HMN

Property and casualty insurer The Allstate Corporation ALL appears well positioned for growth, supported by improving underwriting profitability, rising investment income, solid policy growth and increased capital returns. Its shares have gained 23.6% year to date, comfortably outperforming the industry’s 2.4% increase and the S&P 500’s 11.7% rise, signaling investor confidence. Image Source: Zacks Investment Research The rising frequency and severity of natural catastrophes are increasing claims costs but also creating growth opportunities for the property and casualty insurance industry. Greater exposure to weather-related risks is raising awareness among households and businesses, supporting demand for broader and more tailored insurance coverage. For Allstate, this environment can drive premium growth, improve pricing adequacy and encourage product innovation as the company adjusts coverage and rates to better reflect evolving risk. Allstate is growing without sacrificing margins. Policies in force reached roughly 216 million in the second quarter. Auto and homeowners policies continued to increase, while issued applications rose 9.9%. It is steadily scaling its Protection Services business, creating a complementary growth engine beyond traditional insurance. Auto’s first-half underlying combined ratio was 88.5, down from the year-ago level of 89.5, substantially better than the roughly mid-90s level Allstate has historically viewed. Management will likely trade some margin for profitable growth where appropriate. Investment income has become another meaningful earnings engine. Net investment income increased 9.8% in the first quarter and then 33.8% in the second quarter to $1 billion, benefiting from a larger portfolio, higher fixed-income yields and stronger performance-based investment returns. Allstate had about $9.5 billion of deployable holding-company capital following the second quarter and repurchased $1 billion of stock during the quarter, along with paying $280 million in dividends. Over the past decade, ALL repurchased 39% of its outstanding shares. It still has $2.6 billion left under its buyback authorization. The Zacks Consensus Estimate for 2026 adjusted earnings for Allstate is currently pegged at $34.45 per share, which has witnessed 12 upward revisions against no downward movement over the past month. During this time, the consensus mark for 2027 earnings improved 4%. The consensus estimate for 2026 and 2027 revenues suggests 4.4% and 4% year-over-year increases, respectively. It beat earnings estimates in each of the past four quarters, with an average surprise of 45.3%. The Allstate Corporation price-consensus-eps-surprise-chart | The Allstate Corporation Quote ALL is trading comparatively cheap at the moment from a valuation standpoint. Its forward earnings multiple of 8.73X is lower than its five-year median of 10.90X and the industry average of 26.85X. Allstate now has a Value Score of A. Allstate currently sports a Zacks Rank #1 (Strong Buy). Some other top-ranked stocks in the broader insurance space are Horace Mann Educators Corporation HMN, CNO Financial Group, Inc. CNO and Assurant, Inc. AIZ. While Horace Mann Educators also has a Zacks Rank #1, CNO Financial and Assurant are carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for Horace Mann Educators’ current-year earnings is pegged at $4.78 per share, which has witnessed two upward revisions over the past 30 days and no movement in the opposite direction. Furthermore, the consensus estimate for HMN’s 2026 revenues indicates a 3.9% year-over-year increase. The consensus mark for CNO Financial’s current-year earnings is pegged at $4.74 per share, which indicates 16.2% year-over-year growth. It has witnessed two upward estimate revisions against none in the opposite direction in the past 30 days. CNO beat earnings estimates in each of the last four quarters, with an average surprise of 23.2%. The Zacks Consensus Estimate for Assurant’s current year earnings is pegged at $22.05 per share, which indicates 11.5% year-over-year growth. It has witnessed five upward estimate revisions against none in the opposite direction in the past month. AIZ beat earnings estimates in each of the last four quarters, with an average surprise of 17.7%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Allstate Corporation (ALL) : Free Stock Analysis Report CNO Financial Group, Inc. (CNO) : Free Stock Analysis Report Assurant, Inc. (AIZ) : Free Stock Analysis Report Horace Mann Educators Corporation (HMN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Horace Mann Educators (NYSE:HMN) and the rest of the life insurance stocks fared in Q2. Life insurance companies collect premiums from policyholders in exchange for providing a future death benefit or retirement income stream. Interest rates matter for the sector (and make it cyclical), with higher rates allowing insurers to reinvest their fixed-income portfolios at more attractive yields and vice versa. Additionally, favorable demographic shifts, such as an aging population, are driving strong demand for retirement products while AI and data analytics offer significant opportunities to improve underwriting accuracy and operational efficiency. Conversely, the industry faces headwinds from persistent competition from agile insurtechs that threaten traditional distribution models. The 12 life insurance stocks we track reported a mixed Q2. As a group, revenues missed analysts’ consensus estimates by 8.2%. In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results. Founded in 1945 and named after the 19th-century education reformer known as the "father of American public education," Horace Mann Educators (NYSE:HMN) is an insurance company that specializes in providing auto, property, life, and retirement products tailored for educators and other public service employees. Horace Mann Educators reported revenues of $443.5 million, up 7.7% year on year. This print was in line with analysts’ expectations, and overall, it was a very strong quarter for the company with a beat of analysts’ EPS estimates. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 1.1% since reporting and currently trades at $51.51. Is now the time to buy Horace Mann Educators? Access our full analysis of the earnings results here, it’s free. Spun off from MetLife in 2017 to focus specifically on retail financial products, Brighthouse Financial (NASDAQ:BHF) provides annuity contracts and life insurance products designed to help individuals protect wealth, generate income, and transfer assets. Brighthouse Financial reported revenues of $2.10 billion, down 2.4% year on year, falling short of analysts’ expectations by 2%. It was a softer quarter as it posted a significant miss of analysts’ book value per share estimates and a significant miss of analysts’ EPS estimates. As expected, the stock is down 3.3% since the results and currently trades at $59.81. Read our full analysis of Brighthouse Financial’s results here. Tracing its roots back to 1859 as one of America's oldest financial institutions, Equitable Holdings (NYSE:EQH) provides retirement planning, asset management, and life insurance products through its two main franchises, Equitable and AllianceBernstein. Equitable Holdings reported revenues of $3.73 billion, down 1.9% year on year. This result missed analysts’ expectations by 1.9%. Overall, it was a slower quarter as it also logged a narrow beat of analysts’ EPS estimates. The stock is up 7.3% since reporting and currently trades at $51.75. Read our full, actionable report on Equitable Holdings here, it’s free. Known for its iconic duck mascot that has quacked "Aflac!" in commercials since 2000, Aflac (NYSE:AFL) provides supplemental health and life insurance policies that pay cash benefits directly to policyholders for expenses not covered by their primary insurance. Aflac reported revenues of $4.22 billion, down 6.9% year on year. This number met analysts’ expectations. Taking a step back, it was a satisfactory quarter as it also produced a solid beat of analysts’ book value per share estimates but EPS in line with analysts’ estimates. The stock is down 4.8% since reporting and currently trades at $120.60. Read our full, actionable report on Aflac here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Strong Momentum Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

