CNO Financial Group Delivers Strong Q2 2026 Earnings: Sales Growth and Record-Breaking Performance
CNO Financial Group, a leading provider of insurance products, has reported a strong second quarter (Q2) for 2026. The company's operating earnings per diluted share were up 45% in the quarter and 43% year-to-date, excluding significant items.
In a conference call to discuss the results, Adam Auvil, CEO of CNO Financial Group, highlighted the company's 16th consecutive quarter of sales growth and its 14th consecutive quarter of producing agent count growth. This achievement underscores the effectiveness of the company's business model in navigating the dynamic macroeconomic environment.
The sales performance was strong across both divisions, with total new annualized premiums up 7%. The exclusive middle market focus and last mile captive agent distribution model have proven to be a key competitive advantage for CNO Financial Group. This strategy has driven consistent sales performance and profitable growth, making it difficult for competitors to replicate.
The earnings were further boosted by strong insurance product margins and investment results. These reflected growth in the business and expansion of the portfolio book yield. The company maintained a robust capital position while returning $77 million to shareholders through dividends and share buybacks. Book value per diluted share, excluding AOCI, was up 5% at $39.92.
In terms of specific product sales, the Consumer Division delivered its 15th consecutive quarter of sustained growth. Records were set in annuities, brokerage and advisory, and total health NAP (new annualized premiums) was up 17%. Supplemental health was also up 5%, and long-term care saw an increase of 4%. The Medicare business continued to perform well, with Medicare Supplement NAP up 52% for the third consecutive quarter.
The trend towards Medicare Supplement reflects the shift in consumer preferences away from Medicare Advantage. This underscores the value of offering both products through CNO Financial Group's local agent distribution model. Total Medicare policies sold were up 12%, and the baby boomer generation is moving into its peak retirement years, with rising healthcare costs putting pressure on household finances.
As a result of these strong results, CNO Financial Group has raised its full-year operating earnings per share guidance and reaffirmed other 2026 guidance. The company remains focused on growing earnings, improving profitability, and reinvesting in the business. Its durable competitive moat and commitment to long-term growth have positioned it well for future success.
