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 ...

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, 2020 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 ...

DRAFT 6 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, 2020 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 inc ...

Financial Performance - Citizens, Inc. reported a net loss of $3.6 million for Q1 2020, an improvement from a net loss of $3.8 million in the same period last year, resulting in a $0.01 per share improvement [127]. - Total revenues decreased by 11% year-over-year to $55.7 million in Q1 2020, primarily due to realized investment losses compared to a one-time gain in the prior year [127]. - Total revenues for the three months ended March 31, 2020, were $55,722,000, a decrease of 10.5% compared to $62,406,000 for the same period in 2019 [132]. - Total revenue for Q1 2020 was $42,558 thousand, down from $46,723 thousand in Q1 2019, reflecting a decrease in premiums and realized investment gains [162]. - Total benefits and expenses for Q1 2020 were $57,957,000, a decrease of 4.8% from $60,398,000 in Q1 2019 [139]. Insurance Premiums and Claims - Insurance premiums declined by 2.7% in Q1 2020, totaling $41.3 million, with first-year premiums in the Life Insurance segment increasing by 19.4% [127]. - Life insurance premiums decreased by 2.5% to $39,946,000 in Q1 2020 from $40,980,000 in Q1 2019, while first-year premiums in the Life Insurance segment increased by 19.4% [132]. - Claims and surrenders expense increased by 14.8% in Q1 2020, primarily due to higher surrender benefits and matured endowments in the Life Insurance segment [127]. - Claims and surrenders increased by 15.5% to $26,449,000 in Q1 2020 compared to $23,033,000 in Q1 2019 [141]. - Claims and surrenders increased by 17.4% in Q1 2020, totaling $20,160 thousand compared to $17,162 thousand in Q1 2019, with a notable 27.4% rise in surrender benefits [169]. Investment Income and Performance - Net investment income increased by 10.0% year-over-year to $15.2 million, driven by a growing asset base and improved cash management [127]. - Net investment income for the first quarter of 2020 was $15,169,000, an increase of 9.9% from $13,796,000 in Q1 2019 [134]. - Net investment income for Q1 2020 was $11,480 thousand, an increase from $10,169 thousand in Q1 2019, attributed to growth in average invested assets [162]. - The average yield on the consolidated portfolio was an annualized rate of 4.31% for Q1 2020, compared to 4.08% in the same period of 2019 [127]. - The annualized yield on average invested assets was 4.31% for Q1 2020, compared to 4.08% for the same period in 2019 [134]. - The annualized yield on average invested assets improved to 4.48% in Q1 2020 from 4.36% in Q1 2019 [185]. Asset Management and Securities - Citizens, Inc. had approximately $1.7 billion in assets and $4.7 billion in direct insurance in force as of March 31, 2020 [120]. - The total carrying value of the company's securities was $1,356,244, a decrease of 1.5% from $1,377,959 as of December 31, 2019 [199]. - The company held 37.0% of its securities rated AA, down from 37.2% in the previous period, while AAA rated securities decreased from 4.1% to 3.5% [199]. - The total fair value of municipal fixed maturity securities was $503,295, with 54.5% rated AA and 31.0% rated A [204]. - The investment portfolio consists of 92.7% marketable fixed maturity securities classified as available-for-sale, with a significant portion maturing in the next several years [210]. Operational and Strategic Initiatives - General expenses decreased by 18.8% in Q1 2020, reflecting the execution of strategic cost-saving initiatives [127]. - The company expects to maintain sufficient liquidity to meet its operational needs despite potential impacts from the COVID-19 pandemic [208]. - The company closely monitors credit ratings for potential downgrades due to the COVID-19 pandemic [200]. - The company has not experienced increased surrenders due to the COVID-19 pandemic, but continues to monitor early withdrawals [211]. Tax and Compliance - The effective tax rate for Q1 2020 was (60.3)%, significantly lower than 289.3% for the same period in 2019, influenced by prior gains [145]. - As of March 31, 2020, the company established a liability of $10.0 million for probable liabilities and expenses related to a tax compliance matter [213].

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, 2019 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 identification no.) 14231 Tandem Blvd, 2nd Floor; Austin, Texas 78728 (Address of principal execut ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2019 OR o 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 x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2019 OR o 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 | --- | --- | |------------------------------------------------------------------------------|--------------------------------------- ...

