CNO Financial Group, Inc. (CNO): Análise de Pestle [Jan-2025 Atualizado]

No cenário dinâmico de serviços financeiros, o CNO Financial Group, Inc. fica na encruzilhada de forças complexas do mercado, navegando em desafios e oportunidades através de uma lente multifacetada. Essa análise abrangente de pilotes revela a intrincada rede de fatores políticos, econômicos, sociológicos, tecnológicos, legais e ambientais que moldam a trajetória estratégica da CNO, oferecendo um vislumbre diferenciado em como esse powerhouse de seguros se adapta, inova e prospera em um ecossistema de negócios em constante evolução . Mergulhe mais profundamente para descobrir as influências externas críticas que impulsionam a notável resiliência e posicionamento estratégico do CNO no mercado de seguros competitivos.

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores Políticos

A política de saúde muda o impacto nos regulamentos de seguro

A Lei de Assistência Acessível (ACA) Suplemento Medicare Regulamentos afeta diretamente as ofertas de produtos de seguros da CNO. A partir de 2024, os planos de suplementos do Medicare da CNO devem cumprir:

Aspecto regulatório	Requisito de conformidade
Medicare Supplement Plan Pomentalização	10 planos padronizados (A-N)
Ajuste premium anual	3,2% Aumento médio em 2024
Limite de revisão da taxa	10% ou mais alterações premium requerem revisão federal

Mudanças de política de aposentadoria e atendimento sênior

As políticas federais que afetam os cuidados sênior e a aposentadoria influenciam significativamente a estratégia de mercado da CNO:

• Ajuste do custo de vida do Seguro Social: 3,2% para 2024
• Medicare Parte B Standard Premium: US $ 174,70 por mês
• Medicare Parte A Dedutível: US $ 1.632 por período de benefício

Estabilidade política em Indiana

Métricas do ambiente de negócios de Indiana para 2024:

Indicador econômico	Valor
Classificação climática de impostos comerciais estaduais	8º mais competitivo
Taxa de desemprego	3.4%
Taxa de imposto de renda corporativa	4.9%

Supervisão do mercado de seguros federal

Requisitos de conformidade que afetam o planejamento estratégico da CNO:

• Custos de conformidade da HIPAA: estimado US $ 50.000 a US $ 100.000 anualmente
• Despesas de conformidade da Lei Sarbanes-Oxley: aproximadamente US $ 2,3 milhões em 2024
• Associação Nacional de Comissários de Seguros (NAIC) Mandatos de relatórios

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores Econômicos

Flutuações da taxa de juros

A partir do quarto trimestre de 2023, a taxa de fundos federais do Federal Reserve foi de 5,33%. A sensibilidade ao portfólio de investimentos do CNO Financial Group mostra:

Categoria de investimento	Valor total	Impacto da taxa de juros
Títulos de maturidade fixa	US $ 16,3 bilhões	± 1,5% de variação de rendimento de portfólio
Títulos corporativos	US $ 8,7 bilhões	± 0,75% de sensibilidade ao rendimento
Valores mobiliários do governo	US $ 3,2 bilhões	± 0,5% variação de rendimento

Impacto de recuperação econômica

Indicadores de gastos com consumidores:

• 2023 Crescimento do mercado de seguros: 3,7%
• Premiums escritos diretos da CNO: US $ 2,1 bilhões
• Novas aquisições de políticas: 275.000 em 2023

Mudanças demográficas

Faixa etária	Potencial de mercado	Segmento de destino CNO
55-64 anos	24,7 milhões de indivíduos	Mercado de suplementos do Medicare primário
65 anos ou mais	57,3 milhões de indivíduos	Foco de seguro de assistência a longo prazo

Inflação e incerteza econômica

Métricas de compra de seguros de consumidores:

• 2023 Taxa de inflação: 3,4%
• Aumento médio do preço da política: 5,2%
• Sensibilidade ao preço do consumidor: redução de 12% na cobertura discricionária

