Horace Mann Educators reports $58.5 million net income for Q3 2026

Cover page 3 changes

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For the quarterly period ended June September 30, 2026

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As of July 31, October 30, 2026, the registrant had 40,501,054 40,518,742 common shares, $0.001 par value, outstanding.

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FOR THE QUARTERLY PERIOD ENDED JUNE SEPTEMBER 30, 2026

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Financial statements 5 changes

Consolidated Balance Sheets as of June September 30, 2026 (Unaudited) and December 31, 2025

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Three and Six Nine Months Ended June September 30, 2026 and 2025 (Unaudited)

Consolidated Statements of Changes in Shareholders' Equity for the Three and Six Nine

Months Ended June September 30, 2026 and 2025 (Unaudited)

Consolidated Statements of Cash Flows for the Six Nine Months Ended June September 30, 2026 and 2025 (Unaudited)

I Consolidated Financial Statements 154 changes

3 unchanged paragraphs

Limited partnership interests

(Carried Under Fair Value Option, 2026, $ 26.9 and 2025, $ 0.0 )

Other investments 116.7 99.0

Intangible assets 134.4 141.5

June September 30, 2026 December 31, 2025

Fixed maturity securities, available for sale, at fair value (amortized cost, net 2026, $ 6,125.5 6,149.9 ; 2025, $ 6,026.7 )

Equity securities at fair value, (cost 2026, $ 56.2 and 2025, $ 56.2 )

Limited partnership interests (Carried Under Fair Value Option,

2026, $ 44.0 and 2025, $ 0.0 )

Short-term investments 184.8 117.1 210.4

Other investments 112.4 99.0

Deferred policy acquisition costs 358.2 360.1 358.2

Reinsurance balances receivable 409.2 409.1 419.0

Deposit asset on reinsurance 2,345.4 2,333.6 2,369.6

Intangible assets 130.8 141.5

Other assets 440.8 440.1 434.5

Separate Account variable annuity assets 4,469.8 4,505.6 4,157.4

Total assets $ 15,604.4 15,400.5 $ 15,266.6

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Unearned premiums 369.1 372.1

Future policy benefit reserves $ 1,586.5 1,463.3 $ 1,611.5

Policyholders' account balances 5,041.8 5,043.2 5,064.1

Unpaid claims and claim expenses 587.8 571.3 565.2

Unearned premiums 383.7 372.1

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Other liabilities 376.3 374.0

Total liabilities 14,101.5 13,783.9

Other policyholder funds 1,076.0 1,091.0 1,046.2

Other liabilities 326.6 374.0

Long-term debt 594.2 594.6 593.4

Separate Account variable annuity liabilities 4,469.8 4,505.6 4,157.4

Total liabilities 13,979.3 13,783.9

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issued, 2026, 67,580,562 67,587,965 ; 2025, 67,323,929

Additional paid-in capital 544.0 546.4 538.8

Retained earnings 1,704.7 1,748.3 1,651.7

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Net unrealized investment losses on fixed maturity securities ( 281.9 494.8 ) ( 245.5 )

Net reserve remeasurements attributable to discount rates 110.0 196.2 93.4

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Treasury stock, at cost, 2026, 27,086,418 27,109,244 shares;

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Total shareholders' equity 1,502.9 1,421.2 1,482.7

Total liabilities and shareholders' equity $ 15,604.4 15,400.5 $ 15,266.6

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Second Third Quarter 2026 Form 10-Q

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June 30, Six Months Ended

September 30, Nine Months Ended

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Net premiums and contract charges earned $ 316.9 $ 302.6 $ 629.9 $ 600.9

Net investment income 120.5 110.8 231.2 226.7

Net investment losses ( 0.1 ) ( 5.9 ) ( 2.3 ) ( 9.2 )

Other income 6.2 4.2 14.0 9.7

Net premiums and contract charges earned $ 318.0 $ 310.3 $ 947.9 $ 911.2

Net investment income 139.7 119.6 370.9 346.3

Net investment gains (losses) ( 26.2 ) 3.3 ( 28.5 ) ( 5.9 )

Other income 7.7 5.3 21.7 15.0

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(Reserve remeasurement (gains)/losses, $ 0.5 ; $( 2.4 ); $ 0.6 ; $( 0.3 ))

Interest credited 54.6 52.7 108.4 105.5

Operating expenses 108.5 96.9 212.0 187.7

DAC amortization expense 32.0 29.9 64.3 59.5

Interest expense 9.6 8.6 19.1 17.5

(Reserve remeasurement (gains)/losses, $ 8.8 ; $ 4.8 ; $ 9.4 ; $ 4.5 )

