%

1Excludes the $215.0 million reserve decrease during the third quarter and first nine months of 2021 related to the assumption update that occurred during the third quarter of 2021.

9. 1

Unum Group Financial Results for Unum US Group Life and Accidental Death & Dismemberment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Group Life	$	404.2		$	406.3		$	1,228.8		$	1,235.4		$	1,640.5		$	1,662.0
Accidental Death & Dismemberment	39.6			39.7			123.0			123.1			163.9			165.7
Total Premium Income	443.8			446.0			1,351.8			1,358.5			1,804.4			1,827.7
Net Investment Income	24.3			25.2			76.1			74.2			97.2			107.4
Other Income	0.5			1.0			1.3			2.0			2.4			2.7
Total	468.6			472.2			1,429.2			1,434.7			1,904.0			1,937.8
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	446.6			372.2			1,281.2			1,067.5			1,470.4			1,314.1
Commissions	36.4			35.0			109.1			108.3			143.2			147.7
Deferral of Acquisition Costs	(8.9)			(8.4)			(27.3)			(26.3)			(36.0)			(37.8)
Amortization of Deferred Acquisition Costs	9.5			9.6			28.7			29.3			39.3			38.1
Other Expenses	52.1			49.9			157.7			152.2			205.3			209.0
Total	535.7			458.3			1,549.4			1,331.0			1,822.2			1,671.1
Adjusted Operating Income (Loss)	$	(67.1)		$	13.9		$	(120.2)		$	103.7		$	81.8		$	266.7
Operating Ratios (% of Premium Income):
Benefit Ratio	100.6		%	83.5		%	94.8		%	78.6		%	81.5		%	71.9		%
Other Expense Ratio	11.7		%	11.2		%	11.7		%	11.2		%	11.4		%	11.4		%
Adjusted Operating Income Ratio	(15.1)		%	3.1		%	(8.9)		%	7.6		%	4.5		%	14.6		%
Persistency:
Group Life							89.9		%	88.6		%	88.8		%	90.6		%
Accidental Death & Dismemberment							89.3		%	87.8		%	88.2		%	89.9		%

9. 2

Unum Group Financial Results for Unum US Supplemental and Voluntary

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Individual Disability	$	115.7		$	117.7		$	345.0		$	340.3		$	456.0		$	440.7
Voluntary Benefits	209.6			212.2			640.4			666.6			875.2			910.2
Dental and Vision	67.9			60.8			202.6			190.9			255.6			246.1
Total Premium Income	393.2			390.7			1,188.0			1,197.8			1,586.8			1,597.0
Net Investment Income	58.6			60.1			178.7			177.7			234.3			230.5
Other Income	0.9			1.8			2.5			4.1			4.9			6.3
Total	452.7			452.6			1,369.2			1,379.6			1,826.0			1,833.8
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	195.0			200.7			580.1			555.3			746.4			780.1
Commissions	58.0			63.7			178.7			201.1			259.9			287.0
Deferral of Acquisition Costs	(39.9)			(48.2)			(128.7)			(160.9)			(206.2)			(247.2)
Amortization of Deferred Acquisition Costs	48.7			59.3			176.4			192.8			248.6			255.2
Other Expenses	74.8			75.8			222.5			238.4			323.7			326.5
Total	336.6			351.3			1,029.0			1,026.7			1,372.4			1,401.6
Adjusted Operating Income	$	116.1		$	101.3		$	340.2		$	352.9		$	453.6		$	432.2
Operating Ratios (% of Premium Income):
Benefit Ratios:
Individual Disability	40.1		%	48.6		%	43.6		%	51.1		%	48.8		%	50.9		%
Voluntary Benefits	46.6		%	45.6		%	43.3		%	40.3		%	42.2		%	41.8		%
Dental and Vision	75.0		%	76.8		%	75.1		%	59.0		%	60.6		%	71.1		%
Other Expense Ratio	19.0		%	19.4		%	18.7		%	19.9		%	20.4		%	20.4		%
Adjusted Operating Income Ratio	29.5		%	25.9		%	28.6		%	29.5		%	28.6		%	27.1		%
Persistency:
Individual Disability							88.4		%	89.8		%	89.5		%	89.8		%
Voluntary Benefits							75.4		%	72.7		%	72.7		%	73.2		%
Dental and Vision							86.3		%	82.4		%	85.0		%	82.6		%

9. 3

Unum Group Financial Results for Unum International Segment

	Three Months Ended				Nine Months Ended				Year Ended
	9/30/2021		9/30/2020		9/30/2021		9/30/2020		12/31/2020		12/31/2019
Adjusted Operating Revenue
Premium Income
Unum UK
Group Long-term Disability	$	101.6	$	92.2	$	303.8	$	272.0	$	364.9	$	353.4
Group Life	29.1		27.3		84.4		83.3		108.5		115.7
Supplemental	28.3		25.4		84.2		73.9		99.8		89.5
Unum Poland	22.6		20.5		67.1		57.9		79.6		71.9
Total Premium Income	181.6		165.4		539.5		487.1		652.8		630.5
Net Investment Income	33.1		26.3		94.8		79.1		104.6		122.5
Other Income	0.4		0.2		0.6		0.4		0.5		0.6
Total	215.1		191.9		634.9		566.6		757.9		753.6
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	139.6		124.5		416.6		377.9		500.9		469.8
Commissions	13.9		12.4		40.7		36.8		49.7		48.7
Deferral of Acquisition Costs	(3.3)		(2.8)		(9.6)		(8.9)		(12.1)		(12.8)
Amortization of Deferred Acquisition Costs	2.0		1.8		6.1		5.3		7.4		7.1
Other Expenses	35.5		34.6		102.5		99.6		135.4		132.9
Total	187.7		170.5		556.3		510.7		681.3		645.7
Adjusted Operating Income	$	27.4	$	21.4	$	78.6	$	55.9	$	76.6	$	107.9

