Lincoln National’s $169 Billion Annuity Base: Can RILA Growth Offset Outflows?

Lincoln National Corporation reported first quarter 2026 results that continued a multi-quarter trend of operational growth, supported by a diversified business portfolio and ongoing strategic realignment. Adjusted operating income increased 16% year-over-year to $326 million, marking seven consecutive quarters of growth. This improvement was driven by favorable underwriting results in group and life insurance, increased spread income in annuities and retirement plan services, and strong returns from alternative investments. The company’s Group Protection segment posted an 11% rise in operating income to $112 million, with margin expansion attributed mainly to improved group life loss ratios and disciplined pricing. However, disability loss ratios increased due to elevated incidence rates in newly implemented state paid family leave programs and unfavorable long-term disability claim resolution severity, though management expects normalization as the year progresses. Annuities operating income declined slightly to $275 million from the prior year’s $290 million.