Interest credited 55.6 55.7 164.0 161.2

Operating expenses 102.2 96.3 314.2 284.0

DAC amortization expense 31.9 31.5 96.2 91.0

Intangible asset amortization expense 3.5 3.6 7.1 7.2 10.6 10.8

Interest expense 9.6 8.9 28.7 26.4

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Basic $ 1.02 $ 0.71 $ 2.03 $ 1.64

Diluted $ 1.01 $ 0.71 $ 2.01 $ 1.63

Basic $ 1.43 $ 1.42 $ 3.46 $ 3.05

Diluted $ 1.41 $ 1.40 $ 3.43 $ 3.03

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Basic 40.9 41.3 41.2 40.9 41.3

Diluted 41.2 41.4 41.6 41.2 41.3 41.6

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Change in net unrealized investment losses on

fixed maturity securities

Change in net unrealized investment gains (losses) on fixed maturity securities ( 212.9 ) 59.1 ( 249.3 ) 106.6

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Other comprehensive income

Comprehensive income

Other comprehensive income (loss) ( 126.7 ) 38.7 ( 146.5 ) 75.1

Comprehensive income (loss) $ ( 68.2 ) $ 97.0 $ ( 5.2 ) $ 201.0

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Second Third Quarter 2026 Form 10-Q

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June 30, Six Months Ended

September 30, Nine Months Ended

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Beginning balance 538.7 526.1 538.8 525.2

Beginning balance 544.0 530.4 538.8 525.2

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restricted stock units 2.8 1.7 0.6 0.1

Share-based compensation expense 2.5 2.6 4.6 5.1

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and 74 more changes in the filing

Business 706 changes

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The accompanying Consolidated Financial Statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) and with the rules and regulations of the Securities and Exchange Commission (SEC). Certain information and disclosures normally included in annual financial statements prepared in conformity with GAAP, but are not required for interim reporting purposes, have been omitted. These Consolidated Financial Statements and Notes thereto should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in Part II - Item 8 of the Company's Annual Report on Form 10-K for the year ended December 31, 2025. The results of operations for the three and six nine months ended June September 30, 2026 are not necessarily indicative of the results to be expected for the full year.

The accompanying Consolidated Financial Statements and Notes thereto are unaudited and reflect all adjustments (generally consisting only of normal recurring accruals) which are, in the opinion of management, necessary for the fair presentation of the consolidated financial position, results of operations and cash flows for the interim periods. The Company's significant accounting policies are summarized in Part II - Item 8, Note 1 of the Consolidated Financial Statements in the Company's Annual Report on Form 10-K for the year ende d ended December 31, 2025.

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Second Third Quarter 2026 Form 10-Q

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NOTE 2 - Investments Acquisitions

On July 21, 2026 the Company announced that it entered into a Membership Interest Purchase Agreement, with Medical Mutual of Ohio (MMO), pursuant to which the Company will acquire all of the equity interests of Employee Services LLC, a New York limited liability company (ESI). Pursuant to the Membership Interest Purchase Agreement and subject to the terms and conditions set forth in the Membership Interest Purchase Agreement, the Company would acquire all of the equity interests of ESI for approximately $ 115 million.

Effective October 1, 2026, the Company completed its acquisition of ESI in an all-cash transaction for $ 117.2 million, including customary purchase price adjustments. As a result of the acquisition, ESI became a wholly owned subsidiary of the Company.

On July 21, 2026, the Company announced that it entered into a Master Transaction Agreement, with MMO and Medical Mutual Life Insurance Company (MML), pursuant to which (i) the Company agreed to acquire all of the issued and outstanding shares of the common stock of Reserve National Insurance Company, an insurance company organized under the laws of the State of Illinois (RNIC), and (ii) MML agreed to reinsure to an affiliate of the Company the group life and disability insurance contracts (such reinsurance, the Reinsurance Transaction and together with the Stock Purchase, the Acquisition).

Subject to the terms and conditions of the Master Transaction Agreement, the Company will acquire all of the outstanding stock of RNIC for a purchase price of approximately $ 125 million, and the Company's applicable affiliate will pay MML a ceding commission of approximately $ 7.4 million in connection with the Reinsurance Transaction. With respect to the purchase of RNIC, the net purchase price includes approximately $ 10 million of excess statutory capital expected to remain in RNIC at closing. The purchase price and ceding commission are expected to be funded with cash on hand and borrowings under the Company's existing credit facility. The existing Medicare supplement insurance policies of RNIC will be excluded from the Acquisition, and prior to the closing of the Acquisition, will be reinsured by RNIC to MMO or otherwise transferred out of RNIC. The Master Transaction Agreement and the consummation of the transactions contemplated therein have been approved by

Horace Mann Educators Corporation 6

Third Quarter 2026 Form 10-Q

NOTE 2 - Acquisitions (continued)

the Company's Board of Directors. The closing of the Acquisition is expected to occur in the first quarter of 2027, subject to the satisfaction or waiver of applicable closing conditions as well as approval by certain regulators.

