Revenue and Premiums - Premium revenues increased by 1.3% and 0.2% for the three and nine months ended September 30, 2022, respectively, primarily due to higher property insurance premiums [134]. - Total revenues decreased to $56.2 million for the three months ended September 30, 2022, compared to $61.6 million in the same period in 2021 [167]. - Total premium revenue increased by 9.4% to $12,179 thousand in Q3 2022 compared to Q3 2021, and by 3.4% to $37,002 thousand for the nine months ended September 30, 2022 compared to the same period in 2021 [207]. - Life insurance premiums decreased by 1.9% for the three months ended September 30, 2022, and by 1.1% for the nine months ended September 30, 2022 [168][169]. - Premiums in the Life Insurance segment decreased by 1.6% and 1.0% for the three and nine months ended September 30, 2022, respectively, compared to the same periods in 2021 [193]. Investment Income and Assets - Net investment income rose by $1.2 million, or 7.4%, for the three months ended September 30, 2022, driven by a higher average portfolio yield and a growing invested asset base [149]. - Net investment income increased by 7.9% for the three months ended September 30, 2022, totaling $16.6 million compared to $15.5 million in the same period in 2021 [171]. - The company's cash and invested assets totaled $1.3 billion as of September 30, 2022, with 86.9% invested in fixed maturity securities [212]. - The carrying value of fixed maturity securities decreased to $1.2 billion as of September 30, 2022 from $1.5 billion at December 31, 2021, reflecting interest rate sensitivity [216]. - Fixed maturity investments comprised 86.9% of the investment portfolio based on carrying value as of September 30, 2022 [251]. Claims and Benefits - Total claims and surrenders decreased to $30.7 million for the three months ended September 30, 2022, down from $31.8 million in the same period in 2021 [177]. - Death claims decreased in both the three and nine months ending September 30, 2022, compared to the prior year periods, largely due to a reduction in COVID-19 related deaths [141]. - Death claim benefits decreased by 29.8% in Q3 2022 and by 14.5% for the nine months ended September 30, 2022 compared to the same periods in 2021, attributed to a lower volume of reported claims [209]. - Claims and surrender benefits decreased by 29.8% to $5,987 thousand in Q3 2022 and by 17.0% to $18,492 thousand for the nine months ended September 30, 2022 compared to the same periods in 2021, primarily due to lower reported claims [209]. - Total claims and surrenders in the Life Insurance segment were $24.7 million for the three months and $67.8 million for the nine months ended September 30, 2022, compared to $22.6 million and $69.4 million in the same periods of 2021 [202]. Financial Performance - The company experienced net losses of $5.1 million and $10.0 million for the three and nine months ended September 30, 2022, respectively, compared to net losses of $2.8 million and $1.4 million in the prior year periods [146]. - Life Insurance segment reported a net loss of $2.9 million and $4.3 million for the three and nine months ended September 30, 2022, compared to net income of $1.7 million and $8.7 million in the prior year periods [189]. - The company reported a loss before federal income tax expense of $(656) thousand in Q3 2022, an improvement from a loss of $(4,099) thousand in Q3 2021 [207]. - The Home Service Insurance segment's net loss before federal income tax expense decreased by $3.4 million and $2.5 million for the three and nine months ended September 30, 2022, respectively, compared to the prior year periods [205]. Reserves and Expenses - Total benefits and expenses decreased by $3.3 million for the three months ended September 30, 2022, primarily due to a $5.2 million decrease in insurance benefits paid [152]. - Future policy benefit reserves decreased by 34.9% for the three months ended September 30, 2022, due to the impact of matured endowments [182]. - General expenses increased due to home office expenses and convention costs, which were not incurred in 2021 due to the COVID-19 pandemic [204]. - Amortization of deferred policy acquisition costs increased for the three and nine months ended September 30, 2022, influenced by changes in persistency and higher surrenders [210]. Market and Economic Conditions - The overall impact of the COVID-19 pandemic on the company's financial results remains uncertain, with potential future claims and revenue disruptions [159]. - The company anticipates potential higher surrenders and lapses in the coming months due to inflation and rising costs affecting policyholders [156]. - The interest rate of the ten-year U.S. Treasury bond increased to 3.83% at September 30, 2022, up from 1.52% at December 31, 2021, significantly impacting the fair values of fixed maturity securities [251]. - CICA International fell below the required long-term business minimum solvency margin due to rising interest rates, with unrealized losses reported at $213.7 million as of September 30, 2022, compared to unrealized gains of $126.9 million at December 31, 2021 [246][251].

