AI Earnings Predictions for Kemper Corporation (KMPR)

EX-99.1

2 kmpr20266302026ex991release.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Second Quarter 2026 Operating Results*

CHICAGO, August 5, 2026 — Kemper Corporation (NYSE: KMPR) reported second quarter 2026 results, which included a non-cash goodwill impairment of $460 million. This has no impact on the cash-generating ability of our businesses, statutory capital, holding company liquidity, or compliance with our debt and revolving credit covenants. Including this charge, Kemper reported a net loss of $464.8 million, or $(7.90) per share, for the second quarter of 2026, compared to net income of $72.6 million, or $1.12 per diluted share, for the second quarter of 2025.

Adjusted Consolidated Net Operating Income1 was $26.3 million, or $0.45 per share, for the second quarter of 2026, compared to Adjusted Consolidated Net Operating Income1 of $84.1 million, or $1.30 per diluted share, for the second quarter of 2025.

Summary of quarterly performance:

•Underlying operating performance improved sequentially; reported results included a non-cash goodwill impairment and valuation allowance

•Delivered Adjusted Consolidated Net Operating Income¹ of $26.3 million, or $0.45 per share

•Personal Auto profitability improved, reflecting underwriting actions and continued expense discipline

•Commercial Auto maintained strong underlying performance; reported profitability was impacted by prior-year reserve development

•Life business continued to generate stable operating earnings

•Strengthened leadership and organizational alignment to improve accountability and execution

“This quarter reflects improving underlying operating performance and the actions we’re taking to restore profitability,” said President and CEO Stephen J. McAnena. “While there is more work ahead, we have a clear understanding of where performance must improve and are taking decisive actions to strengthen execution, sharpen accountability, and improve returns across our business. I am confident these actions will position Kemper to deliver stronger, more consistent results and create long-term value for shareholders.”

*Unless otherwise specified, discussion of our second quarter 2026 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedSix Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Jun 30, 2026Jun 30, 2025Jun 30, 2026Jun 30, 2025

Net (Loss) Income$(464.8)$72.6 $(466.5)$172.3

Adjusted Consolidated Net Operating Income1 $26.3 $84.1 $38.8 $190.5

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net (Loss) Income $(5.0)$(6.1)$(8.0)$(11.7)

Diluted Net (Loss) Income Per Share From:

Net (Loss) Income$(7.90)$1.12 $(7.93)$2.66

Adjusted Consolidated Net Operating Income1 $0.45 $1.30 $0.66 $2.95

Impact of Catastrophe Losses and Related LAE on Net (Loss) Income Per Share $(0.09)$(0.09)$(0.14)$(0.18)

Revenues

Total revenues for the second quarter of 2026 decreased $132.9 million to $1,092.7 million compared to the second quarter of 2025. The decline was primarily due to lower Specialty Personal Automobile volumes and higher impairment losses, partially offset by higher Specialty Commercial Automobile volumes and net investment income.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedSix Months Ended

(Dollars in Millions) (Unaudited)Jun 30, 2026Jun 30, 2025Jun 30, 2026Jun 30, 2025

Segment Adjusted Net Operating Income:

Specialty Property & Casualty Insurance$15.8 $79.0 $15.9 $176.9

Life Insurance18.3 12.6 36.3 29.8

Total Segment Adjusted Net Operating Income34.1 91.6 52.2 206.7

Corporate and Other Adjusted Net Operating Loss(9.0)(10.3)(17.3)(21.7)

Less: Net Loss attributable to Noncontrolling Interest(1.2)(2.8)(3.9)(5.5)

Adjusted Consolidated Net Operating Income1 26.3 84.1 38.8 190.5

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities(1.4)(0.4)(2.4)(0.3)

Net Realized Investment Gains (Losses)0.5 (0.1)0.8 0.6

Impairment Losses(18.8)(2.8)(20.1)(2.6)

Acquisition and Disposition Related Transaction, Integration, Restructur

EX-99.1

2 kmpr202603312026ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports First Quarter 2026 Operating Results*

CHICAGO, May 6, 2026 — Kemper Corporation (NYSE: KMPR) reported a net loss of $1.7 million, or $(0.03) per share, for the first quarter of 2026, compared to net income of $99.7 million, or $1.54 per diluted share, for the first quarter of 2025.

Adjusted Consolidated Net Operating Income1 was $12.5 million, or $0.21 per share, for the first quarter of 2026, compared to Adjusted Consolidated Net Operating Income1 of $106.4 million, or $1.65 per diluted share, for the first quarter of 2025.

Summary of quarterly performance:

•Adjusted Consolidated Net Operating Income1 of $12.5 million or $0.21 per share

•Specialty Personal Automobile’s operating results impacted by losses in California; taking rate and non-rate actions to improve profitability

•Specialty Commercial Automobile grew PIF at 10% YoY while producing an Underlying Combined Ratio1 of 92.4%

•Life business generated solid results driven by underwriting performance and management actions

•Restructuring initiatives well underway with $60 million run-rate savings identified and $50 million already actioned

“Our results this quarter reflect continued pressure in parts of the business, particularly California personal auto, while other areas of the portfolio are performing well and contributing positively,” said C. Thomas Evans, Jr., Interim CEO. “This includes strong results in our commercial auto business and continued personal auto diversification into key markets like Florida and Texas. We are taking decisive actions across underwriting, claims, and expense to return the business to profitability and drive more consistent performance over time.”

*Unless otherwise specified, discussion of our first quarter 2026 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Mar 31, 2026Mar 31, 2025

Net (Loss) Income$(1.7)$99.7

Adjusted Consolidated Net Operating Income1 $12.5 $106.4

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net (Loss) Income $(3.0)$(5.6)

Diluted Net (Loss) Income Per Share From:

Net (Loss) Income$(0.03)$1.54

Adjusted Consolidated Net Operating Income1 $0.21 $1.65

Impact of Catastrophe Losses and Related LAE on Net (Loss) Income Per Share $(0.05)$(0.09)

Revenues

Total revenues for the first quarter of 2026 decreased $85.8 million to $1,107.2 million compared to the first quarter of 2025. The decline was primarily due to lower Specialty Personal Automobile volumes, a $28.0 million Florida Statutory Profit Limit Refund in the Specialty Property & Casualty Insurance segment, and a $12.7 million reduction in earned premiums from Non-Core Operations given the run-off of the Preferred Insurance business.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months Ended

(Dollars in Millions) (Unaudited)Mar 31, 2026Mar 31, 2025

Segment Adjusted Net Operating Income:

Specialty Property & Casualty Insurance$0.1 $97.9

Life Insurance18.0 17.2

Total Segment Adjusted Net Operating Income18.1 115.1

Corporate and Other Adjusted Net Operating Loss(8.3)(11.4)

Less: Net Loss attributable to Noncontrolling Interest(2.7)(2.7)

Adjusted Consolidated Net Operating Income1 12.5 106.4

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities (1.0)0.1

Net Realized Investment Gains0.3 0.7

Impairment Losses(1.3)0.2

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(5.0)(4.2)

Debt Extinguishment, Pension Settlement and Other Charges — 0.4

Non-Core Operations(7.2)(3.9)

Net (Loss) Income attributable to Kemper Corporation $(1.7)$99.7

The Specialty Property and Casualty Insurance segment reported adjusted net operating income of $0.1 million in the first quarter of 2026, compared to adjusted net operating income of $97.9 million in the first quarter of 2025. This decrease was due primarily to an increase in our Specialty Personal Automobile Underlying loss

EX-99.1

2 kmpr202512312025ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Fourth Quarter 2025 Operating Results*

CHICAGO, February 4, 2026 — Kemper Corporation (NYSE: KMPR) reported a net loss of $8.0 million, or $(0.13) per share, for the fourth quarter of 2025, compared to net income of $97.4 million, or $1.51 per diluted share, for the fourth quarter of 2024.

Adjusted Consolidated Net Operating Income1 was $14.6 million, or $0.25 per share, for the fourth quarter of 2025, compared to Adjusted Consolidated Net Operating Income1 of $115.1 million, or $1.78 per diluted share, for the fourth quarter of 2024.

Summary of quarterly performance:

•Adjusted Consolidated Net Operating Income1 of $14.6 million or $0.25 per share

•Specialty P&C operating results pressured by bodily injury severity; actions underway to improve profitability

•Life business generated solid results driven by expense management

•Trailing 12-month operating cash flow of ~$585 million remained near all-time high

•Generated 5.1% ROE and 7.8% Adjusted ROE1 for FY’25; BVPS increased 4.6% YoY

•Parent liquidity remains strong at over $1.0 billion

“We are focused on taking deliberate actions to address the specific factors affecting our recent performance,” said C. Thomas Evans, Jr., Interim CEO. “We’re strengthening execution across pricing, claims and expenses while working with renewed focus to diversify our portfolio geographically. These actions are intended to improve consistency, reduce volatility, and position Kemper for long-term value creation.”