NOTE 3 - Investments

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June 30, Six Months Ended

Fixed maturity securities $ 75.2 $ 59.4 $ 146.4 $ 131.0

Equity securities 0.8 1.0 1.3 2.0

Limited partnership interests 17.2 23.2 30.4 39.5

Short-term and other investments 5.3 5.2 10.6 10.6

Investment expenses ( 2.3 ) ( 3.1 ) ( 5.4 ) ( 5.9 )

September 30, Nine Months Ended

Fixed maturity securities $ 76.8 $ 71.5 $ 223.2 $ 202.5

Equity securities 0.5 0.9 1.8 2.9

Limited partnership interests 35.5 21.4 65.9 60.9

Short-term and other investments 6.1 5.8 16.6 16.4

Investment expenses ( 3.4 ) ( 3.2 ) ( 8.7 ) ( 9.1 )

1 unchanged paragraph

Investment income - deposit asset on reinsurance 24.3 25.1 47.9 49.5 24.2 23.2 72.1 72.7

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Horace Mann Educators Corporation 6

Second Quarter 2026 Form 10-Q

NOTE 2 - Investments (continued)

3 unchanged paragraphs

June 30, Six Months Ended

Fixed maturity securities $ ( 0.1 ) $ ( 4.1 ) $ 0.4 $ ( 3.9 )

Equity securities ( 0.3 ) ( 0.7 ) ( 1.6 ) ( 2.0 )

Short-term investments and other 0.3 ( 1.1 ) ( 1.1 ) ( 3.3 )

September 30, Nine Months Ended

Fixed maturity securities $ ( 2.1 ) $ ( 0.6 ) $ ( 1.7 ) $ ( 4.5 )

Equity securities ( 2.8 ) 2.2 ( 4.4 ) 0.2

Limited partnership interests ( 20.1 ) — ( 20.1 ) —

Short-term investments and other ( 1.2 ) 1.7 ( 2.3 ) ( 1.6 )

1 unchanged paragraph

For the three and nine months ended September 30, 2026, total net investment losses increased primarily due to the sale of one limited partnership fund during the quarter ended September 30, 2026.

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Horace Mann Educators Corporation 7

Third Quarter 2026 Form 10-Q

NOTE 3 - Investments (continued)

3 unchanged paragraphs

June 30, Six Months Ended

Credit loss impairments $ — $ ( 0.9 ) $ — $ ( 0.9 )

Total impairments ( 0.1 ) ( 3.1 ) ( 0.1 ) ( 3.1 )

Sales and other, net 4.2 2.0 6.2 4.1

September 30, Nine Months Ended

Credit loss impairments $ ( 4.0 ) $ 1.0 $ ( 4.0 ) $ ( 1.2 )

Intent-to-sell impairments ( 0.1 ) ( 2.2 0.7 ) ( 0.1 0.2 ) ( 2.2 1.6 )

Total impairments ( 4.1 ) 0.3 ( 4.2 ) ( 2.8 )

Sales and other, net ( 14.7 ) 0.3 ( 8.5 ) 4.4

Change in fair value - equity securities ( 0.3 ) ( 0.7 ) ( 1.6 2.8 ) 2.2 ( 1.9 4.4 ) 0.3

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June 30, Six Months Ended

September 30, Nine Months Ended

Beginning balance $ 2.1 $ 0.9 3.1 $ 2.1 $ 0.9

Credit losses on fixed maturity securities for which credit losses were not previously reported — 3.1 — 3.1 4.0 0.2 4.0 3.3

1 unchanged paragraph

NOTE 2 - Investments (continued)

Reduction of credit allowances related to sales — ( 1.2 ) — ( 1.2 )

Ending balance $ 6.1 $ 2.1 $ 3.1 6.1 $ 2.1 $ 3.1

Horace Mann Educators Corporation 7 8

Second Third Quarter 2026 Form 10-Q

NOTE 3 - Investments (continued)

10 unchanged paragraphs

Municipal bonds 1,222.4 23.9 82.8 1,163.5

Corporate bonds 2,139.1 15.2 199.8 1,954.5

Other asset-backed securities 1,684.6 7.5 26.4 1,665.7

Totals $ 6,125.5 $ 52.0 $ 410.5 $ 5,767.0

Municipal bonds 1,216.5 9.4 146.0 1,079.9

Foreign government bonds 8.6 — 0.7 7.9 1.0 7.6

Corporate bonds 2,126.3 3.9 295.0 1,835.2

Other asset-backed securities 1,695.1 4.1 51.1 1,648.1

Totals $ 6,149.9 $ 17.7 $ 646.8 $ 5,520.8

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NOTE 2 - Investments (continued)

Horace Mann Educators Corporation 8 9

Second Third Quarter 2026 Form 10-Q

NOTE 3 - Investments (continued)

