Kemper Corporation functions as a comprehensive insurance holding entity, providing a wide array of property and casualty, alongside life and health insurance ...
Kemper Corporation is a publicly traded insurance holding company headquartered at 200 East Randolph Street in Chicago, Illinois. The company was established in 1990 as Unitrin, Inc. and adopted the Kemper Corporation name in August 2011. Its historical roots also connect to the broader Kemper insurance heritage in Chicago, including ...Kemper Corporation is a publicly traded insurance holding company headquartered at 200 East Randolph Street in Chicago, Illinois. The company was established in 1990 as Unitrin, Inc. and adopted the Kemper Corporation name in August 2011. Its historical roots also connect to the broader Kemper insurance heritage in Chicago, including property and casualty insurance operations established earlier in the twentieth century.
Kemper organizes its activities into three principal business areas: Specialty Property & Casualty Insurance, Preferred Property & Casualty Insurance, and Life & Health Insurance. The property and casualty operations serve individuals, families, and businesses. Personal lines include automobile, homeowners, renters, fire, umbrella, and general liability coverage. Commercial offerings include commercial automobile insurance and related liability protection. Through its life and health activities, Kemper provides term and permanent life insurance, accident-only coverage, supplemental accident and health products, Medicare supplement insurance, fixed hospital indemnity insurance, home health care coverage, and specific-disease policies.
The company emphasizes specialized and relatively accessible insurance solutions for customers in rural, suburban, and urban markets. Its distribution model relies substantially on independent agents and brokers rather than a purely direct-to-consumer approach. This channel gives Kemper access to local insurance relationships while also creating costs associated with commissions, underwriting, claims administration, customer service, technology, compliance, and catastrophe or loss protection. Unlike a manufacturer, Kemper has no conventional bill of materials or physical production cost structure. Its major economic inputs are insurance claims, policy acquisition expenses, employee compensation, technology and operating costs, reinsurance, and regulatory capital requirements.
Kemper’s brands include Kemper Auto and Kemper Life. The company serves millions of policies and is represented by a large network of agents and brokers. It has approximately $12 billion to $13 billion in assets and about 7,300 employees. Financial performance is driven by premium growth, pricing, underwriting discipline, claims frequency and severity, investment income, reserve development, catastrophe exposure, and capital management. The supplied trailing data shows approximately $1.68 billion in market capitalization, a dividend of $1.28 per share, and a property and casualty insurance industry classification. Reported trailing profitability metrics were negative, illustrating the volatility that can arise from underwriting losses, reserve changes, or other insurance-related charges. Management’s longer-term priorities generally involve improving underwriting results, maintaining adequate capital, simplifying operations, enhancing digital and agent capabilities, and delivering affordable, personalized insurance products to individuals, families, and businesses.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$4.8B
+3.6%
-1.5%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$143.3M
-54.9%
-27241.2%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+29.7%
+133.3%
+295.9%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+3.3%
-60.1%
-5899.0%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+3.0%
-56.5%
-27646.5%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$553.9M
+68.0%
+24.5%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+11.5%
+62.1%
+26.4%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
37.5%
-26.7%
+20.9%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
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Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Good morning, ladies and gentlemen, and welcome to Kemper's Second Quarter 2026 Earnings Conference Call. My name is Samantha, and I will be your coordinator today. [Operator Instructions] As a reminder, this conference call is being recorded for replay purposes. I would now like to introduce your host for today's conference call, Michael Marinaccio, Kemper's Vice President of Corporate Development and Investor Relations. Mr. Marinaccio, you may begin.
Michael Marinaccio: Thank you. Good morning, everyone, and welcome to the conference discussion of our second quarter 2026 results. This morning you'll hear from Stephen McAnena, Kemper's President and CEO, and Bradley Camden, Kemper's Executive Vice President and Chief Financial Officer. We'll make a few opening remarks to provide context around our second quarter results, followed by a Q&A session. During the interactive portion of our call, our presenters will be joined by Chris Flint, Kemper's Executive Vice President and President of Kemper Life, and John Boschelli, Kemper's Executive Vice President and Chief Investment Officer. After the markets closed yesterday, we issued our earnings release, filed our Form 10-Q with the SEC, and published our earnings presentation and financial supplement. You can find these documents in the investor section of our website, kemper.com. Our discussion today may contain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, the company's outlook on its future results of operation and financial condition. Our actual future results in financial condition may differ materially from these statements. For information on additional risks that may impact these forward-looking statements, please refer to our 2025 Form 10-K and our second quarter earnings release. This morning's discussion also includes non-GAAP financial measures we believe are meaningful to investors. In our financial supplement, earnings presentation, and earnings release, we've defined and reconciled all non-GAAP financial measures to GAAP, where required in accordance with SEC rules. You can find each of these documents in the investor section of our website, kemper.com. All comparative references will be to the corresponding 2025 period unless otherwise stated. I'll now turn the call over to Steve.
Stephen McAnena: Well, thanks, Michael, and good morning, everyone, and thank you for joining us. Since joining Kemper 2 months ago, I've spent time with employees, agents, business partners, and members of the investment community. Those conversations, combined with the work I've done to better understand the business, have energized me about Kemper's future. I see a company with meaningful strengths, including the stability of life, the momentum within commercial auto, real potential for personal auto, and a talented team committed to improving results. …