Purpose &

Purpose &

2019 Annual Report


Who we

Who we

For nearly 110 years, New Orleans-based Pan-American Life Insurance Group (PALIG) has been a leading provider of insurance and financial services throughout the Americas. The Group’s more than 20-member companies employ 2,100 people and deliver trusted financial security and peace of mind to millions of policyholders.

Pan-American Life offers top-rated individual and group life, accident and health insurance, and financial services in 49 states, the District of Columbia (DC), Puerto Rico, the U.S. Virgin Islands, and throughout Latin America and the Caribbean.

  • Global Life

    • Whole Life
    • Term Life
    • Universal Life and Indexed Universal Life
    • Personal Accident
  • Global Benefits

    • Life
    • Accident
    • Health
    • Credit Life
    • Mass Marketing
    • Medical Stop Loss
    • Multinational Solutions

Not all products are available in all locations. For a complete list of the Group’s branches and affiliates as well as the products and services offered, visit palig.com.

From the CEO

From the CEO

Every time I have the opportunity to speak with our customers and producers in the field, I am reminded of the important role our products and services play in our clients’ lives. Of how much they value the peace of mind we give them because they can trust that Pan-American Life will be there to provide financial security at some of the most critical times in their lives. It is that purpose which guides us in our work every day and pushes us all to do better and make progress towards our goals; to continue delivering on that promise and supporting the communities in which we operate for years to come.

In 2019 we paid out more than $1.1 billion in benefits to our insureds and our legacy of service reached 75 years in Honduras and 80 years in Colombia. Having a solid financial foundation and achieving sustained growth in our business are essential elements for us to continue meeting our commitments to our customers and building mutually beneficial relationships with our business and community partners everywhere we operate.

With that in mind, I am extremely pleased to report that in 2019 PALIG achieved record levels for premium, pre-tax operating income and net income. Pre-Tax Operating Earnings grew to $109 million in 2019 with all business divisions posting strong results. GAAP revenues grew to $1.165 billion, compared to $1.1 billion in 2018. Sales improved to $658 million, up from $606 million in 2018, with Global Life sales up 15 percent. Net income increased to $90 million, compared to $66 million in the prior year. Total assets grew to $6.35 billion, compared to $5.94 billion in 2018, while total equity increased to $1.21 billion compared to $1.01 in the same period in 2018.

Our U.S. Life and Group businesses produced exceptional results in 2019 and product innovation continues to drive sales growth throughout the company. A good example of that is the introduction of Pan-American Global Assets IUL, our first-ever IUL product, which is now the best-selling product in our Life portfolio. Last year we also placed renewed emphasis on enhancing the Employee Benefits business in the U.S. and International, with very encouraging results. And the hard work we put over the past few years into optimizing our product pricing and introducing new term life and health products is now producing strong dividends.

In 2019 we also took an important step in our digital evolution with the addition of Miguel Edwards as PALIG’s new Chief Information Officer. Miguel will place special emphasis on continuing our digital transformation and modernization, keeping a pulse on emerging technologies and collaborating to support cyber security protocols.

Unfortunately, last year also witnessed the premature passing of Board member Dan Mulheran. Dan was an accomplished insurance industry professional and wonderful human being who provided valuable insight and counsel to our executive management team - and was taken from us all too soon. We will remember him fondly.

2019 marked a year of great progress that sets the foundation for 2020 and beyond. Our strategy will focus on accelerated U.S. growth, continued investment in technology and digital initiatives to improve the experience our customers and partners enjoy when conducting business with PALIG, enhancing our enterprise risk management process and the identification of opportunities in new sectors for business development.

Last year was also very special for me personally because it marked two important milestones in my career. I celebrated my 40th year working in the insurance industry and more importantly, my 15th year leading the PALIG organization.

Over those forty years I have learned to appreciate the great impact of the noble work we do and the difference we make in people’s lives throughout our entire value chain – from our insurance customers to our employees and business partners.  I have also been fortunate to have built a treasure trove of long-lasting relationships with people who not only have made me a better professional, but also a better person. Among them I count the many mentors who supported me along the way and to whom I owe much of the success that I have achieved in the industry.