Revenue and Income - Premium revenue decreased by 1.4% to $42.2 million in Q2 2022, primarily due to lower renewal premiums, partially offset by increased first-year premiums in the Life Insurance segment [129]. - Total revenues decreased to $53.7 million for the three months ended June 30, 2022, from $63.6 million in the same period of 2021, and to $109.1 million for the six months ended June 30, 2022, from $119.0 million in 2021 [162]. - Total premium income decreased by $0.6 million (1.4%) and $0.3 million (0.3%) for the three and six months ended June 30, 2022, respectively, compared to the same periods in 2021 [164]. - The company reported a net loss of $3.5 million in Q2 2022, compared to a net income of $5.0 million in the same period of 2021, largely due to investment-related losses of $5.0 million [142]. - Total income (loss) before federal income tax expense for the company was a loss of $3.6 million for the three months ended June 30, 2022, compared to income of $5.6 million in the same period of 2021 [184]. Investment Performance - Net investment income increased by $0.6 million, or 3.7%, in Q2 2022, driven by a growing asset base and positive returns from private equity investments [145]. - Net investment income increased by 4.9% to $15.9 million for the three months ended June 30, 2022, and by 2.8% to $31.4 million for the six months ended June 30, 2022, compared to the same periods in 2021 [167]. - A pre-tax net unrealized loss of $125.4 million on available-for-sale securities was reported at June 30, 2022, compared to net unrealized gains of $126.9 million at December 31, 2021 [151]. - The carrying value of fixed maturity securities decreased to $1.24 billion as of June 30, 2022, from $1.47 billion at December 31, 2021, reflecting interest rate sensitivity [211]. - Net unrealized losses on fixed maturity securities totaled $125.4 million at June 30, 2022, compared to gains of $126.9 million at December 31, 2021 [243]. Claims and Benefits - Death claims decreased in both Q2 2022 and the first half of 2022 compared to the prior year, attributed to lower reported claims and retention initiatives [136]. - Total benefits and expenses decreased by $0.6 million in Q2 2022, primarily due to a $2.2 million decrease in claims and surrenders benefits [147]. - Claims and surrenders decreased by 7.5% to $27.1 million for the three months ended June 30, 2022, and by 7.3% to $55.5 million for the six months ended June 30, 2022, compared to the same periods in 2021 [171]. - Surrender benefits decreased by 14.2% and 9.4% for the three and six months ended June 30, 2022, respectively, compared to the same periods in 2021 [176]. - Death claim benefits decreased by 7.3% to $4.35 million in Q2 2022 compared to $4.70 million in Q2 2021, and by 5.2% to $10.38 million for the six months ended June 30, 2022 compared to $10.95 million in the same period of 2021 [205]. Operational Efficiency - Operating expenses decreased in both Q2 2022 and the first half of 2022 compared to the same periods in 2021 [139]. - Other general expenses decreased by 9.6% and 6.4% for the three and six months ended June 30, 2022, respectively, compared to the same periods in 2021 [178]. - The company continues to transform its business mix by introducing new products that are lower cost to policyholders compared to legacy products [203]. Insurance Segment Performance - Total insurance issued increased by 28.7% to $268.5 million for the six months ended June 30, 2022, compared to $208.7 million in the same period of 2021 [158]. - The Life Insurance segment's growth was driven by a new international whole life product, which accounted for 45% of total insurance issued in this segment [159]. - Life Insurance segment reported a net loss of $2.4 million for