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Investor Supplement
Second Quarter 2026

Caution Regarding Forward-Looking Statements

This Investor Supplement may contain or incorporate by reference information that includes or is based on forward-looking statements within the meaning of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution investors that these forward-looking statements are not guarantees of future performance, and actual results may differ materially. Such statements involve known and unknown risks, uncertainties, and other factors, including but not limited to:

•changes in the frequency and severity of insurance claims;
•claim development and the process of estimating claim reserves;
•the impacts of inflation;
•changes in interest rate environment;
•supply chain disruption;
•product demand and pricing;
•effects of legislative, governmental and regulatory actions;
•heightened competition;
•litigation outcomes and trends;
•investment risks;
•cybersecurity risks or incidents;
•impact of catastrophes; and
•other risks and uncertainties detailed in Kemper’s Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission (“SEC”).

Non-GAAP Financial Measures
This document contains non-GAAP financial measures to analyze the Company’s operating performance for the periods presented. Because the Company’s calculation of these measures may differ from similar measures used by other companies, investors should be careful when comparing the Company’s non-GAAP financial measures to those of other companies. For detailed disclosures on non-GAAP financial measures please refer to the “Definitions of Non-GAAP Financial Measures” on pages 27-30.





Kemper Corporation
Investor Supplement
Second Quarter 2026
Table of Contents
 
Page
Consolidated Financial Highlights3-4
Consolidated Statements of (Loss) Income
5
Consolidated Balance Sheets6-7
Consolidated Statements of Cash Flows
8-9
Capital Metrics
10
Debt Outstanding, Federal Home Loan Bank Advances and Ratings
11
Adjusted Segment Summary Results:
Revenues
12
Adjusted Operating (Loss) Income
13
Adjusted Net Operating Income
13
Catastrophe Frequency and Severity14-15
Specialty Property & Casualty Insurance Segment - Results of Operations and Selected Financial Information16-17
Personal Automobile Insurance18
Commercial Automobile Insurance19
Life Insurance Segment - Results of Operations and Selected Financial Information20-21
Expenses22
Details of Investment Performance23
Details of Invested Assets24-25
Investments in Limited Liability Companies and Limited Partnerships26
Definitions of Non-GAAP Financial Measures27-30














Kemper Corporation
Consolidated Financial Highlights
(Dollars in Millions, Except Per Share Amounts)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
For Period Ended
Earned Premiums
$1,011.6 $999.3 $1,044.3 $1,133.3 $1,130.8 $1,087.9 $2,010.9 $2,218.7 
Net Investment Income
105.4 107.1 103.1 104.8 95.9 101.2 212.5 197.1 
Other Income (Loss)0.5 3.4 (10.6)2.9 3.1 2.6 3.9 5.7 
Change in Fair Value of Equity and Convertible Securities
(1.7)(1.3)(1.8)(2.1)(0.5)0.1 (3.0)(0.4)
Net Investment (Losses) Gains(23.1)(1.3)(3.6)0.8 (3.7)1.2 (24.4)(2.5)
Investment and Other Income81.1 107.9 87.1 106.4 94.8 105.1 189.0 199.9 
Total Revenues
$1,092.7 $1,107.2 $1,131.4 $1,239.7 $1,225.6 $1,193.0 $2,199.9 $2,418.6 
Net (Loss) Income
$(466.0)$(4.4)$(10.0)$(24.2)$69.8 $97.0 $(470.4)$166.8 
Less: Net Loss attributable to Noncontrolling Interest(1.2)(2.7)(2.0)(3.2)(2.8)(2.7)(3.9)(5.5)
Net (Loss) Income attributable to Kemper Corporation
$(464.8)$(1.7)$(8.0)$(21.0)$72.6 $99.7 $(466.5)$172.3 
Adjusted Consolidated Net Operating Income1
$26.3 $12.5 $14.6 $20.4 $84.1 $106.4 $38.8 $190.5 
Per Unrestricted Common Share Amounts:
Basic:
Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share:
$(7.90)$(0.03)$(0.13)$(0.34)$1.13 $1.56 $(7.93)$2.69 
Adjusted Consolidated Net Operating Income1
$0.45 $0.21 $0.25 $0.33 $1.31 $1.67 $0.66 $2.98 
Diluted:
Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share:
$(7.90)$(0.03)$(0.13)$(0.34)$1.12 $1.54 $(7.93)$2.66 
Adjusted Consolidated Net Operating Income1
$0.45 $0.21 $0.25 $0.33 $1.30 $1.65 $0.66 $2.95 
Dividends Paid to Shareholders Per Share
$0.32 $0.32 $0.32 $0.32 $0.32 $0.32 $0.64 $0.64 
Return on Shareholders' Equity(17.7)%(0.3)%(1.2)%(3.0)%9.9 %14.0 %(18.2)%11.9 %
Return on Adjusted Shareholders' Equity1
(26.4)%(0.4)%(1.9)%(4.6)%14.9 %21.0 %(27.9)%17.9 %
1Non-GAAP Financial Measure. See pages 27-30 for definition.
3

Kemper Corporation
Consolidated Financial Highlights (Continued)
(Dollars in Millions, Except Per Share Amounts)
(Unaudited)
As of
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
At Period End
Total Assets
$11,926.3 $12,410.5 $12,472.7 $12,443.4 $12,601.1 $12,467.3 
Insurance Reserves
$6,343.2 $6,238.4 $6,198.3 $6,123.6 $5,900.0 $5,867.1 
Debt
$944.5 $944.0 $943.5 $943.1 $942.6 $942.1 
Kemper Corporation Shareholders’ Equity$2,192.8 $2,649.6 $2,681.4 $2,732.1 $2,953.4 $2,917.6 
Book Value Per Share2
$37.22 $45.05 $45.71 $45.38 $46.45 $45.60 
Adjusted Book Value Per Share1,2
$27.55 $27.79 $28.06 $28.55 $31.01 $30.31 
Debt to Total Capitalization2
30.1 %26.3 %26.0 %25.7 %24.2 %24.4 %
1Non-GAAP Financial Measure. See pages 27-30 for definition.
2See Capital Metrics on page 10 for detail calculations.
4

Kemper Corporation
Consolidated Statements of (Loss) Income
(Dollars in Millions, Except Per Share Amounts)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Revenues:
Earned Premiums$1,011.6 $999.3 $1,044.3 $1,133.3 $1,130.8 $1,087.9 $2,010.9 $2,218.7 
Net Investment Income105.4 107.1 103.1 104.8 95.9 101.2 212.5 197.1 
Other Income (Loss)0.5 3.4 (10.6)2.9 3.1 2.6 3.9 5.7 
Change in Fair Value of Equity and Convertible Securities(1.7)(1.3)(1.8)(2.1)(0.5)0.1 (3.0)(0.4)
Net Realized Investment Gains (Losses)0.6 0.4 0.8 3.9 (0.1)0.9 1.0 0.8 
Impairment Losses(23.7)(1.7)(4.4)(3.1)(3.6)0.3 (25.4)(3.3)
Total Revenues1,092.7 1,107.2 1,131.4 1,239.7 1,225.6 1,193.0 2,199.9 2,418.6 
Expenses:
Policyholders’ Benefits and Incurred Losses and Loss Adjustment Expenses818.4 828.8 854.5 924.6 829.1 767.3 1,647.2 1,596.4 
Insurance and Other Expenses272.4 277.0 281.4 339.1 300.0 294.5 549.4 594.5 
Interest Expense8.9 9.3 9.0 9.1 9.0 11.4 18.2 20.4 
Goodwill Impairment460.0 — — — — — 460.0 — 
Total Expenses1,559.7 1,115.1 1,144.9 1,272.8 1,138.1 1,073.2 2,674.8 2,211.3 
(Loss) Income before Income Taxes(467.0)(7.9)(13.5)(33.1)87.5 119.8 (474.9)207.3 
Income Tax (Benefit) Expense(1.0)(3.5)(3.5)(8.9)17.7 22.8 (4.5)40.5 
Net (Loss) Income(466.0)(4.4)(10.0)(24.2)69.8 97.0 (470.4)166.8 
Less: Net Loss attributable to Noncontrolling Interest(1.2)(2.7)(2.0)(3.2)(2.8)(2.7)(3.9)(5.5)
Net (Loss) Income attributable to Kemper Corporation
$(464.8)$(1.7)$(8.0)$(21.0)$72.6 $99.7 $(466.5)$172.3 
Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share:
Basic$(7.90)$(0.03)$(0.13)$(0.34)$1.13 $1.56 $(7.93)$2.69 
Diluted$(7.90)$(0.03)$(0.13)$(0.34)$1.12 $1.54 $(7.93)$2.66 
Dividends Paid to Shareholders Per Share$0.32 $0.32 $0.32 $0.32 $0.32 $0.32 $0.64 $0.64 
Weighted Average Unrestricted Common Shares Outstanding (in Millions)58.866 58.743 58.801 61.477 63.939 63.887 58.805 63.913 
Weighted-Average Unrestricted Shares and Equivalent Shares Outstanding Assuming Dilution (in Millions)58.866 58.743 58.801 61.477 64.600 64.653 58.805 64.627 
 