Produto de seguro	2023 Volume de vendas	Elasticidade do preço
Suplemento do Medicare	US $ 890 milhões	-0,6 elasticidade
Seguro de vida	US $ 450 milhões	-0.4 Elasticidade
Anuidades	US $ 620 milhões	-0,5 elasticidade

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores sociais

O aumento da expectativa de vida impulsiona a demanda por cuidados de longo prazo e seguro suplementar

De acordo com o Bureau do Censo dos EUA, a expectativa de vida nos Estados Unidos foi de 77,3 anos em 2020. A população de mais de 65 anos deverá atingir 95,0 milhões em 2060.

Faixa etária	Projeção populacional (2060)	Tamanho do mercado de cuidados de longo prazo
65 anos ou mais	95,0 milhões	US $ 426,4 bilhões até 2026
85 anos ou mais	19,0 milhões	US $ 273,8 bilhões em seguro suplementar

A crescente conscientização sobre o planejamento financeiro entre os baby boomers expande o potencial de mercado

Os Baby Boomers (nascidos em 1946-1964) representam 21,16% da população dos EUA, com 73,2 milhões de indivíduos.

Métrica de planejamento financeiro	Valor
Média de economia de aposentadoria	$144,000
Penetração de cobertura de seguro	68.5%

As tendências de trabalho remotas afetam a distribuição de seguros e os modelos de atendimento ao cliente

Em 2023, 27% dos trabalhadores dos EUA operam em ambientes híbridos ou totalmente remotos.

Característica do trabalho remoto	Percentagem
Trabalhadores totalmente remotos	12.7%
Trabalhadores híbridos	14.3%

A consciência da saúde aumentada aumenta o interesse na cobertura abrangente de saúde

Os gastos com saúde nos Estados Unidos atingiram US $ 4,3 trilhões em 2021, representando 18,3% do PIB.

Métricas de saúde	Valor
Despesas anuais de saúde	US $ 4,3 trilhões
Taxa de cobertura de seguro de saúde	91.7%

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores tecnológicos

Transformação digital no processamento de reivindicações de seguros e interações com os clientes

O CNO Financial Group investiu US $ 42,3 milhões em tecnologias de transformação digital em 2023. A Companhia implementou um sistema abrangente de processamento de reivindicações digitais que reduziu o tempo de processamento em 37% e aumentou as pontuações de satisfação do cliente em 24%.

Investimento em tecnologia	Quantia	Impacto
Plataforma de reivindicações digitais	US $ 18,7 milhões	37% de processamento mais rápido
Atualização do portal do cliente	US $ 12,5 milhões	24% de satisfação aumenta
Desenvolvimento de aplicativos móveis	US $ 11,1 milhões	62% de crescimento de engajamento móvel

Análise de dados avançada para avaliação de riscos e ofertas de produtos

O CNO Financial Group implantou plataformas avançadas de análise preditiva, analisando 4,2 milhões de pontos de dados do cliente. A modelagem preditiva aprimorou a precisão da avaliação de risco em 42% e permitiu 28% mais recomendações de produtos de seguros personalizados.

Capacidade de análise	Pontos de dados analisados	Melhoria da precisão
Modelagem de risco preditiva	4,2 milhões	42%
Recomendações de produtos personalizados	3,8 milhões	28%

Investimentos de segurança cibernética

O CNO Financial Group alocou US $ 27,6 milhões à infraestrutura de segurança cibernética em 2023. O investimento cobriu sistemas avançados de detecção de ameaças, tecnologias de criptografia e programas abrangentes de treinamento de segurança para 2.100 funcionários.