the three months ended June 30, 2022, compared to a net income of $7.1 million in the prior year period, primarily due to investment-related losses of $4.0 million [185]. - Total revenues for the Life Insurance segment decreased to $38.8 million for the three months ended June 30, 2022, down 17.7% from $47.2 million in the same period of 2021 [188]. - Claims and surrender benefits in the Life Insurance segment decreased by 17.0% to $21.6 million for the three months ended June 30, 2022, compared to $23.5 million in the same period of 2021 [198]. Cash Flow and Financial Position - The company's cash and invested assets were $1.4 billion as of June 30, 2022, with 87.4% invested in fixed maturity securities [208]. - In the six months ended June 30, 2022, the company generated $22,300,000 in net cash from operations [231]. - Net cash used in investing activities totaled $27,900,000 for the same period, with $64,700,000 invested in fixed maturity securities [232]. - Cash provided by financing activities was $700,000, primarily from the issuance of shares under the Stock Investment Plan [233]. - Cash and cash equivalents decreased to $22,407,000 as of June 30, 2022, from $27,294,000 at the end of 2021 [225]. Risk and Uncertainties - The impact of the COVID-19 pandemic remains uncertain, with potential future claims and revenue disruptions still being monitored [153]. - The company anticipates potential higher surrenders and lapses due to inflation and rising costs affecting policyholders' cash conservation [152]. - Death claims decreased to pre-pandemic levels during the first six months of 2022, following high claims in 2021 due to COVID-19 [237]. - As of June 30, 2022, domestic insurance subsidiaries maintained risk-based capital (RBC) levels above the required minimum, with a parental guarantee ensuring RBC levels above 350% [239].

Revenue and Premiums - Total premium revenue increased by $0.3 million, or 0.9%, for the three months ended March 31, 2022, compared to the same period in 2021, driven by higher renewal premiums in both segments [138]. - Total insurance issued increased by 2.5% from $94.99 million in the first three months of 2021 to $97.35 million in 2022, primarily driven by the Home Service Insurance segment [133]. - Premium revenue in the Home Service Insurance segment increased by 3.9% to $12.433 million in Q1 2022 compared to $11.969 million in Q1 2021, driven by higher renewal year premiums [173]. - Total revenues for the Life Insurance segment increased slightly to $39,697,000 in Q1 2022 from $39,466,000 in Q1 2021 [161]. - Total revenues for the Home Service Insurance segment slightly decreased to $15.435 million in Q1 2022 from $15.539 million in Q1 2021 [173]. Investment Performance - Total investments amounted to $1.5 billion, with fixed maturity securities comprising 89.6% of total investments as of March 31, 2022 [127]. - Net investment income increased by $0.2 million from the 2021 period to $15.487 million in the 2022 period, attributed to a growing asset base and positive returns from middle market private equity investments [122]. - The average annualized yield on average invested assets was 4.20% for the three months ended March 31, 2022, slightly down from 4.21% in the prior year [140]. - Annualized net investment income increased to $47,883,000 in Q1 2022 from $46,393,000 in Q1 2021, with an annualized yield of 4.22% [166]. - The carrying value of fixed maturity securities decreased to $1.355 billion as of March 31, 2022, from $1.471 billion at December 31, 2021, reflecting interest rate sensitivity [181]. Claims and Benefits - Death claims decreased in the first quarter of 2022 compared to the same period in 2021, contributing to a net loss reduction of $2.2 million, from $3.6 million to $1.3 