*Unless otherwise specified, discussion of our fourth quarter 2025 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedYear Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Dec 31, 2025Dec 31, 2024Dec 31, 2025Dec 31, 2024

Net (Loss) Income$(8.0)$97.4 $143.3 $317.8

Adjusted Consolidated Net Operating Income1 $14.6 $115.1 $225.5 $381.5

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net (Loss) Income $(1.5)$(4.3)$(13.8)$(51.6)

Diluted Net (Loss) Income Per Share From:

Net (Loss) Income$(0.13)$1.51 $2.29 $4.91

Adjusted Consolidated Net Operating Income1 $0.25 $1.78 $3.60 $5.89

Impact of Catastrophe Losses and Related LAE on Net (Loss) Income Per Share $(0.02)$(0.07)$(0.22)$(0.80)

Revenues

Total revenues for the fourth quarter of 2025 decreased $55.4 million to $1,131.4 million compared to the fourth quarter of 2024. The decline was primarily due to a $35.0 million Florida Statutory Profit Limit Refund in the Specialty Property & Casualty Insurance segment, lower Specialty Personal Automobile volumes, and a $16.3 million reduction in earned premium from Non-Core Operations due to lower volumes resulting from the exit and run-off of the Preferred Insurance business.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedYear Ended

(Dollars in Millions) (Unaudited)Dec 31, 2025Dec 31, 2024Dec 31, 2025Dec 31, 2024

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$2.6 $101.2 $187.1 $376.3

Life Insurance20.1 23.5 68.5 50.2

Total Segment Adjusted Net Operating Income22.7 124.7 255.6 426.5

Corporate and Other Adjusted Net Operating Loss(10.1)(11.3)(40.8)(50.3)

Less: Net Loss attributable to Noncontrolling Interest(2.0)(1.7)(10.7)(5.3)

Adjusted Consolidated Net Operating Income1 14.6 115.1 225.5 381.5

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities (1.4)(2.0)(3.4)(2.1)

Net Realized Investment Gains0.6 3.1 4.3 10.4

Impairment Losses(3.4)(1.6)(8.5)(4.6)

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(15.5)(7.5)(43.1)(31.8)

Debt Extinguishment, Pension Settlement and Other Charges — (7.3)0.4 (7.4)

Non-Core Operations(2.9)(2.4)(31.9)(28.2)

Net (Loss) Income attributable to Kemper Corporation $(8.0)$97.4 $143.3 $317.8

The Specialty Property and Casualty Insurance segment reported adjusted net operating income of $2.6 million in the fourth quarter of 2025, compared to adjusted net operati

EX-99.1

2 kmpr202509302025ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Third Quarter 2025 Operating Results*

CHICAGO, November 5, 2025 — Kemper Corporation (NYSE: KMPR) reported a net loss of $21.0 million, or $(0.34) per share, for the third quarter of 2025, compared to net income of $73.7 million, or $1.14 per diluted share, for the third quarter of 2024.

Adjusted Consolidated Net Operating Income1 was $20.4 million, or $0.33 per diluted share, for the third quarter of 2025, compared to Adjusted Consolidated Net Operating Income1 of $105.0 million, or $1.62 per diluted share, for the third quarter of 2024.

Summary of quarterly performance:

•Specialty P&C pressured underlying operating results; actions underway to improve profitability and growth

•Trailing 12-month operating cash flow of ~$585 million remained near all-time high

•Generated 7.1% ROE and 10.8% Adjusted ROE1 YTD; BVPS and Adjusted BVPS1 increased 4.8% and 2.4% YoY, respectively

•Life business generated ~$19 million of net operating income driven by favorable mortality and expense management

•Parent liquidity remains strong at approximately $1.0 billion; repurchased ~5.1 million shares, at an average price of $52.65, for a total cost of ~$266 million from July 1st through October 31st

“Our results for the quarter were disappointing and below our expectations,” said C. Thomas Evans, Jr., Interim CEO. “We are moving swiftly with a number of actions to enhance execution, improve profitability, and position us for growth. Despite the challenging quarter, we remain on solid financial footing, believe strongly in our strategy, and are confident that we can achieve our full potential. Our company is united by a commitment to serving markets that are often overlooked by other carriers, and we are proud to embrace this responsibility.”

*Unless otherwise specified, discussion of our third quarter 2025 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedNine Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Sep 30, 2025Sep 30, 2024Sep 30, 2025Sep 30, 2024

Net (Loss) Income$(21.0)$73.7 $151.3 $220.4

Adjusted Consolidated Net Operating Income1 $20.4 $105.0 $210.9 $266.4

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net (Loss) Income $(0.6)$(12.3)$(12.3)$(47.3)

Diluted Net (Loss) Income Per Share From:

Net (Loss) Income$(0.34)$1.14 $2.37 $3.40

Adjusted Consolidated Net Operating Income1 $0.33 $1.62 $3.31 $4.11

Impact of Catastrophe Losses and Related LAE on Net (Loss) Income Per Share $(0.01)$(0.19)$(0.20)$(0.74)

Revenues

Total revenues for the third quarter of 2025 increased $60.8 million to $1,239.7 million compared to the third quarter of 2024, primarily driven by a $98.3 million increase in Specialty Property & Casualty Insurance earned premiums resulting from higher average earned premium per exposure from rate increases, which was partially offset by a $32.7 million reduction in earned premium from our Non-Core Operations due to lower volumes resulting from the exit and run-off of the Preferred Insurance business.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedNine Months Ended

(Dollars in Millions) (Unaudited)Sep 30, 2025Sep 30, 2024Sep 30, 2025Sep 30, 2024

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$7.6 $103.6 $184.5 $275.1

Life Insurance18.6 15.0 48.4 26.7

Total Segment Adjusted Net Operating Income26.2 118.6 232.9 301.8

Corporate and Other Adjusted Net Operating Loss(9.0)(15.1)(30.7)(39.0)

Less: Net Loss attributable to Noncontrolling Interest(3.2)(1.5)(8.7)(3.6)

Adjusted Consolidated Net Operating Income1 20.4 105.0 210.9 266.4

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities (1.7)(1.8)(2.0)(0.1)

Net Realized Investment Gains3.1 0.9 3.7 7.3

Impairment Losses(2.5)(1.7)(5.1)(3.0)

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(19.6)(9.1)(27.6)(24.3)

Debt Extinguishment, Pension Settlement and Other Char

EX-99.1

2 kmpr202506302025ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Second Quarter 2025 Operating Results*

CHICAGO, August 5, 2025 — Kemper Corporation (NYSE: KMPR) reported net income of $72.6 million, or $1.12 per diluted share, for the second quarter of 2025, compared to net income of $75.4 million, or $1.16 per diluted share, for the second quarter of 2024.

Adjusted Consolidated Net Operating Income1 was $84.1 million, or $1.30 per diluted share, for the second quarter of 2025, compared to Adjusted Consolidated Net Operating Income1 of $91.7 million, or $1.42 per diluted share, for the second quarter of 2024.

Key themes of the quarter include:

•Delivered another quarter of solid operating and financial results; trailing 12-month operating cash flow hit a new high of ~$590 million

•Generated 10% ROE and 15% Adjusted ROE1; BVPS and Adjusted BVPS1 increased 12.0% and 14.3% YoY, respectively

•Specialty P&C achieved 8% PIF growth YoY and 93.6% underlying combined ratio1 for the quarter

•Life business continued to generate strong return on capital and distributable cash flows

•Parent liquidity remains strong at approximately $1.1 billion; repurchased $80 million of stock between April 1 - July 31

“We’re pleased that we delivered another quarter of strong operating performance,” said President and CEO Joseph P. Lacher, Jr. “This was led by our Specialty Auto business which produced a solid underlying combined ratio and meaningful year-over-year growth of policies-in-force. Our balance sheet is strong and our capital and liquidity position provides significant financial flexibility. We’re confident that our competitive advantages will drive attractive, sustained profitable growth. We remain committed to delivering value for our shareholders.”

*Unless otherwise specified, discussion of our second quarter 2025 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedSix Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Jun 30, 2025Jun 30, 2024Jun 30, 2025Jun 30, 2024

Net Income$72.6 $75.4 $172.3 $146.7

Adjusted Consolidated Net Operating Income1 $84.1 $91.7 $190.5 $161.4

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income $(6.1)$(22.4)$(11.7)$(35.0)

Diluted Net Income Per Share From:

Net Income$1.12 $1.16 $2.66 $2.26

Adjusted Consolidated Net Operating Income1 $1.30 $1.42 $2.95 $2.49

Impact of Catastrophe Losses and Related LAE on Net Income Per Share $(0.09)$(0.35)$(0.18)$(0.54)

Revenues

Total revenues for the second quarter of 2025 increased $95.7 million to $1,225.6 million compared to the second quarter of 2024, primarily driven by a $148.2 million increase in Specialty Property & Casualty Insurance earned premiums resulting from higher average earned premium per exposure from rate increases and higher business volumes, which was partially offset by a $50.8 million reduction in earned premium from our Non-Core Operations due to lower volumes resulting from the exit and run-off of the Preferred Insurance business.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedSix Months Ended

(Dollars in Millions) (Unaudited)Jun 30, 2025Jun 30, 2024Jun 30, 2025Jun 30, 2024

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$79.0 $102.3 $176.9 $171.5

Life Insurance12.6 (0.2)29.8 11.7

Total Segment Adjusted Net Operating Income91.6 102.1 206.7 183.2

Corporate and Other Adjusted Net Operating Loss(10.3)(11.4)(21.7)(23.9)

Less: Net Loss attributable to Noncontrolling Interest(2.8)(1.0)(5.5)(2.1)

Adjusted Consolidated Net Operating Income1 84.1 91.7 190.5 161.4

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities (0.4)(1.0)(0.3)1.7

Net Realized Investment (Losses) Gains(0.1)1.2 0.6 6.4

Impairment Losses(2.8)(0.1)(2.6)(1.3)

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(3.8)(5.1)(8.0)(15.2)

Debt Extinguishment, Pension Settlement and Other Charges — 2.1 0.4 2.1

Non-Core Operations(4.4)(13.4)(8

EX-99.1

2 kmpr202503312025ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports First Quarter 2025 Operating Results*

CHICAGO, May 7, 2025 — Kemper Corporation (NYSE: KMPR) reported net income of $99.7 million, or $1.54 per diluted share, for the first quarter of 2025, compared to net income of $71.3 million, or $1.10 per diluted share, for the first quarter of 2024.