Componente de segurança cibernética	Investimento	Cobertura
Sistemas de detecção de ameaças	US $ 12,3 milhões	Monitoramento em tempo real
Criptografia de dados	US $ 8,9 milhões	Proteção de 256 bits
Treinamento de segurança dos funcionários	US $ 6,4 milhões	2.100 funcionários

Inteligência artificial e aprendizado de máquina em subscrição

O CNO Financial Group implementou tecnologias de subscrição orientadas pela IA, reduzindo o tempo de processamento manual em 55% e melhorando a precisão da subscrição em 46%. Os algoritmos de aprendizado de máquina processam 3,6 milhões de perfis de risco anualmente.

Métrica de subscrição de IA	Desempenho	Ganho de eficiência
Processando Redução do tempo	55%	Fluxo de trabalho automatizado
Precisão de subscrição	46%	Avaliação de risco aprimorada
Perfis de risco processados	3,6 milhões	Volume anual

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores Legais

Requisitos rígidos de conformidade regulatória nos setores de seguros e serviços financeiros

O CNO Financial Group opera sob várias estruturas regulatórias com mandatos específicos de conformidade:

Órgão regulatório	Requisitos de conformidade	Custos anuais de conformidade
Sec	Padrões de relatórios financeiros	US $ 3,2 milhões
Comissários de Seguros Estaduais	Aprovação do produto e conduta de mercado	US $ 2,7 milhões
Naic	Padrões de capital baseados em risco	US $ 1,5 milhão

Litígios em andamento e possíveis desafios legais nas práticas de reivindicação de seguro

Casos legais ativos a partir de 2024:

• Disputas de reivindicação de seguro pendente: 17 casos
• Responsabilidade legal potencial total: US $ 12,3 milhões
• Tempo médio de resolução de litígios: 18 meses

Leis de proteção ao consumidor que regem a transparência do produto

Lei de Proteção	Requisito de conformidade	Penalidade por não conformidade
Lei Dodd-Frank	Divulgação completa dos termos do produto	Até US $ 1,5 milhão por violação
TCPA	Restrições de comunicação de marketing	Até US $ 500 por contato não autorizado

Regulamentos de seguro em nível estadual que afetam o design e o marketing do produto

Métricas de conformidade regulatória:

• Estados com operações de seguro ativo: 42
• Orçamento anual de conformidade regulatória estadual: US $ 4,6 milhões
• Pessoal de conformidade regulatória: 87 funcionários

CNO Financial Group, Inc. (CNO) - Análise de Pestle: Fatores Ambientais

Riscos de mudanças climáticas que afetam os modelos de avaliação de risco e preços do seguro

De acordo com o Painel Intergovernamental de Mudança Climática (IPCC), as perdas globais de seguros relacionadas ao clima atingiram US $ 140 bilhões em 2022. Os modelos de risco do CNO Financial Group incorporam essas tendências com fatores específicos de ajuste de risco climático.

Categoria de risco climático	Impacto financeiro potencial	Estratégia de mitigação de risco
Eventos climáticos extremos	US $ 42,5 milhões em potencial reivindicações anuais aumentam	Modelagem preditiva aprimorada
Aumento do nível do mar	US $ 18,3 milhões em exposição ao risco de propriedade costeira	Preços de seguro costeiro revisado
Variabilidade de temperatura	US $ 23,7 milhões de ajuste de seguro de saúde	Algoritmos de avaliação de risco dinâmico

Foco crescente em estratégias de investimento sustentável em produtos financeiros

O CNO Financial Group alocou US $ 675 milhões em carteiras de investimento alinhadas à ESG a partir do quarto trimestre 2023, representando 14,2% do total de ativos de investimento.

Categoria de investimento sustentável	Valor do investimento	Porcentagem de portfólio
Energia renovável	US $ 245 milhões	5.3%
Ligações verdes	US $ 187 milhões	4.1%
Infraestrutura sustentável	US $ 243 milhões	5.8%

Impacto potencial de eventos climáticos extremos em reivindicações de seguro e cobertura

A Administração Nacional Oceânica e Atmosférica (NOAA) registrou desastres climáticos de 28 bilhões de dólares em 2023, impactando diretamente os cálculos de risco de seguro da CNO.

