Record Sales and Capital, Strategic Progress Drive MassMutual’s Exceptional 2021 Growth and Performance

Massachusetts Mutual Life Insurance Company (MassMutual) reported excellent financial results for 2021 including record sales and capital levels that reached an all-time high and strong operating earnings while making significant progress on its long-term strategy and providing financial security for more Americans.

“MassMutual’s 170^th year was one of the best in our history, as we delivered an exceptional financial performance and made significant progress on our long-term growth strategy in another challenging year while helping more Americans achieve stability and financial security”

With the pandemic prompting more people to seek out financial security for themselves and their loved ones, MassMutual saw increased demand for its protection and planning solutions, solidifying the company’s position as a top life insurance provider. For the year ended December 31, 2021, sales of its core protection product, whole life insurance², grew 25 percent to a record $767 million. Sales of total individual life insurance grew 23 percent to $851 million, also an all-time high, bringing the total amount of insurance protection the company provides to $895 billion.

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These results along with strong sales contributions from the company’s broader portfolio of products and businesses, the excellent performance of the markets, and sound business and expense management helped drive operating earnings to $2.1 billion. MassMutual also maintained its excellent financial strength and flexibility, as statutory surplus grew 11 percent to $27 billion and total adjusted capital rose 15 percent to $32.8 billion both year-end record highs as the company continued to hold ratings that are among the highest of any company in any industry.³

This enduring financial strength enabled MassMutual to continue delivering long-term value, paying $7 billion in insurance and annuity benefits to its policyowners and customers. The company also approved a record estimated dividend payout of nearly $1.85 billion to eligible participating policyowners in 2022. This payout reflects a 6.00 percent dividend interest rate and is the 16^th consecutive year MassMutual has paid an industry-leading rate among its mutual peer companies.⁴

“MassMutual’s 170^th year was one of the best in our history, as we delivered an exceptional financial performance and made significant progress on our long-term growth strategy in another challenging year while helping more Americans achieve stability and financial security,” said Roger Crandall, Chairman, President and CEO, MassMutual. “Our 2021 results reflect our financial strength and flexibility, broad portfolio of holistic solutions, ability to meet our customers’ needs and expectations, and most of all, the hard work, dedication and resiliency of our employees and financial professionals who are committed to helping more people secure their future and protect the ones they love.”

Along with strong 2021 results, MassMutual continued to take steps to grow and strengthen its key businesses and investments, one of the company’s most distinct competitive advantages that helps with its goal to pay a competitive dividend. Most notably, MassMutual acquired Great American Life Insurance Company to help expand its relationships with banks and grow its suite of lifetime income solutions. In 2021, Great American Life’s record annuity sales helped drive MassMutual’s total annuity sales to more than $13 billion,⁵ positioning MassMutual to become one of the leading individual annuity providers in the U.S.

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MassMutual also continued to invest in solutions to improve the overall client and financial professional experience, while evolving its culture with a focus on sustainability, inclusion, and flexibility:

• MassMutual continued to improve its overall digital experience with the launch of Advisor360°, providing its financial professionals and their clients with instant, integrated access to clients’ portfolios to assist them with their financial planning. The company also enhanced its digital end-to-end platform that allows it to introduce new products and issue insurance protection more quickly.
• To create a stronger, more sustainable world for future generations, MassMutual established net-zero commitments for its operations and investment portfolio, while also announcing a strategic investment in Low Carbon, a UK-based renewable energy investor and asset manager, to leverage proven technologies that advance renewable energy at scale.
• Demonstrating its steadfast commitment to creating an organization and community that is diverse, equitable, and inclusive, MassMutual began publicly sharing its employee demographics and launched the MM Catalyst Fund, a $50 million fund to invest in diverse, overlooked entrepreneurs in Massachusetts.
• MassMutual continued to provide employees with extra time off and wellness programs to help manage through COVID-19, as well as introduced a new approach to daily work which balances personal flexibility with in-person teamwork. And to provide employees with spaces that embrace the future of collaborative work, MassMutual opened a new office building in Boston’s thriving Seaport District, allowing the company to draw on the best talent and resources from both ends of the Commonwealth.

“Our remarkable performance in 2021 underscores MassMutual’s enduring financial strength and solid operating fundamentals, as well as the ongoing successful execution of our strategy,” said Betsy Ward, Chief Financial Officer, MassMutual. “As we look ahead to 2022, we remain focused on ensuring the company is well positioned to deliver long-term value to our policyowners – guided by our financial flexibility and stability, long-term investment approach, extensive product suite, and commitment to mutuality.”

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