5

Kemper Corporation
Consolidated Balance Sheets
(Dollars in Millions)
 (Unaudited)
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Assets:
Investments:
Fixed Maturities at Fair Value$6,721.1 $6,672.2 $6,743.3 $6,620.3 $6,669.1 $6,558.6 
Equity Securities at Fair Value309.6 308.4 306.4 302.0 284.1 232.3 
Equity Method Limited Liability Investments183.0 176.1 176.0 174.9 176.2 185.1 
Short-term Investments at Cost which Approximates Fair Value271.4 296.6 313.5 371.2 407.6 545.3 
Company-Owned Life Insurance
598.2 586.2 579.2 567.9 557.1 546.5 
Loans to Policyholders
279.4 279.6 279.9 279.3 278.6 279.8 
Other Investments282.7 283.9 271.3 287.0 272.8 244.5 
Total Investments8,645.4 8,603.0 8,669.6 8,602.6 8,645.5 8,592.1 
Cash80.3 92.1 124.3 107.4 175.5 115.4 
Receivables from Policyholders966.3 997.1 965.2 1,022.9 1,038.7 1,052.7 
Other Receivables181.8 185.3 184.7 185.0 192.9 189.2 
Deferred Policy Acquisition Costs675.0 669.6 655.4 658.9 658.2 649.7 
Goodwill783.5 1,250.7 1,250.7 1,250.7 1,250.7 1,250.7 
Current Income Tax Assets48.7 40.2 40.7 57.4 57.5 40.9 
Deferred Income Tax Assets97.2 95.2 96.9 66.3 67.6 73.4 
Other Assets381.5 406.2 410.7 422.2 448.5 442.2 
Assets of Consolidated Variable Interest Entity:
Fixed Maturities at Fair Value44.7 47.2 42.1 36.3 33.3 13.7 
Short-term Investments at Cost which Approximates Fair Value9.4 9.2 14.4 17.5 14.9 31.6 
Cash0.9 0.5 1.7 — 1.5 — 
Receivables from Policyholders6.2 7.7 10.4 10.7 11.6 11.9 
Other Receivables0.5 0.5 0.4 0.4 0.2 0.1 
Deferred Policy Acquisition Costs0.8 1.0 1.3 1.4 1.6 1.5 
Deferred Income Tax Assets4.1 5.0 4.2 3.7 2.9 2.2 
Total Assets$11,926.3 $12,410.5 $12,472.7 $12,443.4 $12,601.1 $12,467.3 
6

Kemper Corporation
Consolidated Balance Sheets
(Dollars in Millions)
 (Unaudited)
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Liabilities and Shareholders’ Equity:
Insurance Reserves:
Life and Health$3,278.1 $3,238.9 $3,287.5 $3,317.6 $3,235.3 $3,229.5 
Property and Casualty3,065.1 2,999.5 2,910.8 2,806.0 2,664.7 2,637.6 
Total Insurance Reserves6,343.2 6,238.4 6,198.3 6,123.6 5,900.0 5,867.1 
Unearned Premiums1,227.5 1,274.1 1,233.1 1,310.6 1,345.0 1,361.6 
Policyholder Obligations541.1 568.2 608.0 620.0 641.3 632.0 
Deferred Income Tax Liabilities— 4.3 14.8 13.5 14.7 6.6 
Accrued Expenses and Other Liabilities651.7 702.4 762.6 669.5 775.4 715.5 
Long-term Debt, Non-Current, at Amortized Cost944.5 944.0 943.5 943.1 942.6 942.1 
Liabilities of Consolidated Variable Interest Entity:
Insurance Reserves31.1 31.8 29.4 26.3 20.9 14.7 
Unearned Premiums7.4 9.9 12.1 13.6 14.5 14.5 
Accrued Expenses and Other Liabilities2.5 2.3 1.5 1.6 1.2 1.7 
Total Liabilities9,749.0 9,775.4 9,803.3 9,721.8 9,655.6 9,555.8 
Kemper Corporation Shareholders’ Equity:
Common Stock5.9 5.9 5.9 6.0 6.4 6.4 
Paid-in Capital1,738.5 1,732.6 1,723.9 1,737.2 1,859.3 1,863.6 
Retained Earnings653.7 1,137.8 1,157.8 1,216.0 1,345.4 1,308.9 
Accumulated Other Comprehensive Loss(205.3)(226.7)(206.2)(227.1)(257.7)(261.3)
Total Kemper Corporation Shareholders’ Equity2,192.8 2,649.6 2,681.4 2,732.1 2,953.4 2,917.6 
Noncontrolling Interest(15.5)(14.5)(12.0)(10.5)(7.9)(6.1)
Total Shareholders’ Equity2,177.3 2,635.1 2,669.4 2,721.6 2,945.5 2,911.5 
Total Liabilities and Shareholders’ Equity$11,926.3 $12,410.5 $12,472.7 $12,443.4 $12,601.1 $12,467.3 

7

Kemper Corporation
Consolidated Statements of Cash Flows
(Dollars in Millions)
 (Unaudited)
Six Months Ended
Jun 30,
2026		Jun 30,
2025
Cash Flows from Operating Activities:
Net (Loss) Income
$(470.4)$166.8 
Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities:
Net Realized Investment Gains(1.0)(0.8)
Impairment Losses25.4 3.3 
Depreciation, Amortization and Impairments of Long-Lived Assets23.2 25.5 
Change in Accumulated Undistributed Earnings of Equity Method Limited Liability Investments(6.7)6.0 
Change in Value of Equity and Convertible Securities
3.0 0.4 
Goodwill Impairment460.0 — 
Changes in:
Receivables from Policyholders3.0 (64.2)
Reinsurance Recoverables2.4 1.8 
Deferred Policy Acquisition Costs(19.1)(29.8)
Insurance Reserves189.1 87.3 
Unearned Premiums(10.3)84.2 
Income Taxes(23.2)18.4 
Other
(56.1)(29.3)
Net Cash Provided by Operating Activities119.3 269.6 
8

Kemper Corporation
Consolidated Statements of Cash Flows
(Dollars in Millions)
 (Unaudited)
Six Months Ended
Jun 30,
2026		Jun 30,
2025
Net Cash Provided by Operating Activities (Carryforward from page 8)119.3 269.6 
Cash Flows from Investing Activities:
Proceeds from the Sales, Calls and Maturities of Fixed Maturities582.8 525.4 
Proceeds from the Sales or Paydowns of Investments:
Equity Securities20.7 12.0 
Real Estate Investments0.1 — 
Mortgage Loans78.2 53.5 
Other Investments10.9 12.6 
Purchases of Investments:
Fixed Maturities(643.0)(668.8)
Equity Securities(24.0)(77.4)
Real Estate Investments(1.5)(1.0)
Company-Owned Life Insurance(1.6)— 
Mortgage Loans(83.6)(108.3)
Other Investments(34.9)(28.1)
Net Sales of Short-term Investments47.9 650.6 
Acquisition of Software and Long-lived Assets(22.3)(15.3)
Settlement Proceeds from Company-Owned Life Insurance6.3 2.9 
Other4.3 3.3 
Net Cash (Used in) Provided by Investing Activities(59.7)361.4 
Cash Flows from Financing Activities:
Repayment of Long-term Debt— (450.0)
Proceeds from Policyholder Contract Obligations— 30.0 
Repayment of Policyholder Contract Obligations(68.1)(26.7)
Proceeds from Shares Issued under Employee Stock Purchase Plan1.6 1.8 
Common Stock Repurchases— (32.5)
Dividends Paid(37.6)(41.0)
Other(0.3)(1.0)
Net Cash Used in Financing Activities(104.4)(519.4)
Net (decrease) increase in cash1
(44.8)111.6 
Cash, Beginning of Year1
126.0 65.4 
Cash, End of Period1
$81.2 $177.0 
1Includes amounts attributable to Kemper Reciprocal reported as noncontrolling interest.
9