Adjusted Consolidated Net Operating Income1 was $106.4 million, or $1.65 per diluted share, for the first quarter of 2025, compared to Adjusted Consolidated Net Operating Income1 of $69.7 million, or $1.07 per diluted share, for the first quarter of 2024.

Key themes of the quarter include:

•Delivered another quarter of strong operating and financial results; trailing 12-month operating cash flow increased to $520 million

•Generated a 14% ROE and a 21% Adjusted ROE1 for the quarter

•Specialty P&C achieved 24% premium growth and 14% PIF growth YoY; 92% underlying combined ratio1 for the quarter

•Life business continued to generate strong return on capital and distributable cash flows; operating income of $17 million for the quarter

•Parent liquidity remains strong at approximately $1 billion; debt-to-capital ratio2 improved to 22.9%, provides greater financial flexibility

“Kemper delivered another quarter of very strong financial results, led by continued robust profitable growth in our Specialty Auto business, which saw a very strong 92% underlying combined ratio, 14% year-over-year policy growth, and 24% written premium growth,” said President and CEO Joseph P. Lacher, Jr. “We improved our capital and liquidity position, significantly reducing our debt-to-capital ratio and producing operating cash flows approaching all-time highs. We’ve invested significant effort over the past few years in building a stronger, more resilient company—positioning us well to navigate the current market uncertainty. We remain confident in our continued ability to create long-term shareholder value.”

*Unless otherwise specified, discussion of our first quarter 2025 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

2Excludes Accumulated Other Comprehensive Loss

Three Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Mar 31, 2025Mar 31, 2024

Net Income$99.7 $71.3

Adjusted Consolidated Net Operating Income1 $106.4 $69.7

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income $(5.6)$(12.6)

Diluted Net Income Per Share From:

Net Income$1.54 $1.10

Adjusted Consolidated Net Operating Income1 $1.65 $1.07

Impact of Catastrophe Losses and Related LAE on Net Income Per Share $(0.09)$(0.20)

Revenues

Total revenues for the first quarter of 2025 increased $50.0 million to $1,193.0 million compared to the first quarter of 2024, primarily driven by a $122.2 million increase in Specialty Property & Casualty Insurance earned premiums resulting from higher average earned premium per exposure from rate increases and higher business volumes, which was partially offset by a $68.6 million reduction in earned premium from our Non-Core Operations due to lower volumes resulting from the exit and run-off of the Preferred Insurance business.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months Ended

(Dollars in Millions) (Unaudited)Mar 31, 2025Mar 31, 2024

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$97.9 $69.2

Life Insurance17.2 11.9

Total Segment Adjusted Net Operating Income115.1 81.1

Corporate and Other Adjusted Net Operating Loss(11.4)(12.5)

Less: Net Loss attributable to Noncontrolling Interest(2.7)(1.1)

Adjusted Consolidated Net Operating Income1 106.4 69.7

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities 0.1 2.7

Net Realized Investment Gains0.7 5.2

Impairment Losses0.2 (1.2)

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(4.2)(10.1)

Debt Extinguishment, Pension Settlement and Other Charges 0.4 —

Non-Core Operations(3.9)5.0

Net Income attributable to Kemper Corporation $99

EX-99.1

2 kmpr202412312024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Fourth Quarter 2024 Operating Results*

CHICAGO, February 5, 2025 — Kemper Corporation (NYSE: KMPR) reported net income of $97.4 million, or $1.51 per diluted share, for the fourth quarter of 2024, compared to net income of $51.4 million, or $0.80 per diluted share, for the fourth quarter of 2023.

Adjusted Consolidated Net Operating Income1 was $115.1 million, or $1.78 per diluted share, for the fourth quarter of 2024, compared to Adjusted Consolidated Net Operating Income1 of $50.5 million, or $0.78 per diluted share, for the fourth quarter of 2023.

Key themes of the quarter include:

•Delivered another quarter of strong operating and financial results

•Generated a 14.0% ROE and a 21.4% Adjusted ROE1 for the quarter; 11.9% and 18.3%, respectively, for FY’24

•Specialty P&C achieved 5.1% YoY (1.8% QoQ) PIF growth; 91.5% annual underlying combined ratio1 (91.7% quarterly)

•Life business continued to generate strong return on capital and distributable cash flows

•Parent liquidity remains strong at $1.3 billion; repurchased ~$14 million of stock, increased quarterly dividend, and retiring $450 million of senior notes due February 2025

“I’m pleased to report that we delivered very strong results for the year and even stronger results for the quarter,” said Joseph P. Lacher, Jr., President and CEO. “Our core businesses are performing very well, led by Specialty Auto’s operating results including solid policies in force growth and an underlying combined ratio outperforming long-term expectations. We further strengthened our balance sheet, providing us with ongoing financial flexibility. Our competitive advantages position us very well to continue to meet the needs of our underserved markets, grow our business, and deliver strong financial results.”

*Unless otherwise specified, discussion of our fourth quarter 2024 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release. The results of Kemper Reciprocal are consolidated under US GAAP.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedYear Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Dec 31, 2024Dec 31, 2023Dec 31, 2024Dec 31, 2023

Net Income (Loss)$97.4 $51.4 $317.8 $(272.1)

Adjusted Consolidated Net Operating Income (Loss)1 $115.1 $50.5 $381.5 $(47.2)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income (Loss) $(4.3)$(8.3)$(51.6)$(76.4)

Diluted Net Income (Loss) Per Share From:

Net Income (Loss)$1.51 $0.80 $4.91 $(4.25)

Adjusted Consolidated Net Operating Income (Loss)1 $1.78 $0.78 $5.89 $(0.74)

Impact of Catastrophe Losses and Related LAE on Net Income (Loss) Per Share $(0.07)$(0.16)$(0.80)$(1.51)

Revenues

Total revenues for the fourth quarter of 2024 decreased $0.4 million to $1,186.8 million compared to the fourth quarter of 2023 that included an $82.4 million reduction in earned premium from our Non-Core Operations, due primarily to lower volumes resulting from the exit and run-off of the Preferred Insurance business, offset by an $89.2 million increase in Specialty Property & Casualty Insurance earned premiums resulting from higher new business volumes and higher average earned premium per exposure from rate increases.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedYear Ended

(Dollars in Millions) (Unaudited)Dec 31, 2024Dec 31, 2023Dec 31, 2024Dec 31, 2023

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$101.2 $45.3 $376.3 $(57.1)

Life Insurance23.5 15.0 50.2 51.8

Total Segment Adjusted Net Operating Income124.7 60.3 426.5 (5.3)

Corporate and Other Adjusted Net Operating Loss(11.3)(9.9)(50.3)(42.1)

Less: Net Loss attributable to Noncontrolling Interest(1.7)(0.1)(5.3)(0.2)

Adjusted Consolidated Net Operating Income (Loss)1 115.1 50.5 381.5 (47.2)

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities(2.0)(1.8)(2.1)3.7

Net Realized Investment Gains (Losses)3.1 15.6 10.4 (14.7)

Impairment Losses(1.6)(1.0)(4.6)(0.9)

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(7.5)(14.4)(31.

EX-99.1

2 kmpr202409302024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Third Quarter 2024 Operating Results*

CHICAGO, October 30, 2024 — Kemper Corporation (NYSE: KMPR) reported net income of $73.7 million, or $1.14 per diluted share, for the third quarter of 2024, compared to a net loss of $146.3 million, or $(2.28) per share, for the third quarter of 2023.

Adjusted Consolidated Net Operating Income1 was $105.0 million, or $1.62 per diluted share, for the third quarter of 2024, compared to Adjusted Consolidated Net Operating Loss1 of $27.8 million, or $(0.44) per share, for the third quarter of 2023.

Key themes of the quarter include:

•Delivered another quarter of strong financial results generating a 10.8% ROE and a 16.7% Adjusted ROE1

•Specialty P&C continues to demonstrate strong profitable growth; underlying combined ratio1 of 91.3%

•Specialty P&C achieved 4.5% sequential quarter PIF growth

•Life business continued to generate strong return on capital and distributable cash flows

•Parent liquidity remains strong at $1.3 billion; repurchased $25 million of stock, expect to retire $450 million of senior notes due February 2025

“We achieved another strong quarter of operating and financial results,” said Joseph P. Lacher, Jr., President and CEO. “This was led by our Specialty Auto business, which generated solid underwriting performance and sequential PIF growth. We are well positioned to continue to deliver on our promises and create long-term shareholder value.”