The following table presents the fair value and gross unrealized losses for fixed maturity securities in an unrealized loss position as of June September 30, 2026 and December 31, 2025, respectively. The Company views the decrease in fair value of all of the fixed maturity securities with unrealized losses as of June September 30, 2026 as due to factors other than a credit loss. As of June September 30, 2026, the Company has not made the decision to sell and it is not more likely than not the Company will be required to sell the fixed maturity securities with unrealized losses before a recovery of the amortized cost basis. In reaching our conclusion that an allowance for credit is unnecessary, we considered the factors described in the evaluation of credit loss impairments for fixed maturity securities critical accounting estimate in our Annual Report on Form 10-K. In the current three months ended June September 30, 2026, the performance of fixed maturity securities has been impacted by the change in interest rates, specifically interest rates being at relatively high levels compared to interest rates at the time of acquisition of the securities. In consideration of the factors, we expect to receive cash flows sufficient to recover the entire amortized cost basis of the securities in the following table.

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Mortgage-backed securities $ 174.5 $ 2.3 $ 225.5 $ 39.9 $ 400.0 $ 42.2

Municipal bonds 108.4 2.0 584.1 80.8 692.5 82.8

Mortgage-backed securities $ 432.9 $ 22.3 $ 210.6 $ 52.4 $ 643.5 $ 74.7

Municipal bonds 418.3 23.2 529.6 122.8 947.9 146.0

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and 626 more changes in the filing

I Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A) 375 changes

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Measures within this MD&A that are not based on accounting principles generally accepted in the United States of America (non-GAAP) are marked with an asterisk (*) the first time they are presented within this Part I - Item 2. An explanation of these measures is contained in the Glossary of Selected Terms included as Exhibit 99.1 to this Quarterly Report on Form 10-Q and are reconciled to the most directly comparable measures prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) in the Appendix to the Company's Second Third Quarter 2026 Investor Supplement.

2 unchanged paragraphs

Our vision is to be the company of choice to provide insurance and financial solutions for all educators and others who serve their communities, whether they engage with Horace Mann directly or through their district/employer. We believe the unique value of Horace Mann is providing solutions tailored for educators at each stage of their lives, empowering them to achieve lifelong financial success. Our motivation stems from our gratitude for educators: They are looking after our children's futures, and we believe they deserve someone to look after theirs. Our commitment to having a positive impact on our customers' lives extends to all our corporate stakeholders, including employees, agents, investors and the communities where we live and work.

Horace Mann Educators Corporation 41 42

Second Third Quarter 2026 Form 10-Q

look after theirs. Our commitment to having a positive impact on our customers' lives extends to all our corporate stakeholders, including employees, agents, investors and the communities where we live and work.

We conduct and manage our business in four reporting segments. The three reporting segments representing our major lines of business are: (1) Property & Casualty (primarily personal lines of auto and property insurance products), (2) Life & Retirement (primarily tax-qualified fixed and variable annuities as well as life insurance products), and (3) Supplemental & Group Benefits (primarily cancer, heart, hospital, supplemental disability, accident, short-term and long-term group disability, and group term life coverages). We do not allocate the impact of corporate-level transactions to these reporting segments, consistent with the basis for management's evaluation of the results of those segments, but classify those items in the fourth reporting segment, Corporate & Other. In addition to ongoing transactions such as corporate debt service, net investment gains (losses) and certain public company expenses, such items also have included corporate debt retirement costs, when applicable. See Part I - Item 1, Note 7 8 of the Consolidated Financial Statements in this Quarterly Report on Form 10-Q for more information.

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June September 30, 2026-2025 Six Nine Months Ended

September 30, 2026-2025

1 unchanged paragraph

Total revenues $ 443.5 $ 411.7 7.7 % $ 872.8 $ 828.1 5.4 %

Total revenues $ 439.2 $ 438.5 0.2 % $ 1,312.0 $ 1,266.6 3.6 %

1 unchanged paragraph

(0.1) (4.7) N.M. (1.8) (7.3) N.M.

(20.6) 2.7 N.M. (22.4) (4.6) N.M.

1 unchanged paragraph

— (0.11) N.M. (0.04) (0.17) N.M.

Book value per share $ 37.11 $ 33.31 11.4 %

(0.50) 0.06 N.M. (0.54) (0.11) N.M.

Book value per share $ 35.11 $ 35.31 -0.6 %

1 unchanged paragraph

12.2 % 10.8 % 1.4 pts 12.2 % 10.8 % 1.4 pts

Net income return on equity - annualized 11.2 % 8.7 % 2.5 pts 11.1 % 10.2 % 0.9 pts

12.1 % 12.2 % -0.1 pts 12.1 % 12.2 % -0.1 pts

Net income return on equity - annualized 16.0 % 16.6 % -0.6 pts 13.0 % 12.3 % 0.7 pts

For the three and six nine months ended June September 30, 2026, net income increased $12.2 $0.2 million and $15.2 $15.4 million, respectively, primarily due to improved Property & Casualty segment results reflecting the impact of improved underlying results and lower catastrophe favorable prior year development and higher net investment income that were offset by higher net investment losses.