Kemper Corporation
Capital Metrics
(Dollars and Shares in Millions, Except Per Share Amounts)
(Unaudited)
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Book Value Per Share
Book Value Per Share$37.22 $45.05 $45.71 $45.38 $46.45 $45.60 
Adjusted Book Value Per Share1
$27.55 $27.79 $28.06 $28.55 $31.01 $30.31 
Debt and Total Capitalization
Debt$944.5 $944.0 $943.5 $943.1 $942.6 $942.1 
Kemper Corporation Shareholders’ Equity2,192.8 2,649.6 2,681.4 2,732.1 2,953.4 2,917.6 
Total Capitalization$3,137.3 $3,593.6 $3,624.9 $3,675.2 $3,896.0 $3,859.7 
Ratio of Debt to Kemper Corporation Shareholders’ Equity43.1 %35.6 %35.2 %34.5 %31.9 %32.3 %
Ratio of Debt to Total Capitalization30.1 %26.3 %26.0 %25.7 %24.2 %24.4 %
Debt$944.5 $944.0 $943.5 $943.1 $942.6 $942.1 
Kemper Corporation Shareholders’ Equity$2,192.8 $2,649.6 $2,681.4 $2,732.1 $2,953.4 $2,917.6 
Less: Accumulated Other Comprehensive Loss
(205.3)(226.7)(206.2)(227.1)(257.7)(261.3)
Kemper Corporation Shareholders’ Equity Excluding Accumulated Other Comprehensive Loss
$2,398.1 $2,876.3 $2,887.6 $2,959.2 $3,211.1 $3,178.9 
Total Capitalization Excluding Accumulated Other Comprehensive Loss
$3,342.6 $3,820.3 $3,831.1 $3,902.3 $4,153.7 $4,121.0 
Ratio of Debt to Kemper Corporation Shareholders’ Equity Excluding Accumulated Other Comprehensive Loss
39.4 %32.8 %32.7 %31.9 %29.4 %29.6 %
Ratio of Debt to Total Capitalization Excluding Accumulated Other Comprehensive Loss
28.3 %24.7 %24.6 %24.2 %22.7 %22.9 %
Parent Company Liquidity2
Kemper Holding Company Cash and Investments3
$130.0 $80.2 $145.4 $156.8 $223.2 $161.3 
Borrowings Available Under Credit Agreement350.0 600.0 600.0 600.0 600.0 600.0 
Parent Company Liquidity$480.0 $680.2 $745.4 $756.8 $823.2 $761.3 
Capital Returned to Shareholders
Cash Dividends Paid4
$19.3 $18.3 $18.9 $19.7 $20.8 $20.2 
1Non-GAAP Financial Measure. See pages 27-30 for definition.
2Excludes borrowings available from subsidiaries
3Includes Kemper's direct non-insurance subsidiaries
4Three Months Ended
 
10

Kemper Corporation
Debt Outstanding, Federal Home Loan Bank Advances and Ratings
(Dollars in Millions)
(Unaudited)
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Kemper Corporation:
Non-Current:
2.400% Senior Notes due September 30, 2030$398.1 $398.0 $397.9 $397.8 $397.7 $397.6 
3.800% Senior Notes due February 23, 2032397.2 397.1 396.9 396.8 396.7 396.6 
5.875% Fixed-Rate Reset Junior Subordinated Debentures Due 2062149.2 148.9 148.7 148.5 148.2 147.9 
Long-term Debt Outstanding at Amortized Cost$944.5 $944.0 $943.5 $943.1 $942.6 $942.1 
Federal Home Loan Bank Advances to Insurance Subsidiaries:
Reported as Policyholder Contract Liabilities:
Federal Home Loan Bank of Chicago$448.4 $475.0 $513.8 $525.2 $546.2 $536.2 
A.M. BestMoody’sS&PFitch
As of Date of Financial Supplement
Kemper Debt Ratings:
Senior Unsecured Debtbbb-Baa3BBB-BBB-
Junior Unsecured DebtbbBa1BBBB
Insurance Company Financial Strength Ratings:
Trinity Universal Insurance CompanyA-A3A-A-
United Insurance Company of AmericaA-A3A-A-





11

Kemper Corporation
Segment Revenues
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Revenues:
Specialty Property & Casualty Insurance:
Earned Premiums:
Personal Automobile$647.4 $647.0 $696.8 $785.1 $789.3 $753.7 $1,294.4 $1,543.0 
Commercial Automobile249.2 238.2 238.6 232.2 221.5 208.5 487.4 430.0 
Total Specialty Property & Casualty Insurance Earned Premiums896.6 885.2 935.4 1,017.3 1,010.8 962.2 1,781.8 1,973.0 
Net Investment Income53.7 55.3 57.3 53.8 49.6 50.5 109.0 100.1 
Other Income1.3 2.7 2.4 2.5 2.7 1.3 4.0 4.0 
Total Specialty Property & Casualty Insurance Revenues951.6 943.2 995.1 1,073.6 1,063.1 1,014.0 1,894.8 2,077.1 
Life Insurance:
Earned Premiums102.7 100.8 93.4 99.8 100.5 99.7 203.5 200.2 
Net Investment Income49.3 48.7 47.1 48.0 44.7 48.4 98.0 93.1 
Other Income0.4 0.3 0.2 0.4 0.3 0.7 0.7 1.0 
Total Life Insurance Revenues152.4 149.8 140.7 148.2 145.5 148.8 302.2 294.3 
Total Segment Revenues1,104.0 1,093.0 1,135.8 1,221.8 1,208.6 1,162.8 2,197.0 2,371.4 
Change in Fair Value of Equity and Convertible Securities
(1.7)(1.3)(1.8)(2.1)(0.5)0.1 (3.0)(0.4)
Non-Core Operations
14.4 15.4 17.5 18.2 21.3 27.9 29.8 49.2 
Net Realized Investment Gains (Losses), Impairment Losses, and Other(24.0)0.1 (20.1)1.8 (3.8)2.2 (23.9)(1.6)
Total Revenues$1,092.7 $1,107.2 $1,131.4 $1,239.7 $1,225.6 $1,193.0 $2,199.9 $2,418.6 