Horace Mann Educators’ results for Q2 reflected steady execution, with the company meeting Wall Street’s revenue expectations and posting non-GAAP profit meaningfully above consensus. Management pointed to disciplined underwriting in Property & Casualty and the benefits from investments in product offerings and expanded distribution as primary drivers of performance. CEO Marita Zuraitis emphasized, “Our diversified business model continues to prove its value across a variety of economic and industry conditions.” Sales growth was strongest in individual supplemental and group benefits, supported by enhancements to both product features and agent capabilities. Is now the time to buy HMN? Find out in our full research report (it’s free). Revenue: $443.5 million vs analyst estimates of $442.6 million (7.7% year-on-year growth, in line) Adjusted EPS: $1.17 vs analyst estimates of $0.73 (60.3% beat) Operating Margin: 11%, up from 8.9% in the same quarter last year Market Capitalization: $2.12 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Wilma Jackson Burdis (Raymond James) asked about the pricing structure of paid family and medical leave and frequency of repricing. CFO Ryan Edward Greenier explained it can be repriced annually and that utilization trends have matched assumptions. Wilma Jackson Burdis (Raymond James) inquired about drivers behind the fixed annuity spread and the decrease in net investment income guidance. Greenier attributed variability to limited partnership earnings and noted recalibrated expectations for alternative asset returns. Wilma Jackson Burdis (Raymond James) questioned the EPS accretion from the Medical Mutual of Ohio acquisition. Greenier confirmed annual run-rate EPS accretion expectations for 2027 and outlined the timing of earnings contributions given deal closings. Michael David Zaremski (BMO) asked about capital return strategy and buybacks in light of M&A activity. Zuraitis and Greenier emphasized a disciplined, opportunistic approach to buybacks, focusing first on maintaining a strong balance sheet. Michael David Zaremski (BMO) sought clarification on loss trends in Property & Casualty. Greenier reported favorable weather and stable loss trends in auto, with expectations for normalization in the second half of the year. In the coming quarters, the StockStory team will be monitoring (1) the pace of adoption and profitability trends for new group benefits products, especially paid family and medical leave; (2) the stabilization of investment income as alternative asset returns normalize; and (3) the impact and integration progress of recently announced acquisitions. Progress in agent recruitment and expanded educator partnerships will also be important indicators. Horace Mann Educators currently trades at $52.26, in line with $52.10 just before the earnings. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it’s free for active Edge members). ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 11:00 a.m. ET Vice President, Investor Relations - Rachael Luber President and Chief Executive Officer - Marita Zuraitis Executive Vice President and Chief Financial Officer - Ryan Edward Greenier Operator: Good day, and welcome to the Horace Mann Educators Second Quarter 26 Investor Call. All participants will be in a listen only mode. After today's presentation, there will be an opportunity to ask questions. Please note that this event is being recorded. I would now like to turn the conference over to Rachael Luber, Vice President, Investor Relations. Please go ahead. Rachael Luber: Thank you. Welcome to Horace Mann's discussion of our second quarter 26 results. Yesterday, we issued our earnings release, investor supplement and investor presentation. Copies are available on the Investors page of our website. Our speakers today are Marita Zuraitis, President and Chief Executive Officer and Ryan Edward Greenier, Executive Vice President and Chief Financial Officer. Before turning it over to Marita, I want to note that our presentation today includes forward looking statements as defined in the Private Securities Litigation Reform Act of 2000. The company cautions investors that any forward looking statements include risks and uncertainties and are not guarantees of future performance. These forward looking statements are based on management's current expectations, and we assume no obligation to update them. Actual results may differ materially due to a variety of factors, which are described in our news release and SEC filings. In our prepared remarks, we use some non-GAAP measures. Reconciliation of these measures to the most comparable GAAP measures are available in our investor supplement. Now turn the call over to Marita. Marita Zuraitis: Thanks, Rachael, good morning, everyone. Yesterday, Horace Mann reported another strong quarter with record second quarter core earnings of $1.17 per share, an increase of more than 10% over prior year, Core shareholder return on equity for the trailing 12 months was 12.8%. These results reflect continued strong operating performance across our diversified business and demonstrates the progress we are making against the long term strategy we outlined at Investor Day. Our diversified business model continues to prove its value across a variety of economic and industry conditions. The investments we have made to strengthen our portfolio improve execution, and expand our distribution capabilities are translating into consistent operating performance and keep us on track to deliver our 3-year financial objectives. As a result of our strong first half operating performance, and our confidence in the outlook for the remainder of the year, we are increasing our full year 2026 core earnings guidance to a range of $4.60 to $4.90 per share. This morning, I will discuss the operating momentum we are seeing across the business, the progress we are making to strengthen relationships with educators school districts and other employers and why we remain confident in our long term strategy to continue delivering sustainable, profitable growth and long term shareholder value. Turning to operating performance, the strength of our second quarter results reflects disciplined execution across the business. Property and Casualty continued to perform well during the quarter The property and casualty combined ratio improved 7.0 points from the prior year period, reflecting the rate and non rate actions we have taken over the past several years together with generally favorable weather conditions and lower catastrophe losses. At the same time, life and retirement and individual supplemental and group benefits continued to generate attractive returns and further diversify our earnings profile. Those results are supported by continued growth across the enterprise, reflecting the investments we have made to strengthen both our product offerings and our distribution capabilities. Total revenues increased 8% over the prior year quarter, Sales were particularly strong in individual supplemental and group benefits up 44% and in life up 20%. Momentum we are seeing reflects the deliberate investments we have made in 2 areas, First, we continue to enhance our portfolio with products and solutions that address evolving customer and employer needs, and second, we are making it easier for customers to access those solutions by investing in our distribution capabilities, technology and agent development. In individual supplemental, our newest generation of cancer coverage continues to generate strong sales as it addresses the evolving protection needs of our customers. In Group Benefits, the paid family and medical leave enhancement we introduced alongside our short term disability offering earlier this year continues to support strong employer demand and continues to be an important driver of new business. We are also seeing the benefits of our investments in distribution, Through continued investments in recruiting, training and coaching, we have strengthened our agency force and are helping new