Horace Mann Educators Corporation
- Open
- 51.31
- Day high
- 52.15
- Day low
- 50.78
- Prev close
- 50.97
- Volume
- 191K
- Mkt cap
- $2.1B
- P/E (TTM)
- 13.0
- EPS (TTM)
- $4.00
- P/B
- 1.4
- P/S
- 1.3
- Yield
- 2.73%
- Per share
- $1.42
- ▼Insiders net selling -$1.4M over the last 3 months (0 open-market buys, 8 sales)
- 🏛Institutions mixed (13F)
Horace Mann Educators Corporation (HMN) is a Financial Services company listed on NYSE. The stock is up 26% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 8 sales (SEC Form 4).
Horace Mann Educators Corporation (HMN) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
HMN earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $1.10 | $1.28 | +16.4% | $429M | +34.5% |
| Feb 3, 2026 | $1.18 | $1.21 | +2.5% | $435M | -2.7% |
| Nov 4, 2025 | $1.04 | $1.36 | +30.8% | $417M | -3.2% |
| Aug 6, 2025 | $0.61 | $1.06 | +73.8% | $412M | -3.1% |
| Feb 5, 2025 | $1.04 | $1.62 | +55.8% | $393M | -5.7% |
| Feb 7, 2024 | $0.66 | $0.84 | +27.3% | $403M | +2.4% |
| Nov 2, 2023 | $0.36 | $0.44 | +22.2% | $379M | -1.5% |
| Aug 1, 2023 | $0.02 | $0.03 | +33.3% | $356M | -6.4% |
| May 2, 2023 | $0.21 | $0.23 | +9.5% | $354M | -5.0% |
| Feb 7, 2023 | $-0.11 | $-0.06 | +45.5% | $338M | +33.8% |
| Nov 3, 2022 | $0.56 | $0.66 | +17.9% | $343M | +35.4% |
| Aug 4, 2022 | $-0.16 | $-0.01 | +93.8% | $346M | +7.6% |
HMN insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 2, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Sell | 7,500 | $52.62 |
| Jun 26, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Tax | 65,465 | $50.75 |
| Jun 26, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Option | 70,424 | $41.95 |
| Jun 26, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Tax | 63,678 | $50.75 |
| Jun 26, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Option | 71,532 | $42.95 |
| Jun 4, 2026 | ZURAITIS MARITAdirector, officer: President & CEO | Sell | 7,500 | $46.25 |
| May 22, 2026 | KONEN MARK Edirector | Grant | 2,780 | $46.77 |
| May 22, 2026 | Fetter Victordirector | Grant | 1,176 | $46.77 |
| May 22, 2026 | Sarsynski Elaine Adirector | Grant | 2,780 | $46.77 |
| May 22, 2026 | McClure Beverley J.director | Grant | 2,780 | $46.77 |
| May 22, 2026 | BRADLEY THOMAS Adirector | Grant | 2,780 | $46.77 |
| May 22, 2026 | Fetter Victordirector | Grant | 2,780 | $46.77 |
| May 22, 2026 | Reece Henry Wadedirector | Grant | 2,780 | $46.77 |
| May 22, 2026 | Hines Perry G.director | Grant | 2,780 | $46.77 |
| May 22, 2026 | Samuel Aaliyah Adirector | Grant | 2,780 | $46.77 |
Source: HMN SEC Form 4 filings, latest Jul 2, 2026. For informational purposes only — not investment advice.
See the full HMN insider & 13F page →Horace Mann Educators Corporation company profile
Overview
Horace Mann Educators Corporation (NYSE:HMN) is a specialized insurance holding company founded in 1945 and headquartered in Springfield, Illinois. The company has carved out a unique niche by exclusively serving the educational community, providing insurance and financial services to K-12 teachers, administrators, and other public school employees across the United States. Since going public in 1991, Horace Mann has built its business around understanding the specific needs of educators, offering tailored products through a dedicated sales force of exclusive agents who focus solely on this market segment.
Business
Horace Mann operates as a multi-line insurance company serving approximately 1 million educator households out of a potential market of 7.5 million K-12 educators nationwide. The company operates through three primary business segments that collectively generated $1.55 billion in revenue in 2024. The Property & Casualty segment represents the largest portion of the business, accounting for approximately 50% of net written premiums. This division underwrites personal lines auto insurance and homeowners/property insurance specifically designed for educators. Auto insurance covers vehicles owned by teachers and school staff, while property insurance protects their homes and personal belongings. The segment has historically faced profitability challenges due to inflation and rising loss costs but has undergone significant rate increases and operational improvements in recent years. The Life & Retirement segment contributes roughly 37% of net written premiums and contract deposits, offering tax-qualified retirement products including 403(b) plans specifically designed for public school employees. These retirement plans allow educators to save for retirement on a tax-deferred basis, similar to 401(k) plans in the corporate sector. The segment also provides whole life, term life, and indexed universal life insurance products tailored to educators' needs and income patterns. The Supplemental & Group Benefits segment represents approximately 13% of business volume and offers supplemental insurance products including cancer coverage, heart disease protection, hospital indemnity, supplemental disability, and accident coverage. These products provide additional financial protection beyond basic health insurance, paying cash benefits directly to policyholders when specific covered events occur. The segment also includes group benefits sold through employers and worksite marketing programs.