10

Unum Group Financial Results for Unum UK

	Three Months Ended						Nine Months Ended						Year Ended
(in millions of pounds, except exchange rate)	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Group Long-term Disability	£	73.7		£	71.3		£	219.3		£	213.9		£	284.2		£	276.8
Group Life	21.1			21.1			60.9			65.5			84.6			90.7
Supplemental	20.6			19.7			60.8			58.2			77.7			70.0
Total Premium Income	115.4			112.1			341.0			337.6			446.5			437.5
Net Investment Income	22.5			18.9			64.2			58.1			76.0			90.5
Other Income	0.2			0.1			0.2			0.1			0.1			0.2
Total	138.1			131.1			405.4			395.8			522.6			528.2
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	91.4			86.4			269.6			270.2			352.5			335.5
Commissions	7.5			6.9			21.6			21.1			28.1			28.6
Deferral of Acquisition Costs	(1.2)			(0.9)			(3.2)			(3.2)			(4.2)			(5.4)
Amortization of Deferred Acquisition Costs	1.2			1.3			3.8			3.9			5.3			5.4
Other Expenses	20.8			22.2			59.8			64.8			86.5			83.7
Total	119.7			115.9			351.6			356.8			468.2			447.8
Adjusted Operating Income	£	18.4		£	15.2		£	53.8		£	39.0		£	54.4		£	80.4
Weighted Average Pound/Dollar Exchange Rate	1.380			1.289			1.385			1.274			1.287			1.279
Operating Ratios (% of Premium Income):
Benefit Ratio	79.2		%	77.1		%	79.1		%	80.0		%	78.9		%	76.7		%
Other Expense Ratio	18.0		%	19.8		%	17.5		%	19.2		%	19.4		%	19.1		%
Adjusted Operating Income Ratio	15.9		%	13.6		%	15.8		%	11.6		%	12.2		%	18.4		%
Persistency:
Group Long-term Disability							88.9		%	87.2		%	88.2		%	89.9		%
Group Life							86.0		%	81.0		%	81.8		%	89.0		%
Supplemental							89.9		%	90.3		%	90.7		%	89.9		%

10. 1

Unum Group Financial Results for Colonial Life Segment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Accident, Sickness, and Disability	$	238.0		$	238.9		$	715.1		$	738.4		$	975.1		$	973.4
Life	94.6			91.9			287.3			282.5			376.4			351.6
Cancer and Critical Illness	88.2			89.1			264.5			272.3			360.5			360.0
Total Premium Income	420.8			419.9			1,266.9			1,293.2			1,712.0			1,685.0
Net Investment Income	51.8			43.7			131.1			118.2			155.7			148.0
Other Income	0.3			0.3			0.8			0.9			1.1			3.4
Total	472.9			463.9			1,398.8			1,412.3			1,868.8			1,836.4
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	235.2			219.0			688.2			669.4			906.5			865.0
Commissions	80.5			79.9			236.9			260.0			334.3			364.5
Deferral of Acquisition Costs	(64.2)			(63.9)			(185.9)			(214.6)			(272.6)			(311.3)
Amortization of Deferred Acquisition Costs	65.3			65.8			191.0			199.5			257.7			258.8
Other Expenses	76.0			70.9			219.4			233.8			307.5			314.9
Total	392.8			371.7			1,149.6			1,148.1			1,533.4			1,491.9
Adjusted Operating Income	$	80.1		$	92.2		$	249.2		$	264.2		$	335.4		$	344.5
Operating Ratios (% of Premium Income):
Benefit Ratio	55.9		%	52.2		%	54.3		%	51.8		%	52.9		%	51.3		%
Other Expense Ratio	18.1		%	16.9		%	17.3		%	18.0		%	18.0		%	18.7		%
Adjusted Operating Income Ratio	19.0		%	22.0		%	19.7		%	20.4		%	19.6		%	20.4		%
Persistency:
Accident, Sickness, and Disability							75.6		%	74.2		%	74.3		%	73.2		%
Life							84.9		%	83.4		%	83.7		%	83.4		%
Cancer and Critical Illness							82.1		%	81.4		%	81.8		%	80.6		%