agents become successful more quickly. Those investments are expanding our distribution capacity supporting profitable growth and contributing to the continued momentum we are seeing in life sales. The benefits of these investments extend across our business In Property and Casualty, we continue to pursue profitable growth by focusing on markets and customer segments where we believe we can earn attractive long term returns. We are encouraged by the momentum we are seeing as we continue to grow customer relationships while maintaining the disciplined approach that supports our long term strategy. Our approach to the auto market reflects the broader philosophy that extends across Horace Mann. We measure success by the strength and longevity of our customer relationships, not simply by quarterly sales or individual policy growth. Our relationships continue to be 1 of our greatest competitive advantages Auto household retention remains steady near 84% during the quarter, while customer retention across our other businesses remains near or above 90%. Those results reflect the trust our customers place in Horace Mann and value they see in the solutions we provide. Our relationships are built on a deep understanding of the educator community and a commitment to helping educators succeed both in and outside of the classroom. We continue to invest in resources and solutions that strengthen our connections with educators while creating long term value for our shareholders. We are continuing to expand how we connect with educators Online quoting activity increased nearly 10% over prior year, and we continue to grow our points of distribution. Creating more opportunities to introduce educators to Horace Mann, and the solutions we provide throughout their careers. We are also expanding our reach through partnerships that allow us to meet educators where they are. Through our partnership with Crayola and the Disney Institute, thousands of educators have now completed professional development programs sponsored by Horace Mann. More recently, we announced a new relationship with the Women's Professional Baseball League to create unique experiences for educators support women's sports, and celebrate the league's inaugural season. We are also proud to have established the first Horace Mann Educator Excellence Award Endowment in partnership with the Smithsonian Institution. This permanent endowment recognize and celebrates outstanding educators while reinforcing Horace Mann's long standing commitment to the profession we have served for more than 80 years. Our support of educators extends well beyond insurance products. During Teacher Appreciation Month in May, we celebrated educators nationwide through a variety of recognition and community initiatives. As students return to the classroom this fall, our annual back to school campaign will once again provide educators with resources, classroom support, and opportunities to engage with Horace Mann both locally through our agents and nationally through our partnerships and digital channels. The result is a business model built on trusted solutions rather than transactions. Today, more than 1/3 of educators nationwide recognize the Horace Mann brand. That growing awareness strengthens customer reinforces long term relationships and positions us to continue serving more customers with more solutions over time. Before I turn the call over to Ryan, I want to briefly reiterate 1 point. Today's guidance increase is entirely the result of the strong operating performance and disciplined execution we have discussed this morning The progress we have discussed today reinforces our confidence in the strategy we outlined at our Investor Day. We remain focused on delivering our long term financial objectives of a 10% compound annual growth rate in core earnings per share and a sustainable shareholder return on equity of 12% to 13%. Our recently announced acquisitions further strengthen that strategy. Expanding our ability to serve more customers and reinforcing our confidence in achieving those long term financial objectives. Our strategy is delivering results today while positioning Horace Mann for continued success tomorrow. We are serving more educators and employers solving more customer needs over time, and building stronger long lasting customer relationships. Together, those advantages position us to continue delivering sustained profitable growth and long term value to our shareholders. Thank you. And with that, I will turn the call over to Ryan. Ryan Edward Greenier: Thanks, Marita. We have had a strong first half of 26. The results we delivered along with our outlook for the remainder of the year support increasing our full year earnings guidance to a range of 4.60 to $4.90 per share. In updating our outlook for the balance of the year, we have also revised several key assumptions that underpin our guidance. Compared to our prior outlook, we have reduced our full year catastrophe loss assumption, lowered our net investment income expectations, and increased our individual supplemental and group benefits blended benefit ratio assumption to reflect the continued strong growth momentum we are seeing across that segment. Our updated guidance assumes approximately $75 million in catastrophe losses for the full year total net investment income in the range of $465 million to $475 million with managed portfolio income of $365 million to $375 million and individual supplemental and group benefits blended benefit of approximately 42%, and interest expense and other corporate items of $35 million to $40 million As always, our guidance reflects what we believe is a balanced view of the trends that we are seeing across the business and our expectations for the remainder of the year. I will provide additional context across each of those assumptions as I discuss our segment results. Before turning to the quarterly results, I would like to briefly address the acquisitions we announced in July. The transactions are progressing as planned Our expectations remain unchanged and we have no additional updates to share at this time. The transactions are not reflected in our updated 2026 guidance. As we do not expect a meaningful impact to earnings this year given our expectations for closing dates. During our announcement call, we referenced a 6- to 7-year tangible book value payback period That metric reflects the standalone economics of the acquired businesses under the standard tangible book value dilution methodology Importantly, the ongoing earnings generation of the combined company is expected to replenish the reduction in book value associated with the transactions within approximately 1 year following closing. This clarification does not change the economics of the transaction. Beginning in 2027, we continue to expect the transactions to be immediately accretive to earnings per share and contribute approximately 100 basis points of return on equity accretion. Now let me turn to the quarterly results and the key drivers of our performance. In Property and Casualty, core earnings increased 56% year-over-year to $26 million The reported combined ratio improved 7 points to 89.6 reflecting favorable weather lower catastrophe losses favorable prior year reserve development and the continued benefits of disciplined underwriting actions. Favorable prior year reserve development totaled $7 million, including $5 million in property and $2 million in auto, primarily reflecting lower than expected claim severity. Underlying loss trends were generally favorable during the quarter. In auto, frequency trends were favorable, reflecting both the rate and non rate actions we have taken over the past several years as well as broader trends affecting the personal auto industry. We continue to closely monitor the underlying drivers of those trends, including business mix, geographic exposure, weather patterns, and driving behavior. And our outlook for the remainder of the year reflects what we believe is a balanced view of those underlying trends. As we have discussed in our updated guidance assumptions, we have reduced our full year catastrophe loss expectation from $90 million to $75 million based on our