million [128]. - Total insurance benefits paid or provided decreased to $36,356,000 in Q1 2022 from $37,127,000 in Q1 2021, a decline of 2.1% [145]. - Death claim benefits decreased by 21.5% to $7,017,000 in Q1 2022 compared to $8,940,000 in Q1 2021, with Life Insurance segment claims down 63.1% [148]. - Surrender benefits decreased by 4.3% to $12,259,000 in Q1 2022 from $12,807,000 in Q1 2021 [149]. - Total claims and surrenders in Q1 2022 amounted to $28,434,000, down from $30,589,000 in Q1 2021, a decrease of 7.0% [148]. Expenses and Management - Operating expenses decreased by $0.4 million in 2022 compared to 2021, reflecting improved cost management [126]. - Total benefits and expenses in the Home Service Insurance segment increased to $16.675 million in Q1 2022 from $16.297 million in Q1 2021 [173]. - The loss before federal income tax expense in the Home Service Insurance segment increased to $1.240 million in Q1 2022 from a loss of $0.758 million in Q1 2021 [173]. Financial Position - Total stockholders' equity stood at $0.2 billion as of March 31, 2022, with no debt reported [127]. - The company’s cash and invested assets totaled $1.533 billion as of March 31, 2022, with 88.4% invested in fixed maturity securities [178]. - Cash and cash equivalents decreased to $21.298 million as of March 31, 2022, from $27.294 million at December 31, 2021, primarily due to reinvestment in higher interest rate securities [182]. - The company anticipates meeting its short-term and long-term cash needs through cash generated by its insurance operations and invested assets [194]. Market and Economic Conditions - The company continues to monitor the impact of the COVID-19 pandemic on its operations, with uncertainties regarding future claims and premium revenues [130]. - Death claims have decreased to normal levels in 2022 after being high in 2021 due to COVID-19 [204]. - The interest rate of the ten-year U.S. Treasury bond increased to 2.32% at March 31, 2022, from 1.52% at December 31, 2021 [211]. Capital and Liquidity - The company has a Credit Facility with Regions Bank, which provides additional liquidity for short-term and long-term needs, although no funds have been drawn as of March 31, 2022 [197]. - For the three months ended March 31, 2022, the company generated $12.1 million in net cash from operations [199]. - Net cash used in investing activities totaled $19.8 million for the three months ended March 31, 2022 [200]. - Cash provided by financing activities was $1.7 million during the same period, primarily from the issuance of shares under the SIP [201].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 COMMISSION FILE NUMBER: 000-16509 CITIZENS, INC. (Exact name of registrant as specified in its charter) Colorado 84-0755371 (State or other jurisdiction of incorporation or organization) (I.R.S. employer id ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to COMMISSION FILE NUMBER: 000-16509 CITIZENS, INC. (Exact name of registrant as specified in its charter) Colorado 84-0755371 (State or other jurisdiction of incorp ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to COMMISSION FILE NUMBER: 000-16509 CITIZENS, INC. (Exact name of registrant as specified in its charter) Colorado 84-0755371 (State or other jurisdiction of incorporati ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to COMMISSION FILE NUMBER: 000-16509 CITIZENS, INC. (Exact name of registrant as specified in its charter) Colorado 84-0755371 (State or other jurisdiction of incorporat ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 COMMISSION FILE NUMBER: 000-16509 CITIZENS, INC. (Exact name of registrant as specified in its charter) Colorado 84-0755371 (State or other jurisdiction of incorporation or organization) (I.R.S. employer id ...

