TOPEKA, Kan., July 21, 2014 (GLOBE NEWSWIRE) -- Security Benefit Corp. (SBC), a leader in the U.S. retirement savings market, today received a "positive" rating outlook for the firm's insurance entities from Standard & Poor's (S&P). The agency also affirmed Security Benefit's current "A-" financial strength rating.
The outlook change for Security Benefit's insurance businesses—Security Benefit Life Insurance Company (SBL) and its affiliate, First Security Benefit Life Insurance and Annuity Company of New York—reflects S&P's recognition of Security Benefit's very strong capital position, constituent earnings profile, and expanded operations. If those strengths are maintained, the company's long-term credit rating could be raised in the near future.
"Standard & Poor's positive outlook is yet another recognition by S&P of our financial strength and success in the U.S. retirement market," said Mike Kiley, CEO of Security Benefit. "With capital at record levels, consistently strong operating results, innovative products and a powerful distribution strategy, we are confident that additional upgrades are in our future."
In raising SBL's outlook, S&P noted that the company's consistently strong earnings continue to generate capital organically. SBL's total adjusted capital of $1.2 billion is consistent with the capital requirements of an 'AA' rating from S&P. The company's statutory net income was more than $164 million for 2013.
SBL has grown and diversified its retirement business in recent years by introducing new retirement savings and income products like the Total Value Annuity and Secure Income Annuity, the top two selling fixed indexed annuities in 2013, according to Beacon Research. The company is widely recognized as a leader in several important wealth segments including overall fixed annuity sales, bank market fixed annuity sales, and K-12 education market sales.
"All of our key financial indicators are at record levels. Our assets under management, sales, net flows and capital surplus serve as a testament to our strength and positive trajectory," Kiley said. "Our focus on helping Americans save for and manage income through retirement will help us maintain our position as a trusted partner in America's increasingly large retirement market."
About Security Benefit
Security Benefit Life Insurance Company is a 122-year-old, Kansas-based insurance company, which in recent years has become one of the fastest growing companies in the U.S. retirement market. First Security Benefit Life Insurance and Annuity Company of New York is a 20-year-old insurance company based in Rye Brook, N.Y. Through a combination of innovative products, exceptional investment management and a unique distribution strategy, Security Benefit has become a leader in a full range of retirement markets and wealth segments. To learn more about Security Benefit, visit www.securitybenefit.com.
The Security Benefit Secure Income Annuity, form 5800 (11-10) and ICC10 5800 (11-10), and the Total Value Annuity, form 5700 (3-12) and ICC12 5700 (3-12), fixed index flexible premium deferred annuity contracts, are issued by Security Benefit Life Insurance Company. Product features, limitations and availability may vary by state.