*NOTE: In third quarter 2023, the Company finalized the establishment of Kemper Reciprocal, an Illinois-domiciled reciprocal insurance exchange that began writing policies in September 2023. The results of Kemper Reciprocal are consolidated under US GAAP.

Unless specified otherwise, discussion of our third quarter 2024 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedNine Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Sep 30, 2024Sep 30, 2023Sep 30, 2024Sep 30, 2023

Net Income (Loss)$73.7 $(146.3)$220.4 $(323.5)

Adjusted Consolidated Net Operating Income (Loss)1 $105.0 $(27.8)$266.4 $(97.7)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income (Loss) $(12.3)$(16.4)$(47.3)$(68.1)

Diluted Net Income (Loss) Per Share From:

Net Income (Loss)$1.14 $(2.28)$3.40 $(5.05)

Adjusted Consolidated Net Operating Income (Loss)1 $1.62 $(0.44)$4.11 $(1.53)

Impact of Catastrophe Losses and Related LAE on Net Income (Loss) Per Share $(0.19)$(0.32)$(0.74)$(1.35)

Revenues

Total revenues for the third quarter of 2024 decreased $20.5 million, or 1.7 percent, to $1,178.9 million, compared to the third quarter of 2023, mostly driven by a $76.4 million decrease from our Preferred Insurance business, reported as Non-Core Operations, due primarily to lower volumes resulting from the decision to exit and run-off the business in the third quarter of 2023 as well as ongoing profit improvement actions. The decrease was partially offset by the absence of net realized losses on derivative transactions recorded in 2023 and a $28.6 million increase in Specialty Property & Casualty Insurance segment earned premiums driven by higher new business volumes and higher average earned premium per exposure resulting from rate increases.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedNine Months Ended

(Dollars in Millions) (Unaudited)Sep 30, 2024Sep 30, 2023Sep 30, 2024Sep 30, 2023

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$103.6 $(33.2)$275.1 $(102.4)

Life Insurance15.0 14.7 26.7 36.8

Total Segment Adjusted Net Operating Income (Loss)118.6 (18.5)301.8 (65.6)

Corporate and Other Adjusted Net Operating Loss(15.1)(9.4)(39.0)(32.2)

Less: Net Loss attributable to Noncontrolling Interest(1.5)(0.1)(3.6)(0.1)

Adjusted Consolidated Net Operating Income (Loss)1 105.0 (27.8)266.4 (97.7)

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities(1.8)2.3 (0.1)5.5

Net Realized Investment Gains (Losses)0.9 (22.9)7.3 (30.3)

Impairment Losses(1.7)(0.8)(3.0)0.1

Acquisi

EX-99.1

2 kmpr202406302024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Second Quarter 2024 Operating Results*

CHICAGO, August 5, 2024 — Kemper Corporation (NYSE: KMPR) reported net income of $75.4 million, or $1.16 per diluted share, for the second quarter of 2024, compared to a net loss of $97.1 million, or $(1.52) per share, for the second quarter of 2023.

Adjusted Consolidated Net Operating Income1 was $91.7 million, or $1.42 per diluted share, for the second quarter of 2024, compared to Adjusted Consolidated Net Operating Loss1 of $14.2 million, or $(0.22) per share, for the second quarter of 2023.

Key themes of the quarter include:

•Profitability continued to improve sequentially generating an 11.5% ROE and a 17.6% Adjusted ROE1

•Specialty P&C underlying combined ratio1 improved 4.0 points sequentially to 89.6%, a 12.4 point improvement over 2Q’23

•Specialty P&C achieved 4.6% sequential quarter PIF growth

•Underlying business fundamentals in the Life business remain stable

•Parent liquidity remains strong at $1.1 billion; insurance companies remain well capitalized

“I’m proud of the strong results and progress we achieved this quarter,” said Joseph P. Lacher, Jr., President and CEO. “Notably, we delivered a third straight quarter of operating profitability, a combined ratio well below our long-term target in our Specialty Auto business, and generated 4.6% sequential quarter policies-in-force growth for that business. Our distinctive competitive advantages for our businesses and laser focus on long-term profitable growth will enable us to continue to maximize shareholder value.”

*NOTE: In third quarter 2023, the Company finalized the establishment of Kemper Reciprocal, an Illinois-domiciled reciprocal insurance exchange that began writing policies in September 2023. The results of Kemper Reciprocal are consolidated under US GAAP.

Unless specified otherwise, discussion of our second quarter 2024 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedSix Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Jun 30, 2024Jun 30, 2023Jun 30, 2024Jun 30, 2023

Net Income (Loss)$75.4 $(97.1)$146.7 $(177.2)

Adjusted Consolidated Net Operating Income (Loss)1 $91.7 $(14.2)$161.4 $(69.9)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income (Loss) $(22.4)$(31.2)$(35.0)$(51.7)

Diluted Net Income (Loss) Per Share From:

Net Income (Loss)$1.16 $(1.52)$2.26 $(2.77)

Adjusted Consolidated Net Operating Income (Loss)1 $1.42 $(0.22)$2.49 $(1.09)

Impact of Catastrophe Losses and Related LAE on Net Income (Loss) Per Share $(0.35)$(0.70)$(0.54)$(1.02)

Revenues

Total revenues for the second quarter of 2024 decreased $132.9 million, or 10.5 percent, to $1,129.9 million, compared to the second quarter of 2023, mostly driven by a $69.7 million decrease from the Specialty Property & Casualty Insurance segment due to continued lower new business volumes resulting from targeted actions to improve profitability, partially offset by higher average earned premium per exposure resulting from rate increases. The decrease was also due to $62.1 million in lower premiums from our Preferred Insurance business, reported as Non-Core Operations, due primarily to lower volumes resulting from the decision to exit and run-off the business in the third quarter of 2023 as well as ongoing profit improvement actions.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedSix Months Ended

(Dollars in Millions) (Unaudited)Jun 30, 2024Jun 30, 2023Jun 30, 2024Jun 30, 2023

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$102.3 $(10.8)$171.5 $(69.2)

Life Insurance(0.2)8.9 11.7 22.1

Total Segment Adjusted Net Operating Income (Loss)102.1 (1.9)183.2 (47.1)

Corporate and Other Adjusted Net Operating Loss(11.4)(12.3)(23.9)(22.8)

Less: Net Loss attributable to Noncontrolling Interest(1.0)— (2.1)—

Adjusted Consolidated Net Operating Income (Loss)1 91.7 (14.2)161.4 (69.9)

Net (Loss) Income From:

Change in Fair Value of Equity and Convertible Securities(1.0)1.9 1.7 3.2

Net Reali

EX-99.1

2 kmpr202407242024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces Second Quarter Preliminary Results and Schedule for Earnings Release

CHICAGO, July 24, 2024 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Monday, August 5, Kemper intends to issue its second quarter 2024 earnings release, financial supplement, and Form 10-Q. Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Preliminary results for the second quarter of 2024 include net income between $70-$80 million and adjusted consolidated net operating income1 between $85-$95 million.

CONFERENCE CALL DETAILS

Kemper will host its conference call to discuss second quarter 2024 results on Monday, August 5, at 5:00 pm Eastern (4:00 pm Central). The conference call will be accessible via the internet and telephone at 888.259.6580, Conference ID 19792463. To listen via webcast, register online at the investor section of kemper.com at least 15 minutes before the webcast to install any necessary software. A replay of the webcast will be available online at the investor section of kemper.com.

1 Non-GAAP financial measure. All non-GAAP financial measures are denoted with footnote 1 in this release. See below for further explanation on the use of non-GAAP financial measures.

USE OF NON-GAAP FINANCIAL MEASURES

Adjusted Consolidated Net Operating Income1 is computed by excluding from Net Income Attributable to Kemper Corporation the after-tax impact of:

(i) Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment Losses;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension Settlement and Other Charges;

(vi) Goodwill Impairment Charges;

(vii) Non-Core Operations; and

(viii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations.

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Income Attributable to Kemper Corporation. Kemper excluded no applicable significant non-recurring items from the Adjusted Consolidated Net Operating Income calculation for the three months ended June 30, 2024.

Kemper believes that Adjusted Consolidated Net Operating Income provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains (Losses) and Impairment Losses related to investments included in Kemper’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of Kemper’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of acquisitions and business decisions unrelated to the insurance underwriting process. Debt

Extinguishment, Pension Settlement and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by Kemper’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; (ii) settlement of pension plan obligations which are business decisions made by Kemper, the timing of which is unrelated to the underwriting process; and (iii) other charges that are non-standard, not part of the ordinary course of business, and unrelated to the insurance underwriting process. Goodwill impairment charges are excluded because they are infrequent and non-recurring charges. Non-core operations include the results of our Preferred Insurance business, which we expect to fully exit. These results are excluded because they are not relevant to our ongoing operations and do not qualify for Discontinued Operations under Generally Accepted Accounting Principles ("GAAP"). Significant non-recurring items are excluded because, by their nature, they are not indicative of Kemper’s business or economic trends. The preceding non-GAAP financial measures should not be considered a substitute for the comparable GAAP financial measures, as they do not fully recognize the profitability of Kemper’s businesses.