first half experience. At the same time, our outlook for P&C for the remainder of the year continues to reflect a balanced view of underlying loss trends and the normal variability including seasonality we expect over the course of the year. From a premium standpoint, net written premiums were essentially flat at $212 million. Property premiums increased 6% reflecting higher average premiums with continued positive sales trends. In auto, our approach to growth remains disciplined. We continue to prioritize profitable growth over volume, focusing on markets where we see attractive long term opportunities while maintaining our underwriting standards. Overall, the quarter reflects the continued progress we have made in strengthening the profitability and quality of our P&C portfolio. Those improvements are the result of actions we have taken over the past several years and continue to support our confidence in the long term earnings potential of the business. Turning to Life and Retirement. Core earnings were $17 million. Life sales increased 20% over the prior year quarter reflecting the continued success of the investments we have made in agent recruiting and productivity. Persistency remains strong at approximately 96%. In Retirement, contract deposits were modestly lower year over year, primarily reflecting product mix and market conditions, while fee income and strong persistency continued to support stable earnings. We continue to view the underlying fundamentals of the Life and Retirement business as strong and the segment remains well positioned to support our long term growth objectives. Turning to individual supplemental and group benefits. The momentum we have seen over the past several quarters continued. This segment generated another excellent quarter with continued demand across both individual supplemental and group benefits while continuing to produce consistently strong returns. Individual supplemental continued to perform well during the quarter. Sales increased 5% reflecting continued demand for our enhanced cancer product, while persistency remained strong at approximately 89%. Group Benefits also delivered another strong sales quarter. Driven by continued employer demand for our paid family and medical leave enhancement introduced earlier this year. As I mentioned earlier, we have increased our full year blended benefit rate expectation to approximately 42%. That change reflects the continued strong growth of the segment and the increasing contribution of paid family and medical leave to our overall business mix. As with many newer insurance products, we expect a period of elevated utilization as newly covered employees begin accessing benefits available to them. That first-year experience has been contemplated in our pricing, and long term return expectations from the outset. We also expect seasonality to become more pronounced as paid family and medical leave becomes a larger portion of the group business. Because a significant portion of our covered population consists of educators, utilization is naturally lower during the summer month when many educators are not actively working. Consistent with that expectation, claims activity in July has tracked in line with what we anticipated and supports our confidence in the updated full year benefit ratio assumption. Importantly, nothing we have seen changes our expectations for the long term profitability of the segment. A blended benefit ratio around 42% remains a very attractive level of profitability for this business. As the business continues to grow, including the addition of the group business we announced in July, we expect business mix to continue to evolve while maintaining attractive long term returns. Turning to investments. Total net investment income increased modestly over the prior year quarter. Within our managed portfolio, higher core fixed income and limited partnership income more than offset lower income from our commercial mortgage loan portfolio. As we discussed in our updated guidance assumptions, we have lowered our full year net investment income outlook to reflect the mixed impact of today's market environment across our investment portfolio. While elevated interest rates continue to benefit reinvestment yields, in our core fixed income portfolio, they also continue to pressure earnings from certain investment strategies. Our updated outlook reflects those conditions for the remainder of the year. Nothing has changed about our disciplined investment philosophy or the overall quality of the portfolio. Continue to maintain a high quality, well diversified portfolio that is positioned to support stable earnings and attractive long term returns. Turning to capital. Our approach remains disciplined and unchanged. We continue to maintain a strong balance sheet return excess capital to shareholders and invest in opportunities that support long term profitable growth. During the quarter, we returned $15 million to shareholders through our dividend, and we continue to have approximately $37 million available under our current share repurchase authorization. We will continue to opportunistically buy back shares when market conditions are compelling. That disciplined approach continues to create value for shareholders Tangible book value per share increased 10% year over year, reflecting continued earnings generation and prudent capital management. Stephen back, today's updated guidance reflects the first half experience we have discussed across each of our businesses while maintaining what we believe is a balanced view of the assumptions underlying the remainder of the year. That updated outlook keeps us on track to achieve the long term financial objectives we established at Investor Day. A 10% compound annual growth rate in core earnings per share and a sustainable 12% to 13% shareholder return on equity. Thank you. Operator, we are ready for questions. Operator: Thank you. And we will now begin the Q&A session. Our first question today will come from Wilma Jackson Burdis with Raymond James. Please go ahead. Wilma Jackson Burdis: Hey. Good morning. Can you talk about the pricing structure of Horace Mann's paid family and medical leave business and how often there are opportunities to reprice? Thanks. Ryan Edward Greenier: Good morning, Wilma. This is Ryan. With the paid family medical leave business, when I think about the economic profile of that compared to the rest of our group offerings, The benefit ratio is higher, but that is offset by a meaningful lower expense ratio. So net, the geography, if you will, of the profitability by line is a little bit different than the short term, long term disability and term life offerings. You know, we do have an opportunity to reprice that annually, and I will say that the heavier utilization in the first half of the year was in line with our expectations and pricing assumptions. Marita Zuraitis: And I think it is also important to point out, as Ryan said in his scripted remarks, that July coming in a little bit lower certainly is also in line with our expectations. So this is performing, you know, the way we had expected it to perform and in line with how we built our pricing and underwriting assumptions. I think it is also important to point out that this is not a stand alone coverage. it is sold as part of our short term disability product, and that is an important thing to point out where you are combining the economics of those pieces. And there is nothing dissimilar here than what you are hearing from others in this business as we all respond to the mandatory PFML offerings of states like Minnesota and others to come. So I think we have done a really good job thinking about this. Combining it with a very solid, profitable, long-term, you know, approach here of a high-margin business, and we feel good about where we are with this portion of that short term disability offering. Wilma Jackson Burdis: Okay. Thank you. And then can you talk about what increased the fixed annuity spread in the quarter? How the outlook is shaping up there? And then I guess on the other side of this question, what drove the factors of the decrease in the NII guidance Is there any specific asset