Core Insights - Aflac Incorporated (AFL) has partnered with Ethos to modernize insurance distribution by offering supplemental health products through a fully digital platform, starting with cancer insurance [1][9] Group 1: Partnership and Product Offering - The collaboration combines Aflac's expertise in supplemental health insurance with Ethos' tech-driven distribution model, allowing customers to access cancer coverage easily [2] - Aflac's cancer insurance policies provide cash benefits directly to policyholders, which can be used for both medical and non-medical expenses, and include preventive screening benefits [3][9] Group 2: Strategic Implications - This partnership opens a new digital channel for Aflac to reach customers who prefer fast, low-friction insurance purchases, aligning with Aflac's "One Digital Aflac" initiative aimed at enhancing customer experiences and operational efficiency [4] - The collaboration positions Aflac to accelerate product innovation and improve cross-selling opportunities in both life and supplemental health markets, potentially leading to steady premium growth and a stronger competitive edge [5] Group 3: Stock Performance - Over the past year, Aflac's shares have increased by 7.5%, slightly below the industry's growth of 7.8% [6]

Financial Performance - Aflac Incorporated reported revenues of $18.9 billion[9], net earnings of $5.4 billion[9], and adjusted earnings of $4.1 billion[9] as of December 31, 2024[8] - The company's adjusted leverage stood at 19.7%[9] as of December 31, 2024[8] - Aflac Japan's pretax adjusted earnings increased to ¥527.675 billion[39] in 2024[39], with a pretax profit margin of 36.0%[39] - Aflac U.S. reported pretax adjusted earnings of $1.419 billion[56] in 2024[56], with a pretax profit margin of 21.1%[56] Investment Portfolio - Aflac's investment portfolio has $103 billion in assets under management (AUM)[62], with 84.7% allocated to fixed maturity securities[62] - The average rating of the fixed maturities portfolio is A-[62] - The net book value of the transitional real estate (TRE) portfolio is $4.7 billion with a book yield of 8.14%[63], while the commercial mortgage loan (CML) portfolio has a net book value of $1.5 billion with a book yield of 3.44%[63] - The middle market loan portfolio has a net book value of $4.3 billion and a book yield of 10.03%[77] Capital Management - Aflac Japan's Estimated Solvency Ratio (ESRe) is >270%[70] - The Combined Risk-Based Capital (RBC) Ratio for Aflac U.S. is 677%[70]