11

Unum Group Financial Results for Closed Block Segment

	Three Months Ended						Nine Months Ended						Year Ended
	9/30/2021			9/30/2020			9/30/2021			9/30/2020			12/31/2020			12/31/2019
Adjusted Operating Revenue
Premium Income
Long-term Care	$	176.1		$	167.7		$	528.4		$	498.2		$	666.9		$	651.6
Individual Disability	72.3			80.0			216.8			240.1			319.6			374.3
All Other	2.1			1.7			6.1			5.8			7.9			7.6
Total Premium Income	250.5			249.4			751.3			744.1			994.4			1,033.5
Net Investment Income	284.6			351.2			876.5			1,013.6			1,370.3			1,404.9
Other Income	19.3			17.8			49.8			49.7			66.6			71.3
Total	554.4			618.4			1,677.6			1,807.4			2,431.3			2,509.7
Benefits and Expenses
Benefits and Change in Reserves for Future Benefits	428.9			492.9			1,378.8			1,505.3			3,426.8			2,139.3
Commissions	20.4			19.7			61.3			58.7			78.4			81.0
Interest and Debt Expense	—			0.4			—			1.9			3.1			5.3
Other Expenses	48.6			34.6			151.8			104.3			158.7			146.4
Total	497.9			547.6			1,591.9			1,670.2			3,667.0			2,372.0
Income (Loss) Before Income Tax and Net Realized Investment Gain (Loss)	56.5			70.8			85.7			137.2			(1,235.7)			137.7
Long-term Care Reserve Increase	2.1			—			2.1			—			151.5			—
Individual Disability Reserve Increase	6.4			—			6.4			—			17.5			—
Group Pension Reserve Increase	25.1			—			25.1			—			—			—
Impacts from Closed Block Individual Disability Reinsurance Transaction	—			—			139.3			—			1,305.5			—
Amortization of the Cost of Reinsurance	19.7			—			59.4			—			2.6			—
Adjusted Operating Income	$	109.8		$	70.8		$	318.0		$	137.2		$	241.4		$	137.7
Interest Adjusted Loss Ratios:
Long-term Care1	74.8		%	67.4		%	75.7		%	71.8		%	91.9		%	88.1		%
Individual Disability2	58.2		%	86.6		%	65.6		%	87.0		%	85.1		%	78.8		%
Operating Ratios (% of Premium Income):
Other Expense Ratio	19.4		%	13.9		%	20.2		%	14.0		%	16.0		%	14.2		%
Other Expense Ratio Excluding Impacts from Reinsurance Transaction3	11.5		%				11.5		%				13.6		%
Income (Loss) Ratio	22.6		%				11.4		%				(124.3)		%
Adjusted Operating Income Ratio	43.8		%	28.4		%	42.3		%	18.4		%	24.3		%	13.3		%
Persistency:
Long-term Care							95.5		%	95.0		%	94.8		%	95.7		%
Individual Disability							86.5		%	88.5		%	88.0		%	88.1		%

1Excludes $2.1 million during the third quarter and first nine months of 2021 related to the reserve assumption update that occurred during the third quarter of 2021 and excludes $151.5 million during the twelve months ended December 31, 2020 related to the reserve assumption update that occurred during the fourth quarter of 2020. The interest-adjusted loss ratio for the rolling twelve months ended September 30, 2021 and September 30, 2020 was 71.8 percent and 75.6 percent, respectively.

12

2Excludes the $133.1 million reserve recognition from the first nine months of 2021 related to the second phase of the reinsurance transaction that occurred during the first quarter of 2021. Also excluded from the third quarter and first nine months of 2021 is $6.4 million related to reserve assumption updates that occurred during the third quarter of 2021.

3Excludes $19.7 million and $59.4 million of amortization of the cost of reinsurance during the third quarter and first nine months of 2021, respectively. Also excluded from the first nine months of 2021 is $6.2 million of transaction costs related to the reinsurance transaction that occurred during the first quarter of 2021.

12.1

Unum Group Financial Results for Corporate Segment

	Three Months Ended				Nine Months Ended				Year Ended
	9/30/2021		9/30/2020		9/30/2021		9/30/2020		12/31/2020		12/31/2019
Adjusted Operating Revenue
Net Investment Income	$	4.5	$	1.3	$	20.5	$	9.1	$	9.8	$	20.5
Other Income	2.4		0.3		4.1		0.5		1.1		3.1
Total	6.9		1.6		24.6		9.6		10.9		23.6
Interest, Debt, and Other Expenses	64.4		79.0		250.7		203.7		247.7		239.5
Loss Before Income Tax and Net Realized Investment Gain (Loss)	(57.5)		(77.4)		(226.1)		(194.1)		(236.8)		(215.9)
Impairment Loss on Internal-Use Software	12.1		—		12.1		—		—		—
Costs Related to Organizational Design Update	—		23.3		—		23.3		23.3		—
Impairment Loss on ROU Asset	—		—		13.9		12.7		12.7		—
Cost Related to Early Retirement of Debt	—		—		67.3		—		—		27.3
Adjusted Operating Loss	$	(45.4)	$	(54.1)	$	(132.8)	$	(158.1)	$	(200.8)	$	(188.6)

13

Unum Group Reserves

	September 30, 2021
	Gross												Total Reinsurance Ceded
	Policy Reserves				Claim Reserves										Total Net
			%		Incurred		IBNR		%		Total
Group Disability	$	—	—	%	$	5,358.9	$	759.3	25.7	%	$	6,118.2	$	53.9	$	6,064.3
Group Life and Accidental Death & Dismemberment	57.5		0.3		730.0		277.8		4.2		1,065.3		6.1		1,059.2
Individual Disability	461.4		2.1		1,416.8		147.8		6.6		2,026.0		206.9		1,819.1
Voluntary Benefits	1,739.1		8.1		49.8		55.7		0.4		1,844.6		24.0		1,820.6
Dental and Vision	—		—		0.2		14.1		0.1		14.3		0.1		14.2
Unum US Segment	2,258.0		10.5		7,555.7		1,254.7		37.0		11,068.4		291.0		10,777.4
Unum International Segment	209.6		1.0		2,085.5		154.6		9.4		2,449.7		97.2		2,352.5
Colonial Life Segment	2,439.0		11.4		330.0		118.8		1.9		2,887.8		3.8		2,884.0
Individual Disability	158.9		0.7		9,342.8		129.4		39.9		9,631.1		8,302.4		1,328.7
Long-term Care	10,726.0		49.9		2,276.6		260.7		10.7		13,263.3		7.1		13,256.2
Other	5,691.2		26.5		153.2		107.5		1.1		5,951.9		4,973.1		978.8
Closed Block Segment	16,576.1		77.1		11,772.6		497.6		51.7		28,846.3		13,282.6		15,563.7
Subtotal	$	21,482.7	100.0	%	$	21,743.8	$	2,025.7	100.0	%	45,252.2		13,674.6		31,577.6
Adjustment Related to Unrealized Investment Gains and Losses											5,143.9		138.2		5,005.7
Consolidated											$	50,396.1	$	13,812.8	$	36,583.3

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 primarily due to movements in credit spreads and U.S. Treasury rates. The decline in total net reserves within the Closed Block Individual Disability product line compared to December 31, 2020 was driven by the second phase of the reinsurance transaction that closed on March 31, 2021 whereby we ceded $990.0 million of disabled life reserves that were on claim status as of January 1, 2021.