Insurance Premiums and Revenue - Insurance premiums for Q1 2019 totaled $42.5 million, a decrease of 3.6% from $44.0 million in Q1 2018, primarily due to fewer first year and renewal premiums in the Life Insurance segment [149]. - Premium revenue decreased by 4.5% to $30,914,000 for the three months ended March 31, 2019, compared to $32,360,000 in the same period in 2018, primarily due to a decline in first year and renewal international business [192]. - Direct premiums from the top five premium-producing countries in the international life insurance business totaled $29.726 million for the three months ended March 31, 2019, down from $31.240 million in 2018 [184]. - Direct premiums from Venezuela have declined due to ongoing political and economic instability, impacting overall premium collections [185]. - Home Service Insurance premiums slightly decreased to $11,550,000 for the three months ended March 31, 2019, compared to $11,669,000 in the same period in 2018 [216]. - Total revenue increased to $46,723,000 for the three months ended March 31, 2019, from $42,514,000 in the same period in 2018 [192]. Investment Income and Gains - Net investment income for Q1 2019 was $13.8 million, relatively flat compared to $13.8 million in Q1 2018, with an annualized yield of 4.08%, down from 4.31% in the same period last year [149][159]. - Investment income from debt securities accounted for approximately 87.5% of total investment income for Q1 2019 [162]. - Realized investment gains for the three months ended March 31, 2019, were $5.5 million from the sale of the former corporate headquarters, while realized losses were $104,000 related to fixed maturity securities [164]. - Net investment income increased to $10,169,000 for the three months ended March 31, 2019, compared to $10,130,000 in the same period in 2018, driven by growth in average invested assets [192]. - Realized investment gains were $5,457,000 for the three months ended March 31, 2019, compared to a loss of $185,000 in the same period in 2018, mainly due to the sale of the former corporate headquarters [192][198]. Claims and Expenses - Claims and surrenders expense increased by 8.9% in Q1 2019 compared to Q1 2018, driven by higher surrender benefits and matured endowments in the Life Insurance segment [149]. - Total claims and surrenders increased to $17,162,000 for the three months ended March 31, 2019, compared to $15,291,000 in the same period in 2018, with death claims rising to $1,848,000 [201]. - Death claims increased by 4.9% for the three months ended March 31, 2019, compared to the same period in 2018, while surrenders increased by 6.3% [167]. - Commissions for the three months ended March 31, 2019, were $7.884 million, down from $8.959 million in the same period of 2018 [166]. - Other general expenses increased significantly to $14.132 million for the three months ended March 31, 2019, compared to $6.507 million in the same period of 2018 [171]. Financial Position and Capital - The company maintains a risk-based capital level above 350% to comply with regulatory requirements [258]. - All U.S. insurance subsidiaries were above the RBC minimums as of March 31, 2019, with CICA Ltd. holding capital in excess of the BSCR requirements [261]. - The total fixed maturities portfolio had an amortized cost of $1,259.4 million and a fair value of $1,295.5 million, resulting in net unrealized gains of $36.2 million as of March 31, 2019 [269]. - The liquidity is primarily supported by funds from operations, with 92.1% of investments in marketable debt securities classified as available-for-sale [250]. - The company anticipates that available liquidity sources will be adequate to meet future cash flow needs [252]. Operational Changes and Strategy - The company is focusing on strategic modernization of its technology systems and operations, including a potential restructuring of its international business [146]. - The company aims to optimize its investment portfolio strategy as part of its ongoing assessment of business models and strategies [146]. - The company has established an estimated liability of $10.0 million related to a tax compliance matter as of March 31, 2019 [255]. - The company performs periodic projections of asset and liability cash flows to manage interest rate risk [271]. Market and Economic Conditions - The interest rate of the ten-year U.S. Treasury bond decreased to 2.41% during the three months ended March 31, 2019, down from 2.69% at December 31, 2018 [272]. - The annualized yield on average invested assets decreased to 4.05% as of March 31, 2019, down from 4.32% in the same period in 2018 [197]. - The percentage of total carrying value for corporate securities rose to 31.5% from 27.5% year-over-year [231].