American Independence Corp. Announces 2013 Second-Quarter and Six-Month Results

American Independence Corp. Announces 2013 Second-Quarter and Six-Month
Results

NEW YORK, Aug. 7, 2013 (GLOBE NEWSWIRE) -- American Independence Corp.
(Nasdaq:AMIC) today reported 2013 second-quarter and six-month results.

Financial Results

Net income attributable to AMIC increased to $1.5 million ($.19 per share,
diluted), for the three months ended June 30, 2013 compared to $0.3 million
($.04 per share, diluted), for the three months ended June 30, 2012. Revenues
increased to $37.4 million for the three months ended June 30, 2013 compared
to revenues of $23.5 million for the three months ended June 30, 2012,
primarily due to an increase in premiums.

Net income attributable to AMIC increased to $2.2 million ($.27 per share,
diluted), for the six months ended June 30, 2013 compared to $1.4 million
($.17 per share, diluted), for the six months ended June 30, 2012. Revenues
increased to $72.7 million for the six months ended June 30, 2013 compared to
revenues of $45.7 million for the six months ended June 30, 2012, primarily
due to an increase in premiums.

Chief Executive Officer's Comments

Roy Thung, Chief Executive Officer, commented, "Earned premium for our medical
stop-loss for the second quarter grew 22% over the same quarter last year,
driven by annual growth rates at IHC Risk Solutions of 28% in our
direct-written business. Profitability of this line of business continues at
expected levels. We see a significant portion of this growth arising from
employer groups moving from fully insured to self-funding as they consider
their alternatives as a result of changes being brought about by health care
reform. We expect a continuation of these trends through the remainder of this
year and into 2014. Our financial condition and balance sheet remain
strong.We have no debt and have grown our book value to $12.67 per share at
June 30, 2013 from $12.59 per share at December 31, 2012."

About American Independence Corp.

AMIC, through Independence American Insurance Company and its other
subsidiaries, offers major medical for individuals and families, medical
stop-loss, small group major medical, short-term medical, various supplemental
products, pet insurance, and non-subscriber occupational accident and
international coverages.AMIC provides to the individual and self-employed
markets health insurance and related products, which are distributed through
its subsidiaries, IPA Family, LLC, healthinsurance.org, LLC, and IHC Specialty
Benefits, Inc.AMIC markets medical stop-loss through its marketing and
administrative company IHC Risk Solutions, LLC.

Certain statements in this news release may be considered forward-looking
statements, such as statements relating to management's views with respect to
future events and financial performance.Such forward-looking statements are
subject to risks, uncertainties and other factors which could cause actual
results to differ materially from historical experience or from future results
expressed or implied by such forward-looking statements.Potential risks and
uncertainties include, but are not limited to, economic conditions in the
markets in which AMIC operates, new federal or state governmental regulation,
AMIC's ability to effectively operate, integrate and leverage any past or
future strategic acquisition, and other factors which can be found in AMIC's
other news releases and filings with the Securities and Exchange
Commission.AMIC expressly disclaims any duty to update its forward-looking
statements or earnings guidance, and does not undertake to provide any such
guidance in the future.

American Independence Corp.
Condensed Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)

                                      Three Months Ended  Six Months Ended
                                      June 30,            June 30,
                                      2013      2012      2013      2012
                                                                 
Premiums earned                        $ 31,618 $ 19,334 $ 61,614 $ 37,791
Fee and agency income                  4,688    3,739    8,935    6,867
Net investment income                  501      500      1,005    996
Net realized investment gains          387      44       927      170
Other-than-temporary impairment losses --       (189)     --       (189)
Other income                           179      47       252      74
                                                                 
Revenues                               37,373    23,475   72,733   45,709
                                                                 
Insurance benefits, claims and         20,194   14,266   41,427   25,957
reserves
Selling, general and administrative    14,397   8,417    27,001   17,010
expenses
Amortization and depreciation          256      45       484      90
                                                                 
Expenses                               34,847   22,728   68,912   43,057
                                                                 
Income before income tax               2,526    747      3,821    2,652
Provision for income taxes             821      196      1,193    804
                                                                 
Net income                             1,705    551      2,628    1,848
Less: Net income attributable to the   (201)     (242)     (433)     (420)
non-controlling interest
                                                                 
Net income attributable to American    $ 1,504  $ 309    $ 2,195  $ 1,428
Independence Corp.
                                                                 
Basic income per common share:                                    
Net income attributable to American    $ .19    $ .04    $ .27    $ .17
Independence Corp. common stockholders
                                                                 
Weighted-average shares outstanding    8,073    8,272    8,079    8,272
                                                                 
Diluted income per common share:                                  
Net income attributable to American    $ .19    $ .04    $ .27    $ .17
Independence Corp. common stockholders
                                                                 
Weighted-average diluted shares        8,076    8,272    8,079    8,272
outstanding



American Independence Corp.
Condensed Consolidated Balance Sheets
(In thousands, except per share data)

                                                     June 30,    
                                                     2013        December 31,
ASSETS:                                               (Unaudited) 2012
Investments:                                                     
Securities purchased under agreements to resell       $ 5,288    $ 5,234
Trading securities                                    1,066      1,056
Fixed maturities available-for-sale, at fair value    67,129     58,329
Equity securities available-for-sale, at fair value   997        2,507
                                                                
Total investments                                     74,480     67,126
                                                                
Cash and cash equivalents                             1,152      4,576
Restricted cash                                       10,554     13,321
Accrued investment income                             601        755
Premiums receivable                                   17,267     10,387
Net deferred tax asset                                11,891     13,024
Due from reinsurers                                   6,672      6,307
Goodwill                                              23,561     23,561
Intangible assets                                     2,752      3,379
Accrued fee income                                    2,459      3,122
Due from securities brokers                           112        61
Other assets                                          12,888     13,364
                                                                
TOTAL ASSETS                                          $ 164,389  $ 158,983
                                                                
LIABILITIES AND STOCKHOLDERS' EQUITY:                            
LIABILITIES:                                                     
Insurance reserves                                    $ 34,218   $ 24,993
Premium and claim funds payable                       10,554     13,321
Commission payable                                    5,837      4,329
Accounts payable, accruals and other liabilities      9,602      10,118
State income taxes payable                            555        545
Due to securities brokers                             171        22
Due to reinsurers                                     1,019      1,431
                                                                
Total liabilities                                     61,956     54,759
                                                                
STOCKHOLDERS' EQUITY:                                            
American Independence Corp. stockholders' equity:                
Preferred stock, $0.10 par value, 1,000 shares        --         --
designated; no shares issuedand outstanding
Common stock, $0.01 par value, 15,000,000 shares
authorized;                                           92         92
9,181,793 sharesissued, respectively; 8,072,548 and
8,272,332 shares outstanding, respectively
Additional paid-in capital                            479,456    479,451
Accumulated other comprehensive income (loss)         (1,030)     1,829
Treasury stock, at cost, 1,109,245 shares and 909,461 (10,305)    (9,107)
shares, respectively
Accumulated deficit                                   (365,915)   (368,113)
Total American Independence Corp. stockholders'       102,298    104,152
equity
Non-controlling interest in subsidiaries              135        72
Total equity                                          102,433    104,224
TOTAL LIABILITIES AND EQUITY                          $ 164,389  $ 158,983

CONTACT: DAVID T. KETTIG
         (212) 355-4141 Ext. 3047
         www.americanindependencecorp.com
 
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