Consolidated Highlights(Dollars in thousands except life insurance in force)
The Consolidated Highlights provide an at-a-glance summary of American Family's performance during the past several years.
It shows trends in assets, equity, and revenue growth.
|
2010 |
2009 |
2008 |
2007 |
2006 |
| Assets (in thousands) |
$16,787,779 |
$16,250,813 |
$15,501,845 |
$16,003,955 |
$15,477,009 |
| Equity (in thousands) |
$5,431,728 |
$4,826,146 |
$4,162,986 |
$5,034,285 |
$4,889,281 |
| Revenue (in thousands) |
$6,321,474 |
$6,360,130 |
$6,742,578 |
$6,867,863 |
$6,785,819 |
| Life insurance in force |
$86.5 billion |
$85.4 billion |
$84.0 billion |
$81.2 billion |
$75.9 billion |
| Field force |
3,498 |
3,822 |
3,901 |
3,978 |
3,975 |
| Employees |
7,801 |
7,745 |
8,071 |
8,482 |
8,237 |
The American Family Insurance Group consists of the following ten companies with more than $16.8 billion in total assets:
- American Family Mutual Insurance Company
- American Standard Insurance Company of Wisconsin (ASIC)
- American Family Life Insurance Company (AFLIC)
- American Family Brokerage, Inc.
- American Family Financial Services, Inc. (AFFS)
- American Family Insurance Company
- American Standard Insurance Company of Ohio (ASICO)
- AmFam, Inc.
- American Family Securities, LLC
- New Ventures, LLC
Consolidated Balance Sheet GAAP basis
As of December 31, 2010 (in thousands)
Our Consolidated Balance Sheet lists company assets, liabilities and equity for all American Family companies,
referred to as The American Family Insurance Group.
| Assets |
2010 |
2009 |
| Total Assets |
$16,787,779 |
$16,250,813 |
| Bonds |
$10,519,550 |
$9,909,381 |
| Stocks |
1,919,457 |
1,653,156 |
| Real estate |
255,944 |
262,114 |
| Mortgages |
334,410 |
352,432 |
| Other invested assets |
253,265 |
255,556 |
| Short-term investments |
19,465 |
635 |
| Cash and cash equivalents |
238,897 |
353,349 |
| Premiums receivable |
993,754 |
1,027,000 |
| Investment income receivable |
115,837 |
118,288 |
| Deferred policy-acquisition costs |
827,574 |
868,470 |
| Policy loans |
236,247 |
229,781 |
| Reinsurance recoverable |
237,219 |
185,822 |
| Income tax recoverable |
0 |
69,298 |
| Furniture and equipment |
66,030 |
68,524 |
| Computer equipment |
105,308 |
92,850 |
| Deferred tax assets |
278,880 |
415,873 |
| Other assets |
116,048 |
147,199 |
| Separate account assets |
269,894 |
241,085 |
| Liabilities |
2010 |
2009 |
| Total liabilities |
11,356,051 |
11,424,667 |
| P/C loss and loss adjustment reserves |
$3,688,612 |
$3,966,063 |
| Life reserves and deposit contracts |
3,625,766 |
3,461,330 |
| Unearned premium reserves |
2,154,419 |
2,166,744 |
| Loss drafts payable |
139,543 |
156,192 |
| Dividends payable |
21,454 |
22,965 |
| Income taxes payable |
13,385 |
0 |
| Agent-termination benefits |
552,846 |
600,861 |
| Expenses payable |
559,417 |
542,637 |
| Other liabilities |
330,715 |
266,790 |
| Separate account liabilities |
269,894 |
241,085 |
| Equity |
2010 |
2009 |
| Total equity |
5,431,728 |
4,826,146 |
| Accumulated other comprehensive income |
$507,201 |
$388,679 |
| Retained earnings |
4,924,527 |
4,437,467 |
| Totals |
2010 |
2009 |
| Total Liabilities and Equity |
$16,787,779 |
$16,250,813 |
Consolidated Statement of Income and Equity GAAP basis
for the years ended Dec. 31 (in thousands)
| Revenues |
2010 |
2009 |
| Total Revenues |
$6,321,474 |
$6,360,130 |
| P/C premiums earned |
$5,378,823 |
$5,456,182 |
| AFLIC premiums earned |
326,782 |
320,175 |
| Net investment income |
565,632 |
531,459 |
| Other revenues |
50,237 |