I have enjoyed every step of that long journey, but the past 15 years have been truly special. Taking what was then a small mutual insurance company that some considered had seen its best days and working with our great team to turn it into the large dynamic organization that PALIG is today far exceeded my expectations. We should all be proud of what we have collaboratively accomplished– six-fold growth in revenues; quadrupling of our equity; and a sustained track record of earnings growth.

I’ve also navigated through a number of crises over these 40 years, from Hurricane Andrew, 9/11 and Hurricane Katrina to the more recent 2008 financial crisis, but none like this pandemic. The Coronavirus, or COVID-19, had impacted more than 180 countries at the completion of our 2019 annual report. As we assess the impact this may have on the global economy, I want to assure you of PALIG’s financial strength. We are operationally prepared to service all claims and well equipped to deal with the uncertainty to mitigate business impact. We remain focused on our core insurance business and vigilant of market trends. We can confirm we have experienced no widespread losses or any impairment or valuation issues with regard to troubled securities. We will continue to practice sound asset management in order to safeguard the financial interest of our policyholders.

I am confident that together we will emerge from this crisis stronger, and with the wisdom to continue to achieve new heights in the years ahead.


José S. Suquet
Chairman of the Board, President & CEO
Pan-American Life Insurance Group

Purpose &

Purpose &

2019 Highlights

Global Life

International Life:

  • Introduced an Indexed Universal Life offering to our Private Client Life portfolio; becoming the best-selling product in the portfolio
  • Completed the transition to electronic policy delivery for the Private Client Life business and preparing to implement it across the regions
  • Continued the expansion of our captive agency network in Latin America
  • Launched LifeDirect portal, an online service platform for producers in Latin America
  • Calibrated our talent acquisition and succession planning strategy in the Caribbean

U.S. Life:

  • Exceptional year in sales for Mutual Trust Life
  • Continued to recruit new Managing General Agents
  • Strengthened focus on agent recruitment across our distribution network
  • Completed 2017 Commissioner Standard Ordinary (CSO) product update

Global Benefits

International Group:

  • Maintained market share in Panama and Costa Rica to strengthen market leadership position, while growing substantially in the large Mexico and Colombia markets
  • Achieved significant growth in the Employee Benefits business in the Caribbean
  • Completed the implementation of a new administration system in the Caribbean as well as the resulting migration of in-force policies
  • Enhanced the PALIGMED wellness program by introducing a health risk assessment benefit and integrated the health care network, enabling us to continue to serve as a valuable partner

U.S. Group:

  • Added new Managing General Underwriter (MGU) partners to our Special Markets distribution
  • Restructured U.S. sales team to better align with distribution and optimize growth potential for both our Benefits and Accident lines of business
  • Experienced significant sales growth on the HolaDoctor platform during 2019 open enrollment period

Corporate Highlights

  • Record year for growth in premium, pre-tax operating income and net income
  • Executed C-suite succession plan following the retirements of key executives in leadership roles
  • Continued to advance the implementation of tools to strengthen the Anti-Money Laundering infrastructure
  • Remained on schedule for the rollout of new Governance, Risk and Compliance (GRC) system
  • Successfully implemented scalable platforms for human resources, treasury, and investment management and accounting
  • Enhanced Information Security capabilities through the addition of staff and introduction of additional detection and monitoring tools

Mutual Trust Life

Mutual Trust had a record year on several fronts in 2019. Sales growth of 28% increased cumulative annual growth rate since the merger to 15% per year, far outpacing the domestic life market and strengthening our reputation in the market as The Whole Life Company®. The strong sales results also drove record results for lives insured and death benefits issued, milestones that celebrate the impact that we have on our clients’ lives.

The primary drivers of Mutual Trust’s sustained success have been a disciplined agent recruiting strategy, an expanded product portfolio and superior customer service. This formula is simple, effective and repeatable: work with some of the finest distributors in the United States, develop products that help them create value for clients and exceed their service expectations. That consistency is a differentiator and the reason why clients and agents have made us their company of choice.


We’re proud to report that Pan-American Life Insurance Company, Pan-American Assurance Company International, Inc., Pan-American Assurance Company and INRECO International Reinsurance Company received an A (Excellent) rating from A.M. Best and an A (Strong) rating from Fitch Ratings. Additionally, Mutual Trust Life Insurance Company is also rated A (Excellent) by A.M. Best.