classes that you can give us a little bit more color on there? Thanks. Ryan Edward Greenier: Sure. Wilma, I will start and Marita can add any additional color. The biggest driver of variability in the fixed annuity spread number is limited partnership earnings. As well as commercial mortgage loan earnings. In the rebound this quarter, we had a particularly strong limited partnership quarter in our life and retirement segment. We had a number of venture capital investments that had very strong returns. And we saw that come through. So variability, if you will, in the fixed annuity the improvement, a large portion of it was related to limited partnerships. But stepping back and thinking about net investment income, in the portfolio more broadly, you know, the change to guidance was primarily due to expectations for certain alternative strategies that are more sensitive to a higher for longer interest rate environment. You have heard from other life carriers, we are seeing lower but positive returns on some strategies. For us, private equity, infrastructure debt, real estate related strategies. And for those, we have incorporated lower but positive anticipated returns for the remainder of the year. But if you look at the portfolio in total, the interest rate environment that we are in today is quite constructive. Our new money fixed our new money yields for the core fixed income portfolio were 5.85% for the quarter that is more than 100 basis points above the portfolio yield for that slice of our total portfolio. And that is the workhorse, that is the bulk of our assets. This is the eighteenth quarter in a row where we have seen new money yield exceeding what is in the portfolio. So I am optimistic for continued growth in net investment income as I look forward. But we wanted to calibrate our expectations within the guidance assumptions a little more closely for you. Marita Zuraitis: I think you said that well. I do not have much to add other than the fact that it is a good NII story. And this is the way the math works out for the remainder of the year. So as we looked at our guidance in total, we wanted to factor those thoughts into that. Thank you. Wilma Jackson Burdis: And if I can squeeze 1 more in. Congrats on the deal with Medical Mutual of Ohio. Just to kind of, I guess, take it to a higher level, we calculated, I think, something along the lines of high single digit EPS accretion there. Does that seem like it is in the ballpark? Is there anything we are missing, plus or minuses? And maybe just kind of talk about how you see that playing out. With EPS over the coming quarters? Thanks. Ryan Edward Greenier: Sure, Wilma. You know, when I think about what that transaction does to for us, on a annual run rate basis, I think something in the neighborhood of 40 to 50¢ you know, overall. And that is really 2027. Go forward. The timing of the closes of the transactions the first 1, the employer services business, that is the EAP business. it is a recurring fee type business, quite attractive from an ROE and earnings perspective. But that closes in the fourth quarter. So we will pick up 1 quarter of earnings but we need to pay for the full amount of the transaction, that is 115 million at close. So the foregone investment income interest expense, you know, that offsets the earnings you know, for that 1 quarter in 2026. I think you are thinking about it, you know, in the right way, and I hope that more granular specific guidance gives you a sense, you know, of how we have modeled it. Marita Zuraitis: Although you asked about the math, I would be remiss not to again, reiterate the fact that this broadens our solutions platform you know, especially when we think about that EA business. When we survey educators, we learn that their number 1 concern, both for the individual educator, as well as the school districts that employ them, that mental health and the stress created by the world around us is their number 1 concern, and this helps us bring that solution to school districts and the individual educators we serve as web as well as the broader employer population. It scales our distribution and brings us more points of distribution outlets and it expands our customer reach and brings us customers that are not yet Horace Mann customers. So first and foremost, we are excited about the strategic lift But as Ryan says, I think the economics speak for themselves. Wilma Jackson Burdis: Thank you very much. Congrats on a great quarter. Thank you, Elyse. Operator: Our next question will come from Michael David Zaremski with BMO. Please go ahead. Michael David Zaremski: Hey, good morning. Nice quarter. On just capital, should we be just turning off the buybacks in the meantime? I am assuming there was a period you could not buy back with the M&A taking place this past quarter. But should we be turning that off in order to kind of pro forma provide leverage cushion for when you do spend money? Or is there any just kind of more direct guidance you want to-- you are going to give on that? Marita Zuraitis: Yes, thanks for the question. I will start. And then I can turn it over to Ryan on the specifics of what you are asking. I think it is important to point out that our first priority remains maintaining a strong balance sheet, and financial flexibility. And as we continue to advance our profitable growth strategy, those things are important. And I think you saw with the recently announced acquisitions, the ability to do that. So that is our primary objective. Ryan Edward Greenier: And, Mike, you know, when I think about buyback is a really important lever for us to return capital to shareholders. Our businesses produce they are quite efficient from a free cash flow perspective, and we have a 75% target free cash flow conversion. And the acquisitions we did or will close on as well as the growth in the more capital efficient businesses like individual supplemental and group that will meaningfully enhance and grow that free cash flow conversion over time. And so what that does for us is it puts us in good position, a position where we need to think about ways to return capital to shareholders. So I would not think of buyback as being an on or off switch. I think of it as being opportunistic. So we will weigh it against other uses for the capital internally as well as market conditions. So we have got $37 million left on our authorization. You saw us be quite active in the first quarter. With buyback. So, you know, we will have to see what the market looks like. And with strong performance, obviously, increased flexibility for all of the components of our capital management strategy. Michael David Zaremski: Okay. I think even though you are not giving a specific guidance, it is fairly clear. Okay. Maybe switching gears to property and casualty. Clearly excellent results continue on a profitability standpoint. I know there is still more work to do on organic policy growth. But I think you called out weather being a benefit So obviously, not going to run rate that. But the core loss ratio and especially PYD continues to be healthy. Any changes in loss trend views on either home auto or both? It seems like for the industry, trend appears to be just better than expected. Any color there? Marita Zuraitis: Ryan can give you loss trends specifics. But I am gonna sound a little bit like a broken record here. You mentioned organic growth in there. I do not necessarily look at organic growth as soft and more work to be done. I am going to sound like a broken record, but our strategy is not a mono auto strategy. When I look at our household growth and our household growth strategy that we laid out in Investor Day, we are growing households. In our script, we talked about a 10% increase in online quoting. We talked about increase in agents and our points of distribution. And sometimes the new households that we bring in start with auto, but sometimes they start with 403 or they start with an individual supplemental policy. But specifically to auto, auto remains a meaningful part of our acquisition strategy. there is no doubt about that. And we are growing, new business in targeted places where we can achieve our targeted combined ratio. And