14

Unum Group Reserves

	December 31, 2020
	Gross												Total Reinsurance Ceded
	Policy Reserves				Claim Reserves										Total Net
			%		Incurred		IBNR		%		Total
Group Disability	$	—	—	%	$	5,663.4	$	720.4	26.5	%	$	6,383.8	$	58.3	$	6,325.5
Group Life and Accidental Death & Dismemberment	58.8		0.3		715.4		261.3		4.0		1,035.5		3.0		1,032.5
Individual Disability	475.9		2.2		1,417.4		146.0		6.5		2,039.3		216.3		1,823.0
Voluntary Benefits	1,731.3		8.2		46.3		55.3		0.4		1,832.9		25.3		1,807.6
Dental and Vision	—		—		0.2		11.3		—		11.5		0.1		11.4
Unum US Segment	2,266.0		10.7		7,842.7		1,194.3		37.4		11,303.0		303.0		11,000.0
Unum International Segment	208.4		1.0		2,077.0		138.6		9.2		2,424.0		89.9		2,334.1
Colonial Life Segment	2,354.8		11.2		329.0		117.4		1.8		2,801.2		4.5		2,796.7
Individual Disability	196.3		0.9		9,641.9		144.2		40.5		9,982.4		7,810.1		2,172.3
Long-term Care	10,402.1		49.3		2,147.4		268.5		10.0		12,818.0		44.4		12,773.6
Other	5,675.0		26.9		166.1		113.1		1.1		5,954.2		4,966.3		987.9
Closed Block Segment	16,273.4		77.1		11,955.4		525.8		51.6		28,754.6		12,820.8		15,933.8
Subtotal	$	21,102.6	100.0	%	$	22,204.1	$	1,976.1	100.0	%	45,282.8		13,218.2		32,064.6
Adjustment Related to Unrealized Investment Gains and Losses											6,225.6		200.2		6,025.4
Consolidated											$	51,508.4	$	13,418.4	$	38,090.0

14. 1

Unum Group Investments

	9/30/2021						9/30/2021			12/31/2020
Fixed Maturity Securities (Fair Value)						Selected Statistics
Public	$	26,987.4		61.9	%	Earned Book Yield	4.86		%	4.75		%
Mortgage-Backed/Asset-Backed Securities	689.6			1.6		Average Duration (in years)	8.38			8.31
Private Placements	6,529.6			14.9
High Yield	3,092.2			7.1
Government Securities	1,738.0			4.0
Municipal Securities	4,587.4			10.5
Redeemable Preferred Stocks	4.1			—
Total	$	43,628.3		100.0	%
	Amortized Cost			Fair Value
Quality Ratings of Fixed Maturity Securities						Schedule BA and Non-Current
Aaa	4.8		%	4.7	%	Total Non-Current Investments	$	19.8		$	20.8
Aa	11.2			11.4		Total Schedule BA Assets	$	917.3		$	776.8
A	26.5			27.2
Baa	50.0			49.6
Below Baa	7.5			7.1
Total	100.0		%	100.0	%

15

Unum Group Investments at September 30, 2021

Fixed Maturity Securities - By Industry Classification - Unrealized Gain (Loss)
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	$	3,240.4	$	385.4	$	209.0	$	4.2	$	3,031.4	$	389.6
Capital Goods	3,991.7		569.0		262.3		4.7		3,729.4		573.7
Communications	2,774.2		472.3		156.3		4.1		2,617.9		476.4
Consumer Cyclical	1,624.7		190.4		188.5		6.5		1,436.2		196.9
Consumer Non-Cyclical	7,093.5		1,083.1		438.5		15.6		6,655.0		1,098.7
Energy	3,587.6		598.4		86.5		4.2		3,501.1		602.6
Financial Institutions	3,873.0		402.5		436.4		10.4		3,436.6		412.9
Mortgage/Asset-Backed	689.6		61.1		0.6		0.1		689.0		61.2
Sovereigns	1,161.1		221.2		110.9		7.2		1,050.2		228.4
Technology	1,848.5		156.0		162.1		3.7		1,686.4		159.7
Transportation	2,050.3		255.1		94.0		2.7		1,956.3		257.8
U.S. Government Agencies and Municipalities	5,164.3		683.4		636.2		12.5		4,528.1		695.9
Public Utilities	6,529.4		1,195.4		285.4		10.8		6,244.0		1,206.2
Total	$	43,628.3	$	6,273.3	$	3,066.7	$	86.7	$	40,561.6	$	6,360.0
Gross Unrealized Loss on Fixed Maturity Securities by Length of Time in Unrealized Loss Position
					Investment-Grade				Below-Investment-Grade
Category					Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
Less than 91 days					$	2,213.1	$	42.8	$	34.5	$	0.4
91 through 180 days					5.2		0.2		2.0		—
181 through 270 days					492.0		26.3		38.7		2.0
271 days to 1 year					52.3		1.4		63.9		2.1
Greater than 1 year					89.9		3.9		75.1		7.6
Total					$	2,852.5	$	74.6	$	214.2	$	12.1

15.1

Appendix to Statistical Supplement

2021 Significant Items

•Third quarter of 2021 amortization of the cost of reinsurance of $19.7 million before tax, or $15.5 million after tax.