Pan-American Life’s rating affirmations reflect the benefits derived from the company’s long-established presence and name recognition in Latin America and the U.S. Hispanic marketplace, as well as its improved balance sheet and income statement. The ratings also reflect Pan-American Life’s solid consolidated risk-adjusted capitalization, well-performing fixed-income investment portfolio and positive net operating performance.” – A.M. Best

Pan-American's ratings reflect its very strong capitalization and relatively low-risk liability profile. The company’s strong balance sheet continues to be a key ratings driver with very strong capitalization and low leverage. The ratings also consider the successful integration of Mutual Trust, which has strengthened Pan-American's position in the U.S. life insurance market.” - Fitch Ratings


  • Pan-American Life Insurance Company’s statutory bond yield in 2019 of 5.30 percent compares exceptionally well to the Life Industry average derived from a comparable peer group of U.S. Life Insurers using S&P’s Global Market Intelligence Data Set.  The most updated statistic available from A.M. Best reports that in 2018, the average bond yield for the Life Industry was 4.46 percent
  • Pan-American Life Insurance Group achieved new investment yield of 4.80 percent, despite challenging environment of declining Treasury yields and compressed spreads.



Progressing Today. Protecting Tomorrow.

A culture of purpose drives an organization’s progress from the inside out. PALIG’s inspiring commitment to its employees and the communities where we operate enriches the PALIG culture, motivates life-changing contributions and fuels social impact. We set out to capture individual’s personal experiences as PALIG employees and their connection to our organization’s values, offerings and purpose.

What makes PALIG a great place to work

We had the opportunity to chat with Zhandra Marin, Global Compliance and Ethics Manager, about what makes PALIG a great place to work. She said, “I have witnessed so many acts of kindness (big and small) from our employees that I cannot help loving those around me. I have also made many good friends at work; some of them I consider family.” She also shared an anecdote about PALIG’s culture: “During a focus group with an external advisor we talked about our Company’s culture. I got to hear other team’s concerns and frustrations. The best part was that the employees’ feedback yielded to a swift analysis and response from senior management. Seeing that response was evidence of maturity as a company. I am really impressed at the higher management’s openness and receptivity.” She also shared her experience as part of the PALIG team: “There is a sense of responsibility that moves us to go above and beyond to meet our goals. This feels wonderful because I know that my team will do anything in their power to do what they need to do but also to help me achieve my milestones when I need help.”

Zhandra Marin

Zhandra Marin

Special Thanks

A special thank you to each and every one of our employees who combined create a dedicated and dynamic culture of purpose at Pan-American Life Insurance Group. Your individual contributions fuel our trusted relationships with our producers and our strategic partnerships across the Americas so that collaboratively we can successfully serve the insurance needs of our policyholders.

A Rewarding

A Rewarding

We came together across the Americas to transform our communities and make a lasting impact on thousands of lives. We are proud to support the local chapters of a number of organizations in the communities PALIG serves. Our efforts are made possible by the generosity, talent and dedication of our employees and producers.