12

Kemper Corporation
Segment Adjusted Operating Results
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Segment Adjusted Operating Income (Loss):
Specialty Property & Casualty Insurance$19.3 $(0.7)$3.1 $7.9 $98.9 $122.1 $18.6 $221.0 
Life Insurance21.6 21.2 23.5 22.1 14.3 20.2 42.8 34.5 
Total Segment Adjusted Operating Income
40.9 20.5 26.6 30.0 113.2 142.3 61.4 255.5 
Corporate and Other Adjusted Operating Loss(11.6)(10.3)(12.5)(12.3)(11.3)(14.1)(21.9)(25.4)
Less: Loss before Income Taxes attributable to Noncontrolling Interest(0.2)(3.4)(2.6)(4.1)(3.4)(3.5)(3.6)(6.9)
Adjusted Consolidated Operating Income29.5 13.6 16.7 21.8 105.3 131.7 43.1 237.0 
(Loss) Income From:
Change in Fair Value of Equity and Convertible Securities
(1.7)(1.3)(1.8)(2.1)(0.5)0.1 (3.0)(0.4)
Net Realized Investment Gains (Losses)0.6 0.4 0.8 3.9 (0.1)0.9 1.0 0.8 
Impairment Losses(23.7)(1.7)(4.4)(3.1)(3.6)0.3 (25.4)(3.3)
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(11.8)(6.3)(18.3)(22.9)(4.8)(5.3)(18.1)(10.1)
Debt Extinguishment and Other Charges
— — — — — 0.5 — 0.5 
Goodwill Impairment(460.0)— — — — — (460.0)— 
Non-Core Operations
0.3 (9.2)(3.9)(26.6)(5.4)(4.9)(8.9)(10.3)
(Loss) Income before Income Taxes attributable to Kemper Corporation
$(466.8)$(4.5)$(10.9)$(29.0)$90.9 $123.3 $(471.3)$214.2 
Segment Adjusted Net Operating Income:
Specialty Property & Casualty Insurance$15.8 $0.1 $2.6 $7.6 $79.0 $97.9 $15.9 $176.9 
Life Insurance18.3 18.0 20.1 18.6 12.6 17.2 36.3 29.8 
Total Segment Adjusted Net Operating Income34.1 18.1 22.7 26.2 91.6 115.1 52.2 206.7 
Corporate and Other Adjusted Net Operating Loss(9.0)(8.3)(10.1)(9.0)(10.3)(11.4)(17.3)(21.7)
Less: Net Loss attributable to Noncontrolling Interest(1.2)(2.7)(2.0)(3.2)(2.8)(2.7)(3.9)(5.5)
Adjusted Consolidated Net Operating Income1
26.3 12.5 14.6 20.4 84.1 106.4 38.8 190.5 
Net (Loss) Income From:
Change in Fair Value of Equity and Convertible Securities
(1.4)(1.0)(1.4)(1.7)(0.4)0.1 (2.4)(0.3)
Net Realized Investment Gains (Losses)0.5 0.3 0.6 3.1 (0.1)0.7 0.8 0.6 
Impairment Losses(18.8)(1.3)(3.4)(2.5)(2.8)0.2 (20.1)(2.6)
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(11.6)(5.0)(15.5)(19.6)(3.8)(4.2)(16.6)(8.0)
Debt Extinguishment and Other Charges
— — — — — 0.4 — 0.4 
Goodwill Impairment(460.0)— — — — — (460.0)— 
Non-Core Operations
0.2 (7.2)(2.9)(20.7)(4.4)(3.9)(7.0)(8.3)
Net (Loss) Income attributable to Kemper Corporation
$(464.8)$(1.7)$(8.0)$(21.0)$72.6 $99.7 $(466.5)$172.3 
1Non-GAAP Financial Measure. See pages 27-30 for definition.
        
13

Kemper Corporation
Catastrophe Frequency and Severity
(Dollars in Millions)
(Unaudited)
Three Months Ended June 30, 2026
Specialty Property & Casualty Insurance SegmentLife Insurance SegmentNon-Core OperationsConsolidated
Number of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAE
Range of Losses and LAE Per Event1:
Below $529 $6.1 19 $0.3 13 $(0.1)33 $1.3 
$5 - $10— — — — — — 1 5.0 
$10 - $15— — — — — — — — 
$15 - $20— — — — — — — — 
$20 - $25— — — — — — — — 
Greater Than $25— — — — — — — — 
Total29 $6.1 19 $0.3 13 $(0.1)34 $6.3 
Three Months Ended June 30, 2025
Specialty Property & Casualty Insurance SegmentLife Insurance SegmentNon-Core OperationsConsolidated
Number of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAE
Range of Losses and LAE Per Event1:
Below $518 $5.3 15 $0.7 14 $1.7 19 $7.7 
$5 - $10— — — — — — — — 
$10 - $15— — — — — — — — 
$15 - $20— — — — — — — — 
$20 - $25— — — — — — — — 
Greater Than $25— — — — — — — — 
Total18 $5.3 15 $0.7 14 $1.7 19 $7.7 
1Current accident year net incurred catastrophe Losses and LAE only.













14

Kemper Corporation
Catastrophe Frequency and Severity (continued)
(Dollars in Millions)
(Unaudited)
Six Months Ended June 30, 2026
Specialty Property & Casualty Insurance SegmentLife Insurance SegmentNon-Core OperationsConsolidated
Number of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAE
Range of Losses and LAE Per Event1:
Below $529 $7.4 19 $0.4 13 $2.3 33 $5.1 
$5 - $10— — — — — — 1 5.0 
$10 - $15— — — — — — — — 
$15 - $20— — — — — — — — 
$20 - $25— — — — — — — — 
Greater Than $25— — — — — — — — 
Total29 $7.4 19 $0.4 13 $2.3 34 $10.1 
Six Months Ended June 30, 2025
Specialty Property & Casualty Insurance SegmentLife Insurance SegmentNon-Core OperationsConsolidated
Number of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAENumber of EventsLosses and LAE
Range of Losses and LAE Per Event1:
Below $533 $9.1 26 $1.0 25 $4.7 34 $14.8 
$5 - $10— — — — — — — — 
$10 - $15— — — — — — — — 
$15 - $20— — — — — — — — 
$20 - $25— — — — — — — — 
Greater Than $25— — — — — — — — 
Total33 $9.1 26 $1.0 25 $4.7 34 $14.8 
1Current accident year net incurred catastrophe Losses and LAE only.





15

Kemper Corporation
Specialty Property & Casualty Insurance Segment
Results of Operations and Selected Financial Information
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Results of Operations
Net Premiums Written$854.7 $925.0 $860.3 $982.2 $1,001.5 $1,068.8 $1,779.7 $2,070.3 
Total Specialty P&C:
Personal Automobile$647.4 $647.0 $696.8 $785.1 $789.3 $753.7 $1,294.4 $1,543.0 
Commercial Automobile249.2 238.2 238.6 232.2 221.5 208.5 487.4 430.0 
Earned Premiums896.6 885.2 935.4 1,017.3 1,010.8 962.2 1,781.8 1,973.0 
Net Investment Income53.7 55.3 57.3 53.8 49.6 50.5 109.0 100.1 
Other Income1.3 2.7 2.4 2.5 2.7 1.3 4.0 4.0 
Total Revenues951.6 943.2 995.1 1,073.6 1,063.1 1,014.0 1,894.8 2,077.1 
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE732.7 742.8 780.0 798.7 730.1 682.3 1,475.5 1,412.4 
Catastrophe Losses and LAE6.1 1.3 1.4 1.0 5.3 3.8 7.4 9.1 
Prior Years:
Non-catastrophe Losses and LAE9.1 3.2 9.3 51.4 13.6 0.5 12.3 14.1 
Catastrophe Losses and LAE0.1 0.4 (0.8)— 0.4 0.2 0.5 0.6 
Total Incurred Losses and LAE748.0 747.7 789.9 851.1 749.4 686.8 1,495.7 1,436.2 
Insurance Expenses184.3 196.2 202.1 214.6 214.8 205.1 380.5 419.9 
Segment Adjusted Operating Income (Loss)19.3 (0.7)3.1 7.9 98.9 122.1 18.6 221.0 
Income Tax Expense (Benefit)3.5 (0.8)0.5 0.3 19.9 24.2 2.7 44.1 
Total Segment Adjusted Net Operating Income$15.8 $0.1 $2.6 $7.6 $79.0 $97.9 $15.9 $176.9 
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio81.7 %84.0 %83.4 %78.5 %72.3 %70.9 %82.8 %71.6 %
Current Year Catastrophe Losses and LAE Ratio0.7 0.1 0.1 0.1 0.5 0.4 0.4 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio1.0 0.4 1.0 5.1 1.3 0.1 0.7 0.7 
Prior Years Catastrophe Losses and LAE Ratio— — (0.1)— — — — — 
Total Incurred Loss and LAE Ratio83.4 84.5 84.4 83.7 74.1 71.4 83.9 72.8 
Insurance Expense Ratio20.6 22.2 21.6 21.1 21.3 21.3 21.4 21.3 
Combined Ratio104.0 %106.7 %106.0 %104.8 %95.4 %92.7 %105.3 %94.1 %
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio81.7 %84.0 %83.4 %78.5 %72.3 %70.9 %82.8 %71.6 %
Insurance Expense Ratio20.6 22.2 21.6 21.1 21.3 21.3 21.4 21.3 
Underlying Combined Ratio102.3 %106.2 %105.0 %99.6 %93.6 %92.2 %104.2 %92.9 %
Non-GAAP Measure Reconciliation
Combined Ratio as Reported104.0 %106.7 %106.0 %104.8 %95.4 %92.7 %105.3 %94.1 %
Less:
Current Year Catastrophe Losses and LAE Ratio0.7 0.1 0.1 0.1 0.5 0.4 0.4 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio1.0 0.4 1.0 5.1 1.3 0.1 0.7 0.7 
Prior Years Catastrophe Losses and LAE Ratio— — (0.1)— — — — — 
Underlying Combined Ratio102.3 %106.2 %105.0 %99.6 %93.6 %92.2 %104.2 %92.9 %
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.
16

