Unum (UNM) UBS Financial Services Conference 2026 summary

2026 outlook and growth expectations

• Premium growth projected at 4%-7% off a $10 billion base, with EPS growth targeted at 8%-12% for 2026.

• Strong capital generation expected to continue, with plans to return about 100% of earnings to shareholders via dividends and share repurchases.

• Momentum from Q4 2025 is expected to carry into 2026, leveraging recent investments and established employer relationships.

Group disability and benefit ratio trends

• Group Disability benefit ratio normalized to 62%-64% for 2026, with long-term normalization expected around 65% over 2-3 years.

• Consistent claim experience and improved recovery rates have driven favorable results, with sustainable improvements seen over the past decade.

• Unemployment fluctuations are not expected to significantly impact the benefit ratio, though higher unemployment could be a minor headwind for growth.

Closed Block strategy and reporting changes

• Closed Block, including long-term care, will be reported below the line as a special item to better highlight core business performance.

• Protections for the Closed Block stand at $2.2 billion, with no plans to inject additional capital.

• Strategy for the Closed Block remains unchanged, focusing on risk mitigation and potential reinsurance solutions.