Our 2019 Community partners

  • Actuarial Foundation
  • ALS Greater Chicago Chapter
  • Alzheimer Association
  • AmCham Guatemala
  • American Cancer Society
  • American Cancer Society
  • American Chamber of Commerce - Trinidad
  • American Heart Association
  • American Heart Association
  • American Lung Association
  • American Red Cross
  • Animal Car League
  • Artes Muy Especiales
  • Arts Council New Orleans
  • Arts Refreshing the Soul
  • Asociación Jesucristo es mi Hogar
  • Asociación Pro-Niñez Panameña
  • Athens Symphony Orchestra
  • Audubon Nature Institute
  • Back to School Illinois
  • Barbados Cancer Society
  • Barbados Fire Service
  • Barbados Jazz Society
  • Boy Scouts of America Southeast Louisiana Council
  • Brave Hearts
  • Bureau of Governmental Research
  • Casa Argentina New Orleans
  • Cayman Islands Red Cross
  • Church World Service
  • Club Activo 20-30
  • Club de Leones
  • Club Rotario
  • Covenant House
  • Crimestoppers, Inc.
  • Cruz Roja Panameña
  • Crystal Peaks Youth Ranch
  • Disabled American Veterans Charitable Trust
  • Easter Seals
  • El Hospital del Niño
  • Embajada Americana-Quito
  • Faces of Cancer - St. Lucia
  • French Quarter Festivals, Inc.
  • Fundación de Amigos con Leucemia y Cáncer – FANLYC
  • Fundación de Seguridad Ciudadana
  • Fundación Latidos
  • Fundación Valórate
  • Fundecan
  • Greater New Orleans, Inc.
  • Green Beret
  • Habitat for Humanity
  • HeartGift
  • Helps
  • Henderson Settlement
  • Hinsdale Hospital Foundation
  • Hispanic Chamber of Commerce of Louisiana
  • Hospital de Niños Benjamín Bloom
  • Instituto Oncológico Nacional
  • Junior Achievement of Greater New Orleans
  • Juntos Podemos Curundú
  • Lawrence Hall Youth Services
  • Leukemia & Lymphoma Society
  • Leukemia & Lymphoma Society of Mississippi/Louisiana
  • Liceo Javier
  • Lions Club
  • Little Brothers - Friends of the Elderly
  • Living Water Community - Trinidad
  • Loaves and Fishes Community Service
  • Louisiana Appleseed
  • Louisiana Children's Museum
  • Louisiana Philharmonic Orchestra
  • Lurie Children's Hospital Foundation
  • March of Dimes
  • March of Dimes
  • McMains Children's Developmental Center
  • Mi Navidad Diferente
  • Midwest Shelter for Homeless Vets
  • Misericordia
  • Mission of Our Lady of Mercy
  • Morning Star Mission Ministries
  • Movimiento Raíz
  • Museo de Arte Contemporáneo
  • National MS Society
  • New Orleans Ballet Association
  • New Orleans Community Outpost - Barbados
  • New Orleans Hispanic Heritage Foundation
  • New Orleans Museum of Art
  • New Orleans Police & Justice Foundation
  • Northern Illinois Food Bank
  • Ochsner Health System
  • Outreach to Haiti
  • Patronato del Servicio de Nutrición
  • Porque quiero a Colombia
  • Public Action to Deliver Shelter
  • Red Bird Mission
  • Ronald McDonald House Charities
  • Rotary Club of Port of Spain - Trinidad
  • Siervas de María
  • St. Balderick's Foundation
  • St. Jude's
  • St. Thomas Hospice
  • Susan G. Komen Breast Cancer
  • Susan G. Komen New Orleans
  • The Good Shephard School
  • The Idea Village
  • The Night Ministry
  • The Posse Foundation
  • The Pro Bono Project
  • Tobago Hospitality and Tourism Institute
  • Trinidad and Tobago Association for the Hearing Impaired
  • Trinidad and Tobago Cancer Society
  • Trinidad and Tobago Diabetes Association
  • United Way
  • United Way of Metropolitan Dallas
  • United Way of Miami-Dade
  • United Way of Southeast Louisiana
  • Vaushall Priary School - Barbados
  • Veterans of Foreign Wars
  • Warrens Sports Club
  • Wayside Cross Ministries
  • Wesley Hall Junior School - Barbados
  • West Suburban Community Pantry
  • West Suburban Symphony
  • Wounded Warrior Project
  • YMCA of Greater New Orleans

PALIG Exhibit at Tulane University’s Latin American Library

On November 20, PALIG celebrated the opening of Pan-American Life in New Orleans, at the Latin American Library at Tulane University. Co-sponsored by PALIG, the collection (MSS Collection 179) features photographs, manuscripts, historic corporate documents, publications, and memorabilia donated to the University archives in 2016, and shed light on a 109-year history of commercial and cultural ties between New Orleans and Latin America. The digital exhibit is now available to the public online via the Tulane Digital Repository.