•Third quarter of 2021 reserve assumption updates resulting in a reserve reduction of $215.0 million before tax, or 169.9 million after tax, in our Unum US group long-term disability product line and reserve increases of $2.1 million, $6.4 million, and $25.1 million before tax, or $1.7 million, $5.1 million, and $19.8 million after tax, in our Closed Block long-term care, Closed Block individual disability, and Closed Block group pension product lines, respectively.

•Third quarter of 2021 impairment loss of $12.1 million before tax, or $9.6 million after tax, on previously capitalized internal-use software that we no longer plan to utilize.

•Second quarter of 2021 amortization of the cost of reinsurance of $19.7 million before tax, or $15.5 million after tax.

•Second quarter of 2021 cost related to the early retirement of debt of $67.3 million before tax, or $53.2 million after tax.

•Second quarter of 2021 impairment loss of $13.9 million, or $11.0 million after tax, on a right-of-use (ROU) asset related to an operating lease for office space that we do not plan to continue using to support our general operations.

•Second quarter of 2021 U.K. tax rate increase from 19 percent to 25 percent, effective April 1, 2023, which resulted in $24.2 million of additional tax expense through continuing operations for the revaluation of our deferred tax assets and liabilities.

•In December 2020, we completed the first phase of a reinsurance transaction, pursuant to which Provident Life and Accident Insurance Company, The Paul Revere Life Insurance Company, and Unum Life Insurance Company of America, wholly-owned domestic insurance subsidiaries of Unum Group, and collectively referred to as "the ceding companies", each entered into separate reinsurance agreements with Commonwealth Annuity and Life Insurance Company (Commonwealth), to reinsure on a coinsurance basis effective as of July 1, 2020, approximately 75 percent of the Closed Block individual disability business, primarily direct business written by the ceding companies. On March 31, 2021, we completed the second phase of the reinsurance transaction, pursuant to which the ceding companies and Commonwealth amended and restated their respective reinsurance agreements to reinsure on a coinsurance and modified coinsurance basis effective as of January 1, 2021, a substantial portion of the remaining Closed Block individual disability business that was not ceded in December 2020, primarily business previously assumed by the ceding companies.

In December 2020, Provident Life and Casualty Insurance Company (PLC), also a wholly-owned domestic insurance subsidiary of Unum Group, entered into an agreement with Commonwealth whereby PLC will provide a 12-year volatility cover to Commonwealth for the active life cohort (ALR cohort). On March 31, 2021, PLC and Commonwealth amended and restated this agreement to incorporate the ALR cohort related to the additional business that was reinsured between the ceding companies and Commonwealth as part of the second phase of the transaction. As part of the amended and restated volatility cover, PLC received a payment from Commonwealth of approximately $18 million.

In connection with the second phase of the reinsurance transaction, Commonwealth paid a total ceding commission to the ceding companies of $18.2 million. The ceding companies transferred assets of $767.0 million, which consisted primarily of cash and fixed maturity securities. In addition, we recognized the following in the first quarter of 2021 related to the second phase:

•Net realized investment gains totaling $67.6 million, or $53.4 million after tax, related to the transfer of investments.

•Increase in benefits and change in reserves for future benefits of $133.1 million, or $105.1 million after tax, resulting from the realization of previously unrealized investment gains and losses recorded in accumulated other comprehensive income.

•Transaction costs totaling $6.2 million, or $5.0 million after tax.

•Reinsurance recoverable of $990.0 million related to the policies on claim status (DLR cohort).

•Payable of $307.2 million related to the portfolio of invested assets associated with the business ceded on a modified coinsurance basis.

16

•Cost of reinsurance, or prepaid reinsurance premium, of $43.1 million related to the DLR cohort. The total cost of reinsurance recognized on a combined basis for the first and second phases was $854.8 million for which we amortized $20.0 million, or $15.8 million after tax, during the first three months of 2021.

•Deposit asset of $5.0 million related to the ALR cohort. The total deposit asset recognized on a combined basis for the first and second phases was $91.8 million.

2020 Significant Items

•In connection with the first phase of the previously-mentioned reinsurance transaction, the ceding companies paid a total cash ceding commission to Commonwealth of approximately $438 million and transferred additional assets consisting primarily of fixed maturity securities and cash totaling $6,669.8 million. PLC received a payment of $62 million from Commonwealth related to the 12-year volatility cover for the business reinsured during the first phase of the transaction. In addition, we recognized the following in the fourth quarter of 2020 related to the first phase:

•Net realized investment gain of $1,302.3 million before tax, or $1,028.8 million after tax, related to the transfer of investments.

•Increase in benefits and change in reserves for future benefits of $1,284.5 million, or $1,014.7 million after tax, resulting from the realization of previously unrealized investment gains and losses recorded in accumulated other comprehensive income.

•Transaction costs totaling $21.0 million, or $16.6 million after tax.

•Net tax benefit of $36.5 million.

•Reinsurance recoverable of $6,141.5 million representing the ceded reserves related to the DLR cohort.

•Cost of reinsurance, or prepaid reinsurance premium, of $815.7 million related to the DLR cohort, of which we recognized amortization expense of $2.6 million, or $2.0 million after tax.

•Deposit asset of $88.2 million related to the ALR cohort.

•Fourth quarter of 2020 reserve increases of $151.5 million and $17.5 million before tax, or $119.7 million and $13.8 million after tax, related to long-term care and group pension, respectively.

•In December 2020, Northwind Holdings redeemed the remaining $35.0 million of principal on the Northwind notes, and was released of any contractual collateral requirements.

•Third quarter of 2020 costs related to organizational design update of $23.3 million before tax and $18.6 million after tax.

