ST. PAUL, Minn.--(BUSINESS WIRE)--Securian Financial announced 2021 results at its recent annual employee meeting. Revenue and overall sales grew, and the company fulfilled its purpose of being there for people who count on it—including providing nearly $850 million in COVID-19 related death benefits.
“2021 was a successful year for Securian Financial despite continued challenges posed by the COVID-19 pandemic,” said Chris Hilger, Securian Financial chairman, president and CEO. “Driven by our purpose, we demonstrated commitment and resilience as we provided our customers with financial security and peace of mind during a time of great uncertainty. We also kept our employees safe and again increased our investments in the community.”
“At the same time, we responded to evolving customer expectations and grew our business, both organically and through strategic acquisitions. Through it all, we maintained our financial strength and prepared for a bright future. I am proud of how Securian Financial rose to the moment in 2021,” said Hilger.
Key performance metrics
- Insurance sales, including group life insurance, individual life insurance and insurance products sold through financial institutions and affinity organizations, grew 4% to $537 million. Sales of retirement products—including 401(k) plans, individual annuities and pension risk transfers—grew 22% to nearly $3.4 billion.
- Strong sales and excellent retention in all businesses contributed to 5% growth of top-line revenue to $6.6 billion. Top-line revenue is the company’s primary revenue metric which excludes certain non-recurring revenue. GAAP revenue increased more than 6% to $7.3 billion.
- Insurance in force—the financial protection Securian Financial provides to its customers—rose to more than $1.4 trillion.
- Assets under management increased nearly 9% to $106.1 billion.
- Capital remained strong at $3.4 billion, which is generally considered to be at the “AAA” level by rating agencies.
- GAAP operating earnings fell 6% to $109 million, driven by COVID-19 related death benefits. Since the start of the pandemic in March 2020, Securian Financial has provided more than $1.1 billion in COVID-19 related death benefits to nearly 14,000 families.
- Net income increased 28% to $312 million, despite the impact of COVID-19 related losses, due to strong realized gains on investments.
Company highlights
- Remained among the most highly rated insurance companies in the U.S.1
- Advanced growth in Canada by acquiring the Armour Group, a Canadian distributor of credit and specialty property casualty insurance, and entering a definitive agreement to purchase Sun Life’s Canadian creditor and association insurance businesses.
- Hired nearly 400 new employees, including many hard-to-fill positions in a very competitive labor market, with 25% diverse hires—highlighting a company-wide commitment to diversity, equity and inclusion. In the midst of the “Great Resignation,” Securian Financial retained 91% of its more than 3,000 employees in 2021.
- Set the stage for a hybrid work model by implementing a comprehensive transition program focused on achieving business needs while providing employees with workplace flexibility.
Community initiatives
Contributions to the community from the Securian Financial Foundation, in-kind donations, employee volunteerism and other cash gifts totaled more than $9.9 million in 2021—a 15% increase over 2020. Securian Financial employees volunteered nearly 18,000 hours in the community on activities ranging from a joint employee/retiree Habitat for Humanity effort to service on more than 125 nonprofit boards.
Profit sharing
For the 48th consecutive year, Securian Financial is making a profit-sharing contribution to eligible employees’ retirement accounts. This year’s company contribution is 5.9% of annual salary. Securian Financial also maintains a fully-funded, 100% employer-paid pension plan, with employees vested in the pension after five years of service.
Per its usual annual cycle, Securian Financial expects to release its 2021 Annual Report—with audited GAAP financial information—by April.
About Securian Financial
At Securian Financial, we’re here for family. And we’re here because of it. We’re guided by our purpose: helping customers build secure tomorrows. Since 1880, we’ve been building a uniquely diversified company that has outlasted economic ups and downs while staying true to our customers. We’re committed to the markets we serve, providing insurance, investment and retirement solutions that give families the confidence to focus on what’s truly valuable: banking memories with those who matter most.
