Lincoln Financial Losses Slow With Ebbing Pandemic
May 10, 2022 by Steven A. Morelli
Lincoln Financial earnings dropped by more than half year over year in the first quarter, largely because of pandemic-related losses but also a drop in indexed variable annuity sales, which incoming CEO Ellen Cooper said was in line with the carrier’s shift in sales strategy.
The company’s earnings totaled $103 million, $0.58 per share, compared with $225 million, $1.16 per share, in the first quarter of last year. Pandemic-related claims reduced earnings by $150 million or $0.85 per share and unusual items of $19 million or $0.11 per share, primarily related to a group protection customer beginning a backlog of prior year claims. The good news is that working-age claims have been dropping as COVID’s lethality ebbs.