Citizens (NYSE:CIA) is positioning its life insurance business for growth through expansion in domestic final expense coverage, international U.S.-dollar-denominated policies and a planned modernization of its technology platform, Chief Executive Officer Jon Stenberg said during a company presentation.
Stenberg said the Austin, Texas-based insurer has nearly 250 employees, with employees originating from 26 countries, and policyholders in more than 80 countries. The company has more than 3,000 producing agents, nearly $2 billion in assets, more than $5 billion of life insurance coverage in force and $189 million in 2025 premium revenue, according to his presentation.
The United States is Citizens’ largest market, followed by Colombia, Taiwan, Venezuela, Ecuador and Argentina, Stenberg said. He added that roughly 15% of the company’s in-force business and premiums comes from other countries.
International value proposition
Stenberg said Citizens’ international insurance offerings are designed primarily for upper-middle-class and lower-affluent customers in markets where local currency instability, inflation or political uncertainty can be concerns. The company issues international products from Puerto Rico as U.S.-issued, U.S.-dollar life insurance policies.
“For the one thing that you really want peace of mind with might be the life insurance for your family,” Stenberg said, describing the appeal of dollar-denominated coverage in certain overseas markets.
He said the company’s current international products are not intended for the majority of consumers globally because a policy with a meaningful face amount can be expensive relative to local incomes. Citizens currently targets business owners and more affluent families seeking insurance protection outside their local financial systems, he said.
Citizens also sees opportunities to broaden its presence beyond Latin America. Stenberg identified Asia as a significant potential market, saying insurance markets in the region may offer room for disruption. In Africa and other markets, the company could potentially work with local partners, including arrangements in which partners use Citizens’ product portfolio while retaining risk, he said.
Technology transition and product expansion
A central part of the company’s strategy is replacing its existing life insurance administration system, which Stenberg said is based on assembly-language code that the company owns and has maintained. He said the system’s code dates back to 1969, making it increasingly difficult to find programmers fluent in the language.
Citizens plans to partner with a technology firm focused on developing a modern life insurance technology ecosystem, according to Stenberg. He said the company expects to move from its legacy system directly to a newer platform rather than navigating multiple generations of separate insurance administration systems.
Stenberg said the transition could support the expansion of Citizens’ white-label insurance model, under which distributors can market policies using their own names, branding and designs while Citizens provides the underlying insurance capabilities. About 60% of the company’s domestic final expense business currently comes through white-label programs, he said.
The new technology could also allow Citizens to introduce a broader portfolio of products internationally, including indexed universal life, guaranteed universal life, fixed and indexed annuities, linked-benefit products and customized term insurance, Stenberg said.
Domestic final expense growth
Stenberg said domestic final expense insurance has been the primary driver of consistent growth in direct first-year premiums. Citizens operates in 43 states and has been investing in policies, procedures and tools intended to make the business profitable and sustainable over the long term.
The average premium for the company’s domestic final expense product has recently been just under $1,000, fluctuating between about $900 and $1,100, he said. International policy premiums are higher.
While Stenberg said the company believes its mortality projections and mortality pricing are in place, it is continuing to focus on policy persistency. Because acquisition costs during the first year can exceed the premium received, policies that remain in force into their second and third years are particularly important to profitability, he said.
- Domestic underwriting uses application information and authorized data pulls, including medication history.
- International underwriting relies on language-capable staff who review local medical reports and laboratory results, alongside reinsurance tools and experienced underwriters.
- Citizens expects to pursue greater automation in international markets as relevant data becomes available.
Beyond life insurance, Stenberg said Citizens is interested in related products such as annuities, linked-benefit products, Medicare supplement coverage and certain hybrid long-term-care products. He said the company does not intend to become a dividend-paying stock in the near term, citing capital-intensive growth opportunities and a focus on deploying capital efficiently.
About Citizens (NYSE:CIA)
Citizens, Inc (NYSE:CIA) is an insurance holding company headquartered in Austin, Texas. Through its subsidiaries, the company primarily provides life insurance and related products to individuals and families in the United States and selected international markets.
Its product offerings include final-expense and burial insurance, ordinary whole-life and term-life policies, endowment products, and certain accident and health insurance coverage. These products are designed to provide financial protection, death benefits, and other forms of insurance support for policyholders and their beneficiaries.
Citizens has historically served customers in the United States as well as markets in Latin America and Asia.