Horace Mann Educators Corporation 42 43

Second Third Quarter 2026 Form 10-Q

3 unchanged paragraphs

June September 30, 2026-2025 Six Nine Months Ended

September 30, 2026-2025

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Net investment income 120.5 110.8 8.8 % 231.2 226.7 2.0 %

Net investment income 139.7 119.6 16.8 % 370.9 346.3 7.1 %

1 unchanged paragraph

(0.1) (5.9) N.M. (2.3) (9.2) N.M.

Other income 6.2 4.2 47.6 % 14.0 9.7 44.3 %

Benefits, claims and settlement expenses 186.3 183.5 1.5 % 362.7 366.7 -1.1 %

Interest credited 54.6 52.7 3.6 % 108.4 105.5 2.7 %

Operating expenses 108.5 96.9 12.0 % 212.0 187.7 12.9 %

DAC amortization expense 32.0 29.9 7.0 % 64.3 59.5 8.1 %

Interest expense 9.6 8.6 11.6 % 19.1 17.5 9.1 %

(26.2) 3.3 N.M. (28.5) (5.9) N.M.

Other income 7.7 5.3 45.3 % 21.7 15.0 44.7 %

Benefits, claims and settlement expenses 163.8 171.0 -4.2 % 526.5 537.7 -2.1 %

Interest credited 55.6 55.7 -0.2 % 164.0 161.2 1.7 %

Operating expenses 102.2 96.3 6.1 % 314.2 284.0 10.6 %

DAC amortization expense 31.9 31.5 1.3 % 96.2 91.0 5.7 %

Intangible asset amortization expense 3.5 3.6 -2.8 % 7.1 7.2 -1.4 10.6 10.8 -1.9 %

Interest expense 9.6 8.9 7.9 % 28.7 26.4 8.7 %

3 unchanged paragraphs

For the three and six nine months ended June September 30, 2026, net premiums and contract charges earned increased $14.3 $7.7 million and $29.0 $36.7 million as the Property & Casualty segment had higher sales* in the Property business lines and the Company experienced strong growth in our Supplemental and Group Benefits segment.

1 unchanged paragraph

June 30, Six Months Ended

For the three and six nine months ended June September 30, 2026, total net investment income increased $9.7 $20.1 million and $4.5 $24.6 million. The increase for the quarter is primarily due to continued strong returns from our fixed income portfolio and higher returns from our limited partnership funds. Excluding the reduction in net investment income due to an immaterial out-of period correction of an error of $10.2 million in the prior year comparative periods, net investment income increased $14.4 million for the nine months ended September 30, 2026. The annualized investment yield on the portfolio excluding limited partnership interests* was as follows:

September 30, Nine Months Ended

Investment yield, excluding limited partnership interests, pretax - annualized* (1)

pretax - annualized* (1)

Investment yield, excluding limited partnership interests, after tax - annualized*

after tax - annualized* 4.0% 4.0% 3.8% 3.7%

During the three and six nine months ended June September 30, 2026, we continued to identify and purchase investments with attractive risk-adjusted yields relative to market conditions without venturing into asset classes or individual securities that would be inconsistent with our overall investment guidelines. The Company continues to deploy capital in accordance with its strategic asset allocation framework, with the objective of maintaining diversification while balancing risk and return. Investments are allocated across public and private fixed income strategies, commercial mortgage loan funds, and limited partnership interests based on relative value considerations, portfolio capacity, and income objectives.

Horace Mann Educators Corporation 43 44

Second Third Quarter 2026 Form 10-Q

1 unchanged paragraph

For the three and six nine months ended June September 30, 2026, total net investment losses decreased increased by $5.8 $29.5 million and $6.9 $22.6 million, respectively. The increase was primarily due to the sale of one limited partnership fund during the quarter ended September 30, 2026. The breakdown of net investment gains (losses) by transaction type were as follows:

1 unchanged paragraph

June 30, Six Months Ended

Sales and other, net 4.2 2.0 6.2 4.1

September 30, Nine Months Ended

Credit loss and intent-to-sell impairments $ (0.1) (4.1) $ (3.1) 0.3 $ (0.1) (4.2) $ (3.1) (2.8)

Sales and other, net (14.7) 0.3 (8.5) 4.4

Change in fair value - equity securities (2.8) 2.2 (4.4) 0.3 (0.7) (1.6) (1.9)

Change in fair value and gains (losses) realized on settlements - derivatives (3.9) (4.1) (6.8) (8.3) (4.6) 0.5 (11.4) (7.8)

2 unchanged paragraphs

For the three and six nine months ended June September 30, 2026, other income increased $2.0 $2.4 million and $4.3 $6.7 million, respectively.

