UnumProvident Reports Lower Net Income, WTC Losses

NU Online News Service, Nov. 6, 8:53 p.m. – UnumProvident Corp., Chattanooga, Tenn., is reporting $127 million in net income for the third quarter on $2.4 billion in revenue, compared with $137 million in net income on $2.3 billion in revenue for the third quarter of 2000.

The latest earnings figures include $10 million in individual disability and long-term care insurance claims resulting from the Sept. 11 attacks; $7 million in attack-related group disability claims; and $7 million in other attack-related employee benefits claims, UnumProvident says.

• Individual products generated $61 million in operating earnings on $454 million in premium revenue, compared with $72 million in operating earnings on $445 million in revenue.
• Employee benefits operations generated $126 million in operating earnings on $1.1 billion in premium revenue, up from $123 million on $1 billion in premium revenue.
• The group disability insurance unit generated $79 million in operating earnings, from $73 million in operating earnings.

Sales of new employee benefits policies were flat, but sales of voluntary, employee-paid benefits increased 16%, to $66 million, UnumProvident says.