where we see the ability to do that well. Our ex California auto continues to grow. Our auto retention efforts are helping us keep existing business in a highly competitive market. So I feel like our strategy is working. And we are seeing solid steady retention across all of our product lines. I think it is important to note that the auto rate of decline continues to improve, quarter over quarter. But we are not going to chase auto growth and sacrifice our disciplined approach to strong and steady earnings. And I feel like when you see these numbers and you digest these numbers quarter over quarter, you are gonna understand what we are doing. And then lastly to that, when you think about HMGA and our Horace Mann general agency, remember, that when we do not feel we can produce that new business auto policy at a long term profit, we can take a fee and place it with a third party carrier and not manufacture that auto. But when it makes sense for us to do that, we certainly can put that on our paper. And I think the strategy, you know, is working when you see these kinds of results. Operator: And I will take the loss trend component of your question. Ryan Edward Greenier: I mean, first half for auto was particularly favorable weather as well as other factors, we believe, is driving the low single digit frequency trends that we are seeing In addition to that, we are seeing favorable severity on physical damage coverages. Our liability loss trend is in the mid-single-digit. And so when I put it all together, you know, our rate plan for 2026 of a mid single digit rate plan, you know, is on track to maintain the profitability on a go forward basis. it is stable. it is in line with our targets. And when I think about second half of the year, you know, we have not seen weather so favorable like we did in the first half. So I would expect comp losses to normalize and, you know, we would not expect and did not plan for the favorable weather trend to continue. Michael David Zaremski: that is very helpful. that is helpful answer. Thank you. You are welcome. Operator: And this will conclude our Q&A session. I would like to turn the conference back over to Rachel Luber for any closing remarks. Rachael Luber: Thank you for joining us today. We appreciate your continued interest in Horace Mann and look forward to updating you on our progress next quarter. Have a great day. Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect your lines at this time. Before you buy stock in Horace Mann Educators, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Horace Mann Educators wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $403,337!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,946!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 12, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Horace Mann Educators (HMN) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Horace Mann Educators Corporation? Here are five stocks we like better. Horace Mann raised its 2026 core earnings guidance to $4.60–$4.90 per share after reporting record second-quarter core earnings of $1.17 per share, up more than 10% year over year. Property-and-casualty profitability improved sharply: core earnings rose 56% to $26 million, while the combined ratio improved to 89.6. The company also lowered its 2026 catastrophe-loss assumption to approximately $75 million. Benefits and life sales gained momentum, but the insurer reduced its full-year investment-income outlook to $465–$475 million. Acquisitions announced in July are expected to add roughly $0.40–$0.50 to annual run-rate EPS beginning in 2027. 3 Overlooked Dividend Stocks for Choppy Markets in 2026 Horace Mann Educators (NYSE:HMN) raised its full-year 2026 core earnings guidance after reporting record second-quarter core earnings of $1.17 per share, up more than 10% from the prior-year period. The insurer now expects 2026 core earnings of $4.60 to $4.90 per share. President and Chief Executive Officer Marita Zuraitis said the higher outlook reflected strong first-half operating performance and confidence in trends for the rest of the year. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling “The strength of our second quarter results reflects disciplined execution across the business,” Zuraitis said, pointing to improved property-and-casualty profitability, growth in life and supplemental-benefits sales, and expanded distribution capabilities. Property and casualty core earnings rose 56% year over year to $26 million. The segment’s reported combined ratio improved seven points to 89.6, aided by favorable weather, lower catastrophe losses, favorable prior-year reserve development and underwriting actions taken in recent years. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Favorable prior-year reserve development totaled $7 million, including $5 million in property and $2 million in auto, primarily due to lower-than-expected claims severity, Chief Financial Officer Ryan Greenier said. Net written premiums in the segment were essentially flat at $212 million. Property premiums increased 6%, driven by higher average premiums and positive sales trends. The company said it remains focused on profitable growth rather than policy volume in auto insurance, targeting markets where it sees attractive long-term returns. → No Hangover: Revisiting Microsoft One Week After Earnings Greenier said auto frequency trends were favorable in the first half, with low-single-digit frequency trends supported by weather and other factors. Physical-damage severity was also favorable, while liability loss trends were in the mid-single digits. Horace Mann’s mid-single-digit 2026 auto rate plan remains on track to support profitability, he said. The company lowered its full-year catastrophe-loss assumption to approximately $75 million from approximately $90 million, based on first-half experience. However, management said it expects catastrophe losses to normalize in the second half and did not plan for first-half weather conditions to persist. Auto household retention was near 84% during the quarter, while customer retention in the company’s other businesses remained near or above 90%, according to Zuraitis. Total revenue increased 8% from the prior-year quarter. Sales in individual supplemental and group benefits increased 44%, while life sales rose 20%. Individual supplemental sales increased 5%, supported by demand for the company’s enhanced cancer product, while persistency was approximately 89%. Group-benefits sales were driven by demand for the paid family and medical leave enhancement introduced earlier this year alongside the company’s short-term disability offering. Horace Mann increased its full-year individual supplemental and group benefits blended benefit-ratio assumption to approximately 42%. Greenier said the revision reflects strong segment growth and a greater contribution from paid family and medical leave products. The company expects newer paid family and medical leave policies to experience initially elevated utilization as covered employees begin using benefits. Management said that pattern had been contemplated in pricing and underwriting assumptions. The product can be repriced annually, Greenier said, and is sold as part of the company’s short-term disability offering rather than as standalone coverage. Life and retirement core earnings were $17 million. Life sales increased 20%, which management attributed to investments in agent recruiting, training and productivity. Life persistency was approximately 96%. Retirement contract deposits were modestly lower from a year earlier because of product mix and market conditions, though fee income and persistency supported stable earnings, the company said. Horace Mann lowered its full-year total net investment income outlook to $465 million to $475 million, including managed portfolio income of $365 million to $375 million. Management said higher interest rates continue to support reinvestment yields in core fixed income, but they are pressuring returns from certain alternative investment strategies. Greenier cited private equity, infrastructure debt and real-estate-related strategies as areas where the company incorporated