Kemper Corporation
Specialty Property & Casualty Insurance Segment
Results of Operations and Selected Financial Information (continued)
(Dollars in Millions)
(Unaudited)
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Insurance Reserves:
Personal Automobile$1,893.9 $1,880.0 $1,826.8 $1,752.1 $1,661.2 $1,640.3 
Commercial Automobile1,063.7 996.1 942.6 894.2 813.0 771.5 
Insurance Reserves$2,957.6 $2,876.1 $2,769.4 $2,646.3 $2,474.2 $2,411.8 
Insurance Reserves:
Loss and Allocated LAE Reserves:
Case and Allocated LAE$1,063.5 $1,027.9 $960.4 $932.7 $906.1 $930.1 
Incurred but Not Reported1,699.3 1,651.8 1,610.9 1,518.7 1,378.8 1,300.5 
Total Loss and LAE Reserves2,762.8 2,679.7 2,571.3 2,451.4 2,284.9 2,230.6 
Unallocated LAE Reserves194.8 196.4 198.1 194.9 189.3 181.2 
Insurance Reserves$2,957.6 $2,876.1 $2,769.4 $2,646.3 $2,474.2 $2,411.8 
17

Kemper Corporation
Specialty Property & Casualty Insurance Segment
Personal Automobile Insurance - Results of Operations and Selected Financial Information
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Results of Operations
Net Premiums Written$590.7 $650.4 $615.6 $727.6 $767.0 $823.9 $1,241.1 $1,590.9 
Earned Premiums$647.4 $647.0 $696.8 $785.1 $789.3 $753.7 $1,294.4 $1,543.0 
Net Investment Income33.4 34.0 35.7 33.8 31.3 31.8 67.4 63.1 
Other Income1.1 2.7 2.3 2.3 2.6 1.2 3.8 3.8 
Total Revenues681.9 683.7 734.8 821.2 823.2 786.7 1,365.6 1,609.9 
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE543.1 568.1 607.6 629.2 571.7 528.4 1,111.2 1,100.1 
Catastrophe Losses and LAE5.1 1.1 1.1 0.6 4.3 2.7 6.2 7.0 
Prior Years:
Non-catastrophe Losses and LAE(8.6)(2.9)0.3 8.0 (5.0)(4.7)(11.5)(9.7)
Catastrophe Losses and LAE— 0.4 (0.8)(0.1)0.3 0.1 0.4 0.4 
Total Incurred Losses and LAE539.6 566.7 608.2 637.7 571.3 526.5 1,106.3 1,097.8 
Insurance Expenses140.5 150.6 159.1 172.5 173.7 166.8 291.1 340.5 
Adjusted Operating Income (Loss)1.8 (33.6)(32.5)11.0 78.2 93.4 (31.8)171.6 
Income Tax Expense (Benefit)0.3 (7.4)(6.0)1.4 16.1 18.7 (7.1)34.8 
Total Product Line Adjusted Net Operating Income (Loss)$1.5 $(26.2)$(26.5)$9.6 $62.1 $74.7 $(24.7)$136.8 
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio83.8 %87.7 %87.2 %80.1 %72.5 %70.1 %85.9 %71.2 %
Current Year Catastrophe Losses and LAE Ratio0.8 0.2 0.2 0.1 0.5 0.4 0.5 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio(1.3)(0.4)— 1.0 (0.6)(0.6)(0.9)(0.6)
Prior Years Catastrophe Losses and LAE Ratio— 0.1 (0.1)— — — — — 
Total Incurred Loss and LAE Ratio83.3 87.6 87.3 81.2 72.4 69.9 85.5 71.1 
Insurance Expense Ratio21.7 23.3 22.8 22.0 22.0 22.1 22.5 22.1 
Combined Ratio105.0 %110.9 %110.1 %103.2 %94.4 %92.0 %108.0 %93.2 %
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio83.8 %87.7 %87.2 %80.1 %72.5 %70.1 %85.9 %71.2 %
Insurance Expense Ratio21.7 23.3 22.8 22.0 22.0 22.1 22.5 22.1 
Underlying Combined Ratio105.5 %111.0 %110.0 %102.1 %94.5 %92.2 %108.4 %93.3 %
Non-GAAP Measure Reconciliation
Combined Ratio105.0 %110.9 %110.1 %103.2 %94.4 %92.0 %108.0 %93.2 %
Less:
Current Year Catastrophe Losses and LAE Ratio0.8 0.2 0.2 0.1 0.5 0.4 0.5 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio(1.3)(0.4)— 1.0 (0.6)(0.6)(0.9)(0.6)
Prior Years Catastrophe Losses and LAE Ratio— 0.1 (0.1)— — — — — 
Underlying Combined Ratio105.5 %111.0 %110.0 %102.1 %94.5 %92.2 %108.4 %93.3 %
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.
18

Kemper Corporation
Specialty Property & Casualty Insurance Segment
Commercial Automobile Insurance - Results of Operations and Selected Financial Information
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Results of Operations
Net Premiums Written$264.0 $274.6 $244.7 $254.6 $234.5 $244.9 $538.6 $479.4 
Earned Premiums$249.2 $238.2 $238.6 $232.2 $221.5 $208.5 $487.4 $430.0 
Net Investment Income20.3 21.3 21.6 20.0 18.3 18.7 41.6 37.0 
Other Income0.2 — 0.1 0.2 0.1 0.1 0.2 0.2 
Total Revenues269.7 259.5 260.3 252.4 239.9 227.3 529.2 467.2 
Incurred Losses and LAE related to:
Current Year:
Non-catastrophe Losses and LAE189.6 174.7 172.4 169.5 158.4 153.9 364.3 312.3 
Catastrophe Losses and LAE1.0 0.2 0.3 0.4 1.0 1.1 1.2 2.1 
Prior Years:
Non-catastrophe Losses and LAE17.7 6.1 9.0 43.4 18.6 5.2 23.8 23.8 
Catastrophe Losses and LAE0.1 — — 0.1 0.1 0.1 0.1 0.2 
Total Incurred Losses and LAE208.4 181.0 181.7 213.4 178.1 160.3 389.4 338.4 
Insurance Expenses43.8 45.6 43.0 42.1 41.1 38.3 89.4 79.4 
Adjusted Operating Income (Loss)17.5 32.9 35.6 (3.1)20.7 28.7 50.4 49.4 
Income Tax Expense (Benefit)3.2 6.6 6.5 (1.1)3.8 5.5 9.8 9.3 
Total Product Line Adjusted Net Operating Income (Loss)$14.3 $26.3 $29.1 $(2.0)$16.9 $23.2 $40.6 $40.1 
Ratios Based On Earned Premiums
Current Year Non-catastrophe Losses and LAE Ratio76.1 %73.3 %72.3 %73.0 %71.5 %73.9 %74.8 %72.7 %
Current Year Catastrophe Losses and LAE Ratio0.4 0.1 0.1 0.2 0.5 0.5 0.2 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio7.1 2.6 3.8 18.7 8.4 2.5 4.9 5.5 
Prior Years Catastrophe Losses and LAE Ratio— — — — — — — — 
Total Incurred Loss and LAE Ratio83.6 76.0 76.2 91.9 80.4 76.9 79.9 78.7 
Insurance Expense Ratio17.6 19.1 18.0 18.1 18.6 18.4 18.3 18.5 
Combined Ratio101.2 %95.1 %94.2 %110.0 %99.0 %95.3 %98.2 %97.2 %
Underlying Combined Ratio1
Current Year Non-catastrophe Losses and LAE Ratio76.1 %73.3 %72.3 %73.0 %71.5 %73.9 %74.8 %72.7 %
Insurance Expense Ratio17.6 19.1 18.0 18.1 18.6 18.4 18.3 18.5 
Underlying Combined Ratio93.7 %92.4 %90.3 %91.1 %90.1 %92.3 %93.1 %91.2 %
Non-GAAP Measure Reconciliation
Combined Ratio101.2 %95.1 %94.2 %110.0 %99.0 %95.3 %98.2 %97.2 %
Less:
Current Year Catastrophe Losses and LAE Ratio0.4 0.1 0.1 0.2 0.5 0.5 0.2 0.5 
Prior Years Non-catastrophe Losses and LAE Ratio7.1 2.6 3.8 18.7 8.4 2.5 4.9 5.5 
Prior Years Catastrophe Losses and LAE Ratio— — — — — — — — 
Underlying Combined Ratio93.7 %92.4 %90.3 %91.1 %90.1 %92.3 %93.1 %91.2 %
1Underlying Combined Ratio is a non-GAAP measure, which is computed as the difference between three operating ratios: the combined ratio, the effect of catastrophes (excluding development of prior-year catastrophes) on the combined ratio and the effect of prior-year reserve development at the reporting date (including development on prior-year catastrophes) on the combined ratio.
    