Caution Regarding Forward-Looking St

EX-99.1

2 kmpr202403312024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports First Quarter 2024 Operating Results*

CHICAGO, May 1, 2024 — Kemper Corporation (NYSE: KMPR) reported net income of $71.3 million, or $1.10 per diluted share, for the first quarter of 2024, compared to a net loss of $80.1 million, or $(1.25) per share, for the first quarter of 2023.

Adjusted Consolidated Net Operating Income1 was $69.7 million, or $1.07 per diluted share, for the first quarter of 2024, compared to Adjusted Consolidated Net Operating Loss1 of $55.7 million, or $(0.87) per share, for the first quarter of 2023.

Key themes of the quarter include:

•Profitability improved sequentially generating an 11.2% ROE and a 17.2% Tangible ROE1

•Specialty P&C underlying combined ratio1 improved 4.6 points sequentially to 93.6%, a 14.4 point improvement over 1Q’23

•Life business continues to produce stable earnings

•Parent liquidity remains strong at $1.1 billion; insurance companies remain well capitalized

“Overall, we’re pleased with our results this quarter,” said Joseph P. Lacher, Jr., President and CEO. “We continued to deliver significantly improved profitability in our Specialty P&C business, where we are now exceeding target returns. We made substantial progress on growing new business applications in the first quarter, delivered our fourth consecutive quarter of underlying business improvement, and our second straight quarter of solid operating and underwriting profits. Our profit restoration actions led to this positive outcome. Moving forward, we’re focused on stabilizing our policy in force levels, further expanding new business availability, and delivering on our ROE commitments.”

*NOTE: In third quarter 2023, the Company finalized the establishment of Kemper Reciprocal, an Illinois-domiciled reciprocal insurance exchange that began writing policies in September 2023. The results of Kemper Reciprocal are consolidated under US GAAP.

Unless specified otherwise, discussion of our first quarter 2024 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the condensed consolidated financial results in this release.

1Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Mar 31, 2024Mar 31, 2023

Net Income (Loss)$71.3 $(80.1)

Adjusted Consolidated Net Operating Income (Loss)1 $69.7 $(55.7)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Income (Loss) $(12.6)$(20.5)

Diluted Net Income (Loss) Per Share From:

Net Income (Loss)$1.10 $(1.25)

Adjusted Consolidated Net Operating Income (Loss)1 $1.07 $(0.87)

Impact of Catastrophe Losses and Related LAE on Net Income (Loss) Per Share $(0.20)$(0.32)

Revenues

Total revenues for the first quarter of 2024 decreased $151.8 million, or 11.7 percent, to $1,143.0 million, compared to the first quarter of 2023, mostly driven by $104.2 million of reduced Specialty P&C earned premiums

due to continued lower level of new business volumes resulting from targeted actions to improve profitability, partially offset by higher average earned premium per exposure from rate increases. The decrease was also due to $42.8 million in lower earned premiums from our Preferred Insurance Business, reported as Non-Core Operations, due primarily to lower volumes resulting from the decision to exit and run-off the business as well as ongoing profit improvement actions.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months Ended

(Dollars in Millions) (Unaudited)Mar 31, 2024Mar 31, 2023

Segment Adjusted Net Operating Income (Loss):

Specialty Property & Casualty Insurance$69.2 $(58.4)

Life Insurance11.9 13.2

Total Segment Adjusted Net Operating Income (Loss)81.1 (45.2)

Corporate and Other Adjusted Net Operating Loss(12.5)(10.5)

Less: Net Loss attributable to Noncontrolling Interest(1.1)—

Adjusted Consolidated Net Operating Income (Loss)1 69.7 (55.7)

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities2.7 1.3

Net Realized Investment Gains5.2 5.1

Impairment Losses(1.2)1.7

Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(10.1)(23.0)

Non-Core Operations5.0 (9.5)

Net Income (Loss)

EX-99.1

2 kmpr202404232024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces First Quarter Preliminary Results and Schedule for Earnings Release

CHICAGO, April 23, 2024 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Wednesday, May 1, Kemper will issue its first quarter 2024 earnings release, financial supplement, and Form 10-Q. Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Preliminary results for the first quarter of 2024 include estimated net income and adjusted consolidated net operating income1 of between $65 million and $75 million.

Kemper Auto (Specialty P&C)

Preliminary combined ratios are:

Combined Ratio Underlying Combined Ratio1

Kemper Auto94.8%93.6%

Kemper Auto: Private Passenger Auto (PPA)95.1%93.5%

Kemper Auto: Commercial Vehicle93.6%93.8%

New Business Production and Policies In Force (“PIF") Change

•Re-acceleration began in early February 2024; strong demand across all markets.

•Compared to the fourth quarter of 2023:

◦New written premium increased over 200%.

◦New policies issued increased over 150%.

◦Rate of sequential quarterly PIF decline slowed to 5.5% compared to 8.9% in the fourth quarter of 2023.

Kemper Life

•After-tax income was approximately $12 million.

Capital and Liquidity

•Parent liquidity was approximately $1.1 billion.

•Insurance subsidiaries are well-capitalized.

CONFERENCE CALL DETAILS

Kemper will host its conference call to discuss first quarter 2024 results on Wednesday, May 1, at 5:00 pm Eastern (4:00 pm Central). The conference call will be accessible via the internet and telephone at 888.259.6580, access code 70282475. To listen via webcast, register online at the investor section of kemper.com at least 15 minutes before the webcast to install any necessary software. A replay of the webcast will be available online at the investor section of kemper.com.

1 Non-GAAP financial measure. All non-GAAP financial measures are denoted with footnote 1 throughout this release. See below for further explanation on the use of non-GAAP financial measures.

USE OF NON-GAAP FINANCIAL MEASURES

Adjusted Consolidated Net Operating Income1 is computed by excluding from Net Income Attributable to Kemper Corporation the after-tax impact of:

(i) Income (Loss) from Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment (Losses) Gains;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension Settlement and Other Charges;

(vi) Goodwill Impairment Charges;

(vii) Non-Core Operations; and

(viii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations.

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Income Attributable to Kemper Corporation. Kemper excluded no applicable significant non-recurring items from the Adjusted Consolidated Net Operating Income calculation for the three months ended March 31, 2024.

Kemper believes that Adjusted Consolidated Net Operating Income provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. (Loss) Income from Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains and Impairment Gains (Losses) related to investments included in Kemper’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of the Kemper’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of acquisitions and business decisions unrelated to the insurance underwriting process. Debt Extinguishment, Pension Settlement and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by Kemper’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; (ii) settlement of pension plan obligations which are business decisions made by Kemper, the timing of which is unrelated to the underwriting process; and (iii) other charges that are non-standard, not part of the ordinary

EX-99.1

2 kmpr202312312023ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Fourth Quarter 2023 Operating Results*

CHICAGO, February 1, 2024 — Kemper Corporation (NYSE: KMPR) reported net income of $51.4 million, or $0.80 per diluted share, for the fourth quarter of 2023, compared to a net loss of $53.3 million, or $(0.84) per share, for the fourth quarter of 2022.

Adjusted Consolidated Net Operating Income1 was $50.5 million, or $0.78 per diluted share, for the fourth quarter of 2023, compared to Adjusted Consolidated Net Operating Loss1,2 of $23.5 million, or $(0.36) per share, for the fourth quarter of 2022.

Key themes of the quarter include:

•Specialty P&C underlying combined ratio improved 2.3% sequentially to 98.2%

•Life business continues to produce stable earnings

•Parent liquidity increased to $1.1 billion, up $325 million from prior quarter; insurance companies remain well capitalized

•Achieved multi-year target of $150 million in expense savings in first year of program

•Bermuda optimization generated approximately $330 million of dividends to parent

“I’m pleased we closed 2023 with a return to profitability and we are clearly on the path to return to target margins in 2024,” said Joseph P. Lacher, Jr., President, CEO and Chairman. “The benefits from our planned profit actions have generated improvement in our Specialty P&C underlying combined ratio for three consecutive quarters. The strategic initiatives we completed during the quarter exceeded expectations, significantly increasing liquidity and strengthening our low-cost operating platform. With these solid results, we are transitioning to the next phase of our journey and are focused on a thoughtful balance between continued improvement in underwriting profitability and new business generation to optimize long-term profitable growth.”

*NOTE: In third quarter 2023, the Company finalized the establishment of Kemper Reciprocal, an Illinois-domiciled reciprocal insurance exchange that began writing policies in September 2023. The results of Kemper Reciprocal are consolidated under US GAAP.

Unless specified otherwise, discussion of our fourth quarter 2023 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the consolidated financial results in this release.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

2 The Company has recast all prior period results to reflect a change in the Adjusted Consolidated Operating Net Income (Loss) calculation to exclude the results of the Preferred Insurance business that we expect to fully exit (referred to as "Non-Core Operations"). The results of this business were previously reported as a reportable segment. Prior period amounts have been recast to reflect the change in reportable segments and the new segment measure of profitability.