Tipo de desastre	Impacto estimado de reivindicações	Concentração geográfica
Furacões	US $ 63,4 milhões	Costa do Golfo & Regiões sudeste
Incêndios florestais	US $ 41,2 milhões	Oeste dos Estados Unidos
Inundação	US $ 52,7 milhões	Centro -Oeste & Planícies do Sul

Iniciativas de sustentabilidade corporativa Melhorando a responsabilidade ambiental

O CNO Financial Group reduziu as emissões corporativas de carbono em 22,7% em 2023, com uma redução de 45% direcionada até 2030.

Iniciativa de Sustentabilidade	Realização atual	Alvo de 2030
Redução de emissões de carbono	22,7% de redução	Redução de 45%
Uso de energia renovável	37% da energia total	75% da energia total
Reciclagem de resíduos	68% de resíduos corporativos reciclados	90% de resíduos corporativos reciclados

CNO Financial Group, Inc. (CNO) - PESTLE Analysis: Social factors

The social factors influencing CNO Financial Group's (CNO) performance are overwhelmingly favorable, primarily driven by the aging US population and the company's deliberate focus on an underserved market segment. This demographic tailwind is a core strength, translating directly into sustained sales momentum for their key product lines.

Core strategy is securing the future of the underpenetrated middle-income America market.

CNO's entire business model is anchored on serving the middle-income American market-a demographic often overlooked by larger financial institutions. This target customer is defined as a household with an average income between $50,000 and $100,000 and investible assets typically ranging from $100,000 to $500,000. They need basic financial security products like life insurance and annuities but often require personal guidance to navigate complex decisions, especially around retirement and healthcare.

The company addresses this need with a hybrid distribution model that blends digital convenience with human interaction. Honestly, that face-to-face agent model, where someone sits at your kitchen table to explain Medicare Supplement insurance, is a key differentiator for this segment. It builds trust, which is defintely a non-negotiable for retirement planning.

Favorable demographic trends are driving sustained growth in Medicare Supplement and annuity products.

The massive wave of Baby Boomers aging into Medicare eligibility is the most significant social factor driving CNO's growth. This demographic shift provides a clear, structural demand for health and retirement products, which CNO is uniquely positioned to capture. The numbers from the 2025 fiscal year clearly show this momentum:

• Medicare Supplement New Annualized Premiums (NAP) jumped 24% in the first quarter of 2025 compared to the prior year.
• Annuity collected premiums surged 19% in the second quarter of 2025.
• Total Health NAP increased by 20% in the third quarter of 2025.

Here's the quick math: The demand for guaranteed income (annuities) and supplemental health coverage (Medicare Supplement) is rising faster than the general market because of this aging population. This sustained, profitable growth is a direct result of the social environment.

CNO Financial Group: Key Product Growth (2025 Fiscal Year)

Product Metric	Growth Rate (YoY)	Time Period
Medicare Supplement NAP	24%	Q1 2025
Annuity Collected Premiums	19%	Q2 2025
Total Health NAP	20%	Q3 2025
Client Assets in Brokerage and Advisory	28%	Q3 2025

The company employs 3,300 associates and over 11,400 agents (exclusive and independent partners).

The sheer scale of CNO's distribution network is a critical social asset. As of November 2025, the company employs approximately 3,300 full-time associates who handle product development and back-office operations.

The real market-facing power comes from the distribution force, which totaled over 11,400 agents nationwide as of November 2025. This high agent count is essential because the middle-income market prefers and requires in-person consultation for complex financial products. This massive, local footprint is a competitive advantage that directly impacts sales and customer retention.

• Full-Time Associates: Approximately 3,300
• Exclusive Agents: 4,900
• Independent Partner Agents: More than 6,500
• Total Agents: Over 11,400

Community focus includes an annual giving program and significant recent donations.

CNO's community involvement is a key part of its social license to operate, particularly its focus on health and financial wellness for its target demographic. The company's philanthropic efforts are substantial and tie directly to the needs of their customer base, which is smart business and good citizenship.

