Unum Group (NYSE: UNM) announced that it has substantially completed its reserve review for its long-term care block of business, previously referenced in the company’s second quarter 2018 earnings release.
Based on its analysis, the company expects to increase its long-term care GAAP reserves in the third quarter of 2018 by approximately $590 million after-tax, or approximately $750 million before-tax.
Third quarter 2018 results are expected to be announced on Oct. 24.
The company estimates the impact to its statutory reserves will be approximately $200 million on a before-tax basis, covering both its active life and claim reserves for long-term care for all its legal entities.
The company’s capital deployment plan remains unchanged and Unum intends to resume share repurchase activity following the release of its third quarter 2018 results.
The above amounts are subject to the company’s final close procedures for the third quarter and may change when the company closes the quarter in amounts it believes immaterial.