Vermont Business Magazine National Life Group once again set records for earnings and sales in 2016, a year that also saw the company’s culture receive national attention. Mehran Assadi, the president and chief executive officer, said National Life set a number of historic milestones in 2016. “Across the board, top line and bottom line, we had yet another record-setting year,” said Assadi. “Our extraordinary performance reflected our long history of financial strength and our deep roots on Main Street, America.”
Asked to single out key metrics from 2016, Assadi focused on two:
- Total coverage of life insurance provided to customers – known as life insurance in force – passed the $100 billion mark;
- Benefits paid to policyholders in 2016 hit $2 billion.
“The $100 billion shows that we are helping more and more individuals, families and small businesses prepare for the future, while the $2 billion shows we are delivering on the promises we have made in the past,” said Assadi. He added that the company has tripled its life insurance in force in the past 20 years.
National Life’s sales growth has made it the fastest growing life insurance company in America during the past 10 years. In industry rankings maintained by LIMRA, the company has climbed from being the 32nd largest life insurance company in 2011 to the 18th largest company in 2016 for individual life insurance sales.
“Our success is not an accident,” he said. “It can traced to the fact that we know our why. We are a mission-driven organization.”
Assadi said he was he was very proud that National Life’s culture of servant leadership received national attention in 2016 following the publication of the book CAUSE by leadership experts Jackie and Kevin Freiberg who have spent 25 years distilling the practices of best companies around the globe. The book focuses on National Life’s mission-driven employee culture. As they wrote:
“The people of National Life are grounded in timeless principles – love and friendship, assuring the American dream and making good on a promise. They live those principles out loud daily because the noble, heroic cause for which they fight depends on it. They are not just a company; they are a movement that is growing stronger one relationship at a time.”
Assadi said: “Our values are do good, be good and make good. Those six words are so simple and yet so powerful.”
The company released its 2016 consolidated financial results this week.
Among the highlights:
- Core earnings of $209.9 million, an increase of 10% and the first time the company’s core earnings topped $200 million;
- Assets under management hit a record $33.1 billion;
- Total life and annuity sales of $419 million, an increase of 14%;
Assadi also said he was very proud that in 2016 S&P Global upgraded National Life to a financial strength rating of A+*. The rating agency coupled the action with a very positive and reaffirming commentary about our financial risk profile, capital management and distribution. S&P wrote “we now view the insurer’s financial risk profile as extremely strong, compared to our prior opinion of very strong.”
National Life’s employees set a record in 2016, using the company’s paid time off policy to donate almost 5,400 hours volunteering for community non-profits. National Life gives each employee 40 hours of paid time off to volunteer during business hours.
National Life Group has been based in Montpelier, Vermont since the chartering of National Life Insurance Company in 1848. It has more than 1,000 employees divided between campuses in Montpelier and Dallas, Texas.
Source: MONTPELIER, Vermont (March 15, 2017) – Vermont Life Group. *Financial strength rating for National Life Insurance Company and Life Insurance Company of the Southwest. A+ rating is ranked as “Strong,” 5th out of 21 rankings. Ratings are subject to change.