Work in

Work in

2020 Key Initiatives and Vision

Key initiatives for 2020 include:

  • Drive organic premium growth with a focus on purposeful sales activity management
  • Implement enhancements to compliance infrastructure
  • Further embed Enterprise Risk Management considerations into all material processes
  • Continue development of corporate wide digital strategy
  • Invest in strengthening cyber security solutions
  • Target key sectors for mergers and acquisitions opportunities
  • Introduce new products to the Global Benefits and Global Life portfolio in United States and International segments
  • Execution of U.S. Group accelerated growth plan
  • Expand foreign national business and increase market penetration
  • Develop comprehensive scalable technology platform
  • Align our strategy to continue to achieve operational excellence to drive scalable, enterprise-wide transformation
  • Continue to enhance and develop portal strategy for Global Life and Global Benefits stakeholders in key international and U.S. markets
  • Invest in the expansion of wellness initiatives across the organization’s international footprint



Senior Management Committee

Mr. José S. Suquet

Chairman of the Board, President and CEO

Mr. Carlos F. Mickan

Vice Chairman of the Board, Head of Finance and Administration

Mr. Steve Friedman

Executive Vice president - Deputy Head of Corporate Finance and Chief Investment Officer

Mr. Robert DiCianni

President - Global Benefits

Mr. Bruce Parker

President - Global Life

Ms. Geri Gaughan

President & Chief Operating Officer Mutual Trust

Mr. Daniel Costello

Executive Vice President – International Markets

Ms. Lisa Baudot

Senior Vice President - Securities

Mr. Jose Corrada

Senior Vice President - General Counsel and Corporate Secretary

Mr. David Demmon

Senior Vice President – Chief Financial Officer

Mr. Miguel Edwards

Senior Vice President – Chief Information Officer

Mr. Frank Recio

Senior Vice President - International Business Technology and Operations

Mr. Bryan Scofield

Senior Vice President - Human Resources

Mr. Selig Ehrlich, FSA, MAAA

Chief Actuary and Risk Officer

Mr. Carlos Aldana

Vice President - Capital Management and Corporate Development

Ms. Paola Corrada

Vice President Chief Compliance Officer

Mr. Paul Engeriser

Vice President - Corporate Actuary

Mr. Alywin Fruge

Vice President - Internal Audit

Ms. Jennifer Lafleur

Vice President – Special Markets & Actuary

Mr. Robert Leali

Vice President – Information Security CISO

Mr. Rick Mabry

Vice President - Tax

Mr. Grant Martindale

Vice President – Chief Underwriter International Life

Mr. Carlo Mulvenna

Vice President - U.S. Group

Mr. Álvaro Muñoz

Vice President - Controller

Ms. Marta C. Reeves

Vice President - Corporate Marketing

Mr. William R. (Bill) Schultz, Jr

Vice President – International Group


Ms. María del Rosario Álvarez

Country Manager – Honduras

Mr. Carlos Chiriboga

Country Manager – Ecuador

Mr. José Antonio (Tony) Eleta

Country Manager – Panama

Ms. Maria Teresa Bolaños

Country Manager – El Salvador

Mr. Salvador Leiva

Country Manager – Guatemala

Mr. Juan Pablo Luque

Country Manager – Colombia

Mr. Alfredo Ramírez

Country Manager – Costa Rica

Ms. Greer Quan

Managing Director – Caribbean

Mr. Luis Carlos Covarrubias

Country Manager – Mexico

Mr. José Luis Vargas

Country Manager – Puerto Rico

Board of

Board of
Mr. Stephen Batza
Mr. Stephen Batza

Former President - U.S. Life Business
CEO, Mutual Trust Life Insurance Company;
Pan-American Life Insurance Group
Former Executive Vice President & Chief Operating Officer - Individual Life Business Unit
Liberty Mutual Group
Fellow of the Society of Actuaries and member of the American Academy of Actuaries

Mr. Jerry Carlisle
Mr. Jerry Carlisle

Financial Consultant
Former Adjunct Professor
Tulane University
Former Vice President, Controller & Chief Accounting Officer
Louisiana Land and Exploration Company
Former Audit Manager
Peat Marwick Mitchell & Co. (now KPMG)

Ms. Martha O. Hesse
Ms. Martha O. Hesse

Retired President
Hesse Gas Company
Former Chairman of the Board
Enbridge Energy Partners
Former Chairman
U.S. Federal Energy Regulatory Commission
Assistant Secretary for Management and Administration
U.S. Department of Energy

Ms. Suzanne T. Mestayer
Ms. Suzanne T. Mestayer

Owner & Managing Principal
ThirtyNorth Investments, LLC
Ochsner Health System

Mr. Carlos Mickan
Mr. Carlos Mickan

Vice Chairman of the Board, Head of Finance and Administration
Pan-American Life Insurance Group