1 unchanged paragraph

For the three and six months ended June 30, 2026, interest credited increased $1.9 million and $2.9 million, respectively.

For the three and six nine months ended June September 30, 2026, benefits, claims and settlement expenses increased $2.8 decreased $7.2 million and decreased $4.0 $11.2 million, primarily due to the Property & Casualty segment having lower catastrophe and underlying losses while the Supplemental and Group Benefits segment as well as lower Retirement benefits increased due related to higher utilization. assumption changes compared to the prior year.

For the three and nine months ended September 30, 2026, interest credited decreased $0.1 million and increased $2.8 million, respectively.

Under the deposit method of accounting, the interest credited on the reinsured annuity block continues to be reported. The average deferred annuity credited rate, excluding the reinsured annuity block, was 3.4% 3.5% and 3.3% 3.4% as of June September 30, 2026 and June September 30, 2025, respectively.

For the three and six nine months ended June September 30, 2026, operating expenses increased $11.6 $5.9 million and $24.3 $30.2 million, respectively, reflecting higher expenses related to our Early Retirement Offering and acquisition expenses in the Corporate & Other segment.

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For the three and six nine months ended June September 30, 2026, DAC amortization expense increased $2.1 $0.4 million and $4.8 $5.2 million, primarily due to premium increases in the Property & Casualty segment driving higher commission and underwriting expenses which increase DAC asset levels.

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For the three and six nine months ended June September 30, 2026, intangible asset amortization expense was flat with prior year.

For the three and six nine months ended June September 30, 2026, interest expense increased $1.0 $0.7 million and $1.6 $2.3 million, respectively, due to an increase in the level of debt associated with the issuance of the 2025 Senior Notes that were used to repay the 2015 Senior Notes.

Horace Mann Educators Corporation 44 45

Second Third Quarter 2026 Form 10-Q

The effective income tax rate on our pretax income, including net investment gains (losses), was 16.5% 17.7% and 19.5% 19.0% for the six nine months ended June September 30, 2026 and 2025, respectively. Income from investments in tax-advantaged securities reduced the effective income tax rates by 1.5 1.8 and 2.4 2.0 percentage points for the six nine months ended June September 30, 2026 and 2025, respectively. The effective tax rate was further reduced by 4.0 2.7 and 0.5 1.2 percentage points for the six nine months ended June September 30, 2026 and 2025, respectively, as a result of purchases of transferable tax credits to be utilized on the federal income tax returns for the 2026 and 2025 tax years.

We record liabilities for uncertain tax filing positions where when it is more likely than not that the a position will not be sustainable upon audit by taxing authorities. These liabilities are reevaluated routinely and are adjusted appropriately based on changes in facts or law. We have no unrecorded liabilities related to uncertain tax positions.

As of June September 30, 2026, our federal income tax returns for years prior to 2022 are no longer subject to examination by the Internal Revenue Service. We do not expect any assessments for tax years that remain subject to examination to have a material effect on our financial position or results of operations.

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At the time of issuance of this Quarterly Report on Form 10-Q, we estimate that 2026 full year core income will be within a range of $4.60 $5.75 to $4.90 $5.95 per diluted share, generating a core return on equity* of over 12%+. These results anticipate the following:

• Property & Casualty segment target profitability of low-mid 90s Combined Ratio with ~$75 ~$60 million of catastrophe losses

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• Net investment income between $465 $485 million and $475 $495 million pre-tax, or $365-$375 $385-$395 million excluding the accreted investment income on the deposit asset on reinsurance in the Life & Retirement segment

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Horace Mann Educators Corporation 45 46

Second Third Quarter 2026 Form 10-Q

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and 295 more changes in the filing

I Controls and Procedures 3 changes

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Under the supervision and with the participation of our management, including our chief executive officer and chief financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as such term is defined in Rule 13a-15(e) of the Securities Exchange Act of 1934 as amended (Exchange Act), as of June September 30, 2026. Based on this evaluation, the chief executive officer and chief financial officer concluded that our disclosure controls and procedures are effective in timely alerting them to material information relating to us (including our consolidated subsidiaries) that is required to be included in our periodic SEC filings. No material weaknesses in our disclosure controls and procedures were identified in the evaluation and therefore, no corrective actions were taken. There were no significant changes in our internal controls or in other factors that could significantly affect these controls subsequent to the date of their evaluation.

2 unchanged paragraphs

Horace Mann Educators Corporation 63 64

Second Third Quarter 2026 Form 10-Q

I Legal Proceedings 1 change

For a description of noteworthy litigation, see Part I - Item 1, Note 10 11 of the Consolidated Financial Statements of this Quarterly Report on Form 10-Q.