Their total community impact value for 2024 reached $2.7 million, supporting 88 community organizations. This impact includes corporate donations, associate giving, and volunteer hours. For example, in August 2025, CNO Financial Group and Bankers Life announced a contribution of more than $376,000 to the Alzheimer's Association, continuing a 23-year partnership. Also, CNO associates volunteered 8,750 hours in 2023 alone. That level of community engagement is a strong positive for their brand reputation among middle-income families.

CNO Financial Group, Inc. (CNO) - PESTLE Analysis: Technological factors

You're looking at CNO Financial Group, Inc. (CNO) and wondering where the real growth engine is, and honestly, it's buried in their technology spend. The company is making a decisive shift from legacy systems to a modern, digital-first infrastructure, and the near-term results are already clear in their sales efficiency.

This isn't just about keeping the lights on; it's a major capital allocation decision that directly impacts customer acquisition and agent productivity. They are moving fast to simplify the middle-income insurance buying experience, and that's a smart move in a market that demands speed.

A three-year, $170 million TechMod modernization program started in Q2 2025.

CNO is undertaking a massive, three-year technology modernization (TechMod) program, kicking off in Q2 2025. This initiative represents a total commitment of $170 million to overhaul core systems and digital capabilities, showing that the company views technology as a strategic asset, not just a cost center.

This investment is designed to create a leaner, more agile operating environment. Here's the quick math on the near-term capital commitment:

Investment Program	Total Commitment (3-Year)	2025 Allocation Focus
TechMod Modernization Program	$170 million	Core Systems & Digital Infrastructure
AI and Cloud Solutions	Part of TechMod	$60 million

The success of this $170 million program is defintely a key metric to watch, as it will determine CNO's ability to scale operations and reduce its expense ratio over the next three years.

$60 million is allocated in 2025 for investments in AI and cloud solutions.

Out of the larger modernization budget, a significant portion-$60 million-is specifically earmarked for Artificial Intelligence (AI) and cloud solutions in the 2025 fiscal year. This allocation is crucial because it focuses on process automation and data analytics, which are the primary drivers of efficiency in the insurance sector right now.

Moving to the cloud provides the scalability and flexibility needed to handle the significant data volume that AI models require. This investment is directly tied to improving underwriting accuracy, personalizing customer interactions, and reducing manual processing costs across the board.

Accelerated underwriting delivered an 89% instant decision rate on simplified life products in Q2 2025.

The impact of this digital focus is already visible in their underwriting performance. CNO's accelerated underwriting process-which uses data and algorithms to assess risk instantly-delivered an 89% instant decision rate on simplified life products in Q2 2025.

This is a powerful metric. It means nearly nine out of ten applicants for these products get an immediate answer, cutting the typical weeks-long process down to seconds. This speed dramatically improves the customer experience and boosts the closing rate for agents. It's a competitive advantage in the middle-income market where convenience is everything.

New customer relationship management (CRM) platform launched to boost agent productivity.

To complement the instant underwriting, CNO has rolled out a new customer relationship management (CRM) platform. This technology is the backbone for their agents, giving them a single, comprehensive view of the customer and streamlining the sales workflow.

The goal is simple: make the agent's job easier so they can sell more. The digital acceleration efforts, including the CRM rollout, contributed to a 39% year-over-year growth in web and digital channels in Q2 2025, showing that the investments are already translating into stronger distribution throughput. This platform is what enables the company to effectively manage its 4,800 exclusive agents and over 5,500 independent partner agents.

• Boost agent efficiency with streamlined data.
• Enhance throughput for life sales recovery.
• Drive digital-to-consumer (D2C) sales growth.

The immediate action here is monitoring the sales per agent metric for the next two quarters; that will be the true test of the CRM's return on investment.

CNO Financial Group, Inc. (CNO) - PESTLE Analysis: Legal factors

Estimated consolidated statutory Risk-Based Capital (RBC) ratio was 380% in Q3 2025.

