CITIZENS, INC.CIA
CITIZENS, INC. Segments Disclosure
Explanation of Recast Data Due to Segment Reorganization
As discussed in Note 1. Summary of Significant Accounting Policies, effective December 31, 2025, the Company reorganized its insurance reporting structure, shifting from Life Insurance and Home Service Insurance segments to Domestic Insurance and International Insurance segments.
As a result of this reorganization, comparative prior periods presented have been recast to conform to the current year presentation. Recasting involves restating prior period segment information as if the new segment definitions had been in place during those periods. This allows for meaningful comparisons across periods and provides stakeholders with a consistent view of segment performance over time. The reorganization of our operating segments had no impact on our previously reported consolidated results of operations, financial condition, or cash flows.
Segment Information
The Company's segments are defined by management's reporting structure and operating activities. The chief operating decision maker ("CODM"), our President and Chief Executive Officer, reviews and analyzes income statement information by segment to make decisions, assess financial performance and allocate resources across the Company in order to meet the overall strategic objectives of the Company. The Company has two reportable segments: International Insurance and Domestic Insurance.
Our International Insurance segment issues endowment contracts, which are principally accumulation contracts that incorporate an element of life insurance protection, and whole life insurance to non-U.S. residents through CICA International. These contracts are designed to provide a fixed amount of insurance coverage over the life of the insured and may utilize rider benefits to provide additional coverage and annuity benefits to enhance accumulations.
Our Domestic Insurance segment operates through our subsidiaries CLOA, which issues whole life, final expense and life products with living benefits throughout the U.S., and SPLIC and MGLIC, which focus on the life insurance needs of the lower-income markets, primarily in Louisiana, Mississippi and Arkansas. SPLIC also issues critical illness policies. Our policies are sold and serviced through independent agents. SPFIC sold property insurance policies in Louisiana and Arkansas until operations were ceased effective June 30, 2023. SPFIC was dissolved during 2024.
The International Insurance and Domestic Insurance portions of the Company constitute separate businesses. In addition to the International Insurance and Domestic Insurance business, the Company also operates other non-insurance portions of the Company ("Other Non-Insurance Enterprises"), which primarily include the Company’s IT and corporate-support functions.
The accounting policies of the reportable segments and Other Non-Insurance Enterprises are presented in accordance with U.S. GAAP and are the same as those described in the summary of significant accounting policies. The CODM evaluates profit and loss performance based on U.S. GAAP net income (loss) before federal income taxes for its two reportable segments. The Company's Other Non-Insurance Enterprises represents the only reportable difference between segments and consolidated operations.
Year ended December 31, 2025 (In thousands) | International Insurance | Domestic Insurance | Other Non-Insurance Enterprises | Consolidated | |||||||||||||||||||
| Revenues: | |||||||||||||||||||||||
Premiums | $ | 118,355 | 58,016 | — | 176,371 | ||||||||||||||||||
| Net investment income (loss) | 50,869 | 20,420 | 750 | 72,039 | |||||||||||||||||||
| Investment related gains (losses), net | (478) | 587 | 31 | 140 | |||||||||||||||||||
| Other income (loss) | 6,913 | 28 | 125 | 7,066 | |||||||||||||||||||
| Total revenues | 175,659 | 79,051 | 906 | 255,616 | |||||||||||||||||||
| Benefits and expenses: | |||||||||||||||||||||||
| Insurance benefits paid or provided: | |||||||||||||||||||||||
| Claims and surrenders | 139,017 | 26,008 | — | 165,025 | |||||||||||||||||||
| Increase in future policy benefit reserves | (27,310) | 12,453 | — | (14,857) | |||||||||||||||||||
Policyholder liability remeasurement (gain) loss | 7,175 | (4,602) | — | 2,573 | |||||||||||||||||||
| Policyholders' dividends | 5,214 | 336 | — | 5,550 | |||||||||||||||||||
| Total insurance benefits paid or provided | 124,096 | 34,195 | — | 158,291 | |||||||||||||||||||
| Commissions | 22,381 | 24,884 | — | 47,265 | |||||||||||||||||||
| Other general expenses | 22,154 | 20,936 | 9,951 | 53,041 | |||||||||||||||||||
| Capitalization of deferred policy acquisition costs | (21,371) | (18,430) | — | (39,801) | |||||||||||||||||||
| Amortization of deferred policy acquisition costs | 14,017 | 4,882 | — | 18,899 | |||||||||||||||||||