I Risk Factors 21 changes

At the time of issuance of this Quarterly Report on Form 10-Q, Except as set forth below, we believe there are no material changes from the risk factors as previously disclosed in Part I - Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025.

Cybersecurity breaches could have an adverse effect on our business and reputation.

Cybersecurity threats and incidents have increased in recent years in frequency, levels of persistence, sophistication and intensity, and we may be subject to heightened cyber-related risks. Our business depends on the proper functioning and availability of our information technology platform, including communications and data processing systems, our proprietary systems, and systems of our third-party service providers. We and our service providers collect, process, store and transmit sensitive personal, financial, health and other confidential information relating to our policyholders, customers, employees and business partners, as well as our proprietary business information. We have implemented and maintain what we believe to be reasonable security measures, but we cannot guarantee that the controls and procedures we have in place to protect or recover our respective systems and the information stored on such systems will be effective, successful or sufficiently rapid to avoid harm to our business. Moreover, while we generally perform cybersecurity due diligence on our key service providers, we cannot ensure the cybersecurity measures they take will be sufficient to protect any information we share with them. Our service providers' use of AI, including AI capabilities embedded in their products and services, may introduce additional vulnerabilities or expose information to uses or parties beyond our visibility or control. Due to applicable laws, regulations, rules, standards and contractual obligations, we may be held responsible for cyber-attacks, security breaches or other similar incidents attributed to our service providers as they relate to the information we share with them.

Cybersecurity threats are evolving in nature and becoming increasingly difficult to detect, and may come from a variety of sources, including organized criminal groups, "hacktivists," terrorists, and nation state-supported actors. These threats include, among other things, computer viruses, worms, malware, ransomware, denial of service attacks, defective software, credential stuffing, social engineering, phishing attacks, human error, fraud, theft, or improper access by employees or service providers, and other similar threats. Furthermore, cyber-attacks increasingly involve the use of artificial intelligence (AI) and machine learning, including generative AI, with bad actors using these technologies to launch more automated, targeted, and coordinated attacks.

We have established AI governance, including a cross-functional AI Governance and Risk Committee and policies governing the use of AI tools. AI use by employees, contractors and service providers can create cybersecurity and data protection risks, including through tools used without organizational approval or oversight ("shadow AI"). These risks include exposing sensitive information, granting inappropriate access to systems or data, and enabling AI agents to take unintended actions or modify records. Such activities may compromise information and systems, even when data remains within our environment. Our policies, controls and training are designed to address these risks but may not identify or prevent all inappropriate uses.

Any cybersecurity incident, including system failure, cyber-attacks, security breaches, disruption by malware or other damage, with respect to our or our service providers' information technology systems, could interrupt or delay our operations, result in a violation of applicable cybersecurity, privacy, data protection or other laws, regulations, rules, standards or contractual obligations, damage our reputation, cause a loss of customers or expose sensitive customer data, give rise to civil litigation, injunctions, damages, monetary fines or other penalties, subject us to additional regulatory scrutiny or notification obligations, and/or increase our compliance costs, any of which could adversely affect our business, financial conditions and results of operations.

Horace Mann Educators Corporation 65

Third Quarter 2026 Form 10-Q

We may not be able to anticipate all cyber-attacks, security breaches or other similar incidents, detect or react to such incidents in a timely manner, or adequately remediate any such incident. It may also take considerable time for us to investigate and evaluate the full impact of cyber-attacks, particularly for sophisticated attacks, which may inhibit our ability to provide prompt, full, and reliable information about cybersecurity incidents to our customers, regulators, and the public. Limitations in logging, record retention or attribution of automated activity may prevent us from fully reconstructing and assessing the full scope and impact of such incidents. In addition, recent disclosure requirements add additional risk that bad actors might use the information with malicious intent, exacerbating the impacts of a breach. While management is not aware of any cyber-attack, security breach or other similar incident that has had a material effect on our operations, there can be no assurances that such an incident that could have a material impact on us will not occur in the future.

Further, the cybersecurity, privacy and data protection regulatory environment is evolving, and it is likely that the costs of complying with new or developing regulatory requirements will increase. For example, we operate in a number of jurisdictions with strict cybersecurity, privacy, data protection and other related laws, regulations, rules and standards, which could be violated in the event of a significant cyber-attack, security breach or other similar incident affecting personal, proprietary or confidential information or in the event of noncompliance by our personnel with such obligations. The use of AI by us or our service providers may further complicate compliance with requirements governing the collection, use, retention, sharing and protection of information.