Financial Performance - Citizens, Inc. reported a net loss of $7.9 million for the three months ended September 30, 2020, compared to a net income of $2.0 million in the prior year period, reflecting a decline in earnings per share by $0.20[143]. - Total revenues for the nine months ended September 30, 2020, were $173.888 million, a decrease of 3.8% compared to $180.739 million for the same period in 2019[161]. - The company reported a loss before federal income tax expense of $1,026,000 for the three months ended September 30, 2020, compared to income of $927,000 in the same period of 2019[211]. Insurance Premiums and Claims - Insurance premiums for the three months ended September 30, 2020, declined by 4.1% to $44.1 million from $46.0 million in the same period in 2019, primarily due to a 34.1% decrease in first year premiums in the Life Insurance segment[149]. - Claims and surrenders expense increased by 14.6% for the three months ended September 30, 2020, driven by higher claims in the Home Service Insurance segment and an increase in surrendered policies in the Life Insurance segment[150]. - Total claims and surrenders amounted to $32,958,000 for the three months ended September 30, 2020, compared to $28,751,000 for the same period in 2019, marking a 14.3% increase[169]. Marketing and Business Strategy - Citizens, Inc. plans to expand its Life Insurance segment into the Hispanic U.S. market in 2021, leveraging its experience in Latin America and ability to conduct transactions in Spanish and Portuguese[137]. - A new marketing campaign in the Life Insurance segment led to a 39% increase in premiums in the third quarter compared to the second quarter of 2020[139]. - The company is focusing on countermeasures to mitigate the impact of the COVID-19 pandemic on premiums, including sales promotions and virtual selling[193]. Investment Income and Assets - Net investment income remained stable at $15.0 million for the three months ended September 30, 2020, and increased to $45.1 million for the nine months ended September 30, 2020, compared to $44.2 million in the same period in 2019[149]. - The carrying value of total cash and invested assets as of September 30, 2020, was $1,614,192,000, an increase from $1,526,459,000 as of December 31, 2019[228]. - The company recorded no credit valuation losses on fixed maturity securities for the three and nine months ended September 30, 2020[242]. COVID-19 Impact - The COVID-19 pandemic has negatively impacted product sales and claims expenses, with ongoing monitoring of its effects on future results and business operations[148]. - Increased death claims were reported in the Home Service Insurance segment during Q3 2020 compared to the same period in 2019, potentially impacting liquidity due to higher payouts[255]. - The company is closely monitoring the impact of the COVID-19 pandemic on liquidity and capital resources, with potential negative impacts on sales and investment income[248]. Operational Changes - The company reorganized its Home Service Insurance distribution system, transitioning from employee agents to independent agents effective August 2020[138]. - Citizens, Inc. is focused on operational improvements, including updated underwriting processes and expanded alternative payment methods for its Home Service Insurance segment[140]. - Future policy benefit reserves decreased by 35.1% and 22.4% for the three and nine months ended September 30, 2020, respectively, compared to the same periods in 2019[152]. Policy and Product Changes - The number of policies issued in the Life Insurance segment decreased by 12.1% for the nine months ended September 30, 2020, while new business applications increased by 23% in Q3 compared to Q2 2020[154]. - The Company plans to resume selling domestic ordinary whole life and endowment life insurance products in the U.S. in 2021 after discontinuing new sales in 2017[190]. - Home Service Insurance segment saw a 17.2% increase in the number of policies issued for the nine months ended September 30, 2020, compared to the same period in 2019[156]. Expenses and Financial Ratios - General expenses increased by 68.2% and 11.7% for the three and nine months ended September 30, 2020, respectively, compared to the same periods in 2019[152]. - The annualized yield on average invested assets decreased to 4.26% as of September 30, 2020, compared to 4.34% for the same period in 2019[163]. - Commissions decreased by 13.1% and 11.4% for the three and nine months ended September 30, 2020, respectively, due to lower new product sales[173].