19

Kemper Corporation
Life Insurance Segment
Results of Operations and Selected Financial Information
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Results of Operations
Earned Premiums$102.7 $100.8 $93.4 $99.8 $100.5 $99.7 $203.5 $200.2 
Net Investment Income49.3 48.7 47.1 48.0 44.7 48.4 98.0 93.1 
Other Income0.4 0.3 0.2 0.4 0.3 0.7 0.7 1.0 
Total Revenues152.4 149.8 140.7 148.2 145.5 148.8 302.2 294.3 
Policyholders’ Benefits and Incurred Losses and LAE63.5 64.0 52.5 60.5 63.5 62.2 127.5 125.7 
Insurance Expenses67.3 64.6 64.7 65.6 67.7 66.4 131.9 134.1 
Segment Adjusted Operating Income21.6 21.2 23.5 22.1 14.3 20.2 42.8 34.5 
Income Tax Expense3.3 3.2 3.4 3.5 1.7 3.0 6.5 4.7 
Total Segment Adjusted Net Operating Income$18.3 $18.0 $20.1 $18.6 $12.6 $17.2 $36.3 $29.8 
    

20

Kemper Corporation
Life Insurance Segment
Results of Operations and Selected Financial Information (continued)
(Dollars in Millions)
(Unaudited)

Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Insurance Reserves:
Future Policyholder Benefits$3,238.1 $3,199.9 $3,248.1 $3,282.2 $3,196.5 $3,186.0 
Incurred Losses and LAE Reserves:
Life35.3 34.4 35.0 31.1 34.3 39.0 
Accident and Health4.7 4.6 4.4 4.3 4.5 4.5 
Property1.8 1.8 1.9 2.0 2.1 2.1 
Total Incurred Losses and LAE Reserves41.8 40.8 41.3 37.4 40.9 45.6 
Insurance Reserves$3,279.9 $3,240.7 $3,289.4 $3,319.6 $3,237.4 $3,231.6 


21

Kemper Corporation
Expenses
(Dollars in Millions)
(Unaudited)
Three Months EndedSix Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Insurance and Other Expenses:
Insurance Expenses:
Policy Acquisition Costs$156.8 $152.7 $162.9 $173.8 $177.1 $164.3 $309.5 $341.4 
Business Unit Operating Costs58.6 69.2 70.0 94.2 71.4 75.1 127.8 146.5 
Corporate Overhead Costs
43.4 46.4 43.5 43.7 44.6 46.7 89.8 91.3 
Insurance Expenses258.8 268.3 276.4 311.7 293.1 286.1 527.1 579.2 
Other Expenses:
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs10.6 6.3 5.0 22.9 4.8 5.3 16.9 10.1 
Other Corporate Costs
3.0 2.4 — 4.5 2.1 3.1 5.4 5.2 
Other Expenses13.6 8.7 5.0 27.4 6.9 8.4 22.3 15.3 
Insurance and Other Expenses272.4 277.0 281.4 339.1 300.0 294.5 549.4 594.5 
Interest Expense8.9 9.3 9.0 9.1 9.0 11.4 18.2 20.4 
Goodwill Impairment460.0 — — — — — 460.0 — 
Total Insurance, Interest, and Other Expenses
$741.3 $286.3 $290.4 $348.2 $309.0 $305.9 $1,027.6 $614.9 

22

Kemper Corporation
Details of Investment Performance
(Dollars in Millions)
(Unaudited)
Three Months Ended
Six Months Ended
Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Net Investment Income
Interest on Fixed Maturities1
$80.9 $79.4 $77.0 $79.1 $76.9 $76.4 $160.3 $153.3 
Dividends on Equity Securities Excluding Alternative Investments2.1 0.7 4.4 2.1 0.7 0.8 2.8 1.5 
Alternative Investments:
Equity Method Limited Liability Investments1.2 0.6 (1.0)— (5.3)(0.7)1.8 (6.0)
Limited Liability Investments Included in Equity Securities3.5 7.1 2.9 4.0 3.1 3.7 10.6 6.8 
Total Alternative Investments4.7 7.7 1.9 4.0 (2.2)3.0 12.4 0.8 
Short-term Investments2.7 3.1 4.0 4.2 6.0 8.6 5.8 14.6 
Loans to Policyholders5.2 5.3 5.2 5.2 5.1 5.3 10.5 10.4 
Real Estate2.7 2.3 2.4 2.5 2.3 2.2 5.0 4.5 
Company-Owned Life Insurance
12.1 11.5 11.4 10.8 10.5 10.2 23.6 20.7 
Other3.3 4.0 3.1 3.1 3.3 2.0 7.3 5.3 
Total Investment Income113.7 114.0 109.4 111.0 102.6 108.5 227.7 211.1 
Investment Expenses:
Real Estate2.7 1.8 2.7 2.0 2.2 2.1 4.5 4.3 
Other Investment Expenses5.6 5.1 3.6 4.2 4.5 5.2 10.7 9.7 
Total Investment Expenses8.3 6.9 6.3 6.2 6.7 7.3 15.2 14.0 
Net Investment Income$105.4 $107.1 $103.1 $104.8 $95.9 $101.2 $212.5 $197.1 
Net Realized Investment Gains (Losses)
Fixed Maturities:
Gains on Sales$1.3 $2.6 $0.9 $3.7 $0.4 $1.3 $3.9 $1.7 
Losses on Sales(0.7)(2.4)(0.6)(0.5)(0.5)(0.5)(3.1)(1.0)
Equity Securities:
Gains on Sales— 0.2 0.4 0.5 — — 0.2 — 
Losses on Sales— — — — — — — — 
Other Investments:
Gains on Sales— — 0.1 0.2 — 0.1 — 0.1 
Losses on Sales— — — — — — — — 
Net Realized Investment Gains (Losses)$0.6 $0.4 $0.8 $3.9 $(0.1)$0.9 $1.0 $0.8 
Net Impairment Losses Recognized in Earnings
Other Assets2
$(21.0)$— $— $— $— $— $(21.0)$— 
Fixed Maturities(2.7)(0.8)(4.6)(2.9)(3.6)0.3 (3.5)(3.3)
Real Estate(0.6)(0.2)0.2 (0.1)— — (0.8)— 
Other0.6 (0.7)— (0.1)— — (0.1)— 
Net Impairment Losses Recognized in Earnings$(23.7)$(1.7)$(4.4)$(3.1)$(3.6)$0.3 $(25.4)$(3.3)
1Reduced by interest expense incurred on FHLB borrowings used for spread lending purposes of $3.5 million, $3.9 million, $4.4 million, $4.7 million, $4.8 million, $4.8 million, for the three months ended June 30, 2026, March 31, 2026, December 31, 2025, September 30, 2025, June 30, 2025 and March 31, 2025, respectively.
2 During the second quarter of 2026, the Company established an allowance for credit loss for the surplus notes related to the Reciprocal Exchange.



