Company: PRI
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000950170-25-029882
Chunk: 71

Company: Primerica, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1
Chunk 71
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 way that would require retroactive changes to our business, accounting practices, or redundant reserve financing structure. Any such retroactive changes could have a material adverse effect on our business, financial condition and results of operations. 

The current regulatory climate with regard to climate change may adversely affect our business, financial condition, and results of operations. 

Activity by federal, state and provincial regulators relating to the possible impacts of climate change on companies and their constituents has resulted in heightened legislative and regulatory activity at the federal, state and provincial levels. For example, on March 6, 2024, the SEC issued a final rule aimed at enhancing and standardizing climate-related disclosures (the “SEC Climate-Related Disclosures rule”). Multiple legal challenges led the SEC to stay the SEC Climate-Related Disclosures rule pending completion of judicial review of the consolidated lawsuits in the U.S. Court of Appeals for the Eighth Circuit. The outcome of the pending judicial review is uncertain. Depending on the outcome of the U.S. Court of Appeals for the Eighth Circuit’s review or a potential withdrawal of the rule by the SEC, preparation of new disclosures may require significant assistance from third-party vendor(s), for which there may be high demand and limited availability. 

On October 7, 2023, California enacted The Climate Corporate Accountability Act (“SB 253”) and The Climate-Related Financial Risk Act (“SB 261”), which impose extensive new climate-related reporting requirements on any U.S. business entity with annual revenues over $1 billion and $500 million (for SB 253 and SB 261, respectively) doing business in California. SB 253 requires disclosure of Scope 1 and 2 greenhouse gas (“GHG”) emissions beginning in 2026 and Scope 3 GHG emissions beginning in 2027. SB 261 requires covered entities to biennially report on climate-related financial risk and measures adopted to reduce and adapt to such risk; however, the Company appears to be exempt from SB 261 because it already completes the Climate Risk Disclosure Survey, an annual survey administered by the California Department of Insurance. The Company is awaiting clarification as to whether the Company is exempt from SB 261. On September 27, 2024, California enacted Senate Bill 219 (“SB 219”), amending SB 253 and SB 261 by, among other things, (i) extending the deadline for the California Air Resources Board (“CARB”) to implement regulations from January 1, 2025 to July 1, 2025; (ii) author