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Unum Group reduces long-term care exposure via reinsurance

Tipranks - Tue Jul 7, 6:30AM CDT

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Unum Group ( (UNM) ) has shared an update.

On July 2, 2026, Unum Life Insurance Company of America agreed to a major coinsurance reinsurance transaction with Fortitude Reinsurance Company Ltd. to transfer a closed block of individual long-term care policies. The deal will reinsure $3.8 billion of statutory reserves, covering about 50,000 individual policies previously reinsured to captive subsidiary Fairwind Insurance Company, with Unum retaining administration and claims handling.

Combined with a prior long-term care reinsurance deal completed in 2025, Unum’s cumulative reduction in long-term care statutory reserves will reach roughly 40%, materially shrinking its legacy closed block exposure. Unum expects limited impact on operating earnings and to preserve strong capital metrics after closing, signalling continued strategic focus on its core employee benefits business and a lower risk profile for shareholders and policyholders.

The most recent analyst rating on (UNM) stock is a Buy
with a $100.00 price target.
To see the full list of analyst forecasts on Unum Group stock,
see the UNM Stock Forecast page.

Spark’s Take on UNM Stock

According to Spark, TipRanks’ AI Analyst, UNM is a Outperform.

UNM scores well primarily on solid underlying financial strength (manageable leverage and healthy cash generation) and constructive technicals (price in an established uptrend with neutral-to-positive momentum). The score is held back by mixed valuation (P/E ~19.5 with recently weaker margins/ROE) despite supportive earnings-call guidance and capital return plans.

To see Spark’s full report on UNM stock,
click here.

More about Unum Group

Unum Group is a Fortune 500, international provider of workplace benefits and services, operating through the Unum and Colonial Life brands. The company offers disability, life, accident, critical illness, dental and vision insurance, along with leave and absence management and behavioral health services, generating $13.1 billion in revenue and paying $8.3 billion in benefits in 2025.

Recognized as one of the World’s Most Ethical Companies, Unum focuses on employee benefits and long-term protection solutions for workers and their families. Its core market is employer-sponsored benefits, where it maintains a leading franchise and emphasizes prudent capital management and long-term value creation for shareholders.

Average Trading Volume: 1,348,764

Technical Sentiment Signal: Buy

Current Market Cap: $14.75B

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