Kansas City Life Announces Q4 2024 Results
KANSAS CITY, Mo. – March 4, 2025 – Kansas City Life Insurance Company (KCLI) reported a significant downturn in its financial performance for the fourth quarter of 2024.
The company recorded a net loss of $12.6 million, or $1.30 per share, a stark contrast to the net income of $49.1 million, or $5.07 per share, reported in the same period of 2023. This announcement came on March 4, 2025.
Key Factors Contributing to the Loss:
The decline in earnings can be largely attributed to several key factors:
- Reduced Insurance Revenues: Lower income from insurance operations contributed to the negative results.
- Lower Investment Gains: Net investment gains were down year-over-year.
- Increased Operating Expenses: The company experienced higher operating expenses, including a substantial legal reserve.
- Legal Reserve: A $21.1 million pre-tax legal reserve was established in Q4 2024 related to class action lawsuits.
- Portfolio Repositioning: Realized losses from portfolio repositioning in 2024 further impacted financial results.
Net investment income increased and policyholder benefits decreased versus the prior year, which partially offset these factors.
Full Year 2024 Results
For the full year ended December 31, 2024, KCLI reported a net loss of $5.0 million, or $0.51 per share, compared to a net income of $54.9 million, or $5.67 per share, for 2023.
The decrease largely reflected the previously mentioned lower realized investment gains, increased operating expenses, decreased insurance revenues, and increased interest credited on policyholder account balances.
KCLI was founded in 1895 and is based in Kansas City, Missouri. The company’s primary business focuses on providing financial protection through life insurance and annuity products. The business operates in 49 states and the District of Columbia.
For more information, please visit www.kclife.com.