•Second quarter of 2020 impairment loss of $12.7 million, or $10.0 million after tax, on a ROU asset related to an operating lease for office space that we do not plan to continue using to support our general operations.

•In June 2016, the Financial Accounting Standards Board (FASB) issued an update that amended the guidance on the impairment of financial instruments. This update added 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. This new model applies to financial instruments such as mortgage loans, fixed maturity securities classified as held-to-maturity, and certain receivables. This update also prospectively modified 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. We adopted this update effective January 1, 2020 using a modified retrospective approach through a cumulative-effect adjustment as of January 1, 2020 which resulted in a decrease to retained earnings of $18.9 million, a decrease to mortgage loans of $8.3 million, a decrease in reinsurance recoverable of $1.8 million, a decrease in accounts and premiums receivable of $13.5 million, a decrease in deferred income tax liability of $5.0 million, and an increase to other liabilities of $0.3 million.

16.1

Appendix to Statistical Supplement - Continued

2019 Significant Items

•2019 cost related to the early retirement of debt of $27.3 million before tax and $21.6 million after tax.

•In February 2016, the FASB issued an update that changed the accounting and disclosure requirements for leases. These changes include the requirement for 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. The expense recognition for lessees remained similar to previous accounting requirements for capital and operating leases. We adopted this update effective January 1, 2019 using a modified retrospective approach through a cumulative-effect adjustment as of January 1, 2019 which resulted in a decrease to retained earnings of $3.4 million, an increase to other assets of $117.7 million, a decrease in deferred income tax of $0.4 million, an increase to other liabilities of $122.0 million, and a decrease to income tax payable of $1.3 million.

16.2

Non-GAAP Financial Measures

We analyze our performance using non-GAAP financial measures which exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. We believe the following non-GAAP financial measures are better performance measures and better indicators of the revenue and profitability and underlying trends in our business:

•Consolidated adjusted operating revenue, which excludes realized investment gains or losses;

•After-tax adjusted operating income or loss, which excludes realized investment gains or losses and amortization of the cost of reinsurance as well as certain other items, as applicable;

•Adjusted operating return on equity, which is calculated using after-tax adjusted operating income or loss and excludes from equity the unrealized gain or loss on securities and net gain on hedges;

•Leverage ratio, which excludes the unrealized gain or loss on securities and net gain on hedges, and the non-recourse debt and associated capital of Northwind Holdings, LLC prior to pay off in December 2020; and

•Book value per common share, which is calculated excluding AOCI.

Realized investment gains or losses and unrealized gains or losses on securities and net gains on hedges depend on market conditions and do not necessarily relate to decisions regarding the underlying business of our Company. Leverage ratio and book value per common share excluding certain components of AOCI, certain of which tend to fluctuate depending on market conditions and general economic trends, are important measures.

As previously discussed, we have exited a substantial portion of our Closed Block individual disability product line through the two phases of the reinsurance transaction that were executed in December 2020 and March 2021, respectively. As a result, we exclude the amortization of the cost of reinsurance that was recognized upon the exit of the business related to the DLR cohort of policies. We believe that the exclusion of the amortization of the cost of reinsurance provides a better view of our results from our ongoing businesses.

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.

For a reconciliation of the most directly comparable GAAP measures to these non-GAAP financial measures, refer to the "Reconciliation of Non-GAAP Financial Measures" beginning on page 16.4, other than book value per common share, which is presented on page 2.

16.3

Reconciliation of Non-GAAP Financial Measures

	Three Months Ended
	September 30		June 30		March 31		December 31		September 30		June 30		March 31		December 31		September 30
	2021						2020								2019
Total Revenue	$	2,969.7	$	2,993.0	$	3,072.0	$	4,273.5	$	2,996.3	$	3,021.2	$	2,871.1	$	3,034.6	$	2,960.0
Excluding:
Net Realized Investment Gain (Loss)	(0.1)		0.9		84.6		1,304.9		4.4		33.8		(144.0)		9.2		(26.2)
Adjusted Operating Revenue	$	2,969.8	$	2,992.1	$	2,987.4	$	2,968.6	$	2,991.9	$	2,987.4	$	3,015.1	$	3,025.4	$	2,986.2

16.4

Reconciliation of Non-GAAP Financial Measures - Continued

	After-Tax Adjusted Operating Income (Loss)		Average Allocated Equity(1)		Annualized Adjusted Operating Return on Equity
Three Months Ended September 30, 2021
Unum US	$	70.2	$	4,527.8	6.2	%
Unum International	23.7		803.9		11.8	%
Colonial Life	63.2		1,570.3		16.1	%
Core Operating Segments	157.1		6,902.0		9.1	%
Closed Block	25.8		4,114.0
Corporate	27.6		(930.3)
Total	$	210.5	$	10,085.7	8.3	%
Three Months Ended September 30, 2020
Unum US	$	148.7	$	4,439.5	13.4	%
Unum International	4.9		753.3		2.6	%
Colonial Life	72.8		1,580.6		18.4	%
Core Operating Segments	226.4		6,773.4		13.4	%
Closed Block	55.0		4,239.0
Corporate	(35.5)		(1,491.8)
Total	$	245.9	$	9,520.6	10.3	%

(1) Excludes net unrealized gain (loss) on securities and net gain on hedges and is calculated using the stockholders' equity balances presented on page 16.8.