Revenue and Income - Total revenues for the three months ended June 30, 2020, were $58,341,000, an increase from $56,866,000 in the same period of 2019, representing a growth of 2.6%[31] - Net income for the six months ended June 30, 2020, was a loss of $4,611,000, compared to a loss of $8,367,000 in the same period of 2019, indicating an improvement of 45.5%[31] - The company reported a total comprehensive income of $73,620,000 for the three months ended June 30, 2020, compared to $24,411,000 in the same period of 2019, an increase of 201.0%[31] - Total revenue for the three months ended June 30, 2020, was $58.341 million, with Life Insurance contributing $42.280 million and Home Service Insurance contributing $15.614 million[65] - For the six months ended June 30, 2020, total revenue reached $114.063 million, with Life Insurance at $84.838 million and Home Service Insurance at $28.745 million[66] - The Company reported net investment income of $30.084 million for the six months ended June 30, 2020, with Life Insurance contributing $22.825 million and Home Service Insurance contributing $6.588 million[66] - The company reported a net loss of $1,027,000 for the three months ended June 30, 2020, compared to a net loss of $4,565,000 for the same period in 2019[75] - Basic and diluted loss per share of Class A common stock was $(0.02) for the three months ended June 30, 2020, an improvement from $(0.09) in the same period of 2019[73] Assets and Liabilities - Total assets increased to $1,812,936,000 as of June 30, 2020, compared to $1,744,936,000 at the end of 2019, reflecting a growth of 3.9%[27] - The company’s total liabilities increased to $1,523,143,000 as of June 30, 2020, compared to $1,485,100,000 at the end of 2019, an increase of 2.6%[30] - Total policy liabilities rose to $1,416,574,000 as of June 30, 2020, from $1,394,732,000 at the end of 2019, an increase of 1.6%[30] - The company’s stockholders' equity increased to $289,793,000 as of June 30, 2020, from $259,836,000 at the end of 2019, reflecting an increase of 11.5%[30] - Total cash and invested assets as of June 30, 2020, amounted to $1,586,584,000, with fixed maturity securities making up 89.2% of this total[81] Investment Performance - Unrealized gains on fixed maturity securities for the three months ended June 30, 2020, were $80,421,000, compared to $31,139,000 in 2019, a significant increase of 158.0%[31] - The company recognized unrealized investment gains of $74,647,000 for the three months ended March 31, 2020, compared to unrealized losses of $40,070,000 in the previous quarter[36] - The company recognized realized investment gains of $1.448 million for the three months ended June 30, 2020[65] - The company reported gross realized gains of $123,000 and gross realized losses of $19,000 for the three months ended June 30, 2020[106] - The company does not intend to sell investments in unrealized loss positions, indicating a long-term holding strategy[102] Insurance Operations - Life insurance premiums decreased to $40,185,000 for the three months ended June 30, 2020, down from $42,313,000 in 2019, a decline of 5.0%[31] - Insurance benefits paid or provided totaled $74.472 million for the six months ended June 30, 2020, with claims and surrenders amounting to $54.203 million[66] - Claims in the Home Service Insurance segment increased by 32% in Q2 2020 compared to the same period in 2019, attributed to the demographics of policyholders and the impact of COVID-19[170] - Death claims increased by 18.6% in Q2 2020 compared to Q2 2019, reflecting socioeconomic impacts related to COVID-19[198] - The Life Insurance segment reported premiums of $30.062 million for the three months ended June 30, 2020, while Home Service Insurance reported $11.434 million[65] Operational Changes and Challenges - The company implemented virtual sales training and adopted new practices to serve customers remotely, including new payment methods[175] - The company continues to monitor the impact of the COVID-19 pandemic and may implement additional operational changes as necessary[185] - The company began operating its Home Service Insurance segment through independent agents starting August 2020, transitioning from employee agents[164] - The company experienced a decline in net investment income during Q2 2020 due to historically low treasury yields amid the COVID-19 pandemic[171] Tax and Regulatory Matters - Federal income tax expense for the six months ended June 30, 2020, was $2,814,000, compared to $7,052,000 for the same period in 2019[140] - The estimated liability related to tax withholding and information reporting failures was approximately $10.0 million as of June 30, 2020, with a range of $7.4 million to $52.5 million[133] - The effective tax rate for the six months ended June 30, 2020, was significantly impacted by prior year gains, resulting in rates of (156.7)%[204] Future Outlook - The company is focused on growth initiatives and building new capabilities to create business opportunities aligned with its essential purpose[166] - The company has maintained discussions with the Bermuda Monetary Authority regarding its capital requirements and financial performance[80]