We cannot ensure that any limitations of liability provisions in our agreements with clients, service providers and other third parties with which we do business would be enforceable or adequate or otherwise protect us from any liabilities or damages with respect to any claim in connection with a cyber-attack, security breach or other similar incident. In addition, while we maintain insurance that would mitigate the financial loss under such scenarios, providing what we believe to be appropriate policy limits, terms and conditions, we cannot guarantee that our insurance coverage will be adequate for all financial and non-financial consequences from a cybersecurity event, including an AI-related event, that insurance will continue to be available to us on economically reasonable terms, or at all, or that our insurer will not deny coverage as to any future claim.

Artificial Intelligence Risks

Our use of artificial intelligence could adversely affect our business, regulatory compliance and reputation.

Our increasing use of AI technologies and the use of AI by our third-party service providers introduces risks that could impact our business operations, regulatory compliance, financial performance, and customer relationships. These risks include potential inaccuracies in AI-driven processes, increased regulatory scrutiny, unintended biases, data privacy and security concerns, operational disruptions, and broader ethical considerations.

AI systems, including generative AI, may produce inaccurate, incomplete, misleading or fabricated outputs, rely on flawed, biased or outdated data, or operate in ways that are difficult to explain, validate or reproduce. Overreliance on these systems, insufficient human oversight, or failure to identify and correct errors could adversely affect business decisions, customer communications, financial reporting or other processes. To the extent AI is used in underwriting, pricing, claims handling or other insurance-related activities, errors or unintended biases could result in inappropriate or discriminatory outcomes, customer harm, regulatory action or litigation.

Our ability to manage these risks depends in part on identifying where and how AI is used, establishing appropriate access and data restrictions, evaluating third-party technologies, and maintaining effective testing, monitoring and human oversight. See also the cybersecurity risk factor above regarding unauthorized use of AI, including "shadow AI", and AI agents. AI capabilities may also be introduced through changes to existing third-party products and services, limiting our ability to identify and evaluate their use promptly. Failures, outages, changes in functionality or terms of use, or discontinuation of third-party AI services could disrupt affected processes or increase our costs.

The use of AI may also expose us to claims concerning intellectual property infringement, ownership or permitted use of data and AI-generated content, confidentiality, or other rights. We may have limited ability to determine the sources of data used to develop third-party models or to obtain adequate contractual protections or recovery from providers.

Horace Mann Educators Corporation 66

Third Quarter 2026 Form 10-Q

Evolving and increasingly complex AI-related laws, regulations, and industry standards may increase our compliance costs and regulatory exposure, and failure to maintain effective governance, oversight, and risk controls could materially and adversely affect our business, results of operations, or reputation. While we seek to implement AI responsibly and consistent with our AI governance policies, there can be no assurance that AI-related risks will not affect our business, reputation, or compliance obligations.

Further, AI technologies also have the potential to materially alter the competitive landscape. Specifically, there is a risk that existing or new market participants can utilize AI technology to reduce their operating costs and accelerate speed to market for new market participants.

I Unregistered Sales of Equity Securities and Use of Proceeds 9 changes

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On May 13, 2025, our Board of Directors authorized a share repurchase program allowing repurchases of up to $50 million of our common shares in open market or privately negotiated transactions, from time to time, depending on market conditions (Program). The Program does not have an expiration date and may be limited or terminated at any time without notice. During the three months ended June September 30, 2026, no shares were we repurchased under the program. As of June 30, 2026, the approximate dollar value of shares that may yet be purchased under the Program was $37.4 million. as follows:

Paid per Share Total Number of Shares Purchased

under the Program Approximate Dollar Value

of Shares that may yet be

Purchased under the Program

July 1 - 31 — $ — — $ 37.4 million

August 1 - 31 — — — $ 37.4 million

September 1 - 30 22,826 44.91 22,826 $ 36.4 million

Total 22,826 $ 44.91 22,826 $ 36.4 million

I Other Information 5 changes

As reported in our March 27, 2026 Form 8-K, Ryan Greenier has been acting as the Company's interim chief accounting officer for this Form 10-Q. It is expected that he will continue in this role for the third quarter and, as necessary, through the fiscal year.

Securities Trading Plans of Executive Officers and Directors

During the three months ended September 30, 2026, Beverley McClure adopted a new 10b5-1 plan. The Plan was adopted on September 3, 2026 . The Plan expires on the earlier of April 15, 2027 , or upon execution of all trades or expiration of all orders relating to such trades. The Plan allows for the sale of up to 2,368 shares.

Horace Mann Educators Corporation 64 67

Second Third Quarter 2026 Form 10-Q

I Exhibits 6 changes

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Membership Interest Purchase Agreement for Employee Services LLC

Master Transaction Agreement for Reserve National Insurance Company and MedMutual Life Insurance Company's Group Life and Disability Business

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Horace Mann Educators Corporation 65 68

Second Third Quarter 2026 Form 10-Q

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Horace Mann Educators Corporation 66 69

Second Third Quarter 2026 Form 10-Q