The core legal and regulatory foundation for any insurer is its capital adequacy, which the National Association of Insurance Commissioners (NAIC) measures using the Risk-Based Capital (RBC) ratio. You need to know CNO Financial Group's position is strong, which gives them regulatory flexibility. The estimated consolidated statutory RBC ratio for CNO's U.S.-based insurance subsidiaries stood at a robust 380% as of September 30, 2025. This capital level is well above the typical regulatory action level of 200%, showing a significant buffer against unexpected losses and regulatory scrutiny. This strong capital position is crucial for maintaining favorable financial strength ratings, which directly impacts the company's ability to sell products and manage policyholder trust.

Here's the quick math: a 380% RBC means their total adjusted capital is nearly four times the minimum capital required by regulators. This is defintely a key indicator of financial stability in a highly regulated sector.

Executed a second reinsurance transaction with its Bermuda affiliate in October 2025.

CNO is actively using legal and regulatory arbitrage-in a compliant way-to optimize capital efficiency through its Bermuda-based captive reinsurer, CNO Bermuda Re. Effective October 1, 2025, the company executed a second major reinsurance transaction. This deal involved ceding approximately $1.8 billion of Supplemental Health U.S. statutory reserves from its Washington National Insurance Company, an Indiana-domiciled entity, to the Bermuda affiliate. It also commits to cede 50% of new Supplemental Health business going forward.

This legal structure is a powerful tool for capital management. The immediate financial impact is significant: management raised the excess holding-company cash flow guidance for the year to a range of $365 million to $385 million, a sharp increase from the previous range of $200 million to $250 million. This freed-up capital can be deployed for share repurchases, dividends, or strategic investments, all while remaining compliant with U.S. statutory requirements.

Governance structure includes specific board oversight for legal, regulatory, and cybersecurity risks.

The complexity of the financial and insurance regulatory environment, plus the rising threat of cyber-attacks, demands a highly structured governance framework. CNO's Board of Directors directly addresses this through its standing committees. The primary oversight for these critical areas falls under the Audit and Enterprise Risk Committee. Their charter requires regular oversight of the enterprise risk management (ERM) process, which specifically includes reviews of legal, regulatory, compliance, strategic, competitive, and other risks.

Cybersecurity is also integrated into this legal-regulatory framework. The company aligns its cybersecurity program with the National Institute of Standards and Technology's Cybersecurity Framework (NIST CSF), a recognized standard. Furthermore, the legal team is directly involved in risk mitigation by ensuring that specific protections, including confidentiality and security provisions, are included in contracts with critical third-party vendors.

Board Committee	Key Oversight Focus (Legal/Regulatory)
Audit and Enterprise Risk Committee	Enterprise Risk Management, including legal, regulatory, and compliance risks; Financial reporting and internal controls.
Investment Committee	Investment strategy, performance, and adherence to conservative compliance guidelines.
Governance and Nominating Committee	Corporate Governance Guidelines, Board composition, and ethical conduct.

The company maintains conservative compliance guidelines in its investment strategy.

For an insurance company, the investment portfolio is the engine that funds long-term policyholder obligations, making its compliance with regulatory guidelines paramount. CNO's strategy is explicitly anchored by what they term 'Conservative compliance guidelines' as part of their integrated Asset/Liability Management (ALM) discipline. This focus translates into a high-quality portfolio, where approximately 97% of the general account is classified as Investment Grade (I.G.).

Beyond traditional credit risk, their Responsible Investment Policy, which aligns with the Principles for Responsible Investment (PRI) since 2020, formally integrates Environmental, Social, and Governance (ESG) considerations. This is a forward-looking compliance move to mitigate future legal and reputational risks. Specifically, they evaluate investment-related risks associated with:

• Compliance, governance, oversight, and cybersecurity at the issuer level.
• Exposure to ethical scandals, corruption, or integrity concerns.
• Prospective liabilities from environmental impacts, like penalties or litigation.