lower, but still positive, expected returns for the remainder of the year. New-money yields in the company’s core fixed-income portfolio were 5.85% in the second quarter, more than 100 basis points above the portfolio yield for that portion of assets. Greenier said this marked the 18th consecutive quarter in which new-money yields exceeded yields in the existing portfolio. The company said acquisitions announced in July are progressing as planned but are not included in updated 2026 guidance because their anticipated closing dates are not expected to have a meaningful impact on this year’s earnings. Beginning in 2027, Horace Mann expects the transactions to be immediately accretive to earnings per share and to add about 100 basis points to return on equity. Greenier said the acquisitions could contribute roughly $0.40 to $0.50 in annual run-rate earnings beginning in 2027. Management reiterated that the transactions carry an estimated tangible-book-value payback period of six to seven years under standard dilution methodology, while the combined company’s ongoing earnings are expected to replenish the associated book-value reduction within about a year after closing. During the quarter, Horace Mann returned $15 million to shareholders through dividends and had approximately $37 million remaining under its share-repurchase authorization. Tangible book value per share increased 10% year over year. The company reaffirmed its longer-term objectives of 10% compound annual growth in core earnings per share and sustainable shareholder return on equity of 12% to 13%. Horace Mann Educators Corporation, based in Springfield, Illinois, specializes in insurance and retirement solutions tailored to educators and school employees across the United States. Founded in 1945, the company partners with public school districts to deliver property and casualty insurance products—including auto, home and liability coverage—through a network of dedicated local agents. Its targeted approach focuses on understanding the unique needs and schedules of teachers, administrators and other school staff, distinguishing its services within the broader insurance market. In addition to property and casualty offerings, Horace Mann provides life and disability insurance, annuities and retirement plan products designed to help educators plan for financial security beyond their teaching careers. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Horace Mann Educators Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Horace Mann (HMN) came out with quarterly earnings of $1.17 per share, beating the Zacks Consensus Estimate of $0.67 per share. This compares to earnings of $1.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +74.63%. A quarter ago, it was expected that this provider of auto and homeowners' insurance for teachers and other educators would post earnings of $1.1 per share when it actually produced earnings of $1.28, delivering a surprise of +16.36%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Horace Mann, which belongs to the Zacks Insurance - Multi line industry, posted revenues of $443.5 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.09%. This compares to year-ago revenues of $411.7 million. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Horace Mann shares have added about 12.5% since the beginning of the year versus the S&P 500's gain of 13%. While Horace Mann has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Horace Mann was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.12 on $446.3 million in revenues for the coming quarter and $4.50 on $1.77 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Insurance - Multi line is currently in the bottom 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Pelagos Insurance Capital (PLGO), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 12. This insurance and reinsurance company is expected to post quarterly earnings of $0.88 per share in its upcoming report, which represents a year-over-year change of +633.3%. The consensus EPS estimate for the quarter has been revised 8.5% lower over the last 30 days to the current level. Pelagos Insurance Capital's revenues are expected to be $645.88 million, up 10.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Horace Mann Educators Corporation (HMN) : Free Stock Analysis Report Pelagos Insurance Capital Limited (PLGO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributed the record second quarter core earnings to disciplined execution across a diversified business model, which mitigated volatility in individual segments. Property and Casualty performance was driven by multi-year rate and non-rate actions combined with favorable weather and lower catastrophe losses. The company is prioritizing household growth and customer longevity over simple policy volume, maintaining auto household retention near 84% and other business retention above 90%. Investments in distribution capacity, including agent recruiting and coaching, are accelerating the productivity of new agents and supporting a 20% increase in life sales. Strategic positioning focuses on 'trusted solutions rather than transactions,' leveraging high brand awareness among educators to cross-sell supplemental and retirement products. The 8% increase in total revenue reflects a deliberate shift toward products addressing evolving needs, such as the newest generation of cancer coverage and paid family leave enhancements. Full-year 2026 core earnings guidance was raised to a range of $4.60 to $4.90 per share, entirely due to strong first-half operating performance. The updated guidance assumes approximately $75 million in catastrophe losses, a reduction from the previous $90 million assumption based on first-half experience. Management expects a blended benefit ratio of approximately 42% for the supplemental and group segment, reflecting the increasing contribution of newer paid family and medical leave products. The company remains committed to long-term financial objectives of a 10% compound annual growth rate in core earnings per share and a sustainable ROE of 12% to 13%. Guidance for net investment income was lowered to $465 million to $475 million to reflect pressure on alternative strategies from a 'higher for longer' interest rate environment. The recently announced acquisitions are expected to be immediately accretive to EPS in 2027 and contribute approximately 100 basis points of ROE accretion. Management clarified that while the standalone tangible book value payback period is 6 to 7 years, ongoing earnings are expected to replenish book value dilution within approximately 1 year of closing. The acquisition of the employer services business (EAP) is strategically aimed at addressing educators' top concern regarding mental health and stress. Share repurchases remain an opportunistic lever, with $37 million remaining under the current authorization, though the primary focus is maintaining financial flexibility for growth. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management noted that while the benefit ratio for PFML is higher than other group offerings, it is offset by a meaningfully lower expense ratio. The product is typically sold as part of a short-term disability package rather than a standalone coverage, allowing for combined economics. Utilization is expected to be seasonal, with lower claims activity during summer months when educators are not actively working. The improvement in fixed annuity spreads was largely driven by strong limited partnership earnings, specifically from venture capital investments. Management lowered the NII outlook due to lower anticipated returns from private equity, infrastructure debt, and real estate strategies sensitive to high rates. Core fixed income remains a 'workhorse' with new money yields at 5.85%, which is more than 100 basis points above the current portfolio yield. Management emphasized they will not 'chase' auto growth at the expense of earnings, utilizing a general agency (HMGA) to place less profitable business with third parties. Auto rate plans for 2026 remain in the mid-single-digit range to maintain target profitability as frequency trends remain low and severity stabilizes.