Revenue model
Horace Mann generates revenue through multiple insurance-related streams, primarily from premium collections and investment income on policyholder reserves. In the Property & Casualty business, customers pay monthly or annual premiums for auto and homeowners coverage, with the company collecting approximately $779 million in net written premiums in 2024. The Life & Retirement segment earns revenue from insurance premiums and management fees on retirement account assets, generating $574 million in net written premiums and contract deposits. The company's profitability depends heavily on maintaining favorable combined ratios in Property & Casualty, where claims costs plus expenses should ideally stay below 100% of premiums collected. Investment income provides a significant secondary revenue stream, as the company invests policyholder reserves and shareholder capital in fixed-income securities, commercial mortgage loans, and other investments, generating $113 million quarterly in net investment income. Several factors significantly impact Horace Mann's margins and profitability. Inflation in auto repair costs and medical expenses directly increases claim severity, pressuring Property & Casualty margins. Interest rate environments affect both investment yields on new money and the attractiveness of life insurance and annuity products to customers. Catastrophic weather events like hailstorms and windstorms can cause significant property claims, with the company budgeting approximately $90 million annually for catastrophe losses. Competitive pricing pressure from larger insurers can limit rate increases, while regulatory approval processes in various states can delay necessary rate adjustments. Conversely, the company benefits from stable employment patterns among educators, lower-than-average claim frequencies due to educators' driving patterns, and rising interest rates that improve investment yields and life insurance product profitability.
Competitive moat
Horace Mann's competitive moat stems from its specialized focus and deep relationships within the education community, though this moat is moderate rather than exceptionally strong. The company has built significant expertise in understanding educators' unique financial needs, employment patterns, and risk profiles over nearly 80 years of exclusive focus on this market. This specialization allows for more precise underwriting and product design compared to generalist insurers who treat educators as just another customer segment. The company's dedicated distribution network of exclusive agents who focus solely on educators provides relationship advantages and cross-selling opportunities that are difficult for competitors to replicate quickly. These agents understand the education system's calendar, budget cycles, and specific financial challenges teachers face. Additionally, Horace Mann benefits from brand recognition and trust within the education community, often being recommended by word-of-mouth among educators. However, the moat faces several limitations. Large national insurers like GEICO, Progressive, and State Farm can compete aggressively on price and digital convenience, potentially offsetting relationship advantages. The education market, while stable, is not growing rapidly, limiting expansion opportunities. Digital transformation and direct-to-consumer trends in insurance could reduce the value of traditional agent relationships over time. The company's smaller scale compared to major insurers can result in higher per-unit costs and less negotiating power with reinsurers and service providers. Most significantly, there are no true regulatory or technological barriers preventing competitors from targeting the education market if they choose to invest in the necessary specialization and distribution capabilities.
Risks & safety
Horace Mann demonstrates a moderate margin of safety with mixed financial strength indicators. The company maintains adequate solvency but operates with meaningful leverage typical of insurance companies. • Debt and Solvency: Debt-to-equity ratio of 0.42 is manageable for an insurer. Total assets of $14.5 billion versus liabilities of $13.2 billion provide a $1.3 billion equity cushion. However, cash position is relatively modest at $33 million. • Valuation Metrics: Trading at P/E ratio of 10.5x and P/B ratio of 1.25x suggests reasonable valuation. EV/EBITDA of 9.6x appears fair for a specialty insurer. Graham number of $25.74 versus current price of $42.33 indicates potential overvaluation by traditional value metrics. • Operating Cash Flow: Strong free cash flow generation of $452 million in 2024 demonstrates solid underlying cash generation capabilities, though this can be volatile due to insurance claim timing. • Other Considerations: Property & Casualty combined ratio improvement to 98% shows operational progress but remains above ideal levels. Investment portfolio concentration in commercial real estate loans ($627 million) presents some risk during economic downturns.
Recent development
Over the past few years, Horace Mann has undergone a significant strategic transformation focused on restoring Property & Casualty profitability while positioning for sustained growth. The company implemented substantial rate increases across its auto (18-20%) and property (12-15%) lines between 2022-2024, while introducing non-rate actions such as roof rating schedules in wind and hail-prone states and enhanced underwriting criteria. A major technological initiative involved launching Catalyst, a proprietary customer relationship management system designed to improve agent productivity and customer experience. The platform has contributed to a 40% increase in website visitors and enhanced online quoting capabilities, including the addition of individual supplemental products to digital platforms. The company has also invested heavily in digital lead generation and modernized pricing processes to compete more effectively with larger insurers. In the supplemental insurance space, Horace Mann introduced a next-generation cancer product and expanded its worksite marketing capabilities, resulting in significant growth in individual supplemental sales. The company launched HMScore, a credit education platform specifically for educators, demonstrating its commitment to serving the broader financial needs of its target market. Agency force development has been another key focus, with successful recruiting programs leading to increased agent productivity and a 20% increase in average agent income. The company has maintained its commitment to shareholder returns through 17 consecutive years of dividend increases while opportunistically repurchasing shares during periods of undervaluation.
HMN company profile · for informational purposes only — not investment advice.
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