| Amortization of cost of insurance acquired | — | 451 | — | 451 | |||||||||||||||||||
| Total benefits and expenses | 161,277 | 66,918 | 9,951 | 238,146 | |||||||||||||||||||
| Income (loss) before federal income tax | $ | 14,382 | 12,133 | (9,045) | 17,470 | ||||||||||||||||||
Year ended December 31, 2024 (In thousands) | International Insurance | Domestic Insurance | Other Non-Insurance Enterprises | Consolidated | |||||||||||||||||||
| Revenues: | |||||||||||||||||||||||
Premiums | $ | 118,803 | 54,525 | — | 173,328 | ||||||||||||||||||
| Net investment income (loss) | 49,174 | 19,654 | 884 | 69,712 | |||||||||||||||||||
| Investment related gains (losses), net | (1,929) | (680) | (17) | (2,626) | |||||||||||||||||||
| Other income (loss) | 4,534 | (30) | 83 | 4,587 | |||||||||||||||||||
| Total revenues | 170,582 | 73,469 | 950 | 245,001 | |||||||||||||||||||
| Benefits and expenses: | |||||||||||||||||||||||
| Insurance benefits paid or provided: | |||||||||||||||||||||||
| Claims and surrenders | 117,730 | 28,352 | — | 146,082 | |||||||||||||||||||
| Increase in future policy benefit reserves | (15,364) | 11,078 | — | (4,286) | |||||||||||||||||||
Policyholder liability remeasurement (gain) loss | 4,400 | 356 | — | 4,756 | |||||||||||||||||||
| Policyholders' dividends | 4,891 | 464 | — | 5,355 | |||||||||||||||||||
| Total insurance benefits paid or provided | 111,657 | 40,250 | — | 151,907 | |||||||||||||||||||
| Commissions | 22,333 | 26,785 | — | 49,118 | |||||||||||||||||||
| Other general expenses | 20,818 | 20,052 | 11,396 | 52,266 | |||||||||||||||||||
| Capitalization of deferred policy acquisition costs | (21,232) | (20,070) | — | (41,302) | |||||||||||||||||||
| Amortization of deferred policy acquisition costs | 13,494 | 3,941 | — | 17,435 | |||||||||||||||||||
| Amortization of cost of insurance acquired | — | 597 | — | 597 | |||||||||||||||||||
| Total benefits and expenses | 147,070 | 71,555 | 11,396 | 230,021 | |||||||||||||||||||
| Income (loss) before federal income tax | $ | 23,512 | 1,914 | (10,446) | 14,980 | ||||||||||||||||||
The Company categorizes premiums in two categories - first year premiums are premiums received within the first 12 months of a policy's issuance and any premiums received thereafter are renewal premiums. A summary of the direct premiums for the International Insurance segment is detailed below.
Years ended December 31, (In thousands) | International Insurance Segment | |||||||||||||
| 2025 | 2024 | |||||||||||||
Direct premiums: | ||||||||||||||
| First year | $ | 16,231 | 15,104 | |||||||||||
| Renewal | 103,946 | 105,352 | ||||||||||||
| Total direct premiums | 120,177 | 120,456 | ||||||||||||
Reinsurance | (1,822) | (1,653) | ||||||||||||
| Total premiums | $ | 118,355 | 118,803 | |||||||||||
A summary of the Domestic Insurance segment direct life and A&H premium breakout is detailed below.
Years ended December 31, (In thousands) | Domestic Insurance Segment | ||||||||||
| 2025 | 2024 | ||||||||||
Direct life and A&H premiums: | |||||||||||
| First year | $ | 22,061 | 17,918 | ||||||||
| Renewal | 46,528 | 40,467 | |||||||||
| Total direct life and A&H premiums | 68,589 | 58,385 | |||||||||
| Reinsurance | (10,573) | (3,842) | |||||||||
| Total life and A&H premiums | $ | 58,016 | 54,543 | ||||||||
The table below summarizes assets by segment.
December 31, (In thousands) | 2025 | 2024 | |||||||||
| Assets: | |||||||||||
Segments: | |||||||||||
International Insurance | $ | 1,190,736 | 1,151,562 | ||||||||
Domestic Insurance | 529,357 | 498,526 | |||||||||
Total Segments | 1,720,093 | 1,650,088 | |||||||||
| Other Non-Insurance Enterprises | 34,667 | 35,237 | |||||||||
| Total assets | $ | 1,754,760 | 1,685,325 | ||||||||
GEOGRAPHIC INFORMATION
The following table sets forth the Company's annual total of earned premiums by country of policyholder residence for the years indicated.
Years ended December 31, (In thousands) | 2025 | 2024 | |||||||||
| Area: | |||||||||||
| United States | $ | 69,019 | 58,468 | ||||||||
| Colombia | 28,115 | 25,727 | |||||||||
| Taiwan | 14,359 | 16,690 | |||||||||
| Ecuador | 13,550 | 13,159 | |||||||||
| Venezuela | 13,322 | 14,305 | |||||||||
| Argentina | 11,758 | 10,319 | |||||||||
| Other foreign countries | 39,367 | 39,317 | |||||||||
| Reinsurance and change in premium accruals | (13,119) | (4,657) | |||||||||
| Total premiums | $ | 176,371 | 173,328 | ||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2024 | Mar 13, 2025 | |
| 2023 | Mar 14, 2024 | |
| 2022 | Mar 10, 2023 | |
| 2021 | Mar 11, 2022 | |
| 2020 | Mar 10, 2021 | |
| 2019 | Mar 11, 2020 | |
| 2018 | Mar 26, 2019 | |
| 2017 | Mar 29, 2018 | |
| 2016 | Apr 27, 2017 | |
| 2015 | Mar 24, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.