23

 

Kemper Corporation
Details of Invested Assets
(Dollars in Millions)
(Unaudited)
Jun 30, 2026Dec 31, 2025Dec 31, 2024
Carrying
Value		Percent
of Total		Carrying
Value		Percent
of Total		Carrying
Value		Percent
of Total
Fixed Maturities Reported at Fair Value:
U.S. Government and Government Agencies and Authorities$641.8 7.4 %$622.4 7.2 %$486.8 5.5 %
States and Political Subdivisions1,233.3 14.3 1,253.2 14.5 1,233.2 13.9 
Foreign Governments 8.5 0.1 11.0 0.1 6.6 0.1 
Corporate Securities:
Bonds and Notes3,710.3 42.9 3,650.3 42.2 3,519.6 39.6 
Redeemable Preferred Stocks9.8 0.1 10.2 0.1 8.9 0.1 
Collateralized Loan Obligations768.8 8.9 843.0 9.7 741.5 8.3 
Other Mortgage- and Asset-backed348.6 4.0 353.2 4.1 413.0 4.6 
Total Fixed Maturities Reported at Fair Value6,721.1 77.7 6,743.3 77.9 6,409.6 72.1 
Equity Securities Reported at Fair Value:
Preferred Stocks19.4 0.2 19.2 0.2 22.6 0.3 
Common Stocks57.1 0.7 65.0 0.7 1.4 — 
Other Equity Interests:
Exchange Traded Funds11.6 0.1 11.9 0.1 10.9 0.1 
Limited Liability Companies and Limited Partnerships221.5 2.6 210.3 2.4 183.6 2.1 
Total Equity Securities Reported at Fair Value309.6 3.6 306.4 3.4 218.5 2.5 
Equity Method Limited Liability Investments183.0 2.1 176.0 2.0 186.3 2.1 
Short-term Investments at Cost which Approximates Fair Value271.4 3.2 313.5 3.6 1,037.1 11.7 
Company-Owned Life Insurance598.2 6.9 579.2 6.7 539.2 6.1 
Loans to Policyholders279.4 3.2 279.9 3.2 280.7 3.2 
Other Investments:
Equity Securities Reported at Modified Cost18.6 0.2 21.7 0.3 22.5 0.2 
Real Estate at Depreciated Cost95.6 1.1 92.7 1.1 99.5 1.1 
Mortgage Loans151.0 1.8 149.8 1.7 75.3 0.8 
Other17.5 0.2 7.1 0.1 19.8 0.2 
Total Other Investments282.7 3.3 271.3 3.2 217.1 2.3 
Total Investments$8,645.4 100.0 %$8,669.6 100.0 %$8,888.5 100.0 %











24



Kemper Corporation
Details of Invested Assets (continued)
(Dollars in Millions)
(Unaudited)
Jun 30, 2026Dec 31, 2025Dec 31, 2024
Carrying
Value		Percent
of Total		Carrying
Value		Percent
of Total		Carrying
Value		Percent
of Total
S&P Equivalent Rating for Fixed Maturities
AAA, AA, A
$4,674.8 69.6 %$4,750.5 70.5 %$4,576.4 71.4 %
BBB
1,595.3 23.7 1,574.4 23.3 1,557.6 24.3 
BB, B
410.1 6.1 375.1 5.6 221.7 3.5 
CCC or Lower
40.9 0.6 43.3 0.6 53.9 0.8 
Total Investments in Fixed Maturities
$6,721.1 100.0 %$6,743.3 100.0 %$6,409.6 100.0 %
Duration (in Years)
Total Investments in Fixed Maturities
7.4 7.4 7.7 

25

Kemper Corporation
Investments in Limited Liability
Companies and Limited Partnerships
(Dollars in Millions)
(Unaudited)
Unfunded
Commitment		Reported Value
Asset ClassJun 30,
2026		Jun 30,
2026		Dec 31,
2025
Reported as Equity Method Limited Liability Investments:
Senior Debt$54.2 $21.2 $21.1 
Mezzanine Debt39.4 118.8 115.5 
Leveraged Buyout11.9 7.1 6.5 
Real Estate— 26.0 24.1 
Other1.8 9.9 8.8 
Total Equity Method Limited Liability Investments107.3 183.0 176.0 
Reported as Other Equity Interests at Fair Value:
Mezzanine Debt83.5 120.1 115.8 
Leveraged Buyout41.9 44.0 40.5 
Distressed Debt17.5 9.5 10.8 
Senior Debt7.3 24.5 25.5 
Growth Equity4.7 11.9 10.7 
Other3.9 11.5 7.0 
Total Reported as Other Equity Interests at Fair Value158.8 221.5 210.3 
Other Equity Investments— 4.5 5.9 
Total Investments in Limited Liability Companies and Limited Partnerships$266.1 $409.0 $392.2 

26

Kemper Corporation
Definitions of Non-GAAP Financial Measures


The Company believes that investors’ understanding of Kemper’s performance is enhanced by the disclosure of the following non-GAAP financial measures. The methods for calculating these measures may differ from those used by other companies and therefore comparability may be limited.

Adjusted Consolidated Net Operating Income is an after-tax, non-GAAP financial measure and is computed by excluding from Net (Loss) Income attributable to Kemper Corporation the after-tax impact of:

(i) Change in Fair Value of Equity and Convertible Securities;
(ii) Net Realized Investment Gains (Losses);
(iii) Impairment Losses;
(iv) Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs;
(v) Debt Extinguishment and Other Charges;
(vi) Goodwill Impairment;
(vii) Non-Core Operations; and
(viii) Significant non-recurring or infrequent items that may not be indicative of ongoing operations

Significant non-recurring items are excluded when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, and (b) there has been no similar charge or gain within the prior two years. The most directly comparable GAAP financial measure is Net (Loss) Income attributable to Kemper Corporation. There were no applicable significant non-recurring items that the Company excluded from the calculation of Adjusted Consolidated Net Operating Income for the three and six months ended June 30, 2026 or 2025.

The Company believes that Adjusted Consolidated Net Operating Income provides investors with a valuable measure of its ongoing performance because it reveals underlying operational performance trends that otherwise might be less apparent if the items were not excluded. Change in Fair Value of Equity and Convertible Securities, Net Realized Investment Gains (Losses) and Impairment Losses related to investments included in the Company’s results may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions that impact the values of the Company’s investments, the timing of which is unrelated to the insurance underwriting process. Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs may vary significantly between periods and are generally driven by the timing of business decisions which are unrelated to the insurance underwriting process. In the second quarter of 2026, the Company completed the sale of Newins and recorded a gain in connection with the transaction. In the third quarter of 2025, a restructuring program was launched to achieve operational and organizational efficiencies. The Company will continue to evaluate additional efficiency opportunities through 2027. Debt Extinguishment and Other Charges relate to (i) loss from early extinguishment of debt, which is driven by the Company’s financing and refinancing decisions and capital needs, as well as external economic developments such as debt market conditions, the timing of which is unrelated to the insurance underwriting process; and (ii) other charges that are non-standard, not part of the ordinary course of business, and unrelated to the insurance underwriting process. Goodwill Impairments are excluded because they are infrequent and non-recurring charges. Non-Core Operations includes the results of our Preferred Insurance business which we expect to fully exit. These results are excluded because they are irrelevant to our ongoing operations and do not qualify for Discontinued Operations under GAAP. Significant non-recurring items are excluded because, by their nature, they are not indicative of the Company’s business or economic trends. The preceding non-GAAP financial measures should not be considered a substitute for the comparable GAAP financial measures, as they do not fully recognize the profitability of the Company’s businesses.






















27

Kemper Corporation
Definitions of Non-GAAP Financial Measures (continued)


A reconciliation of Net (Loss) Income attributable to Kemper Corporation to Adjusted Consolidated Net Operating Income is presented below:

Three Months EndedSix Months Ended
Dollars in Millions (Unaudited)Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Net (Loss) Income attributable to Kemper Corporation
$(464.8)$(1.7)$(8.0)$(21.0)$72.6 $99.7 $(466.5)$172.3 
Less Net (Loss) Income From:
Change in Fair Value of Equity and Convertible Securities(1.4)(1.0)(1.4)(1.7)(0.4)0.1 (2.4)(0.3)
Net Realized Investment Gains (Losses)0.5 0.3 0.6 3.1 (0.1)0.7 0.8 0.6 
Impairment Losses(18.8)(1.3)(3.4)(2.5)(2.8)0.2 (20.1)(2.6)
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(11.6)(5.0)(15.5)(19.6)(3.8)(4.2)(16.6)(8.0)
Debt Extinguishment and Other Charges— — — — — 0.4 — 0.4 
Goodwill Impairment(460.0)— — — — — (460.0)— 
Non-Core Operations0.2 (7.2)(2.9)(20.7)(4.4)(3.9)(7.0)(8.3)
Adjusted Consolidated Net Operating Income$26.3 $12.5 $14.6 $20.4 $84.1 $106.4 $38.8 $190.5 

Adjusted Consolidated Net Operating Income Per Unrestricted Share is a non-GAAP financial measure. It is computed by dividing Adjusted Consolidated Net Operating Income by the weighted average unrestricted shares outstanding. The most directly comparable GAAP financial measure is Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share ‐ basic. A reconciliation of Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share - basic to Adjusted Consolidated Net Operating Income per Unrestricted Share is presented below:

Three Months EndedSix Months Ended
Dollars in Millions (Unaudited)Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Net (Loss) Income attributable to Kemper Corporation per Unrestricted Share
$(7.90)$(0.03)$(0.13)$(0.34)$1.13 $1.56 $(7.93)$2.69 
Less Net (Loss) Income per Unrestricted Share From:
Change in Fair Value of Equity and Convertible Securities(0.02)(0.02)(0.02)(0.03)— — (0.04)— 
Net Realized Investment Gains— 0.01 0.01 0.05 — 0.01 0.01 0.01 
Impairment Losses(0.32)(0.02)(0.06)(0.04)(0.04)— (0.34)(0.04)
Acquisition and Disposition Related Transaction, Integration, Restructuring and Other Costs(0.19)(0.09)(0.26)(0.32)(0.07)(0.07)(0.28)(0.14)
Debt Extinguishment and Other Charges— — — — — 0.01 — 0.01 
Goodwill Impairment(7.82)— — — — — (7.82)— 
Non-Core Operations— (0.12)(0.05)(0.33)(0.07)(0.06)(0.12)(0.13)
Adjusted Consolidated Net Operating Income per Unrestricted Share$0.45 $0.21 $0.25 $0.33 $1.31 $1.67 $0.66 $2.98 






28

Kemper Corporation
Definitions of Non-GAAP Financial Measures (continued)


Return on Adjusted Shareholders' Equity is a calculation that uses a non-GAAP financial measure. It is calculated by dividing the period’s annualized Net (Loss) Income attributable to Kemper Corporation, excluding the annualization of the after-tax goodwill impairment and the credit loss allowance recognized on the Reciprocal Exchange surplus notes, by the average shareholders’ equity excluding net unrealized gains and losses on fixed maturities, the change in discount rate on future life policyholder benefits and goodwill. Return on Shareholders' Equity is the most directly comparable GAAP measure. We use this non-GAAP measure to identify and analyze the change in performance attributable to management efforts between periods. The Company believes this non-GAAP financial measure is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period and are generally driven by economic developments, primarily capital market conditions, the magnitude and timing of which are not influenced by management. The Company believes it enhances understanding and comparability of performance by highlighting underlying business activity and profitability drivers.

A reconciliation of Return on Shareholders’ Equity to Return on Adjusted Shareholders' Equity is presented below:

Three Months EndedSix Months Ended
Dollars in Millions (Unaudited)Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025		Jun 30,
2026		Jun 30,
2025
Numerator:
Annualized Net (Loss) Income attributable to Kemper Corporation1
$(429.4)$(6.8)$(32.0)$(84.0)$290.4 $398.8 $(456.4)$344.6 
Denominator:
Average Shareholders' Equity2
$2,421.2 $2,665.5 $2,706.8 $2,842.8 $2,935.5 $2,853.0 $2,507.9 $2,886.5 
Less: Average Net Unrealized Losses on Fixed Maturities
616.6 601.5 559.8 595.9 638.6 667.6 599.8 657.9 
Less: Average Change in Discount Rate on Future Life Policyholder Benefits(391.9)(376.0)(333.4)(343.0)(368.0)(373.2)(378.2)(372.1)
Less: Average Goodwill(1,017.1)(1,250.7)(1,250.7)(1,250.7)(1,250.7)(1,250.7)(1,094.9)(1,250.7)
Average Adjusted Shareholders' Equity2
$1,628.8 $1,640.3 $1,682.5 $1,845.0 $1,955.4 $1,896.7 $1,634.6 $1,921.6 
Return on Shareholders' Equity:
Return on Shareholders' Equity(17.7)%(0.3)%(1.2)%(3.0)%9.9 %14.0 %(18.2)%11.9 %
Return on Adjusted Shareholders' Equity(26.4)%(0.4)%(1.9)%(4.6)%14.9 %21.0 %(27.9)%17.9 %
1 Excludes the annualization of the $460.0 million after-tax goodwill impairment and the $16.6 million after-tax credit loss allowance ($21.0 million pre-tax) recognized on the Reciprocal Exchange surplus notes for the three and six months ended June 30, 2026.
2 Average shareholders' equity and average adjusted shareholders’ equity for the three months ended is the simple average of the beginning and ending balances for the period. Average shareholders’ equity and average adjusted shareholders’ equity on a year-to-date basis is the (a) the sum of the balance at the beginning of the year and the ending balance for each quarter within that year divided by (b) the number of quarters in the period presented plus one.

Underlying Combined Ratio is a non-GAAP financial measure. It is computed by adding the Current Year Non-catastrophe Losses and LAE Ratio with the Insurance Expense Ratio. The most directly comparable GAAP financial measure is the Combined Ratio, which is computed by adding Total Incurred Losses and LAE Ratio, including the impact of catastrophe losses and loss and LAE reserve development from prior years, with the Insurance Expense Ratio.

The Company believes Underlying Losses and LAE and the Underlying Combined Ratio are useful to investors and uses these financial measures to reveal the trends in the Company’s Property & Casualty Insurance segment that may be obscured by catastrophe losses and prior-year reserve development. These catastrophe losses may cause the Company’s loss trends to vary significantly between periods as a result of their incidence of occurrence and magnitude and can have a significant impact on incurred losses and LAE and the Combined Ratio. Prior-year reserve developments are caused by unexpected loss development on historical reserves. Because reserve development relates to the re-estimation of losses from earlier periods, it has no bearing on the performance of the Company’s insurance products in the current period. The Company believes it is useful for investors to evaluate these components separately and in the aggregate when reviewing the Company’s underwriting performance.





29

Kemper Corporation
Definitions of Non-GAAP Financial Measures (continued)


Adjusted Book Value Per Share is a calculation that uses a non-GAAP financial measure. It is calculated by dividing shareholders’ equity after excluding the after-tax impact of net unrealized gains and losses on fixed income securities, the change in discount rate on future life policyholder benefits and goodwill by total Common Shares Issued and Outstanding. Book value per share is the most directly comparable GAAP financial measure. The Company uses the trends in book value per share excluding the after-tax impact of net unrealized gains and losses on fixed income securities, the change in discount rate on future life policyholder benefits and goodwill in conjunction with book value per share to identify and analyze the change in net worth excluding goodwill attributable to management efforts between periods. The Company believes the non-GAAP financial measure is useful to investors because it eliminates the effect of items that can fluctuate significantly from period to period and are generally driven by economic developments, primarily capital market conditions, the magnitude and timing of which are not influenced by management. The Company believes it enhances understanding and comparability of performance by highlighting underlying business activity and profitability drivers. The “Adjusted Book Value Per Share” metric was referred to as “Tangible Book Value Per Share” in prior periods.

A reconciliation of Book Value Per Share to Adjusted Book Value Per Share is presented below:

As of
Dollars and Shares in Millions Except Per Share Amounts (Unaudited)Jun 30,
2026		Mar 31,
2026		Dec 31,
2025		Sep 30,
2025		Jun 30,
2025		Mar 31,
2025
Numerator:
Kemper Corporation Shareholders’ Equity$2,192.8 $2,649.6 $2,681.4 $2,732.1 $2,953.4 $2,917.6 
Less: Net Unrealized Losses on Fixed Maturities
596.5 636.7 566.2 553.4 638.6 638.6 
Less: Change in Discount Rate on Future Life Policyholder Benefits(382.7)(401.1)(350.8)(316.0)(370.0)(366.0)
Less: Goodwill(783.5)(1,250.7)(1,250.7)(1,250.7)(1,250.7)(1,250.7)
Adjusted Shareholders' Equity$1,623.1 $1,634.5 $1,646.1 $1,718.8 $1,971.3 $1,939.5 
Denominator:
Common Shares Issued and Outstanding58.92258.82158.66760.20263.57663.979
Book Value Per Share:
Book Value Per Share$37.22 $45.05 $45.71 $45.38 $46.45 $45.60 
Less: Net Unrealized Losses on Fixed Maturities
10.13 10.82 9.65 9.19 10.04 9.98 
Less: Change in Discount Rate on Future Life Policyholder Benefits(6.50)(6.82)(5.98)(5.25)(5.82)(5.72)
Less: Goodwill(13.30)(21.26)(21.32)(20.77)(19.66)(19.55)
Adjusted Book Value Per Share$27.55 $27.79 $28.06 $28.55 $31.01 $30.31 
30