Company: PRI
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000950170-25-029882
Chunk: 485

Company: Primerica, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1A
Chunk 485
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The following is a summary of the risks and uncertainties that could have a material adverse effect on our business. See “Item 1A. Risk Factors” for additional information regarding these risks and uncertainties. 

Risks Related to Our Distribution Structure

•Our failure to continue to attract new recruits, retain independent sales representatives or license or maintain the licensing of independent sales representatives would materially adversely affect our business.

•A number of laws and regulations could apply to our independent contractor distribution model, which could require us to modify our distribution structure.

•There may be adverse tax, legal or financial consequences if the classification of the independent contractor sales representatives is changed. 

•The Company’s or the independent sales representatives’ violation of, or non-compliance with, laws and regulations and related claims and proceedings could expose us to material liabilities. 

Risks Related to Our Insurance Business and Reinsurance

•Our life insurance business may face significant losses or volatility if our actual experience differs from our expectations regarding mortality, persistency, disability or reinsurance.

•Our life insurance business is highly regulated, and statutory and regulatory changes may materially adversely affect our business. 

•A decline in the regulatory capital ratios of our insurance subsidiaries could result in increased scrutiny by insurance regulators and ratings agencies and have a material adverse effect on our business.

•A significant ratings downgrade by a ratings organization could materially adversely affect our business.

•The failure by any of our reinsurers or reserve financing counterparties to perform its obligations to us could have a material adverse effect on our business. 

Risks Related to Our Investment and Savings Products Business

•Our Investment and Savings Products segment is heavily dependent on a limited platform of mutual fund and annuity products offered by a relatively small number of companies and managers. If these products fail to remain competitive with other investment options, our business could be materially adversely affected.

•If our relationship with one or more of the manufacturers of the funds and annuities we distribute or investment managers we make available is significantly altered or terminated or there is a shift in the business mix, our business could be materially adversely affected. 

•The Company’s, or the independent sales representatives’ violations of, or non-compliance with, laws and regulations of the securities business could expose us to material liabilities.

•If heightened standards of conduct are imposed on us or the independent sales representatives by federal, state or provincial authorities, or selling compensation is reduced as a result of new legislation or regulations, it could have a material adverse effect on our business. 

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•If our suitability policies and