Table of Contents CITIZENS, INC. AND CONSOLIDATED SUBSIDIARIES Life Insurance Our Life Insurance segment primarily issues ordinary whole life insurance and endowment policies in U.S. dollar-denominated amounts to foreign residents in more than 20 countries through approximately 1,110 independent marketing consultants, and domestically through over 50 independent marketing firms and consultants throughout the United States. Premiums. Premium revenues decreased in 2018 compared to 2017 as first year premiums decreased 34.2% and 18.8% in 2018 and 2017, respectively. Our renewal premiums for 2018 were comparable to 2016 levels but down from 2017 by 2.7%. Life Insurance premium breakout is detailed below. The Company has taken actions over the past few years that may be negatively impacting our current sales levels. In 2016, the Company reduced discretionary dividends on existing international policies in response to the sustained low interest rate environment. This was the first time in the Company's history that it had adjusted this policy benefit. In 2017, the Company introduced a set of repriced products in response to the continued low interest rate environment in order to increase profits in our international markets. These measures resulted in more expensive policies for our customers and likely negatively impacted our new sales. In April 2018, in connection with our review of our international business model, we discontinued accepting new life 40 Years Ended December 31, 2018 2017 2016 (In thousands) Premiums: First year $ 11,451 17,403 21,434 Renewal 129,695 133,305 129,761 Total premium $ 141,146 150,708 151,195 Years Ended December 31, 2018 2017 2016 (In thousands) Revenue: Premiums $ 141,146 150,708 151,195 Net investment income 39,985 38,578 33,350 Realized investment gains (losses), net 358 (461 ) (1,685 ) Other income 1,833 1,061 882 Total revenue 183,322 189,886 183,742 Benefits and expenses: Insurance benefits paid or provided: Claims and surrenders 69,149 60,393 58,440 Increase in future policy benefit reserves 43,671 70,783 71,373 Policyholders' dividends 6,316 6,226 6,774 Total insurance benefits paid or provided 119,136 137,402 136,587 Commissions 20,079 25,760 29,235 Other general expenses 18,718 18,597 14,284 Capitalization of deferred policy acquisition costs (17,194) (23,157) (26,742) Amortization of deferred policy acquisition costs 29,915 25,295 24,428 Amortization of cost of customer relationships acquired 583 595 559 Total benefits and expenses 171,237 184,492 178,351 Income before income tax expense $ 12,085 5,394 5,391