This dual focus-high credit quality and proactive ESG compliance-helps shield the balance sheet from unexpected regulatory or litigation costs, which is smart business.

CNO Financial Group, Inc. (CNO) - PESTLE Analysis: Environmental factors

The environmental (E) factors for CNO Financial Group, Inc. are less about direct industrial pollution and more about climate-related financial risk (transition risk) and operational efficiency. As a financial services firm, CNO's most material environmental impact comes from its massive investment portfolio, but its operational achievements are also noteworthy. The firm is positioned in the top quartile of its domestic life insurance peers based on sustainability ratings, confirming its progress.

Achieved the goal to reduce greenhouse gas (GHG) emissions by $\mathbf{25\%}$ eight years early

CNO has already hit and surpassed its primary operational climate target, demonstrating a strong commitment to efficiency and a hybrid work model. The company's 2020 goal was to reduce its Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 25% on an absolute basis by 2030, using 2019 levels as a baseline.

Here's the quick math: CNO successfully achieved this target in 2022, reducing its GHG emissions by 27%-a full eight years ahead of the original 2030 schedule. This early success, plus significant changes to their real estate footprint in 2023 and 2024, including moving their corporate headquarters to a newer, more energy-efficient space, means they are now working to establish a new, more ambitious GHG emission reduction goal in 2024. That's a clear signal of continued environmental focus.

Funded $\mathbf{\$300}$ million in impact investments supporting United Nations Sustainable Development Goals

The company views its investment strategy as a key lever for environmental and social impact. CNO's investment manager, 40|86 Advisors, Inc., actively manages this strategy. The firm has funded \$300 million in impact investments that align with the United Nations Sustainable Development Goals (UN SDGs).

This is a material commitment, especially since the Responsible Investment Policy earmarks \$100 million per year for new impact investments. These investments are channeled into areas that directly address environmental issues and community well-being, such as municipal bonds, green/sustainable bonds, and impact funds focusing on:

• Affordable and clean energy.
• Sustainable cities and communities.
• Climate action and health.

Adopted the TCFD (Task Force on Climate-related Financial Disclosures) reporting framework

CNO has adopted the TCFD framework, which is a crucial step for managing climate risk (physical and transition risk) in a financial institution. This adoption, which began in 2021, means the company systematically identifies, assesses, and manages climate-related risks and opportunities across its business, strategy, and financial planning.

The management of climate risk is integrated directly into the Enterprise Risk Management (ERM) framework, ensuring the Board and its committees are regularly updated on progress and risks. This governance focus is recognized externally; in May 2024, CNO's MSCI ESG rating was upgraded from A to AA, placing it as a leader in its peer group for governance and responsible investment practices. That's a defintely strong signal to the market.

Internal operations focus on reducing paper consumption and monitoring investment portfolio GHG emissions

Beyond the corporate-level GHG reduction, CNO focuses on granular, day-to-day operational efficiency, primarily through paper reduction and digitalization. This shift mitigates environmental impact and drives down administrative costs, which is a win-win.

The focus on paper reduction has delivered substantial results, mostly through encouraging policyholders and shareholders to 'go paperless' and digitizing internal processes. Plus, the company has an explicit strategy to monitor the carbon footprint of its investment portfolio, which was approximately \$29 billion in invested assets as of December 31, 2024, using third-party vendor data.

Here is a snapshot of CNO's operational efficiency metrics:

Metric	2023 Performance (Most Recent Data)	Change from 2016 Baseline
Overall Paper Usage Reduction	Reduced by nearly 60%	-60%
Printed Pages per Associate (Annual)	2.6 thousand sheets	-59% (from 6.4k sheets)
Insurance Applications Submitted Electronically	73% of total applications	Significant digital adoption
Vendor Contracts Signed Electronically (2023)	Nearly 99%	Saved approximately 961,000 sheets of paper in 2023