Three Months EndedYear Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Dec 31, 2023 Dec 31, 20223 Dec 31, 2023 Dec 31, 20223

Net Income (Loss)$51.4 $(53.3)$(272.1)$(286.6)

Adjusted Consolidated Net Operating Income (Loss) 1,2 $50.5 $(23.5)$(47.2)$(116.4)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Loss$(8.3)$(6.4)$(76.4)$(62.6)

Diluted Net Income (Loss) Per Share From:

Net Income (Loss)$0.80 $(0.84)$(4.25)$(4.50)

Adjusted Consolidated Net Operating Income (Loss)1,2 $0.78 $(0.36)$(0.74)$(1.82)

Impact of Catastrophe Losses and Related LAE on Net Loss Per Share$(0.16)$(0.10)$(1.51)$(0.98)

3 This press release recasts previously reported financial information for the provisions of Accounting Standards Update No. 2018-12, “Targeted Improvements to the Accounting for Long-Duration Contracts and related amendments” (“LDTI”) adopted as of January 1, 2023, with a transition date of January 1, 2021, under the modified retrospective method.

Revenues

Total revenues for the fourth quarter of 2023 decreased $187.4 million, or 13.6 percent, to $1,187.2 million, compared to the fourth quarter of 2022, mostly driven by $116.0 million of reduced Specialty P&C earned premiums due to continued lower new business writings, partially offset by higher average earned premium per exposure from rate increases. The decrease in total revenues was also driven by $58.6 million of lower Life earned premiums mostly due to the disposition of Kemper Health that was completed in December 2022, and the annual review and update of assumptions under LDTI for deferred profit liability.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catas

EX-99.1

2 kmpr202301242024ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces Schedule for Fourth Quarter 2023 Earnings Release and Preliminary Results

Expects to report net income and net operating earnings for the quarter

CHICAGO, January 24, 2024 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Thursday, February 1, 2024, Kemper will issue its fourth quarter 2023 earnings release and financial supplement. The company expects to file its annual report on Form 10-K with the Securities and Exchange Commission approximately one week later. Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Preliminary results for the fourth quarter of 2023 include estimated net income and adjusted consolidated net operating income of between $45 million and $55 million. Net income includes approximately $15 million of after-tax net realized gains on investments offset by approximately $14 million of after-tax costs primarily related to our ongoing cost structure optimization efforts.

Kemper Auto (Specialty P&C)

•Preliminary fourth quarter recorded combined ratios are:

Combined Ratio Underlying Combined Ratio1

Kemper Auto98.5%98.2%

Kemper Auto: Private Passenger Auto (PPA)99.5%99.5%

Kemper Auto: Commercial Vehicle94.9%93.2%

Insurance Reserves

•No favorable or unfavorable prior-year reserve development in the quarter for Kemper Auto in total.

Catastrophe Losses

•Pre-tax current-year catastrophe losses for the fourth quarter of 2023 were approximately $3 million2.

Kemper Life

•After-tax income was approximately $15 million.

Capital and Liquidity

•Parent liquidity was approximately $1.1 billion at the end of the quarter, an increase of approximately $300 million from the prior quarter.

•Insurance subsidiaries are well-capitalized.

Strategic Initiatives

•Bermuda Optimization: Paid approximately $330 million in Life dividends to parent in fourth quarter; exceeding prior estimate of $250+ million.

•Cost Structure Initiatives: Achieved multi-year goal of $150 million in run-rate savings in the first year of our initiative. Further cost structure optimization will continue.

•Preferred P&C: Exit proceeding as planned; anticipate $175+ million capital release by year-end 2024.

•Reciprocal: Kemper Reciprocal exchange premium population strategy is on-track.

CONFERENCE CALL DETAILS

Kemper will host its conference call to discuss fourth quarter 2023 results on Thursday, February 1, at 5:00 pm Eastern (4:00 pm Central). The conference call will be accessible via the internet and telephone at 888.259.6580, access code 47100078. To listen via webcast, register online at the investor section of kemper.com at least 15 minutes before the webcast to install any necessary software. A replay of the webcast will be available online at the investor section of kemper.com.

1 Non-GAAP financial measure. All non-GAAP financial measures are denoted with footnote one throughout this release. See below for further explanation on the use of non-GAAP financial measures.

2 Pre-tax current-year catastrophe losses for the fourth quarter of 2023 were approximately $11 million, including $8 million from Kemper Personal Insurance reported within non-core operations.

USE OF NON-GAAP FINANCIAL MEASURES

Adjusted Consolidated Net Operating Income1 is computed by excluding from Net Income Attributable to Kemper Corporation the after-tax impact of:

(i) Income (Loss) from Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment (Losses) Gains;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension Settlement and Other Charges;

(vi) Goodwill Impairment Charges;

(vii) Non-Core Operations; and

(viii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Income Attributable to Kemper Corporation. Kemper excluded no applicable significant non-recurring items from the Adjusted Consolidated Net Operating Income calculation for the three months ended December 31, 2023.

Kemper believes that Adjusted Consolidated Net Operating Income provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. (Loss) Income from Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains and Impairment Gains (Losses

EX-99.1

2 kmpr202309302023ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Third Quarter 2023 Operating Results*

CHICAGO, October 30, 2023 — Kemper Corporation (NYSE: KMPR) reported a net loss of $146.3 million, or $(2.28) per share, for the third quarter of 2023, compared to a net loss of $74.8 million, or $(1.17) per share, for the third quarter of 2022. Net loss for the third quarter 2023 included a $55.5 million after-tax non-cash charge related to the termination of Kemper’s remaining pension plan obligations, which was previously included within accumulated other comprehensive income (AOCI) and $22.9 million of after-tax net realized losses on investments.

Adjusted Consolidated Net Operating Loss1 was $27.9 million, or $(0.44) per share, for the third quarter of 2023, compared to Adjusted Consolidated Net Operating Loss1,2 of $27.0 million, or $(0.43) per share, for the third quarter of 2022.

Key themes of the quarter include:

•Specialty Auto Underlying Combined Ratio improved 1.5 points, sequentially

•Unfavorable prior year reserve development was largely associated with Florida Personal Injury Protection (PIP)

•Strategic initiatives on track to produce or exceed their targeted benefits

•Life business trends remain stable; consumer demand remains strong

“We continue to make strong progress toward profitability against an ongoing, dynamic operating environment.” said Joseph P. Lacher, Jr., President, CEO and Chairman. “We are encouraged by the incremental improvements in our underlying performance. The implementation of 30 points of California specialty auto rate, along with the cumulative benefits from our other actions, are providing a tailwind for the fourth quarter and full year 2024. In addition, this quarter we advanced our strategic initiatives, which are on track to produce or exceed the intended operational and financial targets.”

*NOTE: In third quarter 2023, the Company finalized the establishment of Kemper Reciprocal, an Illinois-domiciled reciprocal insurance exchange that began writing policies in September 2023. The results of Kemper Reciprocal are required to be consolidated under US GAAP.

Unless specified otherwise, discussion of our third quarter 2023 results is focused on net income attributable to Kemper Corporation common shareholders, which does not include financial results from Kemper Reciprocal that are presented within the consolidated financial results in this release.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

2 The Company has recast all prior period results to reflect a change in the Adjusted Consolidated Operating Net Loss calculation to exclude the results of the Preferred Insurance business that we expect to fully exit (referred to as "Non-Core Operations"). The results of this business were previously reported as a reportable segment. Prior period amounts have been recast to reflect the change in reportable segments and the new segment measure of profitability.

Three Months EndedNine Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Sep 30, 2023 Sep 30, 20223 Sep 30, 2023 Sep 30, 20223

Net Loss$(146.3)$(74.8)$(323.5)$(233.3)

Adjusted Consolidated Net Operating Loss 1,2 $(27.9)$(27.0)$(97.8)$(92.9)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Loss$(16.4)$(21.3)$(68.1)$(56.2)

Diluted Net Loss Per Share From:

Net Loss$(2.28)$(1.17)$(5.05)$(3.66)

Adjusted Consolidated Net Operating Loss1,2 $(0.44)$(0.43)$(1.53)$(1.46)

Impact of Catastrophe Losses and Related LAE on Net Loss Per Share$(0.32)$(0.33)$(1.35)$(0.88)

3 This press release recasts previously reported financial information for the provisions of Accounting Standards Update No. 2018-12, “Targeted Improvements to the Accounting for Long-Duration Contracts and related amendments” (“LDTI”) adopted as of January 1, 2023, with a transition date of January 1, 2021 under the modified retrospective method.

Revenues

Total revenues for the third quarter of 2023 decreased $162.1 million, or 11.9 percent, to $1,199.4 million, compared to the third quarter of 2022, mostly driven by $109.1 million of lower Specialty P&C earned premiums from a decrease in new business resulting from targeted actions to improve profitability, partially offset by higher average earned premium per exposure from rate increases. The decrease in total revenues was also driven by $40.0 million of lower Life earned premiums mostly due to the disposition of Kemper Health that was completed in December 2022, and a $23.1 million decrease in total revenues from Non-Core Operations.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year developme

EX-99.1

2 kmpr202310232023ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces Schedule for Third Quarter 2023 Earnings Release and Preliminary Results

Reaffirms guidance and provides update on strategic initiatives

CHICAGO, October 23, 2023 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Monday, October 30, Kemper will issue its third quarter 2023 earnings release and financial supplement. The company expects to file its Form 10-Q with the Securities and Exchange Commission on or about October 30. Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Results for the third quarter of 2023 include an estimated net loss between $140 million and $150 million and an estimated adjusted consolidated net operating loss1 between $25 million and $35 million. Net loss for the third quarter includes an estimated $56 million after-tax non-cash charge related to the termination of Kemper’s remaining pension plan obligations, which was previously included within accumulated other comprehensive income (AOCI). The net loss also includes approximately $25 million of after-tax net realized losses on investments.