16.5

Reconciliation of Non-GAAP Financial Measures - Continued

	After-Tax Adjusted Operating Income (Loss)		Average Allocated Equity(2)		Annualized Adjusted Operating Return on Equity
Nine Months Ended September 30, 2021
Unum US	$	303.5	$	4,523.9	8.9	%
Unum International	62.5		801.0		10.4	%
Colonial Life	196.7		1,597.9		16.4	%
Core Operating Segments	562.7		6,922.8		10.8	%
Closed Block	188.6		4,019.5
Corporate	(42.6)		(983.1)
Total	$	708.7	$	9,959.2	9.5	%
Nine Months Ended September 30, 2020
Unum US	$	538.9	$	4,484.9	16.0	%
Unum International	33.3		769.6		5.8	%
Colonial Life	208.4		1,577.3		17.6	%
Core Operating Segments	780.6		6,831.8		15.2	%
Closed Block	102.6		4,180.2
Corporate	(113.1)		(1,626.2)
Total	$	770.1	$	9,385.8	10.9	%

(2) Excludes unrealized gain (loss) on securities and net gain on hedges and is calculated using the stockholders' equity balances presented on page 16.8. Due to the implementation of a FASB update for which the beginning balance of 2020 for certain stockholders' equity line items were adjusted, we are computing the average allocated equity for 2020 using internally allocated equity that reflects the adjusted beginning balance at January 1, 2020. As a result, average equity for the nine months ended September 30, 2020 for certain of our segments will not compute using the historical allocated equity at December 31, 2019.

16.6

Reconciliation of Non-GAAP Financial Measures - Continued

	After-Tax Adjusted Operating Income (Loss)		Average Allocated Equity(3)		Adjusted Operating Return on Equity
Year Ended December 31, 2020
Unum US	$	651.4	$	4,458.2	14.6	%
Unum International	51.9		797.7		6.5	%
Colonial Life	264.5		1,584.1		16.7	%
Core Operating Segments	967.8		6,840.0		14.1	%
Closed Block	183.8		3,979.2
Corporate	(146.2)		(1,395.2)
Total	$	1,005.4	$	9,424.0	10.7	%
Year Ended December 31, 2019
Unum US	$	816.3	$	4,526.6	18.0	%
Unum International	88.4		757.9		11.7	%
Colonial Life	272.7		1,558.6		17.5	%
Core Operating Segments	1,177.4		6,843.1		17.2	%
Closed Block	104.4		3,842.2
Corporate	(141.2)		(1,764.5)
Total	$	1,140.6	$	8,920.8	12.8	%

(3)Excludes unrealized gain (loss) on securities and net gain on hedges and is calculated using the stockholders' equity balances presented on page 16.8. Due to the implementation of a FASB update for which the beginning balances of 2020 and 2019 for certain stockholders' equity line items were adjusted, we are computing the average allocated equity for 2020 and 2019 using internally allocated equity that reflects the adjusted beginning balances at January 1, 2020 and 2019, respectively. As a result, average equity for the years ended December 31, 2020 and 2019 for certain of our segments will not compute using the historical allocated equity at December 31, 2019 and 2018, respectively.

16.7

Reconciliation of Non-GAAP Financial Measures - Continued

Average allocated equity is computed as follows:

	9/30/2021		6/30/2021		12/31/2020		9/30/2020		6/30/2020		12/31/2019		12/31/2018
Total Stockholders' Equity	$	11,118.2	$	10,947.5	$	10,871.0	$	10,892.2	$	10,561.4	$	9,965.0	$	8,621.8
Excluding:
Net Unrealized Gain (Loss) on Securities	836.0		911.4		1,067.7		1,104.5		963.1		615.9		(312.4)
Net Gain on Hedges	69.5		77.5		97.8		158.7		186.2		187.8		250.6
Total Adjusted Stockholders' Equity	$	10,212.7	$	9,958.6	$	9,705.5	$	9,629.0	$	9,412.1	$	9,161.3	$	8,683.6
	Three Months Ended		Nine Months Ended		Twelve Months Ended		Three Months Ended		Nine Months Ended		Twelve Months Ended
	9/30/2021				12/31/2020		9/30/2020				12/31/2019
Average Adjusted Stockholders' Equity	$	10,085.7	$	9,959.2	$	9,424.0	$	9,520.6	$	9,385.8	$	8,920.8

16.8

Reconciliation of Non-GAAP Financial Measures - Continued

	Three Months Ended September 30								Nine Months Ended September 30
	2021				2020				2021				2020
	(in millions)		per share*		(in millions)		per share*		(in millions)		per share*		(in millions)		per share*
Net Income	$	328.6	$	1.60	$	231.1	$	1.13	$	664.5	$	3.24	$	657.6	$	3.23
Excluding:
Net Realized Investment Gains and Losses
Net Realized Investment Gain Related to Reinsurance Transaction (net of tax expense of $—; $—; $14.2; $—)	—		—		—		—		53.4		0.26		—		—
Net Realized Investment Gain (Loss) (net of tax expense (benefit) of $—; $0.6; $3.8; $(21.9))	(0.1)		—		3.8		0.01		14.0		0.07		(83.9)		(0.41)
Total Net Realized Investment Gain (Loss)	(0.1)		—		3.8		0.01		67.4		0.33		(83.9)		(0.41)
Items Related to Closed Block Individual Disability Reinsurance Transaction
Change in Benefit Reserves and Transaction Costs (net of tax benefit of $—; $—; $29.2; $— )	—		—		—		—		(110.1)		(0.53)		—		—
Amortization of the Cost of Reinsurance (net of tax benefit of $4.2; $—; $12.6; $— )	(15.5)		(0.08)		—		—		(46.8)		(0.24)		—		—
Total Items Related to Closed Block Individual Disability Reinsurance Transaction	(15.5)		(0.08)		—		—		(156.9)		(0.77)		—		—
Net Reserve Decrease Related to Reserve Assumption Updates (net of tax expense of $38.1; $—; $38.1; $—)	143.3		0.70		—		—		143.3		0.70		—		—
Impairment Loss on Internal-Use Software (net of tax benefit of $2.5; $—; $2.5; $—)	(9.6)		(0.05)		—		—		(9.6)		(0.05)		—		—
Cost Related to Early Retirement of Debt (net of tax benefit of $—; $—; $14.1; $—)	—		—		—		—		(53.2)		(0.26)		—		—
Impairment Loss on ROU Asset (net of tax benefit of $—; $—; $2.9; $2.7)	—		—		—		—		(11.0)		(0.05)		(10.0)		(0.05)
Impact of U.K. Tax Rate Increase	—		—		—		—		(24.2)		(0.12)		—		—
Costs Related to Organizational Design Update (net of tax benefit of $—; $4.7: $—; $4.7)	—		—		(18.6)		(0.09)		—		—		(18.6)		(0.09)
After-tax Adjusted Operating Income	$	210.5	$	1.03	$	245.9	$	1.21	$	708.7	$	3.46	$	770.1	$	3.78

