The following tables present the balances and changes in Deferred Policy Acquisition Costs for the Specialty Property and Casualty Insurance segment, Life Insurance segment, and Non-Core Operations business for the six months ended June 30, 2026 and 2025:


(Dollars in Millions)	Specialty		Life		Segment Total		Non-Core Operations		Total
Balance, December 31, 20251	$	158.8	$	497.1	$	655.9	$	0.8	$	656.7
Capitalizations	240.6		35.2		275.8		1.9		277.7
Amortization Expense2	(243.0)		(14.8)		(257.8)		(0.8)		(258.6)
Balance, June 30, 20261	$	156.4	$	517.5	$	673.9	$	1.9	$	675.8
1 Includes $0.8 million and $1.3 million attributable to Kemper Reciprocal as of June 30, 2026 and December 31, 2025, respectively, which is reported as a consolidated VIE.
2 The Life Insurance segment includes increases to amortization expense related to experience adjustments of $1.8 million for the six months ended June 30, 2026.


(Dollars in Millions)	Specialty		Life		Segment Total		Non-Core Operations		Total
Balance, December 31, 20241	$	162.8	$	463.1	$	625.9	$	4.1	$	630.0
Capitalizations	278.3		32.6		310.9		3.2		314.1
Amortization Expense2	(266.0)		(14.1)		(280.1)		(4.2)		(284.3)
Balance, June 30, 20251	$	175.1	$	481.6	$	656.7	$	3.1	$	659.8
1 Includes $1.6 million and $1.1 million attributable to Kemper Reciprocal as of June 30, 2025 and December 31, 2024, respectively, which is reported as a consolidated VIE.
2 The Life Insurance segment includes increases to amortization expense related to experience adjustments of $1.9 million for the six months ended June 30, 2025.

Costs directly associated with the successful acquisition of business, principally commissions, certain premium taxes and policy issuance costs, are deferred. Costs deferred on property and casualty insurance contracts are amortized over the period in which the related premiums are earned. Costs deferred on traditional life insurance products and other long-duration insurance contracts are amortized on a constant level basis over the expected life of the contracts in accordance with the assumptions used to estimate the liability for future policyholder benefits for nonparticipating traditional and limited-payment contracts. The underlying assumptions for deferred policy acquisition costs and the liability for future policyholder benefits are updated concurrently.