Mr.  Wendell Mottley
Mr. Wendell Mottley

Former Chairman
Unit Trust Corporation
Former Minister of Finance Trinidad
Former Managing Director
Credit Suisse

Mr.  Carlos Palomares
Mr. Carlos Palomares

SMC Resources
Former COO of Capital One FSB
Former COO
Citibank Latin America Consumer Bank

Dr.  Patrick J. Quinlan
Dr. Patrick J. Quinlan

Former Chief Executive Officer
Ochsner Clinic Foundation & International Services
Former Executive Director
Center for Community Wellness and Health Policy
Former Chief Executive Officer
Ochsner Health System

Mr.  Coleman D. Ross
Mr. Coleman D. Ross

Retired Partner
Pricewaterhouse Coopers LLP

Mr. José S. Suquet
Mr. José S. Suquet

Chairman of the Board, President & CEO
Pan-American Life Insurance Group

Dr. José Antonio Villamil
Dr. José Antonio Villamil

Principal Advisor
The Washington Economics Group Inc.

Dan Mulheran
In Memoriam

Dan Mulheran
In Memoriam

We honor the life and achievements of our Board member Dan Mulheran, who passed away in October 2019. Dan was beloved and admired by many. He was an accomplished insurance industry professional and we’re grateful for his valuable insights, contributions and service to PALIG. He is missed.

Dan lived his life following two edicts that serve as humble reminders for all: "attitude + activity = success" and "Life should not be a journey to the grave with the intention of arriving safely in a well preserved body, but rather to skid in broadside in a cloud of smoke, thoroughly used up, totally worn out, and loudly proclaiming, 'wow, what a ride.'" -Hunter S. Thompson.


Summary of Operations

Pan-American Life Mutual Holding Company
As of December 31, 2019, 2018, and 2017

Revenues 2019 2018 2017  
Premiums $ 770,431 $ 719,514 $ 701,723  
Policy and contract fees 116,812 114,006 114,106  
Net investment income 259,847 254,220 243,141  
Other revenues 17,731 19,295 13,526  
Total Revenues $ 1,164,821 $ 1,107,035 $ 1,072,496  
And Expenses
2019 2018 2017  
Policyholder benefits and interest credited $ 668,307 $ 627,822 $ 617,166  
Underwriting, acquisition, insurance and other expenses 359,097 352,310 336,520  
Amortization of deferred policy acquistion costs 28,143 34,192 30,981  
Total benefits and expenses $ 1,055,547 $ 1,014,324 $ 984,667  
Income from operations before taxes and noncontrolling interest $ 109,274 $ 92,711 $ 87,829  
(Loss) income from discontinued operations net of tax - - -  
Net realized investment (losses) gains 9,716 (181) 8,688  
Income tax expense 23,894 26,164 19,029  
Income after taxes and before noncontrolling interest 95,096 66,366 77,488  
Noncontrolling interest in income 6 4 (2)  
Net Income $ 95,090 $ 66,362 $ 77,490  

Balance Sheet

Pan-American Life Mutual Holding Company
As of December 31, 2019, 2018, and 2017

Assets 2019 2018 2017  
Cash and invested assets $ 5,543,746 $ 5,093,184 $ 5,237,693  
Deferred policy acquisition costs 237,399 256,749 194,281  
Other assets 572,829 588,169 569,642  
Total Assets $ 6,353,974 $ 5,938,102 $ 6,001,616  
And Equity
2019 2018 2017  
Future policy benefits and claims $ 2,520,113 $ 2,456,753 $ 2,444,775  
Policyholder account balances and funds 2,198,109 2,099,268 2,132,760  
Other liabilities 384,343 368,763 358,471  
Total Liabilities $ 5,102,565 $ 4,924,784 $ 4,936,006  
Non controlling interests in subsidiaries $ 314 $ 286 $ 293  
Unassigned equity 1,161,858 1,065,103 1,001,843  
Accumulated other comprehensive (loss) income 89,237 (52,071) 63,474  
Total Equity $ 1,251,409 $ 1,013,318 $ 1,065,610  
Total Liabilities And Equity $ 6,353,974 $ 5,938,102 $ 6,001,616  



Undoubtedly, these unprecedented times call for exceptional leaders and heroic efforts. We thank the healthcare professionals on the frontlines of this pandemic, whose dedication to saving lives is an inspiration to all.