Announcing a record-breaking dividend
Guardian is pleased to announce a $1.6 billion dividend allocation to participating policyholders in 2025 — the largest dividend payout in our company’s 164-year history. Our Dividend Interest Rate (DIR) now increases to 6.10%.
Living our purpose: Guardian’s 2025 dividend
We remain committed to our purpose to inspire well-being®, prioritizing our policyholders in everything we undertake. We are broadening the ways we meet their needs throughout their lives by offering new products, services, and experiences. Our goal is to foster greater engagement, providing education, motivation, and empowerment to help people make decisions — big or small — that enhance their overall well-being — mind, body, and wallet®.
Click here to read the press release.
What is a dividend and what does it mean for me?
Dividends are determined by a company’s annual performance, often serving as an indicator of strength. Even during times of uncertainty, Guardian’s financial integrity hasn’t wavered. This year, third-party independent rating agencies reaffirmed our financial stability, and our composite Comdex score remained at 99, putting Guardian in the top 1% of carriers based on claims-paying ability.1
We share our clients’ long-term interests, which take precedence over market demands. That’s why our strategy will always be to invest for growth, while maintaining our financial responsibility.
Policyholders have several options once a dividend is paid, including:
Reinvesting it into their policies.
Offsetting future premium payments.
Collecting it as tax-efficient income.2
Using it to purchase additional coverage.
Future-oriented investing
Mutual companies like Guardian are with you for life, applying prudent, long-term investment strategies to earn you money for years to come.
Direct involvement in decision-making
It’s your money, so you should have a say about how it’s spent. At mutual companies, participating policyholders have a voice by voting at the annual meeting.
Shared profits
At mutual companies, profits can be paid to participating policyholders via dividends.
Is Guardian whole life insurance right for you?
1 Comdex is another strong metric used in evaluating insurance companies. A Comdex is a composite score averaging the ratings of the major insurance rating organizations, including A.M. Best, Fitch, Moody’s, and S&P. Comdex is not a rating, but rather, a ranking based on the average of all the different ratings these different organizations give an insurance company. Comdex percentile ranks the companies on a scale of 1 to 100 (with 100 being the best).
2 Dividends paid in cash are typically income tax-free up to cost basis. However, if you take dividends in cash, you can owe taxes on dividends paid over and above the amount of premiums paid.
Financial information concerning Guardian as of December 31, 2023, on a statutory basis: Admitted assets = $80.3 billion; liabilities = $71.2 billion (including $58.0 billion of reserves); and surplus = $9.1 billion.
Dividends are not guaranteed. They are declared annually by Guardian’s Board of Directors. The total dividend calculation includes mortality experience and expense management as well as investment results. In addition, the Board established a minimum amount of dividend allocation — no less than $1.43 billion to be distributed in 2025 to participating life policyholders with policy dates as of January 1, 1984 and later.