National Western Life Group posts net loss in Q4

National Western Life Group, the parent organization of National Western Life Insurance Company, has published its financial results for 2023, and they’re worse compared to its 2022 figures.

Here’s how the company fared in the three and 12 months ended December 31:

“The new accounting standard produced a swing in pretax earnings in excess of $200 million, which covered over the company’s many accomplishments in 2023,” National Western Life Group chair, president, and chief executive Ross R. Moody noted. “We experienced significant gains in our investment returns, enjoyed improved mortality experience on our blocks of business, and, excluding the increase in our equity award expense accruals caused by the sizable increase in our stock price, we pared back our operating expenses substantially.

“All of this was accomplished in the context of successfully achieving our goal of reaching a merger agreement with Prosperity Life Group early in the fourth quarter of the year.

“Stockholders of National Western Life Group, Inc. overwhelmingly voted to approve the merger agreement at a special stockholders meeting held in January. We are steadily working through the remaining required conditions to closing, most notably the approval of various insurance regulators, and continue to expect to close the deal in the first half of 2024.”

National Western Life Group’s reported results were prepared in accordance with the liability accounting methodology required under the Accounting for Long-Duration Contracts (LDTI) accounting standard effective for publicly traded companies in 2023. It was highlighted that, under LDTI, a new liability category was created.

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