Kemper Auto (Specialty P&C)

•Preliminary third quarter recorded combined ratios are as follows:

Combined Ratio Underlying Combined Ratio1

Kemper Auto109.9%100.5%

Kemper Auto: Private Passenger Auto (PPA)112.6%102.1%

Kemper Auto: Commercial Vehicle98.4%93.6%

Prior Year Claim Reserve Strengthening

•Unfavorable prior year reserve development of approximately $78 million was largely associated with Personal Injury Protection (PIP) in Florida and, to a lesser degree, Bodily Injury (BI) and Property Damage (PD) coverages.

Rate Increases

•Filed an additional 6% increase on 13% of the book.

•Minimal earned impact this quarter from the approximately 30 point California PPA rate approval, which was effective August 4, 2023.

•Significant earned rate benefits accelerating in the fourth quarter of 2023 and first quarter of 2024.

Catastrophe Losses

•Pre-tax catastrophe losses for the third quarter were approximately $7 million2, driven by tropical storms and Midwest hail/wind activity.

Kemper Life

•After-tax income was approximately $15 million.

Kemper Personal Insurance (Preferred P&C)

•Segment was moved to non-core operations in the third quarter after announcing wind-down of the business in August 2023.

Capital and Liquidity

•Parent liquidity was approximately $800 million at the end of the quarter.

•Insurance companies are well capitalized and consistent with recent levels.

Strategic Initiatives

•Reciprocal: Establishment of Kemper Reciprocal Exchange completed; exchange began writing policies in September.

•Bermuda Optimization: Anticipate $250+ million Life dividend to parent in the fourth quarter of 2023.

•Cost Structure Initiatives: On track to meet or exceed targeted expense saving commitments.

•Preferred P&C Exit: Proceeding as planned; $175+ million capital release anticipated by year-end 2024.

Guidance

•The company expects to generate a 2024 Return on Equity (ROE) of 10% or greater.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See below for further explanation on the use of Non-GAAP financial measures.

2 Pre-tax catastrophe losses for third quarter 2023 were approximately $21 million, including $14 million from Kemper Personal Insurance reported within non-core operations.

USE OF NON-GAAP FINANCIAL MEASURES

Adjusted Consolidated Net Operating Loss1 is an after-tax, non-GAAP financial measure and is computed by excluding from Net Loss the after-tax impact of:

i.Income (Loss) from Change in Fair Value of Equity and Convertible Securities;

ii.Net Realized Investment Gains (Losses);

iii.Impairment (Losses) Gains;

iv.Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

v.Debt Extinguishment, Pension Settlement and Other Charges;

vi.Goodwill Impairment Charges;

vii.Non-Core Operations; and

viii.Significant non-recurring or infrequent items that may not be indicative of ongoing operations

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Loss. There were no applicable significant non-recurring items that Kemper excluded from the Adjusted Consolidated Net Operating Loss calculation for the three months ended September 30, 2023.

Kemper believes that Adjusted Consolidated Net Operating Loss provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that othe

EX-99.1

2 kmpr202306302023ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports Second Quarter 2023 Operating Results

CHICAGO, August 7, 2023 — Kemper Corporation (NYSE: KMPR) reported a net loss of $97.1 million, or $(1.52) per share, for the second quarter of 2023, compared to a net loss of $72.2 million, or $(1.13) per share, for the second quarter of 2022. Net loss for second quarter 2023 included a $45.5 million after-tax charge from the impairment of the goodwill asset related to the Preferred Property and Casualty Insurance segment.

Adjusted Consolidated Net Operating Loss1 was $16.9 million, or $(0.26) per share, for the second quarter of 2023, compared to Adjusted Consolidated Net Operating Loss1 of $37.2 million, or $(0.58) per share, for the second quarter of 2022.

Key themes of the quarter include:

•Specialty P&C reflects a six point Underlying Combined Ratio improvement

•Excess mortality at or near pre-pandemic levels

•Specialty Auto received second rate approval in California

“The benefits of the profit actions taken to date are starting to take hold and are generating notable improvements in our underlying performance,” said Joseph P. Lacher, Jr., President, CEO and Chairman. “We are increasingly confident these actions are driving the intended outcomes. Further, we are making significant progress on our key strategic initiatives including our reciprocal program, Bermuda optimization, expense initiatives and completion of our Kemper Personal Insurance review. In the second half of 2023, we anticipate continued improvement in underwriting performance. For 2024, we plan to generate a return on equity equal to or greater than 10%. I am deeply proud of the Kemper team and the efforts they have extended and continue to extend to enable these results.”

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months EndedSix Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Jun 30, 2023 Jun 30, 20222 Jun 30, 2023 Jun 30, 20222

Net Loss$(97.1)$(72.2)$(177.2)$(158.5)

Adjusted Consolidated Net Operating Loss 1 $(16.9)$(37.2)$(82.1)$(88.8)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Loss$(31.2)$(23.9)$(51.7)$(34.9)

Diluted Net Loss Per Share From:

Net Loss$(1.52)$(1.13)$(2.77)$(2.49)

Adjusted Consolidated Net Operating Loss1 $(0.26)$(0.58)$(1.28)$(1.39)

Impact of Catastrophe Losses and Related LAE on Net Loss Per Share$(0.70)$(0.38)$(1.02)$(0.55)

2 This press release recasts previously reported financial information for the provisions of Accounting Standards Update No. 2018-12, “Targeted Improvements to the Accounting for Long-Duration Contracts and related amendments” (“LDTI”) adopted as of January 1, 2023, with a transition date of January 1, 2021 under the modified retrospective method.

Revenues

Total revenues for the second quarter of 2023 decreased $154.9 million, or 10.9 percent, to $1,262.8 million, compared to the second quarter of 2022, mostly driven by $111.4 million of lower Specialty P&C earned premiums due to a decrease in new business resulting from targeted underwriting actions to improve profitability, partially offset by higher average earned premium per exposure from rate increases. The decrease in total revenues was also driven by $41.8 million of lower Life & Health earned premiums mostly due to the disposition of Kemper Health that was completed in December 2022, and a $25.4 million increase in Net Realized Investment Losses, partially offset by favorable changes in the Change in Fair Value of Equity and Convertible Securities from second quarter of 2022.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months EndedSix Months Ended

(Dollars in Millions) (Unaudited)Jun 30, 2023Jun 30, 2022Jun 30, 2023Jun 30, 2022

Segment Net Operating (Loss) Income:

Specialty Property & Casualty Insurance$(10.8)$(38.9)$(69.2)$(83.6)

Preferred Property & Casualty Insurance(2.7)(16.8)(12.2)(22.9)

Life & Health Insurance8.9 20.2 22.1 31.8

Total Segment Net Operating Loss(4.6)(35.5)(59.3)(74.7)

Corporate and Other Net Operating Loss(12.3)(1.7)(22.8)(14.1)

Adjusted Consolidated Net Operating Loss1 (16.9)(37.2)(82.1)(88.8)

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities1.9 (32.0)3.2 (54.3)

Net Realized Investment (Losses) Gains(12.5)8.7 (7.4)9.9

Impairment (Losses) Gains(0.8)(3.9)

EX-99.1

2 kmpr202307272023ex991relea.htm

EX-99.1

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces Schedule for Second Quarter 2023 Earnings Release and Preliminary Results

CHICAGO, July 27, 2023 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Monday, August 7, 2023, Kemper will issue its second quarter 2023 earnings release, financial supplement and Form 10-Q. Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Preliminary results for the second quarter of 2023 include an estimated net loss between $95 million and $105 million and an estimated adjusted consolidated net operating loss1 between $15 million and $25 million. Kemper expects to record an after-tax goodwill impairment charge of approximately $45.5 million in connection with the strategic review of Kemper Personal Insurance, the Company’s preferred home and auto business. This non-cash charge is included in the Company’s estimated net loss.

Estimated second quarter recorded combined ratios are as follows:

Combined Ratio Underlying Combined Ratio1

Kemper Auto107%102%

Kemper Auto: PPA108%104%

Kemper Auto: Commercial Vehicle100%94%

Kemper Personal Insurance113%96%

Kemper Personal Insurance: PPA119%111%

Kemper Personal Insurance: Home & Other105%75%

•Combined ratios for the second quarter were adversely impacted by prior year claim reserve additions and current year catastrophes.

•The preliminary unfavorable prior year reserve development of approximately $26 million was largely associated with increases in estimates within Bodily Injury and Property Damage coverages stemming from loss activity within the second half of 2022.

