Description
SWOT ANALYSIS OF TORCHMARK

Torchmark

Parent Company

Torchmark Corporation

Category

Healthcare

Sector

Insurance sector

Tagline/ Slogan

For "middle income" Americans

USP

Specializing in life and supplemental health insurance

STP

Segment

Life insurance, health insurance, investment, other, and annuity

Target Group

Middle income households

Marketed through multiple distribution channels including direct response, Positioning and exclusive and independent agencies.

SWOT Analysis

1. Focus on middle markets through niche subsidiaries 2. Continued strong performance at life insurance segment 3. Efficient underwriting and prudent product focus generating higher underwriting margins 4. Torchmark markets its products under the names of each subsidiary, Strength rather than the Torchmark name, to take advantage of brand recognition

1. Sizable exposure to below investment grade bonds and adverse credit migration Weakness 2. Declining health insurance margin is a concern

1. Turnaround in US life insurance and pension market 2. Expanding healthcare business 3. Positive trends in the US healthcare sector would help Torchmark Opportunity market its products effectively and fuel its revenue growth

1. Competitive pressures likely to intensify pressure on margins 2. Regulatory changes could affect financial strength and performance Threats 3. Increased incidence of natural disasters testing claims paying capability

Competition

1. Citigroup Inc. 2. Lincoln National Corporation Competitors 3. Pacific Mutual Holding Company



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