Company: PRI
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000950170-25-029882
Chunk: 149

Company: Primerica, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1
Chunk 149
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, and DAC is not subject to impairment testing.Intangible Asset. We have an indefinite-lived intangible asset on our consolidated balance sheets related to the 1989 purchase of the right to contract with the independent sales force. This asset represents the core distribution model of our business, which is our primary competitive advantage to profitably distribute term life insurance and investment and savings products on a significant scale, and as such, is considered to have an indefinite life. Any intangible asset that is deemed to have an indefinite useful life is not amortized but is subject to an annual impairment test. An impairment exists if the carrying value of the indefinite-lived intangible asset exceeds its fair value. This indefinite-lived intangible asset is supported by a significant portion of the discounted cash flows of our future business. We assessed this asset for impairment as of its annual assessment date, October 1, 2024, and determined that no impairment had occurred.Property and Equipment. Property and equipment, which are included in other assets, are stated at cost, less accumulated depreciation. Depreciation is recognized on a straight-line basis over the asset’s estimated useful life, which is estimated as follows: 

          Estimated Useful Life

          Data processing equipment and software
           
          3 to 7 years

          Leasehold improvements
           
          Lesser of 15 years or remaining life of lease

          Furniture and other equipment
           
          5 to 15 years
         
         Depreciation expense is included in other operating expenses in the consolidated statements of income. Depreciation expense was $18.2 million, $21.0 million, and $23.2 million for the years ended December 31, 2024, 2023, and 2022, respectively.Property and equipment balances were as follows: 

          December 31,

          2024

          2023

          (In thousands)

          Data processing equipment and software
           
          $
          135,251

          $
          122,753

          Leasehold improvements

          18,965

          18,052

          Other, principally furniture and equipment

          44,566

          38,142

          198,782

          178,947

          Accumulated depreciation

          (158,084
          )

          (141,343
          )

          Net property and equipment
           
          $
          40,698

          $
          37,604

         Separate Accounts