SPRINGFIELD, Ill., August 05, 2026--(BUSINESS WIRE)--Horace Mann Educators Corporation (NYSE:HMN), the largest multiline financial services company focused on helping America’s educators and a core small- to mid-cap growth and value equity in the Financials sector, today reported financial results for the three and six months ended June 30, 2026: Diversified business delivered second-quarter net income of $41.6 million, or $1.01 per share, and record core earnings* of $48.2 million, or $1.17 per share Reported book value rose to $37.11 and tangible book value* increased 10% to $36.64 at quarter end Total revenues rose 8% for the quarter, with net premiums and contract charges earned up 5% Second-quarter Property & Casualty segment combined ratio of 89.6% improved more than 7 points over prior year Increased full-year 2026 core EPS guidance to $4.60-$4.90 "Horace Mann delivered another quarter of strong operating performance, reflecting excellent underlying underwriting performance in our Property & Casualty business, lower catastrophe losses, and continued sales momentum across our businesses," said Horace Mann President and CEO Marita Zuraitis. "Taking first-half results into consideration, we are increasing our full-year 2026 core EPS guidance to a range of $4.60 to $4.90. We continue to execute on our strategy to deliver sustained, profitable growth and remain well positioned to achieve our long-term financial objectives. "Our results clearly illustrate Horace Mann’s ability to empower all educators to achieve lifelong financial success, while also helping employers attract and retain employees by providing more comprehensive benefits," Zuraitis added. "The diversification of our business reflects our strategy to deliver consistent and reliable value to shareholders with a solid balance sheet and a compelling dividend." Simultaneous with this release, the Quarterly Results page of investors.horacemann.com has been updated to include the second-quarter investor supplement and investor presentation. These include details on company and segment financial performance, company guidance and outlook. Quarterly webcast Horace Mann’s senior management will discuss the company’s second-quarter financial results with investors on August 6, 2026 at 11:00 AM Eastern Time. The conference call will be webcast live at investors.horacemann.com and available later in the day for replay. About Horace Mann Horace Mann Educators Corporation (NYSE: HMN) is the largest multiline financial services company focused on helping America’s educators and others who serve the community achieve lifelong financial success. The company offers individual and group insurance and financial solutions tailored to the needs of the educational community. Founded by Educators for Educators® in 1945, Horace Mann is headquartered in Springfield, Illinois. For more information, visit horacemann.com. Safe Harbor Statement and Non-GAAP Measures Certain statements included in this news release, including those regarding our earnings outlook, expected catastrophe losses, our investment strategies, our plans to implement additional rate actions, our plans relating to share repurchases and dividends, our efforts to enhance customer experience and expand our products and solutions to more educators, our strategies to create sustainable long-term growth and double-digit ROEs, our strategy to achieve a larger share of the education market, and other business strategies, constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on management’s current expectations and beliefs concerning future developments and their potential effects upon Horace Mann and its subsidiaries. Horace Mann cautions investors that such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond Horace Mann’s control, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking statements included in this document. Certain important factors that could cause actual results to differ, possibly materially, from expectations or estimates reflected in such forward-looking statements can be found in the "Risk Factors" and "Forward-Looking Information" sections included in Horace Mann’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission (SEC). The forward-looking statements herein are subject to the risk, among others, that we will be unable to execute our strategy because of market or competitive conditions or other factors. Horace Mann does not undertake to update any particular forward-looking statement included in this document if we later become aware that such statement is not likely to be achieved. Information contained in this news release include measures which are based on methodologies other than accounting principles generally accepted in the United States of America (GAAP). Reconciliations of non-GAAP measures to the closest GAAP measures are contained in the Appendix to the Investor Supplement and additional descriptions of the non-GAAP measures are contained in the Glossary of Selected Terms included as an exhibit to Horace Mann’s SEC filings. View source version on businesswire.com: https://www.businesswire.com/news/home/20260805752172/en/ Contacts Rachael Luber, Vice President, Investor Relations217-788-5163 | [email protected]

Educator-focused insurance company Horace Mann Educators (NYSE:HMN) met Wall Street’s revenue expectations in Q2 CY2026, with sales up 7.7% year on year to $443.5 million. Its non-GAAP profit of $1.17 per share was 60.3% above analysts’ consensus estimates. Is now the time to buy Horace Mann Educators? Find out in our full research report. Revenue: $443.5 million vs analyst estimates of $442.6 million (7.7% year-on-year growth, in line) Adjusted EPS: $1.17 vs analyst estimates of $0.73 (60.3% beat) Book Value per Share: $37.11 (11.4% year-on-year growth) Market Capitalization: $2.10 billion Founded in 1945 and named after the 19th-century education reformer known as the "father of American public education," Horace Mann Educators (NYSE:HMN) is an insurance company that specializes in providing auto, property, life, and retirement products tailored for educators and other public service employees. Insurance companies generate revenue three ways. The first is the core insurance business itself, represented in the income statement as premiums earned. The second source is investment income from investing the “float” (premiums collected but not yet paid out as claims) in assets such as fixed-income assets and equities. The third is fees from policy administration, annuities, and other value-added services. Unfortunately, Horace Mann Educators’s 5.1% annualized revenue growth over the last five years was tepid. This was below our standard for the insurance sector and is a rough starting point for our analysis. Long-term growth is the most important, but within financials, a half-decade historical view may miss recent interest rate changes and market returns. Horace Mann Educators’s annualized revenue growth of 5.9% over the last two years aligns with its five-year trend, suggesting its demand was consistently weak. Note: Quarters not shown were determined to be outliers because they were impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business. This quarter, Horace Mann Educators grew its revenue by 7.7% year on year, and its $443.5 million of revenue was in line with Wall Street’s estimates. Net premiums earned made up 71.7% of the company’s total revenue during the last five years, meaning insurance operations are Horace Mann Educators’s largest source of revenue. Net premiums earned command greater market attention due to their reliability and consistency, whereas investment and fee income are often seen as more volatile revenue streams that fluctuate with market conditions. ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable. These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE. Insurers are balance sheet businesses, collecting premiums upfront and paying out claims over time. Premiums collected but not yet paid out, often referred to as the float, are invested and create an asset base supported by a liability structure. Book value per share (BVPS) captures this dynamic by measuring these assets (investment portfolio, cash, reinsurance recoverables) less liabilities (claim reserves, debt, future policy benefits). BVPS is essentially the residual value for shareholders. We therefore consider BVPS very important to track for insurers and a metric that sheds light on business quality. While other (and more commonly known) per-share metrics like EPS can sometimes be lumpy due to reserve releases or one-time items and can be managed or skewed while still following accounting rules, BVPS reflects long-term capital growth and is harder to manipulate. Horace Mann Educators’s BVPS declined at a 3.3% annual clip over the last five years. However, BVPS growth has accelerated recently, growing by 12% annually over the last two years from $29.60 to $37.11 per share. It was good to see Horace Mann Educators beat analysts’ EPS expectations this quarter. Zooming out, we think this was a good print with some key areas of upside. The stock remained flat at $52.06 immediately after reporting. Is Horace Mann Educators an attractive investment opportunity right now? We think that the latest quarter is just one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it’s free.