•Preliminary pre-tax current year catastrophe losses for the second quarter were approximately $39 million with the following attribution:

•Kemper Auto: approximately $17 million

•Kemper Personal Insurance: approximately $21 million

•Kemper Life: approximately $1 million

•Life & Health after-tax income for the quarter was approximately $9 million.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release.

USE OF NON-GAAP FINANCIAL MEASURES

Adjusted Consolidated Net Operating Loss1 is an after-tax, non-GAAP financial measure and is computed by excluding from Net Loss the after-tax impact of:

(i) Income (Loss) from Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment Losses;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension and Other Charges;

(vi) Goodwill Impairment Charges; and

(vii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Loss. There were no applicable significant non-recurring items that Kemper excluded from the calculation of Adjusted Consolidated Net Operating Loss for the three months ended June 30, 2023.

Kemper believes that Adjusted Consolidated Net Operating Loss provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. Income (Loss) from Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains and Impairment Gains (Losses) related to investments included in Kemper’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of the Kemper’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transactions, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of acquisitions and business decisions unrelated to the insurance underwriting process. Debt Extinguishment, Pension and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by Kemper’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; (ii) settlement of pension plan obligations which are business decisions made by Kemper, the timing of which is unrelated to the underwriting process; and (iii) other charges that are non-standard, not part of the ordinary course of business, and unrelated to the

EX-99.1

2 kmpr20233312023ex991release.htm

EXHIBIT 99.1 - PRESS RELEASE

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Reports First Quarter 2023 Operating Results

CHICAGO, May 8, 2023 — Kemper Corporation (NYSE: KMPR) reported a net loss of $80.1 million, or $(1.25) per diluted share, for the first quarter of 2023, compared to a net loss of $86.3 million, or $(1.36) per diluted share, for the first quarter of 2022.

Adjusted Consolidated Net Operating Loss1 was $65.2 million, or $(1.02) per diluted share, for the first quarter of 2023, compared to Adjusted Consolidated Net Operating Loss1 of $51.6 million, or $(0.81) per diluted share, for the first quarter of 2022.

Key themes of the quarter include:

•Profitability impacted by catastrophe losses, prior year adverse development, and higher-than-anticipated frequency

•Excess mortality at or near pre-pandemic levels, albeit sequentially; claims increased in first quarter

•Rate actions continue to earn in at an accelerated pace

•Declared dividend of $0.31 per share

“First quarter results were below our expectations, and we are not satisfied with where we stand today,” said Joseph P. Lacher, Jr., President, CEO and Chairman. “Results were impacted by the combination of elevated catastrophe losses, prior year adverse development, and higher-than-anticipated frequency, and we believe weather was a significant contributor to the frequency increase and episodic in nature. We are taking the necessary steps intended to restore profitability and the inputs we control are trending positively, including increased rates earning in, incremental rate filings, tightened underwriting, and targeted expense reductions. We are relentlessly focused on taking actions intended to make the necessary improvements and deliver long-term value to our shareholders. We continue to expect a return to underwriting profitability by the end of 2023 and to achieve our financial targets in 2024.”

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release. See “Use of Non-GAAP Financial Measures” for additional information.

Three Months Ended

(Dollars in Millions, Except Per Share Amounts) (Unaudited)Mar 31, 2023 Mar 31, 20222

Net Loss$(80.1)$(86.3)

Adjusted Consolidated Net Operating Loss1 $(65.2)$(51.6)

Impact of Catastrophe Losses and Related Loss Adjustment Expense (LAE) on Net Loss$(20.5)$(11.0)

Diluted Net Loss Per Share From:

Net Loss$(1.25)$(1.36)

Adjusted Consolidated Net Operating Loss1 $(1.02)$(0.81)

Impact of Catastrophe Losses and Related LAE on Net Loss Per Share$(0.32)$(0.17)

2 This press release recasts previously reported financial information for the provisions of Accounting Standards Update No. 2018-12, “Targeted Improvements to the Accounting for Long-Duration Contracts and related amendments” (“LDTI”) adopted as of January 1, 2023, with a transition date of January 1, 2021 under the modified retrospective method.

Revenues

Total revenues for the first quarter of 2023 decreased $75.3 million, or 5.50%, to $1,294.8 million, compared to the first quarter of 2022, mostly driven by $77.4 million of lower Specialty P&C earned premiums due to a decrease in new business resulting from targeted underwriting actions to improve profitability, partially offset by higher average earned premium per exposure from rate increases. The decrease was also driven by $43.5 million of lower Life & Health earned premiums mostly due to the disposition of Kemper Health that was completed in December 2022, and $18.2 million of lower Preferred P&C earned premiums. These decreases were partially offset by $29.9 million of higher revenue from changes in fair value of equity and convertible securities and $17.4 million of higher revenue from changes in fair value of alternative energy partnership investments.

2

Segment Results

Unless otherwise noted, (i) the segment results discussed below are presented on an after-tax basis, (ii) prior-year development includes both catastrophe and non-catastrophe losses and LAE, (iii) catastrophe losses and LAE exclude the impact of prior-year development, (iv) loss ratio includes loss and LAE, and (v) all comparisons are made to the prior year quarter unless otherwise stated.

Three Months Ended

(Dollars in Millions) (Unaudited)Mar 31, 2023Mar 31, 2022

Segment Net Operating Income (Loss):

Specialty Property & Casualty Insurance$(58.4)$(44.7)

Preferred Property & Casualty Insurance(9.5)(6.1)

Life & Health Insurance13.2 11.6

Total Segment Net Operating Loss(54.7)(39.2)

Corporate and Other Net Operating Loss(10.5)(12.4)

Adjusted Consolidated Net Operating Loss 1 (65.2)(51.6)

Net Income (Loss) From:

Change in Fair Value of Equity and Convertible Securities1.3 (22.3)

Net Realized Investment Gains5.1 1.2

Impairment Gains (Losses)1.7 (7.0)

Acquisition and Disposition Related Transaction, Integration,

EX-99.1

2 kmpr202304272023ex991relea.htm

EXHIBIT 99.1 PRESS RELEASE

Document

Exhibit 99.1

Kemper Corporation

200 East Randolph Street

Suite 3300

Chicago, IL 60601

kemper.com

Press Release

Kemper Announces Schedule for First Quarter 2023 Earnings Release and Preliminary Results

CHICAGO, April 27, 2023 — Kemper Corporation (NYSE: KMPR) today announced that after the markets close on Monday, May 8, 2023, Kemper will issue its first quarter 2023 earnings release, financial supplement, and 10-Q inclusive of the financial impacts of Accounting Standards Update No. 2018-12 - Targeted Improvements to the Accounting for Long-Duration Contracts and related amendments (“LDTI”). Following their publication, these documents will be available in the investor section of kemper.com.

PRELIMINARY RESULTS

Preliminary results for the first quarter of 2023 include an estimated net loss between $75 million and $85 million and an estimated adjusted consolidated net operating loss1 between $60 million and $70 million.

Estimated first quarter recorded combined ratios are as follows:

Combined Ratio Underlying Combined Ratio1

Kemper Auto112%108%

Kemper Auto: PPA113%109%

Kemper Auto: CV108%102%

Kemper Personal Insurance117%97%

Kemper Personal Insurance: PPA118%112%

Kemper Personal Insurance: Home & Other115%78%

•The first quarter of 2023 Combined Ratios were adversely impacted by prior year claim reserve additions and catastrophes. Kemper Auto was further impacted by higher than anticipated frequency within its private passenger auto and commercial vehicle offerings.

•The preliminary unfavorable prior year reserve development of approximately $42 million was primarily driven by an increase in Bodily Injury and Property Damage frequency.

•The higher than anticipated frequency is related to the short-term impact of recent new business writings, mix, and geographic differences utilizing modified opening practices for newly reported claims.

•Preliminary pre-tax catastrophe losses for the first quarter 2023 were approximately $29 million with the following attribution:

◦Kemper Auto: approximately $8 million

◦Personal Insurance: approximately $20 million

◦Life & Health: approximately $1 million

•Life & Health after-tax income for the quarter was approximately $13 million; this reflects the accounting under LDTI.

1 Non-GAAP financial measure. All Non-GAAP financial measures are denoted with footnote 1 throughout this release.

Use of Non-GAAP Financial Measures

Adjusted Consolidated Net Operating Loss1 is an after-tax, non-GAAP financial measure and is computed by excluding from Net Loss the after-tax impact of:

(i) Income (Loss) from Change in Fair Value of Equity and Convertible Securities;

(ii) Net Realized Investment Gains (Losses);

(iii) Impairment Losses;

(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;

(v) Debt Extinguishment, Pension and Other Charges; and

(vi) Significant non-recurring or infrequent items that may not be indicative of ongoing operations

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net Loss. There were no applicable significant non-recurring items that Kemper excluded from the calculation of Adjusted Consolidated Net Operating Loss1 for the three months ended March 31, 2023.

Kemper believes that Adjusted Consolidated Net Operating Loss1 provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. Income (Loss) from Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains and Impairment Gains (Losses) related to investments included in Kemper’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of the Kemper’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of acquisitions and business decisions which are unrelated to the insurance underwriting process. Debt Extinguishment, Pension and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by Kemper’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; (ii) settlement of pension plan obligations which are business decisions made by Kemper, the timing of which is unrel