*Assuming Dilution.

16.9

Reconciliation of Non-GAAP Financial Measures - Continued

	Year Ended December 31
	2020				2019
	(in millions)		per share *		(in millions)		per share *
Net Income	$	793.0	$	3.89	$	1,100.3	$	5.24
Excluding:
Net Realized Investment Gains and Losses
Net Realized Investment Gain Related to Reinsurance Transaction (net of tax expense of $273.5; $—)	1,028.8		5.05		—		—
Net Realized Investment Loss, Other (net of tax benefit of $20.9; $4.5)	(82.3)		(0.40)		(18.7)		(0.09)
Total Net Realized Investment Gain (Loss)	946.5		4.65		(18.7)		(0.09)
Items Related to Closed Block Individual Disability Reinsurance Transaction
Change in Benefit Reserves and Transaction Costs (net of tax benefit of $274.2; $—)	(1,031.3)		(5.06)		—		—
Amortization of the Cost of Reinsurance (net of tax benefit of $0.6; $—)	(2.0)		(0.01)		—		—
Net Tax Benefits of Reinsurance Transaction	36.5		0.18		—		—
Total Items Related to Closed Block Individual Disability Reinsurance Transaction	(996.8)		(4.89)		—		—
Long-term Care Reserve Increase (net of tax benefit of $31.8; $—)	(119.7)		(0.59)		—		—
Group Pension Reserve Increase (net of tax benefit of $3.7; $—)	(13.8)		(0.07)		—		—
Costs Related to Organizational Design Update (net of tax benefit of $4.7; $—)	(18.6)		(0.09)		—		—
Impairment Loss on ROU Asset (net of tax benefit of $2.7; $—)	(10.0)		(0.05)		—		—
Cost Related to Early Retirement of Debt (net of tax benefit of $—; $5.7)	—		—		(21.6)		(0.11)
After-tax Adjusted Operating Income	$	1,005.4	$	4.93	$	1,140.6	$	5.44

*Assuming Dilution.

16.10

Reconciliation of Non-GAAP Financial Measures - Continued

	After-Tax Adjusted Operating Income		Average Allocated Equity		Annualized Adjusted Operating Return on Equity
Three Months Ended September 30, 2021
Unum US Supplemental and Voluntary	$	91.7	$	2,084.4	17.6	%
Three Months Ended June 30, 2021
Unum US Supplemental and Voluntary	$	89.9	$	2,083.8	17.3	%

16.11

Reconciliation of Non-GAAP Financial Measures - Continued

	September 30						December 31
	2021			2020			2020			2019
Debt	$	3,441.4		$	3,378.6		$	3,345.7		$	3,326.6
Including:
Lease Liability	87.3			109.6			105.9			114.7
Excluding:
Non-recourse Debt	—			33.9			—			78.1
Adjusted Debt and Lease Liability	$	3,528.7		$	3,454.3		$	3,451.6		$	3,363.2
Total Stockholders' Equity	$	11,118.2		$	10,892.2		$	10,871.0		$	9,965.0
Excluding:
Net Unrealized Gain on Securities and Net Gain on Hedges	905.5			1,263.2			1,165.5			803.7
Northwind Capital	—			987.3			—			984.6
Equity, As Adjusted	10,212.7			8,641.7			9,705.5			8,176.7
Debt, As Adjusted and Lease Liability	3,528.7			3,454.3			3,451.6			3,363.2
Total Adjusted Capital	$	13,741.4		$	12,096.0		$	13,157.1		$	11,539.9
Leverage Ratio	25.7		%	28.6		%	26.2		%	29.1		%

16.12

XML

Cover	Nov. 02, 2021
Entity Information
Document Type	8-K
Document Period End Date	Nov. 02, 2021
Entity Registrant Name	UNUM GROUP
Entity Incorporation, State or Country Code	DE
Entity File Number	001-11294
Entity Tax Identification Number	62-1598430
Entity Address, Address Line One	1 Fountain Square
Entity Address, City or Town	Chattanooga,
Entity Address, State or Province	TN
Entity Address, Postal Zip Code	37402
City Area Code	423
Local Phone Number	294-1011
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
Entity Central Index Key	0000005513
Amendment Flag	false
Common Class A | NEW YORK STOCK EXCHANGE, INC.
Entity Information
Title of 12(b) Security	Common stock, $0.10 par value
Trading Symbol	UNM
Security Exchange Name	NYSE
6.250% Junior Subordinated Notes due 2058 | NEW YORK STOCK EXCHANGE, INC.
Entity Information
Title of 12(b) Security	6.250% Junior Subordinated Notes due 2058
Trading Symbol	UNMA
Security Exchange Name	NYSE