48,933 |
| Losses and Expenses |
2010 |
2009 |
| Total Losses and Expenses |
5,831,272 |
6,162,199 |
| Gain (loss) from Operations |
490,202 |
197,931 |
| Realized capital gains (losses) |
170,366 |
93,279 |
| Income (loss) before Taxes |
660,568 |
291,210 |
| Tax expense (benefit) |
173,508 |
34,273 |
| Net Income (loss) |
$487,060 |
$256,937 |
| P/C losses incurred |
$3,270,457 |
$3,592,968 |
| P/C expenses incurred |
2,100,062 |
2,109,168 |
| Life insurance benefits incurred |
286,518 |
285,008 |
| Other expenses |
174,235 |
174,954 |
| Statement of Equity |
2010 |
2009 |
| Other comprehensive income (loss) |
118,522 |
406,223 |
| Change in Equity |
605,582 |
663,160 |
| Ending Equity |
$5,431,728 |
$4,826,146 |
| Beginning equity balance |
$4,826,146 |
$4,162,986 |
| Net income (loss) |
487,060 |
256,937 |
| Change in unrealized gains (losses) |
|
|
| Bonds |
(73,158) |
424,729 |
| Stocks |
188,522 |
263,941 |
| Tax impact of unrealized gains |
(41,456) |
(249,064) |
| Other changes in equity, net of tax |
44,614 |
(33,383) |
Premiums Written For the year ended Dec. 31, 2010 (in thousands)
All dollar amounts have been rounded to the nearest thousand.
| Premiums Written |
| American Family Mutual Insurance Company |
$5,026,117* |
89% |
| American Standard Insurance Company of Wisconsin |
298,173** |
5% |
| American Family Life Insurance Company |
$330,854 |
6% |
| American Family Life Insurance Company |
| Total insurance in force |
$86.5 Billion |
| New business issued |
$8.1 Billion |
* Before reinsurance assumed from ASIC and ASICO. Includes AFIC.
** Includes ASICO.
BEHIND THE NUMBERS
As a mutual company, American Family exists for one purpose: to support our customers when they need us most. To do that, we must be financially strong and stable.
When you scan our 2010 results in the financials section of this report, you'll see some positive numbers for things like assets, equity and revenue. And while that's a very large part of what makes American Family strong, it's just that – one part of a larger picture.
For those of you who have filed a claim, had a question about a bill or visited your agent's office, you know that it's the people who make a difference at American Family. As chief financial officer, it is my responsibility to oversee the financial team that works together to ensure our strength and stability for decades to come. And while you may not ever speak to me, our investment analysts, accountants or actuaries, we are as dedicated to serving you as our agents and claim adjusters.
We are constantly looking for opportunities to drive efficiency and keep expenses in check. After all, that's what you expect when you pay your insurance bill.
We also maintain a well-diversified portfolio of investments as a means of strengthening our capacity to serve our customers.
American Family has had a system of financial checks and balances in place for many years, ensuring that the right hand always knows what the left hand is doing. To us, that just makes sense.
Rest assured, the financial team at American Family will continue to address those never-ending opportunities and challenges, with the shared goal of better serving you, our customers.
The bottom line goes much deeper than a number on a balance sheet. Thousands of American Family customers find out every year the value of doing business with a company that not only is wholeheartedly dedicated to customer service, but also has the financial strength to help you recover in your time of need.
Daniel R. Schultz
Chief Financial Officer, Treasurer